FTSE 100 movers: HSBC bucks trend as banks fall

dl hsbc uk bank shop branch sign — HSBC UKSharecast photo / Josh White

London’s FTSE 100 was down 0.1% at 6,931.92 in afternoon trade on Wednesday.

IAG was the standout gainer following reports that British Airways has secured an agreement with pilots’ union Balpa in a bid to avert strikes.

HSBC was also on the front after an upgrade to ‘outperform’ at KBW.

Lloyds was in the red, however, along with Barclays and NatWest, following a report that Chancellor Jeremy Hunt is preparing to raid bank as well as energy profits as he looks to fill a £40bn fiscal hole.

CMC Markets analyst Michael Hewson said: "UK banking shares have struggled the most today on fears that they could be hit by a new windfall tax on top of the 8% banking surcharge they pay on top of the corporation tax rate.

"With that due to rise to 25% next year it seems there is no length that politicians will stoop to try and fill various holes in the public finances."

FTSE 100 - Risers

International Consolidated Airlines Group SA (CDI) (IAG) 118.66p 2.42%
BP (BP.) 453.60p 1.88%
HSBC Holdings (HSBA) 472.15p 1.37%
Vodafone Group (VOD) 100.96p 1.36%
Centrica (CNA) 70.14p 1.12%
Pershing Square Holdings Ltd NPV (PSH) 2,700.00p 1.12%
Imperial Brands (IMB) 2,014.00p 0.85%
BT Group (BT.A) 127.75p 0.83%
BAE Systems (BA.) 805.40p 0.83%
F&C Investment Trust (FCIT) 878.00p 0.80%