Millions 'sleepwalking into old age'

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Millions ‘sleepwalking into old age’

Millions ‘sleepwalking into old age’
Older workers are over-estimating their pension pots and underestimating how long they are going to live – leaving them at risk of poverty in retirement, according to new research.
Daily Express,  p. 2

Directors urged to look for funds in their pension pots
The problem of access to credit could be relieved if more company directors and business owners borrowed money from their pension funds, according to a report by Clifton Asset Management, a financial services provider.
This abstract from the Financial Times was produced by Kantar Media
Financial Times,  p. 6

Pensioners pay the price for failing to predict a long life
Women aged between 50 and 60 today are likely on average to live four years longer than they expect, says the survey from the Institute of Fiscal Studies. The failure of people to understand how long they are likely to live means that their savings, and in particular, their defined-contribution pensions, may prove inadequate.
The Times,  p. 68
 
The long third age
Women are underestimating how long they are likely to live, a new study claims. Among women between 30 and 60, 10 per cent expect to reach 90, while an estimated 29 per cent will do so. Failure to understand how long they are likely to live means that their savings, especially pensions, may be inadequate.
The Times,  p. 57

Interest-only mortgages abandoned by building society
Coventry Building Society has stopped offering interest-only mortgages, a week after RBS did the same.
The Guardian,  p. 39
 
Interest rates inch down in third month of Funding for Lending
Interest rates on new secured loans edged down in October, the third month since the Funding for Lending Scheme (FLS) began, data revealed yesterday, but rates on unsecured loans rose.
City AM London,  p. 20
 
Three big auditors are slapped with lawsuits over past work
Deloitte and KPMG are among the firms named in a US lawsuit brought by a disgruntled investor in Hewlett-Packard, though both firms distanced themselves from the troubled deal yesterday.
City AM London,  p. 3
 
UK banks must raise tens of billions in extra capital
The Bank of England warned yesterday that British banks’ capital levels could differ from their reported levels by tens of billions of pounds.
City AM London,  p. 2
 
Royal Bank of Canada profit rises
Royal Bank of Canada’s quarterly profit rose 22 per cent yesterday on a sharp jump in fixed-income trading revenue and steady loan growth.
City AM London,  p. 19
 
Banks’ cash shortfall may hit recovery
Britain’s biggest banks may need up to £35billion to protect against a financial crisis after understating the full scale of bad debts and the costs of mis-selling scandals, the Bank of England warned yesterday.
Daily Express,  p. 77
 
Banks are accused of hiding £60bn black hole from investors
British banks are not as strong as they claim and could have to raise up to £60billion of emergency funds to protect against future losses, the Bank of England warned yesterday.
Daily Mail,  p. 17
 
OVERDRAFT RATES HIT RECORD
The Bank of England has reported that the average overdraft rate in Britain has a record of 19.65 per cent.
Daily Mail,  p. 17
 
Lending from RBS and Lloyds slumps £117bn
New Bank of England figures indicate that RBS and Lloyds have lent £117bn less than three years ago.
Daily Mail,  p. 93
 
Chinese bank issues first ‘dim-¬sum’ bond in London
In the latest sign of China’s push to internationalise its currency, China Construction Bank has become the first Chinese lender to issue a renminbi-denominated bond in London.
This abstract from the Financial Times was produced by Kantar Media
Financial Times Companies and Markets,  p. 17
   
M Stanley chief talks of rewards to investors
James Gorman, Morgan Stanley’s chief executive, told a securities industry conference yesterday that he wants to use the bank’s excess capital to boost returns for the company’s “long-suffering” shareholders.
This abstract from the Financial Times was produced by Kantar Media
Financial Times Companies and Markets,  p. 21
  
Flawed rules to blame for disquisinq shortfall in assets
Louise Armitstead comment’s on Sir Mervyn King’s pronouncement that British banks may be short of around £60bn of capital, arguing that banks have been producing flawed accounts.
The Daily Telegraph Business,  p. 5
 
Tougher bank rules ‘will hit funding for small firms’
A crackdwon on “shadow banking” could make it even more difficult for small businesses to raise finance, experts warned. The global Financial Stability Board (FSB) has this month issued recommendations to prevent a repeat of the role unregulated financial institutions played in the financial crisis.
The Daily Telegraph Business,  p. 8
 
