Tata Steel warns of uncertainty over future of UK business

Tata Steel has warned that the fin anc es of its UK bus ines s f ac e "ma ter ia l uncertainty" given market conditions and the level of government support Tata sa id a st res s -tes t of it s European arm to assess the impact of a downturn had flagged concerns for the UK unit

However, Tata Steel UK said it expected trading to pick up later this year The Department for Business said the government is providing support to protect the steel industry from "unfair trade and energy costs"

The UK business of India's Tata Steel employs about 8,000 people, with half at the Port Talbot steelworks in Wales In results published last week, Tata said that earnings at Tata Steel Europe - which includes the UK businessfell by more than 60% in the year to 31 March

It added it had carried out tests to assess the potential impact of an

Shell looking to sell its stake in North Sea oil field

After Lab our acc used the Conservatives of failing to enact 'appropriate windfall taxes ' on en ergy corporati ons, Shell i s looking to sell its part in a contentious North Sea oil fiel d The oil c ompany i s looking for a buyer for its 30 pc holding in the Cambo oil projec t, i ts partner Ithaca Energy said Cambo, which is the second-largest undeveloped oil and gas discovery in the North Sea, has been the focal point of many protests Shell has been rumoured for months to be looking for someone to take over its part The remaining 70 pc of the oil field is owned by Ithaca Energy

In 2021 Shell scrapped its development plans for the project, putting its future into doubt The corporation produced roughly £1 4 billion more in profit than analysts had anticipated in the first three months of the year, with adjusted earnings climbing 5 7 per cent to £7 6 billion

Shadow chancellor Rachel Reeves said: "Shell reports £7 6 bn profits for its first quarter yet the Tories refuse to bring in a proper windfall tax on oil and gas giants to freeze council tax this year, as Labour would "We'll tackle the cost-ofliving crisis, and put working people first " Speaking after Shell's quarterly results, chief executive Wael Sawan said the company wants to be a major investor in renewable power but needed "the right ecosystem to be able to do that"

BA owner raises profit forecast as travel demand rebounds

Due to the high demand for holiday travel, the airline firm said it expects to fly about the same number of people this year as it did prior to th e co ronavirus outbreak This has led to an improvement in the o wner of Br it is h Ai rwa ys ' ful l- ye ar pr of it estimates

British Gas stops using contractors to forcefit prepayment meters

Follow ing cri tici sm of a c on tra cto r's ac tio ns , British Gas said that it will perform any future forced installation of prepayment me tre s d ire ctly Med ia r epor ts re vea led that Bri tis h Gas a gen ts h ad trespassed into the homes of vulnerable persons

A review found there had been "no systemic issues" with prepayment meters (PPMs) fitted under warrant However, it added that in a small number of cases, "things have gone wrong"

British Gas said it was "permanently" ending all activity with the contractor and would bring the

work in-house

As part of its decision to stop offering in-person debt collection services, Arvato stated that its contract with the company had been terminated "by mutual agreement " The ban on force-fitting meters under warrant has now been lifted, but under guidance from energy regulator Ofgem, customers must be given more chance to clear debts and forced meter fittings are banned in homes with residents all aged over 85

All energy suppliers in England, Scotland and Wales have signed up to Ofgem's code of conduct, under which they have to make at least 10 attempts to contact a customer and conduct a "site welfare visit" before a prepayment meter is installed economic downturn in Europe, given factors such as higher inflation and interest rates

These tests found the outlook for the UK business would be "adversely impacted", but it added it was continuing to "implement various measures aimed at improving its business performance and conserving cash"

In July last year, Tata Steel said it would make a decision over the future of the its UK business in the next 12 months One uncertainty hanging over Tata Steel UK is what level of help it could get from the government

The company is still in talks with the UK government over support to switch away from existing steelmaking processes to ones that emit less carbon

Pound hits 11-month high against US dollar

The Br itish po und wa s ste ady a ga in st t he dol la r having hit an 11-month high af ter th e Fe de ral R eser ve raised rates but signalled an end to its tightening cycle

The US central bank raised its benchmark rate by a quarter point but dropped from its policy statement language that said it "anticipates" further rate increases would be needed, sending the dollar lower against other major currencies, including the pound

"It (the pound) has capitalised on the weaker dollar in the wake of the dovish Fed decision," said George Vessey, foreign exchange and macro strategist at Convera Sterling had little changed against the dollar at $1 2567, having hit its highest level since June last year at $1 2593 overnight

The pound was edging higher against the euro ahead of an expected rate increase from the European Central Bank, with the size of the move still up for debate

With about a 20% likelihood of a greater 50 basis point increase, the markets have fully priced in a move of 25 basis points Among the 69 economists queried by the media, 57 predict a quarter-point change, while the remaining 12 predict a 50 basis point increase The euro recently traded at 87 94 pence, down 0 1% from the pound In the meantime, a poll revealed that the UK's services sector experienced its quickest growth in a year in April, helped along by new orders, but company pricing increased, increasing pressure on the Bank of England to continue rising interest rates

International Airlines Group (IAG) reported a first-quarter profit for the first time since 2019, before the travel industry was plunged into chaos by Covid lockdowns It made an operating profit of £7 9m in the first three months of the year

Since the end of most global travel restrictions airlines have been racing to restart routes, with demand for holidays in particular soaring and business travel also recovering, albeit more slowly

British Airways was benefiting from strong demand for leisure travel on long- and short-haul routes, the group said

IAG, which also owns the Spanish flag carrier Iberia and the low-cost carrier Vueling, predicted that capacity will be roughly 97% of what it was in 2019 Its operating profit for the entire year will therefore likely surpass the €2 3 billion it had initially projected

The group returned to full-year profit in 2022 after racking up losses of almost €11bn through 2020 and 2021

First-time house buyers paying £200 a month more for mortgage

Following criticism of a contractor's actions, British Gas said that it will perform any future forced installation of prepayment metres directly Media reports revealed that British Gas agents had trespassed into the homes of vulnerable persons

A review found there had been "no systemic issues" with prepayment meters (PPMs) fitted under warrant However, it added that in a small number of cases, "things have gone wrong British Gas said it was permanently ending all activity with the contractor and would bring the work in-house

As part of its decision to stop offering in-person debt collection services, Arvato stated that its contract with the company had been terminated "by mutual agreement " The ban on force-fitting meters under warrant has now been lifted, but under guidance from energy regulator Ofgem, customers must be given more chance to clear debts and forced meter fittings are banned in homes with residents all aged over 85

All energy suppliers in England, Scotland and Wales have signed up to Ofgem's code of conduct, under which they have to make at least 10 attempts to contact a customer and conduct a "site welfare visit" before a prepayment meter is installed