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Tuesday 27 March 2012

UK Financial News on 2012-03-27

Demand for infrastructure takes off
Infrastructure assets are changing hands at a record pace amid investor demand for secure long-term income. In the past eight weeks, fund stakes worth more than £300m have changed hands.....

ETF price war breaks out as Vanguard takes aim
An exchange-traded funds price war is set to break out in Europe as US mutual fund giant Vanguard applies to enter the market and State Street steps up its push.....

Tight bond spreads spark buyside strike
Raft of tightly-priced deals have led investors to shun the corporate debt market.....

Private pensions face more than 30 fee structures
A host of separate types of fees are being levied on UK private pensions, according to new research.....

Buyout firms court controversy over asset transfers
Firms look into using new funds to but companies they already own, raising prospects of conflicts of interest on pricing.....

Barker and Ball breathe new life into JLT
Ex-BNP Paribas and JP Morgan executives eye launch of fiduciary management service.....

Head of equities departs Lombard Odier
Lombard Odier Investment Managers, the asset management arm of the Swiss private bank, has parted company with Aziz Nahas, its chief investment officer for equities.....

Traders launch fresh attack over data fees
Revenues from fees for market data have risen almost a third in the past four years Financial News research reveals.....

Equiduct accuses exchanges of dirty tricks
Platform's chief executive's claims come ahead of European watchdog outcome of review over its operating model.....

Down, down, down
While 2011 was the busiest full-year for M&A for four years with 802 deals recorded, activity slowed as the year progressed.....

First-class stamp will cost 60p
The price of a first-class stamp will rise from 46p to 60p from 30 April, and second-class will go up from 36p to 50p, after rule changes by the regulator......

Eurozone rescue fund boost urged
The head of the Organisation for Economic Co-operation and Development says that the eurozone needs to double its bailout fund to 1tn euros ($1.3tn, 836m)......

Osborne denies he leaked Budget
Chancellor George Osborne denies that key facts about the 2012 Budget, such as the abolition of the 50p tax rate, were leaked from his team......

Diamond Jubilee 'to hit economy'
Sir Mervyn King, the Governor of the Bank of England, says he expects the UK economy to contract between April and June due to the Queen's Diamond Jubilee bank holiday......

'No danger' from platform flare
The operator of a North Sea platform which is leaking gas says there is no immediate danger of ignition......

US house prices continue to fall
US house prices continued to fall in January, but at a slower pace than in the previous month, a closely-watched survey suggests......

Screen lawsuit hits phone makers
Samsung, Apple, Sony, LG Electronics, HTC and Research in Motion are sued over their use of screen technology in the US......

Easyjet to trial allocated seats
Low-cost airline Easyjet says it will trial giving passengers boarding passes with allocated seat numbers......

Amazon Kindle Touch Europe launch
Amazon starts pre-orders for its touch-screen e-reader in Europe, but has no update on a local launch for its Kindle Fire tablet......

Public-private pay gap expanding
The average worker in the public sector was paid 8.2% more per hour than their private sector counterpart, according to official figures......

Whisky boom boosts Scots exports
A strong performance by the whisky industry helped push Scottish food and drink exports to an all-time high last year......

Wolseley reports growing profits
Building and heating materials group Wolseley reports half-year profits of 250m, a 28% increase......

German strike disrupts air travel
Hundreds of flights are cancelled at German airports as ground staff strike as part of a wave of industrial action by public sector workers over pay......

Planning rules 'should unite all'
Business and conservation groups should be able to "unite behind" revised planning rules for England, says Communities Secretary Eric Pickles......

Spain's biggest bank is created
Spain's biggest bank in terms of assets is created after CaixaBank bought Banca Civica for 977m euros ($1.3bn, 817m)......

Apple hints at expansion in China
Apple indicates it will consider higher investments in China as chief executive Tim Cook visits Beijing to meet Chinese officials......

Rio Tinto explores diamonds sale
Rio Tinto is to explore selling its diamond interests, including an Australian mine where last month it found the world's biggest pink diamond......

Pet insurance rebuke for Halifax
The Halifax is rebuked by the Financial Ombudsman Service for making a "significant error" in promising life-long insurance to pet owners......

Friends Reunited relaunches site
Friends Reunited, once the biggest social network in the UK, relaunches as a site to share life memories......

Cybercrime threat 'on the rise'
Cybercrime is becoming an increasing threat to the financial services sector, according to an report by an accountancy firm......

'Cheap bills' plan for vulnerable
Energy company EDF will give a refund to vulnerable elderly customers who are not on its cheapest tariff......

Pension thresholds are increased
Higher earnings thresholds for automatic enrolment into pension schemes have been confirmed by the government......

