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The UK government is keeping the River Thames ‘closely monitored’
The UK government is “closely monitoring” Thames Water and will take action if necessary, as Britain’s biggest water company fights for survival amid sewage scandals, fines and huge debts, the Environment Secretary says. They say they are ready.
Steve Reid told LBC Radio:
We are closely monitoring the situation on the River Thames…the company is still in existence, but if we have to take action we are ready to take it.
The news comes after it emerged that UK water companies could be banned from making a profit under plans to overhaul the system.
The idea is one of the options being considered by a new committee set up by the Department for Environment, Food and Rural Affairs (Defra) amid public anger at the way companies have prioritized profits over the environment. .
Department officials said they would consider forcing the sale of Britain’s water companies to a company that would operate as a not-for-profit. Unlike under nationalization, companies would not be run by the government, but by private companies operating in the public interest.
The not-for-profit model, which is widely adopted in other European countries, pays employees generous salaries and bonuses, with any additional profits returned to the company.
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Deutsche Bank reports profit increase despite slight hit from lawsuits
Deutsche Bank, Germany’s largest bank, reported higher profits in the third quarter despite a smaller-than-expected financial hit from a shareholder lawsuit over its Postbank division. The bank announced that it would resume share buybacks.
Germany suspended further share buyback plans in July after accumulating 1.3 billion euros in legal costs related to the failed takeover of financial giant Postbank more than a decade ago. The group has since settled with 80 plaintiffs, representing about 60% of the lawsuit, reducing its reserves by 440 million euros. However, the provision for credit losses doubled compared to the same period last year.
Investor lawsuits in court in recent years allege that banks have underpaid Postbank. This is putting pressure on German stock prices.
Germany reported pre-tax profit for the July-September period of 2.3 billion euros, up 31% year-on-year, boosted by the release of litigation provisions. Excluding this, profit rose 6% to 1.8 billion euros.
The investment bank’s revenue rose 11% from a year earlier, beating expectations and mirroring gains at U.S. rivals such as JPMorgan and Goldman Sachs.
German CEO Christian Sewing said:
Over the past three months, we have made significant progress in resolving legacy litigation matters and achieved record third quarter profits in our operating businesses.
However, the retail division’s revenue, which includes Postbank, was flat, while the corporate bank’s revenue fell by a worse-than-expected 3%.
Deutsche Bank in Brussels. Photo: Eve Herman/Reuters Share
Lloyds shares rose 0.7% after the results beat expectations.
Richard Hunter, head of markets at Interactive Investor, said:
Lloyds has started the quarterly reporting season on a low note, but there are signs of momentum building as the year progresses…
Overall, while these results are not encouraging, they provide great reassurance that Lloyds continues to move in a positive direction towards a more streamlined digital business, supported by a strong financial position. There is good potential for core mortgage income to increase due to entry into other income streams such as credit cards and insurance, and the group’s confirmation of its year-end target is evidence that the bank remains on track. .
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Introduction: Trump Trade Fuels Dollar Rise, Gold Hits Record High. Lloyds beats profit forecasts
good morning. Welcome to our regular coverage of business, financial markets and the global economy.
The dollar strengthens on strong economic data and investors’ bets that Donald Trump will win next month’s presidential election, while gold prices hit a record high amid heightened geopolitical tensions in the Middle East. Updated value.
The dollar is rising again today as markets reduce the chances of a second Trump administration. The currency was also boosted by strong U.S. jobs data earlier this month that prompted investors to dial back expectations for Federal Reserve interest rate cuts. The dollar index, which measures the value of the U.S. currency against six other major currencies, rose to 104.17, its highest since early August.
Gold prices hit a new record as the Middle East conflict, as well as uncertainty surrounding US interest rates and the US election, stimulated demand for safe-haven assets.
Spot gold rose to $2,752 per ounce, while silver prices also rose 3% to $34.78 per ounce.
Here, Lloyds Banking Group, Britain’s biggest mortgage lender, predicted a rise in house prices after announcing better-than-expected third-quarter profits. CEO Charlie Nunn credited revenue growth, cost discipline and strong asset quality.
Statutory pre-tax profit for the July-September period was £1.8bn, down from £1.9bn in the same period last year, but ahead of City’s forecast of £1.6bn.
The bank said it expects UK house prices to rise by 3.1% this year, up from its previous forecast of 1.9%.
agenda
Noon BST: US MBA Home Loan Application
2:45pm BST: Bank of Canada interest rate decision
3pm BST: European Central Bank President Christine Lagarde’s speech
3pm BST: Eurozone Consumer Confidence Bulletin for October
3pm (BST): September US home sales.
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Updated to 03.38 EDT
