Markets welcome Labour to No10 with sense of ease as Pound remains strong and Government bonds stay steady
MARKETS yesterday welcomed Labour to No10 with a sense of ease.
The Pound remained strong and Government bonds stayed steady.
And although the FTSE 100 fell, due to fears about the looming French elections, the FTSE 250 rose by 176.31 points, or 0.86 per cent, to 20,786.65.
Housebuilders Persimmon, Taylor Wimpey and Barratt Homes were the biggest risers on the stock market as investors bet on targets for new homes being brought back.
Jennie Daly, chief executive of Taylor Wimpey, welcomed Labour’s focus on the reform of planning.
Analysts said calm came from a Labour win being predicted long in advance, as well as Chancellor Rachel Reeves styling Labour as “pro-business”. Greater stability could make the UK more attractive for investors.
But businesses also called for Keir Starmer’s new Government to get on with growing the economy.
CBI boss Rain Newton-Smith said firms need “a Government that’s ready to hit the ground running.”
Octopus urged Labour to quickly tackle the UK’s outdated energy market.
And Currys chief executive Alex Baldock called on Labour to “fix the broken, damaging, and unfair burden on business rates.”
The need to shake up rates was echoed by Admiral Taverns, which also called for beer duty reform to keep pubs going.
Shell’s shock
OIL giant Shell is taking a £1.6billion hit after halting work on a sustainable jet fuel factory.
The firm had been working on the Rotterdam plant for three years.
Its decision has been driven by boss Wael Sawan’s desire to focus more heavily on Shell’s oil and gas divisions than a green agenda.
Crest say no
CREST NICHOLSON has rejected a reverse takeover by housebuilding rival company Avant Homes.
Crest’s stock market listing would have stayed, but with Avant owning 30 per cent of the combined firm.
It comes as another firm, Bellway, has until Thursday to improve its all-share £665million offer.
Good week
EX-TESCO boss Sir Dave Lewis, who was appointed director of the Prince and Princess of Wales’ The Royal Foundation.
Bad week
DRAGONS’ Den star Peter Jones, whose Jessops camera chain received a winding up order from HMRC.