Bank of England endorses New Normal

Chemical companies, Currencies, Economic growth, Financial Events

BoE.pngThe Bank of England has become the first major central bank to endorse the argument that we are moving towards a ‘New Normal’.

In an important speech this week, its Governor Mervyn King, set out the argument that we can look forward to:

a SOBER decade – a decade of Savings, Orderly Budgets, and Equitable Rebalancing“.

And he contrasted this with the recent past:

the Non-Inflationary Consistently Expansionary – or ‘NICE’ – decade from the early 1990s to the early 2000s“.

This is very much in line with the arguments put forward in the blog’s White Papers on ‘Budgeting for a New Normal’ this year.

A similar message has come today from the USA, where Treasury Secretary Tim Geithner, told the Wall Street Journal that “The rest of the world wants us to save more–and that means less U.S. demand for the rest of the world. Demand is going have to come from other sources.”

This transition to the New Normal is not going to be easy. Chemical companies now preparing their Budgets for 2011, should expect plenty of bumps in the road.


EU auto sales down 10% in September


EU auto sales were better in September than in either July or August. But ‘...

Learn more

Budgeting for Uncertainty


When elephants fight, those around them need to be cautious. And this is the pro...

Learn more
More posts
225 years ago today. The first ever vaccination – against smallpox, the great killer of the time

The pandemic has reminded us of the critical role played by vaccination in our lives. Its impact beg...

Supply chains set to transform as companies start to reshore

Major new opportunities are starting to appear in today’s New Normal world, as I describe in a...

Pandemic leads to ‘baby bust’ as births decline in most countries

A year ago, many were suggesting the lockdowns might produce a “baby boom” as couples sp...

Smallpox was the first vaccination to change the world – now we have a new opportunity to improve our lives

Chart 1: Increased life expectancy led to a dramatic increase in GDP/capita The pandemic has reminde...

COP 26 set to accelerate development of the 15-minute city

One of the good things to happen in the pandemic over the past year is that ‘cooking has becom...

China’s dual circulation policy aims to reduce debt reliance

Every now and then, people wake up to the fact that debt is only good news when it adds to growth. O...

UK set to take hard line on EU trade under David Frost

The Brexit debate has always been about politics, not economics.  So it was no surprise that Decemb...

EU focuses on a sustainable and circular plastics system

“The challenges posed by plastics are to a large extent due to the fact that our production and co...


Market Intelligence

ICIS provides market intelligence that help businesses in the energy, petrochemical and fertilizer industries.

Learn more


Across the globe, ICIS consultants provide detailed analysis and forecasting for the petrochemical, energy and fertilizer markets.

Learn more

Specialist Services

Find out more about how our specialist consulting services, events, conferences and training courses can help your teams.

Learn more

ICIS Insight

From our news service to our thought-leadership content, ICIS experts bring you the latest news and insight, when you need it.

Learn more