THE LEAKS must be working as the FT today writes that chancellor Gordon Brown "will" announce a revi...
THE LEAKS must be working as the FT today writes that chancellor Gordon Brown "will" announce a review of liability insurance in the wake of sharply rising premiums that have forced thousands of smaller companies into trading illegally because they can no longer afford the cost.
The review follows intense lobbying and the publication of Confederation of British Industry figures showing a windfall to the Treasury of £300m because of the higher premiums being paid.
THE DAILY Telegraph says borrowing is set to soar by up to 55% to £17bn as the chancellor is forced to cut GDP growth figures for 2002 and 2003 by up to 0.5% in his speech today.
However, the paper does not believe taxes are going to be raised "because of a significant surplus built up by the government in recent years.".
Meanwhile, Brown's opposite number in the Tory party Michael Howard says the government is on track to miss about half the 800 spending targets set in recent years, despite the promises of increased spending on public services.
And the Tories are warning that they will continue to include the £100bn in liabilities associated with the private finance initiative in any calculations of government borrowing, which means they believe Gordon Brown is already close to his Golden Rule of not borrowing more than 40% of GDP.
WORLDCOM, THE company that along with Enron has come to signify the limitless greed associated with the final years of the 1990s bull market, has struck a deal with US regulators that should allow the company's new management to salvage what little remains of the business, the FT reports.
The company has admitted no wrongdoing as part of the deal, but it will become subject to a strong set of safeguards, such as use of independent monitoring of its policies and internal auditing procedures, intended to keep it from repeating past mistakes.
The company also still faces substantial fines from the US Securities and Exchange Commission.
THE TIMES picks up the thread it started with a weekend piece on the links between investment bankers, equities analysts and bogus stock recommendations.
On Sunday it ran a story regarding pressure on Goldman Sachs analysts to write positive reports about the bank's investment banking clients, and today it reveals that Deutsche Bank is under further scrutiny in the US over its refusal to hand over incriminating emails.
Similar emails cost Merrill Lynch $100m in fines, and now the Californian financial services regulator wants a similar sum applied to Deutsche, unless it hands over emails that conclusively prove its analysts were pressured into making positive comments about companies.
The Times says the news is going to make the FSA's review of rules governing equities analysts more difficult.
THE SCOTSMAN says that business investment in the three months to September fell faster than at any time since 1965.
The decline means that businesses are spending more than 12% less than they were at the same time last year, and means that investments have been falling for the past six quarters in a row.
Extrapolated to GDP growth figures, the news could cut up to 0.2% of third calendar quarter growth, taking it to just 0.5%, which is below the 0.6% figure recorded by National Statistics for the second quarter.
£300bn of liabilities
View from the front row
Transfer from occupational scheme
Appointed by FCA and PSR boards