Government cuts discount rate: Experts react to move by justice secretary Liz Truss and warn on implications February 27, 2017 The government's decision to slash the insurance discount rate caught most of the sector's largest firms by surprise this morning. In particular, large motor insurers such as Direct Line (shares dropped by more than six per cent) and Admiral (down more than two per cent) were hit. [stockChart code="DLG" date="2017-02-27 15:08"] What is the discount rate? The [...]
Formula One: Brakes slammed on European investigation into the sale to Liberty Media February 27, 2017 European competition authorities have drawn a line in the sand on an investigation into the sale of Formula One, rejecting calls from hundreds of MEPs to look into Liberty Media's takeover of the sport. UK MEP Anneliese Dodds this morning received a response from Margrethe Vestager, the European Commissioner for Competition, saying she would not be further investigating [...]
Insurer Hiscox is planning to move its EU HQ to either Luxembourg or Malta February 27, 2017 Hiscox has narrowed down its shortlist for a new EU base to two countries and says Brexit is unlikely to impact the firm strategically. The insurer today announced record annual results, with profits soaring and its retail operations growing to represent half of the firm's business, and the firm also revealed it is eyeing move to Malta [...]
Government cuts discount rate: Insurance sector says “crazy” decision will cost the industry billions February 27, 2017 The UK's insurers were left reeling this morning after the government announced changes to a key insurance sector discount rate, costing them hundreds of millions of pounds. Direct Line said annual profits for 2016 would be cut by up to £230m, while motor insurer Admiral estimated it will take a hit of up £100m and is to [...]
The City boss running around for retirees: Clive Bannister on being a Phoenix from the ashes and providing a happy ending for pensioners February 27, 2017 Phoenix Group’s chief executive wasn’t looking forward to his morning commitments on 28 March 2014. “I was due to make a presentation to a rather hostile audience,” says Clive Bannister, the head of the FTSE 250 closed-book life insurer. “They didn’t want to think very kindly about Mr Bannister.” And Bannister’s day was about to [...]
Ladbrokes Coral loses £71m tax avoidance court case after long standing battle with HMRC February 25, 2017 Bookmaker Ladbrokes Coral has lost a £71m tax avoidance court battle with the taxman after using a once-legal loophole to minimise its tax bill. Ladbrokes drafted in Big Four beancounters Deloitte in 2008 to create a scheme that artificially manufactured a fall in the value of the shares of one of the group subsidiaries. This generated [...]
Warren Buffett’s annual letter: Star-spangled banners, Gekko, buybacks and insurers February 25, 2017 It's great being right. It's even better when being right makes you bucket loads of money. And for around half a century, Warren Buffett – the world's second wealthiest man – has made a name for himself in being both. Today he sent his annual letter to investors of his behemoth Berkshire Hathaway fund, offering a [...]
London mayor blasted for “spectacularly ill-judged” Scottish independence comments February 25, 2017 London mayor Sadiq Khan has left Scottish politicians flabbergasted after comparing nationalism north of the border with racism. Khan is today in Perth, speaking at the Scottish Labour Party conference, and is to deliver a speech that doesn't pull any punches, according to the Daily Record: There’s no difference between those who try to divide [...]
David Miliband: Labour is now weaker than during the Thatcher years February 25, 2017 David Miliband has said the Labour Party is in the most fragile state for over 50 years. The comments come days after Labour's defeat in the Copeland by-election, the first gain by a governing party for 35 years. “I’m obviously deeply concerned that Labour is further from power than at any stage in my life time,” [...]
Red Bull’s Daniel Ricciardo: “I just get in the car and drive” February 25, 2017 Red Bull's Daniel Ricciardo has admitted to being "anxious" ahead of the new Formula One season and confessed he doesn't really know a great deal about some of the sport's new rules. The 27-year-old Australian will jump into Red Bull's latest iteration at testing in Barcelona next week. Formula One's cars will once again sport a number changes for the [...]
