Business

Russia’s economy may take a decade to recover from the crushing sanctions placed on the country following its invasion of Ukraine in February 2022, according to one of Russia’s top businessmen. Returning to pre-sanctions levels could take nearly 10 years as the country remains cut off from half of its trade, said German Gref, the

The UK’s central bank will need to remain flexible on interest rates as inflation spikes but the country’s economy slows, according to a senior official at the bank.. “The statement that we put out collectively is one that I think had a certain level of flexibility because it had to encompass those different views,” Bank

The Government is trying to do everything it can to tackle the cost of living “storm” but cannot solve every problem or save every business, a business minister has told Sky News. Paul Scully played down the immediate likelihood of tax cuts to help struggling households as he stressed the “tight” public finances and burgeoning

A British finance app aimed at Gen-Z consumers has hit a $500m valuation despite the turbulent backdrop which has afflicted technology companies since Russia’s invasion of Ukraine three months ago. Sky News has learnt that Cleo, which was founded by Barney Hussey-Yeo in 2016, has raised $80m in new capital from investors including Sofina, a

The US central bank has increased interest rates by 0.75% to combat inflation – the sharpest hike in 28 years. The Federal Reserve signalled more rate rises to come and projected a slowing economy in the months ahead, along with rising unemployment. The bank raised its benchmark rate to a range of 1.5% to 1.75%,

More than two million households face increased mortgage payments following the latest Bank of England interest rate rise, which experts say could create more “mortgage prisoners”. The Bank rate rose from 1% to 1.25% in a bid to tackle rising inflation. Borrowers who have variable mortgage rates – those that move in line with the

The boss of Royal Mail has told Sky News it is keeping prices “under review” as costs surge across the business and that unions threatening strikes must understand the “changes that are required so we can compete in the market”. Simon Thompson was speaking as the company faces challenges to its modernisation plans across its

The pound has fallen to its lowest level against the dollar since the onset of the pandemic, fuelled by concerns about the economy and the prospect of a second Scottish independence referendum. Scotland’s First Minister Nicola Sturgeon said earlier that her government had an “indisputable mandate” for another vote and was ready to set out

A consumer rights expert has hit out at the aviation regulator while accusing airlines of presiding over a ‘blatant flouting of consumer rights’ following the recent flight chaos. Sue Davies, head of consumer rights at consumer group Which?, told the Business, Energy and Industrial Strategy Committee (BEIS) committee of MPs there were serious, historic, failures

The European Commission has warned it will take “proportionate action” to secure the legal implementation of the Northern Ireland Protocol after the UK government published legislation which will override the mechanism. The commission’s vice president Maros Sefcovic said the EU viewed the UK’s actions with “significant concern” and that it would consider what steps to

The UK economy contracted by 0.3% in April, according to official figures released as the CBI, Britain’s biggest employers’ group, demanded “vital actions” from the government to prevent an inflation-driven recession. The Office for National Statistics (ONS) had been expected by economists to confirm a slight rise in gross domestic product (GDP) for the month

The chair of Landsec, the FTSE-100 commercial property group, is on a shortlist of contenders to take the helm at the Royal Opera House, one of Britain’s most important cultural sector jobs. Sky News has learnt that Cressida Hogg, who is preparing to step down from the Landsec post, is among a small number of

The government has ordered an “urgent” review by the competition regulator into the fuel market after pump prices hit new record highs. Business Secretary Kwasi Kwarteng said in a letter to the Competition and Markets Authority (CMA) that there was “widespread concern” about the pace of price rises and public frustration that a cut in

One of the candidates snubbed in the recent race to chair Ofcom, the media regulator, is being considered to oversee a government-commissioned review of the BBC’s future funding. Sky News has learnt that Lord Gilbert of Panteg, the former chair of the House of Lords communications and digital committee, is among a list of names

Lenders to Matalan, one of Britain’s biggest budget retailers, are preparing for crunch talks about the chain’s future financing against a backdrop of soaring inflation and deepening economic gloom. Sky News has learnt that Matalan’s senior bondholders are lining up Perella Weinberg Partners to advise them on their options with a £350m repayment due to

More than half of UK households have cut down on their energy usage as a result of the cost of living crisis, new data suggests. A survey carried out by the Office for National Statistics (ONS) revealed that 52% of Britons are using less gas and electricity in a bid to cut down costs. The

The boss of Wizz Air is facing a backlash from unions, including pilots’ representatives, after he urged fatigued staff to go the “extra mile” as the industry battles flight cancellations caused by staff shortages. Jozsef Varadi made his remarks to workers after the company warned of fare increases ahead following the publication of financial results

The owner of discount retailer Poundland has warned that its UK shoppers appear to be suffering most as the cost of living crisis gathers pace, with spending on essentials even taking a knock. Pepco Group, which also has the European discount brands PEPCO and Dealz in its stable, blamed UK wage growth sagging below the

The £100 tank of unleaded petrol is another milestone on the relentless upward path of fuel prices. Watching the price click in to three figures for the first time will draw the breath of anyone filling the 55-litre tank of a family saloon. But whichever way you count it, prices have been kicking consumers in

UK economic growth will “grind to a halt” this year before briefly falling into negative territory, according to the British Chambers of Commerce. The business group downgraded its 2022 growth forecast from 3.6% to 3.5%, and said inflation would reach 10% in the last quarter – far higher than average wage rises. Investment growth expectations