Neil Woodford has announced the “highly painful” decision to close his investment firm, following a disastrous day for the once-star fund manager. Fund supervisor Link ousted the disgraced fund manager from his flagship equity income fund early on Tuesday morning, announcing it would be wound down after Mr Woodford failed to raise sufficient funds for it to safely reopen in December. The disgraced fund manager then went on to hand in his notice at sister operation Woodford Patient Capital Trust (WPCT), before announcing on Tuesday evening that Woodford Investment Management would close its doors completely as soon as the firm has fulfilled its commitments.
Marston’s (MARS) has warned that Britons are settling for a pint instead of splashing cash on eating out. The firm said that annual profits will be broadly flat as an increase in spending on drinks was offset by a poor performance on food. Shares fell almost 7% as Marston’s – which owns more than 1,500 pubs – warned profits will be lower than previously hoped over the next two years. Chief executive Ralph Findlay claimed that families are cutting back on restaurant trips amid belt tightening by consumers as political turmoil over Brexit takes its toll. He said: “People are very happy to go out and have drinks in pubs. “People going out to eat are being more cautious.”
Associated British Foods (ABF) – Primark urged shoppers to avoid buying its wares on Amazon after it emerged that some of its Harry Potter and Disney themed products are being sold for ramped-up prices. The discount retailer does not sell online. However, third party sellers, who typically buy items in bulk and then sell them for a profit, have started flogging Primark products on the platform. A Primark spokesperson said: “We do not have a commercial partnership with Amazon and any Primark products which appear on the site are being re-sold by third parties, at higher prices. We encourage our customers to visit us in our stores to find the best value.”
Tesco (TSCO), Sainsbury (J) (SBRY), Morrison (Wm) Supermarkets (MRW) – Aldi and Lidl have raked in an additional £1bn in sales over the past year as more shoppers desert rival supermarkets. The German discounters have been luring middle-class customers from the likes of Waitrose and Marks & Spencer Group (MKS) as well as the “big four” in recent years by selling products such as manuka honey and less expensive lobster. The two chains now have a combined 14% of the grocery market as they continue to open stores across the UK. That is 0.8% higher than last year and the equivalent of £1bn in sales, according to research firm Kantar. They have recently overtaken Co-op and Waitrose to become the fifth and seventh-biggest supermarkets in Britain.
National Grid (NG.) has vowed to challenge regulators after funding was slashed for a scheme linking up the Hinkley Point C nuclear power station. The firm has been told by watchdog Ofgem that it must spend £80m less than initially planned on its Hinkley-Seabank project in a bid to save bill payers money. The regulator is offering a £637m grant to National Grid Electricity Transmission to link the nuclear plant to the rest of the country. This is 11% less than the grid’s initial request for funding. The transmission giant said it would continue to work with Ofgem to ensure a fair result but will seek to change its mind.
Thomas Cook Group (TCG) former bosses have attacked ministers for standing on the sidelines as it raced to secure lifeline funding – while other European countries scrambled to offer support. Appearing in front of MPs on Tuesday, chief executive Peter Fankhauser revealed ministers from Germany, Spain, Turkey, Bulgaria and Greece had personally contacted him to offer support in the days before the world-renowned travel company collapsed. In sharp contrast, Mr Fankhauser had just one meeting with Transport Secretary Grant Shapps on Sept 9, leaving negotiations to lower ranking officials as the business went down.
The boss of Next (NXT) has sold £10m worth of shares to plough more cash into a private business he has previously backed, outside of retail. Lord Simon Wolfson, who joined the retailer in 1991 as a store assistant, sold 153,000 shares for £66 each, bagging around £10m. He still has a £90m stake in the business. A spokesman for Next said this was the first time in seven years Lord Wolfson has offloaded shares and insisted the chief executive remained committed to the business. He said: “He’s absolutely not going anywhere.”
