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Katharine Braddick, chief executive of the UK's Prudential Regulation Authority (PRA), has launched a regulatory overhaul aimed at saving £2bn for UK financial firms over the next decade. She has outlined four priorities: resilience, growth, innovation, and transparency. Reforms developed alongside the Financial Conduct Authority include scrapping the certification regime, removing annual assessment requirements for around 139,000 non-senior staff, and replacing pre-approval requirements for non-executive senior roles with a simpler notification process. Mandatory pre-approval will remain for core executive leaders. Braddick, who serves as one of the Bank of England’s four deputy governors, said the PRA would consider how its rules affect the investment environment, capital availability and the cost of financial services. A new unit will also focus on operational and cyber resilience, as concerns grow over cyber threats and the risks posed by AI.

 

Financial Times

Reuters

Daily Mail

The Guardian

The Times

SAP has reported growing customer concerns about the origins, security, and governance of AI models embedded in enterprise software, as geopolitical tensions and data sovereignty requirements increasingly influence technology purchasing decisions. Chief financial officer Dominik Asam said clients are questioning whether AI models could expose sensitive information to unauthorised jurisdictions, particularly amid export restrictions and Europe's push for greater technological independence. SAP currently integrates more than 70 AI models from different providers into its accounting, supply chain, and business management software, allowing customers to select technologies that meet their security and regulatory requirements. Asam noted that government agencies and defence contractors face particularly stringent restrictions, while other businesses may accept models developed across multiple regions.

 

Reuters

The chief of the UK's Financial Conduct Authority (FCA) has warned that the risks posed by AI to the financial system are currently “on steroids.” Nikhil Rathi  highlighted unprecedented volatility and new forms of market abuse as significant threats, and urged regulators to avoid outdated approaches, saying: "If policymaking is our only regulatory reflex, we'll be stuck chasing yesterday's market."

 

City AM

City of London Police froze bank accounts linked to companies associated with collapsed shadow bank Market Financial Solutions (MFS), although the orders were set aside in July. MFS founder Paresh Raja faces allegations that more than £400m was transferred to his personal accounts, which he denies, maintaining there was no fraud or dishonesty. Police referred the matter to the Financial Conduct Authority, which has launched an enforcement investigation. The Financial Reporting Council is investigating three accountancy firms that worked for MFS, while the Prudential Regulation Authority is examining whether banks, including Barclays, conducted adequate risk assessments and due diligence when lending to the business.

 

The Daily Telegraph

Heineken has been ordered by a Dutch court to pay €111m in damages and interest to Greek rival Macedonian Thrace Brewery (MTB) following a long-running competition dispute involving its subsidiary Athenian Brewery. The ruling relates to anti-competitive conduct in the Greek beer market between 1998 and 2014. The court awarded €43m in damages and €68m in accrued interest. The decision follows a 2015 ruling by Greek competition authorities that fined Athenian Brewery €31.5m for abusing its dominant market position, subsequently reduced to €26.7m on appeal. Heineken has disputed the latest judgment, arguing that the court relied on unrealistic assumptions regarding MTB's potential sales and profitability, and has confirmed plans to appeal the decision.

 

Greek City Times

NL Times

Reuters

Citadel chief executive Ken Griffin has warned that America's $40tn national debt and $2tn annual budget deficit are unsustainable, and is calling for stronger economic growth, productivity improvements, and reforms among European allies. Speaking at a Citadel Securities conference in New York, Mr. Griffin criticised European labour restrictions, particularly in France, arguing that US allies must strengthen their economies while relying on American defence spending. He also described the US-Europe tariff dispute as counterproductive to shared economic growth. He emphasised education and immigration policies that attract highly skilled international talent, arguing that expanding economic output across Western economies offers a more effective solution to mounting fiscal pressures than trade disputes or austerity alone.

 

Fortune

Luxury retailers across Paris have suffered significant damage and disruption following widespread rioting, with stores operated by Burberry, Dior, Guerlain, and Hermès among those targeted by looters. Several boutiques remain closed, while major luxury brands including Louis Vuitton have strengthened security ahead of further planned protests. Carrefour has warned that damage to approximately 50 stores, alongside weaker consumer confidence and higher security costs, could reduce profitability by up to €200m, while lingerie retailer Etam has reported €1m in lost sales and a further €500,000 in stolen goods and property damage. The unrest has also prompted cancellations at luxury hotels, raising concerns over tourism spending and demand for high-end goods ahead of the Christmas shopping season. 

 

Bloomberg

Reuters reports on how Sandoz's manufacturing facility in the Austrian town of Kundl - Europe's last major end-to-end penicillin production site - faces an uncertain future as China produces the same antibiotics and ingredients at much lower cost for the European market. The Swiss company has asked the European Commission to launch an anti-dumping investigation that could result in tariff measures against Beijing. Europe "would be fully dependent" on China if the plant went out of business, site manager Stephanie Jedner told Reuters.

 

Reuters

Hermès has reported third-quarter revenue growth of 4.3% to €4.10bn ($4.6bn), below analyst expectations of 5.2%, marking its slowest quarterly growth since early 2020. Sales in its ready-to-wear and accessories division declined 2% due to weak Chinese demand, although leather goods revenue rose 10.8%, supported by continued demand for Birkin and Kelly handbags. Shares fell 8% in early trading, with the company maintaining plans to increase production volumes by approximately 6% in the coming years despite what it described as "challenging" conditions in China.

 

Financial Times

Reuters

Analysis of Financial Reporting Council data on audit fees suggests that UK government proposals to exempt midsized companies from mandatory audits could cost accounting firms £1.2bn annually.

 

Financial Times

UK lender Barclays plans to cut around 5,000 jobs, equivalent to about 5% of its global workforce, as part of a modernisation and cost-cutting programme that includes expanding its use of AI. Around 1,000 roles have already been eliminated, with a further 4,000 cuts expected by the end of the year. Most reductions will occur in its UK retail bank and support functions, with some roles affected in India. Barclays said AI was an increasingly important part of its technology strategy, but noted that the cuts were not all directly related to increased use of the technology. Chief executive CS Venkatakrishnan said AI is "the icing on the cake not the cake."

 

BBC News

The Times

Finland's unemployment rate rose to 10.5% in September, up from 10.1% in August. There were a total of 298,000 unemployed people in Finland last month, an increase of more than 10% on the same period last year, according to the latest Labour Force Survey by Statistics Finland. The report highlighted a significant decline in employment among men, with 59,000 fewer employed compared to September 2022. Long-term unemployment is also rising, with 143,000 individuals registered as job seekers for over a year. Petri Malinen, Chief Economist of the Finnish Federation of Entrepreneurs, observed that geopolitical uncertainties are causing firms to delay hiring.

 

YLE Uutiset

Spanish and Portuguese trade unions are discussing a joint Iberian general strike after several Spanish unions called nationwide action for 11 November. The leader of CCOO, Spain's largest union, has confirmed that coordinated action with Portuguese counterparts is under consideration.

 

Euronews Business

Poland ⁠has committed to become the second ​EU member after Portugal ​to join the Global Regulatory Network (GRN), whose members have ⁠access to AI healthcare tools reviewed by regulators, as well as a real-time warning ​system for ​sharing ⁠reports of harmful incidents. Members also include Britain, India, ​Brazil, Singapore, the Philippines, ​Indonesia, Vietnam, Zambia and Peru. 

 

Bloomberg