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Friday 3 February 2012

UK Financial News on 2012-02-03

US job numbers show strong growth
The US economy created 243,000 jobs in January, while the unemployment rate fell to 8.3%, official figures show......

RBS boss calls for pay correction
The chairman of 82% taxpayer-owned Royal Bank of Scotland (RBS) says banker pay has been "high for too long" and needs to be corrected......

Gas up on Russia shortage reports
The price of gas around Europe has risen sharply due to increased demand as a result of the cold weather and reports of reduced supply from Russia......

Apple overturns Motorola's ban
Apple is granted a suspension of a sales ban imposed on some of its iPads and iPhones in Germany......

Service sector sees strong growth
The UK's service sector grew at its fastest rate since March 2011 in January, according to a closely watched survey......

1.1 million face 100 tax fines
Just over one million taxpayers face a penalty of 100 for failing to submit their self-assessment tax returns on time, HM Revenue and Customs says......

Personal insolvencies 'down 11%'
Fewer people were declared insolvent in 2011 in England and Wales than in 2010, but the number of companies going bust increased......

BT cuts costs to increase profits
Telecoms group BT reports a sharp rise in profits, thanks largely to a jump in the number of broadband users......

UK recession looms, says report
The UK will enter recession in the first half of the year as households continue to cut back, says the National Institute of Economic and Social Research......

Score draw in TV football case
The Premier League and the importers of foreign satellite TV decoder boxes and cards are both claiming victory after their latest court battle.....

Game shares soar on lending deal
Shares in video game retailer Game Group soar by 40% after lenders revise the firm's banking arrangements......

Eurozone service sector growing
The eurozone's service sector grows for the first time in four months, although Spain and Italy continue to struggle......

'Sale and rent back' closed down
The sale and rent back industry has been almost completely closed down, says the Financial Services Authority......

Mobility aid sellers in spotlight
Action has been taken against mobility aids traders following a warning from the regulator over sales of the products......

Uganda signs oil production deal
Oil production is set to start in Uganda after a deal is signed between the government and London-based Tullow oil, which also draws in Chinese and French firms......

Panasonic predicts a record loss
Japanese electronics giant Panasonic forecasts a record net annual loss of $10bn for the year to March......

Hungarian airline Malev collapses
Hungarian airline Malev ceases trading after 66 years after being ordered by the EU to repay state aid it has received......

Cold front ad for Mini backfires
An advertising agency for BMW pays to name Europe's cold weather "Cooper" in Germany, after the firm's Mini Cooper car, but the stunt backfires......

UK download speed gains 'uneven'
Ofcom reports a 22% gain in the UK's average broadband download speed between May and November, but not all ISPs improved......

Hackers fool bank security system
Criminal hackers have found ways around new security devices used for online banking, the BBC has learned......

MPC member attacks lending cuts
A member of the Bank of England's Monetary Policy Committee criticises banks for not lending enough to businesses and asks if they are "risk-averse jerks"......

China 'considering' eurozone help
Premier Wen Jiabao says Beijing is "considering" contributing to European rescue funds, during a visit by German Chancellor Angela Merkel......

Bank says Irish recession to stay
Ireland's Central Bank says the country's domestic economy will remain in recession through 2012......

Pilkington to close one UK line
The owner of the glass manufacturer Pilkington says it will close one of its three UK production lines as it cuts costs......

Interest rate 'collusion' probe
Swiss authorities investigate 12 US, European and Japanese banks over claims they have been fixing their interbank lending rates......

Xstrata in Glencore merger talks
Mining giant Xstrata and commodities trader Glencore International announce they are in talks over a possible "merger of equals"......

Redknapp lies 'extremely telling'
Harry Redknapp's admission of lying to a News of the World reporter is "extremely telling", a court is told......

Olympics 'boosting' Scots tourism
Tourist bookings for visits to Scotland around the time of the London Olympics are rising, it is claimed......

Sports shirts may feature EU flag
The European Parliament votes after a heated debate to back a call for national sports teams to wear the EU flag on their shirts......

