Business

Government borrowing was £22.9bn last month, the second-highest June borrowing since monthly records began in 1993. The Office for National Statistics said that borrowing was £4.1bn more in June than the same month a year ago. Interest payments increased by £10.3bn compared to this time last year, reaching a total of £19.4bn in June alone.

The start of the big summer holiday getaway at Heathrow Airport is no longer facing the imminent threat of disruption from a strike by staff at a plane refuelling company. The Unite union had said its members at Aviation Fuel Services (AFS) would walk out from 5am on Thursday until the same time on Sunday

Late-summer strikes by 115,000 Royal Mail workers have moved a step closer after an overwhelming vote in favour of walkouts, threatening massive disruption to postal deliveries across the country. The Communication Workers Union (CWU) said 97.6% of members who voted backed strikes in a 77% turnout, threatening the biggest strike action in the so-called summer

The rate of inflation has hit a fresh 40-year high, placing further strain on household budgets as the cost of living crisis mounts. British consumer price inflation reached an annual rate of 9.4% in June, up from May’s reading of 9.1%, the Office for National Statistics (ONS) said. It means Britain had the highest rate

Annual grocery bills have risen by £454, according to closely-watched industry data tracking the cost of thousands of everyday products. The latest report on the supermarket sector, released by Kantar Worldpanel, showed price inflation stood at 9.9% in early July – the second-highest level it had ever recorded since comparable records began in 2008. It

A Bank of England policymaker has said interest rates could reach 2% or higher in the next year in order to tackle inflation. Michael Saunders, a member of the Bank’s Monetary Policy Committee (MPC), said he did not think that such forecasts from financial markets were “implausible or unlikely”. “Rather than focus on a precise

A union is calling for a legal limit on how hot workplaces can be – as the UK faces a heatwave that could see temperatures hit a record-breaking 41C. A red warning for extreme heat is in place across swathes of the country including London, Manchester and York. The GMB union said there should be

The chief executive of LV=, the mutually owned insurance company, is to fall on his sword seven months after a controversial takeover was rejected by members. Sky News can exclusively reveal that Mark Hartigan, who has run LV= for just over two-and-a-half years, will leave the company in the autumn. His departure could be announced

Internet providers have a moral obligation to help customers through the cost of living crisis, the regulator has said. More and more families are struggling with their internet bills, which often are linked to inflation and have been going up this year. Along with everything else. Ofcom’s networks and communications group director, Lindsey Fussell, told

Nadhim Zahawi, the new chancellor, will next week throw the government’s support behind a new initiative designed to shore up London’s position as a global destination for major company flotations. Sky News has learnt that Mr Zahawi will use his speech at Tuesday’s Mansion House dinner to give his backing to the Capital Markets Industry

Virgin Media O2 has tabled an offer to buy TalkTalk that would value one of Britain’s biggest broadband providers at about £3bn. Sky News has learnt the mobile phone giant, which is jointly owned by Telefonica and Liberty Global, submitted an indicative bid for Salford-based TalkTalk in recent weeks. Discussions between the two sides are

China’s zero-COVID policy is being blamed for a return to the red for its economy, with experts warning that recovery will be hampered by the darkening outlook for output globally. The authorities said the world’s second-largest economy contracted by 2.6% between April and June compared to the previous three months. It meant that Chinese growth

Recruitment problems are at record levels as three out of four companies struggle to hire staff, according to the British Chambers of Commerce. The BCC said roughly 61% of firms were looking for staff in the second quarter, similar to 60% in the first quarter. But 76% were reporting difficulties. Some 5,700 businesses were surveyed

Train drivers at eight rail companies will strike on 30 July in a dispute over pay, their union Aslef has said. It comes a day after the RMT union said its members at rail operators and Network Rail would walk off the job for 24 hours on 27 July. Mick Whelan, Aslef general secretary, said:

Workers at rail operators and Network Rail will strike for 24 hours on 27 July in a dispute over pay, the RMT union has announced. The news comes after the union rejected a pay offer from Network Rail, which it described as “paltry”, and after three rail strikes last month which crippled services across the

More than eight million households will start receiving the first of two payments intended to help with the cost of living today. Almost one in four low-income households in England, Wales, Scotland and Northern Ireland will get £326, with the second instalment of £324 sent this autumn as part of the government’s £37bn support package.

