Retail gloom means no rate rise

The continuing retail gloom means there is no chance of the Bank of England raising interest rates when the monetary policy committee meets this week. Two thirds of ecomomists polled by research house Ideaglobal believe the next move in rates will be a cut, but not until August.

Groups representing minority shareholders in French department store group Galeries Lafayette are worried that Credit Mutuel's abrubt purchase of a 16 per cent stake in the company could spark changes in who runs the family-controlled firm. Shareholders fear the two founding families, who split a 61 per cent stake in the company, will brak apart this year and one could ally with Credit Mutuel.