View more on these topics

Osborne under renewed fire from IMF over weak growth


Chancellor George Osborne has come under renewed fire from the International Monetary Fund for the lack of growth in the UK economy.

Last week, the IMF published a report calling for a slower deficit reduction programme in a bid to boost the economy. IMF chief economist Olivier Blanchard urged the UK to rethink its economic policy but had been dismissed by the Government as “just one voice”.

The  FT reported sources close to Osborne insisting he would “aggressively” defend his policies and would not change course.

Since then Osborne has come under further criticism with both IMF head Christine Lagarde and deputy head David Lipton attacking the UK growth rate.

The Telegraph reports Lipton said: “The UK economy has turned out to be somewhat weaker than had been foreseen, so our view is that the pace of consolidation ought to be reconsidered, and we’ll want to come and have some discussions about that.”

Next month Lipton will conduct a more detailed analysis of the UK economy and will make further recommendations for improvements.

Last week Lagarde said that the UK growth rate was “not particularly good” and the IMF stands by its calls for the UK to slow spending cuts.

The Guardian reports she said: “We have said that should growth abate, should growth be particularly low, then there should be consideration to adjusting by way of slowing the pace. This is nothing new. And this is still the position and one that has been very clearly articulated within the various departments.”

Last week Fitch Ratings followed Moody’s in downgrading the UK credit rating from AAA to AA+, blaming rising debt, slow deficit reduction and concern over the eurozone.


Swip UK equity manager James Clunie to join Jupiter

Scottish Widows Investment Partnership UK equity manager James Clunie is joining Jupiter Asset Management. Clunie will help develop Jupiter’s total return and equity long-short offering when he joins in July. Clunie has been at Swip since April 2007 and managed the £51.8m Swip UK Flexible Strategy, £116m Swip UK Opportunities, £46.7m Scottish Widows Select Growth and £72.4m TU […]

Apfa: Advisers must note changes to insurance law

The Consumer Insurance Act came into force on 6 April 2013. The Act deals with a consumer’s duty to provide information to an insurer when applying for insurance, and how the insurer will treat a claim if the consumer gets it wrong. Its provisions reflect what is generally already accepted by the industry to be […]


The Platforum: How Transact’s new costs stack up against rivals

Analysis by The Platforum shows how Transact’s new pricing structure compares with the charges of some of its rivals. Transact announced today it is overhauling its charges to reduce costs by almost 15 per cent for an average portfolio of £180,000. The changes mean that for portfolios between £60,000 to £180,000, the rate has been […]


Lloyds investigates Scot Wids structured products sales

<!– <!– <!– <!– <!– –> –> –> –> –> <!– <!– <!– <!– <!– –> –> –> –> –> Lloyds Banking Group is investigating sales of Scottish Widows structured products after a sample review found the investments were missold in 25 per cent of cases. The review was triggered by a Daily Mail investigation […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm