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Monday 27 February 2012

UK Financial News on 2012-02-27

Regulations drive wedge between banks and clients
New research reveals diverging expectations, a breakdown in trust and a ‘blame culture'.....

Marex Spectron outlines aggressive Asian push
Commodities broker backed by ex-Lehman Brothers bankers is ramping up while most rivals are scaling back.....

Volcker Rule forces banks out of buyout funds
Banks, under pressure from the US financial reforms of the Volcker Rule, are selling stakes in private equity funds at an unprecedented rate.....

Buyout firms invest in higher education
UK government's receptive stance on private investment in higher education could yield rewards.....

Ex-Citigroup bankers set up Tages in London
A former head of investment banking at Citigroup has gained FSA-authorisation for a new company managing funds of hedge funds, an industry whose assets have fallen 60% since 2007.....

Corporate borrowers still favour loans over bonds
Nearly three-quarters of European high-grade borrowing in the second half of last year was in loans, despite predictions of a shift to bond funding.....

Oil market braced for shake-up
Global regulatory group Iosco set to consult with oil industry on what could herald an upheaval in the way crude prices are set.....

Currency markets target their own fear index
FX options trading platform today starts publishing rates that pave the way for a first currency volatility index.....

RBS offloads wealth business to Santander
Spanish bank is taking a UK wealth advisory business alongside a deal to take 318 bank branches from RBS.....

Managers ride their own bull market
Shares of top-five UK-listed asset managers have risen nearly 20% so far this year, but analysts say they are still undervalued.....

HSBC annual profits reach 13.8bn
HSBC's annual profits rise 15%, boosted by its performance in Asia and other emerging markets in a year of "major progress"......

Prudential may shift HQ from UK
The Prudential, the UK's biggest insurer, is considering moving its headquarters overseas to escape new rules......

Arsenal profit from player sales
Premier League football club Arsenal reports a huge rise in half-year profits to 49.5m, following the sale of some key players......

German MPs approve Greek bailout
German MPs vote by 496 to 90 to back Greece's second EU/IMF bailout, though Chancellor Angela Merkel concedes it might not work......

Portugal to face bailout review
Portugal faces a review of its spending cuts and economic reforms as lenders consider granting the next slice of bailout funds......

Bank tax dodges halted by new law
A bank in the UK has been forced to pay half a billion pounds in tax which it had dodged by using "highly abusive" tax avoidance schemes......

GM may buy small stake in Peugeot
General Motors is close to buying a small stake in Peugeot Citroen as part of a strategic alliance between the carmakers, reports say......

EU warning on energy competition
The European Commission warns eight countries to increase energy competition or face legal action at the European Court of Justice (ECJ).....

UK firm's role in iPad name row
Court papers in a legal dispute over the iPad trademark follow an "extensive investigation", Proview tells the BBC......

G20 seeks eurozone bailout boost
Eurozone countries need to put more money in their rescue fund before G20 nations can help them, the G20 finance ministers say......

China 'needs free-market reforms'
China needs to embrace fundamental free-market reforms if its economy is to continue to grow at its current pace, says the World Bank......

Sharp profit jump for Bovis Homes
UK housebuilder Bovis Homes has reported a steep jump in profits for 2011 and says the average sales price rose to 180,100......

Rangers fined 50,000 over Whyte
Rangers are fined 50,000 for failing to disclose owner Craig Whyte had been previously disqualified as a director......

Essar shares slump on 2011 loss
Shares in India's Essar Energy have slumped almost 10% after the company reported an after-tax loss for 2011......

Elpida seeks bankruptcy shelter
Japanese chipmaker Elpida files for bankruptcy protection as it struggles to repay debts of 448bn yen......

Olympus names new board members
Embattled camera and medical equipment maker Olympus proposes a new board as it attempts to recover from a $1.7bn accounting scandal......

Pearson sees digital profits rise
Educational publisher and FT owner, Pearson reports a rise in profits thanks to improved digital sales and growth in emerging markets......

'Childcare cost rise risks jobs'
Some parents could be forced out of work and into poverty as the rising cost of childcare outstrips wage rises, says a report......

Gulf oil disaster trial delayed
The civil trial over the 2010 Deepwater Horizon oil rig disaster, which was due to start on Monday, is delayed to allow for further talks on a settlement......

Lower freight rates knock Maersk
Danish container shipping firm AP Moller-Maersk reports a sharp fall in profits for last year and warns 2012 will see profits slip further......

Eye firm to create 100 new jobs
The eye company, Optical Express, is to open 24 new clinics in the UK and create 100 customer care jobs in Scotland......

Hampshire land Rose Bowl sponsor
Hampshire announce a new naming rights deal for their Rose Bowl ground, which will now become known as the Ageas Bowl......

League defends club owner tests
The Football League defends its record on scrutinising club takeovers but admits its investigations are limited due to financial restraints......

VIDEO: Mobile giants unveil latest designs
Rory Cellan-Jones previews the World Mobile Congress in Barcelona and asks if there is any difference between the raft of new phones being announced......

VIDEO: Greek carnival highlights crisis
The financial crisis in Greece was the theme of the country's biggest carnival parade......

AUDIO: Prudential considering Asia move
The Asia Finance Correspondent for the Wall Street Journal told BBC Radio 5 live why Prudential could be tempted by Asia......

AUDIO: 74 farms report livestock disease
Seventy-four UK farms say the have been affected by the Schmallenberg virus 74 farms, which can cause ewes to give birth to dead or deformed lambs which often have to be shot......

AUDIO: Asia behind HSBC profits surge
Annual profits at HSBC have risen 15% to 14bn. About 90% of this was made outside the UK......

VIDEO: Greek cartoons stoke anti-German mood
In Berlin the Bundestag will vote on Monday on whether to endorse Greece's recent bailout package of 130bn euros (110bn; $170bn)......

VIDEO: Fairtrade 'making all the difference'
It has been nearly 20 years since the Fairtrade Foundation was set up with the aim of providing products that guarantee a better deal to the farmers in the developing world......

VIDEO: Doubts raised over Fairtrade farms
Monday marks the start of Fairtrade Week, but the scheme is not without its critics......

Wage rows threaten Indonesia's booming manufacturing
Could strikes dent Indonesia's growing manufacturing power?.....

UAE tries to tempt Chinese tourists
Spreading the word about holidays in the Gulf.....

The American bus revival
Are Americans overcoming their dislike of buses?.....

Hong Kong entrepreneur finds opportunity in citys darkest moment
Opportunity comes in unusual form for Hong Kong coffee chain.....

Families hide wealth to avoid care fees
Families hiding their wealth to avoid care home fees.....

Are Greeks the hardest workers in Europe?
Are Greeks the hardest workers in Europe?.....

Gujarat state in the fast lane of Indian economy
Gujarat state in the fast lane of Indian economy.....

U.S. Day Ahead: Fed to be grilled on housing white paper
Correspondent Pedro Da Costa says Fed Governor Elizabeth Duke is expected to face a critical crowd when she testifies on the housing sector before a Senate panel......

Trading at Noon: Wall St. bounces back, trades flat
Feb. 27 - U.S. stocks rebounded from near 1% losses after the open to turn flat in late morning trading......

BP trial delayed; Gulf still hurting
Feb. 27 - Settlement talks are on between BP and businesses hurt by the Gulf of Mexico oil spill after the trial is put on hold for a week, but business in the Gulf remains precarious. Bobbi Rebell reports......

German MPs approve second Greek bailout
Feb.27 - Germany's parliament has endorsed the second Greek bailout, despite domestic pressure on Chancellor Angela Merkel to stop funding Greece and other indebted euro zone economies. Joanna Partridge reports.....

G20 to EU: Do more!
Feb 27 - Markets are still concerned about the European debt crisis after a weekend meeting of G20 finance ministers and central bankers. The Group of 20 leading economies also expressed concerns about rising energy costs. Conway G. Gittens reports......

Breakingviews: Succession at Berkshire Hathaway
Feb 27 - Breakingviews columnists discuss why, in one way, Warren Buffett should take a lead from Rupert Murdoch......

Nokia's launches mobile phone fightback
Feb.27 - Finnish mobile giant Nokia has unveiled its new Windows-powered Lumia smartphones at the Mobile World Congress in Barcelona. Andrew Potter reports.....

Crisis at Japan's last PC chipmaker
Feb.27 - Japan's Elpida Memory says it has filed for protection from creditors with 5.55 billion dollars in debt, the biggest bankruptcy filing by a Japanese manufacturer. Ciara Sutton reports.....

Europe Day Ahead: Tuesday
Feb. 27 - Germany remains under pressure to agree an increase in euro zone bailout funds......

