BANKING & INSURANCE
Financial sector warned on ethicsA senior City figure has warned financial services industry professional to avoid cutting ethical corners, despite the increasing pressure from the ongoing credit crunch. Chief
executive of the Securities and Investment Institute, Simon Culhane, has cautioned that while pressure increases it is vital to avoid 'unethical decisions' in the climate of economic turmoil. Speaking before addressing meetings in both Glasgow and Edinburgh, Culhane told the Scotsman: "It is actually in the tougher times that the importance of integrity in our dealings in the financial sector becomes more relevant. In the current situation there has to be an increasing temptation to take such unethical decisions. But in tough times like now the pressure might more be 'I better try this or I might not have a job'. The danger is it moves from gratification to survival So we must all be vigilant about it."
(The Scotsman)B&B sales director quitsDays after Bradford & Bingley warned that conditions at the UK's biggest buy-to-let lender would continue to worsen, the group has revealed their sales director has resigned. Mark Stevens' departure comes after B&B announced it had fallen to a first half loss and suffered £155 million in writedowns and investment losses with bad debt up by more than half since the end of 2007. Commenting on the departure chief executive Richard Pym said: "I had wanted Mark to stay but he has made a personal decision to leave us."
(The Scotsman) Read all today's banking news from scotsman.comECONOMY
Manufacturing sector contractsNew figures from the Chartered Institute for Purchasing and Supply have revealed the UK manufacturing sector contracted sharply again in August, increasing fears of a forthcoming recession. Manufacturers are also hiking their prices according to the new survey which showed a worrying decrease in activity in the influential sector. Chief European economist at Capital Economics, Jonathan Loynes commented: "Even after August's increase, the survey is still pointing to fairly steep falls in output or around 4 per cent per annum. With all of the other activity indices still below the 50 boom/bust level, there is nothing in this survey to suggest that the manufacturing sector is not about to enter a fairly deep recession."
(The Herald) Read all today's economics news from scotsman.comENERGY & UTILITIES
Hydro scheme moves closerGlendoe hydroelectric scheme near Fort Augustus has moved closer to completion after the sluice gates were closed on the reservoir. The scheme is expected to begin generating electricity by early next year and First Minister Alex Salmond was invited to see the latest step in the Scottish & Southern Energy scheme come to fruition. The First Minister commented: "I am delighted to be involved in marking this major milestone in this ambitious project, which will utilise Scotland's natural resources for the creation of clean renewable energy. The Scottish Government has set an ambitious target to generate 50 per cent of our energy from renewable sources by 2020. Today hydro energy continues to be an important source of power, but if we are to achieve our ambition of making Scotland the green energy capital of Europe we must realise the potential of our huge untapped water resources."
(BBC Scotland Online) Read all today's energy and utilities news from scotsman.comFOOD, DRINK & AGRICULTURERichardson to launch challenge to BeansceneGordon Richardson, the entrepreneur who founded coffee shop chain Beanscene eight years ago, is set to launch a rival chain. Beanscene has recently slipped into administration but Richardson has confirmed he is not the preferred bidder of administrators KPMG after more than 30 bids were made for the troubled chain. Richardson sold the chain to rival company Tinderbox earlier in the year and is now set to launch the first of three new coffee shops in direct competition with his old charge. He told the Scotsman: "I am disappointed not to have won Beanscene, but c'est la vie. We submitted a bid for the whole company which would have safeguarded almost 150 jobs, but if the other bidder had produced a better offer then good luck to them. Now it is time to go head to head with them." He added: "We will inevitably be rivals for Beanscene. Suitable locations for coffee shops the size of Beanscene, or our new brand, which are similar concepts are few and far between and we will be vying for the same business."
(The Scotsman) Read all today's food, drink and agriculture news from scotsman.comINDUSTRY
Eastlake agrees mergerWorkplace interiors and services company Eastlake Group has agreed an £8 million merger which will see the East Kilbride company double in size. The Royal Bank of Scotland backed move will see David Eastlake take a dominant stake in a merger with Work Inc, which is seen as the group's biggest competitor in a fragmented market. Eastlake will now become the chief executive of Eastlake Work Group with Work Inc's Craig Eastwood taking the role of executive chairman after selling the majority of his shares after he led a management buy-out ten years ago. The combined group is set to be headquartered in East Kilbride and current projections set its turnover at more than £75 million per year with a client list including Unilever, BT, BP and Marks and Spencer. Eastlake commented: "We started talking only five months ago. It was going to be a true merger with a joint and equal shareholding – that works in Utopia, but in the real world somebody needs to lead the business. He (Eastwood) has been doing it for 10 years as a business owner, I have been doing it for five, and our styles are different." He added: "Logistically the two businesses are a perfect fit. To say they are like a jigsaw is an understatement – we are in Scotland, Ireland, Wales and Southern England and they are in the north of England down to the Midlands."
(The Herald) Read all today's industry news from scotsman.comMEDIA & LEISURE
Goals shares fall despite management confidenceEast Kilbride based Goals Soccer Centres saw its share price fall by nearly 7 per cent yesterday despite the confident assertion by management that the company is 'recession resilient'. First half figures booked by the five-a-side football group fell slightly short of expectations with like-for-like sales up 4 per cent and pre-tax profits up 20 per cent to £3.7 million. Managing director Keith Rogers commented on the figures: "We are not saying we are recession proof, but we are more resilient than other leisure companies." And analysts appeared to agree with him, with Panmure's Dymphna D'Costa writing in a note: "Goals' first-half results are lower than we anticipated but still robust, and the business is demonstrating growth." However, Altium Securities' leisure and consumer analyst Wayne Brown contended: "The core of the business is solid and quite stable, bit it is hard to see how they will drive profits if people are not spending."
(The Herald) Read all today's media and leisure news from scotsman.com
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