Bleak news on the economy hits a few of the front pages after the Bank of England issued its forecast for the longest UK recession since the 1920s while at the same time raising the interest rate to 3%. The paper notes it is the highest level for 14 years after eight consecutive hikes.
The i says the UK is in “toxic shock” as it faces its longest recession. The paper reports that Chancellor Jeremy Hunt accused Liz Truss’s government of having had its head “stuck in the sand” over the scale of the crisis.
The Herald looks at the effect of the higher interest base rate on Scottish mortgages. It predicts that more than 200,000 homeowners will see their payments rise by an average of £1,700 a year on a £100,000 loan in the space of 10 months.
The recession is likely to last for two years, says The Times, with unemployment forecast to almost double. It claims the downturn risks shrinking the economy by 3%, based on interest rates rising further to more than 5%. It also says household disposable income is likely to plummet.
The 0.75% rise in the interest rate is the biggest hike in 33 years, reports The Scottish Daily Express. It says a recession has hit the UK sooner than officials expected, with the economy having entered a “challenging downturn” in the summer, rather than at the end of the year as previously expected.
The Daily Telegraph reports that Chancellor Jeremy Hunt and Prime Minister Rishi Sunak have agreed that those “with the broadest shoulders” should bear the bulk of measures taken to shore up public finances. Mr Hunt is said to be planning to raise capital gains tax on businesses in a bid to plug the government’s £50bn fiscal black hole. But some businesses raise concerns that it could undermine their ability to operate.
“We are skint” is the short but brutal headline in The Scottish Sun, after Deputy First Minister John Swinney warned Scots there was no money left in the budget for pay rises. He said he had “nowhere to go” as unions announced further rail strikes over Christmas.
The Scottish Daily Mail picks up on the new rail strike dates affecting ScotRail. RMT staff will walk out every Friday and Saturday from 19 November to 24 December. The paper says this will impact businesses, Christmas shopping and social gatherings.
The Metro calls it Christmas “rail pain”, saying the strikes will cause chaos over the festive season. The 2,000 Scottish RMT members are prepared to “significantly” escalate action as pay talks continue, the paper says. One of the strike dates is Christmas Eve.
A Celtic fan claims he was left needing staples and stitches to his head after he was attacked by Spanish police, reports the Daily Record. Dave Moir, 33, had travelled to the country to watch his team take on Real Madrid in the UEFA Champions League on Tuesday when his holiday turned into “a living nightmare”.
The National’s top story claims a fact-checking charity has found levelling-up secretary Michael Gove sent a “misleading” tweet about trade deals.
Looming strike action from Edinburgh Trams makes the front of the Edinburgh Evening News. The lead story says the company has “backtracked” on a sick pay review promise made in a pay deal that averted planned strikes during the fringe festival. More than 100 tram workers are set to strike on 17 November as the transport company insists it cannot afford extra sick pay.
More fallout and comment on the Halloween unrest in Dundee makes the front of the Evening Telegraph. Two 16-year-olds have appeared in court after the incident in Kirkton.
The Courier leads with criticism of a Perth shopkeeper who posted an anti-refugee rant on her husband’s Facebook page. Kairen Ruse related an incident at her shop to asylum seekers in a post which has been called “extremely dangerous” by anti-racist charity Perth Against Racism.
A family business tells the Glasgow Times about fears their 50-year-old car shop could fold unless the brakes are put on a redesign of one of Glasgow’s most iconic streets, Byres Road.
The P&J’s top story writes that a Green MSP has come under fire for claiming the dualling of the A96 would cause more crashes. Her rival has hit out, saying that the current state of the road makes it a “death trap”.
And the Evening Express leads with a former Aberdeen footballer who was found guilty of assaulting a fan.
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