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Saturday 8 June 2013

UK Financial News on 2013-06-08

Austerity 'may last until 2020'
Two influential think tanks warn that it would not be surprising if UK austerity measures were still in place in 2020......

Severn Trent rejects third offer
Water supplier Severn Trent rejects a third takeover proposal of 22 per share from international investors LongRiver......

Vodafone pays no UK corporation tax
Vodafone, the world's second largest mobile phone firm, paid no UK corporation tax for a second year running in 2012......

Centrica in UK shale gas stake talks
Centrica, the owner of British Gas, is in advanced talks with Cuadrilla Resources to buy a stake in shale gas fields in northern England......

Wrong digits cause banking confusion
People who enter incorrect bank details when transferring money online are being urged to act quickly after making a mistake - to raise the chances of a refund......

'Inquiry needed' on GCHQ spy claims
Prime Minister David Cameron is urged to launch an investigation into allegations that Britain's electronic listening post GCHQ has been gathering data through a secret US spy programme......

Airbus expansion creates 3,000 jobs
About 300 new jobs are being created by plane-maker Airbus at its plants in Flintshire and Bristol with 3,000 across Europe......

PM to attend Bilderberg meeting
David Cameron will attend a behind-closed-doors meeting of top executives, politicians and academics later, Downing Street confirms......

US economy adds 175,000 jobs in May
US employment rose by slightly more than economists had predicted during May, adding 175,000 jobs......

Anger as Network Rail misses targets
Network Rail faces anger from passengers and action from Virgin Trains after missing punctuality targets over the last year......

US spy chief defends surveillance
US spy chief James Clapper strongly defends government surveillance programmes after revelations of telephone "metadata" being collected and internet servers tapped......

UBS under tax probe in France
UBS is being formally investigated in France on suspicion of persuading wealthy French clients to open undeclared bank accounts in Switzerland......

Model maker Hornby reports loss
Hornby, the model making firm that owns brands including Corgi and Airfix, reports an annual loss, blaming the economy and supply problems......

German economic growth forecasts cut
Germany's central bank cuts the country's economic growth forecasts for 2013 and 2014, but says the economy's outlook "has become brighter"......

Probe into chocolate 'price-fixing'
Food giants Nestle and Mars, along with a distribution company, are charged by authorities in Canada over alleged price-fixing of chocolate......

Samsung shares fall on profit fears
Shares in Samsung Electronics, the world's biggest smartphone maker, fall the most in nine months after JPMorgan Chase cut its profit estimates......

Xi Jinping and Obama open summit
Chinese President Xi Jinping and his US counterpart Barack Obama open two days of talks in California on a number of high-stakes issues......

Bank customers escape 'unpaid' fees
Bank customers are be spared penalty fees when they miss a payment, but then top their accounts up later in the same day......

SLPL will resume say authorities
Sports authorities in Sri Lanka look to shake off confusion about the future of the second edition of its cricket Premier League (SLPL) later this year......

Lewis defends WRU financial model
WRU chief Roger Lewis insists the financial model he has created during his seven years in the role has "worked well" for Welsh rugby......

Sky Blues step up groundshare plan
Coventry City talk to three rival Midland clubs with a view to groundsharing while they plan a new stadium......

VIDEO: How long will austerity last?
The Institute for Fiscal Studies has warned that spending cuts might have to continue until 2020, meaning the period of austerity could last a full decade......

VIDEO: Topshop woos Chinese shoppers in HK
The British fashion retailer, Topshop, has opened its first store in Hong Kong hoping to attract China's newly affluent middle class spenders.....

VIDEO: India's shopkeepers get online
India's shopkeepers and market traders are beginning to see the advantages of using the web......

VIDEO: Changing face of the US jobs market
Unemployment in the US remains well above the government's target of 6.5%, and there are also concerns about the types of jobs being created in the fragile economic climate......

VIDEO: Why jobs growth worries Wall Street
US employment rose by slightly more than economists had predicted during May, but the unemployment rate increased slightly to 7.6%......

VIDEO: 'A lot at stake' in surveillance row
US spy chief James Clapper has strongly defended government surveillance programmes after revelations of phone records being collected and internet servers being tapped......

AUDIO: Today business round-up
The Today programme's business news with Simon Jack......

AUDIO: China EU trade spat 'more than handbags'
Martin Jacques, economist and author When China Rules the World, explains that a trade dispute has been developing between China and the European Union......

When two worlds collide in Watford
'Secretive' meeting of global elite draws clowns and conspiracy theorists.....

Living a Sheryl Sandberg life
Is it possible to live a Sheryl Sandberg life?.....

What can you learn from people's phone records?
What can you learn from people's phone records?.....

Jobs come to Wall Street's rescue
June 7 - Summary: Stocks snap a two-week losing streak as Wall Street receives what it was looking for: job growth strong enough not to add to economic jitters but weak enough to take away fears the Federal Reserve is close to closing the piggy bank;.....

U.S. Week Ahead: Apple boss Cook could unveil new iPhones
June 7 - Analysts at ISI say Apple CEO Tim Cook could surprise with a low-cost iPhone and an iPhone 5 upgrade at the company's developers conference on Monday......

