HSBC’s chairman Douglas Flint has told MPs that banks had lost the right to self rule after the bank set aside £935m to cover penalties in US for breaking anti money laundering laws. Mr Flint added that the overly onerous regulation could force the bank to relocate to another country, however, no decision would be made until 2015. Independent, p52;
HSBC however landed a blow on the government’s plans for a ‘depositor reference’ whereby consumers would have the first call on a bank’s assets in the event of failure. They claim that under new EU regulation the plans were not permitted and that the government should work towards a single position on the issues to avoid an embarrassing climb down. Telegraph, B1
According to research commissioned by London agent Cluttons, the cost of renting a property in London will continue to soar over the next decade by 5% per year. The report found that the supply of housing will keep failing to keep up with the needs of the capital’s workers. City AM, p24
The amount of tax motorists pay on fuel has reached a new high putting pressure on ministers to postpone next year’s duty increase. The research by the Commons Library reports the rise is mainly due to rising oil prices forced up by political tensions in the Middle East, especially over Iran’s nuclear programme. Telegraph, p16
According to Incomes Data Services, earnings of directors at Britain’s top companies rose last year. Total earnings for FTSE 100 directors rose by almost 11% and salaries by 3.5%. Bonuses, however, are reported to have suffered a dip by 4.9%, the first fall since 2008. The report however found that 90% of FTSE 100 companies are adopting a long term incentive strategy prompting short terms losses. Times, p33; FT, p6
*US Election day- Obama V Romney… going to be a nail biter!