Business

Retail sales fell by much more than expected in August as the cost of living crisis dragged on demand for both essential and non-essential goods. Figures from the Office for National Statistics (ONS) showed volumes 1.6% down on July – the largest monthly drop since December last year. Economists had expected a decline of around

When the Queen died, fortunes passed down the line of succession along with titles. Her death made her eldest son a hugely rich man as well as King, while his heir secured a guaranteed income of more than £20m a year along with the title Prince of Wales. The Royal Family is funded by a

The John Lewis Partnership says it is “forgoing profit” to help customers, partners and suppliers navigate the challenges of the cost of living crisis. The employee-owned company, comprising the eponymous department store chain and Waitrose supermarkets, reported a loss of £99m for the half-year to 30 July compared to a red figure of £29m a

Chancellor Kwasi Kwarteng is considering a plan to scrap caps on bankers’ bonuses as part of a post-Brexit bid to boost the City’s competitiveness and the UK economy, Sky News understands. He argues the cap, which was introduced under EU rules in 2014 following the 2008 financial crisis and subsequent eurozone debt crisis, would make

It may still be as near as you can get to double figures. It may yet be heading higher still. It may be squeezing households across the country, but squint a little bit and there’s some good news in Wednesday’s inflation data. For the first time in a long time, not only did the rate

The rate of inflation eased slightly to 9.9% in the 12 months to August, aided by a fall in fuel costs. The Office for National Statistics said that the fall in fuel prices was the main factor in the fall from the 10.1% CPI seen in July. The rise in food prices has been the

UK price rises slowed in August compared to July, but are still at the highest rates in more than 40 years. However, they are slow in comparison to some other parts of Europe. In the UK there are several inflationary issues to contend with – a weak pound, low unemployment, an increasingly cashless society and

Hundreds of businesses are urging the chancellor to offer details about the support they’ll receive with their energy bills. The letter to Kwasi Kwarteng was signed by 300 companies and written by Kate Nicholls, the CEO of UK Hospitality. She welcomed the support that would be given to households as part of Liz Truss’ policies

Unemployment has fallen to its lowest level since 1974, standing at 3.6% in the three months to July. The Office for National Statistics said the number of people in employment grew by just 40,000 in the May-July period, but this has not necessarily translated into higher wages. Regular pay, excluding bonuses grew by 5.2% over

Since the end of the pandemic and the reopening of economies around the world, labour markets have become tighter, in the jargon. In short, in developed economies such as Europe and the United States, there are fewer workers available. Much of this was put down to the so-called great resignation as workers decided, after the

The UK economy grew by just 0.2% in July, according to the Office for National Statistics. The figure was below the 0.4% growth expected by economists, and follows a fall of 0.6% in June. While this means it is 1.1% above pre-coronavirus levels, GDP was still flat in the three months to July compared with

Mike Ashley, the high street tycoon who has snapped up some of Britain’s best-known retailers, is plotting a takeover of Gieves & Hawkes, the historic Savile Row tailor. Sky News has learnt that Mr Ashley’s Frasers Group is among a handful of bidders vying for control of the brand, which is being sold after its

There is much we do not know about the government’s new plans to help people out with their energy bills. We do not know how much they will cost. We do not have a clear sense of how they will be financed or paid for. We do not know precisely how the scheme will work

The digital lender Atom Bank is close to picking bankers to work on a stock market listing after calling off talks about a £700m merger with a vehicle set up by Donald Trump’s former commerce secretary. Sky News has learnt that Atom Bank is interviewing investment banks about roles on an initial public offering –

The European Central Bank (ECB) has hiked its key interest rates by an unprecedented 75 basis points, signalling that further rises are likely. On Thursday afternoon, the bank – which makes monetary policy for the eurozone and the European Union – lifted the deposit rate from zero to 0.75% and the main refinancing rate was

A typical household will pay no more than £2,500 annually for its gas and electricity bills from the start of October, Prime Minister Liz Truss has announced. In the first major policy announcement of her premiership, Ms Truss said the new price guarantee will last for two years and save the average household in England,

An unprecedented intervention in the energy market will shield households, businesses and public sector organisations from the worst of the surge in wholesale gas prices. The Truss government’s “energy price guarantee” aims to keep the bill pain facing the public at less than half the amount predicted for the winter ahead, with firms also getting

