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Tuesday 26 March 2013

UK Financial News on 2013-03-26

European Commission probes economic impact of reforms
Moves comes amid growing criticism over efforts to assess reform implications.....

LSE membership resignations hit five-year high
The resignations range from high-frequency trading firms to wealth managers.....

Seymour Pierce creditors set to lose 6m
Filings show collapsed UK broker's assets will not cover claims.....

TCI hedge fund stops payments to linked childrens charity
Hedge fund run by Chris Hohn has stopped donating portion of fees to charity run by activist investor's wife.....

Bermuda-based group targets JO Hambro IM
One bidder seen as most sympathetic owner of Credit Suisse's unit.....

Cracks appear in early FTT talks
The competing visions of signatory countries threaten to derail the EU financial transaction tax.....

Ex-Cazenove bankers group at new firms
Advisory firm Strand Partners and natural resources specialist Merlin Partners recruit staff.....

Buyout industry clubs together for ESG push
Investors, trade bodies and firms draw up guidelines on disclosure.....

Fund managers face second European threat
Forthcoming potential rules on disclosure could boost workload on non-Ucits investment products.....

Niki Beattie joins Aquis as inaugural chairperson
FN100 woman takes key role at nascent pan-European equities venue.....

Cyprus straining to reopen banks
The head of the Cypriot central bank says that "superhuman" efforts are being made to open the country's banks on Thursday, after being shut for more than a week......

Osborne criticises Cyprus handling
UK Chancellor of the Exchequer George Osborne criticises the handling of the Cyprus crisis by European and Cypriot authorities......

Telegraph extends paywall to UK
The Daily Telegraph is to extend its paywall to UK readers, the latest newspaper to turn to the measure as readerships become increasingly digital......

Bids invited to run East Coast rail
The government invites private companies to bid for the East Coast rail franchise and also announces Virgin will run the West Coast Main Line until 2017......

Buffett to increase stake in Goldman
Warren Buffett is to become a top 10 shareholder of Goldman Sachs after he agrees to amend the terms of his 2008 investment in the bank......

Search and rescue role privatised
Private company the Bristow Group is to take over the UK's helicopter search and rescue operations, including those of the RAF and Royal Navy......

US cuts 'hit consumer sentiment'
US consumer confidence fell sharply this month, affected by federal budget cuts, a closely watched report suggests......

B&Q owner profits hit by wet weather
The owner of B&Q, Kingfisher, reports a fall in profits after what it describes as "a tough year" of weak consumer confidence and wet weather......

Pensioners warned on income drawdown
Pensioners are being warned not to take full advantage of new rules on pension drawdown in case they erode their long term finances......

Boeing: 787 flight 'went to plan'
Boeing says that a test flight to check the 787 Dreamliner's new battery system "went according to plan"......

UK 'to compete' in nuclear market
The government promises funding to help UK businesses "compete" more effectively in the global nuclear energy market......

North Sea oil bonanza 'unlikely'
A think tank has rejected Scottish government suggestions that Scotland could be on the brink of another North Sea oil boom......

Consent for Trump row wind farm
Consent for a wind farm off Aberdeen which is opposed by Donald Trump is granted by the Scottish government, angering the US businessman......

Foxconn in record quarterly profit
Hon Hai Precision Industry, also known as Foxconn, a major assembler or Apple products, posts record quarterly profits......

Brazil supermarkets ban Amazon meat
Almost 3,000 supermarkets in Brazil are pledging to avoid selling meat from cattle raised in the Amazon rainforest to curb illegal deforestation......

UK economic policy 'illogical'
Austerity in the UK has cut demand and output more than even pessimists predicted, former US Treasury Secretary Larry Summers tells the BBC......

Cyprus banks reassure UK customers
Two Cypriot banks based in the UK seek to reassure customers about the security of their deposits......

Mortgage lending 'fell in February'
The number of people taking out mortgages last month fell, according to the UK banking industry......

Bernanke defends low interest rates
Ben Bernanke defends the low interest rate policies of the US Federal Reserve and central banks in Europe, saying they were helping to boost the global economy......

Late payment 'epidemic' for builders
Late payment of invoices have reached "epidemic proportions" in the Scottish building sector, according to an industry survey......

SPL faces 1.7m 'TV dispute' claim
The Scottish Premier League faces a 1.7m damages claim over its bid to stop a pub group screening live matches via a Polish broadcaster......

UK teen's app bought for 'millions'
Yahoo has acquired an app created by a UK teenager for "dozens of millions" of pounds......

Dell confirms rival bid offers
A special committee of Dell's board confirms that it has received two takeover offers to rival the one made by founder Michael Dell......