VIDEO: RBS boss: Banker pay too high
RBS chairman Sir Philip Hampton says chief executive Stephen Hester was 'entitled' to a near-1million share bonus, which he later turned down......

VIDEO: Can Germany teach UK about banking?
Shadow business secretary Chuka Umunna explained why Labour was looking at international lessons of good practice in finance......

AUDIO: UK share of exports to India 'below Italy'
Just how good is the state of UK-India trade?.....

VIDEO: RBS chairman: 'Bankers' pay too high'
The chairman of Royal Bank of Scotland has admitted that bankers' salaries are too high and need to come down......

AUDIO: BGL's Winslow talks meerkats and management
Simon Jack hears from Peter Winslow, chief executive of BGL Group - the company behind compare the market.com among other businesses......

VIDEO: Tett: Don't blame just the bankers
The woman credited with foreseeing the financial crash claimed people love to bash the bankers but they were not the only ones to blame......

VIDEO: RBS chairman defends Hester bonus
The chairman of the Royal Bank of Scotland (RBS), Sir Philip Hampton, has defended his decision to award a bonus to chief executive Stephen Hester......

VIDEO: Glencore in talks to buy Xstrata
Glencore, the world's biggest commodities trader, is in talks to buy Xstrata, a deal that would create a mining group worth $80bn......

Test cricket on sticky wicket in Middle East
Why is the England-Pakistan Test match not bowling fans over?.....

The internet's secret black market
Out of reach of regular internet searches is a secret online world.....

Giving an invasive water pest the bullet
Wrestling one of the UK's most invasive pests.....

Comments on Zuckerberg letter
Decoding Mark Zuckerberg's letter to investors.....

Rolls-Royce opens Singapore plant
Rolls-Royce starts up engine production in Singapore.....

Viewpoint: The connected workforce
Google's Sebastien Marotte on radical changes work.....

U.S. Week Ahead: Fed Chair Bernanke to tackle housing woes
Correspondent Pedro Da Costa says Fed Chair Ben Bernanke will address his concerns for housing before an industry meeting on Friday......

Giants win could mean big returns for the market: S&P
Feb. 3 - An analysis of the last 45 Super Bowls finds that total return on the S&P 500 for the year is usually positive when the NFC champion wins the Vince Lombardi Trophy......

Templeton's Mobius sees opportunities in Myanmar, Thailand
Feb. 3 - Franklin Templeton's executive director of emerging markets Mark Mobius applauds efforts by Myanmar to open its market to the outside world and like the energy and banking sector in Thailand......

U.S. unemployment tumbles in January
Feb 3 - The U.S. unemployment rate dropped to a near three-year low in January and payroll creation was the strongest in nine months in a report that is boosting the chances of a stronger economy. Conway G. Gittens reports......

Trading at Noon: Wall St. gains 1 percent on jobs jump
Feb. 3 - U.S. stocks rallied more than 1 percent after a report showed U.S. job growth surged in January......

Panasonic heads for record $10 bln loss
Japan's Panasonic is forecasting a record annual net loss of $10.2 billion U.S. dollars in the year to March, joining beleaguered rivals Sony and Sharp in a sea of red ink. Matt Cowan reports......

The economic chill of Europe's big freeze
Feb. 3 - Europe is in the grip of a cold snap with record low temperatures in some countries, driving up demand for gas but posing challenges too. Joanna Partridge reports......

Greece struggles on reform
Athens is under pressure to wrap up talks on a bond swap and a 130-billion-euro bailout to avert a chaotic default. Ciara Sutton reports.....

Obama to Congress: "Don't muck up" recovery
Feb. 3 - Jobs figures released on Friday show the U.S. economy is growing and healing, President Barack Obama said, calling on Congress to pass a payroll tax extension and avoid sabotaging the recovery. Rough Cut (no reporter narration)......

Europe Week Ahead: Monday
Feb. 3 - Hopes for a Greek debt deal get put back again as euro zone finance ministers postpone a meeting originally set for Monday......

Republican presidential hopefuls place bets in Nevada
Feb. 3 - The distressed housing market casts a shadow over the Nevada Republican caucus. Deborah Lutterbeck reports......

