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UK's flag carrier, British Airways (BA) is planning to slash hundreds of more flights for holidaymakers in July as the travel chaos intensifies.

According to the Telegraph, BA will scrap flights for up to 105,000 holidaymakers this month on popular routes ahead of the Summer holiday period.

The UK's biggest airline has told airport slot authorities that it is grounding more than 650 flights from Heathrow and Gatwick airports in an effort to avoid a repeat of June's travel chaos.

Over 76,000 seats are being axed from Heathrow and 29,400 from Gatwick on flights to more than 70 tourist hotspots including Malaga, Ibiza, Faro, Palma and Athens affected, according to reports.

https://uk.finance.yahoo.com/news/ftse-100-uk-national-rail-strike-075651928.html

JP Morgan expects UK CPI inflation to come close to 11% year-on-year at this point, confirming the UK economy' "cyclical prospects are still grim - and indeed, project as the second-lowest in G10 on a cumulative-growth basis over the next six quarters through 2023 ".

"So while the BoE has signalled a willingness to speed up its rate hiking – possibly in August with 50bps – the trade-offs that have until this point warranted a more gradual pace of hikes look set to persist, and so long as that’s the case, GBP should continue to trade dislocated from nominal policy," says Meggyesi.

Lloyds shares are tipped to rise more than 65% as analysts at Credit Suisse reckon the upside from higher interest rates is being underappreciated by the market

https://www.proactiveinvestors.co.uk/companies/news/986615?utm_source=izooto&utm_medium=push_notifications&utm_campaign=Analyst%20stock%20pick%20test%20-%20Lloyds

FTSE 100 seen slightly higher ahead of Tuesday’s open
It's been a quiet overnight, and London's blue-chip benchmark is now seen around 16 points higher ahead of Tuesday's open

Yorkshire Building Society takes second place in the best-performing table, up from third, with a score of 5.18; the bank tops the table in operational efficiency. NatWest follows in third place, with a score of 5.11, making a big leap from last place in 2021. The bank’s rise can be explained by its top position in asset quality.

Barclays and Coventry Building Society remain in fourth and fifth places, with scores of 5.09 and 5.08, respectively. Investec Bank, last year’s best-performing UK bank, has dropped to sixth place with a score of 5.04. Investec Bank has seen its positions in return on risk and asset quality fall from third to eighth and fourth to eighth, respectively.

Virgin Money moved up one position to seventh with a score of 5.03, and Nationwide Building Society takes eighth with a score of 4.98. HSBC, the UK’s largest bank by Tier 1 capital, and Standard Chartered round off the top ranking, with the former dropping from second and the latter falling from seventh. HSBC ranks towards the end of the table for many categories, except liquidity and leverage. HSBC’s pre-tax profit stood at $18.91bn in 2021, narrowly missing forecasts of $19.1bn, while revenue fell 2% to $49.6bn.

In the Tier 1 capital country ranking, Standard Chartered moves up to fourth place, pushing NatWest down to fifth. Meanwhile, Yorkshire Building Society moves up to eighth, with Coventry Building Society and Investec Bank entering the top 10 ranking in ninth and 10th spots, respectively.

The UK’s banks had a strong year in 2021, but this year will be far more challenging with the economic slowdown and the impact of inflation. Nevertheless, there is reason to be bullish, with S&P forecasting moderate loan book growth in 2022 and 2023 for UK banks.

The UK economy recovered strongly in 2021 with growth of 7.4%, following a contraction of 9.8% in 2020. The UK’s largest banks also showed strong results, posting a significant increase in profits compared to the previous year.

Lloyds Banking Group is this year’s best-performing UK bank from the country’s 10 largest lenders, with an overall score of 5.27, up from sixth place last year. Contributing to its rise is its strong performance in profitability and return on risk, where it is ranked first. In 2021, Lloyds Bank reported a pre-tax profit of £6.9bn, far higher than the £1.2bn from the previous year as the UK economy rebounded faster than expected from the pandemic. The bank’s results received a boost from the release of £1.2bn of provisions it had taken against bad loans.

The UK’s largest lenders posted pre-tax profits of $55.1bn (£45.6bn) last year, slightly higher than the $54.8bn (£45.3bn) registered by French banks, according to The Banker’s annual top 1,000 world bank ranking.

This is the first time since 2015 that UK banks have beaten their French competitors.

Most of Britain’s high street lenders came in the top 100. Barclays finished 24th, Lloyds came 42nd and NatWest ranked 53rd.

Lloyds registered the largest surge in profits of all the UK banks, raking in a near six fold increase.

https://www.cityam.com/uk-banks-profits-surge-past-french-rivals-for-first-time-since-before-brexit-vote/

FTSE 100 was expected to rally after US markets perked up at the end of last week.
Financial spread betting firms were pencilling in gains of around 63 points

The Department for Transport has assured it was speeding up the process to give aviation staff security clearance while disruption continues at UK airports. Counter-terrorism checks are now being processed in 10 days on average – half the time it took in March

Strike dates to be released Monday looks like the first walk out could be next week

Thousands of travellers heading through Heathrow were today left to endure the latest scenes of chaos hitting Britain's beleaguered airports after flights were delayed due to a fuelling issue.

