Europe Business

UK would leave the EU on Australia terms if no deal reached, Johnson tells Merkel

07/07 Britain is prepared to leave the European Union on the same terms as Australia has with the bloc if it cannot agree on a future trading deal, Prime Minister Boris Johnson told Germany's Angela. . .  Full story

Italy PM Conte says he will not accept 'weak compromise' on EU recovery fund

07/07 Italian Prime Minister Giuseppe Conte said on Tuesday the European Union must act decisively to build a common response to the economic crisis caused by the COVID-19 pandemic, urging that support measures be activated rapidly.. . .  Full story

Oil steadies as economic data overshadows coronavirus worries

07/07 Oil prices settled little changed on Tuesday as demand concerns due to a new surge in coronavirus cases overshadowed U.S. government forecasts for lower production.. . .  Full story

Portugal in talks with Britain ahead of review of UK 'travel corridor' decision

07/07 Talks between Portuguese and British authorities are under way ahead of the UK's reevaluation of its decision to keep Portugal off its list for coronavirus restriction-free travel, Prime Minister Antonio Costa said on Tuesday.. . .  Full story

Chile putting mine workers' health over copper production, minister says

07/07 Chile's mines minister said on Tuesday there were "no silver bullets" to help the industry weather the coronavirus pandemic, but insisted the world's biggest copper producer was prioritizing workers' health to avoid the spread of. . .  Full story

New French PM pledges 7.5 billion euros for hospital staff

07/07 France's new prime minister, Jean Castex, said on Tuesday his government would commit an envelope of 7.5 billion euros to raise wages of hospital workers.. . .  Full story

Next coronavirus waves will determine UK economy's path: BoE's Haldane

07/07 Further waves of the novel coronavirus are surely on the way and they will be one of the determinants of Britain's economic outlook, Bank of England Chief Economist Andy Haldane said on Tuesday.. . .  Full story

Forex firm Travelex says debt holders to take control of company

07/07 Travelex said on Tuesday its debt holders will take control of the company and inject 84 million pounds ($105.60 million) of fresh liquidity, as part of a debt restructuring to help the currency service. . .  Full story

European stocks slip as hopes of post-pandemic rebound fade

07/07 European shares fell on Tuesday as surging U.S. coronavirus cases and forecasts for a deeper-than-feared recession in the euro zone dimmed optimism around a post-pandemic rebound.. . .  Full story

Demand hopes, supply worries propel copper to 5-month peak

07/07 Copper prices soared to their highest level in more than five months on Tuesday due to strong demand prospects in top consumer China and worries about supplies from Chile, the world's largest producer of. . .  Full story

London stocks slip from near two-week highs as COVID-19 fears weigh

07/07 UK shares slipped from near two-week highs on Tuesday as a surge in U.S. coronavirus cases turned investors away from riskier trades, while Halfords tumbled after a bleak profit expectation.. . .  Full story

Japan's AGC weighs options after Italy puts conditions on Molmed deal

07/07 Italy said it would use its right to intervene to protect strategic assets on the planned acquisition of biotechnology group Molmed by AGC , leaving the Japanese buyer to review whether to go ahead with. . .  Full story

Italian yields hover at 3-month lows as traders eye talks in Brussels

07/07 Italian 10-year government bond yields clung to recent three-month lows on Tuesday as traders awaited signs of progress from talks this week in Brussels on a European recovery fund.. . .  Full story

Spain to lease public land royalty-free for social housing building

07/07 Spain will lease public land to private companies and waive royalty fees on the condition of a commitment to build and manage social housing during the lease, Transport Minister Jose Luis Abalos said on. . .  Full story

Wirecard administrator sees strong interest from potential buyers

07/07 Wirecard's administrator said on Tuesday that more than 100 investors have expressed interest in buying the collapsed German payments firm's core business and holdings.. . .  Full story

UBI crosses swords again with Intesa on value of takeover bid

07/07 UBI Banca on Tuesday fired back at rival Intesa Sanpaolo in an escalating war of words over a takeover offer from Italy's second largest bank, reiterating that the bid does not adequately reward its shareholders.. . .  Full story

