Tuesday newspaper round-up: IMF warning, Poundland, Burberry
The global economy “could soon test the limits of resilience”, as emergency oil stocks run low and government budgets become overstretched, the International Monetary Fund has warned. In its twice-yearly World Economic Outlook, the IMF said global growth had withstood the Middle East conflict better than feared over the past six months. It said the rerouting of oil supplies away from the strait of Hormuz, and the release of strategic energy stocks, had helped to contain the impact on oil prices from the US-Iran war. – Guardian
Stellantis and Renault have backed the UK car industry for inclusion in proposed rules to protect EU industry, but urged the British government to consider limiting imports of Chinese cars. Emanuele Cappellano, who leads Stellantis’s European brands including Fiat, Citroën, Opel and Vauxhall, and François Provost, the chief executive of France’s Renault, said the UK should effectively be counted as one of the EU’s 27 member states for the purposes of the proposed “Made in Europe” legislation. – Guardian
Poundland could be pushed into administration within days, putting 12,000 jobs at risk, one of Britain’s largest trade unions has claimed. Usdaw, which represents 370,000 retail workers, said it feared that owners Gordon Brothers could decide the fate of the discount retailer as soon as Tuesday. Poundland is subject to a number of competing bids after Gordon Brothers decided to sell the business but unions say they have “deep concerns” that it will be pushed into administration. – Telegraph
Mike Ashley has tightened his grip on Burberry after upping his stake in the luxury brand, putting him on course to become the group’s biggest shareholder. The billionaire’s Frasers Group now owns 7.4pc of the trench-coat maker, up from 6.3pc a fortnight ago, after using financial derivatives to add to his holding. Frasers would become Burberry’s largest investor if Mr Ashley converts the derivatives to shares, a move which would give the fashion tycoon immense power over the 170-year-old fashion brand. – Telegraph
A record number of mansions and penthouses in London have been let over the past 12 months as the wealthy increasingly look to rent rather than buy. Changes to stamp duty and taxes for non-doms last year have brought the high-end sales market in London to a juddering halt, but the wealthiest still want to “maintain a presence in the capital”, according to JLL, the estate agent. The trend means that the “prime central London” rental market is busier than ever. JLL data showed that 338 homes with annual rents of more than £150,000 have been leased over the past 12 months, a 14 per cent increase on the previous year and a record. – The Times