HEADLINES IN BRIEF:CAMERON WARNING, VATICAN BANKING CRITICISM, MORE UK BANK PROBLEMS, WARNING OF PERFECT STORM AND THE LATEST IN BRA NEWS.
DAILY TELEGRAPH
CAMERON: AUSTERITY WILL LAST UNTIL 2020
By Robert Winnett, Political Editor
David Cameron doesn’t “see a time” when the government’s austerity programme will end and is poised to extend public spending cuts until 2020. In an interview with The Daily Telegraph, Mr Cameron says that he now expects the crisis in the eurozone to drag on for years, blighting the British economy. Mr Cameron insists that he still wants to cut tax but that any reductions would have to be funded by even greater public spending reductions.
THE SUN
ARE BANKS DODGY? AM I A CATHOLIC? - CASH SCANDAL HITS VATICAN
By STEVE HAWKES, Business Editor
A report highlighted serious failings at the Vatican Bank — the Institute for Works of Religion,. Moneyval, a department of the Council of Europe, gave Pope Benedict XVI’s bankers a black mark in almost half of a “transparency related” scoresheet. It slammed the Vatican Bank for a lack of independent supervision. Senior management lacked “fit and proper criteria”. And there were failings in monitoring customers and the reporting of suspicious transactions.
CITY AM
GREEN CAUGHT UP IN HSBC SCANDAL
By James Waterson
Government minister Lord Green was last night dragged into the scandal surrounding HSBC after the Labour party said the peer has “serious questions to answer” regarding his time in charge of the bank. Green was chief executive of HSBC between 2003 and 2006, then chairman until 2010. During this period some of HSBC’s clients were involved in routing funds through drug cartels, terrorists and renegade states, according to a US Senate investigation that released its findings this week.
FINANCIAL TIMES
RATE PROBE TURNS TO FOUR MAJOR BANKS
Regulators are focusing on at least four of Europe’s biggest banks as they investigate the attempted manipulation of the region’s benchmark interest rate, suspecting that Barclays’ traders were the ringleaders of a circle that included Crédit Agricole, HSBC, Deutsche Bank and Société Générale. Evidence of links between traders at all four banks and Barclays’ former euroswaps trader Philippe Moryoussef is under scrutiny, people involved in the process have told the Financial Times.
GUARDIAN
MARKS & SPENCER LAUNCHES BANK CURRENT ACCOUNT
By Patrick Collinson
Marks & Spencer says 21 million visit its stores at least once a week including 12 million 'core shoppers' it hopes to convert into bank account customers. But rather than take on the big four high-street banks, it is offering a deal charging £15 to £20 a month targeted at the store's devoted shoppers. The first in-store bank branch will open inside Marks & Spencer's flagship outlet at Marble Arch in London this week, with a further 49 planned across the UK over the next two years.
THE SCOTSMAN
BANK OF ENGLAND ADMITS GROWTH FORECASTS COULD FORCE CUT IN INTEREST RATE
By GARETH MACKIE
The Bank of England yesterday said it was prepared to cut interest rates further if a raft of other stimulus measures, such as its funding for lending scheme, fail to lift the UK’s beleaguered economy. With inflation falling and little sign of a near-term economic recovery, the Bank’s monetary policy committee (MPC) voted earlier this month to print an extra £50 billion of fresh money through its quantitative easing (QE) programme. The International Monetary Fund (IMF) warned this week that the UK economy is now expected to grow by just 0.2 per cent this year – down from its previous forecast of 0.8 per cent.
DAILY MAIL
ECONOMIST WARNING OF A GLOBAL 'PERFECT STORM' IN 2013
'Dr Doom' economist Nouriel Roubini has renewed his warning of a global 'perfect storm' next year as the eurozone crisis deepens, geopolitical risk grows and economies over the world slow down or come to a halt. Roubini, one of the few to predict the 2008 financial crisis, identified five factors that could derail the global economy in 2013.
DAILY EXPRESS
PROOF WE DON'T NEED TO BE IN EU
By Alison Little
Britain sent a defiant message to Europe yesterday after it emerged our trade is booming with the rest of the world. We are exporting more goods to non-EU countries than those in the economic bloc for the first time in 40 years, figures showed.
WWW.BBC.CO.UK
EBAY SEES SECOND QUARTER INCOME DOUBLE
Online retailer and auction site eBay has said its income doubled in the second quarter after higher revenue from its PayPal payment business. Income from its e-commerce websites was also higher. EBay reported net income of $692m (£442m) for the three months to the end of June, up from the $283m the company made in the same period a year earlier.
…. AND FINALLY ….
DAILY TELEGRAPH
AUSTRIA FINDS 15TH CENTURY BRAS
A revolutionary discovery is rewriting the history of underwear: Some 600 years ago, women wore bras. The bra is commonly thought to be little more than 100 years old as corseted women abandoned rigid fashions and opted for the more natural look. One of the mediaval bras that archeologists found dating from the Middle Ages in an Austrian castle
