The UK PM lost his bid for an early election, but has suspended parliament for 5 weeks. Library picture: Boris Johnson speaks during his first prime minister’s questions time, 4 September 2019. Photo credit: UK Parliament
European commissioners (but not yet their posts) named; CSSF considers stricter fund rules; and Google & Facebook face further scrutiny in the US. Delano’s breakfast briefing for Tuesday.
Johnson loses motion for early poll; prorogues parliament
British PM Boris Johnson lost his second attempt to call a snap general election, with only 293 MPs (out of the 434 needed) supporting his motion. Parliament was then officially suspended until 14 October. Jeremy Corbyn, leader of the opposition Labour party, said the shutdown was meant to avoid scrutiny of the government’s Brexit plans. Earlier on Monday, the law requiring Johnson to ask the EU for a Brexit extension if no deal is struck by 31 October took effect. Johnson has vowed not to delay Brexit. Sources: BBC, Deutsche Welle, Guardian, NBC News, New York Times and Reuters.
Less ‘order, order!’
John Bercow, the speaker of the UK House of Commons, said he would resign by 31 October or the next election. Sources: BBC, Guardian, Politico and Reuters.
EU commissioners formally named
Ursula von der Leyen, the European Commission president-elect, released her list of 27 European commissioner-designates on Monday. Nicolas Schmit (LSAP) was named Luxembourg’s EU commissioner. Portfolios will be announced on Tuesday. Sources: Delano, Deutsche Welle, Euractiv and Politico.
BA pilot strike continues
Nearly all British Airways flights to and from the UK on Tuesday have been cancelled as the airline’s pilots strike for a second day. Sources: BBC, Guardian and Telegraph.
CSSF considering fund liquidity circular
Luxembourg’s financial regulator, the CSSF, could introduce stricter rules on liquidity risk for investment funds, largely in response to the suspension of a popular fund run by Neil Woodford in the UK, according to the Financial Times. Summary: Citywire Selector.
Google & Facebook face new probes
The attorneys general of 50 US states and territories opened an investigation into suspected anti-competitive behaviour by Google in the online advertising and search markets. Separately, 8 of the attorney generals started an inquiry into Facebook’s alleged advertising practices. Google and Facebook said they would cooperate with investigators. The firms already face federal probes. Sources: BBC, Financial Times and Reuters.
HK tourism down sharply
The number of visitors to Hong Kong dropped by 40% in August compared to the previous year, with ongoing political protests pushing down hotel rates by 40%-70%. Sources: BBC, Bloomberg and Reuters. Investors in Hong Kong’s main public pension fund lost an average 7% in August, per the South China Morning Post.
9am: The ABBL and CSSF release the “Luxembourg Private Banking Survey 2019” report. 6pm: Network with entrepreneurial types at the Startup Apéro. 7pm: Grammy-winning Venezuelan band C4 Trio performs at The Foundry.
Here are 3 finance & economy stories you may have missed
Funds run: UK investors have shifted £1.9bn from active funds to passive trackers following the suspension of the Woodford Equity Income fund, per Citywire. New funds: Blackrock has reportedly raised between $300m and $350m for its fifth Asian-focused real estate vehicle, per Deal Street Asia. Venture capital:City AM looked at the probability of the fintech bubble bursting.
Here are 3 science & technology stories you may have missed
Vaper deaths: American health officials are investing the fifth suspected death of an e-cigarette smoker due to a respiratory illness allegedly linked with vaping, per Politico. Mega constellation move: The European space agency successfully repositioned one of its satellites to avoid a collision with a satellite in SpaceX’s Starlink fleet, per The Register. SpaceX later said a bug prevented it from seeing Esa’s warning messages. Wild animals: Squirrels listen to bird tweets to see if they’re safe or not from predators, according to a study covered by NPR.
Australian vegan sued neighbours over BBQ smell
A vegan in Western Australia, Cilla Carden, has lost her Supreme Court and administrative tribunal cases to block her neighbours from smoking and using their barbeque in their backyard. Carden said she will appeal. Source: WAtoday, the Guardian and Independent.
Note to our readers: Due to web gremlins, this morning’s newsletter was distributed later than usual. Sorry.