cityam--2020-08-03--Metro Bank agrees £12m deal for Ratesetter in lending push

Metro Bank will snap up peer-to-peer lender Ratesetter after agreeing a £12m sale it hopes will push it into more profitable banking avenues .
The challenger bank will pay an initial £2.5m , it said today , and another £9.5m over the three years following the completion of the deal , based on performance criteria .
Read more : Top 10 most shorted UK stocks : Hedge funds bet against Metro Bank , Royal Mail and Cineworld Daniel Frumkin , Metro Bank ’ s chief executive , said the acquisition will help his company pivot to more profitable areas of @ @ @ @ @ @ @ ability to enhance our offer of unsecured lending to our customers is an important strategic ambition as we continue to evolve the bank and increase our returns , ” Frumkin said .
“ Ratesetter is an established business with a strong technology platform and a talented team who have deep experience in the consumer unsecured lending market .
This acquisition therefore accelerates our plans , helps us to better meet the needs of our customers and further strengthens our position as the UK ’ s best community bank.
” Metro Bank wants to @ @ @ @ @ @ @ competitive , low profit margin mortgage business .
The bank endured a tumultuous 2019 after revealing a major balance sheet error .
The accounting scandal was followed by the departure of the bank ’ s top brass .
And its shares sank to an all-time low in February this year as it swung to a £131m loss .
It also launched a major review of compliance controls after handling money from Iran and Cuba , breaching US and EU sanctions .
Metro ’ s February loss was accompanied by Frumkin saying the bank @ @ @ @ @ @ @ business .
John Goodbody , a financial analyst at Goodbody , called the acquisition “ a positive move ” for Metro .
“ We see the need for the business to develop further into higher-yielding lending segments , ” he said , with Ratesetter offering a way to do this .
But he warned the purchase “ is not , in and of itself , a panacea in the context of the wider challenges ” affecting Metro Bank .
Metro ’ s share price rose 3.5 per cent to 106.9p in morning trading @ @ @ @ @ @ @ has seen more than 750,000 people invest or borrow via its platform with a total of £4bn lent out .
It reported revenue of £33m in the year to 31 March 2019 , coupled with a pre-tax loss of £8m .
Its chief executive , Rhydian Lewis , said : “ I am excited at the prospects of this combination .
Ratesetter and Metro Bank share a focus on delivering something better for the customer and the strategic logic of pairing Metro Bank ’ s strong deposit base with our lending capability is @ @ @ @ @ @ @ for its fresh approach to banking and I am looking forward to helping the bank expand its offering and meet more customer needs.
” Shareholders controlling a total of 60 per cent of Ratesetter ’ s shares must approve the deal , with the acquisition set to close by the fourth quarter .

Metro Bank agrees £12m deal for Ratesetter in lending push
Metro Bank will snap up peer-to-peer lender Ratesetter after agreeing a £12m sale it hopes will push it into more profitable banking avenues.
The challenger bank will pay an initial £2.5m, it said today, and another £9.5m over the three years following the completion of the deal, based on performance criteria.
Daniel Frumkin, Metro Bank’s chief executive, said the acquisition will help his company pivot to more profitable areas of banking like unsecured lending.
“The ability to enhance our offer of unsecured lending to our customers is an important strategic ambition as we continue to evolve the bank and increase our returns,” Frumkin said.
“Ratesetter is an established business with a strong technology platform and a talented team who have deep experience in the consumer unsecured lending market. This acquisition therefore accelerates our plans, helps us to better meet the needs of our customers and further strengthens our position as the UK’s best community bank.”
Metro Bank wants to shift away from its focus on the competitive, low profit margin mortgage business.
The bank endured a tumultuous 2019 after revealing a major balance sheet error. The accounting scandal was followed by the departure of the bank’s top brass. And its shares sank to an all-time low in February this year as it swung to a £131m loss.
It also launched a major review of compliance controls after handling money from Iran and Cuba, breaching US and EU sanctions.
Metro’s February loss was accompanied by Frumkin saying the bank would focus on growing its unsecured lending business.
John Goodbody, a financial analyst at Goodbody, called the acquisition “a positive move” for Metro. “We see the need for the business to develop further into higher-yielding lending segments,” he said, with Ratesetter offering a way to do this.
But he warned the purchase “is not, in and of itself, a panacea in the context of the wider challenges” affecting Metro Bank.
Metro’s share price rose 3.5 per cent to 106.9p in morning trading.
Ratesetter, founded in 2010, has seen more than 750,000 people invest or borrow via its platform with a total of £4bn lent out. It reported revenue of £33m in the year to 31 March 2019, coupled with a pre-tax loss of £8m.
Its chief executive, Rhydian Lewis, said: “I am excited at the prospects of this combination. Ratesetter and Metro Bank share a focus on delivering something better for the customer and the strategic logic of pairing Metro Bank’s strong deposit base with our lending capability is compelling.
“Metro Bank is admired for its fresh approach to banking and I am looking forward to helping the bank expand its offering and meet more customer needs.”
Shareholders controlling a total of 60 per cent of Ratesetter’s shares must approve the deal, with the acquisition set to close by the fourth quarter.


cityam--2020-08-03--Chief whip ‘told about Tory MP rape claims four months ago’

The government ’ s chief whip was last night accused of failing to act for four months on allegations against a Tory MP and former minister arrested for suspected rape over the weekend .
Tory chief whip Mark Spencer is understood to have spoken with the complainant in April , but failed to launch an investigation into the allegations .
Read more : Tory MP arrested on suspicion of rape The Tory MP , who has not been publicly named , has been accused of rape , sexual assault and coercive control by a former parliamentary employee in her twenties @ @ @ @ @ @ @ Saturday and released on bail .
The complainant alleges that the MP assaulted her , forced her to have sex , and left her so traumatised she had to go to hospital , the Times first reported .
A spokesman for Spencer yesterday said : “ The chief whip takes all allegations of harassment and abuse extremely seriously and has strongly encouraged anybody who has approached him to contact the appropriate authorities , including parliament ’ s independent complaints and grievance scheme.
” According to sources , Spencer had not known the “ @ @ @ @ @ @ @ , the Telegraph today reported that the woman made a complaint to Spencer on 1 April , and became frustrated when nothing was done about her allegations .
She reportedly then sought a second meeting with Spencer , which she says he declined .
The complainant also alleged that she told Spencer the MP issued threats against her if she spoke to anybody about the allegations .
But she said the chief whip simply reassured her that the MP in question would not carry out his threat .
It is also reported that @ @ @ @ @ @ @ , Jacob Rees-Mogg , was told about the claims in recent weeks , with sources saying he told the woman to contact the police .
The Conservative party was met with outrage yesterday after the whips ’ office said the Tory MP arrested over allegations of rape will not be suspended from the party while a police investigation is ongoing .
A spokesperson for the Conservative whips ’ office said : “ These are serious allegations and it is right that they are investigated fully .
The whip has not been suspended.
” @ @ @ @ @ @ @ suspicion of rape will not be suspended from party Shadow safeguarding minister Jess Phillips said it was “ shocking ” the party had not decided to withdraw the whip .
“ In any other organisation , were this police investigation to be going on , somebody would be suspended while the investigation was taking place , ” Phillips told Times Radio .
“ I find it shocking this morning in the news that the Conservative party has decided not to withdraw the whip in this case.
” Before the Open : Get the @ @ @ @ @ @ @ morning newsletter

Chief whip ‘told about Tory MP rape claims four months ago’
Chief whip Mark Spencer was told about rape accusations against a Tory MP four months ago, according to reports
The government’s chief whip was last night accused of failing to act for four months on allegations against a Tory MP and former minister arrested for suspected rape over the weekend.
Tory chief whip Mark Spencer is understood to have spoken with the complainant in April, but failed to launch an investigation into the allegations.
The Tory MP, who has not been publicly named, has been accused of rape, sexual assault and coercive control by a former parliamentary employee in her twenties.
He was taken into custody on Saturday and released on bail.
The complainant alleges that the MP assaulted her, forced her to have sex, and left her so traumatised she had to go to hospital, the Times first reported.
A spokesman for Spencer yesterday said: “The chief whip takes all allegations of harassment and abuse extremely seriously and has strongly encouraged anybody who has approached him to contact the appropriate authorities, including parliament’s independent complaints and grievance scheme.”
According to sources, Spencer had not known the “magnitude” of the allegations.
The arrested of an unidentified Tory MP on rape allegations occurred over the weekend
However, the Telegraph today reported that the woman made a complaint to Spencer on 1 April, and became frustrated when nothing was done about her allegations. She reportedly then sought a second meeting with Spencer, which she says he declined.
The complainant also alleged that she told Spencer the MP issued threats against her if she spoke to anybody about the allegations. But she said the chief whip simply reassured her that the MP in question would not carry out his threat.
It is also reported that the Leader of the House of Commons, Jacob Rees-Mogg, was told about the claims in recent weeks, with sources saying he told the woman to contact the police.
The Conservative party was met with outrage yesterday after the whips’ office said the Tory MP arrested over allegations of rape will not be suspended from the party while a police investigation is ongoing.
A spokesperson for the Conservative whips’ office said: “These are serious allegations and it is right that they are investigated fully. The whip has not been suspended.”
Shadow safeguarding minister Jess Phillips said it was “shocking” the party had not decided to withdraw the whip.
“In any other organisation, were this police investigation to be going on, somebody would be suspended while the investigation was taking place,” Phillips told Times Radio.
“I find it shocking this morning in the news that the Conservative party has decided not to withdraw the whip in this case.”
Before the Open: Get the jump on the markets with our early morning newsletter


cityam--2020-08-03--Working from home costs London hospitality sector £2.3bn, economists say

