Shares in major UK banks dropped sharply amid growing investor concern over the prospect of a new windfall tax, as Labour sought to calm speculation about an extra levy and the FTSE 100 suffered continued losses.
Concerns are growing in the City over the prospect of a significant tax rise on banks to address a £20bn fiscal gap, with fears that a higher corporate levy could unsettle financial markets and influence the economic outlook ahead of the autumn Budget.
China plans to open three advanced chip fabrication plants next year to triple its high-end semiconductor output and bolster its AI ambitions, stepping up efforts to counter US export controls on Nvidia and establish domestic design standards through initiatives like DeepSeek.
The US has offered air and command support alongside intelligence assets, to underpin a European postwar shield designed to deter future aggression following the war.
Banks and industry bodies are urging policymakers to close stablecoin loopholes, warning that attractive interest yields could trigger a flight of trillions in customer deposits from traditional institutions and heighten tensions between crypto firms and regulators.
Private equity firms are facing a profitability crisis, resulting in widespread discounts as they struggle to sell ageing assets and attract new investment amid increased competition and market difficulties.
The government is set to take over a key part of Sanjeev Gupta’s UK steel business after a court ordered the liquidation of its Speciality Steel division, ruling it was hopelessly insolvent.
UK inflation unexpectedly accelerated to 3.8%, significantly widening the gap with Eurozone countries, with rising national insurance, living wage increases, and strong property rents all contributing, intensifying pressure on the Bank of England as hopes for near-term rate cuts diminish.
Donald Trump has suggested the US could provide decisive air support to help broker an end to the war, advocating a Putin–Zelensky summit while making clear that further Kremlin aggression would face steadfast resistance from Britain, Kyiv and the broader West.
Trump is considering offering a US security guarantee in an effort to foster negotiations and encourage a resolution, with European leaders reinforcing their support and Kyiv’s allies urging further commitments to ensure lasting stability.