A 'technical fault' with the airport's Jet A-1 fuel system shortly before 2pm meant dozens of outbound planes were unable to leave the tarmac for over an hour at the UK's busiest travel hub on Saturday.

https://www.google.com/amp/s/www.dailymail.co.uk/news/article-10976025/amp/Fresh-chaos-Heathrow-fuel-glitch-means-flights-GROUNDED-amid-summer-holiday-nightmare.html

There's to much uncertainty about in market, strike dates still to be announced for July and August

RNS block listing interim review

Lloyds Banking Group Share Incentive Plan (formerly Lloyds TSB Group Shareplan) more shares added to the pot, wipes out any gains made from buybacks

Government and bosses have tried to blame the travel chaos on lockdowns, but it's really the result of airlines cutting costs and attacking their workers – the same reason BA staff are taking strike action.

https://tribunemag.co.uk/2022/06/airport-chaos-is-caused-by-corporate-greed

Hopefully this is the last buyback Lloyd's does as when Charlie took over the reins the share price was 45.63p today we're still 5% down

Duncan Brock, Group Director at the Chartered Institute of Procurement & Supply:

“The manufacturing sector managed to hold steady last month and remained just above the no-change mark whilst delivering some sluggish results at the same time. New order levels fell for the first time since January 2021 and interest particularly from export markets faded away for the fifth month in a row.
“Supply chain managers reported that ports and paperwork were their undoing in June with Brexit a thorn in the side of manufacturers combined with weaker domestic demand, inefficient performance in supply chains and an overall shaky UK economy. The consumer goods sector took the brunt of the shortfall overall as the mounting cost of living crisis affected spend for manufactured goods. One bright spot remained job creation as businesses played catch-up after lockdowns and disruptions but hires will soon reach peak levels without a steady pipeline of work to keep the machines turning.
“As the energy in the sector leeched away, so did optimism which fell to its lowest since May 2020 where only 47% of respondents were hopeful about the next 12 months. The manufacturing sector may not be the biggest in terms of the UK’s GDP contribution, but its importance may become more critical in the coming years and it needs a better trading environment than 2022 has offered so far.”

Commenting on the latest survey results, Rob Dobson, Director at S&P Global Market Intelligence, said:

“UK manufacturing output growth ground to a near standstill in June, as intakes of new work contracted for the first time since January 2021. Domestic market conditions became increasingly difficult and foreign demand fell sharply again, stifled by Brexit, transport disruption, the war in Ukraine and a global economic slowdown. Business confidence took a hit as a result, dipping to its gloomiest since mid-2020. Jobs growth also slowed sharply amid the increasingly uncertain outlook and recent surge in energy costs.
"The consumer goods sector was especially hard hit, as household demand suffered a steep retrenchment on the back of the cost-of-living crisis.
"There were some welcome signs that supply-chain constraints and cost inflationary pressures may have passed their peaks. However, with these constraints still elevated overall and demand headwinds rising, it is likely that UK manufacturing will see the economic backdrop darken further in the second half of the year.”

CIPS UK Manufacturing PMI

UK manufacturing slowdown continues as business optimism dips to lowest level in over two years

Key findings
Output growth slows to near-stagnation pace...
...as new order intakes fall for the first time since January 2021
Price inflation remains elevated despite further easing
The slowdown in the UK manufacturing sector continued at the end of the second quarter, as June saw output growth grind to a near-standstill pace and new orders contract for the first time in 17 months. Business optimism dipped to its lowest since May 2020, as the number of firms expecting production to rise over the coming year fell to 47% (from 55% in May).
The seasonally adjusted S&P Global / CIPS UK Manufacturing Purchasing Managers’ Index® (PMI®) fell to a two-year low of 52.8 in June, down from 54.6 in May. The PMI has remained above the 50.0 mark since June 2020.
Manufacturing production rose for the twenty-fifth consecutive month in June. However, the rate of expansion was the weakest during the current upturn. Performances differed widely across the sector. Consumer goods producers saw a marked downturn in output, while robust expansion was again registered in the investment goods industry.

https://www.pmi.spglobal.com/Public/Home/PressRelease/cb424269550e48c9bbd7d2cbca55fa7f

Recession talk is the main cause and Wells Fargo yesterday predicted that would occur in the US next year with the UK to follow soon after.

“With the US economy, in our view, now expected to fall into recession in 2023, we also expect the UK to experience an economic recession by early next year.”

FTSE 100 indicators were pointing towards another fall at the open to add to the beating the blue-chip index took on Thursday.
spread bet firms are pencilling in another 41 points drop