US tycoon Haskell keen on Coventry
Struggling Coventry City are lined up for a takeover bid from American tycoon Preston Haskell IV......

Indian state bars S Lanka cricketers
Tamil Nadu state says it will not host Indian Premier League (IPL) matches involving Sri Lankan cricketers, amid anger over Sri Lanka's rights record......

Crawley Town FC owners to sell club
Crawley Town FC is put up for sale after three years under the current owners......

VIDEO: Is Cyprus about to lose a generation?
People in Cyprus are still unable to access their bank accounts after a late night decision to keep them closed for an 11th day......

VIDEO: UK economic policy 'illogical'
Austerity in the UK has cut demand and output more than even pessimists predicted, former US Treasury Secretary Larry Summers has told the BBC......

AUDIO: Cyprus paying 'tremendous cost'
The Cypriot finance minister, Michalis Sarris, has indicated to the BBC that that losses for depositors with more than 100,000 euros in bank accounts on the island could be "in the neighbourhood" of 40%......

VIDEO: Search and rescue role privatised
A private company will take over the UK's helicopter search and rescue operations, the Department for Transport has announced......

VIDEO: Philippine shoe makers keep up pace
Shoe making, a substantial industry in Marikina, Philippines, has been modernising in an attempt to compete with regional low cost manufacturers......

VIDEO: Is London causing the UK a problem?
The BBC's economics editor, Stephanie Flanders, visits London, Birmingham and Manchester and discovers wide discrepancies between the capital's economy and the rest of the country......

VIDEO: Could Nigeria join Brics nations?
Nigeria had economic growth of around 6.6% last year and is expected to continue. So could Africa's most populous country be a future member of the Brics bloc?.....

VIDEO: MPs warning over benefit cut risk
The government will need to react quickly if a benefit cut for social housing tenants leads to rises in rent arrears and homelessness, according to a committee of MPs......

Should Britain let go of London?
Is London's success ruining the rest of the UK's chances?.....

Brics nations meet to cement relations
Will Brics delegates be as enthusiastic as the dancers?.....

Fire risk prediction gets technical
Putting out fires using big data analytics.....

Cyprus crisis: Anxious times for residents
In Cyprus, cash is not the only thing in short supply now.....

How can companies battle the fakes?
The hi-fi speaker company that has battled Chinese fakes.....

Texas and the UK build closer economic ties
Texas and the UK build closer ties.....

S&P 500 record still elusive
March 26 - Summary of business headlines: S&P 500 remains in striking distance of a new record; homebuilder stocks rise on home data; durable goods orders rise; consumer confidence falls; Cyprus jitters remain. Bobbi Rebell reports......

Techquity: Apple vs. Samsung, Microsoft's latest EU issue
Mar 26 - Latest data on the battle between Apple and Samsung, plus another group files a complaint with European regulators against Microsoft......

FACTBOX: U.S. students default on $3B of loans
Mar. 26 - Banks wrote off $3B of student loan debt in the first two months of 2013, according to Equifax. Here are the numbers........

Bank of Cyprus staff occupy its headquarters
March 26 - Thousands of employees of the beleaguered Bank of Cyprus occupied its headquarters in Nicosia Tuesday to protest a restructuring deal with the countrys second largest bank, over fears the merger could mean losing their jobs. Mana Rabiee re.....

France hops to it with lowcost airline
Air France launches low-cost airline 'Hop!', set to target regional customers with cheap prices. Ciara Sutton reports.....

Daily Digit: $246,800 for new home
March 26 - The median sales price for a new home increased 3.0 percent to $246,800, suggesting the housing market recovery remains intact. Bobbi Rebell reports......

Breakingviews: Pensions golden goose
March 26 - Reynolds Holding and Breakingviews columnists discuss the funds' risky rush to emerging markets in search of high returns......

Europe Day Ahead: Cyrpus to take toll on European confidence
Mar. 26 - The economic difficulties in Cyprus, and continuing uncertainty elsewhere, most likely took their toll on Europe's business leaders and consumers, data will show......

Trading at Noon: Housing recovery continues to 'build'
Mar 26 - The S&P/Case Shiller index rose 8.1 pct in January, its biggest rise since 2006......

Daily Digit: The cost of rain to Kingfisher
March 26 - Rain in the UK costs Britain's Kingfisher 25m and contrinbues to an 11% fall in underlying pre-tax profit. Sonia Legg reports......

Browder warned Germans of Russian-Cyprus money laundering
Mar. 26 - William Browder of Hermitage Capital Management says Germany was keen to see concrete evidence of Russian money laundering in Cyprus, during a recent trip he made to the Finance Ministry in Berlin......

