Skip Header
Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

Sunday newspaper round-up: Sunak, UK sovereign debt, Marks & Spencer

(Sharecast News) - Rishi Sunak has confirmed he is in the running for the leadership of the Tory party, having failed to reach a deal with Boris Johnson overnight. The former Chancellor, who had won the backing of 130 Tory MPs, said: "The UK is a great country but we face a profound economic crisis. The choice our party makes now will decide whether the next generation of British people will have more opportunities than the last. That's why I am standing to be your prime minister and the leader of the conservative party. I want to fix our economy, unite our party and deliver for our country." - The Sunday Times Moody's lowered its outlook on the UK sovereign debt rating from 'stable' to 'negative' on account of what it said was political instability and elevated inflation. The ratings agency adduced "heightened unpredictability in policymaking amid weaker growth prospects and high inflation", as well as "risks to the UK's debt affordability from likely higher borrowing and risk of a sustained weakening in policy credibility." The country's sovereign debt rating was nonetheless unchanged at Aa3, thanks to the UK's economic resilience, in spite of the "weakening in fiscal policy predictability in recent years", together with its longstanding and strong institutional framework, which was helped by the very long average maturity of its debt of approximately 15 years and deep domestic investor base. - Guardian

Marks & Spencer's boss, Stuart Machin, is planning to accelerate the roll-out of Ocado, its food delivery business, as competition with rival grocers, including Waitrose and Sainsbury, intensifies sharply. His goal is to increase M&S's share of the UK food market in stores and online by a quarter. As part of the strategy, company executives want all of M&S's range of foods to be available through Ocado's website, up from 75% at present, including more items from its 'Remarkable' range of value products. The strategy also looks to make the most of Ocado's new distribution centres. - Financial Mail on Sunday

Labour MP, Sir Mark Hendrick, has tabled a Bill to keep mutuals from being bought out by private equity outfits and milked for their cash. The Co-operatives, Mutuals and Friendly Societies Bill is scheduled for a second reading this week. Amongst others, it would help the likes of LV, which is owned by its members, to tap external investors for cash if necessary. - Financial Mail on Sunday

Elimination of homebuilding targets will reduce economic activity in the UK economy by £17bn and cut vital tax revenues to the Treasury, according to major developers. In a letter sent to the Office for Budget, Responsibility, the spending watchdog, the annual number of new homes built will plummet by 100,000 to just 140,000 - the least since the 2008 financial crisis - as a result of dropping those targets and likely make plugging the £70bn hole in the public finances that much harder. - The Sunday Telegraph

Share this article

Related Sharecast Articles

Friday newspaper round-up: Paramount Global/Skydance Media, farms, River Island
(Sharecast News) - The Federal Communications Commission approved the merger between Paramount Global and Skydance Media on Thursday, clearing the way for an $8.4bn sale of some of the most prominent names in entertainment, including the CBS broadcast television network, Paramount Pictures and the Nickelodeon cable channel. The FCC agreed to transfer broadcast licenses for 28 owned-and-operated CBS television stations to the new owners after Paramount paid $16m to settle a lawsuit filed by Donald Trump over a 60 Minutes interview with former vice-president Kamala Harris that aired in October. - Guardian
Thursday newspaper round-up: UK car manufacturing, River Island, Tesla
(Sharecast News) - British car and van manufacturing slumped in the first half of the year to its lowest since 1953 outside the Covid pandemic, as Donald Trump's US tariffs caused global industry chaos. UK vehicle manufacturing declined by 12% to 417,200 units in the first six months of the year, figures from the Society of Motor Manufacturers and Traders (SMMT), a lobby group, show. - Guardian
Wednesday newspaper round-up: Tariffs, UK banks, Eurostar...
(Sharecast News) - Donald Trump said the US had agreed the terms of a "massive" trade deal with Japan that will impose 15 per cent tariffs on goods imported into America from the world's fourth-largest economy. The 15 per cent levy is lower than the 25 per cent he had threatened in a letter earlier this month, but higher than the 10 per cent rate that had been in force while the countries negotiated. Financial Times
Tuesday newspaper round-up: Sizewell C, State pensions, Gaza
(Sharecast News) - Ed Miliband has given final approval for the construction of Sizewell C nuclear power station at a cost of at least £38bn. The Energy Secretary took the final investment decision on the controversial power station on Tuesday. The site will take at least a decade to build. The Suffolk nuclear plant will have a capacity of about 3.2 gigawatts, enough to supply the needs of about six million homes for at least 60 years. - Daily Telegraph

Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

Award-winning online share dealing

Search, compare and select from thousands of shares.

Expert insights into investing your money

Our team of experts explore the world of share dealing.