The coronavirus pandemic has caused £2.3bn of spending to be lost or displaced in shops , pubs and cafes near London employment hubs , according to new analysis by a think tank .
The Centre for Economics and Business Research ( Cebr ) also estimated that the capital will lose out on roughly £178m a month of spending compared to pre-coronavirus trends as many people simply stop working in London ’ s business centres .
Read more : London ’ s bowling alleys , comedy clubs and arts venues slam fresh lockdown as life-threatening It comes after the government put @ @ @ @ @ @ @ increase in coronavirus cases .
The move raised the possibility that normal life could not return until there is a vaccine .
Economics think tank Cebr today estimated the cost people working from home is having on London ’ s business centres .
It said it thought the pandemic had resulted in £2.3bn of spending in shops , pubs and eateries near London employment hubs being lost or displaced between March and June .
Google mobility data shows that in April , the number of people going to places of work on weekdays @ @ @ @ @ @ @ pre-coronavirus levels .
By June , that figure was still 60 per cent lower than before the pandemic .
Cebr said that there is unlikely to be a full return to the office when the ‘ new normal ’ emerges in 2021 .
It said it is likely that for London 30 per cent of employees will still be working at home on any one day .
Far lower numbers of people travelling to work will badly damage the businesses set up to cater to workers .
Cebr estimated that the capital will @ @ @ @ @ @ @ per month compared to what employees previously spent near their places of work .
Read more : London commercial rents set to slump amid ‘ drastic ’ change to market Cebr ’ s report coincided with its own return to its London office .
Senior economist Pablo Shah said that when he returned to the office the city “ looked like a ghost town ” .
The think tank ’ s founder Douglas McWilliams has argued that London attracts people because it is fun .
But Shah said : “ London last week @ @ @ @ @ @ @ talent it needs .
”

Working from home costs London hospitality sector £2.3bn, economists say
The coronavirus pandemic has caused £2.3bn of spending to be lost or displaced in shops, pubs and cafes near London employment hubs, according to new analysis by a think tank.
The Centre for Economics and Business Research (Cebr) also estimated that the capital will lose out on roughly £178m a month of spending compared to pre-coronavirus trends as many people simply stop working in London’s business centres.
It comes after the government put reopening from lockdown on hold after an increase in coronavirus cases. The move raised the possibility that normal life could not return until there is a vaccine.
Economics think tank Cebr today estimated the cost people working from home is having on London’s business centres.
It said it thought the pandemic had resulted in £2.3bn of spending in shops, pubs and eateries near London employment hubs being lost or displaced between March and June.
Google mobility data shows that in April, the number of people going to places of work on weekdays was down 77 per cent compared to pre-coronavirus levels. By June, that figure was still 60 per cent lower than before the pandemic.
Full return to office unlikely
Cebr said that there is unlikely to be a full return to the office when the ‘new normal’ emerges in 2021. It said it is likely that for London 30 per cent of employees will still be working at home on any one day.
Far lower numbers of people travelling to work will badly damage the businesses set up to cater to workers. Cebr estimated that the capital will continue to lose out on around £178m per month compared to what employees previously spent near their places of work.
Cebr’s report coincided with its own return to its London office. Senior economist Pablo Shah said that when he returned to the office the city “looked like a ghost town”.
The think tank’s founder Douglas McWilliams has argued that London attracts people because it is fun. But Shah said: “London last week did not look very attractive to the talent it needs.”


cityam--2020-08-03--Ince Group sees revenue jump 87 per cent but just misses £100m target

Legal and financial services firm Ince Group continued its rapid growth this year , with revenue increasing 87 per cent despite disruption from the coronavirus pandemic .
Although the firm narrowly missed its target of £100m in revenue , the firm said its underlying business had proved “ resilient ” in the face of the pandemic .
Shares in the firm slipped 4.9 per cent this morning .
Ince Group , formerly Gordon Dadds LLP , saw revenue rise to £98.5m this year , nearly double the £52.6m it booked last year .
Operating profit also jumped 72 per cent @ @ @ @ @ @ @ 2019 , while adjusted profit came in at £8m .
Earnings per share slipped back 21 per cent from 18.8p to 14.9p , which Ince said was due to a 12m placing in January .
Back in March , the firm cancelled its dividend for 2020 due to the disruption caused by the current pandemic .
Likewise , Ince said that the uncertainty regarding economic recovery meant it was too early to provide any guidance for this year ’ s financial performance .
This year ’ s results were the first set to @ @ @ @ @ @ @ financial year , after the acquisition of shipping firm Ince & Co at the end of 2018 .
Before the Open newsletter : Start your day with the City View podcast and key market data At the time of its listing in 2017 , Gordon Dadds was just the second UK law firm to list in a bid to counter the threat of incoming US law firms and the growth of the accountancy firms in the legal sector .
The addition of Ince & Co , which had long been languishing in the @ @ @ @ @ @ @ consolidating the business .
In a statement , Ince said : “ Our strategy continues to be to grow revenue profitably through adding high performing partners to a single efficient administration operation .
“ We do this by recruiting high quality personnel , developing new business streams , acquiring complementary businesses and forging strategic alliances.
” Group chief executive Adrian Biles said : “ We can justifiably claim that this has been a year of great progress .
“ While we narrowly missed our £100m revenue target , the fact that these results @ @ @ @ @ @ @ Covid-19 shows the quality of the business we are building .
Read more : FTSE 100 falls as investors weigh earnings and coronavirus cases “ This is the first announcement to include the whole of Ince for a full year .
The power of the Ince brand continues to win clients and attract talent .

Ince Group sees revenue jump 87 per cent but just misses £100m target
Legal and financial services firm Ince Group continued its rapid growth this year, with revenue increasing 87 per cent despite disruption from the coronavirus pandemic.
Although the firm narrowly missed its target of £100m in revenue, the firm said its underlying business had proved “resilient” in the face of the pandemic.
Shares in the firm slipped 4.9 per cent this morning.
The figures
Ince Group, formerly Gordon Dadds LLP, saw revenue rise to £98.5m this year, nearly double the £52.6m it booked last year.
Operating profit also jumped 72 per cent, rising to £26.2m from £15.2m in 2019, while adjusted profit came in at £8m.
Earnings per share slipped back 21 per cent from 18.8p to 14.9p, which Ince said was due to a 12m placing in January.
Back in March, the firm cancelled its dividend for 2020 due to the disruption caused by the current pandemic.
Likewise, Ince said that the uncertainty regarding economic recovery meant it was too early to provide any guidance for this year’s financial performance.
Why it’s interesting
This year’s results were the first set to cover the whole business for a full financial year, after the acquisition of shipping firm Ince & Co at the end of 2018.
Before the Open newsletter: Start your day with the City View podcast and key market data
At the time of its listing in 2017, Gordon Dadds was just the second UK law firm to list in a bid to counter the threat of incoming US law firms and the growth of the accountancy firms in the legal sector.
The addition of Ince & Co, which had long been languishing in the doldrums, was the first step in consolidating the business.
In a statement, Ince said: “Our strategy continues to be to grow revenue profitably through adding high performing partners to a single efficient administration operation.
“We do this by recruiting high quality personnel, developing new business streams, acquiring complementary businesses and forging strategic alliances.”
What Ince said
Group chief executive Adrian Biles said: “We can justifiably claim that this has been a year of great progress.
“While we narrowly missed our £100m revenue target, the fact that these results were achieved despite the disruption caused by Covid-19 shows the quality of the business we are building.
“This is the first announcement to include the whole of Ince for a full year. The power of the Ince brand continues to win clients and attract talent.


cityam--2020-08-03--The City View: Glass half full? Emma McClarkin on the future of British pubs

In this episode Christian is joined by the chief executive of the British Beer and Pub Association , Emma McClarkin , who represents over 20,000 pubs and whose members are responsible for 90 per cent of the beer brewed in the UK .
Emma describes how pubs and brewers have responded to the lockdown and how they ’ ve fared since being allowed to reopen .
She warns the government to find clarity on its messages around local lockdowns and says any fresh move to close pubs would prove fatal to many of her members .
She also slams the @ @ @ @ @ @ @ see pubs required to publish the calories of all food and drinks .
Despite the challenges , Emma is optimistic that the British public ’ s love affair with the pub is far from over .
Also in this episode Christian looks at fresh economic analysis showing the impact lockdown has had on London ’ s business districts ; HSBC ’ s latest results ; and some positive news from UK manufacturing .
Read more : The City View : Thames Clippers ’ CEO on getting London back to work ETX Capital is @ @ @ @ @ @ @ spread betting and CFD trading providers , offering services to retail , institutional , professional and high net worth customers via an award-winning trading platform .
With over 50 years of experience in the financial markets , customers and service are always put first at ETX , and the company prides itself in offering a tailor-made trading experience to every customer .
The multi-device TraderPro platform delivers a fully customisable , award-winning trading technology with customisable charts , instant execution and over 5,000 markets to trade .
Disclaimer : Spread bets and CFDs @ @ @ @ @ @ @ high risk of losing money rapidly due to leverage .
76 % of retail investor accounts lose money when spread betting or trading CFDs with ETX .
You should consider whether you understand how spread bets or CFDs work and whether you can afford to take the high risk of losing your money .
Authorised and regulated by the Financial Conduct Authority with Financial Services register number 124721 .
ETX Capital provides an execution-only service and therefore any market analysis , opinion , commentary or other information provided during this webinar is for @ @ @ @ @ @ @ to be a personal recommendation or construed as advice .
ETX Capital and the presenter are not financial or investment advisors and do not recommend any instrument of any kind .
Any instruments that are mentioned throughout are cited only for illustrative and educational purposes .

