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Wednesday 29 August 2012

UK Financial News on 2012-08-29

Barclays faces SFO investigation
Barclays confirms it is facing a probe from the Serious Fraud Office over some payments between the UK bank and Qatar......

US expands more than estimated
The US economy grew at an annualised pace of 1.7% in the second quarter, more than first estimated, official figures show......

Probe into Ryanair Aer Lingus bid
Budget airline Ryanair's latest attempt to take over its Irish rival Aer Lingus is to be investigated by the European Commission......

Brazil public sector strike off
Public workers in Brazil accept a government pay deal and call off a strike that had been causing disruption across the country......

MPs demand action on alcohol tax
The UK's tax authorities should do more to tackle alcohol smuggling, including more prosecutions, a committee of MPs says......

Date set over Samsung 'phone ban'
Apple's legal motion to have some Samsung mobile phones banned in the US will now be heard in court in December, a judge says......

Osborne downplays 'rich tax' call
Chancellor George Osborne warns against "driving away" the UK's "wealth creators", after Deputy PM Nick Clegg calls for a temporary additional tax on the rich......

Workless households total falls
The number of households where no adult aged 16 to 64 is in work has fallen slightly for the second year in a row, official figures show......

Amazon launches daily deals in UK
Retailer Amazon launches its own daily deal website in the UK, putting it in competiton with the likes of Groupon......

Australia joins EU carbon market
Australia plans to link its carbon trading scheme with Europe's, enabling Australian firms to use EU permits to emit CO2 from mid-2015......

Standard Life announces revamp
Edinburgh-based pensions and savings company Standard Life announces significant changes in its organisation......

Sales of top-end houses double
House prices in England and Wales have risen slightly in the past year, but demand for 1m-plus properties has grown sharply, figures show......

Film studio drops new homes plan
A new planning application for the expansion of Pinewood Studios will not include houses, it is confirmed......

Paddy Power profits rise further
Paddy Power reports a rise in half-year profits thanks to accelerated growth in online gaming and marketing during the Euro 2012 football tournament......

John Lewis to sell Nook e-reader
John Lewis is to sell the Nook e-reader, made by bookseller Barnes & Noble, becoming the first company outside the US to sell the device......

Claims management faces new rules
People who have been let down by claims management companies will be able to complain to the Legal Ombudsman from next year......

Used cars top list of complaints
Complaints about used cars bought from independent dealers are the most common gripe from people using the Citizens Advice helpline......

Heathrow capacity 'harms' economy
MPs say the restriction of capacity at Heathrow is harming the UK's economy......

Catalonia seeks 5bn-euro bailout
The debt-ridden Spanish region of Catalonia asks for a bailout of 5bn euros ($6.3bn; 4bn) from the central government......

Lufthansa staff to go on strike
The cabin staff at German airline Lufthansa are to go on strike, possibly as early as Thursday, as wage talks broke down this week......

Japan's Daikin in $3.7bn US deal
Japanese air-conditioner maker Daikin has agrees a deal to buy US rival Goodman Global for $3.7bn (2.2bn)......

HK regulator in China secrecy row
Hong Kong's financial market regulator is taking Ernst and Young to court, to force it to reveal information on a former China-based client......

G4S reveals 50m Olympics loss
Security firm G4S says the contract to provide security for the London 2012 Olympic Games has cost it 50m, after it failed to provide enough guards......

Dons offered new stadium sites
Aberdeen FC has received calls from private landowners offering potential sites for a new stadium, the club says......

AUDIO: Clegg 'in a bind' over tax
Nick Clegg has suggested a temporary new tax on the wealthiest to help economic recovery. George Bull, senior tax partner at Baker Tilly, gives his analysis......

VIDEO: Tax plans 'could drive wealth away'
Nick Clegg's plans for the UK's wealthiest people to pay more tax could drive wealth creators from the country, the chancellor has warned......

VIDEO: Clegg: 'Rich should pay more tax'
Nick Clegg has suggested the UK's wealthiest people could be asked to pay more tax for a limited period......

VIDEO: How vital is Heathrow to the economy?
The restriction of capacity at Heathrow is harming the UK's economic potential, a group of MPs has said......

