Monday, 11 December 2017

Labour may move Bank of England's headquarters to Birmingham

Parts of the Bank of England could be moved out of its historic base in London and relocated to Birmingham under Labour if it wins the next General Election.
The radical move would be designed to strengthen other regions, which have been described in a report commissioned by shadow chancellor John McDonnell as "underweighted in policy decisions".
Other Labour proposals include establishing a new National Investment Bank and Strategic Investment Board in Birmingham, which is Britain's second-biggest city.

Offices could also be set up in Glasgow, Cardiff and Belfast - with two smaller regional ones in Newcastle and Plymouth - as part of a shake-up to push investment into other parts of the UK.

The Bank of England is still known by the nickname The Old Lady of Threadneedle Street, and it has been based in the City of London since 1734.

Graham Turner of GFC Economics, who provided the report, warned more needs to be done to deal with geographic inequality.

He said: "Flow of funds analysis shows that banks are diverting resources away from industries vital to the future of this country.

"There is a risk that the disproportionate number of technology companies in London and the South East will increase, exacerbating regional inequality."

SKY      News.