Cyprus students protest as banks stay closed
March 26 - Banks in Cyprus will remain closed until Thursday, and even then subject to capital controls to prevent a run on deposits, after a European Union bailout that the country's president assured his people was in their best interests. Ciara Su.....

Home price gains less than zero for long term: Shiller
Mar 26 - The S&P/Case-Shiller index of home prices notched the biggest gain in six and a half years in January, but Yale economics professor Robert Shiller says there's not a lot of reason to be optimistic......

Power Player: Teenage app millionaire
March 26 - Got a tech idea and want to make a fortune before you're out of your teens? Just do it, is the advice of London schoolboy Nick D'Aloisio who's just sold his smartphone news app to Yahoo for a reported $30 million. Hayley Platt reports.....

Reuters Breakingviews: Cyprus Reveals Harsh Truths
Breakingviews. But a stable alternative is elusive......

Reuters Today: Cyprus crisis over? Dont bank on it
Mar. 26 - Cyprus banks will stay shut until Thursday to avoid a run on deposits, and the Eurogroup chief rattles investors by hinting that Nicosia might not be the only place to see a raid on depositors......

Witness: Thailand's silent war
Mar. 26 - In southern Thailand a Muslim insurgency that has killed thousands is raging largely out of the public eye. Andrew R.C. Marshall visits Narathiwat, where the violence shows little sign of letting up......

Classic cars outperform art and equities
March 26 - Soaring returns for investors parking their money in classic cars has seen the market accelerate ever faster, but why buy an XKSS over stocks or even stamps? Joel Flynn puts his foot down to find out more.....

U.S. Morning Call: Eyeing housing data for recovery clues
Mar 26 - Standard & Poor's releases its S&P Case/Shiller Home Price Index for January; Economists expect a 0.9 percent rise......

Market Pulse: Still value in northern European banks - ING
Mar. 26 - While investors are still reeling from the Cyprus bailout ING says developed markets offer good value, even well-capitalised banks in northern Europe......

Cypriot president hails bailout deal
March 25 - Cypriot President Nicos Anastasiades says an EU deal was the best possible the country could achieve and saved it from bankruptcy. Deborah Lutterbeck reports......

S&P 500 tries but fails at new record
March 25 - Summary of business headlines: Market euphoria over Cyprus deal is short lived; Boeing tests 787; Tobacco heat up Dollar General profits; BlackBerry z10 debut panned by Goldman; Fed officials sell low-interest strategy. Conway G. Gittens r.....

Bernanke: U.S. policy a plus for world
March 25 - Federal Reserve Chairman Ben Bernanke defended the central bank's easy monetary policy- saying its also a boost for other countries, while New York Fed President William Dudley says not time yet to talk of exit. Bobbi Rebell reports......

U.S. Day Ahead: Housing faces key inventory test
Mar 25 - With the supply of new homes at record lows, economists want to see inventories rise above 150,000 in February to confirm home builders are gaining confidence in the market......

Daily Digit: $1 spree at Dollar General
March 25 - Dollar General sees its strategy of $1 per item bringing in more shoppers, resulting in stronger sales growth this year, led by lower cost tobacco products, despite concerns about the economy. Conway G. Gittens reports......

Cyprus bail-out: live
Chancellor George Osborne told MPs the Treasury is working with Cypriot authorities to protect deposits in the four UK branches of Cyprus' Laiki bank, which is set to be wound down under the bail-out deal.<img width='1' height='1' src='http://tele.....

Savills dives on talk Oaktree is selling its huge stake
Savills under pressure amid reports shareholder had sold down stake.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a052558/mf.gif' border='0'/>.....

'Disappointment' at failure to reach flood insurance deal
Environment Secretary Owen Paterson has admitted he is "disappointed" at failing to secure a new agreement over the insurance of homes and businesses at high risk of flooding.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/.....

US helicopter company Bristow lands 1.6bn UK privatisation contract
US helicopter company Bristow has promised to create 350 new jobs after winning a 1.6bn contract to run Britain's search and rescue operations.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a05086f/mf.gif' bord.....

Warren Buffett to become top ten investor in Goldman
Warren Buffett is poised to become one of the largest shareholders in Goldman Sachs in the billionaire's second vote of confidence in the Wall Street bank since the financial crisis.<img width='1' height='1' src='http://telegraph.feedsportal.com/c.....

George Osborne warns Cyprus that bail-out 'is just the beginning'
While fielding questions over Cyprus' banking crisis, Chancellor George Osborne told the Treasury Select Committee that the island's government had "made mistakes" and that "this is just the beginning for the Cypriot people".<img width='1' height=.....

