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Transmission
After several years in Big Apple, I knew that my return to London would be a cultural shock.
Instead of Times Square with clouds and prior lights, I was wandering around Piccadilia and Victorian buildings; Dunkin Donuts will be replaced by each major intersection by GregGs in the street corners, and I will order a sausage roll instead of bread for lunch.
But besides trivial switching, I was in a greater shock than I thought-on the Economic Front.
First, the cost of living, from rent and facilities to public transport, increased significantly.
The return train ticket from London to my family home in Norwich is now more than 30 % – costing 72 pounds, compared to 54 pounds, which was costing me 8 years ago.
It may not be such a shock. After all, the United States has seen significantly less inflation than the United Kingdom in recent years.
Recently, prices have risen in the United Kingdom 3.6 % in the year to June 2025Compared to a 2.7 % increase in the United States The Bank of England is now 4 % peak in September, due to its 2 % goal by mid -2017.
When I moved to New York, that was a year and a half after the referendum of Britain’s exit from the European Union. All these years later, and Britain’s exit from the European Union continues to control discussions.
In talks with CEOs and business leaders, I hear how Britain’s exit from the European Union still stands on the strings of recession, especially through commercial barriers, increasing border costs and reducing productivity compared to survival in the European Union.
The horizon of the financial district in London.
Lyon Neil Getty Images News | Gety pictures
Regarding equally, London’s reputation as a global financial center is pioneering, increasingly questioning, because it is struggling to compete with the likes of New York, Hong Kong and Frankfurt.
Meanwhile, the collection of donations has declined from the initial public offers in London The lowest level in at least 30 yearsAccording to Dealogic data, in the sign that the UK stock markets lose their attractiveness.
England Bank Governor Andrew Billy Tell me last week The uncertainty in the country’s business is still very high, after I asked him about the effectiveness of interest rates by the central bank.
“There is a higher level of uncertainty, given that many investment decisions are irreversible as soon as we take them, the waiting value is rising, and this is what happens,” he said.
There has been another hot topic in London in recent months Changes on the so -called non -periodic tax rules For wealthy foreigners.
Real estate market in London I was particularly affected by the uncertainty, according to the Property Rightmove website, which indicated confusion about the rules as one reason behind the decrease in demand from buyers – local and foreign – in the housing market in the capital, with low home prices.
Reviving London as a financial center
Despite the challenges and setbacks, do not waste everything. Business leaders told me that there is still hope and opportunity for London.
While there are bullish risks to inflation, the Bank of England Reducing interest rates this month. The bank’s monetary policy committee has been martyred by applying to inflation in basic domestic prices over the past two years, as the basic consumer price index and services inflation remain constant, while highlighting a decrease in wage growth.
Low interest rates can help stimulate consumption and investment, as well as help in returning the real estate market to the right track. Real estate mortgages may eventually allow reasonable prices for further parity between buyers and sellers in the second half of the year.
When Britain comes from the European Union, business investment in the United Kingdom stopped after voting to leave the bloc in 2016. However, there were some signs of recovery, focusing on specific sectors such as technology and pharmaceutical preparations. The UK seeks to obtain new trade deals outside the European Union, including with Australiaand New Zealand and India – Of course, US.
In fact, Britain’s commercial deal with President Donald Trump – although he is worse than his first term is better than the European Union agreement with the United States
Legal accountants and business consultants in Londuk Fine indicated that the feature of the large tariff in the United Kingdom can benefit the country as a center for the manufacture of European Union companies, and its vision is transferred to the United Kingdom
However, when it comes to rebuilding London’s reputation as a power force, there is more work to do.
Decally, policy makers will require creating an environment that leads to business.
In my last conversation with Anthony Jenkins, the former CEO of Barclays, highlighted the need to pay the capital to startups and reduce the cost of doing business.
It was positive in the reforms made to encourage more investment in the private sector, and is interested in targeting tax credit for research and development towards high growth companies. But ultimately, Jenkins says there should be a greater focus on growth policies to increase the GDP of the individual and attract entrepreneurship talents.
He said: “Let’s face it, there are many attractive things about the UK we have market leadership around the world in things such as financial services, technology, impoverished organization, creative industries and the United Kingdom is a great place to live in, so we have all this power.”
“What we need to do is to increase the other things that will make this place more attractive to work.”
– Retica Gobta
You choose the top TV on CNBC
Andrew Billy, the governor of the Bank of England, is discussing a reduction in the central bank interest rates, inflation and uncertainty surrounding future decisions on monetary policy.

CNBC Ritika takes a look at the housing market in the capital.

Jess Carter of Black England and Gotham FC Tania Brayer from CNBC that social platforms “need to do better” to protect people online.
Holly Eliaat
You need to know
Elon Musk’s Tesla launches an offer to provide electricity to British families. The Texas -based company She submitted her request to obtain an electricity license To the British energy organizer offGem at the end of last month.
The government will not recognize this, but the tax height is coming – and there are no good options. British Prime Minister Kiir Starmer was asked about the suggestions The tax increase will be necessary in the fallBut he said that he “does not know” the numbers. However, he refused to exclude value -added tax, income tax and corporate tax.
The President of the Bank of England says that there is no crack with the UK government, as delaying the revolution’s license attracts scrutiny. Delegate the revolution as a completely licensed bank It has become an important issue for the UK government, especially since the main numbers in the technology industry have challenged tax changes that affect the wealthy.
Holly Eliaat
In the market
UK FTSE 100 It was a steadfast week, and has slipped by 0.1 % over the past seven days, ending on Tuesday at 9,147.81.
After a jump in July (when more than 4 % rose), the indicator appears to have risen in August – like many merchants – after uncertainty and the accompanying market turns around the Trump tariff system.
The Financial Stock Exchange Index performed 100 Securities during the past year.
sterlingAt the same time, it rose against the dollar during the past week. It was circulated by more than 0.6 % at $ 1.3517 late on Tuesday after job data in the United Kingdom – which showed cooling the job market in the United Kingdom, but a strong wage growth – and American inflation charactersWhich sent the dollar less.
The returns of government bonds in the United Kingdom also rose to the top, with 10 years of return About 4.626 % trading on Tuesday.
– Katrina Bishop
Upcoming
August 14: UK in the second quarter of GDP; The trade balance data for June; RICS house prices for the month of July
August 20: UK inflation data for July; The fragmentation price index for the month of July
Holly Eliaat
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