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Friday 2 August 2013

UK Financial News on 2013-08-02

Royal Mail boss returns house cash
Royal Mail chief executive Moya Greene received pay and benefits worth 1.47m last year, but she is repaying 120,000 paid towards buying a house......

No bonus for new RBS boss until 2015
Royal Bank of Scotland's new chief executive, Ross McEwan, will take no bonus for his work in the role this year or in 2014......

Financial struggles 'have worsened'
More than half of UK adults are struggling to keep up with bills and debt repayments, a major survey of people's finances suggests......

Apple faces e-book clamp down
US regulators have called for Apple to be forced to cancel certain e-book contracts with major publishers......

US employment up by 162,000 in July
The US economy added 162,000 new jobs in July, according to the US Labor Department, with the unemployment rate dropping to 7.4%......

Dell shares jump 5.5% on new offer
Dell's shares rise 5.5% as its board accepts a new buyout deal from founder Michael Dell which adds a one-off payment to last week's $13.75 a share offer......

Weight Watchers shares fall 19%
Shares in the weight-loss giant Weight Watchers drop by 19% as it warns it is losing customers to free apps......

House prices 'rise 3.9% in a year'
UK house prices recorded their biggest annual increase for nearly three years in July - up 3.9%, the Nationwide building society says......

UK construction 'at three-year high'
The UK construction industry reaches its highest level of activity since June 2010 after a rise in house building, a closely-watched survey indicates......

Wall Street Market Report
US stocks and the dollar drop after the latest US jobs figures fall short of expectations......

Insolvency levels 'continue to fall'
The number of people declared insolvent in England and Wales fell by 6.1% in the second quarter of the year compared with the same period a year ago......

Oil drilling starts after protests
Energy company Cuadrilla begins drilling for oil after being held up by protesters at a site in West Sussex......

Toyota raises annual profit forecast
Toyota raises its forecast for annual profit as a weak yen and a recovery in sales in the US continue to boost its growth......

IAG sees recovery signs at Iberia
International Airlines Group says its restructuring efforts at Iberia are "making good progress" as losses narrow at the Spanish carrier......

London Market Report
The FTSE 100 falls, with William Hill the biggest faller in the index after the bookmaker's latest results......

Rail engineering workers' jobs axed
About 150 skilled jobs in Milton Keynes and Glasgow are axed at rail engineering firm Railcare......

China fines US healthcare giant
Healthcare giant Johnson & Johnson is the latest foreign company to be accused of misconduct in China and is fined for violating anti-monopoly laws......

British Gas plans free power offer
British Gas says it is planning to offer free electricity on Saturdays to some of its customers to encourage more power use at weekends......

Move to extend fuel discount scheme
A fuel discount that applies to the Scottish islands and the Isles of Scilly could be extended to remote and rural parts of the UK mainland......

Carers 'owed thousands by council'
A review of foster carer and special guardian payments in England is urged after it emerges more than 300 Merseyside carers were underpaid for years......

India eases retail investment rules
India eases key rules on foreign direct investment in multi-brand retail in an attempt to attract investment from foreign firms and boost growth......

ECB chief Draghi sees recovery signs
The European Central Bank (ECB) keeps interest rates at a historic low level of 0.5%, amid signs of a tentative eurozone recovery......

Bank of England holds rates at 0.5%
The Bank of England's Monetary Policy Committee (MPC) has left interest rates at 0.5%......

Coventry City docked 10 points
Coventry City are deducted 10 points by the Football League with part of the club on the brink of liquidation......

BT launches sports TV channels
Telecoms giant BT launches its UK sports channels in a challenge to the two-decades long sports-TV dominance of Sky......

AUDIO: Walsh: 'Very pleased' with profits
International Airlines Group (IAG) has reported a return to profit in the second quarter of the year, helped by signs of a turnaround at its Spanish carrier Iberia......

VIDEO: Meet the ghost-estate homeowners
Many people are paying mortgages on homes they will never see finished......

VIDEO: Filipino winner of Apprentice Asia
Filipino Jonathan Allen Yabut has won the first series of The Apprentice Asia, the reality show featuring Malaysian businessman Tony Fernandes. Rico Hizon spoke to him about his hopes for the future......