Krueger: U.S. jobs market healing
Feb. 3 - Alan Krueger, Chairman of the White House Council of Economic Advisers, says it is important to continue the momentum of job creation in 2012 and calls on Congress to extend a payroll tax cut......

Jobs report is a "watershed" moment for economy: Hoffman
Feb. 3 - PNC's Stuart Hoffman says the surprising increase in January payrolls could signal a big shift to economic recovery, and Moody's John Lonski says the jobless rate could fall to 7.5 - 8.0% by November......

Morning Briefing: Jump in jobs, fake Facebook shares & more
Feb. 3 - January U.S. nonfarm payrolls jump, the woman who sold fake Facebook shares and a Hello Kitty haircut you have to see in our U.S. Morning Briefing......

Mattel ditches Merkel for footballer's wife
Axel Threlfall talks to Mattel CEO Bryan Stockton......

Hungary's Malev airline grounded
Feb. 3 - Hungarian flag-carrier Malev ceased operating early on Friday morning after 66 years of almost continuous service, after its planes were held overseas for unpaid debts. Ciara Sutton reports......

If $50 billion leaves Russia in 2012, no problem: Ulyukayev
it doesn't bother him......

French farmers protest EU reforms
Feb. 03 - A group of French farmers dumped tonnes of earth and straw on a Paris street in protest over what they see as excessive regulation in their industry. Hayley Platt reports......

UK's Miliband says banks face isolation
Feb. 3 - UK opposition leader Ed Miliband says he will step up his attacks on extravagant bankers' bonuses, warning that banks face intense public anger and isolation unless they change their ways. (No reporter narration).....

Reuters Breakingviews: Glenstrata deal is mining sideshow
Breakingviews......

We are already in new great depression: Paul Krugman
in an exclusive interview......

FACTBOX: EU-China: For better or for worse
EU ambassador and German leader Angela Merkel is in China to cosy up an often prickly relationship and seek help with Europe's debt crisis.....

Reuters Today: Merkel woos China on euro and investment
Feb. 3 - German Chancellor Angela Merkel in in China to press for more investment and support for the euro zone.....

Asia Week Ahead: Holiday drags on China trade figures
The Lunar New Year hangover extends to Chinese trade numbers, while Asian central banks to meet on interest rates and Japanese car makers due to report earnings.....

Posco's profits lose steam
Feb. 03 - South Korean steel producer's fourth-quarter result not enough to stem annual profit drop......

Commons vote on bank pay is a watershed for shareholders as well as bankers
The House of Commons will vote this Tuesday on a Labour motion that pay at British banks is out of control and curbs should be imposed.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c62bc5d/mf.gif' border='0'/&.....

Bid to oust Nat Rothschild from Bumi board
Nat Rothschild's Indonesian partners in his FTSE 100 mining venture Bumi are trying to remove him from the board, reigniting concerns over clashes at the company.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c.....

Sale and rent back market shut down after regulator's review
The Financial Services Authority has effectively shut down the "sale and rent back" market after it found deals being offered were "unaffordable or unsuitable and never should have been sold".<img width='1' height='1' src='http://telegraph.feedspo.....

RBS mulls bonus shake-up as pay 'out of hand'
Royal Bank of Scotland is considering stripping Stephen Hester of his annual bonus and replacing it with a longer-term scheme that is "more robust against public opinion" after the row over his near 1m award this year.<img width='1' height='1' src.....

RBS mulls bonus shake-up as pay gets 'out of hand'
The Royal Bank of Scotland is considering stripping Stephen Hester of his annual bonus and replacing it with a longer-term scheme that is "more robust against public opinion" in the wake of the furore over his near 1m award this year.<img width='1.....

Debt crisis: as it happened, February 3, 2012
The FTSE 100 has closed at a seven-month high after US data showing more US people are in work boosted global markets, while Greece announces it is to auction 625m of Treasury bills next week.<img width='1' height='1' src='http://telegraph.feedspo.....

Debt crisis: live
The FTSE 100 has closed at a seven-month high after US data showing more US people are in work boosted global markets, while Greece announces it is to auction 625m of Treasury bills next week.<img width='1' height='1' src='http://telegraph.feedspo.....