Ivory Coast's 2020 growth seen sliding to 0.8% due to pandemic

07/07 Ivory Coast's gross domestic product growth is expected to slow to 0.8% in 2020 compared to a previous forecast of 7.2% if the coronavirus pandemic continues to the end the year,. . .  Full story

Britain jeopardising China relationship, says Huawei's UK boss

07/07 Britain risks throwing away its long-standing relationship with China if it bans Huawei from its 5G networks at the behest of the United States as part of a global battle for technological supremacy, the. . .  Full story

Britain says it can restart Saudi Arabia arms export licences

07/07 Britain can once again issue new licences to export arms to Saudi Arabia after complying with a court order, its trade minister said on Tuesday, a move campaigners condemned as "morally bankrupt".. . .  Full story

South Sudan's central bank cuts benchmark interest rate to 10%

07/07 South Sudan's central bank said it cut its benchmark interest rate to 10% from 13%, as part of efforts to mitigate the effects of the coronavirus outbreak on the economy.. . .  Full story

Spain to disburse $2 bln in aid for transport companies

07/07 Spain's government will disburse 1.8 billion euros ($2 billion)in aid to support transport companies hit by the coronavirus pandemic, transport minister Jose Luis Abalos said on Tuesday.. . .  Full story

ECB's Costa calls for TARP-style bad debt fund to relieve banks

07/07 Europe needs a scheme similar to the U.S. Troubled Asset Relief Programme (TARP), adopted during the 2008 subprime crisis, to help its banks cope with the fallout from the COVID-19 pandemic, European Central Bank policymaker. . .  Full story

Write-downs put spotlight on energy majors' scattered oil price outlooks

07/07 A series of huge write-downs among energy majors triggered by lower assumptions for future oil prices has put a spotlight on the sector's scattered price outlooks.. . .  Full story

EU wants Brexit deal 'but not at any price' as teams head for dinner

07/07 Top British and EU negotiators will dine at Number 10 Downing Street on Tuesday, kicking off the latest round of Brexit talks that have all but stalled amid differences, with the top EU official. . .  Full story

Climate battles are moving into the courtroom, and lawyers are getting creative

07/07 Climate change may be having its day in court.. . .  Full story

Italian cabinet approves "mother of all reforms" to slash red tape

07/07 The Italian government approved a package of measures on Tuesday aimed at cutting the complicated red tape that has long been blamed for crimping growth in the euro zone's third-largest economy.. . .  Full story

EU lawmakers agree to include shipping emissions in EU carbon market

07/07 European lawmakers agreed on Tuesday to include international carbon emissions from the maritime sector in the EU carbon market, targeting an industry that does not yet pay for its pollution.. . .  Full story

Hedge fund Lansdowne to shut $2.8 bln main long-short strategy

07/07 London-based Lansdowne Partners is closing its main hedge fund, a long-short strategy that manages $2.8 billion in assets under management, a person familiar with the matter told Reuters.. . .  Full story

Virus crisis exposes tensions over tighter controls for investment funds

07/07 Britain's market watchdog is resisting calls for stricter rules on investment funds, putting the regulator at odds with the Bank of England which wants tighter controls to prevent them becoming a source of contagion in. . .  Full story

ENKRAFT piles pressure on Energiekontor to change strategy

07/07 Activist investor ENKRAFT has stepped up its criticism of solar and wind park developer Energiekontor, accusing management of failing to address what it described as "great strategic weaknesses", a letter seen by Reuters showed.. . .  Full story

'At war time speed', China leads COVID-19 vaccine race

07/07 China is forging ahead in the race to develop a vaccine to help control the COVID-19 pandemic, with Sinovac Biotech's experimental vaccine set to become the country's second and the world's third to enter final. . .  Full story

Plus500 reports four-fold surge in revenue, makes interim CEO permanent

07/07 Online trading platform Plus500's revenue in the first half nearly quadrupled to $564.2 million, as it continues to see strong trading volumes in financial markets during the coronavirus crisis.. . .  Full story

Lufthansa to cut a fifth of leadership jobs in restructuring

07/07 Germany's Lufthansa airlines will cut 20% of its leadership positions and 1,000 administrative jobs in a restructuring plan that it announced on Tuesday to cope with fallout from the coronavirus crisis.. . .  Full story

