cityam--2020-08-19--UK firms cut more than 100,000 jobs amid coronavirus pandemic

The coronavirus pandemic has battered the UK economy since it arrived in early 2020 – and no sector has remained unscathed , with more than 100,000 job cuts planned during the pandemic .
The government ’ s furlough scheme has allowed millions of people to keep getting a paycheck , but fears are growing that when this is phased out in October many will have no job to return to .
Some of the UK ’ s largest companies including British Airways , Marks & Spencer and BP have cut thousands of jobs with further announcements expected in the coming @ @ @ @ @ @ @ which UK firms have been hardest hit .
When British Airways bought Spanish airline Iberia in 2011 , forming parent company IAG , it was in part to make the company more resilient to market shocks .
But they did not anticipate a shock this big , or this long-lasting , with the vast majority of flights grounded for months , and little hope of things returning to normal any time soon .
As a result , BA announced that it was holding consultations to cut 12,000 jobs , leading MPs to brand @ @ @ @ @ @ @ Richard Branson ’ s airline had spent much of the last year campaigning to be recognised as a “ second flag carrier , ” behind arch-rival BA .
Now , the company is fighting for survival , cutting at least 3,000 jobs and pulling out of Gatwick Airport .
Chief executive Shai Weiss said : “ We have weathered many storms since our first flight 36 years ago but none has been as devastating as Covid-19 and the associated loss of life and livelihood for so many.
” Virgin Atlantic announced the return @ @ @ @ @ @ @ and called on the government to scrap its 14-day quarantine for inbound travellers .
Read more : Virgin Atlantic to restart flights to 17 destinations in August Easyjet has been one of the strongest performers in UK aviation in recent years , but like it ’ s peers , it has had nowhere to fly for nearly three months .
As a result , it is cutting about 30 per cent of its staff , equating to 4,500 jobs .
Easyjet boss Johan Lundgren said : “ We realise that these are very @ @ @ @ @ @ @ consider very difficult decisions which will impact our people , but we want to protect as many jobs as we can for the long-term.
” Read more : Easyjet boss warns that more jobs could be lost due to quarantine plans Ryanair boss Michael O ’ Leary has a reputation for not mincing his words , and as he announced that he would be forced to cut 3,000 jobs , he complained that foreign airlines such as Lufthansa have had more support than Ryanair .
“ Air France and Lufthansa are subsidy junkies @ @ @ @ @ @ @ said on BBC Radio 4 ’ s Today programme .
Ryanair employees who survive the round of cuts will be forced to take pay cuts as much as one-fifth of their salaries .
Read more : Ryanair set to cut up to 3,000 jobs due to coronavirus The Irish airline is also part of IAG , along with British Airways and Iberia .
It has cut 900 jobs .
It has faced widespread criticism for slashing some staff ’ s pay by as much as 70 per cent ( yes , you read @ @ @ @ @ @ @ announced in mid-August that it was slashing 7,000 jobs within three months after coronavirus hit its already struggling business .
Marks & Spencer said the cuts would focus on its central support centre , regional management and UK stores .
The job losses come on top of a previously announced round of 950 store management roles announced in July .
Baggage handler Swissport has been faced with much the same issues as the rest of the aviation industry , and it announced on 24 June that it would cut 4,175 jobs – about @ @ @ @ @ @ @ is devastating news .
At least 4,000 workers – and possibly many more – will lose jobs which are essential to regional economies , ” GMB national officer Nadine Houghton said .
“ With Swissport now considering job cuts on this scale we have deep concerns about the viability of many of our regional airports and the benefits for regional connectivity that they bring.
” The UK ’ s main international airport saw passenger numbers drop to an all time low in May , down 97 per cent on normal levels .
It @ @ @ @ @ @ @ , but has launched a voluntary redundancy scheme for the rest of its workforce .
About one-third of its 7,000 strong workforce is at risk .
John Holland Kaye , Heathrow CEO , told City A.M. last month that as many as 25,000 jobs could go at the airport unless the government relaxes quarantine rules to boost travel .
The owner of British Gas has been hit hard by the pandemic , and is looking to cut nearly one-fifth of its workforce , or 5,000 jobs .
More than half of these will @ @ @ @ @ @ @ company trying to slim down its operation and reduce bureaucracy .
Of its 40-strong leadership team , 20 are likely to be heading for the exit .
The UK ’ s second largest energy supplier is planning to cut 2,600 jobs following its merger with SSE .
Ovo , which closed a £500m deal for SSE ’ s retail arm this year , said the coronavirus pandemic had accelerated its integration plans for the businesses .
The oil giant plans to make 10,000 people redundant across the globe , including an estimated 2,000 @ @ @ @ @ @ @ the coronavirus dramatically reduced global demand for oil .
In an email to staff , chief executive Bernard Looney said : “ The oil price has plunged well below the level we need to turn a profit .
“ We are spending much , much more than we make – I am talking millions of dollars , every day.
” Read more : Oil prices hit highest levels since early March as Opec+ pledges cut compliance Europe ’ s largest planemaker Airbus said that it will cut 1,700 jobs in the UK as @ @ @ @ @ @ @ .
The UK ’ s Unite union said plans by Airbus to cut 1,700 jobs in Britain will affect its operations across the country , including at its two biggest factories .
Unite said 1,116 manufacturing jobs would be lost , with Airbus ’ largest UK factories in North Wales and Bristol to be affected , along with 611 office jobs .
Manufacturing giant Bombardier today said it will cut 2,500 jobs in its aviation division as the coronavirus crisis sparks a slump in demand .
Its Northern Ireland manufacturing plant will account @ @ @ @ @ @ @ jet engine maker has long been one of the jewels in the crown of British manufacturing .
But that was not enough to stop it cutting 9,000 jobs , of which 3,000 will be in the UK .
About 1,500 of these UK job cuts will be at its Derby headquarters , where it is partway through building a massive new engine manufacturing facility .
Chief executive Warren East said : “ This is not a crisis of our making .
But it is the crisis that we face and must deal with.
@ @ @ @ @ @ @ axe at 9,000 employees over coronavirus The luxury car manufacturer has around 4,200 employees , but nearly a quarter of those will go in the near future .
The company had hoped to grow its sales while it embarked on a restructuring plan , allowing it to avoid cutting UK jobs .
However , it said this plan was “ clearly derailed by the impact of the pandemic ” .
Since its disastrous Initial Public Offering in 2018 , Aston Martin has been struggling , and the coronavirus could not have come at @ @ @ @ @ @ @ also looking to cut costs in other areas , including contractor numbers , marketing and travel , as it battles its way back to profitability .
It comes months after Lawrence Stroll , the billionaire fashion tycoon , took over the firm in January .
CEO Andy Palmer was sacked under a management shake-up in late May .
Read more : Aston Martin to cut 500 jobs as business reset continues The British manufacturing giant is to cut 1,100 jobs from its UK factories .
It will likely affect people working at Halewood @ @ @ @ @ @ @ Bromwich in the West Midlands .
Read more : Jaguar Land Rover falls to half a billion loss in final quarter HSBC is resuming a massive redundancy plan that had been put on pause after the outbreak of coronavirus , with 35,000 jobs set to be cut worldwide .
The job cuts will be made over the medium term , while the lender will also freeze almost all external recruitment , chief executive Noel Quinn said in a memo sent to the bank ’ s 235,000 staff worldwide .
HSBC had postponed the @ @ @ @ @ @ @ restructuring programme to cut $ 4.5bn ( £3.6bn ) in costs , in March .
At the time , the lender said the extraordinary circumstances of the coronavirus pandemic meant it would have been wrong to cut staff .
Read more : HSBC to cut 35,000 jobs as bank resumes redundancy plan TSB has told cashiers that their jobs will be phased out at the start of 2021 , following a steep decline in customers banking in its branches due to the pandemic .
Those affected by the cuts will have to retrain @ @ @ @ @ @ @ , according to a staff memo seen by Reuters .
A total of 929 staff will be involved in the restructuring , a TSB spokesman said .
Outsourcing giant G4S will cut more than 1,150 jobs as part of a restructuring of its cash solutions division .
The firm said it was streamlining its cash handling service to “ better align it with the needs of our customers ” .
US consultancy firm Accenture , which employs 10,000 people in the UK , will make up to 900 roles redundant .
The firm @ @ @ @ @ @ @ in the middle of this month .
It expects between 700 to 900 employees to depart .
In a note to staff seen by the Guardian , which first reported the cuts , Accenture said : “ We went into the crisis with an overcapacity of people relative to demand .
The crisis has caused additional strain on the business due to lower demand and reduced national attrition .
Manufacturing firm Johnson Matthey announced that it will cut 2,500 jobs over the next three years as a result of the pandemic .
The @ @ @ @ @ @ @ had knocked its underlying profit by £60m as it unveiled its annual results earlier this month .
In a statement , Johnson Matthey boss Robert MacLeod said that although the firm had already made £120m in cost savings , it needed to be “ even more efficient ” to maintain its competitiveness .
The Restaurant Group – at least 1,500 UK job cuts The owner of Wagamama , Frankie & Benny ’ s and Chiquito initially said in March that most Chiquito branches and all of its Food & Fuel pubs would not @ @ @ @ @ @ @ 1,500 UK job cuts .
Then , in June , it announced plans to close 125 of its sites , mostly Frankie & Benny ’ s , as the company seeks to push down rents to weather the financial storm of the coronavirus crisis .
The closure puts around 3,000 jobs at risk .
Read more : Restaurant Group to close 125 sites as it looks to cut costs Monsoon Accessorize founder Peter Simon bought the struggling business out of administration earlier this month , in a move aimed at saving both brands @ @ @ @ @ @ @ .
Simon was on track to reopen 157 stores of the original 230 by the end of July , 57 more than planned following landlord negotiations .
That would save potentially 2,400 jobs after Monsoon Accessorize fell victim to the coronavirus lockdown .
Clarks is preparing to slash 900 corporate roles , which will be partially offset by the creation of 200 new jobs .
Around 700 workers are expected to leave the footwear retailer over the next 18 months , as the company “ reviews funding options with selected advisers ” to @ @ @ @ @ @ @ the pandemic .
Oasis and Warehouse were bought out of administration by Hilco in April , resulting in 1,800 UK job cuts .
The company ’ s digital brands were later bought out by fast fashion retailer Boohoo .
Read more : Boohoo buys Oasis and Warehouse as revenue rockets in lockdown The fashion and accessories brand said in June it will cut a quarter of its global workforce , and has started a consultation with the 470 staff at risk .
Read more : Mulberry looks to cut a quarter of workforce @ @ @ @ @ @ @ reopen eight stores after lockdown , putting around 1,300 jobs at risk .
The retailer said the stores , which include its Birmingham ’ s Bullring store , had been struggling before the pandemic hit .
Around 1,300 employees will enter consultations over potential redundancies .
The department store said it will attempt to offer alternative jobs within the business , such as at Waitrose or online , to workers that are made redundant .
Last month century-old shirtmaker TM Lewin went into administration , with 600 jobs lost as a result .
@ @ @ @ @ @ @ its physical stores , and will only continue trading online , after a company hired to restructure the menswear company decided its high street offering was beyond saving .
Read more : Shirt and tie retailer TM Lewin ‘ falls into administration ’ with 600 jobs lost The decision came less than two months after the 122-year-old retailer was bought by Stonebridge Private Equity through its subsidiary Torque Brands .
Boots has announced it will close 48 stores and cut 4,000 jobs after months of closure during lockdown .
The pharmacy chain has @ @ @ @ @ @ @ online sales by investing in its digital platform , after its website saw a 78 per cent increase in sales over lockdown .
Burger King has warned up to 10 per cent of its stores could close , putting up to 1,600 jobs at risk .
Chief executive Alasdair Murdoch said the restaurant chain could close between five and 10 per cent of its 530 restaurants , which could affect 800 to 1,600 jobs .
“ If we can possibly avoid it , we will , ” Murdoch told the BBC .
Catering @ @ @ @ @ @ @ , said it would slash 5,000 jobs due to the ongoing damage to the travel sector .
The job cuts will largely affect SSP ’ s UK head office and UK operations , the company said , at a cost of between £8m and £10m .
Read more : Upper Crust owner SSP to slash 5,000 jobs as coronavirus knocks travel sector Coronavirus has forced SSP to find cost savings as travel bans and UK-wide lockdowns led to a severe drop in revenue .
Travis Perkins will cut 2,500 jobs – around nine @ @ @ @ @ @ @ a result of the pandemic .
The builders merchant said the losses would result from the closure of around 165 of its branches , plus UK job cuts within its distribution , administration and sales functions .
Gym chain and sportswear retailer DW Sports has collapsed into administration , putting 1,700 jobs at risk .
DW Sports closed 25 of its 75 stores and ceased trading through its website immediately .
The remaining 50 retail sites will continue to trade , but have been moved into closing down sales .
DW Sports said @ @ @ @ @ @ @ of its 73 gyms will permanently close following the coronavirus lockdown .
Pizza Express is planning to close 67 UK restaurants due to the coronavirus pandemic , putting 1,100 jobs at risk , as the casual dining chain put itself up for sale .
The company announced that it will launch a company voluntary arrangement ( CVA ) in the “ near future ” , which will see it close 15 per cent of its 449 restaurants in the UK .
Pizza Express has appointed investment bank Lazard & Co to launch a @ @ @ @ @ @ @ its business in China .
“ The Covid-19 crisis has had a profound impact on the entire hospitality sector , with the UK-wide lockdown reducing revenues significantly , ” Pizza Express said in a statement this morning .
“ The business and its advisers have therefore undertaken an extensive review of its operations to plan appropriately for the future.
” 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 @ @ @ @ @ @ @ create “ one joined up business ” .
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 .
Debenhams has axed 2,500 jobs as it seeks to reduce costs following the coronavirus lockdown , in the latest blow for the struggling UK high street .
The department store @ @ @ @ @ @ @ during lockdown , said the trading environment is “ clearly a long way from returning to normal ” after lockdown restrictions were lifted .
The latest round of cuts are on top of the 4,000 redundancies announced since May , the BBC reported , meaning the high street brand has now cut a third of its workforce during the coronavirus pandemic .
The BBC said it will axe 520 jobs in its news department as a result of the coronavirus crisis , marking 70 more redundancies than the broadcaster had originally planned .
@ @ @ @ @ @ @ intended to axe 450 jobs within its news department , but plans were put on hold due to the pandemic .
The redundancies are separate to the 450 job cuts in the BBC ’ s regional news units announced last week .
The paper announced plans to cut 180 jobs in both its editorial and commercial departments , after revenue plunged more than £25m during the coronavirus crisis .
Read more : Guardian to axe 180 jobs as revenue plunges The newspaper group said the job cuts will mostly affect its advertising , @ @ @ @ @ @ @ departments , with 70 additional redundancies in its editorial unit .
The job cuts will reduce the Guardian ’ s overall workforce by 12 per cent .
Engineering consultancy Arup said it would get rid of 350 jobs from its UK arm , roughly five per cent of its staff .
The firm said it needed to reshape its business in light of the pandemic .
The sandwich chain said in July that it would close 30 stores putting 1,000 jobs at risk .
The lockdown and moved to home working hurt Pret @ @ @ @ @ @ @ commuters picking up sandwiches and drinks at its city centre locations .
The bank said in August that it would closed one of its London offices and slash up to 500 jobs .
Natwest said it will carry out a voluntary redundancy plan affecting 550 roles in its branches and premier banking service .
It will also close its Regents House office in Angel , which served as one of the bank ’ s biggest tech hubs and can house roughly 2,500 employees .
In total roughly 800 staff members are expected to @ @ @ @ @ @ @ workers are included , Reuters reported , citing the Unite union .

