Marketwatch: Are these the worst-run campaigns ever?

How extraordinary that Tesco can lose £6bn and still be formidable while Greece needs roughly that amount to avoid bankruptcy

Andrew-Montlake-700.jpg

Things are getting complicated in the wider economy, especially now that the Greece situation has reared its head again, with reports saying bankruptcy really is just around the corner.

As the BBC’s Robert Peston pointed out, it is extraordinary that Tesco can lose £6bn and still be formidable while Greece needs roughly that sum to stay afloat. 

Election-wise, does anyone else think these are the worst-run campaigns ever? It seems like both main parties are trying their best to lose, rather than doing much constructive to win. The biggest light for Labour is the ‘Milifandom’ on social media, with young teenagers determined to improve Ed’s image, and signs that this is starting to have some effect.

On the other side, Dave continues to duck debates, which could be risky. Although some economic news is still on his side, retail sales fell by 0.5 per cent between February and March, when 0.4 per cent growth was expected. They also put borrowing at £87.3bn, down £11.1bn on the same period in the financial year ending 2014.

Meanwhile, there was good news as the CML reported mortgage lending rose year-on-year for the first time in five months, up by around 7 per cent. March was up around 21 per cent on February, although overall the quarter was down 3 per cent on Q1 2014. This shows there is much more work still to do and drives home the fact that low rates are not everything.

Also, an interesting study by Emoov said babies born at this time will pay around £3.4m for their first home if current trends continue.

In the markets, three-month Libor is still at 0.57 per cent while swap rates have swelled slightly.

2-year money is up 0.07 at 0.98%

3-year money is up 0.09 at 1.17% 

5-year money is up 0.12 at 1.45%

10-year money is up 0.13 at 1.79%

The biggest news for mortgage rates was HSBC breaking the 2 per cent barrier for a five-year fix at an incredible 1.99 per cent. Available up to 60 per cent LTV and with a fee of £1,499, it is a watershed moment. The product is still just for the A1 client but it will be interesting to see if any other lender joins HSBC.

Barclays is releasing a fee-free two-year fix at 1.85 per cent up to 60 per cent LTV and reducing 70 per cent and 75 per cent five-year fixes to 2.59 per cent and 2.69 per cent respectively. Both have fees of £999.

Virgin Money has three-year fixes from 1.99 per cent to 65 per cent LTV with a £995 fee, while its five-year intermediary-exclusive fix is at 2.34 per cent with a £1,495 fee.

Coventry has made some cuts and has a two-year fix at 1.69 per cent and a five-year fix at just 2.29 per cent. Both are available to 65 per cent LTV with a £999 fee.

Finally, Peter Curran is leaving Lloyds to join Countrywide. This is a fantastic appointment and it is great to welcome people of such high calibre to the mortgage intermediary sector.

Data
Heroes

Recommended

Wonga

Wonga reports £37m loss, driven by ‘significant reduction’ in lending

Controversial payday lender Wonga has reported a pre-tax loss of £37.3m for 2014 after taking a £35m customer remediation hit following an intervention by the FCA. The firm’s full-year results for the 12 months to 31 December 2014, published last week, reveal revenues plummeted by 31 per cent year-on-year, from £314.7m to £217.2m, driven by […]

Aaron-Strutt-700.jpg

Analysis: Return of 100% deals must be close

Banks and building societies have really stepped up to the mark by increasing efforts to provide more low deposit mortgages. Lenders are offering rates cheaper than most of us could ever have imagined and loan-to-values are much more attractive.  It was not long ago lenders were concentrating on borrowers with big deposits but things have […]

Altmann-Ros-2010-700x450.jpg

Tories plan help for older borrowers

The Government will appoint a minister to stop lenders unfairly discriminating against older borrowers if it wins the general election. Ros Altmann, the Government’s older workers’ champion, will be made a peer and appointed as a minister responsible for financial consumer protection and education if the Conservatives are in government after the election. Part of […]

Bank-of-England-BoE-Clock-700x450.jpg

MPC acknowledges ‘uncertainty’ over future course of base rate

The Bank of England’s Monetary Policy Committee has admitted it is “uncertain” over the path that base rate will follow during the next few years. The minutes from this month’s rate-setting meeting reveal that all nine committee members voted to keep base rate at 0.5 per cent and all agreed it was “more likely than […]

Can you put a hat on?

By Sarah Scott, marketing consultant You might think the question in the title is a strange one. Perhaps even more so when you learn that it’s one of several asked as part of an assessment for Employment Support Allowance eligibility in the opening scenes of the 2016 film, ‘I, Daniel Blake’. Daniel is a carpenter […]

Newsletter

News and expert analysis straight to your inbox

Sign up