5 Things You Need To Know (5/7/17)
Please note this blog post was published over 12 months ago and so may not include the most up-to-date information, for example where regulation around investing has changed.
Welcome to our daily update, where we summarise the key talking points from the last 24 hours.
1. Student debts
The average debts for students graduating in the UK are set to be £50,800, the Institute for Fiscal Studies has said. Interest rates on student loans have risen to 6.1%, and poorer students now face debts of over £57,000.
The think-tank explains that three quarters of students will never pay off their student loans, with loans that are not repaid after thirty years being written off.
Theresa May and Jeremy Corbyn have clashed in a heated Prime Minister’s Questions session, with Mrs May claiming that the UK must live within its means, while Mr Corbyn said we are amid a low pay epidemic.
The issue of the public sector pay cap continues to dominate the agenda, with Corbyn claiming that the 1% pay cap is exploiting public servants. The Prime Minister has indicated she is looking at the issue “very carefully.”
3. Trump criticizes China
President Donald Trump has used Twitter to lash out China, criticizing them for increasing trade with North Korea.
“Trade between China and North Korea grew almost 40% in the first quarter. So much for China working with us – but we had to give it a try!” he said.
News of the growing trade comes at a time when North Korea is increasing its testing of missiles in an aggressive manner. Trump has repeatedly called on China to help with the growing threat in the Korean peninsula.
4. Shop deflation
The four year trend of deflation in UK shops is nearing an end, with prices in shops 0.3% lower in June than in the same month last year. The fall in the pound’s value, alongside higher commodity prices, has made items more expensive.
5. Saudi Arabia linked to UK extremism
Saudi Arabia is the main promoter of Islamist extremism in the UK, the Henry Jackson Society has stated in a new report. The foreign affairs think tank believes there is the need for a public inquiry into Saudi Arabia and other gulf nations.