Investors flee Scotland ahead of independence referendum July 9, 2014 Businesses are diverting investment away from Scotland and into other areas like the north of England because of the uncertainty around September’s independence referendum, PwC bosses said yesterday. And the business services group’s chairman Ian Powell added that being part of a larger trading bloc will be beneficial for the UK and Scotland, particularly in [...]
Euro central bank boss Mario Draghi rejects Renzi reforms for deficit rules July 9, 2014 EUROPEAN Central Bank (ECB) chief Mario Draghi weighed in on the debate over Eurozone deficit reduction yesterday, slapping down Italian Prime Minister Matteo Renzi’s push for a more lenient approach. Speaking in London yesterday, Draghi stressed the importance of sticking to the currency bloc’s existing fiscal rules. Recently, Renzi and other European politicians had suggested [...]
Bank of England’s Minouche Shafik defends record July 9, 2014 Incoming deputy governor at the Bank of England, Minouche Shafik, was yesterday forced to defend her record, insisting she does have enough experience for the job. The ex-International Monetary Fund (IMF) troubleshooter faced a grilling from MPs for lacking policymaking experience. But she told the Treasury Select Committee that she worked closely with troubled nations [...]
National Grid warns UK could import 90pc of its gas by 2035 July 9, 2014 A failure to invest in UK gas production could see dependency on imports rise to 90 per cent by 2035, National Grid warned today. The forecast from the power network comes amid growing fears about the UK’s energy security, with the spare margin between demand and supply set to narrow to a mere two per [...]
Citibank braced for $7bn mortgage mis-selling bill July 9, 2014 Citibank is preparing for a $7bn (£4bn) settlement to cover mortgage sales in the years before the financial crisis, it emerged yesterday. The giant US lender is in negotiations with the Department of Justice over the case, which relates to mortgages being packaged up and sold to investors and government bodies. The loans had been [...]
Qatar Investment Authority sells a third of its stake in LSE Group July 9, 2014 Qatar Investment Authority (QIA) is set to cut its 15 per cent stake in LSE Group, the owner of the London Stock Exchange, by a third. The deal comes ahead of a rights issue in September by LSE Group to fund the $2.7bn (£1.6bn) purchase of Frank Russell, the US index compiler. The Middle Eastern [...]
Fat Face puts IPO in past with record sales July 9, 2014 Fat Face said yesterday it had put its botched flotation plans behind it for now and that it was “business as usual” after the retailer delivered record full-year sales and profits. After an impressive start to the year, London’s new issues market balked at the sheer number of companies coming to the market, prompting Fat [...]
Private equity rivals approach RAC owner about buyout deal July 9, 2014 Motor insurer RAC’s owner has held early talks with private equity houses to explore a sale of the group as an alternative to listing on the stock market. Carlyle Group, which took control of RAC in 2011, is understood to have been approached informally by buyout shops ranging from Apax to BC Partners about buying [...]
UK vs ECB: Britain squares up to Eurozone in legal battle for City’s rights July 9, 2014 British lawyers accused the European Central Bank (ECB) of breaking the single market rules in a landmark case yesterday. By insisting euro-denominated payment transactions are cleared within the Eurozone, the ECB is breaking the law, the Treasury argued. The UK complained in 2011 but it has taken until now to reach the European Court of Justice [...]
Justin King bids farewell to Sainsbury’s after 10-year reign July 9, 2014 Justin King bade farewell yesterday after 10 years as chief executive of Sainsbury’s, reassuring shareholders at the annual meeting in Westminster that the retailer was well equipped for the future and that he was leaving the business “in safe hands”. His successor Mike Coupe paid tribute, describing King’s “passion” and dedication as an inspiration. Chairman [...]