MuniLand: Rising rates scarier than credit risk -Wells Fargo
Wells Fargo's Advantage Municipal Bond Fund's portfolio manager, Lyle Fitterer, says investors need to pay attention to rising interest rates, not so much credit risk......

More Americans back on the job hunt
June 7 - More jobs were created, and more Americans are re-joining the workforce- but the government employment report was still weak enough to put the markets at ease ahead of the Fed's next meeting. Bobbi Rebell reports......

Daily Digit: $9 bln in old iPhones
June 7 - There are about $9 billion worth of old iPhones collecting dust according to one estimate, and those older phones may have caught the eye of Apple, which is reportedly planning an in-store trade-in program in order to U.S. boost sales. Conwa.....

Techquity: Maturity problem for Apple, Samsung
Jun 7 - Apple and Samsung's smartphone battle suffers from evolving market conditions......

FACTBOX: Americans are looking for work again
June 7 - The U.S. unemployment rate ticked up to 7.6% in May, but that's because more Americans are back on the job hunt. Here are the numbers........

Breakingviews: Open secret
June 7 - Richard Beales and Breakingviews columnists discuss the legal and business implications of the U.S. governments collection of data from major Internet firms......

Trading at Noon: Exclusive:Forest Labs ducking from Icahn
June 7 - Forest Labs is trying to avert another bitter proxy battle with billionaire investor Carl Icahn ahead of its annual investor meeting......

Fed wants to taper as soon as markets allow- Moody's Lonski
June 7 - Despite today's jobs report- Moody's John Lonski says the prudent rational investor is preparing for an impending tapering off of quantitative easing. Bobbi Rebell reports......

People want back in the job market- Wells Fargo's Silvia
June 7 - Wells Fargo's Chief Economist John Silvia says the jobs shows more people are getting back into the job market- and its about time. Bobbi Rebell reports......

German flood victims without insurance fear future
As the flood waters subside in parts of Germany, residents are assessing the damage caused by the country's worst flood in a decade. Some flood victims say they have lost their livelihoods, as they haven't been able to get insurance since the last bi.....

Lessons for Europe from 'Abenomics'?
As Japanese Prime Minister Shinzo Abe meets with French President Francois Hollande, we examine how 'Abenomics' is working and whether austerity-weary Europe can draw any lessons from Japan's economic policies. Edward Baran reports......

The Upside: Forget the Fed, it's all about the China Summit!
Columnist Zachary Karabell. Instead focus on the U.S.- China summit......

Ex-rogue trader becomes debt counsellor
June 7 - Former rogue trader Nick Leeson brought down British investment bank Barings bank after generating losses as a junior trader of $1.4 billion. Kirsty Basset reports he's now helping troubled Irish borrowers deal with their own financial messe.....

Europe Week Ahead: We've had Draghi, now it's the data
June 7 - We've had Draghi, now back to the euro zone data. Industrial output, inflation & employment figures could show if the ECB president's stance is justified. Plus the latest snapshot of UK employment......

Wealth Strategies: Payroll report won't spur Fed to being tapering
Jun 7 - Bianco Research president Jim Bianco says the May jobs report isn't enough for the Fed to start reining in QE and thinks the central bank will be watching the stock rally and home prices more closely.....

U.S. Morning Call: Slow jobs growth won't slow Fed action
Jun 7 - Employers likely stepped up hiring only slightly in May, a sign the Federal Reserve may need to continue its monetary support......

Market Pulse: What's Moving Today and Why
Insider has its finger on the market pulse, analyzing and making sense of the biggest movers of the day......

Rogue trader redemption? Nick Leesons life after the City
June 7 - Former rogue trader Nick Leeson is reinventing himself as the saviour of struggling small firms. Axel Threlfall catches up with him in London for the latest part of our series on life after the city.....

Rogue trader redemption? Nick Leesons life after the City
June 7 - Former rogue trader Nick Leeson is reinventing himself as the saviour of struggling small firms. Axel Threlfall catches up with him in London for the latest part of our series on life after the city.....

Asia Week Ahead: Fried chicken, posh bags still hot sellers?
June 7 - Prada earnings and KFC parent Yum Brands China sales will give a picture of consumer sentiment. And the Bank of Japans board will weigh in on the nations growth prospects in its policy meeting......

Interview: Intel in unfamiliar territory as mobile underdog
June 7 - The world's biggest chipmaker has a small problem: its smartphone market share is barely a blip. Mobile chief Hermann Eul explains his strategy to get Intel inside smartphones......

Reuters Breakingviews: Danger - high yields ahead
Breakingviews says they just might......

Nikkei lurches into bear country and back again
Investors endured a choppy ride in Japan's markets as the Nikkei plumbed two-month lows and the yen jumped against the dollar. With authorities running out of options, expect more volatility ahead......

Commission to demand radical overhaul of punishment for bankers
The Banking Commission report is to demand a radical overhaul of the punishment of bankers who have overseen failed institutions and open the door to new rules on pay deals and competition in the sector.<img width='1' height='1' src='http://telegr.....