UK firms cut more than 106,000 jobs amid coronavirus pandemic
British Airways is one of many UK companies making a collective 98,000 job cuts during the pandemic
The coronavirus pandemic has battered the UK economy since it arrived in early 2020 – and no sector has remained unscathed, with more than 100,000 job cuts planned during the pandemic.
The government’s furlough scheme has allowed millions of people to keep getting a paycheck, but fears are growing that when this is phased out in October many will have no job to return to.
Some of the UK’s largest companies including British Airways, Marks & Spencer and BP have cut thousands of jobs with further announcements expected in the coming months.
In total, 106,319 UK job cuts are the direct or indirect result of the pandemic. But including HSBC’s 35,000 redundancies planned before coronavirus struck, the total is closer to 150,000.
Here is a rundown of which UK firms have been hardest hit.
British Airways – 12,000 jobs
When British Airways bought Spanish airline Iberia in 2011, forming parent company IAG, it was in part to make the company more resilient to market shocks.
But they did not anticipate a shock this big, or this long-lasting, with the vast majority of flights grounded for months, and little hope of things returning to normal any time soon.
As a result, BA announced that it was holding consultations to cut 12,000 jobs, leading MPs to brand it a “national disgrace”.
Virgin Atlantic – at least 3,000 jobs
Richard Branson’s airline had spent much of the last year campaigning to be recognised as a “second flag carrier,” behind arch-rival BA. Now, the company is fighting for survival, cutting at least 3,000 jobs and pulling out of Gatwick Airport.
Chief executive Shai Weiss said: “We have weathered many storms since our first flight 36 years ago but none has been as devastating as Covid-19 and the associated loss of life and livelihood for so many.”
Virgin Atlantic is cutting more than one-third of its workforce
Virgin Atlantic announced the return of flights to 17 destinations in June and called on the government to scrap its 14-day quarantine for inbound travellers.
Easyjet – 4,500 jobs
Easyjet has been one of the strongest performers in UK aviation in recent years, but like it’s peers, it has had nowhere to fly for nearly three months. As a result, it is cutting about 30 per cent of its staff, equating to 4,500 jobs.
Easyjet boss Johan Lundgren said: “We realise that these are very difficult times and we are having to consider very difficult decisions which will impact our people, but we want to protect as many jobs as we can for the long-term.”
Ryanair – 3,000 jobs
Ryanair boss Michael O’Leary has a reputation for not mincing his words, and as he announced that he would be forced to cut 3,000 jobs, he complained that foreign airlines such as Lufthansa have had more support than Ryanair.
“Air France and Lufthansa are subsidy junkies hoovering up state aid,” he said on BBC Radio 4’s Today programme. Ryanair employees who survive the round of cuts will be forced to take pay cuts as much as one-fifth of their salaries.
Ryanair boss Michael O’Leary has bemoaned the state aid given to competitors such as Lufthansa
Aer Lingus – 900 jobs
The Irish airline is also part of IAG, along with British Airways and Iberia. It has cut 900 jobs. It has faced widespread criticism for slashing some staff’s pay by as much as 70 per cent (yes, you read that right).
Marks & Spencer – 7,950 jobs
The supermarket chain announced in mid-August that it was slashing 7,000 jobs within three months after coronavirus hit its already struggling business.
Marks & Spencer said the cuts would focus on its central support centre, regional management and UK stores. The job losses come on top of a previously announced round of 950 store management roles announced in July.
Swissport – 4,175 jobs
Baggage handler Swissport has been faced with much the same issues as the rest of the aviation industry, and it announced on 24 June that it would cut 4,175 jobs – about half of its workforce.
“This is devastating news. At least 4,000 workers – and possibly many more – will lose jobs which are essential to regional economies,” GMB national officer Nadine Houghton said.
“With Swissport now considering job cuts on this scale we have deep concerns about the viability of many of our regional airports and the benefits for regional connectivity that they bring.”
Heathrow airport – at least 500 jobs
The UK’s main international airport saw passenger numbers drop to an all time low in May, down 97 per cent on normal levels.
It has already cut about 500 managerial jobs, but has launched a voluntary redundancy scheme for the rest of its workforce. About one-third of its 7,000 strong workforce is at risk.
John Holland Kaye, Heathrow CEO, told City A.M. last month that as many as 25,000 jobs could go at the airport unless the government relaxes quarantine rules to boost travel.
Centrica – 5,000 jobs
The owner of British Gas has been hit hard by the pandemic, and is looking to cut nearly one-fifth of its workforce, or 5,000 jobs.
More than half of these will be in management roles, with the company trying to slim down its operation and reduce bureaucracy. Of its 40-strong leadership team, 20 are likely to be heading for the exit.
Centrica is the owner of British Gas
Ovo Energy – 2,600 jobs
The UK’s second largest energy supplier is planning to cut 2,600 jobs following its merger with SSE.
Ovo, which closed a £500m deal for SSE’s retail arm this year, said the coronavirus pandemic had accelerated its integration plans for the businesses.
BP – 10,000 jobs
The oil giant plans to make 10,000 people redundant across the globe, including an estimated 2,000 UK job cuts. It comes after the coronavirus dramatically reduced global demand for oil.
In an email to staff, chief executive Bernard Looney said: “The oil price has plunged well below the level we need to turn a profit.
“We are spending much, much more than we make – I am talking millions of dollars, every day.”
BP blamed job cuts on plummeting oil prices
Airbus – 1,700 UK job cuts
Europe’s largest planemaker Airbus said that it will cut 1,700 jobs in the UK as part of 15,000 redundancies around the world.
The UK’s Unite union said plans by Airbus to cut 1,700 jobs in Britain will affect its operations across the country, including at its two biggest factories.
Unite said 1,116 manufacturing jobs would be lost, with Airbus’ largest UK factories in North Wales and Bristol to be affected, along with 611 office jobs.
Bombardier – 600 UK job cuts
Manufacturing giant Bombardier today said it will cut 2,500 jobs in its aviation division as the coronavirus crisis sparks a slump in demand. Its Northern Ireland manufacturing plant will account for 600 UK job cuts.
Rolls-Royce – 9,000 jobs
The jet engine maker has long been one of the jewels in the crown of British manufacturing. But that was not enough to stop it cutting 9,000 jobs, of which 3,000 will be in the UK.
About 1,500 of these UK job cuts will be at its Derby headquarters, where it is partway through building a massive new engine manufacturing facility.
Chief executive Warren East said: “This is not a crisis of our making. But it is the crisis that we face and must deal with.”
Rolls-Royce is expected to cut 20 per cent of its workforce
Bentley – 1,000 UK job cuts
The luxury car manufacturer has around 4,200 employees, but nearly a quarter of those will go in the near future.
The company had hoped to grow its sales while it embarked on a restructuring plan, allowing it to avoid cutting UK jobs. However, it said this plan was “clearly derailed by the impact of the pandemic”.
Aston Martin – 500 jobs
Since its disastrous Initial Public Offering in 2018, Aston Martin has been struggling, and the coronavirus could not have come at a worse time.
The firm is also looking to cut costs in other areas, including contractor numbers, marketing and travel, as it battles its way back to profitability.
It comes months after Lawrence Stroll, the billionaire fashion tycoon, took over the firm in January. CEO Andy Palmer was sacked under a management shake-up in late May.
Jaguar Land Rover – 1,100 UK job cuts
The British manufacturing giant is to cut 1,100 jobs from its UK factories. It will likely affect people working at Halewood on Merseyside, and Solihull and Castle Bromwich in the West Midlands.
Jaguar Land Rover is one of Britain’s biggest car makers
HSBC – 35,000 jobs
HSBC is resuming a massive redundancy plan that had been put on pause after the outbreak of coronavirus, with 35,000 jobs set to be cut worldwide.
The job cuts will be made over the medium term, while the lender will also freeze almost all external recruitment, chief executive Noel Quinn said in a memo sent to the bank’s 235,000 staff worldwide.
HSBC had postponed the job cuts, part of a wider restructuring programme to cut $4.5bn (£3.6bn) in costs, in March.
At the time, the lender said the extraordinary circumstances of the coronavirus pandemic meant it would have been wrong to cut staff.
Long before the pandemic hit the UK properly, HSBC was forced to clear its research department earlier this year as a worker was found to have coronavirus
TSB – 929 jobs at risk
TSB has told cashiers that their jobs will be phased out at the start of 2021, following a steep decline in customers banking in its branches due to the pandemic.
Those affected by the cuts will have to retrain, change roles or take voluntary redundancy, according to a staff memo seen by Reuters.
