Banking

Royal Mail delivers to 29 million UK addresses; last year it generated £9 billion of revenues, of which £324 million remained as profit before tax; and it is likely to be valued at £3 billion in its privatisation share sale, indicating a price-earnings ratio modestly below ten. Twitter — the microblogging phenomenon beloved of self-admiring celebs, but now so ubiquitous as a mode of communication that it is compulsory for British ambassadors abroad — has 200 million users and is expected to generate revenues of just £365 million this year, maybe twice that next year. Twitter says it’s profitable but has so far kept its accounts private, and is nevertheless

A big hello to the revived Trustee Savings Bank — the spin-off of 631 Lloyds branches that were going to be sold to the Co-operative Bank to fulfil EU conditions for the bailout of Lloyds after its catastrophic takeover of HBOS. The new entity starts life with 4.6 million personal and small-business customers, a clean balance sheet, no investment banking arm and no foreign skeletons in its cupboard. That all sounds promising, but those of us who have long argued for a break-up of mega-banks and a return to relationship-driven high-street finance will watch closely to see whether the new TSB’s slogan, ‘Welcome back to local banking’, turns out to

Mark Carney’s charm offensive continues. I hear that the new governor of the Bank of England was laying it on thick last week when he bumped into Faisal Islam, Channel Four’s Economics Editor, after he gave his first public speech. ‘Don’t you have a book out?’ The Canadian smoothy asked Faisal, who offered to send him a copy. ‘Well I’ve got an idea, how about I buy one?’ The charmer cooed. ‘I’d be honoured, governor.’ Faisal beamed. ‘Hey,’ replied the governor, ‘I said I’d buy it; I didn’t say I’d read it!’ Faisal tells me that Carney ‘might have turned down Osborne’s advances if he’d read the full gory detail

My thanks to ‘AndyB’, the only reader who posted an online comment on my column last week. It was ‘Don’t you ever go on holiday?’ and the answer is yes I do, and here I am deep in the Dordogne, glass of rosé to hand, lunch on the terrace in prospect, scanning cyberspace for some fizzing ingredients to make an Any Other Business cocktail. Upbeat economic news from home, led by ‘CBI lifts growth forecast amid optimism’, merely adds to the mellowness of mood. As for local issues to raise the pulse, there isn’t even a decent ruckus to be had over shale gas, since François Hollande has barred all

By and large it was a good week for the big banks — underpinned by encouraging news from the wider economy, in which every little uptick brings a few more zombie borrowers back to the land of the living. Lloyds returned to profit, promised to start paying decent dividends again and declared itself oven-ready for return to the private sector, with the market anticipating an immediate sale to institutions of a first tranche of the taxpayers’ 39 per cent stake. HSBC reported varied performance around the world but still clocked up a fat result for the half-year — and asked the Vatican to close its account as part of a

I’ve been in the pulpit again, this time to salute the centenary of the death of Charles Norris Gray, a formidable Victorian vicar of my Yorkshire town of Helmsley. Gray was a social activist with strong opinions on everything from sanitation to election candidates, and he did a great deal of good for his parish — so I’m not averse to the idea of churchmen intervening in worldly affairs, and I think Archbishop Justin Welby was right to highlight the parasitical nature of ‘payday lenders’ such as Wonga, even if he was subsequently embarrassed to discover that the Church of England was an indirect investor in it. But by his

One of the best articles I ever commissioned as an editor was an account by James Doran of a road trip from the steps of the New York Stock Exchange to the back streets of Detroit in October 2008, at the nadir of the financial crisis. At his destination, Doran found a shocking vista of empty, vandalised factories, all once ‘bit-part players in the now dying auto industry… The desolation was so complete that it hardly seemed real.’ Five years on, the city of Detroit is bankrupt with $18 billion of debts, its population has shrunk to 700,000 from a peak of more than two million, leaving mostly the poor,

You may have gathered from last week’s column that I’ve been cruising the Med in search of fresh subject matter. It’s the sort of cruise that includes a programme of lectures, and the star turn on that front has been the Bishop of London, Dr Richard Chartres, enjoying a change of pulpit after his much-praised sermon at Lady Thatcher’s funeral. I had been struck by a passage in that address about the ‘prior dispositions’ required for a healthy market economy: ‘the habits of truth-telling, mutual -sympathy and the capacity to co-operate’. So as we steamed across the Ionian Sea I sent a note to the bishop’s cabin asking whether he’d