The History and Future of QE: 3 ways the Bank of England’s analysis falls short
24 July, 2018As Positive Money likes to point out, quantitative easing (QE) is a policy almost without historical precedent. With only scant and rather messy evidence to go on, the policy community is still uncovering many of its effects. Ben Broadbent, Deputy Governor for Monetary Policy, is the latest at the Bank of England to attempt to [...]
New powers for the Bank of England to support banks – but who will benefit?
27 June, 2018The winds of change are blowing for the Bank of England. Hot on the heels of a report for the Labour Party arguing for reform of the Bank’s mandate came a move by the Government to alter the ‘capital and income framework’. Altering the relationship between the Treasury and the Bank, the changes have one [...]
Switzerland’s Vollgeld Initiative: the monetary system at the ballot box
7 June, 2018On June 10th, Swiss voters will go to the polls to vote on the ‘Vollgeld Initiative’ (‘Initiative Monnaie Pleine’ in French) which would instate a Sovereign Money system in place of the current banking system in Switzerland. In this blog post we explain what's at stake in the referendum and how it relates to Positive Money's [...]
‘Long on aspiration’? Don’t overlook central banks for green investment
16 May, 2018A cross-party group of MPs have issued a firm rebuke to the UK government’s climate and environmental policy. The Environmental Audit Committee launched an inquiry into ‘green finance’ in late 2017, the final report of which has been published today. The report makes for troubling reading for those committed to transforming the UK economy along [...]
New report: A Green Bank of England
15 May, 2018At an international conference of financial supervisors, Bank of England Governor Mark Carney described the ‘transition in action’ underway as central banks and the financial sector at large begin to address climate change. Positive Money’s new report, released today, argues that while the initiatives so far represent welcome progress, policymakers should go further. Climate change [...]
Reap what you sow: 19th century American populism and money reform
20 April, 2018Although it may feel like a distant memory in a time of Brexit and mass data harvesting, not too long ago big banks and those employed by them were, for a brief historical moment, probably the most publicly reviled group in Western society. The financial crisis of 2008 blew apart the notion that the system [...]
Are we finally getting a pay rise?
21 February, 2018The past decade has been a dismal period for workers in the UK. Real wages have been in decline for much of the period since the financial crisis, eroding living standards and squeezing households. Only a flirt with deflation between 2015 and 2016 eased the pressure; since 2016, due to inflation from a weaker pound, [...]
Latest wealth data shows disproportionate gains to the rich during era of QE
7 February, 2018Analysts will be watching the Bank of England closely this Thursday for any hints about its plans to raise interest rates. But despite rumours of further hikes, it’s worth remembering that we’re still living in an unprecedented era for monetary policy. Interest rates have been below 1% for nearly a decade, and quantitative easing has [...]
The end of easy money: what to watch out for at the Bank of England’s Super Thursday
6 February, 2018Global stock markets have tumbled in the last 24 hours, with the Dow Jones seeing its sharpest fall for six years. European markets aren’t far behind; the FTSE 100 has slipped to its lowest level in over nine months. Investors are nervous that loose monetary policy has pumped up asset prices. As central banks remove [...]