News

The largest US banks have banded together to deposit $30bn into First Republic Bank in an attempt to bolster its finances and contain the fallout from the collapse of two big lenders in the past week. JPMorgan Chase, Bank of America, Citigroup and Wells Fargo will each deposit $5bn into First Republic, a California-based lender.

Jeremy Hunt has delivered a defiantly upbeat Budget that offered a £9bn tax break for business, an extension of free childcare and a surprise pension boost for the well-off. The chancellor on Wednesday claimed Britain’s economy was “proving the doubters wrong”, as he announced a 100 per cent tax break for business investment to try

Jeremy Hunt will on Wednesday announce billions of pounds to boost business investment and measures to bolster Britain’s workforce, including a big expansion in free childcare, in a “Budget for growth”. The chancellor has pledged that business will be the main beneficiary of any tax cuts in his Budget, but he is constrained by a

The failure of Silicon Valley Bank has torn into global markets, with investors ripping up their forecasts for further rises in interest rates and dumping bank stocks around the world. Government bond prices soared on Monday, with the two-year US Treasury yield recording its biggest one-day drop since 1987, as fund managers raised bets that

The Federal Reserve announced an emergency lending facility on Sunday to shore up the US banking system, and said another bank had been closed, as it tried to stem contagion after the implosion of Silicon Valley Bank. In a statement, the Fed said it would make additional funding available to eligible depository institutions to “help

UK chancellor Jeremy Hunt was on Saturday locked in talks over how to stop the collapse of Silicon Valley Bank from dealing a heavy blow to Britain’s tech sector. More than 200 UK-based tech company executives have urged Downing Street to step in, warning that many companies faced an “existential threat” because they banked with

Silicon Valley Bank was shuttered by US regulators on Friday after customers withdrew $42bn — a quarter of its total deposits — in one day and a failed effort to raise new capital called into question the future of the tech-focused lender. With about $209bn in assets, SVB has become the second-largest bank failure in

Investors wiped $52.4bn off the market value of the four largest US banks by assets on Thursday amid a widespread sell-off of financial stocks that analysts linked to investor fears over the value of lenders’ bond portfolios. The sell-off in JPMorgan Chase, Bank of America, Citigroup and Wells Fargo appeared to have been sparked by

EY has “paused” its plan to split in two amid a fierce dispute over how much of its tax business should stay with the audit side of the firm. Julie Boland, the head of EY’s US business, who has been picked to run EY after it spins off its consulting arm, told partners on a

Jay Powell warned the US Federal Reserve is prepared to return to bigger interest rate rises to fight inflation at a congressional appearance on Tuesday. In his first public intervention since data releases showed the central bank struggling to cool the US economy despite a year-long campaign of monetary tightening, the Fed chair signalled his

Taiwan’s president Tsai Ing-wen has convinced US House Speaker Kevin McCarthy to meet in California rather than Taipei to avoid an aggressive Chinese military response, as tensions run high between Beijing and Washington. Several people familiar with the situation said Tsai and McCarthy had agreed to meet in the US because of Taiwanese security concerns.

One of Credit Suisse’s longest-standing shareholders has sold its entire stake in the scandal-hit Swiss bank after losing patience with its strategy amid persistent losses and a client exodus. US investment manager Harris Associates, whose deputy chair and chief investment officer David Herro was for years among the Swiss bank’s most prominent supporters, owned as

Federal Reserve officials are converging around the need to keep US interest rates high for longer, reflecting concern about recent hotter-than-expected inflation data and worries about global economic trends that could fuel price pressures. “In order to put this episode of high inflation behind us, further policy tightening, maintained for a longer time, will probably

The Financial Conduct Authority has been blamed by some UK officials and SoftBank staff for London losing out to New York on the blockbuster stock market listing of chip designer Arm. SoftBank, the Japanese owner of the Cambridge-based semiconductor company, this week dashed Rishi Sunak’s hopes of retaining the homegrown tech giant, rejecting entreaties from

Fears for the future of the London stock market are mounting after SoftBank and the world’s largest building materials group shunned the City in favour of New York. SoftBank this week rejected a London listing for Cambridge-based chip designer Arm despite an intense lobbying effort from three successive prime ministers, according to two people with

Western allies are pushing the United Arab Emirates to halt exports of critical goods to Russia as they seek to starve Vladimir Putin’s military of components to sustain its war against Ukraine. Officials from the US, EU and UK have in recent weeks visited the wealthy Gulf state to spell out the wide-ranging scope of

Jaguar Land Rover owner Tata Motors is demanding more than £500mn of government aid for a new battery factory in Britain, in a decision set to be “pivotal” for the future of the UK car industry. People briefed on discussions say the Indian group is close to choosing between Spain and south-west England for its

Britain and the EU clinched a deal on Monday to settle their toxic dispute over Northern Ireland trading rules in a turning point after years of post-Brexit tensions. Rishi Sunak, UK prime minister, and Ursula von der Leyen, European Commission president, sealed the agreement in the shadow of Windsor Castle, with both talking of a

The European Commission president will travel to the UK on Monday in a bid to strike a deal overhauling Northern Ireland’s trading arrangements, as the two sides attempt to settle a bitter dispute that has overshadowed post-Brexit relations. Ursula von der Leyen will meet UK prime minister Rishi Sunak to work towards “shared, practical solutions

Joe Biden has said he did not think China would send weapons to Russia to help its military campaign in Ukraine, in comments that appeared to undercut claims from his top officials that Beijing was considering the idea. In an interview with ABC television on Friday that was aired on the evening of the anniversary