This month’s Inflation Report makes sobering reading for savers.  The governor of the Bank of England has admitted that this year will see a slowing in economic growth and this is going to be accompanied by a level of inflation that is widely predicted to reach at least 5% before the year is halfway through.

In order to counter the high levels of inflation certain projections regarding interest rates have been made. The base rate of interest is at an unsustainable low rate of 0.5% currently, but until now announcements on when this might change have been as rare as speculation as been rampant.

There is now a clear plan for the escalation of interest rates. The rate will be gradually ramped up to 3%, if everything proceeds according to plan this should be by the end of 2013. The first increment will be by a quarter of a per cent within the next four months and the rate will be 1% by the end of the year. By the end of 2012 the rate is planned to be somewhere around the 2% mark.

All of this has a big impact on those looking to make long term financial decisions.  There are some long term fixed rate investments available, especially in the offshore market, that can look appealing given the current interest rate. It is important to remember that interest rates in the UK could conceivably rise on a much sharper curve, and to greater heights than is currently being planned.

The kind of fixed rate products that are looking attractive at the moment are likely to become less appealing as time goes by. This is the main reason that these kind 0f products are locking money in for long periods.  Easy access is probably the best thing for savers at the current time. Being able to get quick access to your cash and ‘helpful banking‘ may be  best things to opt for until the market adjusts to the new interest rate climate.

Thomson Reuters was created in 2008 with the purchase of global news agency Reuters by the Thomson Corporation. Although less visible to the general public than Reuters, the Thomson Corporation was actually one of the largest players in the ‘information’ game.

In a move that caught many industry watchers off guard one of Thomson Reuters flagship products, the Thomson Reuters Corporate Treasury Manager Service has just been bought by Wallstreet Systems. The service, which has proved popular with subscribers since its launch, has now been rebranded as ‘Treasura‘.

The key selling point for the system has to be that it is fully SSAE16 certified. The standard replaces the obsolete SAS7. In 2011 software products in the liquidity and cash management sector that fail to do this will not cut the mustard.

As well as the cash and liquidity management functions, the functionality around financial deal management may prove to be a big plus when compared to its rivals. Foreign exchange management functionality includes tracking and reporting for foreign exchange transactions, including accounting entries, cash flows and settlements.

In today’s cut-throat business atmosphere keeping close tabs on debts can be the difference between success and failure. Amortizations and rollovers can be a minefield for the unprepared, as anyone who has experience in credit facility management will tell you.

The acquisition represents a bold move by Wallstreet Systems. By buying out a service that has some degree of overlap with their existing software and analytics offerings they will be hoping to increase their market share in this highly competitive arena. It is perhaps the kind of business strategy that we will be seeing more of in the coming months.

There are established things that every business needs. Essentially these things have been necessary since the dawn of capitalism and remain vital. Elements such as a strategy to grow the business, adaptation to changing fiscal environments and strong and effective marketing. Just as the importance of a treasury management system is beginning to be appreciated, what social media can mean for business growing in prominence.

Social media strategy

It is easy to dismiss social media. The likes of Twitter and Facebook are not being seen as anything other than a workforce distraction to many business owners. There is something to this, in 2007 the cost to UK businesses of ‘wasted time’ of employees was calculated as being over £130m per day. The cost of ignoring the power of the social space could be even greater.

Facebook has become the most viewed website in the world. Advertising on the site obviously comes at a premium, as the huge amount of personal information that is stored makes highly targeted advertising possible.

This is an emerging area, and this is just why it might be important to involve specialists in the process of looking at what social media means in the context of specific businesses. This will vary drastically depending on the sector and business model being adopted. What will be an irrelevance for some can be a game changer for others.

Social media can be used to maximise buzz by starting conversations with relevant influencers. It is also increasingly being used as a customer service channel. While many business owners are realising that they can build loyalty through increased brand engagement, the dangers of ignoring this space are beginning to be noticed.

Neglecting social media strategy means that the conversations that will be happening around your brand are entirely out of control. The case for ignoring negative social media sentiment entirely has been made, but this is definitely a high risk approach. It is a fast developing area, and one which can potentially be a mine field. Recent ASA rulings have included the content of both tweets and re-tweets in their remit for example, which is another reason why investing in social media specialists can provide dividends.