News headlines: Sunday 4th November

Economics

British banks are set to forced to raise tens of billions of pounds in capital as a result of new accounting rules. The Sunday Telegraph understands that the International Accounting Standards Board will publish new rules in Q1 2013, set to make sure that investors get a clearer picture of a bank’s loan book. This would mean a shift to taking expected losses on a loan, rather than a loss has been incurred. Recent stress testing found that based on the new rules, provisions for loan losses would have to rise between 30% and 100%, depending on the institution. Telegraph, B1

Recruitment

Groupon has slashed its UK workforce. Around 300 of the workforce of 1,000 have been axed, at a time when Groupon’s shares on the New York listing fell to a new low. Most of the redundancies are understood to have been located in the customer services department. Independent on Sunday, p.85

Property

Douw Steyn, the founder of Comparethemarktet.com has paid £63m for a 20,000 sq ft property in Belgravia Square. The property was bought from the estate of Bruce Wasserstein, the Wall St banker who ran Lazard. The Sunday Times, B1

Personal Finance

Almost a third of homes have less than £250 set aside for an emergency, according to research by HSBC. A three month salary cushion should represent an average of £5,756, but 20% of households have no cushion to fall back upon, while 12% have less than £250. With the average current outgoings at £1,669, these savings would last just 5 days. Independent on Sunday, p.95

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