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The Bank of England will weigh the weakness of Britain’s wage growth against the strength of its economic recovery when it delivers fresh forecasts in its quarterly inflation report on Wednesday morning, containing signals about when a rise in interest rates is likely.
<To be delivered in tandem with the latest UK employment data, the BoE's estimates of the amount of slack in the economy will be one of the most closely watched metrics. At the last quarterly inflation report in May, the BoE estimated the amount of spare capacity was between 1 - 1.5 per cent, judging there was room for this to narrow further before rates tightened.
By Sarah O'Connor and Claer BarrettContinue reading: Live Blog: BoE inflation report
The UK decision to send ground attack aircraft to perform reconnaissance missions over Iraq has led to mounting speculation that it could soon join the US in conducting bombing missions against Islamist extremists terrorising the local population.
The British government has so far resisted calls from some politicians and former officers to join the US in launching air strikes against insurgents from the Islamic State of Iraq and the Levant (known as Isis). But the type of aircraft it has sent to the region – the Tornado GR4 – leaves the option open.Continue reading: Will the UK join the US with air strikes in Iraq?
Recep Tayyip Erdogan just won his ninth straight popular vote in just over a decade, to become the first directly elected president of Turkey, in what is supposed to be his apotheosis, raising him to the historic height of Mustafa Kemal Ataturk, father of modern Turkey. As his opponents have recurring reason to know, Mr Erdogan has established an almost preternatural grip on the electorate that not even prima facie evidence of corruption, willful policy decisions, and creeping authoritarianism seem able to loosen. Now Turkey and the world will see if he is truly a statesman.
Nobody can gainsay Mr Erdogan his victory which, despite a comparatively low turnout, has given him a comfortable first round win. But after more than a decade as prime minister of a nation he has helped transform – not least by spreading wealth and giving a voice to those whom Ataturk’s secular republic kept at the margins of society – Mr Erdogan must now decide where to take a great and pivotal country he increasingly treats as his personal patrimony.Continue reading: Turkey’s Erdogan must prove he is truly a statesman