Russia's Rosneft to buy a drilling business from IDS - letter

07/07 Rosneft is set to buy a drilling business from IDS Group, a letter to IDS staff seen by Reuters showed, as the Russian oil giant continues its push into oilfield services to help reduce. . .  Full story

Spain extends coronavirus aid for tenants and homeowners

07/07 Spain's cabinet will on Tuesday approve the extension of measures aimed at easing the financial burden on rental tenants and homeowners hit by the coronavirus, government sources told Reuters.. . .  Full story

Ineos may switch vehicle production to France, puts Welsh ops on hold

07/07 Britain's Ineos, which is planning to build an off-roader in Wales to rival the likes of the Land Rover Defender, may make it in France instead at a factory Daimler has put up for. . .  Full story

Polish economy could return to pre-virus levels in 2021 -state fund head

07/07 Poland could return to pre-coronavirus levels of economic activity in the first or second quarter of 2021, the head of state fund PFR said on Tuesday, adding that the economy could grow by 5%. . .  Full story

FACTBOX-How to turn around the UK's coronavirus slump - Sunak's options

07/07 British finance minister Rishi Sunak is considering measures ranging from tax cuts to hiring incentives as he tries to steer the world's sixth-biggest economy towards recovery after a 25% coronavirus crash in March and April.. . .  Full story

Irish housebuilding to fall by one-third due to COVID-19 - central bank

07/07 Housebuilding in Ireland is likely to fall by at least one-third over three years due to COVID-19 disruptions and could fall by half in the event of a second wave of infections, a senior. . .  Full story

-Viaro Energy to buy UK-based RockRose in 248 mln pound deal (July 6)

07/07 UK-based RockRose Energy Plc said on Monday it had agreed to be bought by privately held energy firm Viaro Energy in a deal valuing it at 247.6 million pounds ($309.08 million), as the industry. . .  Full story

Indonesia imposes 10% VAT on Amazon, Google, Netflix and Spotify

07/07 Indonesia imposed a 10% value-added tax on sales by technology firms including Amazon, Netflix, Spotify and Google on Tuesday, as spending patterns shift with increased remote working as a result of the coronavirus crisis, which. . .  Full story

EU sees deeper recession, less steep rebound for euro zone

07/07 The euro zone economy will drop deeper into recession this year and rebound less steeply in 2021 than previously thought, the European Commission forecast on Tuesday, with France, Italy and Spain struggling the most. . .  Full story

Spot prices jump on falling renewables output

07/07 European spot electricity prices for Wednesday delivery jumped to more than 5-month highs due to a falling forecast for German wind and solar power generation, while French nuclear availability remained low.. . .  Full story

German industrial output rebounds, firms see brighter outlook

07/07 Germany's industrial production rebounded in May, rising by 7.8% for the month after falling by a revised 17.5% in April, the Statistics Office said on Tuesday, in the latest sign that Europe's largest economy. . .  Full story

Euro zone agrees 750 million euros of debt relief measures for Greece

07/07 The euro zone agreed on Tuesday new debt relief measures for Greece worth about 750 million euros ($840 million) as part of the country's post-bailout programme.. . .  Full story

UK's Daily Mirror publisher Reach to cut 550 jobs

07/07 Daily Mirror owner Reach said on Tuesday it would cut about 550 jobs, or 12% of its workforce, after the COVID-19 pandemic hit circulation and advertising at its national and regional newspapers in Britain.. . .  Full story

Premier Inn owner Whitbread cautious on outlook as hotels reopen

07/07 Premier Inn owner Whitbread reported a 80% fall in first-quarter like-for-like UK sales on Tuesday noting improving demand for hotel rooms in tourist spots but subdued demand in London and elsewhere.. . .  Full story

Italy's Target2 debt hits new record high, ECB's funding to banks rises

07/07 Italy's liabilities towards other euro zone central banks hit a new all-time high in June, as the country's lenders rushed to borrow from the European Central Bank under extraordinary measures deployed to fight the. . .  Full story