EasyJet to create more jobs for military pilots
Airline easyJet is to create more new jobs for pilots as it continues with its expansion plans, saying the posts will be open to those currently flying for the military.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5683.....

G4S struggling with Cyprus workload as it prepares to guard banks
G4S is to provide security guards for Cypriot banks when they reopen on Thursday, but the British firm has admitted it is already struggling to cope with its workload in the debt-hit country.<img width='1' height='1' src='http://telegraph.feedspor.....

Cypriots braced for harsh banking curbs
Cypriots face draconian controls over how they spend their money, use debit cards or access their savings lasting beyond May as Cyprus tries to stop capital flight ahead of inflicting major losses on depositors at the island's biggest bank.<img wi.....

Budget 2013: George Osborne and Robert Chote questioned by MPs - as it happened
Chancellor George Osborne and Robert Chote, the chairman of the Office for Budget Responsibility, appear in front of MPs to answer questions on the Budget.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a046ce0/.....

Budget 2013: George Osborne and Robert Chote questioned by MPs - live
Chancellor George Osborne and Robert Chote, the chairman of the Office for Budget Responsibility, appear in front of MPs to answer questions on the Budget.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a003b0d/.....

Capital regulation can be abandoned once banks are left to judge their needs
Banks have always experienced a tension between having too much capital and too little.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a0340be/mf.gif' border='0'/>.....

Government to wait until after General Election to restart West Coast and Great Western rail franchise auctions
Two major rail franchises that were thrown into chaos after bidding competitions to run the lines were controversially scrapped by the Government will not be re-let to new train operators until after the next General Election.<img width='1' height.....

Mr Yen cautions on Japan's 'unsafe' debt trajectory
Japan's public debt has reached worrying levels and could lead to a bond buyers' strike unless the government brings the budget deficit under control, the country's top currency official has warned.<img width='1' height='1' src='http://telegraph.f.....

George Osborne's aspiration nation is a sham - and stamp duty proves it
If you want to understand why Britain's middle classes feel so over-taxed, look no further than stamp duty, a horrendously counter-productive levy which has helped torpedo the housing market.<img width='1' height='1' src='http://telegraph.feedspor.....

Rain and weak pound hurts Kingfisher profits
Wet weather put a dampener on annual profits at B&Q owner, Kingfisher, with the upcoming Easter weekend unlikely to bring much cheer.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/29ff2dc4/mf.gif' border='0'.....

BRICS reach deal on development bank to rival IMF
The world's leading emerging economies have reached a deal to create a development bank that will rival Western-backed institutions such as the International Monetary Fund and World Bank.<img width='1' height='1' src='http://telegraph.feedsportal......

Three gains one million customers ahead of 4G battle
Three, Britain's smallest mobile operator, has gained almost a million customers in the last year, its annual report revealed.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a025e3c/mf.gif' border='0'/>.....

Bellway builds profits as selling price rises
Bellway delivered a jump in profits as the housebuilder benefited from a rise in selling prices and buyers took advantage of Government schemes to help people ascend the property ladder.<img width='1' height='1' src='http://telegraph.feedsportal.c.....

Government extends new nuclear power station timetable by five years, confirms first plant will cost up to 14bn
The Government has dropped its target of having a new nuclear fleet running by 2025, admitting it now expects the plants to be developed "by 2030".<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a02435f/mf.gif' .....

Government extends new nuclear power station timetable by five years, confirms first plant will cost up to 14bn
The Government has dropped its target of having a new nuclear fleet running by 2025, admitting it now expects the plants to be developed "by 2030".<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a016500/mf.gif' .....

'New tax will change fund broker charges'
HMRC is to tax "bonuses" on funds. The founder of comparefundplatforms predicts a major shake-up for the fees you pay.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a015ed3/mf.gif' border='0'/>.....

Cold snap 'could cost economy 629m a day'
Economists have raised concerns that Britain's current cold snap could drag the country into a triple-dip recession, while one insurer claimed the snow could cost the economy 629m a day.<img width='1' height='1' src='http://telegraph.feedsportal.c.....

Insurers 'could be forced to offer flood cover'
Insurers could be forced to offer flood cover to high-risk households in Britain if a new agreement on flood insurance is not reached by June.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a025e3e/mf.gif' borde.....

Insurers 'could be forced to offer fixed-price flood cover'
Insurers could be forced to offer fixed-price flood cover to households in Britain if a new agreement on flood insurance is not reached by June.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2a015ed5/mf.gif' bor.....