Treasury 'interfered' in Co-op bid for Lloyds branches
The Government is facing fresh allegations of political interference in the failed deal to sell 631 Lloyds Bank branches to the Co-op.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d06eab7/mf.gif' border='0'/&g.....

BSkyB in broadband price war with BT over new sports offer
BSkyB is to announce significant price cuts to its broadband packages in direct response to competition from BT Sport.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d06e954/mf.gif' border='0'/><div class=.....

Suitors on verge of walking away from Severn Trent bid
The Canadian-led consortium trying to buy Severn Trent is on the verge of walking away after its latest 5.3bn proposal for the water utility was rejected.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d06e955/m.....

Did politicians fix the Co-op Lloyds deal?
The plot has thickened around why the Co-operative Group's bid for 631 Lloyds Banking Group branches fell apart.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d06e956/mf.gif' border='0'/><div class='mf-vi.....

Revealed: a blueprint for banking reform
Ahead of the final report from the banking commission on raising industry standards, Harry Wilson reveals the key areas that the dossier will cover.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d06e957/mf.gif'.....

Centrica seeks partners for Irish energy company bid
Centrica is talking to a number of possible partners about a joint bid for Ireland's Bord Gis Energy, as it seeks to gain new customers but limit its wind farm exposure.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5683.....

Can the latest crop of games from Farmville creator Zynga revive its fortunes?
Zynga, Farmville's creator, hopes its move into gambling will revive its fortunes, writes Katherine Rushton.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d070ddc/mf.gif' border='0'/><div class='mf-viral'.....

G8 targets on transparency could hurt UK, firms warn
David Cameron's plans to boost corporate transparency could harm UK Plc, according to businesses.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d070ddb/mf.gif' border='0'/><div class='mf-viral'><tab.....

Hobbs takes new look to China
The women's fashion brand Hobbs, which is a favourite of the Duchess of Cambridge, is planning to expand into China after a refresh of the brand sparked a rise in sales and profits.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/.....

Sainsbury sales will put pressure on rivals
J Sainsbury will put rival Tesco under more pressure this week and demonstrate that it has the upper hand in Britain's supermarket wars when it reports another increase in like-for-like sales.<img width='1' height='1' src='http://telegraph.feedspo.....

German court case could force euro exit warns key judge
Crucial hearings on the eurozone's bail-out policies at Germany's top court this week could set in motion events that force Germany's withdrawal from the euro, a leading judge has warned.<img width='1' height='1' src='http://telegraph.feedsportal......

Is 100pc reserve banking the solution to all our problems?
How about something truly radical - the complete dismemberment of the banking system as we know it and its replacement with what is known as 100pc reserve banking?<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2.....

Liberty Global chief Mike Fries sees broadband speeds going up and prices coming down
In his first interview since its $23bn takeover of Virgin Media, the CEO of Liberty Global tells Andrew Cave how the group will take on Britain's big players.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d0643.....

City grandee Sir Roger Carr confirmed as BAE chairman
Sir Roger Carr is to be named the new chairman of BAE Systems this week.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d0640db/mf.gif' border='0'/><div class='mf-viral'><table border='0'><tr&g.....

Trade tiff is sign not to start war with Beijing
Beijing's instant and ultra-assertive response to a solar panel spat is a sign that the West would be crazy to ignore.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d0583bb/mf.gif' border='0'/><div class=.....

Chinese companies are getting the itch to expand abroad
The conventional wisdom is that China is about "made in China" and not about "created in China".<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d057d4e/mf.gif' border='0'/><div class='mf-viral'><tabl.....

The fact is markets had gone up too far and too fast
A number of different factors have combined to create the impression of a co-ordinated slide, but the causes of the various market wobbles are subtly different.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d05.....

UK needs to take the long view with innovation
Think Tank: The Government must think what it can do today to stay competitive in 10 years' time, says the chief executive of Imagination Technologies.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d0588aa/mf.g.....

Online game I Am Playr is taking on web's best players
We R Interactive is climbing the ranks with its football game-meets-film I am Playr, reports Anna White.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d0588ac/mf.gif' border='0'/><div class='mf-viral'>.....

Hedge fund foundation pledges 500m-plus to fight malnutrition
Hundreds of millions of pounds of profits from a London hedge fund have been donated towards a global initiative to combat malnutrition.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d04cda3/mf.gif' border='0'/.....

Hedge fund charity pledges 500m-plus to fight malnutrition
Hundreds of millions of pounds of profits from a controversial London hedge fund have been donated towards a global initiative to combat malnutrition.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d048043/mf.gi.....

Web inventor Berners-Lee warns forces are 'trying to take control'
Firms and governments "trying to take control of the internet" are undermining founding principles of web, Sir Tim Berners-Lee warns.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d039f62/mf.gif' border='0'/>.....

Eurozone crisis is over, declares French president Hollande
The eurozone crisis is over, French president Francois Hollande declares, in a move to reassure Asian investors.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d03e720/mf.gif' border='0'/><div class='mf-vi.....

Eurozone crisis is over, says French president Hollande
The eurozone crisis is over, French president Francois Hollande declares.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2d0317d9/mf.gif' border='0'/><div class='mf-viral'><table border='0'><tr&.....