EU plant exporters turning backs on UK over ‘painful’ border checks, says trade group

Trading relationships at ‘breaking point’ because of delays and costs, garden centres and nurseries warn

Exporters of plants and flowers from mainland Europe are turning their backs on supplying Britain as “painful” new Brexit border checks are putting some trading relationships at “breaking point”, garden centres and nurseries have warned.

The Horticultural Trades Association (HTA), which represents garden retailers and growers, said long-held links between British nurseries and EU suppliers were now being put under strain because of the delays and costs associated with the new border processes.

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China unleashes boldest stimulus in years to boost ailing economy

The People’s Bank of China announces a host of policy support measures but some experts fear they may not be enough

China’s central bank unveiled its strongest suite of economic stimulus measures since the start of the Covid pandemic, underlining the difficulty it faces in reviving an economy grappling with a prolonged property crisis and strong deflationary pressures.

Governor Pan Gongsheng said the People’s Bank of China will cut the amount of cash that banks must hold as reserves – known as reserve requirement ratios (RRR) – by 50 basis points. The People’s Bank of China will also cut a key policy rate by 0.2 percentage points to 1.5%.

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Cutting winter fuel payments ‘right decision’, says Reeves, as No 10 says no change to council tax discount for single people – Labour conference live

Chancellor says £22bn gap in current spending budget and state pension rise meant she had to make decision on means-testing fuel payments

In interview this morning Rachel Reeves, the chancellor, defended her own decision to accept clothing donations worth £7,500 when she was in opposition.

Speaking on the Today programme, she said:

I can understand why people find it a little bit odd that politicians get support for things like buying clothes.

Now, when I was an opposition MP, when I was shadow chancellor of the exchequer, a friend of mine who I’ve known for years [Juliet Rosenfeld] – she’s a good personal friend – wanted to support me as shadow chancellor and the way she wanted to support me was to finance my office to be able to buy clothes for the campaign trail and for big events and speeches that I made as shadow chancellor.

It’s never something that I planned to do as a government minister, but it did help me in opposition.

It’s rightly the case that we don’t ask taxpayers to fund the bulk of the campaigning work and the research work that politicians do, but that does require, then, donations – from small donations, from party members and supporters, from larger contributions, from people who have been very successful in life and want to give something back.

We appreciate that support. It’s part of the reason why we are in government today, because we were able to do that research work, and we were able to do that campaigning.

Unite and the Communication Workers Union (CWU) have put forward motions which were due to be debated on Monday afternoon, with strong support expected from other unions.

Sources said unions were told late on Sunday that the debate is being moved to Wednesday morning.

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Peter Jay, journalist and diplomat, dies aged 87

Tributes paid to one of the UK’s foremost economics commentators who was also ambassador to Washington

Peter Jay, the former BBC economics journalist and diplomat, has died at the age of 87, his family has announced.

Colleagues in the political and media world paid tributes after he died “peacefully at home” on Sunday. Jay was one of the country’s foremost economics commentators of his time, spending time as the economics editor for the BBC and the Times.

Additional reporting by PA Media

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Health and productivity losses from obesity ‘far outstrip weight-loss jab costs’

Exclusive: £100bn-a-year cost of obesity to UK makes clear economic case for use of drugs such as Ozempic, says report

Spiralling healthcare costs and productivity losses from the global obesity crisis far outstrip the cost of new weight-loss drugs, according to a report, which also calls on governments to prioritise prevention by promoting a healthy diet and exercise.

In the UK, Germany and the Netherlands, there is a clear economic case for these medications, the report says, as the annual cost of the diabetes drug Ozempic is lower than the cost of additional healthcare needed by people with obesity. The cost of the weight-loss injection Wegovy is higher, but still dwarfed by the overall economic cost to society of obesity, according to the research by ING Bank, shared with the Guardian.

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Bank of England keeps interest rates unchanged at 5%

Policymakers vote 8-1 against back-to-back cuts in borrowing costs after inflation stayed above Bank target

The Bank of England has kept interest rates unchanged at 5% as it put its efforts to ease the pressure on household budgets on hold.

The Bank’s monetary policy committee (MPC) voted by a majority of eight to one against launching a back-to-back reduction in borrowing costs amid concerns over lingering inflationary pressures.

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The great divide: are office workers more productive than those at home?

Amazon has told staff they must return five days a week – but experts don’t all agree that flexible working cuts output

Four years ago when the world of work was upended by the Covid pandemic, confident predictions were made that a permanent shift in remote working would follow the removal of lockdown restrictions.

Much has clearly changed since. Some of the earliest preachers of the brave new teleworking world – including the US tech companies Google and Microsoft – are among the most vocal to repent.

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IMF postpones Russia visit after heavy criticism across Europe

Trip to Moscow to review economy delayed indefinitely after protests it would ‘normalise relations with aggressor’

The International Monetary Fund (IMF) has indefinitely postponed a staff mission to Moscow this week to review the Russian economy for the first time since the invasion of Ukraine, after the move came under heavy criticism from several of Kyiv’s European allies.

After revelations in the Guardian of widespread condemnation, the IMF said it would spend more time gathering information for a “rigorous analysis”.

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UK inflation stays at 2.2% as lower petrol prices offset by higher air fares

Annual rate in August unchanged, and hovering above Bank of England’s 2% target

The UK’s annual inflation rate rose by 2.2% in August, matching the increase in July, as lower petrol prices at the pump were offset by higher air fares.

Figures from the Office for National Statistics (ONS) show the government’s preferred measure of the cost of living remained steady, matching forecasts by City economists and hovering just above the Bank of England’s 2% target.