RBS could be forced to sell core businesses
The Royal Bank of Scotland – which is 82pc owned by the state – could be forced to explore the sale of businesses considered “core” to its operations after the Bank of England increased the pressure on lenders to raise new capital.
The Daily Telegraph Business,  p. 1
 
Big Four banks face £60bn black hole
Britian’s biggest banks face a financial “black hole” of up to £60bn from regulatory demands, hidden losses and potential mis-selling costs that threaten to jeopardise future growth, the Bank of England has warned.
The Daily Telegraph Business,  p. 1
     
Treasury ‘will not help banks to halt march of the zombies’
The Chancellor has ruled out a fresh taxpayer-funded bailout of the banks even as regulators warn that lenders are sitting on hidden losses and may need to raise tens of billions in fresh capital. The Treasury representative attending the latest meeting of the Bank of England’s Financial Policy Committee (FPC) quashed any suggestion that extra public money would be pumped into the state-owned lenders, Sir Mervyn King, the Governor, disclosed yesterday.
The Times,  p. 57
 
Cable hints at delays to business bank plans
Plans for a new state-backed business bank have been delayed and no announcement is now expected in the Autumn Statement next week, Vince Cable revealed. The Business Secretary said that key announcements over proposals for the bank were some weeks away, suggesting divisions in Whitehall over how it would work. Details about the bank had been expected be outlined in the statement, by George Osborne.
The Times,  p. 57
 
“The Bank of England […]
The Bank of England called for banks to come clean on losses on their portfolios, giving the starkest warning to date about the dangers lurking in the commercial property market. The Financial Services Authority estimates that as many as 75 per cent of interest-only mortgages taken out at the peak of the housing market in 2007 had no repayment strategy other than selling the house.
The Times,  p. 57
     
Retailers given reason to be cheerful for Christmas
Britain’s shopkeepers are enjoying rising sales as they move into the Christmas period, according to a CBI survey, helping to ease concerns that higher inflation is set to crush a recent improvement in consumer spending.
This abstract from the Financial Times was produced by Kantar Media
Financial Times,  p. 6
  
Bankers told of ‘patriotic duty’ in bonds buyback
Yiannis Stournaras, Greece’s finance minister held talks yesterday with Athens bankers on the terms of a debt buy-back agreed with international creditors in return for disbursing a delayed aid payment of €34bn.
This abstract from the Financial Times was produced by Kantar Media
Financial Times,  p. 10
 
French haggle over reform law
Discussions over France’s bank reform law have intensified after a draft text was put out to a consultation committee this week before the final version is presented in just under three weeks’ time.
This abstract from the Financial Times was produced by Kantar Media
Financial Times Companies and Markets,  p. 19
  
CYPRUS SAID TO BE NEAR AGREEMENT ON AID FOR FINANCIAL FIRMS
Cyprus could agree to a bailout deal with European finance ministers by mid-December and get a first installment of funds to shore up its banks by the end of January, the country’s finance minister said Thursday.
International Herald Tribune,  p. 18
 
Greek bail-out stumbles as fresh losses spark anger
The eurozone’s debt relief plan for Greece has hit trouble within days of its announcement as banks and pension funds balk at fresh losses, raising fears that the package could unravel before a mid-December deadline.
The Daily Telegraph Business,  p. 4
   
Facts on desperate attempt to hide extent of Greece’s debt stay secret
The ECJ has ordered that the ECB does not have to release files related to Greek use of derivatives to hide its debt before the financial crisis, which The Guardian claims means that European taxpayers “footing the bill” for the €240bn Greek bailout will not find out whether EU officials knew of irregularities in Greece’s national accounts before they became public in 2009.
The Guardian,  p. 41
  
Arrival of ‘business bank’ is hit by delays
Plans for a new state-backed business bank have been delayed and no announcement is expected in the Autumn Statement next week, Vince Cable disclosed yesterday. Speaking at an event co-hosted by the TUC and the British Chambers of Commerce, the Business Secretary insisted that the project would go ahead and that it may start handing out money within months rather than years. He made clear that significant obstacles remained, including state-aid approval from Brussels, and hinted that there was tension with the Treasury over matters such as who would manage the investment.
The Times,  p. 65
 
The above articles appeared on 30\11\12 reproduced with the kind permission of Kantar Media UK. All rights reserved.

Charterbridge Private Financial Planning, Independent Financial Advice, Thornbury, Bristol.