NatWest and HSBC cut mortgage interest rates again, and brokers predict other top lenders will follow
The recent easing in mortgage rates shows no sign of slowing, as HSBC and NatWest both announced a range of interest rate cuts only hours apart, while brokers predicted the rest of the “Big Six” could soon follow suit.
This morning, HSBC revealed that it it will cut its mortgage rates from Tuesday, 5 September, across a range of its most popular products.
Just hours later, NatWest followed with cuts of its own of up to 0.35 percentage points for fixed-rate loans and 0.55 percentage points for trackers.
The UK’s top lenders have now been cutting mortgage rates for six weeks, after they skyrocketed to record highs in mid-July amid fears the Bank of England would raise its own interest rates to levels not seen this century.
End-of-dat market snapshot
Tkae a look at our closing market data
FTSE closes at 7,452.76 following afternoon decline
The FTSE 100 closed at 7,452.76 today, losing 70 points after its initial rise.
Shares started strong after new Chinese stimulus helped to lift markets in Asia. However, shares faded as the day went on, leaving the FTSE in negative territory.
Ladbrokes owner Entain was the day’s biggest riser, followed by Glencore and Pearson, while insurer Admiral was the day’s biggest faller, ahead of Johnson Matthey and Endeavour Mining.
Market snapshot as FTSE dips into red
The FTSE 100 fell into losing territory this afternoon, despite being up by as many as 60 points at one point this morning.
Restaurant chain Bill’s rebounds from pandemic with record first-half sales
Richard Caring’s restaurant chain Bill’s has staged a strong recovery after racking up huge losses during the pandemic and closing dozens of sites.
The company, which grew from a single greengrocer in Lewes, reported record first-half sales of £45.3 million from its still trading locations, up 4.5% on a like-for-like basis.
Underlying earnings of £2.45 million compared with a £0.1 million loss last year, and trading is said to be “ahead of expectations”.
Market snapshot with FTSE still slightly up
Take a look at today’s market snapshot, as some of the FTSE 100’s early gains have faded, but the index remains up for the day.
Superdry shares sink
SUPERDRY shares resumed trading today after being suspended over an accounting snafu – and immediately plummeted.
The already out of fashion shares lost another 11% to 49.9p. That leaves the company, once worth £1.6 billion, valued at just £48.5 million.
The shares were suspended because auditors said they needed more time to finalise the accounts.
While that in itself may not be significant, it added to concerns in the City about the future of the business.
Founder and CEO Julian Dunkerton floated the business in 2010.
He returned as CEO in 2019 in anger at what other bosses had done to the brand. He felt they had tarnished the clothes with an over reliance on garish logos and fewer product lines.
Dunkerton admits it has been a “difficult year” for the company, but insists it is improving.
A new flag ship store on Oxford Street is well stocked. He complains that the area needs “serious help” to thrive as a shopping destination however.
Superdry has had to raise money at high rates of interest and sold brand rights in the Asia-Pacific.
City analysts say the middle market is particularly tough for retailers at the moment. Ted Baker was sold to the US giant behind Reebok. Joules was rescued by Next.
Dunkerton owns about 25% of the stock himself. Last week the group reported an annual loss of £22 million. Sales looked healthy however, up 2% at £622 million.
No net zero target among reasons 21% voted against re-electing Grafton chair
Grafton Group said the company’s record on climate and gender diversity were among the reasons 21% of shareholders voted against re-electing its non-executive chair.
The Irish DIY retail giant launched a consultation after more than a fifth of investors chose not to support the resolution to re-elect Michael Roney at the firm’s annual general meeting in May.
In a statement on Monday, the FTSE 250 firm said “a mix of factors” were behind the shareholder rebellion.
Redundancies set to start at Wilko offices on Monday as hopes remain for shops
The first round of potentially thousands of layoffs at failed retailer Wilko is expected to start on Monday even as hopes of a rescue deal for parts of the business remain.
Administrators confirmed last week that 269 people in the company’s Worksop support centre would be having their last day with the business.
Redundancies at the company’s Worksop and Newport warehouses are also due to start early this week.
Wetherspoons dropping food and drink prices for one day only
Wetherspoons pubs are cutting the prices of all food and drinks for one day this week in a bid to highlight the tax burden on the hospitality industry.
The chain will reduce prices by 7.5% in pubs across the UK and Ireland on Thursday.
It means that, for example, a customer spending £10 on food and drinks will pay £9.25 for one day only.
The move is being done to mark Tax Equality Day, by highlighting the benefit that a permanent VAT reduction would have on pubs and restaurants across the UK.