The City View: Glass half full? Emma McClarkin on the future of British pubs
Subscribe to The City View Podcast: Apple / Google / Spotify / RSS
In this episode Christian is joined by the chief executive of the British Beer and Pub Association, Emma McClarkin, who represents over 20,000 pubs and whose members are responsible for 90 per cent of the beer brewed in the UK.
Emma describes how pubs and brewers have responded to the lockdown and how they’ve fared since being allowed to reopen. She warns the government to find clarity on its messages around local lockdowns and says any fresh move to close pubs would prove fatal to many of her members.
She also slams the government’s anti-obesity plans which would see pubs required to publish the calories of all food and drinks. Despite the challenges, Emma is optimistic that the British public’s love affair with the pub is far from over.
Also in this episode Christian looks at fresh economic analysis showing the impact lockdown has had on London’s business districts; HSBC’s latest results; and some positive news from UK manufacturing.
In association with ETX Capital
ETX Capital is one of the UK’s leading spread betting and CFD trading providers, offering services to retail, institutional, professional and high net worth customers via an award-winning trading platform. With over 50 years of experience in the financial markets, customers and service are always put first at ETX, and the company prides itself in offering a tailor-made trading experience to every customer. The multi-device TraderPro platform delivers a fully customisable, award-winning trading technology with customisable charts, instant execution and over 5,000 markets to trade.
Disclaimer: Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76%of retail investor accounts lose money when spread betting or trading CFDs with ETX. You should consider whether you understand how spread bets or CFDs work and whether you can afford to take the high risk of losing your money. Authorised and regulated by the Financial Conduct Authority with Financial Services register number 124721. ETX Capital provides an execution-only service and therefore any market analysis, opinion, commentary or other information provided during this webinar is for educational purposes only and is not intended to be a personal recommendation or construed as advice. ETX Capital and the presenter are not financial or investment advisors and do not recommend any instrument of any kind. Any instruments that are mentioned throughout are cited only for illustrative and educational purposes.


cityam--2020-08-03--Fuel prices rise for second consecutive month as oil price steadies

The average price of petrol and diesel rose for the second consecutive month in July , adding nearly £2 to a fill up , according to RAC Fuel Watch data .
The second consecutive month of price rises means unleaded is now 7p a litre more expensive than it was at the end of May , while diesel is 6p dearer .
Read more : United Oil and Gas takes over Jamaica field from Tullow Unleaded rose 3.21p a litre from 111.06p to 114.27p , which sent the cost of a 55-litre tank to £62.85 – an increase of £1.77 @ @ @ @ @ @ @ amount – 2.95p a litre – from 115.09p to 118.04p , making a complete fill-up £1.62p more expensive at £64.92 .
After months of turmoil earlier this year , global oil prices were largely stable throughout July , closing out the month at $ 42.95 .
However , across the month the wholesale price of petrol fell 2p across the month to 84.66p a litre , signalling that retailers should be reducing their pump prices slightly in the next week or two .
RAC fuel spokesman Simon Williams said that further respite might @ @ @ @ @ @ @ oil producers around the world planning on increasing production in the coming months .
Before the Open newsletter : Start your day with the City View podcast and key market data “ The higher prices at the pump have been driven by the cost of oil increasing steadily to around $ 42 a barrel from a low of $ 13.21 in April ” , he said .
“ But drivers may well be given some respite as oil producers are planning on ramping up production despite the risk of renewed lockdowns around the @ @ @ @ @ @ @ to supply outstripping demand and therefore a reduction on the forecourts of the UK ” .
Asda offered the cheapest supermarket unleaded by the end of July at 108.63p ( up 2p ) with the others all averaging just over 109p a litre .
It also had the lowest price diesel at 112.68p ahead of Sainsbury ’ s on 113.39p – Morrisons and Tesco were both at 114p .
Dan Hutson , head of motor insurance , at comparethemarket.com , said that the rise in prices could “ eradicate ” any savings motorists @ @ @ @ @ @ @ last few months .
Read more : Shell escapes first ever loss following strong oil trading “ While premiums have fallen significantly during lockdown – over £50 in the last quarter – the increase in fuel prices seen today could well eradicate those savings .
“ The cost of fuel has been fluctuating a lot this year and indications are that we may see a reduction in costs in the months ahead .
But this will do little for those that are already struggling with the cost of running a car , whether @ @ @ @ @ @ @ payments or covering the cost of petrol ” , he finished .

Fuel prices rise for second consecutive month as oil price steadies
The average price of petrol and diesel rose for the second consecutive month in July, adding nearly £2 to a fill up, according to RAC Fuel Watch data.
The second consecutive month of price rises means unleaded is now 7p a litre more expensive than it was at the end of May, while diesel is 6p dearer.
Unleaded rose 3.21p a litre from 111.06p to 114.27p, which sent the cost of a 55-litre tank to £62.85 – an increase of £1.77.
Diesel went up by a similar amount – 2.95p a litre – from 115.09p to 118.04p, making a complete fill-up £1.62p more expensive at £64.92.
After months of turmoil earlier this year, global oil prices were largely stable throughout July, closing out the month at $42.95.
However, across the month the wholesale price of petrol fell 2p across the month to 84.66p a litre, signalling that retailers should be reducing their pump prices slightly in the next week or two.
RAC fuel spokesman Simon Williams said that further respite might be on the way for drivers with oil producers around the world planning on increasing production in the coming months.
Before the Open newsletter: Start your day with the City View podcast and key market data
“The higher prices at the pump have been driven by the cost of oil increasing steadily to around $42 a barrel from a low of $13.21 in April”, he said.
“But drivers may well be given some respite as oil producers are planning on ramping up production despite the risk of renewed lockdowns around the world.
“This could easily lead to supply outstripping demand and therefore a reduction on the forecourts of the UK”.
Asda offered the cheapest supermarket unleaded by the end of July at 108.63p (up 2p) with the others all averaging just over 109p a litre.
It also had the lowest price diesel at 112.68p ahead of Sainsbury’s on 113.39p – Morrisons and Tesco were both at 114p.
Dan Hutson, head of motor insurance, at comparethemarket.com, said that the rise in prices could “eradicate” any savings motorists had made on insurance premiums over the last few months.
“While premiums have fallen significantly during lockdown – over £50 in the last quarter – the increase in fuel prices seen today could well eradicate those savings.
“The cost of fuel has been fluctuating a lot this year and indications are that we may see a reduction in costs in the months ahead. But this will do little for those that are already struggling with the cost of running a car, whether that’s affording their car insurance payments or covering the cost of petrol”, he finished.


cityam--2020-08-03--Three-quarters of London firms welcome staff back to offices

London firms are starting to bring their staff back to the workplace after more than four months of remote working due to the pandemic .
A survey of 100 business leaders conducted by London First reveals a phased return of staff is underway for three quarters of London firms .
Read more : Barclays urges staff back to the office as HSBC eyes September return The survey , which was carried out last week , found that 74 per cent of businesses already have a small percentage of staff – between 0 and 20 per cent – back , while @ @ @ @ @ @ @ back .
Remote working was quickly introduced by companies when the government imposed a national lockdown to curb the spread of coronavirus .
While some firms have adjusted seamlessly to the shift to working from home , the Prime Minister has pushed for employees to return to the office .
Last month Boris Johnson appealed for people to return to work if they can .
“ I think it ’ s very important that people should try to lead their lives more normally , ” he said .
The pandemic seems to have @ @ @ @ @ @ @ the capital for the vast majority of firms , with 42 per cent of firms retaining all of their workspace in the capital .
The majority of firms recognise staff remain cautious , so 78 per cent have said they have made their workplaces Covid-secure .
This includes 86 per cent of firms redesigning office spaces , with just over two thirds looking to close communal spaces .
A quarter of companies will require their employees to wear face masks .
But caution persists and the biggest barriers for employees returning are concerns @ @ @ @ @ @ @ and childcare – 68 per cent .
Read more : Get staff back to offices now , urges LBC ’ s Nick Ferrari Paul Drechsler , chair of London First welcomed firms ’ approach to making workplaces secure .
“ Now it ’ s up to the government to end the messaging muddle and work flat out with public transport operators to boost confidence in the transport system ” he said .
“ The public need to know the best time to travel and the safety measures in place , backed up by @ @ @ @ @ @ @ is at any given time.
” Get the news as it happens by following City A.M. on Twitter .

Three-quarters of London firms welcome staff back to offices
(Photo by Dan Kitwood/Getty Images)
London firms are starting to bring their staff back to the workplace after more than four months of remote working due to the pandemic.
A survey of 100 business leaders conducted by London First reveals a phased return of staff is underway for three quarters of London firms.
The survey, which was carried out last week, found that 74 per cent of businesses already have a small percentage of staff – between 0 and 20 per cent – back, while only seven per cent have no one back.
Remote working was quickly introduced by companies when the government imposed a national lockdown to curb the spread of coronavirus. While some firms have adjusted seamlessly to the shift to working from home, the Prime Minister has pushed for employees to return to the office.
Last month Boris Johnson appealed for people to return to work if they can. “I think it’s very important that people should try to lead their lives more normally,” he said.
The pandemic seems to have done little to dent the attraction of the capital for the vast majority of firms, with 42 per cent of firms retaining all of their workspace in the capital.
The majority of firms recognise staff remain cautious, so 78 per cent have said they have made their workplaces Covid-secure. This includes 86 per cent of firms redesigning office spaces, with just over two thirds looking to close communal spaces. A quarter of companies will require their employees to wear face masks.
But caution persists and the biggest barriers for employees returning are concerns over transport – 95 per cent – and childcare – 68 per cent.
Paul Drechsler, chair of London First welcomed firms’ approach to making workplaces secure.
“Now it’s up to the government to end the messaging muddle and work flat out with public transport operators to boost confidence in the transport system” he said.
“The public need to know the best time to travel and the safety measures in place, backed up by real time data on how busy it is at any given time.”
Get the news as it happens by following City A.M. on Twitter.


cityam--2020-08-03--United Oil and Gas takes over Jamaica field from Tullow

United Oil and Gas has taken over the running of Jamaica ’ s Walton Morant oil field from fellow explorer Tullow Oil , it was announced today .
This morning , the firm announced that the Jamaican government had given it permission to take forward the reserve on a 100 per cent basis .
Read more : Shell escapes first ever loss following strong oil trading The deal will give United 18 months to explore the prospect further , with a “ drill or drop ” decision expected in January 2022 .
United already had a 20 per cent stake @ @ @ @ @ @ @ Cenkos saying that the decision to award it the full license was a “ huge endorsement ” of the firm .
On the back of the decision , Cenkos raised its valuation of the company to 9.5p , prompting shares to surge 11 per cent in early trading .
United ’ s stock pared most of its gains as the day went on , closing 1.8 per cent up .
Before the Open newsletter : Start your day with the City View podcast and key market data At 22,400 square km , the @ @ @ @ @ @ @ the size of the average North Sea block – hence the excitement of analysts .
Cenkos said that “ given the scale of the upside potential , a successful result at Colibri could open up a new multi-billion barrel hydrocarbon play ” .
United said that the field was a “ highly prospective frontier basin with compelling evidence for the presence of a working petroleum system ” .
It added that a work programme was underway to “ further de-risk the Colibri prospect and other targets ahead of a drill decision ” .
@ @ @ @ @ @ @ Walton Morant has the potential to have a major impact on United Oil & Gas and we are delighted to have successfully concluded an agreement with the Jamaican Government to take on operatorship and to develop this licence for the benefit of all stakeholders .
Read more : Cairn Energy sells Senegal stakes to Lukoil for $ 400m “ We will move ahead with a cost-effective programme of activity , building on the significant work that Tullow and United had completed over the last two years and the feedback from a very active @ @ @ @ @ @ @ be to further de-risk the asset , bring in partners and move ahead to plan a well on the Colibri prospect ” , he added .