VIDEO: Virgin 'wants answers' to bid queries
Sir Richard Branson says Virgin has started court proceedings over the rail franchise decision because it wants "major questions" answered......

VIDEO: Ryanair's Aer Lingus bid faces EU inquiry
Budget airline Ryanair's latest attempt to take over its Irish rival Aer Lingus is to be investigated by the European Commission......

AUDIO: OBR's track record 'pretty lousy'
The Office for Budget Responsibility (OBR) has been appalling, its economic forecasts a disaster which have given George Osborne "no end of trouble". So says one of the men who helped write the brief for the OBR back when it was set up......

VIDEO: Catalonia requests Madrid bailout
The debt-ridden Spanish region of Catalonia has asked for a bailout of 5bn from the central government.....

From prison to profit
How businessman Duane Jackson turned his life around.....

Chinese factories turn to Bangladesh
China factories turn to Bangladesh as labour costs rise.....

Formula E racing series is launched
Motorsport launches new series for electric racing cars.....

Viewpoint: Would a wealth tax work?
The practical problems of introducing a wealth tax.....

Apple-Samsung: Expert opinions
Views on Apple's patent victory over Samsung in the US courts.....

Facebook ads: 100,000 bill for government
Is 100,000 bill for UK government a good deal?.....

U.S. Day Ahead: Why jobless claims matter
Aug 29 - Investors, digging in before Bernanke's big speech on Friday, should focus on initial jobless claims for clues about what the critical jobs report will look like in August......

Bio-retina could be boon for the blind
Aug 29 - An Israeli company has developed an artificial retina to restore sight to millions blinded by retinal disease. Called Bio-Retina, the implant mimics the function of the natural retina when age-related macular degeneration (AMD) or diseases l.....

Trading at Noon: Yelp soars after lockup period ends
Aug 29 - Yelp shares surged as much as 23 percent on heavy trading volume as its lockup period came to an end, breaking the trend of internet company stocks falling after their lockups expire......

Will Spain follow Catalonia?
After Spain's wealthiest region, Catalonia, asks for a bailout the Spanish central government rebuffs speculation of a full sovereign rescue. Ivor Bennett reports.....

Merkel praises Italy's economic reforms
The round of top level meetings between key European players continued, as German Chancellor Angela Merkel praised Italy's economic reforms during a visit from Prime Minister Mario Monti. Monti says Rome's recent debt sales have gone well, but all ey.....

Wealth Strategies: Markets may rise after GOP convention
Aug. 29 - S&P Capital IQ's Sam Stovall says stock markets tend to rise after Republican conventions, but points out this year investors will be looking for signs the parties are willing to compromise on issues......

Breakingviews: Conserve or drill?
Aug 29 - Antony Currie and Christopher Swann discuss the relative merits and shortfalls of President Obamas and Mitt Romneys ideas for cutting U.S. dependence on foreign oil......

Europe Day Ahead: Merkel in China; Italy tests bond market
Aug. 29 - German Chancellor Angela Merkel heads to China to seek support for euro zone assets, while a bond auction will test Italy's claim that markets are starting to recognise its reform efforts......

Angry Birds land in UK park
Aug. 29 - The UK's first Angry Birds activity park opens in Nottinghamshire with more planned globally by Finnish firm Rovio and theme park makers Lappset. Hayley Platt reports......

3XSQ: U.S. GDP doesn't excite as investors await Bernanke
Aug 29 - Second-quarter GDP growth expanded 1.7 percent while many are still holding out hope the Fed's Bernanke will announce more stimulus at Jackson Hole......

U.S. Morning Call: Isaac hits Louisiana, oil rigs spared
Aug 29 - Hurricane Isaac slammed into Louisiana this morning, causing some damage but missed oil platforms off the coast; U.S. GDP may have grown at a faster pace in Q2, according to a poll of economists......

Market Pulse: G7 ups ante on oil, Isaac and Ben in focus too
Aug. 29 - G7 nations are calling on the IEA to raise oil output, and threatening to tap strategic reserves if they don't get their way. Hurricane Isaac and Ben Bernanke also very much on traders' radars......

