German economy shrinks as France stagnates in disappointing quarter for Eurozone August 14, 2014 The German economy has shrunk by 0.2 per cent, as the Eurozone continues to endure a disappointing a second quarter. The contraction comes as the France economy stagnated at zero per cent for the second quarter running – Germany recorded strong growth of 0.8 per cent in the first quarter. Both results were [...]
Carillion board tries to woo Balfour Beatty with cost-cutting plan August 14, 2014 A merger between Carillion and Balfour Beatty could save as much as £175m a year, according to a statement issued by the infrastructure giant today. The two businesses met on Monday (August 11) to discuss the move, with “significant synergies” between the two businesses having been identified, Carillion said. This includes cost savings [...]
Falling unemployment vs stagnant wages: Jobs market to dominate 2015 general election August 13, 2014 The battle lines for next year’s election were drawn yesterday as the Conservatives and Labour clashed over their differing views of the latest figures on the recovery. Britain’s tumbling rate of unemployment has given the government a boost ahead of the vote on 7 May next year – but Labour is stressing the stagnant level [...]
UK pound vs US dollar: Sterling stumbles as markets take dovish signal from Carney August 13, 2014 The pound dropped sharply against the dollar yesterday, as markets took a dovish message from the Bank of England’s update on the economic climate. Sterling plunged to its lowest level in two months as governor Mark Carney spoke, with analysts suggesting that the Bank’s latest inflation report was backtracking from the governor’s more hawkish tones [...]
Osborne awaits Lloyds share price rise before next stock sell off August 13, 2014 The Treasury is waiting for Lloyds’ share price to jump again before it sells the next tranche of shares in the bank. Lloyds’ share price has fallen by around seven per cent in the past two months, in line with the rest of the sector, putting the brakes on the privatisation of the bailed out [...]
Bank of England flags dismal wages as holding back interest rate hike August 13, 2014 The Bank of England’s inflation report, released yesterday, showed off Threadneedle Street’s increasing focus on wage growth – one of the last indicators lagging behind the economic recovery, and holding off an increase in interest rates. The Bank has slashed its forecast for the average rise in earnings this year. In the last report, the [...]
Gerald Ronson sells Heron Plaza site to Singapore’s UOL for £97m August 13, 2014 SINGAPOREAN property group UOL has made its first foray into Europe after buying Gerald Ronson’s Heron Plaza development site in the City for £93m. The property tycoon won planning consent in 2011 to build a 43-storey Four Seasons hotel and residential complex next to the Heron Tower on Bishopsgate. His firm Heron International was originally [...]
Sales tax slump hits Japan GDP August 13, 2014 THE JAPANESE economy slumped in the second quarter, with the impact of the first sales tax rise in 17 years. The country’s GDP plunged 1.7 per cent from the first quarter, more than erasing the 1.5 per cent expansion recorded in the first three months. In April, Japan’s sales tax was hiked from five to [...]
Industry adds to euro gloom August 13, 2014 THE EUROZONE’S industrial firms recorded another drop in output during June, adding to the growing pile of evidence that the bloc’s gloomy recovery might have already peaked. Production fell by 0.3 per cent from May, and was completely flat over the 12 months from June 2013. Price growth is also lagging below the target level [...]
Daisy Group CEO Matthew Riley lines up £500m takeover by Toscafund August 13, 2014 The chief executive of Daisy Group, the business communications services provider, has moved to take the company private just months after takeover talks with Virgin Media-owner Liberty Global collapsed. Daisy, with a market valuation of £466.5m, said it had received an approach for a possible cash offer of 190p per share from Toscafund Asset Management [...]