A total of 929 staff will be involved in the restructuring, a TSB spokesman said.
G4S – 1,150 job cuts
Outsourcing giant G4S will cut more than 1,150 jobs as part of a restructuring of its cash solutions division.
The firm said it was streamlining its cash handling service to “better align it with the needs of our customers”.
Accenture – up to 900 job cuts
US consultancy firm Accenture, which employs 10,000 people in the UK, will make up to 900 roles redundant.
The firm will start consulting on the job cuts in the middle of this month. It expects between 700 to 900 employees to depart.
In a note to staff seen by the Guardian, which first reported the cuts, Accenture said: “We went into the crisis with an overcapacity of people relative to demand. The crisis has caused additional strain on the business due to lower demand and reduced national attrition.
Johnson Matthey – 2,500 UK job cuts
Manufacturing firm Johnson Matthey announced that it will cut 2,500 jobs over the next three years as a result of the pandemic.
The FTSE 100 company said that the crisis had knocked its underlying profit by £60m as it unveiled its annual results earlier this month.
In a statement, Johnson Matthey boss Robert MacLeod said that although the firm had already made £120m in cost savings, it needed to be “even more efficient” to maintain its competitiveness.
The Restaurant Group – at least 1,500 UK job cuts
The owner of Wagamama, Frankie & Benny’s and Chiquito initially said in March that most Chiquito branches and all of its Food & Fuel pubs would not reopen after the lockdown, leading to 1,500 UK job cuts.
Then, in June, it announced plans to close 125 of its sites, mostly Frankie & Benny’s, as the company seeks to push down rents to weather the financial storm of the coronavirus crisis. The closure puts around 3,000 jobs at risk.
A closed sign in the window of Wagamama
Monsoon Accessorize – 545 jobs
Monsoon Accessorize founder Peter Simon bought the struggling business out of administration earlier this month, in a move aimed at saving both brands but cutting 545 jobs in the process.
Simon was on track to reopen 157 stores of the original 230 by the end of July, 57 more than planned following landlord negotiations.
That would save potentially 2,400 jobs after Monsoon Accessorize fell victim to the coronavirus lockdown.
Clarks – 900 UK job cuts
Clarks is preparing to slash 900 corporate roles, which will be partially offset by the creation of 200 new jobs.
Around 700 workers are expected to leave the footwear retailer over the next 18 months, as the company “reviews funding options with selected advisers” to address the short-term liquidity needs caused by the pandemic.
Clarks is one of many non-essential retailers forced to close for three months under lockdown
Oasis and Warehouse – 1,800 jobs
Oasis and Warehouse were bought out of administration by Hilco in April, resulting in 1,800 UK job cuts.
The company’s digital brands were later bought out by fast fashion retailer Boohoo.
Mulberry – 470 UK job cuts
The fashion and accessories brand said in June it will cut a quarter of its global workforce, and has started a consultation with the 470 staff at risk.
John Lewis – 1,300 jobs at risk
John Lewis has announced it will not reopen eight stores after lockdown, putting around 1,300 jobs at risk.
The retailer said the stores, which include its Birmingham’s Bullring store, had been struggling before the pandemic hit.
Around 1,300 employees will enter consultations over potential redundancies. The department store said it will attempt to offer alternative jobs within the business, such as at Waitrose or online, to workers that are made redundant.
TM Lewin – 600 job cuts
Last month century-old shirtmaker TM Lewin went into administration, with 600 jobs lost as a result.
The company will close all 66 of its physical stores, and will only continue trading online, after a company hired to restructure the menswear company decided its high street offering was beyond saving.
The decision came less than two months after the 122-year-old retailer was bought by Stonebridge Private Equity through its subsidiary Torque Brands.
High street staple TM Lewin will close all of its physical stores as a result of the pandemic, with 600 jobs to be lost.
Boots – 4,000 jobs
Boots has announced it will close 48 stores and cut 4,000 jobs after months of closure during lockdown.
The pharmacy chain has said it will shift its focus to online sales by investing in its digital platform, after its website saw a 78 per cent increase in sales over lockdown.
Burger King – 1,600 jobs at risk
Burger King has warned up to 10 per cent of its stores could close, putting up to 1,600 jobs at risk.
Chief executive Alasdair Murdoch said the restaurant chain could close between five and 10 per cent of its 530 restaurants, which could affect 800 to 1,600 jobs.
“If we can possibly avoid it, we will,” Murdoch told the BBC.
SSP Group – 5,000 job cuts
Catering company SPP, which owns Upper Crust, said it would slash 5,000 jobs due to the ongoing damage to the travel sector.
The job cuts will largely affect SSP’s UK head office and UK operations, the company said, at a cost of between £8m and £10m.
Coronavirus has forced SSP to find cost savings as travel bans and UK-wide lockdowns led to a severe drop in revenue.
Travis Perkins – 2,500 UK job cuts
Travis Perkins will cut 2,500 jobs – around nine per cent of its workforce – as a result of the pandemic.
The builders merchant said the losses would result from the closure of around 165 of its branches, plus UK job cuts within its distribution, administration and sales functions.
Building materials and DIY group Travis Perkins announced the loss of 2,500 jobs and the closure of 165 branches.
DW Sports – 1,700 jobs at risk
Gym chain and sportswear retailer DW Sports has collapsed into administration, putting 1,700 jobs at risk.
DW Sports closed 25 of its 75 stores and ceased trading through its website immediately.
The remaining 50 retail sites will continue to trade, but have been moved into closing down sales.
DW Sports said it is “inevitable” that some of its 73 gyms will permanently close following the coronavirus lockdown.
Pizza Express – 1,100 job losses
Pizza Express is planning to close 67 UK restaurants due to the coronavirus pandemic, putting 1,100 jobs at risk, as the casual dining chain put itself up for sale.
The company announced that it will launch a company voluntary arrangement (CVA) in the “near future”, which will see it close 15 per cent of its 449 restaurants in the UK.
Pizza Express has appointed investment bank Lazard & Co to launch a sales process. It will also divest its business in China.
“The Covid-19 crisis has had a profound impact on the entire hospitality sector, with the UK-wide lockdown reducing revenues significantly,” Pizza Express said in a statement this morning.
“The business and its advisers have therefore undertaken an extensive review of its operations to plan appropriately for the future.”
Dixons Carphone – 800 roles cut
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”.
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.
Debenhams – 6,500
Debenhams has axed 2,500 jobs as it seeks to reduce costs following the coronavirus lockdown, in the latest blow for the struggling UK high street.
The department store chain, which permanently closed 20 stores during lockdown, said the trading environment is “clearly a long way from returning to normal” after lockdown restrictions were lifted.
The latest round of cuts are on top of the 4,000 redundancies announced since May, the BBC reported, meaning the high street brand has now cut a third of its workforce during the coronavirus pandemic.
BBC – 970 job cuts
The BBC said it will axe 520 jobs in its news department as a result of the coronavirus crisis, marking 70 more redundancies than the broadcaster had originally planned.
The BBC said in January that it intended to axe 450 jobs within its news department, but plans were put on hold due to the pandemic.
The redundancies are separate to the 450 job cuts in the BBC’s regional news units announced last week.
Guardian Media Group – 180 job cuts
The paper announced plans to cut 180 jobs in both its editorial and commercial departments, after revenue plunged more than £25m during the coronavirus crisis.
The newspaper group said the job cuts will mostly affect its advertising, Guardian Jobs, marketing and Guardian Live departments, with 70 additional redundancies in its editorial unit.
The job cuts will reduce the Guardian’s overall workforce by 12 per cent.
Arup – 350 job cuts
Engineering consultancy Arup said it would get rid of 350 jobs from its UK arm, roughly five per cent of its staff.
The firm said it needed to reshape its business in light of the pandemic.
Pret A Manger – 1,000 jobs
The sandwich chain said in July that it would close 30 stores putting 1,000 jobs at risk. The lockdown and moved to home working hurt Pret which relies heavily on office workers and commuters picking up sandwiches and drinks at its city centre locations.
Natwest – 500 jobs
The bank said in August that it would closed one of its London offices and slash up to 500 jobs.
Natwest said it will carry out a voluntary redundancy plan affecting 550 roles in its branches and premier banking service. It will also close its Regents House office in Angel, which served as one of the bank’s biggest tech hubs and can house roughly 2,500 employees.
In total roughly 800 staff members are expected to leave in the redundancy round once part-time workers are included, Reuters reported, citing the Unite union.


