The UK Britain faces a long recovery and growth will be small in 2010, but the Bank of England is still set to raise interest rates early in the coming year, according to the CBI (Confederation of British Industry).

The lobby group have predicted, in their latest quarterly economic forecast, that the Bank of England will start raising interest rates from the record low of 0.5% from next spring with an expected 2% to be reached by the end of the year.

Despite forecasting growth of just 0.3 percent in the first two quarters of 2010 the CBI believe that policy makers will be eager to return rates to a more normal level. (more…)

The holiday sales will start early this year including price cuts on Christmas day before the VAT rise.

However discounts are not set to be as generous as last year according to Don Williams, head of retail at accountancy firm BDO Stoy Hayward

The Debenhams were the first major high street chain to cut prices with a four day sale that began on Wednesday. Its campaign offers up to 25% off products and comes six weeks before the festive holiday.

Numerous retailers are expected to promote lower prices before the VAT increase. (more…)

Asking prices for homes in England and Wales rose on an annual basis for the first in more than a year in October, property Web site Rightmove said on Monday, buoyed by a dearth of properties coming onto the market.

October saw the first annual based rise in house prices in England and Wales for more than a year stated property based website Rightmove, this is a result of new properties coming on to the market. (more…)