UK labour costs show biggest jump since 2006 - ONS

07/07 A gauge of British labour costs rose at its fastest rate since 2006 in the first three months of this year, reflecting the early days of the government's furlough scheme, the Office for National. . .  Full story

UK says it can draw investment and defend values after Huawei row

07/07 Britain can both remain a popular destination for foreign investment and stand up for its values, its business minister said on Tuesday after China warned that a dispute over tech firm Huawei could lead. . .  Full story

UK consumers remain cautious about returning to high streets

07/07 The number of shoppers visiting retailers was down by nearly 50% last week compared with a year earlier and the amount of money spent in pubs and restaurants as they reopened last weekend suffered. . .  Full story

Indian households shun downmarket palm oil, cutting demand in lockdown

07/07 Palm oil demand in India, the world's top edible oil importer, is set to plunge this year as coronavirus lockdowns slash food service sector demand and households opt for alternatives at the supermarket.. . .  Full story

UK house prices fall for longest period since 2010, Halifax says

07/07 British house prices fell for a fourth month in a row in June as COVID-19 restrictions continued to depress the market, the longest run of monthly declines since 2010, mortgage lender Halifax said on. . .  Full story

Sodexo warns of deeper fall in sales as coronavirus persists

07/07 Sodexo warned on Tuesday that its fourth-quarter and half-year sales will fall more sharply than previously expected as the coronavirus pandemic remains strong in North America, Latin America and India.. . .  Full story

UK active equity funds see record $1.7 bln outflow in June -Calastone

07/07 Investors withdrew a record 1.35 billion pounds ($1.69 billion)from active UK-focused equity funds in June, topping the level seen after the Brexit vote four years ago, fund network Calastone said on Tuesday.. . .  Full story

UK Stocks-Factors to watch on July 7

07/07 Britain's FTSE 100 index is seen opening a point lower at 6,285 on Tuesday, according to financial bookmakers, with futures down 0.6% ahead of cash markets open.. . .  Full story

German industry expects production to rise in coming months - Ifo

07/07 Industrial firms in Europe's largest economy expect their production to increase in the coming three months, a survey published by Germany's Ifo institute on Tuesday showed.. . .  Full story

COLUMN-London aluminium hit by flash squeeze even as stocks surge: Andy Home

07/07 The London aluminium market was rocked by a short but severe squeeze last week.. . .  Full story

Global LNG projects jeopardized by climate concerns, pandemic delays -report

07/07 Prospects for nearly half of the world's projects to build infrastructure for exporting liquefied natural gas have faltered in recent months, amid rising concerns about climate change, public protests and delays due to the coronavirus. . .  Full story

An end to Australia's apartment binge looms over jobs, growth

07/07 The hit to Australia's population growth from closing its international borders is quickly turning a long-running housing shortage into a glut, bringing an end to the apartment building boom behind much of the country's. . .  Full story

Soybeans hit four-month high on hot, dry U.S. crop weather

06/07 U.S. corn and soybean futures rose on Monday as expectations for unfavorably hot, dry weather increased concerns over the crops, after the federal government said last week that American farmers planted fewer acres than. . .  Full story

UK's Sunak to spend 3 billion pounds on green projects in economy plan

06/07 British finance minister Rishi Sunak will earmark 3 billion pounds ($3.75 billion) to create green jobs and improve the energy efficiency of public buildings when he announces his broader plans to kickstart the economy. . .  Full story

Eni to book 3.5 bln euro asset writedown after cutting price outlook

06/07 Italian energy group Eni said it would write off around 3.5 billion euros ($4 billion) from the value of its assets after revising down its long-term outlook for oil and gas prices due to. . .  Full story

Oil steady as hopeful economic data face spike in virus cases

06/07 Oil futures ended largely steady on Monday as positive economic data supported prices, while a spike in coronavirus cases in the United States that could curb fuel demand pressured prices.. . .  Full story

GAM sales chief Rainsford exits in management revamp

06/07 GAM Investments' head of sales and distribution, Tim Rainsford, is leaving the Swiss asset management group amid a management revamp, GAM said on Monday.. . .  Full story

