TWO THIRDS OF ENGLISH HOUSEBULIDNG FUND UNSPENT  

More than two thirds of the government’s £4.2 billion Housing Infrastructure Fund remains unspent, more than six years after its launch (Financial Times).  

Just 31 per cent of the fund has been spent to date, according to the Financial Times.  

The government confirmed that work has begun on less than one in ten of the promised homes, and that it has reduced its housing delivery target through the fund from 340,000 to 270,000.  

LENDERS CUT FIXED RATE MORTGAGE DEALS

Lenders started lowering mortgage rates in the early hours of the first working day of the new year, with further reductions expected (The Times). 

Mortgage broker Ranald Mitchell, of Charwin Private Clients, said the “unprecedented rate war is well underway” in 2024 and that “seismic moves” were to be expected compared to last year (The Telegraph). 

The Bank of England is expected to hold the Bank Rate steady at 5.25 per cent in its meeting next month, but markets are betting on a reduction in May. 

NEWS IN BRIEF

Higher borrowing costs and falling demand have led to 17 consecutive months of contraction in factories’ production (The Guardian). 

British company executives have urged the Bank of England to cut interest rates to encourage economic growth as confidence slips to a four-month low (Bloomberg).  

Almost one-quarter of UK Buy Now Pay Later users have been charged late repayment fees, according to the Centre for Financial Capability (Financial Times).  

The price of bitcoin has risen past $45,000, its highest price since April 2022 (Reuters).