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Press Round-up – January 31

Below is a round-up of today’s notable stories in Britain’s business press. Click each headline to read the story in full.

Business tells ministers to “back off bonuses”
Confederation of British Industry president Sir Roger Carr has accused politicians of harming the international reputation of the London’s financial services district by resorting to terms of populist abuse in the row over bankers’ bonuses. (Times)

Russia’s Putin stands by state capitalism
Vladimir Putin has set out an economic vision for Russia based on state capitalism and strong, paternalistic government as he seeks to return to the presidency in the face of unprecedented protests against his rule. (FT)

Portuguese storm gathers as EU leaders fight over Greece
Surging borrowing costs in Portugal have raised the spectre of a second full-fledged contagion crisis in the euro zone, eclipsing the latest efforts by EU leaders in Brussels to agree on Europe’s bailout machinery and a strategy for Greece. (Telegraph)

Press Round-up – January 30

Lloyd’s chief plans management changes
The chief executive of Lloyds Banking Group Antonio Horta-Osorio is set to unveil plans to simplify the bank’s management structure and hand more power to top executives, as he attempts to convince investors he can avoid a relapse of the exhaustion he suffered last year. (FT)
Mining chiefs in secret meeting to halt tax rises
The heads of the world’s biggest mining companies met in secret in Davos last week to discuss ways in which to halt the growing threat of resource nationalism. (Times)

Europe’s carmakers hit out at India trade deal
Europe’s carmakers are crying foul over a proposed trade agreement between the European Union and India, which they say would restrict access to one of their most important but highly protected markets. (FT)

Press Round-up – January 27

Osborne to unveil powers to control banks
The British treasury will on Friday publish plans for a radical overhaul of financial regulation that will hand the UK’s finance minister George Osborne new powers. (Telegraph)


NYSE chief sees little chance of Deutsche Boerse deal
Duncan Niederauer, chief executive of NYSE Euronext, has admitted he “misjudged” European antitrust authorities’ approach to his exchange’s attempted tie-up with Deutsche Boerse, saying there was only a “glimmer of hope” the deal would succeed. (FT)

from Breakingviews:

UK’s problem: it’s the best in Europe


By Ian Campbell

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

UK GDP stalled in the fourth quarter, contracting by 0.2 percent. That’s bad. But which major west European economy will perform best in 2012? It’s the UK again, the IMF predicted this week.

Press Round-up – January 26

Einhorn and Greenlight fined by UK financial regulators
David Einhorn, one of the world’s highest profile hedge fund managers, and his firm, Greenlight Capital, have been fined 7.2 million pounds ($11.22 million) by UK regulators for trading before a 2009 equity fundraising by Punch Taverns. (FT)

Ex-Lloyds chief joins UK advisory firm
Eric Daniels, former chief executive of Lloyds Banking Group and one of the most high-profile figures in the financial crisis, is joining a little-known advisory firm. (FT)

from John Lloyd:

A yacht not fit for a queen

Her Majesty Elizabeth the Second, by the Grace of God, of the United Kingdom of Great Britain and Northern Ireland, and of Her other Realms and Territories, Queen, Head of the Commonwealth, Defender of the Faith … is in want of a yacht.

She had one, the Royal Yacht Britannia, which she loved very much. When the Labour government of Tony Blair said it was too expensive and decommissioned it soon after assuming office in 1997, she was seen to weep at the ceremony. Last year, Blair was reported as saying he regretted the decision, pressed upon him by the then-chancellor, Gordon Brown, and inherited from the previous, Conservative administration. It cost £11 million a year to run, and a necessary refit would have cost some £50 million. So it was put out to the nautical equivalent of pasture. It’s now on show at a dock in Leith, the port of Scotland’s capital, Edinburgh, where it’s in much demand as a venue for “occasions."

Press Round-up – January 25


IMF issues $440 billion global warning for 2012
Europe will enter a mild recession this year, Britain will slow to a crawl and growth worldwide will expand significantly less than hoped, the International Monetary Fund said. (Times)

S&P downgrades French banks
The loss of France’s long-cherished triple A sovereign debt status spilt over into its banking sector on Tuesday as Standard & Poor’s cut its long-term ratings for Societe Generale and Credit Agricole, two of the country’s top three banks. (FT)

Press Round-up – January 24

Berlin ready to see stronger “firewall”
Germany is open to boosting the firepower of the euro zone’s rescue funds to 750 billion euros in exchange for strict budget rules favoured by Berlin in a new fiscal compact for all members of the currency union. (FT)

UK’s Cable plans to curb top pay
British business secretary Vince Cable outlined the most ambitious attempt in a decade to reign in soaring executive pay with measures to boost shareholder power and demystify complex pay deals.  (FT)

Press Round-up – January 23


IKEA shelves Indian retail move
Sweden’s IKEA, the world’s biggest furniture retailer, is withholding its entry into India in spite of New Delhi’s move to open its market to foreign retailers as the Swedish homewares company accelerates its expansion in other BRIC countries. (FT)

Miliband urges Cameron to block RBS chief’s bonus
UK opposition leader Ed Miliband has challenged the Prime Minister David Cameron to block Royal Bank of Scotland chief executive Stephen Hester’s bonus. (Telegraph)

Press Round-up – January 20

China set to buy stake in Thames Water
A Chinese sovereign wealth fund is poised to buy a stake in the water network that serves London, in what would be the fund’s first acquisition in the UK following investment talks with British politicians. (FT)

Italy’s banks tap into ECB fund
Italy’s banks, led by UniCredit, were the biggest users of the special three-year funding mechanism launched by the European Central Bank in December, according to a new research report. (FT)