VIDEO: What next for RBS and new boss?
Royal Bank of Scotland has announced pre-tax profits of 1.4bn in the first half of the year. James Bevan from CCLA Investment Management said RBS seemed to have turned a corner and he expected it to focus on retail banking in the future......

VIDEO: Questions over Fabulous Fab fraud
There are questions about why a relatively junior trader - Fabrice 'Fabulous Fab' Tourre - is one of the few found liable of fraud over the subprime mortgages crisis......

VIDEO: Money struggles 'getting worse'
More than half of UK adults are struggling to keep up with their bills and debt repayments, compared to just over a third in 2006, a survey suggests......

VIDEO: Can cloud computing save money?
Cloud computing is a growing industry, but can the technology bring down the costs of doing business for firms?.....

AUDIO: Today programme business round-up
Business news with Simon Jack including reports on RBS's new chief executive......

Luxury companies fend off the future
Are traditional ways of making things doomed to die out?.....

Glasgow starts 2014 Games run-in
The Glasgow 2014 Games means business.....

AUDIO: 'You never know what the future holds'
What it means to BBC viewers and listeners.....

Stay fit to avoid boss burnout
Thinking like Muhammad Ali can save bosses from burnout.....

China's corruption drive
China's drive to end corruption takes effect.....

U.S. Week Ahead: Tesla and Kors fly high; Fed jobs reaction
Aug 2- Two Wall Street darlings, Tesla and Michael Kors, report earnings next week with high expectations from analysts. Disney was hit by ESPN ratings and Fed policymakers react to a weak jobs report......

MuniLand: Puerto Rico returns to market amid huge outflows
Aug 2 - Puerto Rico is turning to investors for the first time in more than year next week, but a shaky U.S. municipal bond market plagued by months of outflows could prove a tough customer for the island......

Job search: dissecting the data
Aug 2 - Friday's jobs report was weak on the surface, but a mix of information in the report left many scratching their heads to make sense of the data. Havovi Cooper reports......

Techquity: Winning streak continues for internet stocks
Aug 2 - LinkedIn is the latest social networking-related company to report strong results. Plus, the latest in the Dell saga......

Daily Digit:$24.8 bln Dell deal
Aug. 2 - The group led by Michael Dell has reached a $24.8 billion deal that dramatically increases the chances of their Dell buyout deal passing. Bobbi Rebell reports......

Amazon deal lifts Viacom's profit
Aug. 2 - Rising ratings at Nickelodeon and streaming deal with Amazon boost Viacom's earnings. And the media giant is doubling its share buyback. Fred Katayama reports......

Breakingviews: Dell's fearful compromise
Aug. 2 - Antony Currie and Breakingviews columnists explain how the prospect of a financial hit all round if the buyout failed brought the board and bidders back to the table......

Trading at Noon: Dell gotta deal, dude!
Aug 2 - Founder Michael Dell and Dell's special board committee have reached a new deal that dramatically increases the chance for a $24.8 billion buyout. Dell vote has been rescheduled to September 12......

Lufthansa Q2 profits fall; IAG improves
August 2 - Lufthansa's second quarter revenue is hit as the German flag-carrier suffers from growing staff costs and weak demand in Europe, but the airline - like its Spanish rival Iberia, is going through a revamp that should see it emerge stronger......

Mugabe claims victory ahead of Zimbabwe election results
August 2 - Zimbabwe subdued after Mugabe claims victory, the opposition calls it a "farce" and election observers say it was free and fair. Lily Grimes reports......

Spain's jobless rate falls; challenges remain
August 2 - The number of people without a job in Spain has fallen for the fifth straight month, boosted by a strong tourist season. But as Hayley Platt reports, an unemployment rate of 26 per cent means life is still tough for those seeking work......

Wealth Strategies: Slow growth good for stocks-Nuveen's Doll
Aug 2 - Despite employment growth that came in below expectations for July, Nuveen's Bob Doll and Victory Capital's Erick Maronak say markets can continue to rally......

Markets shrug off Berlusconi sentence
August 2 - As Italians absorb news of former Italian Prime Minister Silvio Berlusconi's jail sentence, markets appear unfazed despite the fact the ruling coalition could now be thrown into further crisis. Kirsty Basset reports......

