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European banks, including Deutsche Bank, HSBC, and Barclays, have helped fossil fuel companies raise over €1trn from global bond markets since the Paris climate agreement, according to an investigation by the Guardian. The paper analysed thousands of transactions since 2016 and revealed that banks continue to profit from the expansion of oil, gas, and coal by supporting the sale of fossil fuel bonds. Sustainable investment campaigners are concerned that banks are offering "hidden" financial support to energy companies responsible for increasing carbon emissions. The investigation focused on bonds issued by energy companies that publicly disclosed their aims to increase fossil fuel production. Germany's Deutsche Bank, Britain's HSBC, and France's Crédit Agricole and BNP Paribas were identified as the top facilitators of fossil fuel bonds in Europe. Campaigners argue that the bond market has become a back door for big polluters seeking financing for their projects.

 

The Guardian

The Financial Conduct Authority (FCA) has issued a warning to cinemagoers about the risks associated with speculative investments driven by hype. The regulator has created a cinema ad tied to Dumb Money, a film centred on the GameStop saga - which saw individual investors buying shares based on web-based message board tips, resulting in volatile share prices and losses for some investors. The FCA's InvestSmart campaign aims to encourage consumers to make better-informed investing decisions and the ad highlights the dangers of investing based on anonymous tips.

 

City AM

Water companies have been ordered to pay back £114m to customers after missing key targets. Regulator Ofwat said firms are "falling short" on performance measures around leakages, supply and reducing pollution. The report saw seven suppliers fall into the lowest category of ‘lagging’, with the remaining ten rated ‘average’. None were considered ‘leading’. Ofwat said that as a result of the review, firms should pay money back to customers through lower bills. Ofwat chief executive David Black said that while any reductions "may be welcome to bill payers, it is very disappointing news for all who want to see the sector do better." Environment Secretary Therese Coffey said Ofwat's report on the industry was extremely disappointing.

 

BBC News

Activists have warned that proposed digitisation of the UK shareholdings system could harm shareholder rights. The Treasury's Digitisation Taskforce has suggested that all retail investors be required to hold shares via an intermediary platform, which has raised concerns among investor groups. Certified shareholders who buy shares directly from a company currently receive paper certificates and have the ability to freely take corporate action. However, investors who use nominee accounts via a platform must go through the platform to exercise shareholder rights. Simon Rawson, deputy chief executive of ShareAction, fears the proposals could make holding companies accountable "virtually impossible" and reduce shareholder activism. ShareSoc and the UK Shareholder Association say the proposals potentially limit the ability of shareholders to communicate, gather support and campaign on issues where they feel the board is not acting in their interest. The taskforce's final report is due next year.

 

Daily Mail

The Independent

PwC Australia will appoint outsiders to its board and publish audited financial statements as part of a governance overhaul following a scandal over the leak of confidential tax documents. The Big Four firm will announce plans to apply some Australian Stock Exchange governance principles, including appointing two non-executive directors and a non-executive chair to its board. The firm will also publish audited financial statements from September 2025. "From the top down we are committed to rebuilding and re-earning the trust of our stakeholders," said chief executive Kevin Burrowes. PwC Australia has been embroiled in a scandal since revelations in January that a former partner leaked confidential government tax plans to colleagues. 

 

Daily Mail

JPMorgan's UK bank, Chase, is banning its 1.6m UK customers from buying cryptocurrencies due to a surge in scams. Highlighting concerns over financial crime, the bank has told customers that “fraudsters are increasingly using crypto assets to steal large sums of money from people.” It added that customers would still be able to make payments through other banks but warned that they may not be able to get their money back. A Chase spokesperson said the bank has seen an increase in the number of crypto scams targeting consumers. Starting from October 16, customers will no longer be able to make cryptocurrency transactions via debit card or outgoing bank transfers. This move follows the restrictions imposed by NatWest, HSBC, and Nationwide earlier this year. The amount of money lost to crypto fraud has increased by 40% in the past year, surpassing £300m for the first time.

 

Daily Mail

The Times

JPMorgan Chase has reached settlements to resolve lawsuits over its alleged dealings with convicted sex offender Jeffrey Epstein. It will pay $75m to the US Virgin Islands, which alleged the bank facilitated Mr Epstein's sex trafficking ring. The settlement is less than half of the $190m the territory had sought. JPMorgan has also settled with former executive Jes Staley, for an undisclosed sum in a confidential agreement. Mr Staley has denied knowing about Epstein's crimes. JPMorgan, which has not admitted to any wrongdoing, said it believed the settlement was "in the best interest of all parties." In June, the bank agreed to pay $290m to resolve claims by a number of Mr Epstein’s accusers. Mr Epstein had been a client with JPMorgan from 1998 until 2013, when the bank terminated their relationship.

 

BBC News

City AM

EY has agreed to terminate a contract with Santander, with the Big Four firm’s anti-financial crime work for the bank having been deemed to be insufficient. EY was hired by Santander’s UK business to help address issues with the bank’s anti-money laundering and financial crime defence systems. Sources claim that EY’s work was “so poor,” it had to offer the bank a £15m refund earlier this year, with it suggested that the project “went badly wrong over an extended period.” It is noted that Financial Conduct Authority last year fined Santander £108m for shortcomings in its anti-money laundering systems between 2012 and 2017.

 

City AM

Financial Times

Clare Cole, director of market oversight at the Financial Conduct Authority (FCA), has blamed negative media coverage of businesses for contributing to a slump in London flotations. Suggesting that journalists could do more to improve the business environment, she said: "We are very negative about our entrepreneurs and our listed issuers." Analysis shows that the amount of capital being raised by companies launching themselves on London's markets fell to £593m in the first six months of this year. In the first six months of 2021, £9.4bn was raised by 47 London offerings. Julia Hoggett, chief executive of the London Stock Exchange, has called for an exploration of why private markets have become such an "incredibly attractive alternative" to public markets.

 

The Times

Abolishing inheritance tax would see the wealthiest 1% of Brits reaping half the benefits, according to economists. The Institute for Fiscal Studies (IFS) warns that scrapping the levy would also result in an annual £15bn deficit in public funds by 2032. Currently, fewer than 4% of estates meet the threshold to pay inheritance tax, but this is predicted to rise to 7% by 2032. However, 47% of the savings from abolishing the tax would go to those with estates worth more than £2.1m. The IFS report, Reforming Inheritance Tax, found that in 2024 the wealthiest 20% of donors would bequeath an average of £380,000 to each child, and pay inheritance tax of about 10% of this amount. The least wealthy 20% of parents would leave less than £2,000 to each child. A spokesperson for the Treasury said: "More than 93% of estates are forecast to have zero inheritance tax liability in the coming years - however, the tax raises more than £7bn a year to help fund public services millions of us rely on daily."

 

Financial Times

Daily Mail

The Guardian

The Sun

The Times

Meta, the owner of Facebook, has paid £149m to surrender the lease on a central London office block after two years. The social media group's UK division is handing back the keys to the eight-storey block near Regent's Park, which it took on in 2021. Meta had lined up an accounting firm to take on the lease, but the landlord, British Land, blocked the deal. Instead, Meta has paid the equivalent of seven years' rent to escape the lease.

 

Evening Standard

The Times

Research from King’s College London shows that just 14% of UK millennials believe work should always come first, compared with 41% in 2009. The study, which is based on surveys from 24 countries, found that 73% of all UK workers believe “work is very or rather important” in their lives. British respondents were the least likely of all those polled to agree with this statement, below the US (80%), Germany (84%), France (94%), Italy (96%) and the Philippines (99%).

 

The Guardian