cityam--2020-08-19--The City View: Xavier Rees of Havas London on the value of creative ideas in the office

Today Andy Silvester is joined by Havas London CEO Xavier Rees .
The ad land boss offers his thoughts on the return to work , the value of creative ideas in the office , and why he ’ s changed the company ’ s articles of association to become a “ B Corp ” .
Andy also looks at Heathrow complaints about quarantine rules , Matt Hancock ’ s call for people to return to the office and Monzo ’ s latest setback .
Read more : The City View : Adam Marshall of the British Chambers of Commerce on @ @ @ @ @ @ @ 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 @ @ @ @ @ @ @ 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 @ @ @ @ @ @ @ 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 .

The City View: Xavier Rees of Havas London on the value of creative ideas in the office
Subscribe to The City View Podcast: Apple / Google / Spotify / RSS
Today Andy Silvester is joined by Havas London CEO Xavier Rees. The ad land boss offers his thoughts on the return to work, the value of creative ideas in the office, and why he’s changed the company’s articles of association to become a “B Corp”.
Andy also looks at Heathrow complaints about quarantine rules, Matt Hancock’s call for people to return to the office and Monzo’s latest setback.
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--2020-08-19--Exclusive: Financial services SMEs lay off fewer staff during pandemic

Financial services SMEs laid off fewer employees than the average firm during the pandemic , according to exclusive data for City A.M .
Figures from Barclayscard show that while just under a quarter of SMEs are optimistic for the third quarter , more than a third – 34 per cent – of financial firms remain positive .
Read more : ‘ Calm before the storm ’ : Rate of redundancies slows but worst is yet to come This is in part because they have managed to avoid mass redundancies thus far , with just 21 per cent of firms letting @ @ @ @ @ @ @ 41 per cent .
Additionally , 32 per cent are planning to invest in recruiting staff over the next 12 months , compared to just 24 per cent of firms overall .
Barclaycard ’ s quarterly barometer published today shows that a stronger-than-expected performance in the second quarter boosted optimism in SMEs generally .
On average , SMEs reported a 14 per cent decline in revenue last quarter , less severe than an anticipated 28 per cent drop .
Financial services SMEs saw a five per cent fall but expects just a three @ @ @ @ @ @ @ , slightly below the five per cent national average .
Sectors that rely on consumer card payments , such as hospitality and leisure , were badly hit as lockdown forced them to close en masse and were not able to reopen safely until the start of the third quarter .
However SME transaction data shows signs of recovery with the average daily transaction value rising 60 per cent in the third quarter compared to the previous quarter .
However , transactions for the first half of quarter three remain 13 per cent behind @ @ @ @ @ @ @ hope amid the gloom , as SMEs reported remote working as a benefit during the pandemic .
A third of SMEs welcomed the opportunity to improve working from home capabilities .
Financial services SMEs noted that the pandemic had created further efficiencies , in part because they were able to pivot to digital .
Forty-one percent of financial services SMEs spoke about the pandemic forcing them to digitise versus an average 21 per cent .
Read more : SMEs anticipate spike in redundancies this summer as lockdown eases Plans surrounding remote working remain @ @ @ @ @ @ @ with almost a fifth – 19 per cent – of financial services firms planning to move to a permanent working from home model .
Nearly two-thirds – 65 per cent – will keep some form of flexible working practices in place as staff return to the office , reflecting the approach taken by bigger firms .
Get the news as it happens by following City A.M. on Twitter .

Exclusive: Fewer financial services SMEs lay off staff during pandemic
(Photo by JUSTIN TALLIS/AFP via Getty Images)
Financial services SMEs laid off fewer employees than the average firm during the pandemic, according to exclusive data for City A.M.
Figures from Barclayscard show that while just under a quarter of SMEs are optimistic for the third quarter, more than a third – 34 per cent – of financial firms remain positive.
This is in part because they have managed to avoid mass redundancies thus far, with just 21 per cent of firms letting staff go compared to the average 41 per cent. Additionally, 32 per cent are planning to invest in recruiting staff over the next 12 months, compared to just 24 per cent of firms overall.
Barclaycard’s quarterly barometer published today shows that a stronger-than-expected performance in the second quarter boosted optimism in SMEs generally.
On average, SMEs reported a 14 per cent decline in revenue last quarter, less severe than an anticipated 28 per cent drop. Financial services SMEs saw a five per cent fall but expects just a three per cent increase in the next quarter, slightly below the five per cent national average.
Sectors that rely on consumer card payments, such as hospitality and leisure, were badly hit as lockdown forced them to close en masse. They were not able to reopen safely until the start of the third quarter.
However SME transaction data shows signs of recovery with the average daily transaction value rising 60 per cent in the third quarter compared to the previous quarter. However, transactions for the first half of quarter three remain 13 per cent behind year-on-year.
There was some glimmer of hope amid the gloom, as SMEs reported remote working as a benefit during the pandemic. A third of SMEs welcomed the opportunity to improve working from home capabilities.
Financial services SMEs noted that the pandemic had created further efficiencies, in part because they were able to pivot to digital. Forty-one percent of financial services SMEs spoke about the pandemic forcing them to digitise versus an average 21 per cent.
Plans surrounding remote working remain a core part of this innovation, with almost a fifth – 19 per cent – of financial services firms planning to move to a permanent working from home model.
Nearly two-thirds – 65 per cent – will keep some form of flexible working practices in place as staff return to the office, reflecting the approach taken by bigger firms.
Get the news as it happens by following City A.M. on Twitter.


cityam--2020-08-19--Social app Goodwall launches youth employment initiative

Social enterprise app Goodwall has launched a new online program which it says will unlock job and education opportunities for more than 10 million young people .
Created by Goodwall alongside job site Monster , publishing powerhouse Pearson and online learning pioneer Walden University , the ‘ BetterTogether ’ program sets young people a series of challenges designed to prepare them for the world of work .
The Covid-19 pandemic has hit sectors which have traditionally offered employment to younger people particularly hard .
One report from consultancy McKinsey suggests that as many as 42 per cent of young people @ @ @ @ @ @ @ of losing their job as the result of the effective shutdown of the global economy .
Jayathma Wickramanayake , the U.N. Secretary-General ’ s Envoy on Youth , said : “ The Covid-19 pandemic made our lives pretty complicated .
So many people have lost their jobs , and access to schools and quality education .
The BetterTogether program is a great opportunity to learn new skills , network on a global scale and gather experience that will help find new jobs and new opportunities.
” The program will also feature a series @ @ @ @ @ @ @ Shrey Patel .
Goodwall was founded in 2014 and now counts more than 1.5m members across 150 countries .

