Market Buzz
Sunday newspaper round-up: HSBC, North Sea, Capita
The heads of HSBC are facing a major public standoff with those of its shareholders who are keen to break up the lender. Those include its largest shareholder, Chinese insurer Ping An, which has been pushing for a spin off of its lucrative Asian business and which has redoubled its efforts in recent weeks. Ping An is expected to vote for two proposals from a group of angry Hong Kong retail investors calling for a regular strategy review and a higher dividend. - The Financial Mail on Sunday.
Friday newspaper round-up: HMV, Man United, business confidence
HMV is to return to its former flagship store on London’s Oxford Street after a four-year absence. It is expected to reopen towards the end of this year, in time for Christmas. The store was empty for an extended period after the music and entertainment company vacated the site in 2019, before most recently becoming home to one of the many American candy stores that popped up on Oxford Street during the pandemic. – Guardian.
Thursday newspaper round-up: Online casinos, Meta, PwC, Teck Resources
Britain’s poor record on health is costing the economy £43bn a year and cutting the annual incomes of individuals affected by long-term sickness by up to £2,200 a year on average, a report says. With official figures showing more days lost to sickness than at any time since 2004, the Institute for Public Policy Research said improving the country’s health was vital both for the economy and to boost the incomes of disadvantaged groups. – Guardian.
Wednesday newspaper round-up: Energy suppliers, Google, SVB UK
Energy suppliers are hoarding nearly £7bn of customers’ money despite a cost of living crisis that has left some households forced to choose between heating and eating. More than 16m UK households are collectively in credit by £6. 7bn to their suppliers, with half of those holding balances of more than £200, research from comparison site Uswitch. com has shown. – Guardian.
Tuesday newspaper round-up: CBI, tech firms, Lidl
The Confederation of British Industry has admitted it failed to “filter out culturally toxic people” from its ranks, leading to “terrible consequences” including allegations of sexual harassment. The CBI president, Brian McBride, said in a letter to its members that the organisation had “made mistakes” and “badly let down” its staff, after a series of revelations in the Guardian about alleged misconduct by employees, including two women who said they were raped.
Monday newspaper round-up: Credit Suisse, house prices, Revolut
Credit Suisse says 61bn Swiss francs ($68bn/£55bn) left the bank in the first quarter, shedding light on the scale of the bank run that caused the 167-year-old institution to crumble and forced its state-engineered rescue. “These outflows have moderated but have not yet reversed as of April 24 2023,” Credit Suisse said on Monday. – Guardian.
Sunday newspaper round-up: Inflation, Taiwan, National Grid
Former Bank of England chief economist, Andy Haldane, believes that it is "pretty much nailed on" that inflation will halve over the next six months as energy price increases slow down. But in remarks to Sky News, Haldane cautioned that hikes in Bank Rate had yet to impact borrowing costs for many borrowers, especially those on fixed-rate mortgages. "The effects of the tightening so far haven't been fully felt. That would give me cause for pause. I'd think, hang on, the economy is still on unsteady legs right now.
Friday newspaper round-up: Forecourt owners, fake reviews, BuzzFeed
Forecourt owners in the UK are adding to soaring inflation for consumers by charging many businesses that rely on diesel more than necessary at the pumps, campaigners have claimed. The pump price for diesel is about 10% higher than for petrol, even though the wholesale market price is lower, reigniting concerns that forecourt owners are profiteering at the expense of diesel drivers. – Guardian.
Thursday newspaper round-up: Meta, Heathrow, Murdoch, BP
Meta workers are bracing for thousands of additional layoffs as the embattled social media firm continues to cut costs. A new round of layoffs began on Wednesday, according to a report from CNBC that was confirmed by Meta. The company will cull 4,000 jobs immediately as part of a larger plan to cut 10,000 jobs announced earlier this year, focusing largely on technical roles. – Guardian.
Wednesday newspaper round-up: Telecoms, Greggs, Tony Danker
A trio of telecoms firms have been accused of overcharging hundreds of thousands of landline-only customers by almost £200m, according to research. Economists at Fideres argue that almost 600,000 UK landline-only customers have been charged “excessive” prices since 2009. - Guardian.
