France goes after traders December 16, 2009 FRANCE will mirror Alistair Darling’s banking windfall tax by clawing back half of traders’ bonuses next year. Economy minister Christine Lagarde said she will single out frontline traders dealing in financial instruments for the 50 per cent tax on bonus payments. This differs from the UK tax, which affects all bankers. It will kick in [...]
Recession over but tough 2010 for UK December 16, 2009 THERE will be so many challenges confronting the British economy next year that it is hard to know where to start. The last remaining hard-core bulls, who still believe in a v-shaped recovery, will be bitterly disappointed; to a lesser degree, so will the perma-bears, who are still convinced that the UK banking system is [...]
Swiss back privacy laws December 16, 2009 THE Swiss government yesterday threw its weight behind the privacy laws which protect the clients of Swiss banks – institutions which are reputed for their secrecy. It rejected the idea of exchanging information – particularly involving tax – automatically, but said it was prepared to consider the introduction of withholding tax on offshore funds, which [...]
WHAT THE OTHER PAPERS SAY THIS MORNING December 16, 2009 FINANCIAL TIMES INSURERS TO LAUNCH REPUTATIONAL RISK PRODUCT Insurers are planning to introduce a new product to help companies limit the financial fall-out when their brands or high-profile spokesmen such as Tiger Woods suffer reputational damage. DeWitt Stern, a 110-year-old US insurance broker, has already received expressions of interest from London underwriters about backing a [...]
NEWS | IN BRIEF December 16, 2009 Galleon case talks are extended Discussions between prosecutors and lawyers for four people accused of insider trading in the sprawling Galleon hedge fund probe were extended by one month yesterday. The extension came a day after Galleon founder Raj Rajaratnam – the most prominent among 21 people accused in the insider trading case, which involves [...]
Darling slammed for hiding spending cuts December 16, 2009 ALISTAIR Darling was yesterday accused of hiding “deep cuts” in departmental spending until after the election. The chancellor was grilled about which services will face cuts at an all-party Treasury Committee yesterday. Opposition MPs claimed he was holding back from announcing cuts. Michael Fallon, Conservative MP for Sevenoaks, told City A.M.: “They are hiding deep [...]
Mandelson refuses to step in to block Cadbury’s takeover December 16, 2009 Lord Mandelson yesterday told a group of MPs he could not step in to prevent a hostile takeover of Cadbury. The business secretary met with MPs from the Birmingham area to discuss the takeover amid fears the Kraft bid would destroy the British company and put jobs at risk. Lord Mandelson also said he would [...]
Greece stymied as S&P downgrades credit worthiness December 16, 2009 GREECE took another hammering yesterday after Standard & Poor’s downgraded the troubled country’s long-term credit rating, after its prime minister warned more cuts were likely to reduce its huge fiscal deficit. The credit rating agency notched down the Hellenic Republic’s sovereign grade to BBB+ from its previous A-, matching Fitch Ratings’ cut, with Moody’s Investors [...]
ITALIANS BUY SMYTHSON December 16, 2009 TORY party leader David Cameron’s wife Samantha is understood to have a new employer this morning, after Smythson, the luxury leather goods company for which she is creative director, was sold to Italian group Greenwill. Samantha, a minority shareholder who is credited with turning the company around, may have received a small payout following the [...]
NEWS | IN BRIEF December 16, 2009 Drax boosted by positive outlook British power station operator Drax Group said yesterday it expected full-year earnings to be modestly ahead of market expectations, boosted by a strong forward contracted position. Drax, whose coal-fired power station in Selby, North Yorkshire supplies about seven per cent of the UK’s electricity, also said yesterday it was benefiting [...]