RBA governor dismisses jobs fears but hints at rates hold after inflation uptick

The Reserve Bank governor has dismissed warnings of rising unemployment and hinted at an interest rate hold, saying the labour market will not “fall off a cliff”.Michele Bullock said the RBA had been surprised by September’s jump in joblessness and an uptick in inflation but emphasised job creation was slowing broadly as the RBA expected.“There are still jobs being created, just not as many,” Bullock said on Monday night.“We’d always thought [unemployment] would drift up a bit. Maybe it’s drifted up a bit further than we thought, but it’s not a huge amount yet

US debt set to soar above Italy and Greece after Trump’s ‘big, beautiful bill’

Donald Trump is on course to push US debt levels above those of Italy and Greece by the end of the decade after wide-ranging tax cuts and increased defence spending, according to International Monetary Fund (IMF) forecasts.Illustrating the rising debt levels in Washington and efforts made by Rome and Athens to bring spending under control after the 2008 financial crash and Covid-19 pandemic, the IMF predicts the US will see its debts climb from 125% to 143% of annual income by 2030, while Italy’s will flatline at about 137%.Greece is on track to cut the ratio of debt to gross domestic product (GDP) from 146% to 130% over the same period. According to IMF data, Athens has tackled a budget overspend that raced to 210% as a proportion of GDP in 2020.Amid tax cuts for high earners, the US is expected to run annual budget deficits of more than 7% over the next five years, while Italy is due to cut its spending shortfall this year to 2

Oil and gas firm Petrofac files for administration, putting thousands of jobs at risk

Petrofac, one of the biggest North Sea oil and gas contractors, has filed for administration, putting more than 2,000 jobs in Scotland at risk.The energy services provider said it had applied to the high court of England and Wales to appoint administrators, after it lost a major offshore wind project over its failure to meet contractual obligations.Petrofac, which employs about 7,300 people globally, said the administration plans – likely to be carried out by the business services firm Teneo – applied only to its ultimate holding company and that it would continue to trade during the process.Nevertheless, any uncertainty over the company’s continued viability could add to political pressure on the UK government, as it faces a backlash over plans to tackle the climate crisis by blocking new North Sea oil licences for exploration.Energy secretary Ed Miliband’s department said on Monday it was leading efforts across “all parts of government” to support Petrofac’s UK arm, which it employs about 2,000 people at its North Sea hub in Aberdeen

UK watchdog raises competition concerns over Greencore-Bakkavor deal

Greencore’s £1.2bn deal to buy Bakkavor is under the spotlight after the competition watchdog said the tie-up between Britain’s biggest sandwich maker and its rival could harm competition.Greencore struck a deal in April to buy its rival Bakkavor, which supplies pizzas, salads and other snacks to leading supermarkets such as Tesco, Marks & Spencer, Sainsbury’s, Waitrose and Asda.Together the companies said they would create a UK convenience food business with a combined revenue of £4bn.However, the Competition and Markets Authority (CMA) has said the deal could result in a “substantial lessening of competition” within the market for supermarket own-label chilled sauces

AI can help authors beat writer’s block, says Bloomsbury chief

Authors will come to rely on artificial intelligence to help them beat writer’s block, the boss of the book publisher Bloomsbury has said.Nigel Newton, the founder and chief executive of the publisher behind the Harry Potter series, said the technology could support almost all creative arts, although it would not fully replace prominent writers.“I think AI will probably help creativity, because it will enable the 8 billion people on the planet to get started on some creative area where they might have hesitated to take the first step,” he told the PA news agency.“AI gets them going and writes the first paragraph, or first chapter, and gets them back in the zone,” he said. “And it can do similar things with painting and music composition and with almost all of the creative arts

Supermarkets tell Reeves tax rises could push food prices higher

Food prices in the UK could climb even further if the chancellor raises taxes on supermarkets at the next budget, the industry has warned.Supermarket bosses, including those at Tesco, Asda, Sainsbury’s and Morrisons, have said in a letter to Rachel Reeves that households would “inevitably feel the impact” of potential tax rises on the sector.“If the industry faces higher taxes in the coming budget – such as being included in the new surtax on business rates – our ability to deliver value for our customers will become even more challenging, and it will be households who inevitably feel the impact,” they wrote in the joint letter.“Given the costs currently falling on the industry, including from the last budget, high food inflation is likely to persist into 2026. This is not something that we would want to see prolonged by any measure in the budget