UK interest rates on hold amid business uncertainty
On Thursday, the Bank of England kept interest rates on hold amid growing uncertainty amongst businesses over Brexit. The Bank's Monetary Policy Committee (MPC) voted 9-0 to leave rates unchanged at 0.75%. The financial markets are indicating that rates will not rise until after the UK leaves the EU next March. The Bank has detected rising uncertainty among businesses over the last three months, which is curtailing their investments.
Full story: https://www.bbc.co.uk/news/business-46060460
Jaguar Land Rover makes loss as sales slide 13%
Sales of Jaguar Land Rover cars have fallen sharply, taking the firm into a loss for the three months to the end of September. The firm blamed lower sales in China for the decline, as well as uncertainty in Europe over diesel and Brexit. Jaguar Land Rover made a pre-tax loss of £90m for the quarter, compared to a profit for the same period a year ago. JLR said as a result, it was launching a "far-reaching" cost-cutting programme to improve profitability. Jaguar Land Rover said the £2.5bn turnaround programme would include reducing investment and taking out inventory and working capital.
Full story: https://www.bbc.co.uk/news/business-46045334
The Financial Times
Volvo to start shipping self-driving cars to Uber next year
Volvo will begin shipping vehicles to Uber for self-driving use next year, in spite of delays to the testing programme following a fatal accident, the chief executive of the Swedish carmaker said. Speaking as Volvo announced a deal to develop electric cars with Baidu for use in a Chinese autonomous taxi fleet, Hakan Samuelsson said Volvo’s existing deal with Uber was “back on track”. The companies struck a deal last year to sell up to 24,000 XC90 sports utility vehicles to the ride-hailing group, which Volvo and Uber engineers would fit with self-driving systems.
Petrol and diesel facing ban in City
Petrol and diesel cars could be banned from some of the busiest streets in Britain under new plans outlined today. The City of London Corporation, the local authority for the capital’s financial district, has published plans to allow only ultralow-emission vehicles to use the streets to cut pollution.
Under the trial measure, drivers of petrol and diesel cars would risk £130 fines if they breached the ban. The measures will initially be introduced on the south end of Moor Lane, near Moorgate station, as part of a pilot scheme before possibly being expanded across the Square Mile. A consultation into the plans suggests introducing the emissions controls round the clock. An alternative would impose restrictions from 7am to 11pm during the working week. The change would be made from April.
Car and house insurance faces FCA probe
The City regulator is to investigate how home and car insurance policies are priced after finding "hidden" discrimination between customers. The Financial Conduct Authority (FCA) will study the scale of the issue, whom it affects, and possible solutions. Insurance customers may pay different prices depending on how loyal they are, their age, and whether they are online. Marital status, home postcode and employment status may also have a hidden effect on price, the FCA said. Citizens Advice has already warned loyal customers are being "ripped off".
Full story: https://www.bbc.co.uk/news/business-46042087
The Daily Mail
Vauxhall recalls another 47,000 Zafiras over safety fears - just three years after calling back 234,000 of the family cars due to 'fire risk'
Vauxhall are recalling 47,000 Zafiras that were excluded from a previous recall three years earlier which was meant to protect the vehicles from 'the risk of fire'. Some of the cars being called back are 13 years old, leaving owners wondering what took the company so long to recall them. Between 2015 and 2016 Vauxhall, who were investigating 161 Zafira B fires, called back 234,000 models in two separate recalls due to rising safety concerns. Models with electronic climate control were excluded, but 47,000 of the Zafira B, constructed between 2005 and 2014 and fitted with the climate control, are set to be recalled on Friday to replace the heater blower motor and regulator, ITV reported.