WELCOME to scotsman.com's Scottish Business Briefing. Every morning we bring you a comprehensive round-up of all news affecting business in Scotland today.
BANKING & INSURANCESale collapse leaves RBS reelingThe decision by National Australia Bank to pull out of a deal to buy ABN Amro's Australian and New Zealand business has ratcheted up investor concern at Royal Ba
nk of Scotland. The Edinburgh banking giant had hoped to push through the mooted £400 million deal as it seeks to off load a number of assets and clean up its balance sheet. NAB pulled out of the deal just a week after it was announced RBS and the Clydesdale owner were in talks over the move and just weeks since Zurich Financial revealed it was walking away from the multi-billion-pound auction of RBS's insurance arm. It is believed that RBS is still courting other suitors for the Antipodean operation it acquired during the prolonged takeover of ABN Amro last year – Commonwealth Bank of Australia and Nomura of Japan are said to remain interested in closing a takeover. Banking analyst at London broker NCB, Simon Willis commented: "It does not help sentiment for RBS that these talks have failed. But in the wider scheme of things, the Australian deal was always going to be relatively small. The pivotal transaction remains the mooted sale of the Royal's insurance division, but things have gone very quiet there as well."
(The Scotsman) Read all today's banking news from scotsman.comECONOMYConsumer spending holding up in ScotlandNew figures from the Scottish Retail Consortium have revealed Scottish consumer spending is holding up well in the face of the continuing global economic pressure. The group's Retail Sales monitor revealed consumers are spending at nearly four times the rate recorded south of the Border and will further reinforce hopes the Scottish economy is weathering the current credit storm better than elsewhere in the UK. According to the SRC figures, total spending in Scotland rose by 7.8 per cent last month on the previous year with the UK showing growth of only 2.1 per cent in June. However, Fiona Moriarty, director of the Scottish Retail Consortium, cautioned: "The real retail picture is growth not even matching inflation and non-food retailers suffering their worst sales decline for two-and-a-half years, despite heavy discounting."
(The Herald) Read all today's economics news from scotsman.comENERGY & UTILITIESPolluters to pay more to parkThe most polluting cars will be charged more to park in Edinburgh under new proposals being considered by Edinburgh City Council. Under the scheme, owners of 'gas guzzling' vehicles would see the cost of a parking permit for the city centre rise by £160 and £80 for more peripheral zones of the city. The city council's environment leader, Robert Aldridge commented: "There is a national acceptance that more needs to be done to influence the vehicle choice that people make. If this is to happen then local authorities need to play their part and take action to bring about local change."
(BBC Scotland Online) Read all today's energy and utilities news from scotsman.comFOOD, DRINK & AGRICULTUREForth wines to push onScotland's largest specialist wine merchants, Forth Wines, have forecast a sales turnaround after it revealed turnover for the year to the end of February had dipped 1.4 per cent. The Kinross-shire firm's new accounts filed at Companies House revealed the group had generated sales of £28.3 million in the year to February 9 – in the previous year turnover peaked at £28.6 million. A directors' report in the annual report read: "In the year to 28 February 2009, Forth Wines is targeting turnover to increase by 5 per cent, driven in the main by volume with an expectation that wine margins remain in line with the year just ended, thus allowing Forth Wines to remain competitive with other regional wholesalers. Key appointments will be made within the sales team to help deliver these targets."
(The Scotsman) Read all today's food, drink and agriculture news from scotsman.comMANAGEMENTJacobs confident on back of profit riseThe owner of Scottish technical and management consultancy Babtie Group has posted an 8.9 per cent rise in pre-tax profits. Jacobs UK booked pre-tax figures of £22.7 million and generated revenues of £320.1 million in the year ended September 30, 2007 according to new accounts filed with Companies House. The company, which was taken over by US-based Jacobs Engineering Group four years ago enjoyed particularly strong performance from its environment and utilities division which saw turnover rise by 32 per cent. The Glasgow-based firm recently formed a joint venture to design, develop and project manage the new Forth Road bridge.
(The Herald) Read all today's management news from scotsman.comMARKET REPORTSCall for ban on shorting rights issue stockA small shareholder group has called for a ban on the shorting of stock in rights issues after it emerged Morgan Stanley had taken a 2.3 per cent short position on the HBoS rights issue. Director of the United Kingdom Shareholders Association, Roger Lawson complained that while he accepted the investment bank had not acted illegally, the equity trading side of Morgan Stanley would have been aware ahead of the rights issue that a rump of shares would be left with the underwriters, since Morgan Stanley were themselves one of the underwriters of the £4 billion issue. The investment bank would, therefore, be able to benefit from the depressed price of which it was fairly certain, Lawson alleged. He added: "My concern is that these people move the market by their actions. If they short the stock there is only one place for the stock to go. That is market manipulation. Selling short is a self-fulfilling exercise."
(The Scotsman) Read all today's markets news from scotsman.comPROPERTYUnion Estates hope to survive fallThe holding company of Glasgow property tycoon Louis Goodman, Union Estates, is confident of weathering the downturn in the property sector. The group reported a jump in pre-tax profits from £9.1 million to £16.1 million and reported in the company's annual report filed with Companies House that the firm had enjoyed 'a satisfactory year'. The directors admitted that the slow-down in the property market was the biggest risk to the group but they 'believe that the group's policy and track record of adding value through refurbishment, development and active management will mitigate the effects of any decline'.
(The Herald)Credit crunch postpones housing fairA housing fair planned for Inverness next year has been postponed until 2010 as the credit crunch continues to devastate the housing sector. The event would have seen a showcase of 54 cutting edge eco-homes at Balvenie Braes but a consultation with developers and architects has recommended the event is delayed by at least a year. Chair of the housing fair board, Councillor Jean Urquhart commented: "The fact that it's delayed is a pity but it's understandable in the circumstances. The architects and developers that are on the board are no less enthusiastic for the project, just because it has slipped in the programme for 12 months. It won't be a surprise to anybody, given the current financial situation with banks and developments of this nature. We're seeing that the building trade is slowing up hugely and stopping in other instances. This development was really cutting edge in terms of design and the appeal of the fair in the first place was that we had an opportunity to look at different ways of building and insulating our home – so it's still hugely relevant."
(BBC Scotland Online) Read all today's property news from scotsman.com
The full article contains 1303 words and appears in scotsman.com newspaper.