Reuters on the Road: ProFinda unlocks 'floating talent'
Aug. 29 - ProFinda founder Roger Gorman takes the taxi challenge, explaining how companies can harness dating algorithms to identify employees' hidden skills......

Reuters Breakingviews: UK rich tax talk
global commentary unit Breakingviews......

China's shine fades for equity investors
Aug. 29 - Chinese stocks have tumbled to three-year lows, and analysts say the outlook will remain grim as long as corporate governance stays weak and locals stick to the sidelines......

China's two-speed auto industry
Aug. 29 - Growth in the world's largest car market is stalling, but some local automakers are still managing to flourish by branching out overseas or focusing on niche products......

Reuters Today: The one where Monti meets Merkel
Aug. 29 - Italian PM Mario Monti meets German Chancellor Angela Merkel. Among his talking points: why wide spreads are a problem for Germany as well as Italy. Plus, G7 ready to act on high oil......

Dutch vote looks fateful for euro zone
Aug. 29 - The Netherlands general election on September 12 could prove fateful for the euro zone with polls showing anti-bailout, anti-austerity parties within reach of victory......

Hurricane could whipsaw gas prices
Aug 28 - Isaac, upgraded to a category one hurricane, along with a fire at Venezuela's biggest oil refinery are expected to push gas prices higher over Labor Day weekend and no relief is in sight beyond the holiday, according to analysts. Sasha Salam.....

Bulls and bears watch out for Isaac
Aug 28 - Summary of business headlines: Oil prices rise as Isaac upgraded to hurricane; Home prices rise for fifth month, but consumer confidence wanes; Apple seeks Samsung phone ban in U.S.; Stocks little changed on Wall Street but mostly down acros.....

U.S. Day Ahead: Three key numbers that could stir markets
Aug 28 - The Fed's Beige Book, updated GDP numbers and pending home sales in the morning could breathe life back into the markets as they wait for Ben Bernanke's critical Fed speech on friday......

LIGHTNING ROUND: Isaac creating a hurricane in energy prices
Aug. 28 - NYMEX trader Ira Eckstein says volatility is the name of the game in energy markets right now, and that if Hurricane Isaac doesn't do a lot of damage, prices will tumble quickly......

Spanish retail giant in trouble
Aug. 28 - Spain's most iconic retailing store El Corte Ingles shows dramatic slip in sales amid the country's economic crisis and makes efforts to adjust to new reality. Ivor Bennett reports.....

German firm keeps Paralympians running
TV visits one of the workshops and looks at what kind of a boost the Games could give to the company. Joanna Partridge reports......

Trading at Noon: Isaac shuts down Gulf Coast
Aug 28 - Tropical storm Isaac triggered refinery and oil rig shutdowns as it nears hurricane strength in the Gulf Coast's oil refining belt......

Transport Secretary 'acted unlawfully' claims Virgin
Justine Greening "acted unlawfully", "irrationally" and in contravention of EU law when she awarded the 13.3bn West Coast rail contract to FirstGroup, Virgin Rail claims.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568.....

Citigroup pays 373m to settle debt claims
Citigroup has agreed to pay $590m (373m) to investors who allege they were misled about the scale of the bank's ownership of troubled mortgage debt before the financial crisis.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726.....

Holding off will help all the players in the high stakes game of Xstrata
The failure of the 44bn merger between Glencore and Xstrata moves closer every day. If that occurs there will be quite a post mortem.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22de4ba5/mf.gif' border='0'/>.....

Tap the wealthy to create jobs
Nick Clegg's latest idea for economic recovery, more tax please, is at least predictable. No surprises and no new ideas.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22de4ba6/mf.gif' border='0'/><br/>&.....

Dark clouds gather over China's once-booming solar industry
China's push into solar energy was supposed to be a proud example of how the country was advancing into hi-tech manufacturing. But now the whole sector is on the brink of bankruptcy.<img width='1' height='1' src='http://telegraph.feedsportal.com/c.....

Gazprom puts giant Shtokman Russian Arctic gas project on ice over costs
Russian state-controlled gas company Gazprom has shelved plans to develop the giant Shtokman gas field in the Arctic, blaming the high costs of the flagship project.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s.....

