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Swiss lawmakers have rejected a key compromise proposal to dilute new capital requirements for UBS. Switzerland's upper house of parliament voted in favour of tougher capital ​rules that the Zurich-based lender estimates could require it to hold about $18bn in additional capital. Lawmakers supported a proposal that would ​require the Zurich-based lender to back its foreign units with 90% Common Equity Tier 1 ⁠capital. UBS had favoured a proposal that would allow the bank to use 50% CET1 capital and 50% Additional Tier ​1 (AT1) capital, which is cheaper to hold. It said the decision would result in an excessive tightening of Swiss capital requirements if confirmed at the conclusion of the parliamentary process. 

 

Bloomberg

Financial Times

Reuters

Wall Street Journal

Board members from HSBC will convene in London instead of Dubai later this month amid concerns over safety as the US-Iran war continues to roil executive travel to the region. 

 

Financial Times

Swedish prosecutors are investigating potential election fraud that could lead to a re-run of the parliamentary vote in Dalarna, affecting 11 seats. The investigation, reopened due to new evidence, focuses on Mohamed Abdukardir Ali, a Left Party candidate, amid allegations of pre-marked ballots. Ali denied the claims, saying: "It's completely, completely wrong." The Election Review Board may decide on a re-run or recount if the results are deemed suspect. This would mark the first parliamentary election re-run in Sweden's history, although it is unlikely to change the overall balance of power.

 

U.S. News

The OECD has raised its forecast for global economic growth in 2026 to 2.9% from 2.8%, as stronger-than-expected activity, including an AI-driven investment boom, has offset the impact of persistently high energy prices. The organisation has increased its US growth forecast to 2.2% this year and 2.1% in 2027, while raising its 2026 outlook for India to 7.1% and South Korea to 3.7%; however, it now expects Saudi Arabia’s economy to contract by 1.8%. G20 inflation is forecast to average 4.1% this year, prompting expectations for further modest interest rate increases, including a quarter-point Federal Reserve hike before year-end. The OECD has warned that prolonged high oil prices, El Niño-related increases in food prices, falling equities, and rising bond yields could weaken global growth to as little as 2.3% in 2027.

 

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UK borrowing reached £18.3bn in August, exceeding the Office for Budget Responsibility’s forecast by £3.5bn as inflation lifted public-service costs and debt-interest payments faster than tax income. The figures add to the pressure on John Healey before his first Budget: the Chancellor is likely to have lost at least £12bn of his £23.6bn headroom. Middle East-driven energy uncertainty and inflation fears have pushed bond yields higher globally, with UK borrowing costs the highest among G7 countries. "Another round of tax rises in October now looks inevitable," said Thomas Pugh, chief economist at RSM UK. 

 

Bloomberg

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The Daily Telegraph

The Times

Senior bankers have expressed concern that the UK is losing its status as a global financial hub. A survey by UK Finance and Norton Rose Fulbright found that many executives would not choose the UK as their base if starting anew. The survey, involving 14 international banks employing around 35,000 people in the UK, highlighted fears of increased taxes on lenders. UK Finance points out that the total tax rate for banks in London is significantly higher than in Frankfurt and New York. UK Finance chief David Postings said: "I think already we're very highly taxed. To go further than that, I think, would reach a tipping point and would be very risky on the part of the government."

 

Daily Mail

The Times

Mercedes-Benz could close facilities and make redundancies, including the engine and powertrain facilities at its Untertürkheim plant in Stuttgart where the company has its headquarters. Michael Schiebe, the carmaker's production head, said operations in Germany were not competitive by international standards because of high labour costs. Schiebe told workers: "Our clear goal is to maintain all of our German locations. If we are unable to do this, we will have to close one German assembly plant and one German powertrain plant." An official in the general works council said: "Threatening plant closures is no way to shape the future. Anyone who resorts to such threats must expect our determined resistance. If the management board believes it can pressure employees with the ultimatum of [workforce] concessions or plant closures, our answer is a clear: 'Not on our watch'." The company said in a statement: "We need framework conditions that boost productivity in Germany." 

 

Reuters

The Times

Legal and General plans to reduce its workforce by 1,000 roles, representing a 10% cut, by mid-2027. Chief executive Antonio Simoes said the company needs to streamline operations to align with its evolving business model. The fund management division, which manages £1.2trn in assets, will not be affected. L&G said it aims to focus resources on areas with the greatest growth potential while returning over £5bn to shareholders by 2027. “Over the last decade, different structures, processes and ways of working have developed across L&G, making us more complex than we need to be,” Simoes told staff in an email. “To deliver our strategy successfully, we now need to make sure the way we work reflects the business we are becoming. Across L&G, we need to change how we work today and, through this, become a leaner organisation.”

 

Financial Times

Reuters

The Daily Telegraph

The Guardian

The Times

Meta has agreed to grant Prospect, a trade union which represents over 160,000 workers, access to its 5,000 UK staff for the first time. The agreement allows Prospect to discuss union membership with Meta employees, marking a significant step in union representation within the tech sector. Mike Clancy, general secretary of Prospect, said the agreement was "an important step towards giving Meta workers a stronger voice at work." The deal comes ahead of a new trade union right of access to workplaces which comes into force next month as part of the Employment Rights Act. Clancy said it was to "Meta's credit that it has struck this voluntary deal with Prospect, rather than waiting for the new right of access to kick in, sending a positive message to staff that it is open to engaging with a union."

 

Financial Times

The Times

Reuters reports that representatives for ​Volkswagen, IG Metall and the works ⁠council will meet in Hanover on ​September 30 to discuss the German automaker's ‌restructuring, after the union summoned management ​over concerns about the cuts.

 

Reuters

Glencore has won UK High Court permission to pursue payment for $230m of oil sold to the now-defunct Prax Lindsey refinery, alleging the cargoes were procured fraudulently. The claim follows the collapse of Prax Group, whose refinery entered taxpayer-funded liquidation after the company's financial distress.

 

The Times

The deployment of AI agents in online shopping raises concerns about scams and data privacy, according to a report from banks including NatWest and Bank of America. Some retailers have seen increased traffic from AI agents, but banks warn that technology is outpacing consumer protections. The report highlights risks such as AI agents soliciting payment details and directing users to less secure payment channels. Banks plan to propose measures for transparency and data protection to policymakers. "Consumers are unclear if AI will act in their ‌interests," ⁠the report says. "They are concerned that AI agents may buy the wrong thing or spend too much – or even worse, lose their money to scams and fraud. They are not sure whether they will be protected or who they ​will need to go ​to if things ⁠go wrong."

 

Reuters

Nike-owned Converse has apologised and removed a social media advertisement after critics said its imagery evoked the Ku Klux Klan and lynching. The Instagram ad featured K-pop singer Karina holding a pair of Chuck 70 X trainers: critics argued that lighting on her skirt resembled a KKK hood and the positioning of the shoes recalled the imagery of a lynching victim. Converse acknowledged that the image was “deeply upsetting”, and said it had removed the advertisement from its channels and was working to remove it elsewhere. The company declined to provide further details about its advertising review and approval processes, while the controversy prompted calls for a boycott and criticism over how the campaign had passed internal checks.

 

ABC News

Los Angeles Times

The Oregonian

Reuters