Primark has ruled out further price increases “beyond those already actioned and planned”, in a bid to protect sales in the tough economy. The discount retailer’s parent firm Associated British Foods (ABF) made the announcement as it warned of lower group profits for its next financial year, which begins later this month. The company said

Apple has launched the iPhone 14 as its “most advanced” smartphone yet – with longer battery life and a series of camera upgrades. Its four new models are between 6.1 and 6.7 inches in length, meaning they have larger screens than the iPhone 13. They can also last all day on a single charge. However,

The British pound has hit its lowest level against the US dollar in almost four decades. Just after 2pm on Wednesday, sterling fell to $1.1407, according to Refinitiv data – its lowest point since 1985. The pound has lost more than 15% against the dollar so far this year, hurt by both the dollar’s strength

The bosses of Britain’s biggest banks will hold talks with the new chancellor on Wednesday as he tries to exert a grip on the stalling UK economy. Sky News has learnt that Kwasi Kwarteng has convened a meeting with the chief executives of lenders including Barclays, Lloyds Banking Group and NatWest Group just hours after

The co-founder of Lastminute.com and dozens of other leading British start-up founders are urging Liz Truss to host a new national competition for entrepreneurs as the incoming premier seeks ways to kickstart a faltering UK economy. Sky News has seen a letter signed by Brent Hoberman, co-founder of the online travel site, and Samir Desai,

Tackling the cost of living crisis is the number one priority for Liz Truss. Her victory over Rishi Sunak in the Tory leadership race followed a tense five-week debate, dominated by how each would approach getting bills down for households and businesses. After criticism that the government was rudderless in the face of soaring inflation

With the cost of running household appliance set to rocket this winter, consumer watchdog Which? has come up with a list of ways to head off the price hikes. The energy price cap is due to rise 80% in October, after the regulator, Ofgem, said the average household’s yearly bill can be raised from £1,971

Liz Truss has said she is ready to take “tough decisions” and “immediate action” on energy bills during her first week in office, if she becomes prime minister. There have been ever-louder calls in recent weeks for the government to intervene to support the most vulnerable, with energy bills set to rise to around £3,500

Liz Truss will go “bigger than expected” on energy after becoming the new prime minister on Tuesday, Sky News understands. The foreign secretary has won the Conservative leadership contest over rival Rishi Sunak and will succeed Boris Johnson tomorrow. Having made tax cuts a key priority during her leadership campaign, she has remained tight-lipped about

Britain’s biggest water utility is working on plans to raise additional funding just weeks after unveiling plans to tap shareholders for £1.5bn in new equity. Sky News has learnt that Thames Water has begun debating whether it needs to seek new capital to deliver the transformation plan it has set out under Sarah Bentley, its

Bus journeys in England will be capped at £2 between January and March next year to help people deal with the rising cost of living. The Department for Transport said the plan could see some passengers save more than £3 per single bus ticket. The average fare for a three-mile journey is around £2.80, the

Waitrose has admitted to blocking rivals from opening supermarkets in close locations for close to a decade, according to the market watchdog. During an investigation between 2010 and 2019 into supermarket practices, the Competition and Markets Authority (CMA) found that Waitrose had conspired with landlords to prevent competing companies from opening stores. The practice, which

The chancellor is preparing a multibillion-pound package of tax cuts to help businesses struggling with soaring energy costs. Nadhim Zahawi is drawing up emergency plans to save companies on the brink of collapse for the incoming prime minister, who will be named on Monday. According to The Times, the chancellor believes the government can learn

The UK will enter recession before the end of this year, with growth expected to be weak into 2024. That is the latest forecast from the British Chambers of Commerce (BCC), which said it expects the UK economy to record three consecutive quarters of contraction – the definition of a recession – this year. However,

The soaring US dollar has pushed the pound to its biggest monthly fall since October 2016. The pound shed 4.6% in August, having lost 14% so far this year, as concerns grow about the state of the British economy. On Thursday afternoon it hovered just above $1.15. The news was not much better against the

BrewDog has announced it will close six of its pubs, blaming spiralling costs and a “clueless government”. The craft beer firm will shut the Hop and Anchor in Aberdeen, Smithfield Market Arms in London, Hop Hub in Motherwell and its BrewDog bars in Dalston, east London; Old Street, east London; and Peterhead, Scotland. James Watt,