United Oil and Gas takes over Jamaica field from Tullow
United Oil and Gas has taken over the running of Jamaica’s Walton Morant oil field from fellow explorer Tullow Oil, it was announced today.
This morning, the firm announced that the Jamaican government had given it permission to take forward the reserve on a 100 per cent basis.
The deal will give United 18 months to explore the prospect further, with a “drill or drop” decision expected in January 2022.
United already had a 20 per cent stake in the firm, with City broker Cenkos saying that the decision to award it the full license was a “huge endorsement” of the firm.
On the back of the decision, Cenkos raised its valuation of the company to 9.5p, prompting shares to surge 11 per cent in early trading.
United’s stock pared most of its gains as the day went on, closing 1.8 per cent up.
Before the Open newsletter: Start your day with the City View podcast and key market data
At 22,400 square km, the Walton Morant block is approximately 187 times the size of the average North Sea block – hence the excitement of analysts.
Cenkos said that “given the scale of the upside potential, a successful result at Colibri could open up a new multi-billion barrel hydrocarbon play”.
United said that the field was a “highly prospective frontier basin with compelling evidence for the presence of a working petroleum system”.
It added that a work programme was underway to “further de-risk the Colibri prospect and other targets ahead of a drill decision”.
Chief executive Brian Larkin said: “Walton Morant has the potential to have a major impact on United Oil & Gas and we are delighted to have successfully concluded an agreement with the Jamaican Government to take on operatorship and to develop this licence for the benefit of all stakeholders.
“We will move ahead with a cost-effective programme of activity, building on the significant work that Tullow and United had completed over the last two years and the feedback from a very active farm-down process.
“Our goal will be to further de-risk the asset, bring in partners and move ahead to plan a well on the Colibri prospect”, he added.


cityam--2020-08-03--Business travel firms call for government help to avoid 10,000 job cuts

The UK ’ s business travel sector has called on the government to provide it with an emergency rescue package to help prevent up to 10,000 jobs being lost this year .
The chief executive of industry body the Business Travel Association ( BTA ) has written to chancellor Rishi Sunak , transport secretary Grant Shapps and business secretary Alok Sharma to lay out the deal .
Read more : Exclusive : Half of business travel jobs at risk , says BTA boss “ Targeted and limited Government backing for the business travel sector will not only save many jobs @ @ @ @ @ @ @ of the vital support pillars for British business as a whole ” , wrote Clive Wratten .
Under the deal , the BTA has called on the government to providefinancial support to cover 60 per cent of salaries of employees in business travel companies until at least the end of 2020 .
This will then be repaid by those companies through 10 per cent of profits each quarter .
It also asked for a 12-month business rates holiday to provide firms with vitally needed liquidity .
Before the Open newsletter : Start your @ @ @ @ @ @ @ key market data Finally , it called for a temporary , year-long suspension of air passenger duty to provide an immediate stimulus for travel .
The BTA also said that with Premium Economy class should no longer be taxed in the same band as First and Business Class .
When the tax is restored in a year ’ s time , the BTA is also calling for the government to “ ringfence ” 50 per cent of it for investment in environmental measures such as the development of aviation biofuels .
Read more @ @ @ @ @ @ @ air bridges to avoid quarantine Wratten added : “ Our industry plays a crucial role in helping British business travel and trade and , until demand returns , we urgently need government support to help us survive.
” According to the BTA , the business travel industry providing a £220bn a year contribution to UK GDP .

Business travel firms call for government help to avoid 10,000 job cuts
The UK’s business travel sector has called on the government to provide it with an emergency rescue package to help prevent up to 10,000 jobs being lost this year.
The chief executive of industry body the Business Travel Association (BTA) has written to chancellor Rishi Sunak, transport secretary Grant Shapps and business secretary Alok Sharma to lay out the deal.
“Targeted and limited Government backing for the business travel sector will not only save many jobs in our industry, but underpin one of the vital support pillars for British business as a whole”, wrote Clive Wratten.
Under the deal, the BTA has called on the government to providefinancial support to cover 60 per cent of salaries of employees in business travel companies until at least the end of 2020.
This will then be repaid by those companies through 10 per cent of profits each quarter.
It also asked for a 12-month business rates holiday to provide firms with vitally needed liquidity.
Before the Open newsletter: Start your day with the City View podcast and key market data
Finally, it called for a temporary, year-long suspension of air passenger duty to provide an immediate stimulus for travel.
The BTA also said that with Premium Economy class should no longer be taxed in the same band as First and Business Class.
When the tax is restored in a year’s time, the BTA is also calling for the government to “ringfence” 50 per cent of it for investment in environmental measures such as the development of aviation biofuels.
Wratten added: “Our industry plays a crucial role in helping British business travel and trade and, until demand returns, we urgently need government support to help us survive.”
According to the BTA, the business travel industry providing a £220bn a year contribution to UK GDP.


cityam--2020-08-03--Russian hackers ‘stole’ US-UK trade deal papers from Liam Fox’s email

Classified US-UK trade documents were “ stolen ” from former trade minister Liam Fox ’ s email account by Russian hackers , according to reports .
The papers , which were leaked ahead of the December General Election last year , were accessed via several hacks on Fox ’ s account between 21 July and 21 October , according to Reuters .
Read more : Exclusive : Top Tory MP says Russia ‘ taken hostage by mafia gang ’ Several sources declined to name which Russian group or organisation they believed was responsible , but said the attack “ bore @ @ @ @ @ @ @ .
Just weeks ago the UK government announced it had opened a criminal investigation after it emerged Russian groups were responsible for promoting the leaked documents .
Foreign secretary Dominic Raab said “ Russian actors ” had sought to interfere in the election “ through the online amplification of illicitly acquired and leaked government documents ” .
Moscow has repeatedly denied allegations of meddling in foreign elections .
Russia ’ s foreign ministry last month described Raab ’ s accusations as “ foggy and contradictory ” .
The papers allegedly originating from Fox @ @ @ @ @ @ @ , after then-Labour leader Jeremy Corbyn used them to back up his claim the NHS would be “ on the table ” in post-Brexit trade talks with the US .
Fox ’ s email account was hacked using a so-called spear phishing message , which fools the target into handing over their password and login details , Reuters reported .
Read more : Chinese hackers target senior Tory MP in impersonation campaign A Cabinet Office spokesperson said : “ There is an ongoing criminal investigation into how the documents were acquired , and @ @ @ @ @ @ @ at this point .
“ But as you would expect , the Government has very robust systems in place to protect the IT systems of officials and staff.
” Before the Open : Get the jump on the markets with our early morning newsletter

Russian hackers ‘stole’ US-UK trade deal papers from Liam Fox’s email
Classified US-UK trade documents were “stolen” from former trade minister Liam Fox’s email account by Russian hackers, according to reports.
The papers, which were leaked ahead of the December General Election last year, were accessed via several hacks on Fox’s account between 12 July and 21 October, according to Reuters.
Several sources declined to name which Russian group or organisation they believed was responsible, but said the attack “bore the hallmarks of a state-backed operation”.
Just weeks ago the UK government announced it had opened a criminal investigation after it emerged Russian groups were responsible for promoting the leaked documents.
Foreign secretary Dominic Raab said “Russian actors” had sought to interfere in the election “through the online amplification of illicitly acquired and leaked government documents”.
Moscow has repeatedly denied allegations of meddling in foreign elections.
Russia’s foreign ministry last month described Raab’s accusations as “foggy and contradictory”.
The papers allegedly originating from Fox’s email stoked outrage upon publication, after then-Labour leader Jeremy Corbyn used them to back up his claim the NHS would be “on the table” in post-Brexit trade talks with the US.
Fox’s email account was hacked using a so-called spear phishing message, which fools the target into handing over their password and login details, Reuters reported.
A Cabinet Office spokesperson said: “There is an ongoing criminal investigation into how the documents were acquired, and it would be inappropriate to comment further at this point.
“But as you would expect, the Government has very robust systems in place to protect the IT systems of officials and staff.”
Before the Open: Get the jump on the markets with our early morning newsletter


cityam--2020-08-03--Coronavirus: Which UK towns are at risk of a local lockdown?

As the UK braces for the impact of a potential second wave of coronavirus cases , some regions have been placed under close watch by health officials .
A watchlist created by Public Health England , which is updated weekly , showed that 27 regions are now being monitored for case spikes , more than doubling from 13 a week earlier .
Some of them will face local lockdown rules , such as shops being closed and home visitor numbers being limited .
As of 31 July , the regions currently under watch for a potential local lockdown by Public @ @ @ @ @ @ @ the watchlist for local lockdown rules include Oldham , Hyndburn , Trafford , Manchester , Bolton , Salford , Burnley , Tameside , Stockport , Bury , Wigan , Rossendale , Eden and Sandwell .
No regions were removed .
Public Health England said there were small increases in Covid-19 activity in England during the week ending 26 July .
At a local authority level , activity was highest in Blackburn and Darwen where cases continued to increase .
Meanwhile activity in Leicester , one of the first regions to enter a local @ @ @ @ @ @ @ more : London coronavirus cases : How many infections are in your London borough ?
Right now , positive coronavirus cases are highest in adults aged 85 and over .
Using data from Public Health England , NHS Test and Trace and other bodies , the watchlist helps identify the local authorities of greatest concern for high coronavirus infection rates and potential local lockdown rules .
It is produced by first considering the lower tier local authorities with the highest weekly incidence rate and how that data is trending , combined with other @ @ @ @ @ @ @ tests .
It also looks at an assessment of the local response and plans in those authorities for possible lockdown measures , as well as other metrics such as healthcare activity and mortality .
As of 9am on 28 July , a total of 1,988,318 people had been tested for Covid-19 , with 259,022 people confirmed as positive .