Best to get used to high food and energy prices - they're here to stay
"The pessimist sees difficulty in every opportunity," Winston Churchill famously remarked, but "the optimist sees the opportunity in every difficulty."<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22ddf9e8/mf.g.....

888 bets pay off as shares climb
The online gaming group rewarded investors by reinstating its dividend.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22ddf9ea/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r.....

Rise in foreign landlords is 'crowding out first-time buyers'
An influx of foreign investors is driving a resurgence in Britain's buy-to-let market, holding house prices steady but threatening to push up rents and crowd out first-time buyers.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/3.....

Harvard professor gives Osborne's austerity programme thumbs up
Shifting the bulk of an austerity programme onto tax rises rather than spending cuts would plunge the economy into a "deep and long-lasting recession", according to research from Harvard University.<img width='1' height='1' src='http://telegraph.f.....

Former Orange chief takes Manganese Bronze stake
Sanjiv Ahuja, the telecoms expert and former chief executive of Orange, has taken a major stake in Manganese Bronze, the troubled company which makes London's black cabs.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568.....

Mis-selling makes case for 'full separation'
A leading investor organisation says full separation of investment and retail banking should be considered in the wake of swap mis-selling scandal.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22ddf9ed/mf.gif' .....

Mis-selling makes case for 'full separation, says IMA
A leading investor organisation says full separation of investment and retail banking should be considered in the wake of swap mis-selling scandal.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22dd9169/mf.gif' .....

SFO launches investigation into Barclays payments to Qatar
Barclays is facing a criminal investigation into payments made to Qatar's sovereign wealth fund at the time of its investment in the bank four years ago.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22dd916a/mf.....

Barclays says SFO to start investigation into Qatar payments
Barlays has confirmed that the Serious Fraud Office (SFO) has launched an investigation into payments made between the UK lender and the Qatari sovereign wealth fund.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/.....

Debt crisis: Merkel and Monti clash over ESM role
Europe's politicial and economic leaders clashed over debt crisis resolutions, underscoring the sense of chaos and disunity between Brussels and key eurozone economies.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56830.....

City Diary: Marks & Spencer's Plan A meets its match in Cheshire
To Cheshire and the opening of Marks & Spencer's swanky new store.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22dd8174/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/.....

Debt crisis: as it happened - August 29, 2012
Germany's insistence on blocking the European Central Bank from acting to bring down countries' borrowing costs could be an "own goal", Italian Prime Minister Mario Monti has warned.<img width='1' height='1' src='http://telegraph.feedsportal.com/c.....

Heineken battle to control Tiger brewer takes new twist
Heineken's battle to win control of the maker of Tiger beer has endured another twist after its Thailand rival increased its stake in the Dutch brewer's partner Fraser & Neave.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/3.....

Ryanair shelves Aer Lingus bid as European Commission opens investigation
Ryanair has been forced to shelve its 694m (549m) takeover bid for rival Irish airline Aer Lingus after the European Commission opened an investigation.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22dcf680/mf......

Angela Merkel stands firm in resisting ESM bank licence
Angela Merkel clashes with Italian PM Mario Monti over idea of giving eurozone's permanent rescue fund a banking licence.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22dcf1b9/mf.gif' border='0'/><br/>.....

Copper price fall weighs on Antofagasta profits
Antofagasta, the Chilean copper miner, reported a fall in first-half profits as increased production was not enough to offset falling prices.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22dcf1ba/mf.gif' border.....

Debt crisis: live
Germany's insistence on blocking the European Central Bank from acting to bring down countries' borrowing costs could be an "own goal", Italian Prime Minister Mario Monti has warned.<img width='1' height='1' src='http://telegraph.feedsportal.com/c.....

Banks pull the plug on top paying savings accounts
Savers need to act quick to secure best deposit rates, as others follow Leeds Building Society withdrawal.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22dc9ac8/mf.gif' border='0'/><br/><br/><.....

Oil reserves could be tapped if prices stay above $100 a barrel
Emergency oil reserves across the world could be tapped if prices remain above $100 a barrel over the next two months, according to Treasury sources.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/22dc2148/mf.gif.....