UK GDP Growth Shrinks in Q4 2012

http://www.bbc.co.uk/news/business-21193525 The UK economy has shrunk by 0.3% in line with many economists’ predictions. The fall is mainly due to a slowdown in North Sea oil extraction, excluding oil and gas extraction the economy shrank 0.1%. This comes after a previous 0.9% growth in GDP during Q3. Nick Clegg has blamed a lack of capital Read more about UK GDP Growth Shrinks in Q4 2012[…]

Why does the UK Government have such low interest rates on its debt?

Like the US the UK is facing low interest rates, despite having a high budget deficit and public debt. Why is this? The UK Government issues its debt in the form of Guilts, currently the interest rate the government has to pay on a year guilt is 0.32%. This is lower even than the base Read more about Why does the UK Government have such low interest rates on its debt?[…]