Europe Week Ahead: Data dilemma for BoE; HSBC sets bank pace
Aug. 2 - Better-than-expected data pose conundrum for the Bank of England, Italy hopes its data get less bad, and HSBC may outpace StanChart on earnings......

NEWSMAKER: It's getting hard to meet Bullard's GDP forecasts
Aug. 2 - James Bullard, president of the St. Louis Federal Reserve, says lower growth in the first half of the year will make it difficult for the U.S. economy to grow at his forecast of 2.6% this year......

Daily Digit: RBS announces new boss
Aug 2 - Ross McEwan is set to take over as CEO of RBS in October, replacing Stephen Hester, who was ousted in June. As Hayley Platt reports, the announcement comes as the bank announces a pretax profit of 1.4 billion pounds, compared to a 1.7 billion.....

U.S. Morning Call:Dell committee, buyout group close to deal
Aug 2 - The strength of the U.S. jobs report will steer the Fed's direction on whether to maintain or taper its bond buying program in the coming months......

Market Pulse: UK is on the up ... so sell sterling Citi
Aug. 2 - Another day, another batch of strong UK economic data. So why sell sterling? Citi's Valentin Marinov explains. Plus gold on the slide again, but European banks are on their best run in over 4 years......

Wealth Strategies: Rising rates could boost small business
Aug 2 - PayNet president Bill Phelan says small business productivity increases as interest rates rise and feels the eventual end to the Fed's bond buying will be a benefit to mom & pops......

Breakingviews: RBS should ape HSBC, not Lloyds
Breakingviews.....

In the face of a bubble, Shanghai scales new heights
Aug. 2 - Shanghai Tower, China's new tallest skyscraper, will soon be topped off, and despite fears of overcapacity in the commercial property market its president says the timing couldn't be better......

Toyota: A short stint in pole position?
Aug. 2 - Toyota has innovated its way back to the top of the class, with bold designs and a weak yen boosting profit. But its export-dependence and weakness in Southeast Asia could see it quickly dethroned......

Economy 2013: No diversion despite profit dive-Lufthansa CFO
Aug. 2 - Lufthansa shares dive after a Q2 earnings miss. But CFO Simone Menne tells us why the company will still hit its 2013 targets......

Reuters Today: McEwan takes the RBS hot seat
Aug. 2 - Widely-tipped Ross McEwan is named the new CEO of RBS as the British bank reports a return to profit in the first half. More results from Lufthansa, IAG and insurers Allianz and AXA......

Breakingviews: A lucky escape for DBS?
Aug. 2 - Southeast Asia's biggest lender may end up thanking the Indonesian regulators that thwarted its big takeover plans for Bank Danamon, according to Breakingviews Asia Editor Peter Thal Larsen......

RBS: Championship pay for a Premier League job
The next chief executive of Royal Bank of Scotland will officially be Britain's lowest paid bank boss.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7d5b23/sc/25/mf.gif' border='0'/><div class='mf-viral'.....

Questor share tip: which oil stocks are a buy?
Questor editor Garry White picks his buys from the oil companies that have reported this week.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7d50a2/sc/2/mf.gif' border='0'/><div class='mf-viral'><t.....

Banks urged to come clean over 850m blizzard of interest rate cuts
Banks urged to come clean about cuts to interest rates for savers as it emerges there have been 750 changes to key products this year.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7e4db7/sc/25/mf.gif' border=.....

Banks urged to come clean over 850m blizzard of interest rate cuts
Banks and building societies were last night urged to come clean about thumping cuts to interest rates after it emerged there have been 750 changes to key savings products since the turn of the year.<img width='1' height='1' src='http://telegraph......

Lawyer who proved to be fugitive oligarch Mukhtar Ablyazov's downfall
Investigators track down fugitive Kazakh oligarch Mukhtar Ablyazov to his hideaway in the south of France by following close friend of his from London.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7e1ca5/sc/8.....

Woman leads detectives to fugitive Kazakh billionaire Mukhtar Ablyazov
In an operation that could have come straight from a Hollywood thriller, investigators tracked down fugitive Kazakh oligarch Mukhtar Ablyazov to his hideaway in the south of France by following a close friend of his all the way from London.<img wi.....

