BUSINESS WITH PERSONALITY ON THE SLOPES LOOK GOOD ON LE CRUNCHED JONES’ ENGLAND YOUR DESCENT WITH THIS GIVEN A FRENCH YEAR’S SKIING GEAR P24–25 LESSON IN PARIS P26 MONDAY 3 FEBRUARY 2020 ISSUE 3,547 CITYAM.COM FREE CHINA RESPONDS Injection of OZ MODEL ON cash aims to calm market fears TABLE FOR EU TRADE DEAL ANNA MENIN hoping for a tighter trading bloc’s. Chancellor Sajid Javid has sug- relationship in services. The future of gested financial services’ trade with @annafmenin financial services is expected to be a the EU should be on the “outcome- BORIS Johnson will today fire the key battleground in negotiations, with based” equivalence of rules. starting gun on trade negotiations UK firms’ access to European markets “While the future UK-EU relationship with the European Union, with the likely to be at the centre of horse-trad- negotiations begin with a shared rule- government floating the idea of a ing over fishing rights and a host of book already in place, any agreement looser Australian-style deal if a more other post-Brexit arrangements. reached will need to be clear about comprehensive arrangement cannot Johnson will be making clear that how differences that may emerge over be agreed. any future arrangements will only time will be managed,” said Miles In a speech today the prime minister address trade issues. Celic, head of The City UK. will say the UK is aiming to negotiate a “There is no need [to accept] EU rules “It must also be based on transparen- Canada-style free trade deal, “but in on competition policy, subsidies, social cy and constructive regulatory and the very unlikely event that we do not protection, the environment or any- supervisory cooperation for the benefit ANGHARAD CARRICK trade war with the US. Cities in the succeed, then our trade will have to be thing similar, any more than the EU of customers and businesses across country, including the capital Beijing based on our existing withdrawal should be obliged to accept UK rules,” Europe,” he added. @angharadcarrick (pictured), remain quiet. agreement with the EU”. he will say. Foreign secretary Dominic Raab yes- CHINA will pump 150bn yuan Global markets were hit last week The UK and EU have until the transi- Although business bodies have lob- terday struck a bullish tone in an inter- (£16.3bn) into its economy today to as the virus infected more countries, tion period ends in December to reach bied for any future UK-EU trade deal to view with Sky News. help protect it from the impact of the including Britain, which confirmed a trade deal. ensure near-frictionless trade in goods The “issue of alignment” is “not even coronavirus outbreak. two cases in York last Friday. While a Canada-style agreement and services across the channel, in the negotiating room”, he said, Ahead of markets re-opening after The FTSE 100 index closed 1.30 per would allow tariff- and quota-free trade Johnson will today suggest he will adding that agreeing to such an deal the Lunar New Year, China’s central cent lower on Friday to 7,286.01. On in goods, under the existing withdraw- accept checks at the border if he would “defeat the point of Brexit”. bank said yesterday it had taken the Wall Street, the Dow Jones index al agreement the UK and EU would cannot secure a Canada-style deal. The EU will today lay out its mandate decision to maintain liquidity in the slumped 2.09 per cent to 28,256.03. effectively trade on World Trade The political declaration agreed in for negotiations, in which it is banking system and stabilise the The S&P 500 and the Nasdaq, saw Organization terms, with the possibili- October states that Britain should be expected to call for the continued currency market. losses of 1.77 per cent and 1.59 per ty of side deals on specific sectors. able to access the EU’s financial mar- involvement of EU institutions as The virus risks worsening a cent respectively. Such an arrangement, a so-called kets under a “third-party equivalence oversight bodies to any trade agree- slowdown in China’s economy that is Australia-style deal, would have serious system”, under which Britain’s regula- ment — a position the UK government already burdened by tariffs from its £ THE CITY VIEW: P2 ramifications for the City, with many tions are deemed to be in line with the is said to believe is untenable. FTSE 100 ▼ 7,286.01 -95.95 FTSE 250 ▼ 21,143.49 -148.39 DOW ▼ 28,256.03 -603.41 NASDAQ ▼ 9,150.94 -148.00 £/$ ▲ 1.318 +0.007 £/€ ▲ 1.190 +0.002 €/$ ▲ 1.108 +0.005 02 NEWS MONDAY 3 FEBRUARY 2020 CITYAM.COM STREATHAM SHOOTING Man shot dead by police after stabbing in south London was released from prison days before incident THE CITY VIEW All eyes on China ahead of markets reopening HEN China’s financial markets