House building has not kept up with population growth in almost half of the local authorities in England, Sky News analysis has found. In the decade to 2021, the population grew faster or at the same pace as the number of homes in 150 out of 309 local authorities, according to our analysis of data

The UK economy grew by 0.5% in May, according to figures released by the Office for National Statistics (ONS). It comes after two consecutive months of contraction in gross domestic product (GDP). The figures were more positive than economists had expected, with a figure of zero growth pencilled-in for May given pressures facing output from

Heathrow Airport has been accused of trying to maximise profits during a difficult travel period at the expense of airlines. The claim comes from the former boss of BA owner IAG, Willie Walsh, who is now director general of the International Air Transport Association (IATA) – a body representing global airlines. He was speaking after

Retail sales volumes have fallen to a rate “not seen since the depths of the pandemic”, according to industry data showing the third consecutive monthly decline as inflation eats away at household spending power. The British Retail Consortium (BRC) said the value of total sales was 1% lower in June than a year ago. That

The pound has fallen to a two-year low as the political landscape adds to uncertainty in an economy already under strain. On Monday afternoon the pound was at US$1.1867 – its lowest level since March 2020. Just before 5pm, it had strengthened slightly to US$1.19. It comes days after Boris Johnson’s resignation as prime minister

Uber lobbied officials to drop investigations, used a “kill switch” to thwart regulators and law enforcement and considered exploiting violence against its drivers to gain public sympathy as it aggressively expanded into global markets, according to analysis of a leaked batch of confidential documents. The International Consortium of Investigative Journalists (ICIJ) scoured more than 124,000

Tax policy is shaping up to be a deciding issue among the Tory leadership hopefuls. Former health secretaries Jeremy Hunt and Sajid Javid, who both announced their candidacy on Saturday, have said they will cut corporation tax. Both men said that they would scrap current government plans to raise the tax from 19% to 25%

The firesale of a leading British mobile phone technology provider whose owners include Roman Abramovich has been halted by the government amid a national security probe into the deal. Sky News has learnt that officials at the Department for Business, Energy and Industrial Strategy (BEIS) issued an interim order this week to block the purchase

Ports across the country are threatening the government with legal action unless compensation is paid to cover the millions of pounds they’ve spent building new border control posts. The posts, due to be up and running this month, were designed to carry out post-Brexit physical checks on imports of plant and animal products from the

The full range of Heinz products will return to Tesco shelves after the companies reached an agreement to resolve a pricing dispute. The US food manufacturer had paused the supply of its items in a row that raised questions over who should bear the biggest cost in the current economic climate – manufacturers, retailers, or

Britain’s competition regulator has launched an in-depth study to examine concerns about soaring fuel prices. The Competition and Markets Authority will look at the differences between petrol and diesel prices in rural and urban areas, as well as the growing gap between the price of crude oil when it enters refineries and the wholesale price

It is the final day for airlines using UK airports to cancel flights without fear of punishment as part of efforts to give certainty to passengers who are, understandably, nervous about their long-awaited summer holidays. The so-called slot amnesty was announced last month by the government when it became clear the sector could not guarantee

British Airways (BA) workers have suspended a strike that had been planned at Heathrow during the school summer holidays after receiving a “vastly improved” pay offer from the airline. After extensive negotiations, the Unite and GMB unions said an agreement was reached and members involved in the dispute would now vote on the proposed offer.

Which? says it has reported easyJet to the Civil Aviation Authority, asking the regulator to investigate the airline’s treatment of passengers who have their flights cancelled. The consumer watchdog said it had heard from passengers who were not told about their legal right to hundreds of pounds in compensation and the chance to be re-routed

British Airways (BA) has announced it will cut a further 10,300 short-haul flights until the end of October. The airline, among the worst hit by post-pandemic staff shortages that have resulted in widespread disruption for passengers this year, made the announcement just a day after another wave of cancellations was revealed in a bid to

The amount you can earn before having to pay national insurance (NI) has been raised from today, a move Boris Johnson has described as the “biggest tax cut in a decade” to help with the rising cost of living. The government says 30 million people will benefit to the tune of £6bn collectively from the

British Airways (BA) has moved again to build greater resilience in its flying schedules by cancelling additional flights during the key summer holiday season. The airline, one of the worst affected by post-pandemic staff shortages this year, said it was taking further “pre-emptive” action to prevent disruption for passengers. It follows a torrid reopening of