british chambers

Forecast of 8% Interest Rates by 2012 “alarmist”

A forecast that UK interest rates will reach eight per cent by 2012 is “alarmist” and makes the unlikely assumption that there will be a double-dip recession followed by a boom and high inflation, the British Chambers of Commerce (BCC) has said. The forecast was made by Andrew Lilico, chief economist at think-tank the Policy Exchange. “Once the economy gets growing sustainably, there will be a huge expansion in the money supply, which will lead to inflation. And once inflation rises, interest rates will rise rapidly as well.” Lilico added that to keep inflation down, interest rate rises to eight per cent are likely by 2012. If interest rates do go up, it could make loans and commercial mortgages even less appealing for small firms in a market that is already sluggis... »

BCC Comments on the Coalition’s first 90 days

The British Chambers of Commerce (BCC) has commented this morning on the Coalition Government’s first 90 days in power, reviewing the Government’s actions against points in the BCC’s own Delivering for Britain: A Ninety Day Plan for Business Growth (PDF). The BCC states that whilst there are positive and encouraging decisions being made by the Coalition Government there a still a number of areas where urgent action needs to be taken before the end of the year. The "ninety day plan", drafted before the May General Election, set 12 clear policy challenges for the Government in order to return the economy to good health: Public Finances Publish a credible plan to reduce the budget deficit and restore confidence Freeze public sector wage bill and reform public pensi... »