Morning Briefing: Buffett's optimism, iPhone smuggling
Feb. 27 - Warren Buffett tells CNBC he sees housing on the mend and doesn't think high oil prices will stop the recovery, and smugglers invent new ways to get iPhones into China......

Buy your own French village
Feb.27 - For those who want to buy their own village complete with buildings, tennis courts and a swimming pool - bids to buy Courbefy in western France started at just 300,000 euros, the price of a small apartment. Joanna Partridge reports.....

ECB Bond Buying Data
Feb. 27 - Morgan Stanley Head of European Interest Rate Strategy assesses the latest European Central Bank bond buying data......

Buy convertible bonds of Peabody, Venezuela, investor says
Feb. 27 - John Lekas of Leader Capital says convertible bonds of oil companies help investors play the rise in commodity prices with the possibility of equity-like returns while hedging with fixed income......

Euro exit more pain than gain - Greek tourism minister
Feb. 27 - The cost of leaving the euro would far outweigh any boost to the country's tourist industry, says Greece's minister for tourism and culture, Pavlos Yeroulanos......

Breakingviews: Less austerity needed to help Europe grow
Breakingviews Hugo Dixon......

Breakingviews - HSBC results best of bad bunch
Breakingviews......

Nokia unveils cheaper Windows smartphone
Feb. 27 - Nokia CEO Stephen Elop on his strategy to target a wider market with cheaper smartphones using Microsoft software......

Reuters Today: G20 to Europe: show us the money
Feb. 27 - The leading global economies tell Europe to do more to tackle its debt crisis it if wants extra help from the rest of the world......

Reuters Today: G20 to Europe: show us the money
Feb. 27 - The leading global economies tell Europe to do more to tackle its debt crisis it if wants extra help from the rest of the world......

Zoellick: no hard landing for China, but reforms needed
Feb.27 - World Bank President Robert Zoellick says China's population will grow old before it gets wealthy, Beijing must proceed with reforms. Arnold Gay reports.....

One-child China goes SUV shopping
Feb. 27 - So what if you're only allowed one kid? Today's middle class Chinese driver isn't satisfied with just a regular compact car - they want something bigger. Jon Gordon reports from Beijing......

Gillard fights off leadership battle
Feb 27 - Australian Prime Minister Julia Gillard emerges the clear winner in a leadership showdown with Kevin Rudd. Paul Chapman reports......

Italian, Spanish reforms key to Europe's success: Zoellick
Feb. 27 - The health of Europe's economy will depend on whether the ECB supports structural and fiscal reforms made by Italy and Spain, says World Bank outgoing president Robert Zoellick......

China heading for "soft landing": World Bank President
Feb. 27 - Energy prices and Europe's ongoing credit crisis are two major risks to china's economy, says World Bank outgoing president Robert Zoellick......

U.S. Morning Call: Who will succeed the 'Oracle of Omaha'?
Feb. 27 - In an interview with CNBC Warren Buffett says the person chosen to replace him as CEO of Berkshire Hathaway doesn't know he has been selected......

S&P downgrades Greece: the full text
S&P has downgraded Greece to "SD", meaning it believed the country has undergone a selective default. Here are the rating agency's reasons for the move.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfbcecb.....

Thousands of staff share over 2million in bonuses at quangos AFTER they were scrapped
Thousands of staff shared millions of pounds in bonuses at regional development quangos after they were axed by the Coalition, The Daily Telegraph can disclose.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfb.....

Germany approves Greek bail-out but warns Angela Merkel against further help
German politicians approved the 130bn bail-out for Greece, as S&P downgrades Greece and claims that the debt-stricken country has undergone a selective default.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/.....

Debt crisis: as it happened - February 27, 2012
Germany's Parliament overwhelmingly endorses a second Greek bailout despite growing pressure from voters and the media, while Chancellor Angela Merkel admits there is no guarantee that it will work.<img width='1' height='1' src='http://telegraph.f.....

Market Report: Ophir firms as analysts fuel bid speculation
Ophir Energy was in demand as City analysts tipped the company to be the next independent oil explorer to receive a takeover offer from an oil major, possibly BP.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c.....

HMRC stops Barclays using 'abusive' schemes to avoid paying 2bn tax
HMRC has stopped Barclays from using two 'highly-abusive' schemes that would have helped it avoid paying at least 2bn of tax.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfba00e/mf.gif' border='0'/><br/.....

