Closing post
Time to recap:
The Bank of England has rolled out looser mortgage rules that policymakers hope will help 36,000 more first-time buyers on to the housing ladder each year.
New guidelines announced by the UK’s central bank mean that individual banks and building societies can offer more high loan-to-income (LTI) mortgages, which are equal to, or worth more than, 4.5 times a borrower’s annual earnings.
While high LTI loans are usually considered more risky, the Bank said most banks were not taking advantage of their individual caps, meaning there were fewer available to borrowers than hoped.
Sam Woods, the chief executive of the Bank’s regulatory arm, the Prudential Regulation Authority, said the changes should benefit tens of thousands of first-time buyers.
In its latest financial stability report, the Bank also warned that US tariffs will hurt global growth, while governor Andrew Bailey suggested the recent increase in UK borrowing costs was part of a wider rise in bond yields.
Nvidia has become the first company to ever hit $4 trillion in market value, solidifying its position as one of Wall Street’s most-favored stocks to tap in the ongoing surge in demand for artificial intelligence technologies.
The CEO of X, Elon Musk’s social network, has announced she would step down after two years in the role.
The maker of London’s black cabs has said it will cut 180 jobs at its factory in Coventry, blaming a declining UK market for taxis.
Copper prices hit a record high in the US after Donald Trump announced he would impose a 50% tariff on the industrial metal, in the latest escalation of his trade war.
Donald Trump has said there would be more trade-related announcements today… our US politics blog is tracking the latest developments:
London black cab maker cutting 180 jobs
The maker of London’s black cabs has said it will cut 180 jobs at its factory in Coventry, blaming a declining UK market for taxis.
The London EV Company, owned by Chinese car conglomerate Geely, said that the number of cabbies is falling across the capital and the rest of the UK, denting demand for its hybrid electric cars, which combine a battery with a smaller petrol engine.
London’s black cabs are tightly regulated by Transport for London, with requirements such as a turning circle tight enough for the small roundabout outside the Savoy hotel.
Since 2018 only “zero-emissions capable” vehicles have been eligible for first-time licences. However, that market has been largely satisfied, with over 60% of the capital’s taxi fleet made up of electrified LEVC TX models, with around 9,000 operating within the city.
LEVC’s efforts to sell more cabs outside of London, and to sell van versions of the car, have not resulted in a large pick-up in sales, in part because of stiff competition.
Some people close to Geely have suggested the company, which also owns the struggling Lotus sportscar brand in the UK, might consider basing a new pure electric taxi on vehicles made in China, with final assembly carried out in the UK.
Government statistics show that the number of taxi-only driver licences fell by 7% in 2024 compared with a year earlier. At the same time, the number of private hire vehicle drivers jumped by 14%. LEVC’s vehicles do not tend to be used by many private hire vehicle drivers, such as those who drive for taxi apps Uber and Bolt, and who are thought to make up a large proportion of the overall increase in drivers.
Alex Nan, LEVC’s chief executive, said:
With the UK taxi market continuing to experience significant challenges, LEVC has reluctantly made the decision to reduce its TX manufacturing output, resulting in a round of compulsory redundancies. LEVC will of course provide full support for its customers as normal and there is no impact on the sales or aftersales of new or used TX.
LEVC firmly believes in the future of the UK taxi industry and we remain committed to our vision of being a leading provider of green mobility solutions. Despite the temporary challenges the taxi sector is facing, we are dedicated to safeguarding the iconic London black cab and are actively discussing with regulators the requirements to support the development of an all-new TX.