Coronavirus: Which English towns are at risk of a local lockdown?
The government has “put the brakes on” easing lockdown measures and imposed new rules on millions of households in northern England, following concerns over a spike in coronavirus infections
As the UK braces for the impact of a potential second wave of strict lockdown measures, some regions have been placed under close watch by health officials.
A watchlist created by Public Health England, which is updated weekly, showed that 18 regions in England are now being monitored for case spikes, almost halved from 34 a week earlier.
Some of them will face local lockdown rules, such as shops being closed and home visitor numbers being limited.
As of 6 September, the regions currently under watch for a potential local lockdown by Public Health England are:
Bolton
Bradford
Oldham
Salford
Blackburn with Darwen
Preston
Pendle
Rochdale
Tameside
Manchester
Birmingham
Bury
Leicester
Kirklees
Solihull
Calderdale
Trafford
Sandwell
The only new addition to the watchlist for local lockdown rules was Solihull.
Hyndburn, Burnley, Swindon, Breckland, Northampton, Rossendale, Stockport, Norwich, Broadland, Corby, Kettering, Oadby, Leeds, Middlesbrough, Peterborough, Stoke-on-Trent and Luton were removed from the list.
Public Health England said Covid-19 activity in England had increased during the week ending 6 September, after small increases in activity the week before.
Positive coronavirus cases increased significantly to 12,217 in that week, up from 7,955 in a week earlier.
Case rates were highest in north-west England and Yorkshire and Humber, while positive coronavirus cases continued to be highest in adults aged between 20 to 29 years old.
At a local authority level, activity continued to be highest in Bolton.
Using data from Public Health England, NHS Test and Trace and other bodies, the watchlist helps identify the local authorities of greatest concern for high coronavirus infection rates and potential local lockdown rules.
It is produced by first considering the lower tier local authorities with the highest weekly incidence rate and how that data is trending, combined with other indicators including the rate of positive Covid-19 tests.
It also looks at an assessment of the local response and plans in those authorities for possible lockdown measures, as well as other metrics such as healthcare activity and mortality.
As of 9am on 8 September 2020, a total of total of 304,269 have been confirmed positive, up from 283,280.
The government has stopped providing figures for how many people have tested since the pandemic started. The most recent figure was provided last week, with a total of 2,512,332 people having been tested as of 25 August.


cityam--2020-08-03--Thomas Cook buyer Hays Travel to slash 878 jobs

Hays Travel , which bought Thomas Cook last year after the holiday firm fell into administration , will cut 878 jobs .
Nearly a fifth of its total workforce of 4,500 will be made redundant through the cuts as the travel industry continued to suffer the effects of the coronavirus pandemic .
In a statement , owners John and Irene Hays said : “ We are devastated that after all of our efforts and the huge investment we ’ ve made we now face losing some of our valued employees , through no fault of their own .
“ Following @ @ @ @ @ @ @ and the changes in furlough conditions coming at the same time , we have had no choice.
” Last weekend the government banned all travel to the Iberian country , one of the UK ’ s most popular holiday destinations , after a rise in cases .
In early July , when the Foreign and Commonwealth Office ’ s restriction on non-essential travel lifted , the firm said was on track for recovery and holiday bookings had returned to a workable level .
Before the Open newsletter : Start your day with the @ @ @ @ @ @ @ These are the first redundancies in the firm ’ s 40-year existence .
“ We are now consulting with 344 colleagues who are training as travel consultants and 534 who work in the foreign exchange division .
“ Our experienced travel sales staff , apprentices and other head office staff are not affected ” , they added .
Back in October Hays Travel paid just £6m for Thomas Cook ’ s 555 high street stores after the firm ’ s collapse .
Hays bought the stores from the government ’ s Insolvency Service @ @ @ @ @ @ @ former Thomas Cook employees .
The firm , which is the UK ’ s largest independent travel agent , won widespread acclaim for taking on the bust operator ’ s stores .
However , it also doubled the firm ’ s employee headcount , putting extra pressure on Hays when the travel industry collapsed as the pandemic struck .

Thomas Cook buyer Hays Travel to slash 878 jobs
Hays Travel, which bought Thomas Cook last year after the holiday firm fell into administration, will cut 878 jobs.
Nearly a fifth of its total workforce of 4,500 will be made redundant through the cuts as the travel industry continued to suffer the effects of the coronavirus pandemic.
In a statement, owners John and Irene Hays said: “We are devastated that after all of our efforts and the huge investment we’ve made we now face losing some of our valued employees, through no fault of their own.
“Following the decision to ban travel to Spain and the changes in furlough conditions coming at the same time, we have had no choice.”
Last weekend the government banned all travel to the Iberian country, one of the UK’s most popular holiday destinations, after a rise in cases.
In early July, when the Foreign and Commonwealth Office’s restriction on non-essential travel lifted, the firm said was on track for recovery and holiday bookings had returned to a workable level.
Before the Open newsletter: Start your day with the City View podcast and key market data
These are the first redundancies in the firm’s 40-year existence.
“We are now consulting with 344 colleagues who are training as travel consultants and 534 who work in the foreign exchange division.
“Our experienced travel sales staff, apprentices and other head office staff are not affected”, they added.
Back in October Hays Travel paid just £6m for Thomas Cook’s 555 high street stores after the firm’s collapse.
Hays bought the stores from the government’s Insolvency Service, while also offering jobs to 2,000 former Thomas Cook employees.
The firm, which is the UK’s largest independent travel agent, won widespread acclaim for taking on the bust operator’s stores.
However, it also doubled the firm’s employee headcount, putting extra pressure on Hays when the travel industry collapsed as the pandemic struck.


cityam--2020-08-03--Fintech review flags sector’s status as one to watch

Six figures from the business world have set sail on a six-month voyage to investigate and recommend priorities for the financial technology sector .
Ron Kalifa is helmsman of the ‘ Fintech Strategic Review ’ , announced in March ’ s Budget but – until now – stuck in the harbour as the coronavirus pandemic took hold .
Sherry Coutu , Anne Glover , Gerard Grech , Kay Swinburne and Omar Ali are rowing in alongside him .
The UK ’ s fintech sector is globally admired , estimated to be worth around £7bn and employing about 60,000 .
But @ @ @ @ @ @ @ further work to be done to increase mainstream adoption of technology solutions , and to enhance UK fintech ’ s resilience , ’ HM Treasury said , giving Kalifa and his shipmates the thumbs-up to embark on their research journey .
The UK basked in record amounts of fintech investment last year , cementing the country ’ s status as Europe ’ s fintech capital .
Almost inevitably , investment in the sector slowed by more than a third in the first half of 2020 , data revealed by City AM last week @ @ @ @ @ @ @ of the leading places in the world to start and grow a fintech firm , and I am determined to ensure this continues , ” said economic secretary to the Treasury and City minister John Glen .
Citing the sector ’ s growing worth to UK Plc , Glen said it would be “ vital in ensuring both that the country bounces back post-coronavirus , and continues to be at the forefront of financial innovation now we have left the European Union.
” Kalifa was chief executive of international payment processing company Worldpay @ @ @ @ @ @ @ , remaining as an executive director until February 2020 .
Nowadays chairman of payments company Network International and online learning platform FutureLearn , he is navigator-in-chief for an independent review containing five workstreams .
Coutu , chair of SVC2UK ( which stands for ‘ Silicon Valley Comes to the UK ’ ) , is looking at ‘ skills and talent ’ ; Glover , co-founder of Amadeus Capital Partners , picks up ‘ investment ’ ; Grech , chief executive of Tech Nation , is examining ‘ national connectivity ’ ; Swinburne , @ @ @ @ @ @ @ the private sector as vice-chair of financial services at KPMG is – naturally – on ‘ policy ’ ; and Ali , managing partner for UK financial services at EY , is focusing on ‘ international attractiveness ’ .
There is a lot to chew over amid choppy waters .
Cross-cutting challenges include the broader economic crisis caused by coronavirus , as well as the prospect of the transition period for Britain ’ s departure from the EU ending in December without a deal between negotiators ( a ‘ no deal Brexit ’ @ @ @ @ @ @ @ continue to flow ?
The review ’ s governance board ’ s first meeting was on 20 July , attended by Glen .
He said : “ Tech-based solutions in financial services have experienced widescale adoption , with growth fuelled by a favourable start-up environment .
This review will ascertain what is required to accelerate this change , to create a financial services ecosystem that is above all , sustainable , inclusive and world-leading .
Technology has a vital role to play in the UK ’ s COVID-19 economic recovery .
The review @ @ @ @ @ @ @ innovative technology to help consumers and businesses , through a joined-up strategy that combines investment , skills and policy to deliver it.
” Kalifa , who was awarded an OBE in 2018 for services to financial services and technology , is asked to report back to HM Treasury at the start of 2021 , making recommendations addressing three objectives : ensuring UK fintech has ‘ the resources to grow and succeed ’ , ‘ widespread adoption of fintech solutions ’ and ‘ maintaining and advancing the UK ’ s international reputation ’ .
@ @ @ @ @ @ @ affairs , policy and research , Emma Reynolds , told City AM : “ The UK is already a leading global hub for fintech and the Covid-19 pandemic is continuing to accelerate technological trends and adoption in all parts of the economy .
Focusing policymakers , regulators and industry on priority areas such as skills , policy and investment will be a vital contribution to ensuring the sector ’ s future growth and success.
” As the country seeks to identify and support sectors that will survive and thrive in the post-pandemic economy @ @ @ @ @ @ @ to watch .