plunged into crisis in the late summer of 2015, the authorities in Beijing were Wleft panicking. Having encouraged tens of millions of their citizens to invest in the stock market, they were unprepared for the consequences of a mass sell-off. As millions of small investors began to offload shares, the government responded with public information campaigns promoting the benefits of further investment. It didn’t work, and with the Shanghai Composite tumbling into bear market territory an extraordinary array of measures were implemented. Large shareholders were banned from selling stocks for six months, hedge funds were corralled into buying up shares and the police were dispatched to round up shortsellers. Journalists, market SUDESH Amman, 20, was named late last night as the attacker shot dead by police in Streatham yesterday afternoon, having stabbed four people in a terrorism-related incident. It emerged that Amman had been released from prison just days earlier, commentators and traders were also detained, accused of having served only half of a prison sentence of three years and four months for terror offences. He was under active police spreading panic and surveillance at the time of the attack, which left three injured and one person in a life-threatening condition. misinformation. Some were even paraded on state TV, confessing to their role in adding to market volatility. It A bumpy opening was a dramatic and sobering reminder of what happens is expected Parents urged to rethink when the laws of market economics come up against the will of authoritarian regimes. This is worth reflecting on now, as Beijing once again readies itself to confront economic uncertainty and market shocks. apprenticeship schemes Having extended the Lunar New Year holiday in a bid to contain the spread of coronavirus, Chinese markets are back in business this week, with a bumpy opening expected. The central bank will ANGHARAD CARRICK for advice about their futures, it’s Business Leadership Team have today pump an unprecedented amount of money into the market, with incredibly daunting.” launched a report revealing that mil- tens of billions of dollars made available to increase bank lending. @angharadcarrick He added: “But I know that when I’m lions of pounds of funds remain In addition, banks will be encouraged not to call in loans made to EDUCATION secretary Gavin asked for help by my children I will unused and new starts for 16 to 18- Williamson has urged parents to move absolutely encourage them to year-olds have fallen since the levy was struggling firms, rules on banks’ reserve requirements will be on from “outdated” stereotypes of consider an apprenticeship.” introduced. relaxed, listed companies will be allowed to delay their reporting apprenticeships. Nearly half (48 per cent) of parents “Many firms want to take on more of first-quarter financials and a cap on the percentage of equities A new survey by the website surveyed said they were not worried apprentices but are hamstrung by a allowed to be held by insurers will also be raised. All of this was Mumsnet found that too many about the future earning potential of needlessly complex and inflexible sys- parents are unaware of the range their child should they choose an tem”, said Jasmine Whitbread, chief put in place ahead of the market open, but already analysts are of opportunities apprenticeships can apprenticeship. However, 45 per cent executive of London First. debating the likely efficacy of such measures. One analyst at offer their children. of parents think apprenticeships are “With skills shortages already biting, Swissquote Bank told Bloomberg the plan “may look like trying to According to the research, published not valued as highly as a university and likely to be worsened by changes counter a tsunami with shovels”. When Chinese markets crashed today to coincide with National degree by the country’s top employers. to the immigration system, it’s vital Apprenticeship Week, over 60 per cent Mumsnet founder Justine Roberts the government urgently takes action in 2015, the Shanghai shockwave wiped more than £1 trillion off of parents of children aged 13 to 18 said: “Some of our users are not very to reboot the system.” the value of listed companies around the world, so markets in said they were concerned their child confident about explaining the oppor- The Federation of Small Businesses is China this week will be watched even more closely than usual. would be “making the tea” if they tunities on offer, and in some cases also calling on the government to chose the apprenticeship route. perhaps haven’t yet fully understood secure the long-term future of appren- The virus has whipped up fear across the region.