Social app Goodwall launches youth employment initiative
Social enterprise app Goodwall has launched a new online program which it says will unlock job and education opportunities for more than 10 million young people.
Created by Goodwall alongside job site Monster, publishing powerhouse Pearson and online learning pioneer Walden University, the ‘BetterTogether’ program sets young people a series of challenges designed to prepare them for the world of work.
The Covid-19 pandemic has hit sectors which have traditionally offered employment to younger people particularly hard.
One report from consultancy McKinsey suggests that as many as 42 per cent of young people across the world could be at risk of losing their job as the result of the effective shutdown of the global economy.
Jayathma Wickramanayake, the U.N. Secretary-General’s Envoy on Youth, said: “The Covid-19 pandemic made our lives pretty complicated. So many people have lost their jobs, and access to schools and quality education. The BetterTogether program is a great opportunity to learn new skills, network on a global scale and gather experience that will help find new jobs and new opportunities.”
The program will also feature a series of guest speakers, including award-winning filmmaker Shrey Patel.
Goodwall was founded in 2014 and now counts more than 1.5m members across 150 countries.


cityam--2020-08-19--Exam chaos continues as BTec grades pulled on eve of results day

Almost 600,000 students face more exam chaos after BTec grades were pulled by exam board Pearson on the eve of results day .
Pearson said it would re-grade all its BTec results to bring them in line with A-levels and GCSEs , which now “ have significantly higher outcomes ” .
Read more : A-levels : pupils in England to receive predicted grades after major U-turn The decision was made earlier this week to grade A-levels and GCSEs via teacher-based assessments .
The last minute move will affect 575,000 pupils , just under half of whom collected their grades last @ @ @ @ @ @ @ pick up their results tomorrow at the same time as GCSE students .
Pearson apologised for the late decision and uncertainty it would cause .
“ BTec qualification results have been been generally consistent with teacher and learner expectations , but we have become concerned about unfairness in relation to what are now significantly higher outcomes for GCSE and A-levels , ” a statement read .
Exam regular Ofqual has said GCSE and A-level grades are now likely to be nine and 12 per cent higher respectively .
The Association of Colleges ’ @ @ @ @ @ @ @ some grades that appeared unfair .
Chief executive , David Hughes , added : “ The timing is worrying , because thousands of students were due to get their results in the morning and others have already got results which we know will not go down , but might improve .
“ So it is vital for students that this is sorted in days rather than weeks so students have the chance to celebrate and plan their next steps.
” A Pearson spokesman said “ no grades will go down as part of @ @ @ @ @ @ @ was to ensure BTec students were not at a disadvantaged to other students .
Read more : GCSE results in Northern Ireland to be based on predicted grades He added : “ Although we generally accepted centre assessment grades for internal ( i.e .
coursework ) units , we subsequently calculated the grades for the examined units using historical performance data with a view of maintaining overall outcomes over time .
“ Our review will remove these Pearson-calculated grades and apply consistency across teacher-assessed internal grades and examined grades that students were unable @ @ @ @

Exam chaos continues as BTec grades pulled on eve of results day
Almost 600,000 students face more exam chaos after BTec grades were pulled by exam board Pearson on the eve of results day.
Pearson said it would re-grade all its BTec results to bring them in line with A-levels and GCSEs, which now “have significantly higher outcomes”.
The decision was made earlier this week to grade A-levels and GCSEs via teacher-based assessments.
The last minute move will affect 575,000 pupils, just under half of whom collected their grades last week.
The remainder were due to pick up their results tomorrow at the same time as GCSE students.
Pearson apologised for the late decision and uncertainty it would cause.
“BTec qualification results have been been generally consistent with teacher and learner expectations, but we have become concerned about unfairness in relation to what are now significantly higher outcomes for GCSE and A-levels,” a statement read.
Exam regular Ofqual has said GCSE and A-level grades are now likely to be nine and 12 per cent higher respectively.
The Association of Colleges’ said it had asked Pearson to reassessed some grades that appeared unfair.
Chief executive, David Hughes, added: “The timing is worrying, because thousands of students were due to get their results in the morning and others have already got results which we know will not go down, but might improve.
“So it is vital for students that this is sorted in days rather than weeks so students have the chance to celebrate and plan their next steps.”
A Pearson spokesman said “no grades will go down as part of this review” and insisted that it was to ensure BTec students were not at a disadvantaged to other students.
He added: “Although we generally accepted centre assessment grades for internal (i.e. coursework) units, we subsequently calculated the grades for the examined units using historical performance data with a view of maintaining overall outcomes over time.
“Our review will remove these Pearson-calculated grades and apply consistency across teacher-assessed internal grades and examined grades that students were unable to sit. “


cityam--2020-08-19--UK faces 75mph gusts as tropical cyclone arrives from the Atlantic

Wind speeds could reach 75mph across some parts of the the UK this week as Storm Ellen arrives from the Atlantic .
The UK is bracing for its fifth named storm of the season just a week after a country-wide heatwave that saw temperatures soar .
Read more : Brexit free trade talks stalled over UK truckers ’ access to EU The storm , which was named by Ireland ’ s Met Office , is set to sweep across Ireland on Wednesday night before hitting the west coast of the UK on Thursday .
Yellow warnings are in place all @ @ @ @ @ @ @ and Cornwall until Friday morning as “ a decayed tropical cyclone ” arrives on UK shores .
Waves of up to 20ft are forecast to hit Cornwall ’ s coast on Friday .
The Met Office is forecasting wind speeds to exceed 65mph on Wednesday and even reach 75mph on Thursday .
There is a danger the wind could cause delays to transport , including road , rail and air , as well as disruption to power supplies .
The temperature is also set to drop , although East Anglia could still see @ @ @ @ @ @ @ Read more : UK rail fares set to increase by 1.6 per cent in January despite pandemic Met Office chief meteorologist Steve Ramsdale said : “ Following the recent hot and thundery weather we are seeing a significant change to very unsettled conditions for August with an unseasonal spell of strong winds associated with low-pressure centres for the second half of the week .
”

UK faces 75mph gusts as tropical cyclone arrives from the Atlantic
Wind speeds could reach 75mph across some parts of the the UK this week
Wind speeds could reach 75mph across some parts of the the UK this week as Storm Ellen arrives from the Atlantic.
The UK is bracing for its fifth named storm of the season just a week after a country-wide heatwave that saw temperatures soar.
The storm, which was named by Ireland’s Met Office, is set to sweep across Ireland on Wednesday night before hitting the west coast of the UK on Thursday.
Yellow warnings are in place all the way from Scotland down to Wales and Cornwall until Friday morning as “a decayed tropical cyclone” arrives on UK shores.
Waves of up to 20ft are forecast to hit Cornwall’s coast on Friday.
The Met Office is forecasting wind speeds to exceed 65mph on Wednesday and even reach 75mph on Thursday.
There is a danger the wind could cause delays to transport, including road, rail and air, as well as disruption to power supplies.
The temperature is also set to drop, although East Anglia could still see a high of 28C on Thursday.
Met Office chief meteorologist Steve Ramsdale said: “Following the recent hot and thundery weather we are seeing a significant change to very unsettled conditions for August with an unseasonal spell of strong winds associated with low-pressure centres for the second half of the week.”


cityam--2020-08-19--Spain sees surge in Covid-19 cases with daily post-lockdown record

Spain recorded more than 3,700 new cases of coronavirus on Wednesday as the country suffered its worst day since the end of June when lockdown restrictions were eased .
Just under half of the 3,715 cases were recorded in Madrid , which logged 1,535 , while the Basque Country and Aragon regions had around 470 new infections each .
Read more : UK firms cut more than 106,000 jobs amid coronavirus pandemic The health ministry also reported 14 deaths across the country for the same period , which was down on Tuesday ’ s 21 .
In the past seven @ @ @ @ @ @ @ virus .
The country has seen its cumulative number of cases rise to 370,867 , which includes antibody tests .
It means Spain has had more coronavirus infections than anywhere in western Europe and it also has the highest incidence of cases per 100,000 people in the last two weeks .
Regional authorities have been forced to reintroduce some of the restrictions that were eased weeks ago , including those involving nightlife and public transport .
Government officials have attributed the rise in cases to increased testing and insisted that there is not @ @ @ @ @ @ @ Several local authorities , including Madrid , Catalonia and the Basque Country , have introduced mass testing programmes to identify and isolate all carriers of the virus , including those who are asymptomatic .
Read more : Matt Hancock : There ’ s one big reason it ’ s safe to return to the office The health ministry said it was monitoring 1,019 active clusters of coronavirus .
It added that gatherings between households were responsible for 43 per cent of the clusters , while workplace infections were linked to around 20 per @ @ @ @

Spain sees surge in Covid-19 cases with daily post-lockdown record
Spain recorded more than 3,700 new cases of coronavirus on Wednesday
Spain recorded more than 3,700 new cases of coronavirus on Wednesday as the country suffered its worst day since the end of June when lockdown restrictions were eased.
Just under half of the 3,715 cases were recorded in Madrid, which logged 1,535, while the Basque Country and Aragon regions had around 470 new infections each.
The health ministry also reported 14 deaths across the country for the same period, which was down on Tuesday’s 21. In the past seven days, 131 have died from the virus.
The country has seen its cumulative number of cases rise to 370,867, which includes antibody tests.
It means Spain has had more coronavirus infections than anywhere in western Europe and it also has the highest incidence of cases per 100,000 people in the last two weeks.
Regional authorities have been forced to reintroduce some of the restrictions that were eased weeks ago, including those involving nightlife and public transport.
Government officials have attributed the rise in cases to increased testing and insisted that there is not a second wave of the epidemic.
Several local authorities, including Madrid, Catalonia and the Basque Country, have introduced mass testing programmes to identify and isolate all carriers of the virus, including those who are asymptomatic.
The health ministry said it was monitoring 1,019 active clusters of coronavirus.
It added that gatherings between households were responsible for 43 per cent of the clusters, while workplace infections were linked to around 20 per cent of them.