What is City Talk? City Talk allows marketers to connect directly with our audience by publishing content on cityam.com
Fintech review flags sector’s status as one to watch
Lack of scrutiny within Covid-19 loan schemes has “significantly increased” taxpayer exposure to fraud and error, warns Public Accounts Committee
Six figures from the business world have set sail on a six-month voyage to investigate and recommend priorities for the financial technology sector.
Ron Kalifa is helmsman of the ‘Fintech Strategic Review’, announced in March’s Budget but – until now – stuck in the harbour as the coronavirus pandemic took hold. Sherry Coutu, Anne Glover, Gerard Grech, Kay Swinburne and Omar Ali are rowing in alongside him.
The UK’s fintech sector is globally admired, estimated to be worth around £7bn and employing about 60,000. But the crisis has shown ‘there is further work to be done to increase mainstream adoption of technology solutions, and to enhance UK fintech’s resilience,’ HM Treasury said, giving Kalifa and his shipmates the thumbs-up to embark on their research journey.
The UK basked in record amounts of fintech investment last year, cementing the country’s status as Europe’s fintech capital. Almost inevitably, investment in the sector slowed by more than a third in the first half of 2020, data revealed by City AM last week showed.
“The UK is one of the leading places in the world to start and grow a fintech firm, and I am determined to ensure this continues,” said economic secretary to the Treasury and City minister John Glen. Citing the sector’s growing worth to UK Plc, Glen said it would be “vital in ensuring both that the country bounces back post-coronavirus, and continues to be at the forefront of financial innovation now we have left the European Union.”
Review based around five themes
Kalifa was chief executive of international payment processing company Worldpay for more than 10 years until 2013, remaining as an executive director until February 2020. Nowadays chairman of payments company Network International and online learning platform FutureLearn, he is navigator-in-chief for an independent review containing five workstreams.
Coutu, chair of SVC2UK (which stands for ‘Silicon Valley Comes to the UK’), is looking at ‘skills and talent’; Glover, co-founder of Amadeus Capital Partners, picks up ‘investment’; Grech, chief executive of Tech Nation, is examining ‘national connectivity’; Swinburne, the former Conservative MEP now working in the private sector as vice-chair of financial services at KPMG is – naturally – on ‘policy’; and Ali, managing partner for UK financial services at EY, is focusing on ‘international attractiveness’.
There is a lot to chew over amid choppy waters. Cross-cutting challenges include the broader economic crisis caused by coronavirus, as well as the prospect of the transition period for Britain’s departure from the EU ending in December without a deal between negotiators (a ‘no deal Brexit’). Will the investment and innovation continue to flow?
Seeking alignment in investment, skills and policy
The review’s governance board’s first meeting was on 20 July, attended by Glen. He said: “Tech-based solutions in financial services have experienced widescale adoption, with growth fuelled by a favourable start-up environment. This review will ascertain what is required to accelerate this change, to create a financial services ecosystem that is above all, sustainable, inclusive and world-leading. Technology has a vital role to play in the UK’s COVID-19 economic recovery. The review will ensure that we can leverage this innovative technology to help consumers and businesses, through a joined-up strategy that combines investment, skills and policy to deliver it.”
Kalifa, who was awarded an OBE in 2018 for services to financial services and technology, is asked to report back to HM Treasury at the start of 2021, making recommendations addressing three objectives: ensuring UK fintech has ‘the resources to grow and succeed’, ‘widespread adoption of fintech solutions’ and ‘maintaining and advancing the UK’s international reputation’.
TheCityUK’s managing director for public affairs, policy and research, Emma Reynolds, told City AM: “The UK is already a leading global hub for fintech and the Covid-19 pandemic is continuing to accelerate technological trends and adoption in all parts of the economy. Focusing policymakers, regulators and industry on priority areas such as skills, policy and investment will be a vital contribution to ensuring the sector’s future growth and success.”
As the country seeks to identify and support sectors that will survive and thrive in the post-pandemic economy, the fintech review is a voyage to watch.


cityam--2020-08-03--FTSE 100 breaks 6,000 and US stocks rise amid economic optimism

The FTSE 100 rose sharply , surpassing 6,000 points , as investors looked past rising coronavirus cases and cheered positive economic data .
London ’ s blue-chip index was 2.2 per cent higher in afternoon trading at 6,028 points .
The mid-cap FTSE 250 was up 1.2 per cent .
On Wall Street , the S & P 500 was 0.6 per cent higher in early trading .
The Dow Jones was up 0.6 per cent and the Nasdaq was one per cent higher .
In Europe , Germany ’ s Dax soared 2.9 per cent .
France ’ s @ @ @ @ @ @ @ the continent-wide Stoxx 600 climbed 2.1 per cent .
European investors were boosted by survey data that showed the continent ’ s manufacturing sectors growing strongly in July .
In the Eurozone , “ growth of new orders in fact outpaced production , hinting strongly that August should see further output gains , ” said Chris Williamson , chief business economist at IHS Markit .
Technology stocks also rose sharply , boosted by the stellar results of US tech giants Facebook , Amazon , Apple and Google last week .
The Stoxx Europe @ @ @ @ @ @ @ two per cent .
The FTSE 100 rose despite index stalwart HSBC ’ s shares slumping after its profit plummeted .
Profit before tax dropped 65 per cent at the lender to $ 4.3bn ( £3.3bn ) from higher expected credit losses .
The UK and Hong Kong-focused lender plunged in early trading .
They were 2.2 per cent lower in the afternoon session .
“ The impact of the pandemic has been extremely evident in bank earnings in recent weeks , ” said Craig Erlam , senior market analyst at currency firm @ @ @ @ @ @ @ the latest to make additional huge loan provisions.
” The FTSE 100 was helped , however , by survey data that showed UK manufacturing output grew at its fastest pace since 2017 in July .
Hopes of a US stimulus bill also lifted sentiment .
Lloyds was the biggest riser on the index , with the lender ’ s shares rising 5.7 per cent .
Packaging company Smurfit Kappa rose 5.4 per cent and broker Hargreaves Lansdown jumped 4.9 per cent .
Read more : UK manufacturing output grows at quickest pace since @ @ @ @ @ @ @ the biggest faller as the recovery in the tourism sector was thrown into doubt by rising coronavirus cases around the world .
It dropped 3.2 per cent as British Airways-owner IAG fell 2.1 per cent .
US stocks opened higher as investors chose to look past increasing coronavirus cases towards the chances of US Congress passing a long-awaited stimulus bill .
Ben Laidler , analyst at Towers Hudson , said : “ We see room for an upside surprise in this week ’ fiscal stimulus talks.
” However , investors are keeping a @ @ @ @ @ @ @ .
Global cases have now topped 18m .
In the UK , the government is reportedly considering new measures to lockdown hotspots , including London-wide restrictions .
Investors have been betting on another round of US fiscal stimulus .
But White House chief of staff Mark Meadows said he was not optimistic about a deal being reached soon .
Read more : Downing Street admits it could impose M25 quarantine ring US-China tensions are also weighing on the FTSE 100 and global markets .
Reports said Mike Pompeo , the US Secretary of @ @ @ @ @ @ @ array of Chinese state-controlled software companies .
Gold was 0.2 per cent lower in early afternoon trading at $ 1,972 an ounce .
That was down from the all-time high of above $ 1,980 an ounce that it touched last week .
Inflation expectations and ultra-low real bond yields have driven up the yellow metal .

FTSE 100 breaks 6,000 and US stocks rise amid economic optimism
The FTSE 100 rose sharply, surpassing 6,000 points, as investors looked past rising coronavirus cases and cheered positive economic data.
London’s blue-chip index was 2.2 per cent higher in afternoon trading at 6,028 points. The mid-cap FTSE 250 was up 1.2 per cent.
Read more: HSBC profit plummets due to coronavirus pandemic
On Wall Street, the S&P 500 was 0.6 per cent higher in early trading. The Dow Jones was up 0.6 per cent and the Nasdaq was one per cent higher.
In Europe, Germany’s Dax soared 2.9 per cent. France’s CAC was 2.3 per cent higher and the continent-wide Stoxx 600 climbed 2.1 per cent.
European investors were boosted by survey data that showed the continent’s manufacturing sectors growing strongly in July.
In the Eurozone, “growth of new orders in fact outpaced production, hinting strongly that August should see further output gains,” said Chris Williamson, chief business economist at IHS Markit.
Technology stocks also rose sharply, boosted by the stellar results of US tech giants Facebook, Amazon, Apple and Google last week. The Stoxx Europe 600 technology index was up more than two per cent.
FTSE 100 shrugs off dire HSBC results
The FTSE 100 rose despite index stalwart HSBC’s shares slumping after its profit plummeted. Profit before tax dropped 65 per cent at the lender to $4.3bn (£3.3bn) from higher expected credit losses.
The UK and Hong Kong-focused lender plunged in early trading. They were 2.2 per cent lower in the afternoon session.
“The impact of the pandemic has been extremely evident in bank earnings in recent weeks,” said Craig Erlam, senior market analyst at currency firm Oanda. “HSBC this morning became the latest to make additional huge loan provisions.”
The FTSE 100 was helped, however, by survey data that showed UK manufacturing output grew at its fastest pace since 2017 in July. Hopes of a US stimulus bill also lifted sentiment.
Lloyds was the biggest riser on the index, with the lender’s shares rising 5.7 per cent. Packaging company Smurfit Kappa rose 5.4 per cent and broker Hargreaves Lansdown jumped 4.9 per cent.
Jet engine maker Rolls Royce was the biggest faller as the recovery in the tourism sector was thrown into doubt by rising coronavirus cases around the world. It dropped 3.2 per cent as British Airways-owner IAG fell 2.1 per cent.
US stocks open higher amid stimulus talks
US stocks opened higher as investors chose to look past increasing coronavirus cases towards the chances of US Congress passing a long-awaited stimulus bill.
Ben Laidler, analyst at Towers Hudson, said: “We see room for an upside surprise in this week’ fiscal stimulus talks.”
However, investors are keeping a wary eye on the coronavirus case count. Global cases have now topped 18m. In the UK, the government is reportedly considering new measures to lockdown hotspots, including London-wide restrictions.
Investors have been betting on another round of US fiscal stimulus. But White House chief of staff Mark Meadows said he was not optimistic about a deal being reached soon.
US-China tensions are also weighing on the FTSE 100 and global markets. Reports said Mike Pompeo, the US Secretary of State, will clamp down on an array of Chinese state-controlled software companies.
Gold was 0.2 per cent lower in early afternoon trading at $1,972 an ounce. That was down from the all-time high of above $1,980 an ounce that it touched last week. Inflation expectations and ultra-low real bond yields have driven up the yellow metal.


