Hot housing market needs to cool off before rates rise
Outlook "As one of the fastest growing economies in Europe we always listen to the Commission's recommendations with interest," was the response of a government source to a telling off from Europe over the economy.
In other words: yah-boo sucks to you, Brussels; keep your concerns about our housing market to yourselves. Just a day later the Markit/Cips services purchasing managers' index appeared to justify that stance. The economy's dominant sector is booming, with hiring at a 17-year high.
The Government might pooh-pooh Brussels's concerns, but the Bank of England isn't so blasé. It's already intervened once in an attempt to apply some coolant to the market, by forcing banks to take a much harder line when they assess clients' ability to repay their loans.
If that doesn't work, and I question whether it will, can an interest rate rise be far behind?
The bank is right to be cautious. It's also true that a scarily large number of people are still only just making their repayments, even now. Household budgets remain under pressure. The political consequences of a rate rise putting them under further strain could be severe (and watch out, Tesco).
But there are risks to not acting, and they're increasing. Economists still don't expect the Bank of England to raise interest rates until the middle of next year. At this rate they might just have to revise their forecasts.
It might just be the time for the hawks on the Monetary Policy Committee to show their talons.
Jo from Northern Ireland was less than impressed by Russell Brand's attempt to stage a publicity stunt
- 2 Harry Potter fans can apply to the Hogwarts-inspired College of Wizardry
- 3 Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
- 4 Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
- 5 Orange Wednesdays are no more
Weather bomb in pictures: Storms cuts power for tens of thousands – and snow is on the way
Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
Russell Brand was rendered speechless on Question Time by this man
Fury at Airbus after it hints the super-jumbo may be mothballed
Nigel Farage: Me vs Russell Brand on Question Time – he's got the chest hair but where are his ideas?
Shock poll shows voters believe Ukip is to the left of the Tories
Disgruntled RBS worker writes hilarious open letter to Russell Brand after anti-capitalist publicity stunt leaves him hungry
New era of cheap oil 'will destroy green revolution'
Ukip founder Alan Sked and Nigel Farage 'begged Enoch Powell to stand as a candidate'
Ukip candidate jokes about 'shooting peasants' in racist and homophobic rant
iJobs Money & Business
£40000 - £470000 per annum + bonus: Ashdown Group: Java Developer / J2EE Devel...
£45000 - £55000 per annum + Benefits: Ashdown Group: An exciting opportunity h...
$125 - $175 per annum: Carlton Senior Appointments: Senior Wealth Manager In...
$200 - $350 per annum: Carlton Senior Appointments: Managing Producer Office...