EU lawmakers ban nuclear from green transition fund, leave loophole for gas

06/07 European Union leaders are split over which fuels deserve support from the bloc's flagship green energy fund, after lawmakers on Monday called for rules that could allow the money to be spent on some. . .  Full story

UK pledges boost for the arts as it eyes socially distant performances

06/07 Britain will invest nearly $2 billion in the arts and hopes to allow outdoor and socially distanced performances at cultural venues as it tries to help a high-profile sector hit hard by the coronavirus.. . .  Full story

French central bank sees full rebound in GDP in wake of virus lockdown

06/07 The French economy is on course to bounce back this quarter as much as it probably slumped in the previous three months, the central bank estimated on Monday, saying it might need to revise. . .  Full story

German prosecutors arrest head of Wirecard's Dubai unit

06/07 German prosecutors said on Monday they had arrested the head of a Dubai-based subsidiary of Wirecard, widening the circle of suspects in a multi-billion-dollar fraud investigation into the collapse of the payments company.. . .  Full story

UK's Raab rejects China's criticism of "gross interference"

06/07 British foreign Secretary Dominic Raab rejected on Monday China's accusation that Britain had indulged in "gross interference" over Beijing's imposition of new security legislation in Hong Kong.. . .  Full story

Dutch central bank gives insurers room to resume dividend payments

06/07 The Dutch central bank (DNB) said on Monday that insurers could restart dividend payments later this year, as the effects of the coronavirus pandemic on their balance sheets has been less dramatic than feared.. . .  Full story

Russia's Rusal calls for meeting of Nornickel board to discuss damages claim from Arctic fuel spill

06/07 Russia's Rusal, a major shareholder in Nornickel, called on Monday for a meeting of the mining giant's board to discuss ways of meeting a demand for $2 billion in damages for a giant Arctic. . .  Full story

UK stocks clock best day in nearly 3-weeks on stimulus hopes

06/07 London stocks logged their best day in nearly three weeks on Monday, with cyclical stocks including banks leading advances on hopes of more stimulus to kickstart a battered global economy, while homebuilders jumped on. . .  Full story

Russian watchdog seeks $2 bln in damages from Nornickel over Arctic fuel spill

06/07 Russia's environmental watchdog has asked a power subsidiary of Russian mining giant Norilsk Nickel (Nornickel) to pay almost 148 billion roubles ($2 billion) in damages over an Arctic fuel spill in Siberia.. . .  Full story

Robust rule of law a must before getting EU money, top official says

06/07 European Union countries should only get money from the bloc's budget and the COVID-19 recovery fund if they have robust courts and safeguards against corruption, a top official said on Monday, a couched warning. . .  Full story

China recovery hopes, upbeat data lift European shares; HSBC leads

06/07 European shares closed at their highest in nearly a month on Monday, as upbeat economic data tied in with a rally in China's markets on hopes of recovery from a coronavirus-induced slump.. . .  Full story

China demand optimism drives copper to five-month high

06/07 Copper prices scaled five-month highs on Monday, boosted by optimism about demand in top consumer China and concerns about the spread of COVID-19 in Chile, the world's largest producer.. . .  Full story

Southern European bond yields fall as markets pin hopes on economic recovery

06/07 Southern European bond yields fell on Monday, supported by expectations for hefty central bank stimulus and hopes that the world economy will bounce back quickly from the COVID-19 shock.. . .  Full story

Thailand says monkey labour "almost non-existent" after UK shop ban

06/07 Monkey labour to harvest coconuts for commercial products "is almost non-existent" in Thailand, the commerce minister said on Monday, after British retailers announced bans on products campaigners say use the animals in their production.. . .  Full story

Britain's first sanctions target Russians, Saudis

06/07 Britain's first sanctions will target 25 Russian nationals it says were involved in the mistreatement and death of lawyer Sergei Magnitsky and 20 Saudi nationals held to be involved in the death of journalist. . .  Full story

EDF preparing cost-cutting plan worth up to 3 bln eur - sources

06/07 French state-controlled utility EDF has started preparing a cost-cutting plan worth between 2 and 3 billion euros ($1.13 billion), two sources told Reuters, confirming a report by French newspaper Le Monde.. . .  Full story