Debt crisis: live
Germany's Parliament overwhelmingly endorses a second Greek bailout despite growing pressure from voters and the media, while Chancellor Angela Merkel admits there is no guarantee that it will work.<img width='1' height='1' src='http://telegraph.f.....

HSBC is rolling in money - and so is its chief Stuart Gulliver
George Osborne laid it on thick over the weekend, declaring: "The British Government has run out of money."<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfb3771/mf.gif' border='0'/>.....

Forget moving, Prudential chief Tidjane Thiam should consider a break-up
He's a right tease that Man from the Pru. Always threatening to quit Britain.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfb3772/mf.gif' border='0'/>.....

HMRC stops UK bank using 'abusive' schemes to avoid paying 2bn tax
A UK-based bank has been stopped from using two 'highly-abusive' schemes that would have helped it avoid paying at least 2bn of tax.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfb5671/mf.gif' border='0'/>.....

HSBC chief executive Stuart Gulliver paid 8m as profits rise
HSBC has stoked the row over City bonuses as its chief executive, Stuart Gulliver, received a pay package for 2011 worth nearly 8m, while 64 UK-based staff of the bank earned more than 1m last year.<img width='1' height='1' src='http://telegraph.f.....

China risks 'middle income trap' without free market revolution
China's spectacular catch-up growth is nearing its limits, leaving the country prey to the "middle income trap" over coming years unless Beijing embraces the free market and relaxes its suffocating grip over the economy.<img width='1' height='1' s.....

China risks 'middle income trap' without free market revolution
China's spectacular catch-up growth is nearing its limits, leaving the country prey to the "middle income trap" over coming years unless Beijing embraces the free market and relaxes its suffocating grip over the economy.<img width='1' height='1' s.....

Facebook's app move makes mobile phones a priority
Facebook has mounted a major bid to position itself at the heart of the mobile ecosystem, posing a potential threat to Apple and Google and underscoring the importance of mobile to the company's growth plans.<img width='1' height='1' src='http://t.....

Hiscox chairman eyes retirement as profits fall 92pc
For a man who has spent nearly half a century helping businesses cope with the unpredictable things in life, Robert Hiscox, the chairman of the eponymous insurer, is looking forward to his retirement next year and the prospect of dying "on the horn o.....

BP close to $14bn settlement over Gulf of Mexico oil spill
BP is reported to be close to agreeing a $14bn (8.8bn) settlement with the thousands of businesses and individuals who are suing the UK oil group over the Gulf of Mexico oil spill.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/3.....

Five tests that saved Britain from the fate of economic oblivion
The judgment of history is unlikely to be kind on Britain's former prime minister, Gordon Brown, yet amid the wreckage it is sometimes forgotten that some things he did in fact get right.<img width='1' height='1' src='http://telegraph.feedsportal......

Bunzl shares hit record high as company bags big profits
Bunzl shares raced to an all-time high after the distribution company posted a strong increase in profits and suggested the global economy was brightening.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfadd32/.....

Ophir firms as analysts fuel bid speculation
Ophir Energy was in demand as City analysts tipped the company to be the next independent oil explorer to receive a takeover offer from an oil major, possibly BP.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c.....

Cookson profits leap 11.7pc
Cookson - the FTSE 250 industrial materials group - has unveiled an 11.7pc increase in full-year profits, sending its shares 3.5pc higher to 694p.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfa72c6/mf.gif' b.....

Aircraft engineer Senior sees profits jump 40pc
Booming business from Boeing and Airbus has given Senior, the aero-engineering group, a profits lift-off.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfa6ec5/mf.gif' border='0'/><br/><br/><a.....

Minister: Late payment legislation has failed
Legislation to tackle late payment "hasn't worked", small business minister Mark Prisk has admitted: small companies instead need to help Government publicly "challenge" poor payment practice to force companies into improving their behaviour.<img .....

New Olympus board members blasted by shareholders
Hopes that Olympus's troubles would lead it to make a clean break with the past were dashed as the scandal-hit Japanese company appointed a new board peopled with banking advisers, investors and other related parties.<img width='1' height='1' src=.....

Essar Energy shares tumble on $881m loss
Miserable plight of investors in Indian group continues as share fall 16.8pc.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cf9f598/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.....

O2 to launch mobile money transfer app to rival Barclays' Pingit
O2 is poised to launch a mobile money transfer app to rival Barclays' "Pingit", effectively opening the technology to all banks.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1cfa51fe/mf.gif' border='0'/><.....