13 June

@AdamDShaw

13 June

Good morning,

Theresa May will meet the DUP leader Arlene Foster today as she seeks an agreement with the Northern Irish party that would allow her to govern, albeit on a far more limited basis than she might have envisaged.
 
This follows a meeting of the 1922 Committee of Conservative backbenchers yesterday where, in stark contrast to the speech she delivered outside Downing Street after returning from Buckingham Palace on Friday, a contrite May apologised and took responsibility for losing the majority. She is reported to have said: “I’m the person who got us into this mess and I’m the one who will get us out of it”.
 
Attention now turns to what the DUP will demand in return for propping up May’s government, with the prospect of a delayed Queen’s Speech if a ‘confidence and supply’ agreement cannot be reached.
 
The impact of all this on the Brexit talks is the focus of much debate, with the usual suspects doing the television rounds to argue that departure from the single market and customs union should still be the goal, whilst others – including Scottish Conservative leader Ruth Davidson – push for a softer approach.
 
Theresa May will be walking a tightrope as she attempts to appease both the Europhile and Eurosceptic wings of her party. It feels like we’ve been here before.

 

NEWS

US Attorney General Jeff Sessions will appear in front of the Senate Intelligence Committee today, the most senior official from the Trump administration to testify to date. The focus of questioning is likely to be about Sessions’ undeclared meetings with Russian officials and the firing of James Comey from his position of FBI director, particularly as he had removed himself from involvement in any probe of alleged Russian election meddling. 

The Manchester bombing, which killed 22 people last month, was beingplanned since December, according to Libyan security. The man who detonated a suicide vest at the Manchester Arena following an Ariana Grande concert, was being watched in Libya more than a month before the attack. Officials in Tripoli have complained about poor levels of cooperation with their UK counterparts, although it is not clear what information was indeed shared.

The European Court of Human Rights will rule today on whether it will hear the case of the family of a severely ill baby who want him to be sent for treatment in the US. Charlie Gard is 10 months old and suffers from a rare genetic condition which has caused brain damage. His parents, Chris Gard and Connie Yates, want to send him to the US for experimental treatment in the hope of prolonging his life. However, last week the Supreme Court in Westminster rejected the family’s appeal, saying he should be allowed to die with dignity.

 

BUSINESS AND ECONOMY

The European Commission will today unveil plans to force parts of London’s euro clearing business to relocate to the EU post-Brexit in order to preserve financial stability. The new system will decide whether, and under what conditions, non-EU clearing houses should be allowed to handle large volumes of euro-denominated businesses. This is a direct response to concerns across Europe about London maintaining a role as a pillar of EU securities and derivatives markets when it will no longer be covered by EU rules. 

Uber chief executive Tracis Kalanick is to be rebuked for presiding over a culture that failed to prevent sexual harassment and intimidation, following a review conducted by Eric Holder who served as US attorney general under President Obama. It is thought that Kalanick will take the blame for what happened but will not step down. However, he may be asked to go on a three month leave of absence.

Vincent De Rivaz, the chief executive of EDF, is to leave the ‘Big Six’ energy supplier in October after 15 years at the helm. He will be replaced by Simone Rossi, who currently heads up EDF’s international division, as part of an executive reshuffle across the group. In an internal staff memo, De Rivaz said the decision to step down had been taken several months ago and the announcement had been put on hold until a successor had been chosen.

 

MARKETS

The FTSE 100 ended the day down 0.21% at 7511.87, with confidence having plummeted due to uncertainty caused by the election, according to the Institute of Directors.
 
Technology companies were amongst those that came under pressure as shares in software company Micro Focus fell 3.8% and accounting platform provider Sage Group was down 1.8%. US and European technology stocks saw similar declines.
 
The pound suffered its biggest one-day drop in eight months on Friday. It stabilised in early trading yesterday, but by late afternoon was down 0.66% against the dollar to $1.2659 and had fallen 0.73% against the euro to 1.1299 as global currency markets tried to assess how the general election result would affect the UK’s exit from the European Union. 

Finals
Abzena, Ashtead Group, CML Microsystems, Evgen Pharma, FIH Group, Halma, Iomart Group, Oxford Instruments, Park Group, Telecom Plus, Trifast
 
AGMs
Action Hotels, Boston International Holdings, Caspian Sunrise, Chariot Oil & Gas Ltd., Capita, Hansteen Holdings, ICG Enterprise Trust, IQE, Jupiter Dividend & Growth Trust, Kingfisher, Merlin Entertainments, REA Holdings, Royal Mail, Soco International, Shield Therapeutics, Ted Baker, VPC Specialty Lending Investments

Interims
Autins Group, Crest Nicholson Holdings, Oxford Biodynamics

UK Economic Announcements
(08:30) Producer Price Index
(09:30) Consumer Price Index
(09:30) Retail Price Index
 
International Economic Announcements
(13:30) Produce Price Index (US)

 

 

COLUMNS OF NOTE

Writing in The Telegraph, Rupert Myers expresses his frustration at the perception among parts of the electorate that Jeremy Corbyn won the election. He concedes that Labour may have confounded “shamefully low” expectations, but asserts that Corbyn is a poor party manager and bad at leading an opposition. He points out that Tony Blair has been the only Labour leader to have won an election in 46 years and argues that the longer Corbyn is leader, the further from power Labour will be.

In The Guardian, Martin Kettle says that changes made by Theresa May over the last couple of days – the resignations of chiefs of staff Nick Timothy and Fiona Hill and the return of Michael Gove – have gone some way to equipping her for minority government. However, he contends that this is not enough and that she should look at the 2010-2015 Conservative-Liberal Democrat coalition for further guidance.

 

DID YOU KNOW?

The number of FTSE 100 CEOs or chairmen called John is higher than the total number of women serving in the top position of the UK’s hundred largest companies. 

 

PARLIAMENTARY HIGHLIGHTS

TODAY
 
House of Commons
 
Election of Commons Speaker
 
House of Lords
 
Swearing in members of the Lords
 
Scottish Parliament
 
Ministerial Statement: Independent Advisory Group on Hate Crime, Prejudice and Community Cohesion
 
Ministerial Statement: Greenhouse Gas Inventory 2015

Scottish Government Debate: Human Trafficking and Exploitation, Making Scotland a Hostile Place for Traffickers and Providing Effective Support for Victims
 
TOMORROW
 
House of Commons
 
Business
 
(i) The House will go to the House of Lords to receive Royal approbation for its choice of Speaker. (ii) Swearing in of Members of the Commons
 
House of Lords
 
Swearing in of members of the Lords
 
Scottish Parliament
 
Portfolio Questions: Education and Skills
 
Scottish Government Debate: Scotland’s Economy, Opportunities for Growth