cityam--2020-08-19--US stocks open higher as Wall Street eyes more records

Wall Street opened higher on Wednesday and looks to be heading for another day of new all-time records .
The S & P 500 closed at an all-time high yesterday after recovering all of the losses suffered during the coronavirus crash and was up once again on Wednesday morning by a further 0.28 per cent to 3,399 points .
The Nasdaq followed suit after setting its own record high yesterday and was also up 0.25 per cent in New York this morning , climbing to 11,238 points .
Read more : Ireland to tighten coronavirus rules after spike in cases @ @ @ @ @ @ @ cent to 27,870 points .
The FTSE 100 rose in afternoon trading as optimism in US stock markets rubbed off on Europe despite residual worries over US-China tensions and coronavirus .
The UK ’ s main stock index rose 0.63 per cent to 6,114 points , having reversed course after falling in the morning .
The FTSE 250 of smaller firms dropped 0.22 per cent , however .
In Europe , Germany ’ s Dax rose 0.71 per cent and France ’ s CAC 40 climbed 0.79 per cent .
The pan-European Stoxx @ @ @ @ @ @ @ of dollars worth of fiscal and monetary stimulus have buoyed markets .
But they have widened the disconnect between the stock markets and the real economy , which is suffering its worst year in recent history .
London ’ s blue-chip FTSE 100 index was boosted by British Airways-owner IAG .
It climbed 2.3 per cent as it recovered from a slump on Monday amid worries about global tourism .
There were signs that better-than-expected inflation data boosted the FTSE 100 .
Packaging firm DS Smith climbed 2.1 per cent , the second @ @ @ @ @ @ @ rose 1.5 per cent and Primark ’ s owner Associated British Foods also rose .
Read more : UK inflation unexpectedly rises on oil prices and clothes shopping Price inflation came in at one per cent in July , up from 0.6 per cent in June , the Office for National Statistics ( ONS ) said today .
It was better than the 0.6 per cent predicted by analysts .
However , Ruth Gregory , senior UK economist at consultancy Capital Economics , said the figures are “ unlikely to mark the start @ @ @ @ @ @ @ said discount schemes from the government would put pressure on prices .
The benchmark S & P 500 index rose 0.2 per cent yesterday , setting a closing record of 3,390 points and was on course to set a new high after a bullish start to trading .
The Nasdaq , which also set a closing record yesterday , was in the green as well .
The record-breaking highs have topped off a remarkable rise in US stocks over the last few months .
European markets , in particular the FTSE 100 which @ @ @ @ @ @ @ , have fared much less well .
The rally has been powered by the big US tech firms – such as Apple , Amazon , Facebook , Google and Netflix – which have done well from coronavirus lockdowns .
Read more : Pound slips after touching highest level since start of year Edward Moya , senior market analyst at currency firm Oanda , said US stock futures edged higher after retail giant Target “ hit the ball out of the park ” as it reported an 80 per cent second-quarter profit jump today @ @ @ @ @ @ @ Street could see light volumes until the release of the Fed ’ s minutes ” later today .
Investors are looking for signs of more stimulus and information on inflation .
Investors remained worried about US-China tensions .
China ’ s CSI 300 index dropped 1.5 per cent after US President Donald Trump said he had cancelled last weekend ’ s round of trade talks with Beijing .
“ I canceled talks with China , ” Trump said at a speech in Arizona .
“ I don ’ t want to talk to @ @ @ @ @ @ @ Trump backs Oracle bid for Tiktok ’ s US business Tensions have risen sharply since the start of the coronavirus pandemic .
Investors fear Trump will ramp up the rhetoric as the November presidential election approaches , which could lead to a new trade war and derail the global economic recovery .
Rising coronavirus cases in various countries around the world also weighed on investors ’ minds .
Ireland is tightening restrictions on some gatherings and New Zealand is dealing with a new outbreak .

US stocks open higher as Wall Street eyes more records
Wall Street eyes new highs after another bullish start to trading
Wall Street opened higher on Wednesday and looks to be heading for another day of new all-time records.
The S&P 500 closed at an all-time high yesterday after recovering all of the losses suffered during the coronavirus crash and was up once again on Wednesday morning by a further 0.28 per cent to 3,399 points.
The Nasdaq followed suit after setting its own record high yesterday and was also up 0.25 per cent in New York this morning, climbing to 11,238 points.
Read more: Ireland to tighten coronavirus rules after spike in cases
The Dow Jones was up 0.33 per cent to 27,870 points.
The FTSE 100 rose in afternoon trading as optimism in US stock markets rubbed off on Europe despite residual worries over US-China tensions and coronavirus.
The UK’s main stock index rose 0.63 per cent to 6,114 points, having reversed course after falling in the morning. The FTSE 250 of smaller firms dropped 0.22 per cent, however.
In Europe, Germany’s Dax rose 0.71 per cent and France’s CAC 40 climbed 0.79 per cent. The pan-European Stoxx 600 gained 0.62 per cent.
Trillions of dollars worth of fiscal and monetary stimulus have buoyed markets. But they have widened the disconnect between the stock markets and the real economy, which is suffering its worst year in recent history.
FTSE 100 boosted by BA and Primark
London’s blue-chip FTSE 100 index was boosted by British Airways-owner IAG. It climbed 2.3 per cent as it recovered from a slump on Monday amid worries about global tourism.
There were signs that better-than-expected inflation data boosted the FTSE 100. Packaging firm DS Smith climbed 2.1 per cent, the second biggest riser. Supermarket Morrison’s rose 1.5 per cent and Primark’s owner Associated British Foods also rose.
Price inflation came in at one per cent in July, up from 0.6 per cent in June, the Office for National Statistics (ONS) said today. It was better than the 0.6 per cent predicted by analysts.
However, Ruth Gregory, senior UK economist at consultancy Capital Economics, said the figures are “unlikely to mark the start of an upward trend”. She said discount schemes from the government would put pressure on prices.
US stocks eye another all-time high
The benchmark S&P 500 index rose 0.2 per cent yesterday, setting a closing record of 3,390 points and was on course to set a new high after a bullish start to trading.
The Nasdaq, which also set a closing record yesterday, was in the green as well.
The record-breaking highs have topped off a remarkable rise in US stocks over the last few months. European markets, in particular the FTSE 100 which is exposed to energy firms and banks, have fared much less well.
The rally has been powered by the big US tech firms – such as Apple, Amazon, Facebook, Google and Netflix – which have done well from coronavirus lockdowns.
Edward Moya, senior market analyst at currency firm Oanda, said US stock futures edged higher after retail giant Target “hit the ball out of the park” as it reported an 80 per cent second-quarter profit jump today.
Yet he said that “Wall Street could see light volumes until the release of the Fed’s minutes” later today. Investors are looking for signs of more stimulus and information on inflation.
Coronavirus and US-China tensions weigh on FTSE 100
Investors remained worried about US-China tensions. China’s CSI 300 index dropped 1.5 per cent after US President Donald Trump said he had cancelled last weekend’s round of trade talks with Beijing.
“I canceled talks with China,” Trump said at a speech in Arizona. “I don’t want to talk to China right now.”
Tensions have risen sharply since the start of the coronavirus pandemic. Investors fear Trump will ramp up the rhetoric as the November presidential election approaches, which could lead to a new trade war and derail the global economic recovery.
Rising coronavirus cases in various countries around the world also weighed on investors’ minds. Ireland is tightening restrictions on some gatherings and New Zealand is dealing with a new outbreak.


cityam--2020-08-19--Proposed House of Lords relocation to York shelved

A proposal to move the House of Lords to York during parliament ’ s planned renovations has been shelved .
The idea was first floated at the start of the year and continually came up this year as something Boris Johnson was exploring , however the body responsible for Westminster ’ s restoration has said the York move “ will not…be considered ” for now .
Read more : Matt Hancock : There ’ s one big reason it ’ s safe to return to the office MPs and peers agreed in 2018 to move out of the Palace of @ @ @ @ @ @ @ .
Sources out of Downing Street said in January that moving peers to York could form part of the government ’ s “ levelling up ” agenda , which seeks to improve economic conditions north of London .
However , the BBC reports that the Restoration and Renewal Sponsor Body and Delivery Authority – which is reviewing the restoration project – has told Johnson that it will not support the Lords moving to York .
Before the Open newsletter : Start your day with the City View podcast and key market data The @ @ @ @ @ @ @ letter that such a move to York would have “ constitutional implications ” and that it is “ a matter for both Houses to determine rather than for our review ” .
“ This option will not , therefore , be considered as part of the scope of the strategic review , ” it said .
“ In line with best practice , we remain committed to developing a business case that will set out in detail the options for restoring parliament including cost estimates and timescales.
” Read more : DEBATE : @ @ @ @ @ @ @ Lords to York ?
Restoring the UK ’ s parliament has been a topic for discussion for many years , with the historic buildings being a known fire risk .
The Restoration and Renewal Sponsor Body and Delivery Authority is completing a review into the works to see if they are still feasible .

Proposed House of Lords relocation to York shelved
Pedestrians walk along the near-deserted street alongside York Minster in York
A proposal to move the House of Lords to York during parliament’s planned renovations has been shelved.
The idea was first floated at the start of the year and continually came up this year as something Boris Johnson was exploring, however the body responsible for Westminster’s restoration has said the York move “will not…be considered” for now.
MPs and peers agreed in 2018 to move out of the Palace of Westminster temporarily for a planned £4bn restoration.
Sources out of Downing Street said in January that moving peers to York could form part of the government’s “levelling up” agenda, which seeks to improve economic conditions north of London.
However, the BBC reports that the Restoration and Renewal Sponsor Body and Delivery Authority – which is reviewing the restoration project – has told Johnson that it will not support the Lords moving to York.
Before the Open newsletter: Start your day with the City View podcast and key market data
The authority told the Prime Minister in a letter that such a move to York would have “constitutional implications” and that it is “a matter for both Houses to determine rather than for our review”.
“This option will not, therefore, be considered as part of the scope of the strategic review,” it said.
“In line with best practice, we remain committed to developing a business case that will set out in detail the options for restoring parliament including cost estimates and timescales.”
Restoring the UK’s parliament has been a topic for discussion for many years, with the historic buildings being a known fire risk.
The Restoration and Renewal Sponsor Body and Delivery Authority is completing a review into the works to see if they are still feasible.


cityam--2020-08-19--Apple becomes first US company to reach $2 trillion valuation

Apple has become Wall Street ’ s first $ 2 trillion company , doubling its valuation in just over two years .
As shares hit $ 457.77 in morning trading , the tech giant became the first Wall Street company to achieve the $ 2 trillion market cap in public markets .
It is the second in the world to do so .
Read more : Apple boots Fortnite off App Store after challenge to payment rules The day after its float in December 2019 , Saudi Aramco briefly hit the valuation but subsequently closed below $ 2 trillion .
@ @ @ @ @ @ @ cap on 2 August 2018 and Wall Street has long expected it to be the first company to surpass $ 2 trillion .
Amazon , Microsoft and Alphabet have now all surpassed the $ 1 trillion mark .
Shares in Apple have surged more than 50 per cent in recent months despite challenges to its business , including the closure of stores due to the coronavirus pandemic .
It has also faced increasing pressure over its reliance on China as the US goes head-to-head with the country over apps TikTok and WeChat .
@ @ @ @ @ @ @ the pandemic , issuing a revenue warning and withdrawing guidance in February .
But in June the iPhone maker posted blockbuster earnings which surprised investors and analysts .
It reported that all five of its product categories had increased revenue during the second quarter .
Goldman Sachs analysts reportedly told clients : “ It turns out that we and consensus weren ’ t even in the ballpark in terms of what was possible.
” Read more : Report : Apple to bundle services under ‘ Apple One ’ subscription Chris Beauchamp , IG @ @ @ @ @ @ @ : “ Despite all expectations to the contrary its products continue to be highly sought-after , retaining the cachet that they developed in the wake of the arrival of the first iPhone.
” “ But have investors missed the boat ?
Chances are this is not the end of the line for the tech rally , or for the dominance of Apple and its ilk ” , he added .
Get the news as it happens by following City A.M. on Twitter .

