The Government will reject calls to impose a rigid cap on bank executives' bonuses, as proposed in the United States by Barack Obama, despite growing clamour for a clampdown from opposition parties and on its own benches. Ministers said they would seek to use the Government's stake in the Royal Bank of Scotland (RBS) and the Lloyds Banking Group to ensure bank bosses did not receive "rew...

What goes around comes around, and it easily forgotten why the Bank of England was stripped of its authority in these matters in the first place. Under the Bank’s watch, there had in short order been two notable failings in oversight – the Bank of Credit

UKIP economics spokesman Dr John Whittaker MEP noted: "The European Central bank ought to follow the Bank of England's interest rate cut, but being the central bank for 16 different countries gives it a problem." He was commenting after the Bank of England reduced its official Bank Rate from 2% to 1.5%. "All the signals say that the ECB should cut rates at its meeting next week. Euro inflatio...

This week Liberal Democrat Voice is running a series of articles from Tim Leunig about the economy - how we got here and what we should do next. So far the series has covered bank bailouts, bank lending and fiscal policy. Interest rates and the Bank of England The Bank of England’s monetary policy committee has done

The Bank of England will announce its latest monetary policy decision at midday, with economists waiting to see if the central bank introduces more quantitative easing (QE).

John Gieve admits that the Bank of England did not understand the severity of the financial crisis. Such honesty is to be admired. The Bank has been trying to chase one variable (inflation) using one tool (interest rates). This is not enough to keep tabs on a modern financial system. Prior to the 1980s, other forms of credit control existed. They were a more direct way of influencing the economy t...

Asked about the Governor of the Bank of England s comments that the Government needed to intervene directly with banks if they refused to step up lending, the PMS replied that obviously this was something that we kept under constant review, and we remained in close contact with the Bank of England and the Financial Services Authority on these matters. We wanted to work constructively with the bank...

At noon today, the Bank of England announced that interests rates are being lowered again to 0.5%, the lowest since the bank was founded in 1694. With its rate-cutting ammunition all but exhausted, the Bank of England pressed the button on a much more drastic policy, quantitative easing- also known as printing money.

The European Central Bank said it had allotted €30bn ($42.04bn) in one-day liquidity to counter financial turmoil in the wake of the crisis in the US banking system, while the Bank of England said it would offer £5bn of extra reserves to help stabilise sterling money markets

The Bank’s last official Statement, and the Deputy Governor Mr Bean’s recent remarks, tell us that the Bank has little idea how much quantitative easing to do, or how to assess its impact. The Bank’s main economic view is based on the