Bernanke comments rally US stocks
US stocks finish higher after Federal Reserve chairman Ben Bernanke hints the US central bank will keep in place its supportive monetary policy......

Scottish economic recovery slows
There has been a slight deterioration in the Scottish economy's rate of recovery, according to the Lloyds TSB Scotland Business Monitor......

Merkel opposes Greece euro exit
German Chancellor Angela Merkel tells the BBC it would be a huge political mistake if debt-stricken Greece was allowed to leave the euro......

UK 'in RBS talks with Abu Dhabi'
The government is in talks to sell up to a third of its stake in Royal Bank of Scotland to Abu Dhabi, the BBC learns......

Game Group enters administration
Video game retailer, Game Group, goes into administration, with the immediate closure of 277 stores in the UK and Ireland......

SocGen wins UK newspaper damages
Societe Generale is to receive damages from UK newspaper the Mail on Sunday over an article that falsely alleged the French bank was close to bankruptcy......

Bradford need 1m to 'stay alive'
Bradford Bulls say they will go out of business unless they raise 1m, with at least half needed by mid-April......

Murray may bid without Ticketus
Prospective Rangers buyer Paul Murray will walk away from Ticketus if he cannot strike a deal in the interests of the club......

BMW helps fund Greek torch relay
German car maker BMW helps ensure Greece will be able to fulfil its leg of the Olympic torch relay despite the country's financial crisis......

VIDEO: Easyjet to trial allocated seats
Low-cost airline Easyjet says it will trial giving passengers boarding passes with allocated seat numbers......

AUDIO: Can Friends Reunited compete with Facebook?
ZDnet editor Rupert Goodwins talks to BBC Radio 5 live Breakfast about whether the relaunched Friends Reunited can be a success......

AUDIO: Royal Mail: Stamps hike 'essential'
The price of a first-class stamp will rise from 46p to 60p, and second-class from 36p to 50p, from 30 April......

VIDEO: Do you know the price of a stamp?
A first-class stamp is to rise in price from 46p to 60p after the regulator lifted some controls on Royal Mail......

AUDIO: Tanker strike 'completely unnecessary'
Energy Secretary Ed Davey reflects on the effects of strike action by petrol tanker drivers......

VIDEO: UK in 'RBS sale talks' with Abu Dhabi
The UK government is in talks to sell a significant stake in the Royal Bank of Scotland (RBS) to Abu Dhabi, the BBC has learned......

AUDIO: Planning minister: Communities are not a 'number on a plan'
The Today programme's Sanchia Berg reports on one project in Yorkshire that took nine years to work its way through the planning process. And Greg Clark, Minister of State at the Department for Communities and Local Government, outlines the governmen.....

VIDEO: 'An enormously simplified process'
Ministers have said that new planning guidelines for England will protect the countryside and boost jobs, but opponents have warned of "a building free-for-all"......

Motoring heritage: Hype or history?
Genuine nostalgia or pure marketing hype?.....

Taking charge: Who should small businesses choose to run their IT?
Who should small businesses choose to run their IT?.....

What is money and why do we trust it?
What exactly is money and why do we trust it?.....

Hatching an idea: From a funeral home to egg incubators
From a $10 nest egg to a thriving Kenyan bird farm.....

U.S. Day Ahead: MF Global takes to the Hill
editor Karey Wutkowski says everyone is looking for hints whether Jon Corzine knew of any misuse of funds......

Gold prices will hit $2,000 an ounce this year, Newmont CEO
Mar. 27 - Newmont Mining CEO Richard O'Brien says a weak dollar and demand from China and manufacturers will drive prices of the precious metal above $2,000 this year or early in 2013......

ECONOMY 2012: How EADS will spend its piles of cash
Sean OKeefe, CEO EADS North America, says hes excited about growth opportunities in 2012......

Gas sapping consumer confidence
March 27 - Americans were less upbeat in March than they were in February with higher gasoline prices a growing concern. Conway G. Gittens reports......

Trading at Noon: Eyeing health care as debate continues
Mar. 27 - Investors watch the health care sector as the Supreme Court debates President Obama's law......

Breakingviews: Pricey oil may be here to stay
Mar 27 - Rob Cox and Christopher Swann discuss how the rising cost of oil exploration spells bad news for gas guzzlers everywhere......

EMEA Day Ahead: Wednesday
Mar. 27 - Nick Parsons of National Australia Bank says this week's stocks rally has further to run thanks to a Fed pledge that has propelled world stocks to a 2012 high......

