Essay on Credit Crunch Impact in Bank of England

Words: 3801
Pages: 16

3. Using one specific multinational enterprise with which you are familiar, examine the ways in which ‘credit crunch’ has impacted its operations. Evaluate the strategic responses it has made, and might make going forward, to respond to the impacts of the credit crunch on its operations. Introduction; This work will focus on the broader economic impact of the crisis in credit markets, which began over three years ago with the downturn in United States (US) sub-prime housing market. While the epicenter has remained in the US, it has already had a major impact on the structure of Bank of England. In the year 2008 we have seen a significant consolidation within the UK banking sector. (George …show more content…
In addition it provides Bank-wide project support and risk oversight, provides advice and support on procurement and supplier management and manages the Bank’s property and facilities.

Internal Audit
Internal Audit assists the Court of Directors and Executive Team in protecting the Bank, and its reputation, by independently and objectively evaluating the effectiveness of internal controls, risk management and governance processes. As part of this assurance Internal Audit recommends cost-effective improvements which are agreed with management and tracked until implementation.

Communications
The Public Communications and Information Division manages the Bank’s public and media relations and its work to build public understanding; it includes the press office, the Bank’s website, public enquiries, education and community programmes, and the Bank’s museum. It also manages internal Bank-wide staff communications

Human Resources
The Human Resources function is responsible for recruitment and development of staff, talent management and succession planning, employee relations and administration of the Bank’s payroll and pensions (Bank of England; Structure)

Inflation outlook

In this case I would like to apply some economic policies. Inflation was more than a percentage point away from the target set for 2%. In fact inflation has risen from 2,1% in December 2007 to 4,7% in August 2008 and more than 5% at the