cityam--2020-08-04--CMA gives Amazon's Deliveroo investment the all-clear

The Competition and Markets Authority ( CMA ) has officially cleared Amazon ’ s 16 per cent stake in food delivery startup Deliveroo , after a lengthy investigation process .
The watchdog awarded the deal initial clearance in April on the basis that Deliveroo could go out of business without the Amazon investment , but later changed its methodology to just focus on competition after criticism .
The deal then received a provisional nod in June , before today ’ s final clearance .
The CMA originally held concerns that the tie-up might prevent Amazon from re-entering the online restaurant @ @ @ @ @ @ @ ago , and instead encourage it to increase its presence in the online grocery delivery sector .
However it warned that if Amazon were to acquire a greater stake in Deliveroo , this could trigger a further investigation .
Inquiry chair Stuart McIntosh said : “ When looking at any merger , the CMA ’ s role is to assess whether consumers will lose out from a substantial lessening of competition .
“ We have not found this to be the case given the scale of Amazon ’ s current investment , but @ @ @ @ @ @ @ in Deliveroo , that could trigger a further investigation by the CMA.
” Read more : Amazon almost doubles size of UK Prime Air drone delivery arm Amazon led a $ 575m fundraising round in Deliveroo in May 2019 , which the parties called “ a minority investment ” .
Deliveroo said it would use the funds to offer a “ hyper-personalised ” service to customers , expand its delivery-only kitchens and develop new technology to help restaurant partners .
An Amazon spokesperson said : “ Deliveroo is an innovative , customer-obsessed company @ @ @ @ @ @ @ re committed to this investment .
“ Our investment will benefit both consumers of Deliveroo ’ s service and its small business restaurant partners .
UK businesses like Deliveroo continue to benefit from broad access to investors and supporters .
”

CMA gives Amazon’s Deliveroo investment the all-clear
The Competition and Markets Authority (CMA) has officially cleared Amazon’s 16 per cent stake in food delivery startup Deliveroo, after a lengthy investigation process.
The watchdog awarded the deal initial clearance in April on the basis that Deliveroo could go out of business without the Amazon investment, but later changed its methodology to just focus on competition after criticism.
The deal then received a provisional nod in June, before today’s final clearance.
The CMA originally held concerns that the tie-up might prevent Amazon from re-entering the online restaurant food market after its exit several years ago, and instead encourage it to increase its presence in the online grocery delivery sector.
However it warned that if Amazon were to acquire a greater stake in Deliveroo, this could trigger a further investigation.
Inquiry chair Stuart McIntosh said: “When looking at any merger, the CMA’s role is to assess whether consumers will lose out from a substantial lessening of competition.
“We have not found this to be the case given the scale of Amazon’s current investment, but if it were to increase its shareholding in Deliveroo, that could trigger a further investigation by the CMA.”
Amazon led a $575m fundraising round in Deliveroo in May 2019, which the parties called “a minority investment”.
Deliveroo said it would use the funds to offer a “hyper-personalised” service to customers, expand its delivery-only kitchens and develop new technology to help restaurant partners.
An Amazon spokesperson said: “Deliveroo is an innovative, customer-obsessed company with a mission-driven leader and we’re committed to this investment.
“Our investment will benefit both consumers of Deliveroo’s service and its small business restaurant partners. UK businesses like Deliveroo continue to benefit from broad access to investors and supporters.”


cityam--2020-08-04--Dixons Carphone cuts 800 jobs in store management restructure

Dixons Carphone has announced it will slash 800 roles as part of a store management restructuring plan .
The retailer , which owns Carphone Warehouse and Currys PC World , said the job cuts were part of a plan to create “ one joined up business ” .
Read more : Dixons Carphone kills dividend as mobile pushes it to loss The announcement brings the number of job losses announced this week to 3,600 , after Pizza Express and gym chain DW Sports revealed plans to cut roles .
Dixons Carphone said it will remove retail manager , assistant manager @ @ @ @ @ @ @ as business adviser positions in stores without a business hub .
It will create new sales manage , customer experience manager and operational excellence manager roles as t seeks to integrate its electricals and mobile teams .
Dixons Carphone also said it will create new positions in its Shoplive personal shopping service , that provides advice to customers via video link .
Carphone Warehouse has already axed 2,900 jobs under plans to close all 531 of its standalone stores .
Dixons Carphone chief operating officer , Mark Allsop said : “ We remain @ @ @ @ @ @ @ an omnichannel future , where we offer the best of online and stores to our customers .
As part of this we want to empower our store leadership teams , create a flatter management structure and make it easy for our customers to shop with us , however they choose .
Read more : Dixons Carphone scraps dividend but reports strong online trading during coronavirus lockdown “ This proposal will ensure in-store roles are focused on giving a seamless customer experience and exceptional service across all our customer channels , whether online or @ @ @ @ @ @ @ means we have now entered into consultation with some of our store colleagues .
This was not an easy decision and we ’ ll do everything possible to look after those colleagues we can ’ t find new roles for , financially and otherwise .
”

Dixons Carphone cuts 800 jobs in store management restructure
LONDON, ENGLAND – MAY 15: A shopper uses her mobile phone as she walks past a branch of Carphone Warehouse on May 15, 2014 in London, England. Dixons Retail, the parent group of PC World and Currys have announced a £3.8 bn merger with mobile phone retailer Carphone Warehouse. (Photo by Peter Macdiarmid/Getty Images)
Dixons Carphone has announced it will slash 800 roles as part of a store management restructuring plan.
The retailer, which owns Carphone Warehouse and Currys PC World, said the job cuts were part of a plan to create “one joined up business”.
The announcement brings the number of job losses announced this week to 3,600, after Pizza Express and gym chain DW Sports revealed plans to cut roles.
Dixons Carphone said it will remove retail manager, assistant manager and team leader roles, as well as business adviser positions in stores without a business hub.
It will create new sales manage, customer experience manager and operational excellence manager roles as t seeks to integrate its electricals and mobile teams.
Dixons Carphone also said it will create new positions in its Shoplive personal shopping service, that provides advice to customers via video link.
Carphone Warehouse has already axed 2,900 jobs under plans to close all 531 of its standalone stores.
Dixons Carphone chief operating officer, Mark Allsop said: “We remain committed to our stores as part of an omnichannel future, where we offer the best of online and stores to our customers.
As part of this we want to empower our store leadership teams, create a flatter management structure and make it easy for our customers to shop with us, however they choose.
“This proposal will ensure in-store roles are focused on giving a seamless customer experience and exceptional service across all our customer channels, whether online or in-store.
“Sadly, this proposal means we have now entered into consultation with some of our store colleagues. This was not an easy decision and we’ll do everything possible to look after those colleagues we can’t find new roles for, financially and otherwise.”


cityam--2020-08-04--Johnson gives Tiktok the green light for London headquarters

Boris Johnson has given the green light to allow video sharing app Titkok to move its global headquarters to London , in a move that will likely spark fury from across the Atlantic .
Downing Street today said it had no objection to Tiktok ’ s shift to the UK , despite growing national security concerns over its close links to the Chinese government .
Read more : Trump demands US Treasury cut of Tiktok sale US President Donald Trump has long voiced fears that data collected by the social media platform could be handed to the Chinese Communist Party @ @ @ @ @ @ @ denies the claims .
It is understood that Tiktok owner Bytedance has made no final decision on the move , as it looks to negotiate the sale of its US arm to computer giant Microsoft .
Number 10 today said while Tiktok has the green light to open a headquarters in London , it is not a “ done deal ” and any move will likely not be for some time .
However , Johnson ’ s decision to give Tiktok the go-ahead ignited outrage from China hawks within his own party .
@ @ @ @ @ @ @ , told the Times he was “ absolutely seething ” at the PM ’ s decision .
“ We are playing silly games over this , trying to persuade ourselves that we are able to run a risk-free involvement with these companies , ” he added .
“ ByteDance is every bit as unreliable as Huawei.
” Tom Tugendhat , Tory MP and chairman of the Foreign Affairs Committee , echoed Duncan Smith ’ s comments , and urged the UK to tread carefully with Tiktok .
“ Democratic nations need to be @ @ @ @ @ @ @ re working with and the reputations they have in their own countries , ” said Tugendhat .
“ Companies like Bytedance raise serious questions about who they ’ re willing to work with and what that cooperation will enable.
” However , other Sino-sceptics urged caution on the matter , saying that the UK should not be seen as hostile to all Chinese groups .
Tobias Ellwood , chairman of the defence select committee , warned against “ a sort of banner headline hysteria on China ” .
The potential move to the @ @ @ @ @ @ @ attempt by the Chinese firm to distance itself from Beijing .
Tiktok has repeatedly tried to pour cold water on claims that the video sharing platform raises national security concerns .
Theo Bertram , Tiktok director of public policy for Europe , said : “ There is a lot of nonsense about Tiktok out there but the facts are these : Tiktok does not operate in China and is not even available there .
“ Our UK user data is stored in the US and Singapore and we have never provided user data @ @ @ @ @ @ @ we do so.
” It comes after the Chinese ambassador to the UK last week slammed Johnson ’ s decision to U-turn on a deal with Huawei to build part of the UK ’ s 5G infrastructure , telling a press conference that relations between the UK and China now stood at a “ critical historical juncture ” .
“ The issue of Huawei is not about how the UK sees and deals with a Chinese company , ” said Liu Xiaoming .
“ It ’ s about how the UK sees and @ @ @ @ @ @ @ China as an opportunity and partner , or threat and rival ?
Does it see China as a friendly country or potentially hostile state ?
” In a stiff warning to the UK government to resolve Anglo-Sino relations , Liu added : “ I want to set the record straight .
If you want to treat China as a hostile country , you will pay the price.
” Before the Open : Get the jump on the markets with our early morning newsletter

