Business Live: Tuesday 26 August 2014

Live text

Reporting:

  • Rebecca Marston 
  • Ian Pollock 

Last updated 26 August 2014

BREAKING HEADLINES

  • New Isas tempt savers in July
  • WPP results hit by strong pound
  • UK service sector growth slows down

STANDARD 06:00

Rebecca Marston, Business reporter, BBC News

Good morning. Myself and Brer Pollock welcome you to Tuesday's Live Page.

STANDARD 06:01

Ian Pollock, Business reporter, BBC News

We are the pipers at the gates of dawn. Calling the tune on this morning's business news just for you.

STANDARD 06:03 INTEREST RATES

Radio 5 live

Wake Up To Money, on 5live, reports a survey from the financial website Nutmeg. It repeats the findings of previous research that quite a lot of people - 20% in this case - would have trouble repaying their mortgages if mortgage rates rose by three percentage points. Nick Hungerford of Nutmeg also told WUTM listeners that "the understanding of how interest rates affect your repayments is incredibly low".

STANDARD 06:12 FRENCH ECONOMY

Arnaud Montebourg

While we were enjoying our Bank Holiday yesterday, the French cabinet resigned after an attack on its policies by the economy minister, Arnaud Montebourg. Here's why he did it: "I expressed this publicly so that nobody could ignore it because we are in a particularly dire situation. I remind you that the way in which the deficit is being forcibly reduced is sinking all of the European economies and what we don't want, and what I'm obliged to say is that we don't want the European Union to continue its descent into hell."

STANDARD 06:17 PROPERTY MILLIONAIRES

Housing

Apparently the number of so-called property millionaires in Britain is almost 50% higher than last year. The property website Zoopla says 484,081 homes in Britain are now worth more than £1m. They reckon that's nearly a 50% increase on last year. Not surprisingly, a third of streets where houses cost on average of more than one million pounds are in London. Not mine though.

STANDARD 06:27 CHINA PROPERTY

Hong Kong tall buildings

The Financial Times editorial has a dire warning about the Chinese property sector - it is "one of the greatest threats to the global economy". Construction on real estate account for 13% of GDP. It says faith in Beijing's ability to prevent a slump becoming a crash is unravelling. Brrrr.

STANDARD 06:38 INDEPENDENCE DEBATE

BBC Radio 4

There was plenty of heat in last night's Salmond-Darling debate on Scottish independence, but how much light was generated? Dr Angus Armstrong of the National Institute of Economic and Social Research told Today listeners that "if you like confrontation, this was really compelling viewing. But it's not clear that on the big issues we are much further forward."

STANDARD 06:50 FRENCH ECONOMY

Radio 5 live
Bottling

Wake Up to Money wanted us to know they were already planning to have a gander at the eurozone's condition - before the French political resignations. Guillaume de Laforcade, sales director of a craft brewery called Brasserie Castellain, tells us: "The French economic situation is really not good... French consumers are affected by the economic situation and it is really, really, hard."

STANDARD 07:02 SINGAPORE ECONOMY

Singapore skyline

Figures for the Singapore economy are out. They show strong growth - up 2.7% in July compared with June, giving an annual growth rate of 3.3%. Stock markets weren't bothered by it though. Asian markets are little changed.

STANDARD 07:20 STAGECOACH

Bus

Stagecoach, the transport giant, gives an interim management statement. Most of its businesses are doing well, but it sounds this note of alarm: "The New York sightseeing market remains highly competitive, with current trading challenging." It has some legal trouble with it but "remains in discussion" to resolve it. Apart from that, its other operations, including South West Trains and East Midlands rail, and city bus operations in major UK cities, are all doing OK, it says.