Wealth Strategies: Fed may add stimulus after June - Bianco
Mar. 27 - Jim Bianco of Bianco Research says U.S. Treasuries will have a hard time getting above 2.4-2.5% unless the Fed intervenes and says the central bank may announce QE3 after Operation Twist ends in June......

Stress costs business billions
March 27 - Increasing job insecurity and pressure in the workplace caused by the tough economic climate is taking its toll on Europe's workers. Hayley Platt reports......

3XSQ: A 'healthy' court debate; what's 'Cook'ing in China?
Mar. 27 - Protesters are back in action as the Supreme Court debates over the health care law, and Apple's Tim Cook travels to China to clear up trademark and labor issues......

Market Pulse: RBS shares surge, gold at technical crossroad
Mar. 27 - RBS shares rally on talk the UK will sell a stake in the bank to Abu Dhabi. Gold is at a potentially crucial technical crossroad, and dollar funding costs for euro banks hits an 8-month low......

Reuters on the Road: After the Robin Hood tax
Breakingviews Editor Hugo Dixon has one loop of Canary Wharf in a taxi to argue his case for an alternative bank tax......

Breakingviews: Growth excitement in India and China dimming
Breakingviews......

Reuters Today: Bernanke soothes investors
Mar. 27 - Fed Chairman's backing for ultra-loose monetary policy boosts stocks, Japan slams North Korea, RBS in Abu Dhabi talks and Madonna fights censors......

The real story behind Shanghai's copper stockpiles
Mar. 27 - Copper is piling up in China. The red metal is used in electric cables and air conditioning, but now it's found a more popular role for cash-strapped traders: collateral for loans......

Strauss-Kahn in sex ring probe
March 27 - Former IMF chief Dominique Strauss-Kahn under formal investigation over alleged involvement in a prostitution case. Rough Cut (no reporter narration)......

China's gasoline prices now higher than the U.S.
March 26 - Chinese businesses feel the heat as fuel prices hit record levels following two hikes in six weeks. Arnold Gay reports......

Less than sparkling outlook for diamond giant De Beers
Mar. 27 - The world's biggest diamond producer De Beers expects demand for gems to grow more slowly this year than in 2011......

Flights cancelled by German strike
March 26 - Hundreds of flights across Germany are canceled after a strike by ground staff over pay. Joel Flynn reports......

U.S. Morning Call: Health care law debate enters second day
Mar. 27 - The U.S. Supreme Court continues to hear arguments on whether Congress can mandate Americans to buy health insurance......

Wall St soars on Bernanke comments
March 26 - Pending home sales took a surprise dive and gas prices keep rising, but hints from Federal Reserve Chief Ben Bernanke that hes not ready to end stimulating the economy helped push stocks sharply higher. Jeanne Yurman reports......

Economist Peter Hooper: No Fed QE3 on the horizon
correspondent Elizabeth Koraca that the Fed will not undertake another round of QE......

U.S. Day Ahead: Round two on Obamacare
Mar. 26 - The U.S. Supreme Court convenes another day of hearings on the constitutionality of President Obama's healthcare law. Also, economic data will give a sense of consumer attitudes and housing health......

Supreme Court unlikely to delay healthcare ruling
' Joan Biskupic says the Supreme Court will likely rule the sanctions included in President Obama's healthcare law are not a tax and will proceed to hear arguments on the individual mandate......

Lawyer vs. Lawyer - Attorneys face off on Obamacare hearing
Mar. 26 - Constitutional experts Kevin Russell, a partner with Goldstein Russell, and Alan Morrison, professoer of law at George Washington Univetsity, face off on the Supreme Court hearing over Obamacare......

Spain to slash spending as economy slumps back into recession
Spain's fragile economy has fallen back into recession and the country faces a year of grinding economic decline as premier Mariano Rajoy slashes spending yet further to meet EU demands.<img width='1' height='1' src='http://telegraph.feedsportal.c.....

Eurozone needs 'mother of all firewalls', says OECD
The eurozone needs "the mother of all firewalls" if it is to protect the EU's single currency from debt contagion, the Organisation for Economic Co-operation and Development (OECD) has warned.<img width='1' height='1' src='http://telegraph.feedspo.....

Public sector needs pay cuts not redundancies
New figures from the Office for National Statistics show that pay in the public sector is 8.2pc higher than in the private sector. No wonder public-sector unions are so keen to demonstrate and disrupt. They have a great deal to lose.<img width='1'.....

EU lawmaker Othmar Karas calls for cap on banker pay
Bankers should have their bonuses capped at no more than twice basic pay and be forced to hand back 'golden hellos' if they fail to perform, European Union lawmakers have proposed.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/3.....