Smiths slumps on dashed sale hopes
Smiths tumbled on word talks about a sale of its medical division had come to naught.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7d5405/sc/2/mf.gif' border='0'/><div class='mf-viral'><table bord.....

India extends patent crackdown with GSK decision
Indian authorities have revoked a patent on a breast cancer drug granted to GlaxoSmithKline.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7c6413/sc/11/mf.gif' border='0'/><div class='mf-viral'><ta.....

US jobs figures cast cloud over economic recovery
The rate at which the US is creating new jobs slowed in July, falling short of expectations and casting a cloud over America's economic recovery.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7c6416/sc/24/mf.g.....

Stephen Hester and his post-RBS 'holiday' plans
It took just two hours after his successor Ross McEwan was announced for Stephen Hester to revealed his post-RBS plans.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7c5d26/sc/25/mf.gif' border='0'/><div.....

US unemployment rates falls to 7.4pc as jobs growth slows
The US unemployment rate fell to a better-than-expected 7.4pc in July but jobs growth slowed sharply, pushing the dollar and markets lower<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7c5a52/sc/2/mf.gif' bord.....

Business news and markets: as it happened - August 2, 2013
The US added only 162,00 jobs in July, far below analyst forecasts of 185,000, but the unemployment rate fell further than expected to a four-year low 7.4pc.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7c5a5.....

Wellcome Trust sells stake in Wonga
The Wellcome Trust, the UK's largest medical research charity and one of the country's biggest investors, has sold its stake in Wonga, the online payday lender, in the wake of the continuing storm over the company's activities.<img width='1' heigh.....

US regulators 'find evidence' of banks fixing derivative rates
US regulators have reportedly been handed evidence that traders at some of the world's biggest banks manipulated a key rate for derivatives, pocketing millions at the expense of pension funds in the process.<img width='1' height='1' src='http://te.....

Business news and markets: live
The US added only 162,00 jobs in July, far below analyst forecasts of 185,000, but the unemployment rate fell further than expected to a four-year low 7.4pc.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f76555.....

William Hill shares head Down Under despite Grand National and Royal baby bets
William Hill sprung to early defence of its 459m acquisition of Sportingbet's Australian business.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7b7713/sc/2/mf.gif' border='0'/><div class='mf-viral'>&.....

Stephen Hester: The man who brought the biggest banking failure back from the brink
The business that Ross McEwan will inherit when he becomes chief executive of Royal Bank of Scotland is one which may not have survived were it not for the determined work of his predecessor, Stephen Hester.<img width='1' height='1' src='http://te.....

How welfare reform boosted property profits
Benefit changes might be making life more difficult for landlords, but it has also spawned other property investing opportunities, says Andrew Oxlade.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7b7ece/sc/25.....

Bankruptcies at lowest level in a decade
The level of bankruptcy is far lower than during the boom years before the crisis, as borrowers find other ways to walk away from their debts.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7a4ef1/sc/22/mf.gif'.....

India further eases restrictions on foreign supermarkets
The Indian government has announced a further easing of restrictions on foreign supermarket chains to encourage them to speed up the opening of new stores and warehouse investments.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/.....

Virgin Media sales flat as costs drag owner into loss
Virgin Media, Britain's second-biggest pay-television provider, has seen growth stall as it signed up fewer customers than its rivals.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7a6c9a/sc/46/mf.gif' border=.....

UK construction sector bounces back with growth at three-year high
A "wave of optimism" is sweeping Britain's hard-hit construction sector, which dramatically rebounded in July to grow at the fastest rate in more than three years.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2.....

26 million people struggling financially
Millions struggling with money because downturn has encouraged "live for now" culture.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7a706a/sc/25/mf.gif' border='0'/><div class='mf-viral'><table bo.....

Direct Line profits soar as finer weather drives down claims
Direct Line has nearly doubled its profits despite lower premium income in the first half of the year as milder weather drove down insurance claims.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7980cd/sc/2/mf.....

New RBS boss Ross McEwan vows to focus on customers
The Royal Bank of Scotland Group plc (RBS) has unveiled Ross McEwan as its new Director and Group Chief Executive.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2f7980da/sc/25/mf.gif' border='0'/><div clas.....