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IMF plan to visit Russia to assess economy prompts dismay across Europe

Protest letter sent to fund’s head over move to send staff to Moscow for first review since invasion of Ukraine

The International Monetary Fund (IMF) will send staff to Moscow next week to review the Russian economy for the first time since the invasion of Ukraine, in a move that has prompted anger and dismay across European capitals.

Officials of the Washington-based organisation will travel to the Russian capital and meet “stakeholders” before publishing an assessment of the economy and providing recommendations about how the Kremlin might improve its economic handling and tackle issues such as the climate crisis.

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UK economy unexpectedly flatlines for second month in row

Pre-election slowdown continues in July despite economists predicting growth of 0.2%

The anticipated post-election bounceback in the UK economy failed to materialise as activity flatlined in July for a second month, , according to the latest official data.

The Office for National Statistics (ONS) said the pre-election stalling of activity in June was followed by another month in which gross domestic product remained unchanged.

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UK debt must be steered off unsustainable course, warns Lords committee

Peers said they were raising a ‘big red flag’ and tough choices will be needed

The pressing risk of the national debt becoming unsustainable will force Britain into the unenviable choice of paying higher taxes or the state doing less, a House of Lords committee has warned.

A report by peers said tough decisions and a new set of rules for the public finances were needed in order to put debt – currently just under 100% of annual national income – on a decisive downward path.

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Mario Draghi warns EU at risk without ‘new industrial strategy’ and €800bn a year investment boost – business live

‘For the first time since the cold war we must genuinely fear for our self-preservation,’ warns former ECB chief as he presents new report on European competitiveness

We also have worrying signs that the US jobs market is cooling.

The latest UK Report on Jobs from KPMG and REC shows that the UK labour market softened in August, with vacancies falling for both permanent and temporary staff.

“Recent Government warnings that the UK’s economy may weaken further before improving add to the overall sense of uncertainty, affecting recruitment plans. Firms holding back from hiring led to a sharp contraction in the number of people placed into permanent roles in August amid continued decline in demand, extending the downturn in the UK’s labour market.

“The news that while salaries rose last month it was at the weakest rate since March could help make the case for more rate cuts when the [Bank of England’s] Monetary Policy Committee meets to decide the future path of interest rates.

This reflects ongoing concerns in the job market, including falling job vacancies and more people claiming unemployment-related benefits, which reached its highest level since December 2021 according to the Office for National Statistics.

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More than a million British workers not having a single day of paid time off, says TUC

Employees have lost out on holiday pay worth £2bn, according to new trade union research

Workers across Britain have lost out on holiday pay worth £2bn, with more than a million people going without a single day of paid time off, according to new research.

With unions gathering in Brighton this weekend for the first TUC conference under a Labour administration for 15 years, the body revealed new research showing the extent to which workers are being denied holiday pay. Workers are entitled to 28 days paid leave for a typical five-day week.

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The final Grenfell inquiry report and what it means for families – Politics Weekly UK

The 2017 Grenfell Tower fire in London was the result of ‘decades of failure’ by central government, the public inquiry into the catastrophe has found. The Guardian’s John Harris looks at the findings of the report with the social affairs leader writer Susanna Rustin. And, as Labour continues to warn ‘things will get worse before they get better’, we are joined by the economists James Meadway and Ann Pettifor to discuss whether a painful period of austerity-lite is the only way through the storm

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London workers slower to return to office than New York or Paris, study says

Office attendance in UK capital similar to levels in Toronto and Sydney, thinktank finds

Workers in London have been slower to return to the office than those in other global cities such as Paris and New York, a report has found.

London was near the bottom of the pack, with office attendance similar to levels in Toronto and Sydney, according to research by the Centre for Cities thinktank, which surveyed employees and employers in six big cities.

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Labour hopes to deepen economic ties with Europe outside EU’s structures

Finding new trade arrangements to boost growth will be hard given party has ruled out rejoining single market and customs union

Before a whistlestop European tour to Berlin and Paris, Keir Starmer promised to mend “the broken relationships left behind by the previous government” and drive forward UK economic growth.

Changing the tone with European leaders is the easy bit. Changing the substance – especially finding new arrangements to boost growth – is a much taller order.

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Keir Starmer takes a political gamble with message of bad news

Past Labour PMs – Blair, Wilson, Attlee – have tended to arrive in power accentuating the positive

Sir Keir Starmer could perhaps have timed it better. On the day that Oasis, the band that symbolised the mood of sunny optimism that swept Tony Blair to power in 1997, announced their reunion, the prime minister’s message to the nation was that things would get worse before they got better.

Politically, it is quite a gamble. There haven’t been all that many Labour governments in the past 125 years, but they have tended to arrive in power accentuating the positive. That was true of Blair in 1997 and true of Harold Wilson in 1964.

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Government to seek global trade deals for UK at expense of formal EU re-entry

Business secretary Jonathan Reynolds says joining Asia-Pacific CPTPP bloc is a ‘real win’ for exporters, even though it will preclude the UK from EU membership

The business and trade secretary, Jonathan Reynolds, has signalled a new twin-track approach to UK trade policy, in which the Labour government will pursue closer ties with the European Union while at the same time seeking new global partnerships further afield.

Writing for the Observer online, Reynolds welcomes the UK’s imminent entry into the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as a “real win” for British exporters.

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Paris Olympics gives eurozone economic boost after rise in spending

French service sector drives growth but experts warn strong figures mask disappointing performance elsewhere

The Paris Olympics have provided a boost to the eurozone economy after a sharp rise in spending as athletes and spectators descended on the French capital for the summer sporting event.

Figures from a closely watched survey of businesses showed monthly French private sector output rose to its highest level in 17 months in August.

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