Ivory Coast cocoa farmers welcome good weather for main crop

06/07 Rainfall was above average over most of Ivory Coast's cocoa growing regions last week, increasing the chances of a strong start to the next main crop in October, farmers said on. . .  Full story

Britain's Boohoo vows to ditch unscrupulous suppliers as shares hammered

06/07 British online fashion retailer Boohoo will end relationships with any supplier found to have breached its code of conduct, it said on Monday following a media report about dire working conditions in one English factory.. . .  Full story

Portugal's Costa says EU must act swiftly on coronavirus response

06/07 Portuguese Prime Minister Antonio Costa urged his fellow leaders in the European Union on Monday to move swiftly when they meet next week to approve plans for a coronavirus recovery fund.. . .  Full story

UK insurer Aviva appoints Blanc as CEO, strategy shake-up seen

06/07 Aviva named independent director and former Zurich Insurance executive Amanda Blanc as its new chief executive on Monday who immediately signalled a potential strategy overhaul, sending the British insurer's shares up.. . .  Full story

London aluminium hit by flash squeeze even as stocks surge: Andy Home

06/07 The London aluminium market was rocked by a short but severe squeeze last week.. . .  Full story

UK decision on Huawei not set in stone, minister says

06/07 Britain's decision to grant Huawei a limited role in building its 5G network is not "fixed in stone" and a government update on the Chinese company will be published before July 22, a government. . .  Full story

Cineworld hits back at Cineplex in tussle over scrapped deal

06/07 Cineworld said on Monday it planned to make a counter-claim against Cineplex following the Canadian cinema chain's legal action against the British group for damages after it scrapped a $1.65 billion takeover.. . .  Full story

China should adhere to international law over Hong Kong citizenship route - UK PM's spokesman

06/07 Britain expects China to adhere to international law, a spokesman for Prime Minister Boris Johnson said on Monday when asked what London could do if Beijing prevents those in Hong Kong with British National Overseas. . .  Full story

FOCUS-Buy now, pay whenever? Lockdown lift for online shopping loans

06/07 Browsing online during lockdown, Jessica Friend spotted a pair of Ray-Ban sunglasses she liked, but the price tag made the 30-year-old Ohio resident think twice.. . .  Full story

EU will stand firm against Washington over trade disputes, says commissioner

06/07 The European Union will take decisive action against the United States if it is unwilling to settle a long-running row over aircraft subsidies and presses ahead with a series of new trade investigations, Europe's. . .  Full story

Britain's Pret A Manger to close 30 UK shops, could cut over 1,000 jobs

06/07 British coffee and sandwich chain Pret A Manger said on Monday it will not reopen 30 UK shops after the coronavirus lockdown and could cut around 1,000 jobs, reflecting a major hit to customer. . .  Full story

Patchy demand at stores spells more pain for garment suppliers

06/07 Fashion brands and retailers re-opening around the world to patchy demand, and carrying unsold stock from spring have cut fall orders by as much as two-thirds in moves spelling more pain for Asian suppliers.. . .  Full story

Lloyds Bank boss Horta-Osório to step down after a decade at the helm

06/07 Lloyds Bank Chief Executive António Horta-Osório said on Monday he would step down next year after a decade at the helm, leaving Britain's biggest domestic bank to find a successor to steer it through. . .  Full story

Intesa defends UBI takeover terms as offer kicks off

06/07 Italy's second-biggest bank Intesa Sanpaolo defended its takeover bid for UBI Banca which kicks off on Monday, saying its target had underestimated advantages for investors in rejecting it.. . .  Full story

Australia's Prospect Resources picks advisor for sale of Zimbabwe lithium mine

06/07 Australian-listed Prospect Resources said on Monday it had picked Renaissance Securities Capital as its exclusive financial advisor for the possible sale of shares in Zimbabwe's Arcadia Lithium mine to Russian energy. . .  Full story

German recovery from COVID-19 will be slow and painful, data shows

06/07 German industrial orders rebounded moderately in May and a fifth of firms in Europe's biggest economy said in a survey published on Monday they feared insolvency, adding to expectations of a slow and painful recovery. . .  Full story