Tuesday newspaper round-up: Prepayment meters, food prices, EY, Glencore
Energy suppliers have agreed to a ban on forcibly installing prepayment meters in the homes of customers over 85 and will make representatives wear body cameras as part of a new code of conduct, the Guardian can reveal. Suppliers have agreed to fresh guidelines for putting in the devices when households have run up energy debt after an outcry over agents using court-approved entry warrants to break in to install them. – Guardian.
Sunday newspaper round-up: Glencore, THG, John Wood Group
The board of Teck Resources is piling on the pressure for the mining group to initiate talks with Glencore over its proposed $23bn (£19bn) takeover offer. Meanwhile, advisory group Glass Lewis has joined ISS in pushing for Teck's shareholders to reject a split that will be submitted to a vote on 26 April. According to Glass Lewis, Glencore's offer was sufficiently compelling to justify pausing the separation and engaging in negotiations. - The Sunday Times .
Monday newspaper round-up: Covid fraud, energy bills, National Grid
More than 1m small businesses may be paying energy bills significantly above market rates after becoming trapped in long-term contracts fixed when prices reached a historical peak last year. Trade groups representing businesses from metalworkers to convenience stores have joined forces to warn of a “perilous situation”. – Guardian.
Friday newspaper round-up: Sainsbury's, Glencore, LSE
The Ministry of Defence has awarded £650m to manufacturers working on its Tempest fighter jet, in the latest sign that the UK is pushing forward with the aim of producing the aircraft by 2035. The companies who will receive the money are led by manufacturer BAE Systems, jet engine maker Rolls-Royce, and the UK arms of Italy’s Leonardo and European missile-maker MBDA. – Guardian.
Thursday newspaper round-up: ULEZ, Arm, British Steel
A legal challenge to the expansion of London’s ultra-low emission zone will be heard in the high court later this year, after a judgment permitted councils to proceed. The city’s mayor, Sadiq Khan, vowed to press on regardless with plans to extend the Ulez, which he has argued is needed to tackle toxic air that is responsible for thousands of premature deaths a year. – Guardian.
Wednesday newspaper round-up: EY, Tesla, Jes Staley
EY has scrapped plans for a radical breakup of its global operations after internal disputes over the potential structure of the new businesses. The company started laying the groundwork for separating its audit and advisory businesses – under the codename Project Everest – last year, as the big four accounting firms faced mounting criticism about conflicts of interest between the two divisions. – Guardian.
Tuesday newspaper round-up: TV subscriptions, Unilever, NatWest
UK consumers cut back on groceries, clothes shopping and eating out last month but streaming and pay TV subscriptions jumped as cash-conscious viewers switched to nights in. The return of big hit series such as Succession, The Mandalorian and Ted Lasso fuelled a healthy 4. 1% increase in spend on digital content and subscriptions in March, the highest year-on-year rise in five months, according to Barclays’ regular snapshot of consumer credit and debit card use.
Sunday newspaper round-up: Glencore, Tesco, Vodafone
Glencore is being prodded by an influential investor, Bluebell Capital Partners, not to delay letting go of its environmentally damaging coal mining business. The FTSE 100 listed outfit's plan had been to acquire Teck Resources, merge its coal unit with it and to then spinoff and list the combined company on the New York Stock Exchange. After Teck rebuffed its offer, those plans are at risk, but Bluebell is urging Glencore to let go of that business, saying that the remainder of the company would then fetch a higher valuation.
Thursday newspaper round-up: Net zero, Royal Mail, Home REIT
Business leaders in the north of England have written to the prime minister, chancellor and energy secretary asking for help to reach net zero. Big names including Drax, Siemens, Peel, Manchester airport, the CBI and all 11 local enterprise partnerships (LEPs) in the north signed a letter urging the government to prioritise green growth in the north – Guardian.
Wednesday newspaper round-up: Johnson & Johnson, Microsoft, Grant Thornton
Revenue officials are not paying enough attention to a new tax on big tech firms’ earnings in the UK and are therefore failing to scrutinise potential avoidance, parliament’s spending watchdog has warned. While the digital services tax brought in a surprise bumper income in its first year, MPs on the cross-party public accounts committee says this suggests HM Revenue and Customs officials had failed to properly understand its impact. – Guardian.