Greek debt deal edges closer as talks restart
The chief negotiator representing Greece's international creditors was recalled to Athens on Friday night for crunch talks to try to secure a bondholder agreement over the weekend.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/3.....

Fred Goodwin: a modern-day knight made to suffer a medieval punishment
Fred Goodwin should challenge the judgment of David Cameron's kangaroo court, argues Charles Moore.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c623edb/mf.gif' border='0'/>.....

US jobless rate falls to lowest level for three years
America's unemployment rate tumbled to the lowest level in three years in January, raising hopes that the world's biggest economy may at last be gaining the momentum that has eluded it since the financial crisis.<img width='1' height='1' src='http.....

RBS and HSBC among banks probed by Swiss over Libor allegations
The Royal Bank of Scotland and HSBC are being investigated by the Swiss authorities over allegations they manipulated the interbank lending rates which may have distorted the price of trillions of dollars of securities.<img width='1' height='1' sr.....

Misys in all-share merger talks with Swiss rival Temenos
Misys, the British software company, is in talks with its Swiss rival, Temenos, about an all-share merger aimed at bolstering the companies against a drop off in sales.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56830.....

BP safety committee chairman Sir William Castell to leave
Sir William Castell, chairman of BP's safety committee during the Gulf of Mexico disaster, has given up the role and will leave the board altogether in April, the oil major revealed.<img width='1' height='1' src='http://telegraph.feedsportal.com/c.....

Taxman calls a halt to spot checks for small businesses
Tax officials have agreed to suspend a controversial scheme which sees small businesses subjected to spot checks of their paperwork and fines of up to 3,000 for keeping 'poor trading records'.<img width='1' height='1' src='http://telegraph.feedspo.....

Talk of a 1.2bn payout warms up Centrica
As an Arctic chill gripped the country, British Gas-owner Centrica warmed up nicely amid suggestions that it could pay a 1.2bn special dividend.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c61c802/mf.gif' bor.....

FTSE 100: US jobs data sends blue-chips soaring
Admiral sailed up to claim pole position as the benchmark index leapt ahead on upbeat jobs data from the US.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c60fdeb/mf.gif' border='0'/><br/><br/>&l.....

US creates jobs at fastest pace in nine months
The US economy created jobs at the fastest pace in nine months in January and the unemployment rate dropped to a near three-year low of 8.3pc.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c60fdea/mf.gif' borde.....

Profile: Norman Lamb, employment relations minister
Norman Lamb, a former lawyer and key adviser to Nick Clegg, has replaced Ed Davey as the employment relations and postal affairs minister. He will be tasked with reducing the burden of employment law on business, among other things, picking up where .....

Xstrata merger 'could cost Glencore 25bn'
Glencore, the commodities trading giant, may have to pay 25bn to make its proposed merger with Xstrata happen, according to new research.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c60fded/mf.gif' border='0'.....

The works of $200m Facebook graffiti artist David Choe
David Choe, the graffiti artist who decorated the walls of Facebook's headquarters seven years ago and took a few thousand pounds of shares as payment, is now set for a $200m (126m) windfall when the social network floats. Here are some examples of h.....

David Choe Slideshow
David Choe's work in Soho prior to an exhibition of his work in 2008.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5fa228/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/1.....

BT profits: What the analysts say
BT revenues fell 5pc to 4.8bn in the third quarter, but the telecoms giant still managed to chalk up a 48pc jump in pre-tax profits to 652m as it cut costs. Here we round up the best analysis.<img width='1' height='1' src='http://telegraph.feedspo.....

The investment fund that is guaranteed to lose you money
Pension savers who hold money in Clerical Medical's Cash Pension are being charged more in fees than their money earns in interest.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5f4143/mf.gif' border='0'/>&.....

Questor: Egypt review and Facebook
Questor Plus: Garry White's share tips in Egypt, Syria - plus Facebook.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5f4145/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r.....

FTSE 100: Defensives help blue-chips higher ahead of jobs data
Defensive shares were in demand as the benchmark index made modest gains ahead of the latest jobs data due out of the US and after better-than-expected services data.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/.....