View more on these topics

Reform now to boost growth, OECD tells Spain

The OECD has told indebted Spain to boost competitiveness and growth in the face of public spending and deficit cuts.

In its latest economic survey of Spain, the OECD has said the country’s barriers to competition remain too high.

According to the organisation, Spain taxes labour too much and consumption and property too little.

The OECD says Spain should aim to keep wages down by limiting severance payments and the impact of collective bargaining processes such as pay negotiations with unions.

The country must also raise its retirement age and reform its pension system to improve its long-term liabilities, according to the OECD.

The organisation predicts the country’s deficit will be 9.2 per cent this year and 6.3 per cent next year, roughly in line with the country’s own projections. It says the deficit will be as low as 4.4 per cent in 2012.

However, economic growth is projected to be weak next year, with just a 0.9 per cent increase compared with a predicted 0.2 per cent contraction this year.

“The survey recognises that Spain has launched substantial fiscal consolidation plans and significant steps to address long-standing shortcomings in the labour market,” the OECD says.

“The OECD calls for broadening and deepening of these measures, as well as further efforts to remove barriers to competition in products markets.”

Recommended

Merchant Cap in Clarkson deal

The Clarkson Hill Group has accepted an offer in principle from Merchant Capital and the firms are battling to secure FSA permission for a bulk transfer of advisers, Money Marketing understands. Merchant Capital will structure a new advice business for the Clarkson Hill advisers if the regulator grants a transfer. In July, Clarkson Hill directors […]

2

FSA bans and fines MD £750,000 for mismarking

The FSA has banned and fined a former managing director at Toronto Dominion Bank £750,000 for deliberately mismarking his trading positions and concealing his losses for two years. Between July 2007 and June 2008 Nabeel Naqui headed the credit products group Europe and Asia Pacific desk, responsible for other traders and for trading credit default […]

Clarkson Hill appoints restructuring firm as administrator

Clarkson Hill Group has appointed restructuring specialist Bridge Business Recovery LLP as administrator. The group says Bridge’s Tony Murphy and Robert Horton have been named as joint administrators. In a stockmarket announcement, it says as a result of this its nominated adviser and broker Cairn Financial Advisers LLP has resigned. Clarkson Hill says Bridge’s appointment […]

OPM video aid to IFA client meetings

Multi-manager OPM Fund Management says the short, jargon-free video interviews it is putting on its new web-based OPMfm TV service are an easy way to help advisers with client meetings and reviews.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    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

    Email: customerservices@moneymarketing.com