Apple becomes first US company to reach $2 trillion valuation
Apple has become Wall Street’s first $2 trillion company, doubling its valuation in just over two years.
As shares hit $457.77 in morning trading, the tech giant became the first Wall Street company to achieve the $2 trillion market cap in public markets. It is the second in the world to do so.
The day after its float in December 2019, Saudi Aramco briefly hit the valuation but subsequently closed below $2 trillion.
Apple reached a $1 trillion market cap on 2 August 2018 and Wall Street has long expected it to be the first company to surpass $2 trillion. Amazon, Microsoft and Alphabet have now all surpassed the $1 trillion mark.
Shares in Apple have surged more than 50 per cent in recent months despite challenges to its business, including the closure of stores due to the coronavirus pandemic.
It has also faced increasing pressure over its reliance on China as the US goes head-to-head with the country over apps TikTok and WeChat.
Apple had anticipated a huge hit from the pandemic, issuing a revenue warning and withdrawing guidance in February. But in June the iPhone maker posted blockbuster earnings which surprised investors and analysts.
It reported that all five of its product categories had increased revenue during the second quarter. Goldman Sachs analysts reportedly told clients: “It turns out that we and consensus weren’t even in the ballpark in terms of what was possible.”
Chris Beauchamp, IG’s chief market analyst, said: “Despite all expectations to the contrary its products continue to be highly sought-after, retaining the cachet that they developed in the wake of the arrival of the first iPhone.”
“But have investors missed the boat? Chances are this is not the end of the line for the tech rally, or for the dominance of Apple and its ilk”, he added.
Get the news as it happens by following City A.M. on Twitter.


cityam--2020-08-19--Give the Lowther a Miss

Give the Lowther a Miss

THERE ’ S plenty of rain about up in York this week and the fillies lining up for the Group Two Lowther Stakes ( 1:45pm ) on day two of the Ebor Festival may encounter the most testing ground of the entire week .
That shouldn ’ t be a problem for Irish raider MISS AMULET , a daughter of Sir Prancealot who won a good Listed event on soft ground at Naas two weeks ago .
Conditions that day blunted even-money favourite Frenetic ’ s turn of foot while Miss Amulet got through the ground really well and won @ @ @ @ @ @ @ the leaders .
Her trainer , Ken Condon , is one of the shrewdest in the business and he wouldn ’ t be sending this 12/1-shot over if he thought she only had a minor part to play .
While William Haggas ’ Queen Mary Stakes runner-up , Sacred , sets the standard , she isn ’ t guaranteed to handle conditions and I ’ d rather roll the dice with another 12/1 chance , UMM KULTHUM .
She caught the eye when rattling home late at Thirsk on debut last month and @ @ @ @ @ @ @ .
You couldn ’ t help but be impressed with the way she made up the ground once the penny dropped and she ’ ll hopefully come on plenty for that experience .
Jessica Harrington ’ s Sussex Garden has a couple of solid runs under her belt and holds every chance for an in-form yard , while Setarhe has strong claims of continuing Roger Varian ’ s purple patch his two-year-olds .
Neither of those will be the price of my two selections , though , and that looks the way to @ @ @ @ @ @ @ a few surprise results .

Give the Lowther a Miss
Umm Kulthum and Miss Amulet are fancied to go well in the opener on day two of York’s Ebor meeting
THERE’S plenty of rain about up in York this week and the fillies lining up for the Group Two Lowther Stakes (1:45pm) on day two of the Ebor Festival may encounter the most testing ground of the entire week.
That shouldn’t be a problem for Irish raider MISS AMULET, a daughter of Sir Prancealot who won a good Listed event on soft ground at Naas two weeks ago.
Conditions that day blunted even-money favourite Frenetic’s turn of foot while Miss Amulet got through the ground really well and won going away despite being trapped in behind the leaders.
Her trainer, Ken Condon, is one of the shrewdest in the business and he wouldn’t be sending this 12/1-shot over if he thought she only had a minor part to play.
While William Haggas’ Queen Mary Stakes runner-up, Sacred, sets the standard, she isn’t guaranteed to handle conditions and I’d rather roll the dice with another 12/1 chance, UMM KULTHUM.
She caught the eye when rattling home late at Thirsk on debut last month and will hopefully take another big step forward.
You couldn’t help but be impressed with the way she made up the ground once the penny dropped and she’ll hopefully come on plenty for that experience.
Jessica Harrington’s Sussex Garden has a couple of solid runs under her belt and holds every chance for an in-form yard, while Setarhe has strong claims of continuing Roger Varian’s purple patch his two-year-olds.
Neither of those will be the price of my two selections, though, and that looks the way to go on ground that could throw up a few surprise results.
POINTERS
Umm Kulthum 12/1 1.45pm York
Miss Amulet 12/1 1.45pm York


cityam--2020-08-20--No substitute for creativity in the office, says Havas London boss

There is no substitute for face-to-face interaction in the creative process , the boss of advertising giant Havas London has said .
Speaking on City A.M. ’ s The City View podcast , Xavier Rees , chief executive of Havas London , said there is a limit to what people can do away from the office .
Read more : The City View : Xavier Rees of Havas London on the value of creative ideas in the office “ It ’ s true to say we can do a version of our jobs .
I think the issue comes in @ @ @ @ @ @ @ doing and for me , there ’ s no substitute for the key moment in the creative process .
There ’ s no substitute for us being together face to face , ” Rees said .
“ The magical leaps you need during the creative process actually happen by accident , you don ’ t really plan for them .
My observation is that those accidents happen much less frequently when you are doing it via a video call or a phone call , because you ’ re slower to pick up the @ @ @ @ @ @ @ ” The advertising firm reopened its office on 1 June but for the first six to eight weeks only 15 per cent of employees returned .
“ I felt personally anxious coming in , ” Rees recalled .
However during August , Rees said around 90 per cent of Havas London staff have been into the office at least once a week over the past fortnight .
“ We can create a creative product [ remotely ] .
Can we create one that is truly brilliant when we ’ re apart ?
It @ @ @ @ @ @ @ , ” Rees told City A.M. Get the news as it happens by following City A.M. on Twitter .

No substitute for creativity in the office, says adland boss
There is no substitute for face-to-face interaction in the creative process, the boss of advertising giant Havas London has said.
Speaking on City A.M.’s The City View podcast, Xavier Rees, chief executive of Havas London, said there is a limit to what people can do away from the office.
“It’s true to say we can do a version of our jobs. I think the issue comes in the quality of what you’re doing and for me, there’s no substitute for the key moment in the creative process. There’s no substitute for us being together face to face,” Rees said.
“The magical leaps you need during the creative process actually happen by accident, you don’t really plan for them. My observation is that those accidents happen much less frequently when you are doing it via a video call or a phone call, because you’re slower to pick up the signals, people are interrupting each other.”
The advertising firm reopened its office on 1 June but for the first six to eight weeks only 15 per cent of employees returned. “I felt personally anxious coming in,” Rees recalled.
However during August, Rees said around 90 per cent of Havas London staff have been into the office at least once a week over the past fortnight.
“We can create a creative product [remotely]. Can we create one that is truly brilliant when we’re apart? It is much harder and more time consuming,” Rees told City A.M.
Get the news as it happens by following City A.M. on Twitter.


cityam--2020-08-20--McKinsey paid £560,000 to consult on Public Health England axeing

Management consulting giant McKinsey was paid more £500,000 by the government to advise on the formation of a new public health authority in England .
Health secretary Matt Hancock announced in a speech on Tuesday that Public Health England was to be replaced with a new body called the National Institute for Health Protection .
The new institute will be formed through a merger of NHS Test and Trace , the Joint Biosecurity Centre and parts of PHE , and will have a mission of “ protecting people form external threats to this country ’ s health ” .
Hancock @ @ @ @ @ @ @ , pandemics and infectious diseases .
A newly released contract shows that McKinsey was paid £563,400 in May to formulate the “ vision , purpose and narrative ” of the new body and to draw up a document outlining these points , according to the Financial Times .
Before the Open newsletter : Start your day with the City View podcast and key market data The contract was published just days before Hancock ’ s speech , which also included the announcement that NHS Test and Trace chief Baroness Dido Harding would lead @ @ @ @ @ @ @ a former consultant at McKinsey .
The management consulting firm worked with Harding on the project , along with other members of the government ’ s Covid response team .
Read more : Public Health England becomes UK ’ s biggest advertiser during lockdown A McKinsey spokesperson said : “ Our UK public sector work is contracted by government officials under existing public procurement rules.
” A Department of Health and Social Care spokesperson said : “ All contracts have been awarded in line with procurement regulations , which allows for contracts to @ @ @ @ @ @ @ as a global pandemic .
”

McKinsey paid £560,000 to consult on Public Health England axeing
Management consulting giant McKinsey was paid more £500,000 by the government to advise on the formation of a new public health authority in England.
Health secretary Matt Hancock announced in a speech on Tuesday that Public Health England was to be replaced with a new body called the National Institute for Health Protection.
The new institute will be formed through a merger of NHS Test and Trace, the Joint Biosecurity Centre and parts of PHE, and will have a mission of “protecting people form external threats to this country’s health”.
Hancock said external threats amounted to biological weapons, pandemics and infectious diseases.
A newly released contract shows that McKinsey was paid £563,400 in May to formulate the “vision, purpose and narrative” of the new body and to draw up a document outlining these points, according to the Financial Times.
Before the Open newsletter: Start your day with the City View podcast and key market data
The contract was published just days before Hancock’s speech, which also included the announcement that NHS Test and Trace chief Baroness Dido Harding would lead the new institute.
Harding is also a former consultant at McKinsey.
The management consulting firm worked with Harding on the project, along with other members of the government’s Covid response team.
A McKinsey spokesperson said: “Our UK public sector work is contracted by government officials under existing public procurement rules.”
A Department of Health and Social Care spokesperson said: “All contracts have been awarded in line with procurement regulations, which allows for contracts to be awarded directly in exceptional circumstances such as a global pandemic.”


