Bob Diamond defends risk-taking banks

  • 13 September 2018
  • From the section Business
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Media captionBarclays' former boss Bob Diamond defends the bank

Former Barclays boss Bob Diamond has said he fears banks have become too cautious about taking risks.

Mr Diamond told me the risk-averse culture means they can't support the economy and generate jobs and growth.

Ten years on from the collapse of Lehman Brothers he believes the appetite for risk taking within banking may have swung too far the other way.

"If they are totally without risk, they are not helping create jobs and economic growth," he said.

"The culture of banking now is that if anyone makes a mistake they get fined - or the bank is in trouble.

Read full article Bob Diamond defends risk-taking banks

Gordon Brown in dire warning about the next financial crisis

  • 13 September 2018
  • From the section Business
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Media captionGordon Brown says we are sleepwalking into another financial crisis

The world is not ready to deal with another financial crisis, former Prime Minister Gordon Brown has told the BBC.

A breakdown in international co-operation means nations would be unable to act in a concerted way to tackle future threats - which are many.

Read full article Gordon Brown in dire warning about the next financial crisis

Lord Mervyn King attacks 'incompetent' Brexit approach

  • 5 September 2018
  • From the section Business
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Media captionLord King laments Brexit 'incompetence'

Former Bank of England governor Lord King has blasted Brexit preparations as "incompetent".

The Brexit supporter said it "beggared belief" that the world's sixth-biggest economy should be talking of stockpiling food and medicines.

Read full article Lord Mervyn King attacks 'incompetent' Brexit approach

Pester had been 'dead man walking'

  • 4 September 2018
  • From the section Business
Paul Pester Image copyright Getty Images

On Thursday 19 April I received a bubbly email from TSB reminding me that this was the weekend when it would finally make the switchover from the Lloyds IT platform to its very own "state of the art IT platform".

TSB was carved out of Lloyds after the merger between Lloyds and HBOS to satisfy competition concerns.

Read full article Pester had been 'dead man walking'

Funding Circle leads the firms taking on traditional banks

  • 3 September 2018
  • From the section Business
Samir Desai, chief executive and co-founder of Funding Circle Image copyright Funding Circle
Image caption Samir Desai, chief executive and co-founder of Funding Circle

The year is 2010. UK banks are on life support after their near-death experience in the crisis. After the worst recession for nearly forty years, lending to small businesses was not a top priority.

It was in these circumstances that the idea for Funding Circle was hatched by Samir Desai, James Meekings and Andrew Mullinger: let companies borrow from ordinary investors, other firms, not the traditional banks.

Read full article Funding Circle leads the firms taking on traditional banks

Why Wonga has run into trouble

  • 30 August 2018
  • From the section Business
Wonga screeen Image copyright PA

The average payday loan is £250. The interest Wonga receives on that is an average of £150.

But the lender is facing a wave of compensation claims and the cost of processing each of them - whether the borrower's claim is up held or not - is £550.

Read full article Why Wonga has run into trouble

Elon Musk is playing a dangerous game

  • 8 August 2018
  • From the section Business
Tesla Model 3 Image copyright Tesla
Image caption Tesla reported a record loss in its most recent quarter

Elon Musk had better have the money lined up to take Tesla private or he could be in serious trouble with regulators.

There is never a dull moment with the mercurial Mr Musk, but he excelled himself on Tuesday, stunning the markets by tweeting that he was considering taking the company private by buying publicly available shares for $420 each - a significant premium to the $340 they were trading at before he dropped his bombshell.

Read full article Elon Musk is playing a dangerous game

Firms face legal risk over Iran sanctions

  • 7 August 2018
  • From the section Business
A mural painted on the outer wall of the former US embassy in Tehran, Iran Image copyright AFP
Image caption A mural painted on the outer wall of the former US embassy in Tehran, Iran

European banks that deny companies access to dollar-based bank accounts because of US sanctions against Iran could find themselves being sued by their own customers.

This potentially puts international banks between a big rock and a very hard place.

Read full article Firms face legal risk over Iran sanctions

Interest rates: The rise is all about your wages

  • 2 August 2018
  • From the section Business
payslip Image copyright Getty Images

Why has the bank raised interest rates? Look no further than your payslip.

After five years of pay growing at a measly average of 1.75%, pay rises are now running at an average of 2.75% and are expected to go higher.

Read full article Interest rates: The rise is all about your wages

Why interest rates are going up

  • 1 August 2018
  • From the section Business
Mark Carney Image copyright PA

Interest rates seem to have been at rock bottom forever. It's been ten years of hell for savers - and heaven for borrowers.

The so-called "smart money" says it's a racing certainty that interest rates will be raised above 0.5% for the first time in a decade on Thursday. The financial markets give it a 90% chance of happening.

Read full article Why interest rates are going up