Do more to boost growth, IMF tells Britain

LONDON (Reuters) - Britain's struggling economy needs the Bank of England to pump in more money and possibly cut record-low rates, while the government should back off its austerity program if things get worse, the International Monetary Fund said on Tuesday. The international lender said the government should step up efforts now to get credit flowing, raise infrastructure spending and, if the euro zone crisis escalates, consider temporary cuts to sales and payroll taxes. "Growth is too slow and unemployment, including youth unemployment, is too high. ...

IMF tells Britain: Do more to drive growth

LONDON (Reuters) - Britain must do more to bolster demand and the Bank of England should purchase more assets or even cut its main interest rate - already at a record low - to prevent years of sluggish growth, the International Monetary Fund said on Tuesday. Britain has not fully recovered from the slump caused by the 2007-2009 financial crisis, and the economy fell back into recession around the turn of the year. "Growth is too slow and unemployment, including youth unemployment, is too high," IMF Managing Director Christine Lagarde said at a news conference. ...

German opposition closing in on Merkel party: poll

BERLIN (Reuters) - Support for Germany's opposition Social Democrats (SPD) has jumped since their victory in a regional election, a poll showed, highlighting the increased domestic pressure on Chancellor Angela Merkel as she battles the euro zone crisis. The INSA survey, published by Bild newspaper on Tuesday, put the centre-left SPD on 32 percent, up three percentage points in just one week. Merkel's ruling Christian Democrats (CDU) were just ahead on 33 percent, down one percentage point. ...