cityam--2020-08-20--FTSE 100 slides after Fed takes a gloomy view of the economy

The FTSE 100 fell in morning trading after the US Federal Reserve gave a pessimistic view of the economy , denting global market confidence after a record-breaking rally .
Investors are also concerned about rising coronavirus cases .
France reported its biggest increase in cases since May and Spain is struggling to deal with its pandemic .
Read more : Apple becomes first US company to reach $ 2 trillion valuation London ’ s blue-chip index dropped 1.2 per cent to 6,041 points .
The FTSE 250 of mid-cap companies fell 0.3 per cent .
Germany ’ s Dax slipped @ @ @ @ @ @ @ CAC 40 was trading 1.1 per cent lower .
The Europe-wide Stoxx 600 was down 0.8 per cent .
Overnight in Asia , China ’ s CSI 300 dropped 1.3 per cent after the country ’ s central bank kept a key lending rate unchanged .
The move damaged hopes for more monetary stimulus .
Markets were bullish yesterday ahead of the release of the Fed ’ s minutes from its July meeting .
The S & P 500 and Nasdaq both hit new all-time highs .
And Apple reached an astonishing $ @ @ @ @ @ @ @ valuation , the first company to do so .
However , Fed policymakers highlighted uncertainties over the US economic recovery .
They said the “ health crisis would weigh heavily on economic activity , employment and inflation in the near term ” .
And they said coronavirus “ was posing considerable risks to the economic outlook over the medium term ” .
The minutes weighed on US stocks and spilled over to drag down the FTSE 100 and European markets in morning trading .
US stock markets were also set to open lower @ @ @ @ @ @ @ at trading platform CMC Markets , said : “ This less than dovish tone seemed to catch the markets unawares ” .
Read more : Huawei : US ramps up sanctions as China tensions grow He said it prompted “ US markets to slide back from their new all-time highs , and put markets in Asia on the back foot as well ” .
“ This seems a rather surprising reaction , when you consider that this observation about the US economy seems a rather obvious one.
” Miner Antofagasta tumbled 5.4 per @ @ @ @ @ @ @ posted a plunge in half-year earnings on weak copper prices .
However , it was the big investment firms that led the fallers .
M & G dropped 5.6 per cent and Standard Life Aberdeen fell 5.4 per cent as doubts set in about the global economy .
“ Miners , financials , telecoms and energy [ were ] the worst performing sectors , ” said Russ Mould , investment director at AJ Bell .
Read more : UK economy : Footfall at highest level since March but job postings fall “ It @ @ @ @ @ @ @ investors shifting their focus to more defensive areas such as utilities and healthcare.
” Frasers Group soared 13 per cent on the FTSE 250 , however , after predicting growth of up to 30 per cent in the coming financial year .
That limited losses on the mid-cap index .
The dollar had been languishing at two-year lows but yesterday reversed course .
Jim Reid of Deutsche Bank said : “ Half the move came after the minutes were released and it ’ s held onto gains overnight too.
” The greenback was @ @ @ @ @ @ @ basket of other currencies this morning .
The pound was roughly flat at $ 1.312 .
Read more : Pound slips after touching highest level since start of year Kit Juckes of Societe Generale said that the dollar remained “ very overvalued ” despite its recent falls .
“ The big FX adjustment in the coming months ( and years ) will be further dollar weakness , ” he said in a note .
Gold also edged higher to stand at $ 1,929 per ounce .
That was someway off its record high @ @ @ @ @ @ @ reached earlier this month .

FTSE 100 and US stocks slide amid fears over global economy
The FTSE 100 and US stocks fell after the US Federal Reserve gave a pessimistic view of the economy and the number of Americans claiming new jobless benefits unexpectedly rose.
Investors are also concerned about rising coronavirus cases. France reported its biggest increase in cases since May and Spain is struggling to deal with its pandemic.
Read more: Apple becomes first US company to reach $2 trillion valuation
London’s blue-chip index dropped 1.5 per cent in afternoon trading to 6,019 points. The FTSE 250 of mid-cap companies fell 0.7 per cent.
The US’s S&P 500 slipped 0.3 per cent. The Dow Jones was down 0.5 per cent.
The tech-heavy Nasdaq rose 0.1 per cent, however. Shares in Apple continued to rise, the day after it became the first company to become worth $2 trillion (£1.53 trillion).
Germany’s Dax and France’s CAC 40 were trading 1.4 per cent lower. The Europe-wide Stoxx 600 was down 1.2 per cent.
Fed gloom spreads to FTSE 100
Markets were bullish yesterday ahead of the release of the Fed’s minutes from its July meeting. The S&P 500 and Nasdaq both hit new all-time highs.
However, Fed policymakers highlighted uncertainties over the US economic recovery. They said the “health crisis would weigh heavily on economic activity, employment and inflation in the near term”.
And they said coronavirus “was posing considerable risks to the economic outlook over the medium term”.
The minutes weighed on US stocks last night and spilled over to drag down the FTSE 100 and European markets today.
US stocks dip after weak employment data
Wall Street optimism was further dented today by the latest US jobless claims figures. They showed that new claims unexpectedly rose to 1.11m last week from 971,000 a week earlier.
The rise confounded economists, who had been expecting another drop. It also took claims back above the 1m mark just a week after they had fallen below that level for the first time since March.
The figures add urgency to slow-moving talks between Republicans and Democrats on the next round of stimulus.
Patrick Spencer, vice chairman of equities at investment bank Baird, said: “The latest jobless numbers will probably have the effect of forcing Congress to come together to agree on another stimulus plan.”
Yet he said that claims were still well below the March peak of close to 7m, so “the US economy is moving in the right direction”.
Investment giants lead blue-chip fallers
Miner Antofagasta tumbled 5.5 per cent on the FTSE 100 after it posted a plunge in half-year earnings on weak copper prices. Fellow miner Evraz led the fallers with a 6.6 per cent fall.
Investment firms M&G and Standard Life Aberdeen both dropped more than five per cent as doubts set in about the global economy.
“Miners, financials, telecoms and energy [were] the worst performing sectors,” said Russ Mould, investment director at AJ Bell.
Read more: UK economy: Footfall at highest level since March but job postings fall
“It was certainly a risk-off day, with investors shifting their focus to more defensive areas such as utilities and healthcare.”
Connor Campbell, market analyst at trading platform Spreadex, said the realities of the pandemic had “once again made themselves felt”.
Frasers Group soared 14.3 per cent on the FTSE 250, however, after predicting growth of up to 30 per cent in the coming financial year. That limited losses on the mid-cap index.
Dollar gains amid economic gloom
The dollar had been languishing at two-year lows but yesterday reversed course. Jim Reid of Deutsche Bank said: “Half the move came after the minutes were released and it’s held onto gains overnight too.”
The greenback was trading 0.3 per cent higher against a basket of other currencies this morning. The pound was down slightly at $1.31.
Read more: Pound slips after touching highest level since start of year
Kit Juckes of Societe Generale said that the dollar remained “very overvalued” despite its recent falls. “The big FX adjustment in the coming months (and years) will be further dollar weakness,” he said in a note.
Gold also edged higher to stand at $1,932 per ounce. Yet that was some way off its record high of more than $2,060 an ounce reached earlier this month.


cityam--2020-08-20--London’s grip on clearing continues as Frankfurt’s progress slows

Deutsche Boerse ’ s Eurex Clearing said its euro clearing division had grown less quickly than expected , demonstrating that London will remain the centre of the industry for some time after Brexit .
Eurex said it accounted for €19 trillion ( £17 trillion ) of the enormous €100 trillion notional outstanding value in euro interest rate derivatives and forward contracts .
London Stock Exchange ’ s clearing division LCH made up the rest .
Read more : EU to maintain access to City of London clearing houses after Brexit Clearing is the procedure by which financial deals are settled @ @ @ @ @ @ @ correct payments reach the right parties , even if a counterparty goes bust .
London dominates the European clearing business .
But other financial sectors such as Frankfurt saw Brexit as a chance to make inroads into the market .
Deutsche Boerse ’ s Eurex Clearing has been touted as a strong candidate to nick market share off London .
However , its board member Matthias Graulich yesterday told Reuters : “ There is a slower growth path than we initially had expected for the second half of this year.
” He said @ @ @ @ @ @ @ to COVID-19 and its implications ” .
But he said that “ everything is going in the right direction to achieve our goals ” .
Read more : Brexit : City faces wait beyond 2020 for EU financial market access Eurex remained well behind London in swaps , with 14.3 per cent of the market or €7.3 trillion compared to €45.8 trillion at LCH .
The EU is poised to decide in the next few weeks on how long it will allow the bloc ’ s customers to use LCH ’ s clearing @ @ @ @ @ @ @ period in December .

London’s grip on clearing continues as Frankfurt’s progress slows
Deutsche Boerse’s Eurex Clearing said its euro clearing division had grown less quickly than expected, demonstrating that London will remain the centre of the industry for some time after Brexit.
Eurex said it accounted for €19 trillion (£17 trillion) of the enormous €100 trillion notional outstanding value in euro interest rate derivatives and forward contracts. London Stock Exchange’s clearing division LCH made up the rest.
Clearing is the procedure by which financial deals are settled. It is vital to ensuring the correct payments reach the right parties, even if a counterparty goes bust.
London dominates the European clearing business. But other financial sectors such as Frankfurt saw Brexit as a chance to make inroads into the market.
Deutsche Boerse’s Eurex Clearing has been touted as a strong candidate to nick market share off London.
However, its board member Matthias Graulich yesterday told Reuters: “There is a slower growth path than we initially had expected for the second half of this year.”
He said the slow progress was “primarily due to COVID-19 and its implications”. But he said that “everything is going in the right direction to achieve our goals”.
Eurex remained well behind London in swaps, with 14.3 per cent of the market or €7.3 trillion compared to €45.8 trillion at LCH.
The EU is poised to decide in the next few weeks on how long it will allow the bloc’s customers to use LCH’s clearing after the end of the Brexit transition period in December.