Johnson gives Tiktok the green light for London headquarters
Boris Johnson has given the green light to allow video sharing app Titkok to move its global headquarters to London, in a move that will likely spark fury from across the Atlantic.
Downing Street today said it had no objection to Tiktok’s shift to the UK, despite growing national security concerns over its close links to the Chinese government.
US President Donald Trump has long voiced fears that data collected by the social media platform could be handed to the Chinese Communist Party and used for state spying. Tiktok denies the claims.
It is understood that Tiktok owner Bytedance has made no final decision on the move, as it looks to negotiate the sale of its US arm to computer giant Microsoft.
Number 10 today said while Tiktok has the green light to open a headquarters in London, it is not a “done deal” and any move will likely not be for some time.
Tory fury
However, Johnson’s decision to give Tiktok the go-ahead ignited outrage from China hawks within his own party.
Former Conservative leader Sir Iain Duncan Smith, told the Times he was “absolutely seething” at the PM’s decision.
“We are playing silly games over this, trying to persuade ourselves that we are able to run a risk-free involvement with these companies,” he added. “ByteDance is every bit as unreliable as Huawei.”
Tom Tugendhat, Tory MP and chairman of the Foreign Affairs Committee, echoed Duncan Smith’s comments, and urged the UK to tread carefully with Tiktok.
“Democratic nations need to be more aware of the partners they’re working with and the reputations they have in their own countries,” said Tugendhat.
“Companies like Bytedance raise serious questions about who they’re willing to work with and what that cooperation will enable.”
However, other Sino-sceptics urged caution on the matter, saying that the UK should not be seen as hostile to all Chinese groups.
Tobias Ellwood, chairman of the defence select committee, warned against “a sort of banner headline hysteria on China”.
The potential move to the UK has been widely understood as an attempt by the Chinese firm to distance itself from Beijing.
Tiktok has repeatedly tried to pour cold water on claims that the video sharing platform raises national security concerns.
Theo Bertram, Tiktok director of public policy for Europe, said: “There is a lot of nonsense about Tiktok out there but the facts are these: Tiktok does not operate in China and is not even available there.
“Our UK user data is stored in the US and Singapore and we have never provided user data to the Chinese government, nor would we do so.”
UK-China relations
It comes after the Chinese ambassador to the UK last week slammed Johnson’s decision to U-turn on a deal with Huawei to build part of the UK’s 5G infrastructure, telling a press conference that relations between the UK and China now stood at a “critical historical juncture”.
“The issue of Huawei is not about how the UK sees and deals with a Chinese company,” said Liu Xiaoming.
“It’s about how the UK sees and deals with China. Does it see China as an opportunity and partner, or threat and rival? Does it see China as a friendly country or potentially hostile state?”
In a stiff warning to the UK government to resolve Anglo-Sino relations, Liu added: “I want to set the record straight. If you want to treat China as a hostile country, you will pay the price.”
Before the Open: Get the jump on the markets with our early morning newsletter
.


cityam--2020-08-04--WHO warns UK about need to implement coronavirus test and trace 'properly'

The UK is at risk of a having significant surges of coronavirus cases if the NHS Test and Trace programme is not up to scratch , according to the World Health Organisation ’ s ( WHO ) Covid envoy .
Dr David Nabarro said today that if “ testing and tracing and isolation just is not done properly ” then it would lead to “ very bad surges occurring and this will lead to economic challenges ” .
A new study from University College London and the London School of Hygiene and Tropical Medicine , out today , also said @ @ @ @ @ @ @ programme was not effective enough .
The study said that the government had four weeks to improve it to prevent a second coronavirus wave .
The NHS Test and Trace programme is reaching just 50 per cent of contacts , according to the study , which was 30 per cent lower than needed .
Nabarro told the BBC today that the best way to avoid a second UK spike was an improved test and trace regime .
He said : “ This virus is capable of surging back really quickly and is actually @ @ @ @ @ @ @ ’ s been success at getting it under control and , as it surges back , the way you stop outbreaks developing is through having well-functioning contact tracing linked to testing , with isolation of people who ’ ve got symptoms or who ’ ve been in contact .
Read more : BP halves dividend after record $ 6.7bn loss in coronavirus quarter “ If we can do that , and do it well , then the surges are kept really small , they ’ re dealt with quickly and life can go @ @ @ @ @ @ @ other hand , this testing and tracing and isolation just is not done properly , then you get very bad surges occurring and this will lead to economic challenges .
”

WHO warns UK about need to implement coronavirus test and trace ‘properly’
The UK is at risk of a having significant surges of coronavirus cases if the NHS Test and Trace programme is not up to scratch, according to the World Health Organisation’s (WHO) Covid envoy.
Dr David Nabarro said today that if “testing and tracing and isolation just is not done properly” then it would lead to “very bad surges occurring and this will lead to economic challenges”.
A new study from University College London and the London School of Hygiene and Tropical Medicine, out today, also said the UK’s test and trace programme was not effective enough.
The study said that the government had four weeks to improve it to prevent a second coronavirus wave.
The NHS Test and Trace programme is reaching just 50 per cent of contacts, according to the study, which was 30 per cent lower than needed.
Nabarro told the BBC today that the best way to avoid a second UK spike was an improved test and trace regime.
He said: “This virus is capable of surging back really quickly and is actually doing so in most countries where there’s been success at getting it under control and, as it surges back, the way you stop outbreaks developing is through having well-functioning contact tracing linked to testing, with isolation of people who’ve got symptoms or who’ve been in contact.
“If we can do that, and do it well, then the surges are kept really small, they’re dealt with quickly and life can go on.
“If, on the other hand, this testing and tracing and isolation just is not done properly, then you get very bad surges occurring and this will lead to economic challenges.”


cityam--2020-08-04--Argentina strikes deal with creditors over $65bn debt in major breakthrough

Argentina has reached a deal with its largest creditors to restructure $ 65bn ( £50bn ) in defaulted sovereign debt , in a major step forward in long-running talks .
The South American country ’ s government hailed the breakthrough , saying in a statement that it will “ grant Argentina significant debt relief ” .
Argentina ’ s economy has been battered in recent years by high levels of debt and successive government defaults .
In May , the country defaulted for the ninth time after talks with creditors broke down .
It has now also been hit hard @ @ @ @ @ @ @ is expected to shrink by an enormous 12 per cent this year .
The country had been at loggerheads with investors which include Blackrock and Ashmore .
An earlier deal to restructure $ 65bn of foreign debt failed to secure enough support among investors in May .
The new agreement has been struck between the government and the Ad Hoc Group of Argentine Bondholders , the Argentina Creditor Committee , the Exchange Bondholder Group and other major holders .
It will now be put to the other investors for approval .
Argentina will @ @ @ @ @ @ @ August so the deal can be finalised .
Investors cheered the deal , with the country ’ s existing eurobonds rising as much as three cents .
South America ’ s third-largest economy could be spared the ignominious fate of being locked out of global credit markets .
That is , if the deal can gain the approval of enough creditors .
The country ’ s public debt is around 90 per cent of GDP .
And it is likely to climb as it seeks to deal with the coronavirus crisis .
Argentina @ @ @ @ @ @ @ it became clear leftist politician Alberto Fernandez would become President , as he did in December .
Read more : UK debt office plays down risk of failed gilt auctions Talks over the restructuring of the debt have been tense and drawn-out .
Fernandez and his economy minister Martin Guzman rejected proposals from bondholders but gave some ground by making quicker-than-expected payments .
Under the deal , the government would adjust some of the payment dates for the new bonds offered in July .
It will not raise the aggregate amount of principal @ @ @ @ @ @ @ proposal more attractive for creditors , Argentina said .

Argentina strikes deal with creditors over $65bn debt in major breakthrough
The leftist government of Argentina’s President Alberto Fernandez had worried creditors, but has now struck a deal
Argentina has reached a deal with its largest creditors to restructure $65bn (£50bn) in defaulted sovereign debt, in a major step forward in long-running talks.
The South American country’s government hailed the breakthrough, saying in a statement that it will “grant Argentina significant debt relief”.
Argentina’s economy has been battered in recent years by high levels of debt and successive government defaults. In May, the country defaulted for the ninth time after talks with creditors broke down.
It has now also been hit hard by the coronavirus pandemic. The economy is expected to shrink by an enormous 12 per cent this year.
The country had been at loggerheads with investors which include Blackrock and Ashmore. An earlier deal to restructure $65bn of foreign debt failed to secure enough support among investors in May.
The new agreement has been struck between the government and the Ad Hoc Group of Argentine Bondholders, the Argentina Creditor Committee, the Exchange Bondholder Group and other major holders.
It will now be put to the other investors for approval. Argentina will extend the deadline for talks until 24 August so the deal can be finalised.
Investors cheered the deal, with the country’s existing eurobonds rising as much as three cents.
Rocky road to restructuring
South America’s third-largest economy could be spared the ignominious fate of being locked out of global credit markets. That is, if the deal can gain the approval of enough creditors.
The country’s public debt is around 90 per cent of GDP. And it is likely to climb as it seeks to deal with the coronavirus crisis.
Argentina’s borrowing costs have soared since it became clear leftist politician Alberto Fernandez would become President, as he did in December.
Talks over the restructuring of the debt have been tense and drawn-out. Fernandez and his economy minister Martin Guzman rejected proposals from bondholders but gave some ground by making quicker-than-expected payments.
Under the deal, the government would adjust some of the payment dates for the new bonds offered in July. It will not raise the aggregate amount of principal or the interest payments but makes the proposal more attractive for creditors, Argentina said.