Business News Articles

Credit crunch to last until 2010
The head of the UK’s largest mortgage provider has warned that the credit crunch could last until deep into 2010. Andy Hornby, HBOS chief executive, said it would take at least 18 months before US house prices started to rise again and banks had enough confidence to begin lending to each other again. ... more

Audi most popular small fleet brand
Audi is the most popular small fleet brand, according to a survey by comparecontracthire.com, which logged the car purchases of small fleets for two months. Audi was easily the most sought-after brand, with the four-door A4 2.0 D topping the list. Second was BMW with its 320D. Low emissions and brand credibility were the main reasons for the car's success.... more

Pound's fall helps foreign traders
British companies that generate the bulk of their revenues outside the UK are seeing an upturn in business as sterling looses value against the dollar and euro. The high cost of the dollar and euro has hit UK consumers and companies reliant on imports. However, the fall of sterling has also boosted the profits of many British companies whose sales are largely generated overseas.... more

TUC warns over work bullying
Every organisation should have an anti-bullying policy to prevent instances of staff being harassed at work, the TUC has said. The union body’s research found that one in seven people had been bullied at work, with those aged between 45 and 54 the most likely targets. ... more

Interest rates stay at 5%
The Bank of England has resisted the temptation to cut interest rates as it struggles to keep inflation under control. Despite warnings that the UK is headed for recession, the monetary policy committee chose to keep rates at 5% for the fifth month in a row. ... more

UK set for recession in 2008
The UK economy is expected to slip into recession this year, the Organisation for Economic Cooperation and Development (OECD) has warned. The thinktank estimates the economy will shrink by 0.3% in the third quarter of 2008 and 0.4% in the final three months, meeting the definition of a recession as two quarters of negative growth. ... more

Vacancies hit seven-year low
The number of permanent jobs available is now at its lowest level since November 2001, according to research by KPMG and the Recruitment and Employment Confederation. The overall number of permanent vacancies decreased and there was a record drop in demand for temps as companies shelved expansion plans and sought to rein in spending. ... more

Government aims for housing boost
The government has scrapped stamp duty on properties costing £175,000 or less for the next 12 months, in a bid to revive the flagging housing market. The policy would mean half of all properties are now except from stamp duty rather than the third that came under the previous limit of £125,000. ... more

Small firms ‘have happier staff’
Employees in small businesses tend to be more satisfied at work than staff in larger firms, according to a survey by YouGov on behalf of the TUC. The research found that 21% of small company employees strongly agreed they had higher levels of job satisfaction and 41% also “tended to agree” with that statement, while 64% felt they were more committed and 58% said they were more loyal than co... more

Plea to aid manufacturers
The government should introduce policies designed to minimise the burden of the economic downturn on manufacturing jobs, the EEF has urged. The body’s study – done in conjunction with accountancy firm Grant Thornton – found there many organisations had shelved investment and hiring plans and instead intend to lay off staff. ... more