Lloyds bank set to disinvest stake in esure
Lloyds bank has today revealed plans to sell off its 70% stake in esure at a price which is believed to be in excess of the current book value of £185 million. It is believed that Peter Woods, co-founder and chairman of esure, is to acquire the stake via a new holding company. Those who follow the insurance market may be aware that Peter Woods, originally famed because of his Direct Line insurance creation, set up the esure business with HBOS back in 2001.
However, since HBOS became part of the Lloyds bank group there has been friction between Peter Woods and the Lloyds bank management and the sale of the Lloyds bank stake was expected by many. Esure is a well-known insurance brand in the UK and is also the owner of the infamous Sheilas Wheels brand with its array of striking adverts on the TV.
The company specialises in various niche markets and has made an excellent name for itself with profits topping £38 million in 2008. Quite what Peter Woods has in store for the future remains to be seen but he appears relieved to be on the verge of taking total control of his "baby".
Euro under pressure as unemployment rises
The Euro is today under pressure after news that unemployment in those nations who have adopted the currency rose to nearly 15.9 million. This is the equivalent of 10.1% of the population of the 16 nations involved although the likes of Spain, Ireland and Slovakia have by far and away the highest unemployment rates in the euro zone. The Spanish rate is nearly 20%! As a consequence of the growin...Read More
Standard Life hit by £2.45 million fine
UK investment outfit Standard Life was today hit with a £2.45 million fine after being found guilty of misrepresenting the risks of an investment fund to customers. The £2.2 billion investment fund was investigated by the Financial Services Authority (FSA) after complaints from investors who believed they were investing in cash when much of the fund was actually held in riskier floating rate not...Read More
What have the banks learned about themselves during the recession?
Even though the UK banking system has been knocked from pillar to post, criticised across the board and is ultimately in the firing line of UK regulators it may surprise many to learn that controversially the UK banking sector has shown itself to be stronger than the an amalgamation of the consumer, government and regulators.
It is noticeable that while the UK government and regulat...
FSA stress tests consider worst-case scenario
While the Financial Services Authority (FSA) has refused to reveal the results of various stress tests on the U.K.'s financial sector and financial companies, the FSA has revealed details of its criteria. It is worth while stressing that this is a worst-case scenario, and one which is unlikely to happen, however the FSA used a figure of 12% unemployment, no growth in the economy until 2011, a 50%...Read More
Npower to cut 1,400 UK jobs
28/11/2013 Energy giant Npower which employs 9,600 workers in the UK is to cut 1,400 UK jobs, with a number of these being outsourced to India. The cuts are expected to be in relation to site closures at Peterlee in Durham, Thornaby in North Yorkshire, and Stoke-on-Trent in Staffordshire, however it’s expected that Npower will confirm exact details later on. Npower stated that the reason...Read More