UK RICS house price gauge falls to lowest since 2009 as interest rates rise
With interest rates hitting a 15-year high, last month saw the most widespread drop in UK house prices since 2009. Meanwhile, due to more landlords selling properties, rental prices achieved their largest increase since 1999.
The Royal Institution of Chartered Surveyors (RICS) reported that the July house price balance dropped to -53, down from -48 in June. This marks the lowest level since April 2009 and is below the analyst forecast of -50.
Ladbrokes owner close to ‘drawing a line’s under bribery inquiry
Entain’s stock price fell by 2.2% at the opening of the market on Thursday. The company had previously indicated that it might face a “substantial fine” in May, leading to a significant decline in its stock price.
The UK’s HM Revenue and Customs (HMRC) initially investigated potential corporate wrongdoing by Entain, formerly known as GVC, in its online gambling and gaming operations targeting Turkey during the period from 2011 to 2017. Entain was accused of failing to implement proper procedures to prevent individuals from engaging in bribery favorable to the company.
Lloyds and UK banks fall as opponents welcome Italian windfall tax
Italian Deputy Prime Minister Matteo Salvini has proposed imposing a 40% tax on banks’ excess profits, which would provide funds for the government’s tax cuts and financial support for first-time mortgage holders. Italy’s benchmark stock index, the FTSE MIB, which is heavily weighted towards the banking sector, fell by 2.12%, leading a decline among European country indices. The FTSE Italy Banks Index also dropped by 7.59%.
London tourism rebound shows no signs of slowing as IHG reports 22% revenue boost in capital
On August 4th, the UK’s Unite union announced that around 24,000 employees of British Airways will receive a pay raise of 13.1% over the course of 18 months.
This pay increase reflects the high inflation levels in the UK and the rebound of the tourism industry after the COVID-19 pandemic. Due to the pandemic, British Airways was forced to lay off over 10,000 employees, but as travel demand reached levels seen in 2019, the company has since added thousands of employees.
Top restaurant groups see profits double
Despite soaring inflation and a shortage of staff, the largest restaurant chains are reporting growth in profits, but the number of pub closures is on the rise.
Research by UHY Hacker Young found that the profits of the UK’s biggest restaurant companies doubled last year, rising from 35% to 78%.