‘Armlocking’ banks would free up credit

Ministers should put the UK’s banks in an armlock and force them to boost lending to firms or run the risk of the country suffering massive damage to its economic base, according to business leaders.

I&H Brown takes £1m hit from Royal Bank investment

A major private Scottish company has taken a £1.1m hit from a supposedly bedrock investment in Royal Bank of Scotland.

Warning over capital levels as FSA ends ban on short-selling

Banking shares slumped yesterday after influential analysts warned they might need more capital, while the City regulator announced it would end the ban on shorting of financial stocks.

	Construction sector activity takes a dive
	UK construction sector activity plummeted in December at the quickest pace since comparable records began in 1997, as new orders tumbled at the fastest-ever rate, firms axed staff, and sub-contractors slashed their prices, a key survey showed yesterday.

Fergusson strikes rich seam

Fergusson Group, the Stirling-based coal distributor, says it is confident of continuing growth after posting pre-tax profits of £2.7m, more than three times the 2007 level.

Sterling further from euro parity

Sterling regained significant ground against a broadly-weaker euro yesterday, notching up one of its biggest one-day advances in the 10-year life of the single currency.

Clydesdale silent on sell-off by NAB

The Clydesdale Bank declined to comment yesterday on reports that it could be sold by Cameron Clyne, the new chief executive of parent company National Australia Bank.

European stocks edge ahead but US slips back

Shares in London and other European financial centres kicked off the first full week of trading in the new year with modest gains yesterday but Wall Street wobbled as investors pocketed profits from Friday’s big rally.

Midwinter has ray of sunlight for retailers

Key retail stocks soared yesterday as investors pinned their hopes on a post-Christmas sales surge.

Middle East tensions put upward pressure on crude oil price

Crude oil futures rose above $48 in New York dealing yesterday, as Israel’s ground offensive in Gaza and a dispute between Ukraine and Russia over gas imports helped fuel a rally in prices.

Highland companies helpline is launched

Highlands and Islands Enterprise (HIE) yesterday formally launched a campaign to assist businesses to navigate their way through the current economic downturn, by way of the telephone.

Tayside Flow keeps beat with funding

A Scottish technology firm which is developing a new generation of heart implants has raised £1.2m equity and debt funding despite the gloom prevailing in funding markets.

Weir takes heart from broker note

Shares in Weir Group, which makes pumps and valves for the mining and oil services sectors, climbed by more than 4% at one point yesterday after the City-based Daniel Stewart brokerage said in a research note that the group’s share price now better reflects the sector’s weakening outlook.

	Scottish companies facing prospect of scarcer credit
	The Scottish economy is heading fast into recession, and most firms expect credit to be scarcer and more expensive this year despite the government’s exhortations to banks.

Invocas chief warns on over-use of debt management plans

Banks are encouraging the over-use of unregulated debt management plans to keep bad debts off their balance sheets and failing to give proper debt advice, insolvency practitioners are warning.

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