By Ankika Biswas
(Reuters) – London’s blue-chip stock index slipped on Friday as investors assessed a mixed bag of corporate earnings ahead of a highly awaited first budget from the country’s new government next week.
The FTSE 100 was down 0.3%, while the domestically focused mid-cap FTSE 250 edged up 0.1%. Both the indexes recorded weekly declines.
The FTSE 350 medical equipment & services index was the worst-hit sector on the day, down 2.5%, weighed down by Smith & Nephew.
Shares in Close Brothers Group slumped 25% and Lloyds dropped 7.3% after a London court ruled that motor finance brokers must fully inform customers about commissions when taking out car loans.
On the flip side, British bank NatWest climbed 0.6% after it raised its income forecast for 2024.
With the budget scheduled for Oct. 30, UK’s finance minister Rachel Reeves faces a tough task of raising the tax revenues needed to invest more in public services and new infrastructure. Further, a fresh report showed Reeves was also seeking to change fiscal rules.
A survey showed British consumer confidence fell to the lowest level since March amid concerns about possible tax hikes.
Among other movers, Airtel Africa dropped 5.7% to its lowest level since early September after the telecommunications services provider reported a double-digit fall in half-yearly operating profit.
Intertek Group lost 1.1% after HSBC initiated coverage on the British product testing firm’s stock with a “reduce” rating.
Abrdn shares fell 3.1%, adding to an 11.2% drop in the prior session when it reported deeper-than-expected outflows of client funds in the third quarter.
(Reporting by Ankika Biswas and Sruthi Shankar in Bengaluru; Editing by Louise Heavens)