Ireland will vote on EU fiscal treaty in May
Ireland will vote on May 31 on whether to back the new fiscal treaty agreed by the European Union earlier this year.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd7d680/mf.gif' border='0'/><br/><b.....

Chancellor George Osborne 'working' on small business bond market
The Chancellor told the Treasury Select Committee that officials were poring over plans to package up small business loans into bundles that could be bought and sold by institutional investors.<img width='1' height='1' src='http://telegraph.feedsp.....

Elderly exaggerate QE effect on pensions, claims Bank of England Governor Sir Mervyn King
Pensioners have exaggerated how much money they are losing because of quantitative easing, according to Sir Mervyn King, the Governor of the Bank of England.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd8382.....

Elderly exaggerate QE effect on pensions, claims Bank of England Governor Sir Mervyn king
Pensioners have exaggerated how much money they are losing because of quantitative easing, according to Sir Mervyn King, the Governor of the Bank of England.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd74bb.....

Total considers relief well to stem North Sea gas leak
Total has admitted it could take up to six months to stop a major leak of flammable gas at its Elgin platform in the North Sea.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd48c0a/mf.gif' border='0'/><b.....

Resolution rules out share buyback due to poor investment returns
Insurance industry buyout company Resolution said it would not be paying out 250m to shareholders as previously expected because of the poor performance of its market investments in recent months.<img width='1' height='1' src='http://telegraph.fee.....

IPR cools as analysts scotch talk of GDF bid
Investors' appetite for International Power cooled as Deutsche Bank questioned the speculation that GDF Suez could swallow the power-generation business.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd6cdea/mf.....

Rio Tinto to sell diamond business
Rio Tinto posted a "for sale" sign on its diamond business, signalling the continued retreat of the world's biggest miners from an industry in which they are struggling to achieve scale.<img width='1' height='1' src='http://telegraph.feedsportal.c.....

Public and private sector pay gap hits 10-year high
Civil servants paid up to 9pc more on average, claims ONS.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd6cdeb/mf.gif' border='0'/>.....

Bellway raises dividend as profits jump
Bellway, the UK's fourth-biggest housebuilder, has upped its dividend as profits rose by more than two thirds.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd6ca09/mf.gif' border='0'/><br/><br/>.....

Wolseley profits jump as US growth offsets weak Europe
Wolseley, the builders merchant and economic bellwether, has reported a 28pc rise in first-half profit as continued strong growth in the United States offset weakness in Europe.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/3272.....

FTSE 100: RBS leads risers on talk of stake sale to Abu Dhabi
Royal Bank of Scotland was the best-performing blue-chip share on Tuesday amid talk that a stake could be sold to Abu Dhabi.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd3d9fa/mf.gif' border='0'/><br/&.....

Planning overhaul 'will boost economy', says UK business
British business has given a warm welcome to the UK's controversial new planning regime, arguing that its presumption in favour of 'sustainable development' will get Britain building and spur on economic growth.<img width='1' height='1' src='http:.....

Kazakhmys' higher costs outweighed by jump in copper prices
Asian-based copper miner Kazakhmys said that costs had jumped and sales volumes dipped in 2011, but higher copper prices boosted revenues.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd67d5b/mf.gif' border='0.....

BP sells North Sea assets for 252m
BP has sold 251.7m-worth of North Sea assets but the oil giant has insisted it is still committed to developing around the UK.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd67d5c/mf.gif' border='0'/><br.....

888 Holdings hopes to re-enter US market this year amid 'remarkable turnaround'
Online gaming company 888 Holdings is betting on re-entering the US market before the end of 2012, six years after it was forced to close its American business.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd4.....

How to make the most of your pension
Why savers should make the most of tax breaks for retirement plans.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd65a3b/mf.gif' border='0'/>.....

Royal Mail increases price of first-class stamp
The price of stamps could continue to rise sharply, after Royal Mail was given the freedom to set the price of its first-class stamps.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd6ca0c/mf.gif' border='0'/&g.....

Royal Mail refuses to rule out 1 first-class stamp
The price of stamps could continue to rise sharply, with Royal Mail refusing to rule out an eventual 1 charge for a first-class stamp.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd4f85a/mf.gif' border='0'/&g.....

Has the diamond market peaked?
Does an exit from diamonds by two of the world's largest mining companies imply a top in the market for sparklers?<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd3a12a/mf.gif' border='0'/><br/><br/.....

FTSE 100: RBS leads risers on talk of stake sale
Royal Bank of Scotland was the best-performing blue-chip share on Tuesday morning amid whispers that a stake could be sold to Abu Dhabi.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1dd3a12c/mf.gif' border='0'/.....