Member Info for MY21

Stagecoach sales hurt by London traffic Transport group focusing on growing earnings from bus routes where earnings come from fare-paying passengers amid cutbacks to concessionary prices

Estate agent Savills expects average UK house prices to rise by a whopping 25.7 per cent over the next five years, up from its original forecast of 25.2 per cent. For 2014 alone, Savills has raised its original forecast for house price growth from 6.5 per cent to 9.5 per cent. The biggest change is in London, where Savills has revised its original forecast from 8.5 per cent to 15 per cent for 2014. Over the next five years, Savills expects London house prices to grow 24.4 per cent. The South East, South West and East of England are all forecast to show double-digit growth in 2014. Notably, all three regions are expected to show stronger growth over five years than London, as a flow of buyers continues leave the capital for more affordable housing. House prices in the South East are tipped to grow 31.6 per cent, while the South West is expected to grow by 29.9 per cent between 2014 and 2018. The East of England is forecast to grow 31.1 per cent during that time. Savills UK head of residential research Lucian Cook says: “House price growth in the mainstream market has been underpinned by record low interest rates, rising loan-to-income lending and pent up demand from buyers re-entering the market as the economy and consumer sentiment have improved. “But these extraordinary rates of house price growth cannot continue in the current, more regulated mortgage environment, particularly in the face of likely interest rate rises.” Data from the Office for National Statistics released last week showed the rate of UK house price inflation slowed slightly in June although prices were still up 10.2 per cent on an annual basis.

U.K.’s property millionaires set to hit 500,000: Almost 500,000 homeowners in the U.K. are now part of the so-called property millionaires club after an explosion in the number of houses valued over £1 million during the past year.

London housing market put into reverse gear by surge in supply: The number of new houses being put up for sale in London is increasing at a rate more than three times the national average as homeowners look to cash in on the surge in property values in the capital.

Roche: bets on discovery: Last week, Roche was reported to be chasing efficiency, by buying the part of Chugai that it did not already own. Now the Swiss-based pharmaceuticals company has gone the other way. It has agreed to buy U.S. biotech company InterMune for more than $8 billion to get its hands on Esbriet, the only drug that slows the progression of a deadly lung disease, idiopathic pulmonary fibrosis. Roche has the money. The $8.3 billion price tag is less than a year’s free cash flow. But just because you can do something does not mean you should. Roche will be paying $74 a share in cash, a 40% premium to the undisturbed price (before February’s trial results for Esbriet, the shares changed hands at $14). Can Esbriet do as well? InterMune estimates there are 55,000-78,000 IPF patients in North America. In Europe alone (where Esbriet has been on the market since 2011), there are 80,000-110,000 sufferers. A year’s supply of Esbriet has a list price of more than $40,000. The market in those two regions alone could be worth $5 billion or more every year. But it will take until 2022 to build to that level, at which point Esbriet’s patent protection begins to lapse. Roche has bought a product with no competitors, set to grow fast. It has paid for all that potential in advance.

This was in the Financial Times:‘Pfizer is considering its acquisition options as a potential path opens this week for the US drugmaker to renew its pursuit of AstraZeneca. Tuesday marks three months since the collapse of Pfizer’s £69.4bn takeover approach for Britain’s second-biggest… Speculation about a possible new bid has lifted AstraZeneca’s shares by 7.5 per cent in the past week to £44.18 but they remain well below the £55 per share cash and stock Pfizer offer rejected in May’

Data from estate agent group Sequence says new houses on the market increasing three times faster than new buyers

Richard Griffiths emerges as investor in Cupid: City financier Richard Griffiths emerged as a significant shareholder in Edinburgh dating site business Cupid.

WPP advertising profits hit by Ukraine crisis: Global advertising giant WPP’s earnings will be hit by the ongoing crisis in the Ukraine, Chief Executive Sir Martin Sorrell warns.

London house price boom makes Foxtons hot property as profits are set to rise by nearly 20%: Upmarket estate agency Foxtons will this week reveal a double-digit profits rise as it continues to reap the rewards of London’s property boom.

Hundreds of jobs hit as Homebase shuts more stores amid mounting speculation it may sell the business: Homebase has accelerated its programme to close unprofitable shops amid mounting speculation that it may sell the business.

London falling? The capital's housing boom may not be finished yet: A seemingly unstoppable London housing market, powering activity that ripples out through the south-east; select boroughs in the capital seeing prices soar by a third in a year – it could all have come to a stuttering halt in August.

As fares go up again, what do Britain's rail users get for their money?: Before commuters have kissed summer goodbye, the chill winds of January's fare rises are blowing down the tracks. The latest inflation figures mean ticket prices will rise by 3.5% in 2015, more than double the rate of consumer price inflation and nearly six times as fast as growth in wages. It has once again raised the question of whether travellers and taxpayers get value for money on the railways. Just what are Britain's passengers paying for?

Fresh inquiry into 'unjustified' hidden fund charges: Investors are hit by “unjustified” hidden charges that should be spelt out by fund managers, a financial watchdog has said. The Financial Services Consumer Panel, an independent body which represents consumers to the Government and the City regulator, has initiated an inquiry into fund fees.

City poised for wave of flotations after summer lull: The City is gearing up for another float frenzy with a wave of listings expected to be unveiled immediately after the summer lull. In the coming weeks, a raft of household names including Jimmy Choo, the upmarket shoe brand; the RAC, the breakdown service; and United Biscuits, are preparing to announce plans to go public.

Marston’s turns to hotels for growth: Pub group and brewer Marston’s is expanding its fledgling chain of hotels, becoming the latest company in the industry to turn to accommodation for growth.

Property portals hand control to homeowners: One of Britain’s least popular professions, the high street estate agent, is facing a shake-up as the digital revolution finally reaches the business of selling and renting bricks and mortar.

Balfour polishes hidden jewels to soothe City: Balfour Beatty is to embark on a City charm offensive to appease disgruntled investors — including a hike in the value of its book of infrastructure investments — after the collapse of merger talks with smaller rival Carillion.

BG primed to sell Tanzania gas field stake: Oil giant BG Group has quietly begun looking for a buyer for part of its prized Tanzanian operation.

Rosneft defies sanctions with Norwegian deal: Rosneft, the heavily indebted Russian oil company, has taken a 30% stake in North Atlantic Drilling in defiance of western sanctions.