MPC must act boldly to increase benefits of QE, says BCC
05 Apr 2012
- ‘Keeping rates and QE programme on hold was the right decision’
- ‘QE has not led to meaningful increases in lending to businesses’
Commenting on today’s Monetary Policy Committee (MPC) decision, David Kern, Chief Economist at the British Chambers of Commerce (BCC), said:
“Following the February increase in Quantitative Easing (QE), the decision to keep interest rates and the QE programme on hold was widely expected. With QE still being implemented, and given the MPC’s self-imposed practice of only buying gilts, this was the right decision. However, last month two MPC members voted for an increase in QE to £350bn. While support for this may be strengthening, we believe that adding to QE would be unnecessary.
“We supported past increases in QE because they eased pressures on the banking system and helped to underpin financial stability. However, this has not led to meaningful increases in lending to small businesses, and the benefits to the real economy have been limited. Increasing QE now would only have a marginal effect. There is ample liquidity in the financial system and there is no need to drive down yields on government bonds further.
"The main policy aim must be boosting the unduly low rate of economic growth by increasing lending to viable businesses. To achieve this, it is vital to make the new credit-easing scheme more substantial. But the MPC also has a part to play. The committee should reconsider its reluctance to include assets other than gilts in the QE programme, such as securitised SME loans. This will make the banks less risk averse, and will help to improve the flow of lending to credit-worthy firms.”
05 Sep 2016
The Higher Apprenticeship in Leadership & Management comprises two qualifications:
- Level 5 Diploma in Leadership & Management
- Level 5 NVQ Diploma in Leadership & Management
Qualifications are awarded by iCQ.
Delegates will typically be employed in middle management roles, or have a junior management role with the potential/aspiration to progress into a more senior role.
24 Aug 2016
“As never before the UK’s prosperity will be secured by our successes in exporting goods and services around the globe. Suffolk Chamber International, part of Suffolk Chamber of Commerce, is here to help our local businesses become world-beaters!”
Jim Fanshawe, manager at Suffolk Chamber International and an international trade expert, was speaking at the launch of its revamped programme of courses aimed at giving every Suffolk business the chance to become exporters for the first-time or to improve their current overseas trade activities.
24 Aug 2016
Whether you’re introducing a new initiative or about to launch a new product or perhaps you’ve identified that there are mistakes happening with the processing of orders or duplication of effort – dealing with the demands of change is the biggest challenge facing every business today.
Walk any ten year old through your home and point out everything that didn’t exist when you were their age. You will find lots of examples where we have updated / upgraded things in our home as we have felt that any such change will make our life better or make us more comfortable.