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A rather cloudy day across the central swathe of the UK with outbreaks of rain. Elsewhere, fog patches gradually lifting allowing some bright or sunny spells to develop, especially across Scotland and Northern Ireland. Temperatures near or slightly below average. Tonight: Band of patchy rain remaining slow-moving across central areas overnight. Increasingly cloudy to the south with some fog developing. Clear spells and a patchy frost developing across the north.
The release of three Israeli hostages in Gaza dominates the UK news today. Israeli-British citizen Emily Damari was among those released. She lost two fingers during her 15-month ordeal. The ceasefire will also see much-needed humanitarian aid to the Gaza Strip as well as the return of 90 Palestinian prisoners (mostly women and teenage boys).
The weekend’s Premier League action leads the social media trending stories for the UK as Manchester United and Spurs lose again and discussions of what keeps going wrong has begun amongst pundits and fans.
Markets are significantly underestimating the chance that the Bank of England will have to step up the pace of cutting interest rates, Goldman Sachs has argued.
Traders anticipate just two interest rate cuts this year with one more cut priced in for 2026, which would leave the benchmark Bank Rate at 4.0 per cent. It currently stands at 4.75 per cent.
Investors are concerned by signs of stubborn inflationary pressures in the UK economy, with many economists predicting that the headline rate will increase to over three per cent in the spring.
Figures out yesterday also showed that private sector pay growth hit 6.0 per cent in the three months to November, well ahead of expectations.
Bank of England: Goldman Sachs expects deep interest rate cuts
Monday’s front pages lead on the ceasefire between Hamas and Israel – as a prisoner-hostage swap deal takes place. Amongst the hostages released include a British-Israeli citizen who leads most of the paper’s images this morning.
Beyond the Middle East truce, the papers leave space to report on President-elect Donald Trump – who takes the oath of office today, Monday 20 January 2025. Several stories regarding the US president make the front pages, including reports about the prime minister racing to secure a deal with the new president.
Last night’s Premier League matches dominate the UK back pages – with Manchester United’s 3-2 loss to Brighton leading several after Man Utd boss Amorim labelled his squad the worst side in Manchester United’s 147-year history. Spurs also suffered a loss to Everton, putting pressure on boss Ange Postecoglou
The Times describes how British-Israeli hostage Emily Damari, alongside Doron Steinbrecher, 31, and Romi Gonen, 24, was handed over to Red Cross officials amidst a throng of television cameras. The paper says there is lingering uncertainty about the freed hostages’ health after their 15-month ordeal. Israeli health authorities have prepared for “all possibilities,” the paper says, noting that while the three appeared in relatively stable condition, they are scheduled to undergo at least four days of medical evaluation.
The Metro leads with the headline “Home at last,” recounting the “chaotic scenes” surrounding the trio’s release. The paper says Emily “was shot in the hand, injured by shrapnel in her leg, and saw her dog Choocha killed before she was blindfolded and bundled into a car that took her to Gaza.”
The Daily Mail quotes Emily’s mother, Mrs Damari, saying, “Thank you for bringing Emily home.” The paper notes Emily’s “defiant smile” upon being freed after 471 days in captivity.
The Daily Mirror also features Emily’s reunion with her mother Mandy, quoting Mrs Damari’s call to action: “Every hostage must be released.”
The Daily Express reports after 15 months of unimaginable torment, Emily Damari’s return home is a beacon of hope amid a sea of despair in the Middle East. Her mother’s tears of joy tell a story of love and resilience.
BRITISH hostage Emily Damari gave a defiant salute with a bullet-ravaged hand after running a terrifying gauntlet of hate as she was freed by Hamas, says The Sun.
The i highlights Trump’s claimed role in mediating the ceasefire between Israel and Hamas.
The Times captures the disappointment of supporters who travelled to witness the inauguration in person, only to find themselves unable to access the National Mall, with some expressing regret over not watching the event on television instead.
The Daily Telegraph reports on Sir Keir Starmer’s efforts to secure a trade deal with Trump, with the prime minister assembling a “mini-cabinet” to strategise an agreement. The paper says having the “architect” of the Chagos Islands deal in the PM’s new “mini-cabinet” could complicate efforts to “woo the new US president.”
Trump’s swearing-in, held indoors in Washington’s Rotunda due to freezing weather, is described as “a ceremony like no other” by the Daily Mail.
Donald Trump’s inaguaration, English football and the release of the hostages dominate the UK’s social media trending stories, with the weekend’s Premier League action being the most popular.
Elon Musk, CEO of Tesla and SpaceX, is under fire after making a gesture at a rally celebrating President Donald Trump’s return to office. Critics have likened the movement to
Colombia has declared a state of emergency and deployed 5,000 troops to combat left-wing guerrillas after violence claimed over 100 lives in just five days. The conflict spans three departments,
President Donald Trump signed an executive order to withdraw the US from the World Health Organization (WHO). This move revives his previous efforts to leave the global health agency, which
President Donald Trump has signed a series of executive orders focused on immigration reform, including declaring illegal immigration at the US-Mexico border a national emergency and targeting birthright citizenship.
Panama’s president firmly rejected Donald Trump’s claim to “take back” the Panama Canal, emphasising that the vital trade route “is and will remain” under Panama’s control.
On the eve of his inauguration, President-elect Donald Trump addressed supporters in Washington, pledging to stop what he called an “invasion” of immigrants at the southern border. He singled out
Faster UK growth tied to boosting export services in South East, data shows
FT.com Tweet
The majority of British business leaders are optimistic about growth potential, despite also being concerned about Trump’s US tariffs and the impact of trade wars on their organisation. Read the full story here 👇
CITY AM Tweet
Consumer confidence in the health of the UK economy slumped in January, pointing to further headwinds in the coming months.
A net -34 of respondents to the British Retail Consortium’s (BRC) latest sentiment monitor said that the economy would get worse over the next three months, down from -27 in December.
This put confidence in the health of the economy at its lowest level since the BRC started collecting data on the topic in March 2024.
The survey comes after a succession of disappointing data releases, which indicate that the economy slowed significantly in the second half of last year.
https://www.cityam.com/uk-economy-consumers-catch-january-blues-as-confidence-slumps/
The government’s tax hikes pose a “major threat” to the health of the labour market, a leading economist has warned, as markets prepare for the latest jobs market figures.
The labour market has been a key source of strength for the UK economy, with continued high employment helping to sustain strong levels of wage growth over the past couple of years.
Many forecasts for 2025 assume that the continued resilience of the labour market will ensure that economic growth accelerates compared to last year.
But economists are worried that measures announced in the government’s maiden Budget will threaten the health of the labour market.
https://www.cityam.com/rachel-reeves-tax-hikes-pose-major-threat-to-uk-labour-market-resilience/
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