Earnings season among notable FTSE 100 firms continued on Thursday with Rolls Royce, Shell and Unilever all in the frame - the latter being a good indicator of consumer spending power this year. There are also reports from bank Standard Chartered, miner Endeavour and owner of the stock exchange itself, the London Stock Exchange Group.
London’s benchmark index finished largely flat again on Thursday and is slightly down for the week so far, but with the US economy growing more than expected in the second quarter of 2025 and further trade clarity coming with the EU and India arranging deals, it’s no surprise to see many indices at or near all-time highs.
Meanwhile, Friday will bring the latest house price data from Nationwide, while CASS have revealed which UK banks and building societies benefited most from customers switching current accounts over the past three months.
Follow The Independent’s live coverage of the latest stock market and business news here:
Business news live - Thursday 31 July
- Shell beat profit estimates and announce 15th consecutive huge share buyback programme
- London Stock Exchange owner shows higher profits with rising subscriptions
- High-street fashion shop Next prove the beneficiaries from M&S cyber hack
- Rolls Royce shares jump 10% after better profits and engineering progress
- Meta and Microsoft add hundreds of billions to valuations overnight
- Tax deadline for self-employed - top tips for avoiding HMRC fines
PINNED POST: Business news live - Thursday 31 July
16:29 , Karl MatchettThat’s it for us today - we’ll be back tomorrow morning 7am as usual for more FTSE 100 news, the latest Nationwide house price data and buildup to the announcement of the car finance scandal.
We leave you as usual with the best lines from today:
- Meta and Microsoft add $500bn to share price value overnight: ‘Investors are screaming with joy’
- Can Mark Zuckerberg really be trusted to oversee the AI revolution?
- Would rebranding retirement motivate more Millennials and Gen Z-ers to start saving into pensions?
- Car finance mis-selling case deadline revealed as millions could be owed compensation
- HMRC issues warning over late tax payments due today
Business news live - Thursday 31 July
06:58 , Karl MatchettGood morning and welcome to our rolling live blog coverage for everything business, companies, stock markets and personal finance.
Coming up today we’ve got the Nationwide House Price Index, financial results for the likes of Rolls Royce and the London Stock Exchange Group, plus plenty more.
Business news live - Thursday 31 July
07:06 , Karl MatchettFirst up today, let’s catch you up with the main headlines from yesterday’s business and money news:
- Inheritance tax and the rise of ‘giving while living’: Smart ways to pass on wealth tax-free
- Why the FTSE 100 is breaking records — and why that’s good for your pensions
- Taylor Wimpey slumps to loss on £222m fire safety hit
- Santander axes 2,000 jobs and warns more cuts are possible
- Nationwide launches phone line to help UK residents claim benefits
FTSE 100: Key firms reporting including Shell and Unilever
07:15 , Karl MatchettIt’s been a big week of financials among the FTSE 100 firms and that theme continues today.
We’ll hear very shortly about the likes of Rolls Royce, Shell, Unilever and the London Stock Exchange Group among others.
Speaking before Unilever’s reveal - currently going on right now - Diana Radu, equity analyst at Morningstar, pointed out that the consumer products firm’s results will be a bellweather of sorts for the overall spending power of the people.
"The results are likely to give us a good insight into the health of the global consumer,” she said.
“We expect that, following a prolonged period of high inflation, with rising market share for private label goods and persistent macroeconomic and geopolitical uncertainty across regions, consumer spending will remain cautious, and Unilever's volume growth will be subdued, falling short of the company’s midterm ambitions.”
US tech back in focus: Meta, Microsoft
07:30 , Karl MatchettWorth noting that we’ll also bring some commentary and updates on some of the biggest names from the US stock market this morning too.
Meta and Microsoft both reported the financials last night, with Amazon and Apple following suit tonight.
More on them shortly but they are key in terms of jobs and expenditure on a global scale right now, particularly with AI taking so much focus on both fronts - as well as in the stock market.
Shell beat profit expectations and announce another huge share buyback
07:53 , Karl MatchettLet’s start getting around the FTSE 100 firms for the morning then, starting with Shell.
The energy giant has posted $4.3bn (£3.2bn) adjusted earnings, which despite being 24 per cent down from last year, has actually beaten analyst expectations.
As a result, another $3.5bn share buyback has been announced - their 15th consecutive quarter-year of spending at least $3bn on their own shares.
Shell CEO Wael Sawan said Shell’s “continued focus on performance, discipline and simplification helped deliver $3.9 billion of structural cost reductions since 2022” and cited a first cargo shipment of LNG from Canada, plus focus in Nigeria and Brazil as being key operations.
LSEG raise interim dividend and announce £1bn buybacks
08:25 , Karl MatchettStrong demand for financial services data has pushed London Stock Exchange Group’s (LSEG) profits higher than expected.
Total income was just under £4.5bn for the first half of the year, with AI products and subscriptions both increasing.
“The first half was marked by a consistent cadence of new product launches, which we expect to continue in (the second half of the year),” said CEO David Schwimmer.
LSEG also announced a share buyback programme of up to £1bn and raised the interim dividend around 15 per cent higher than last year.
Standard Chartered report 26% jump in profits to $4.38bn
08:35 , Karl MatchettAsia-focused bank Standard Chartered have recorded profits of almost $4.4bn (£3.3bn) for the first half of the year, after growing across each sector of banking, trading and wealth.
A first dividend payment of the year was announced and a $1.3bn share buyback programme given the green light.
However, the concern of global tariffs was highlighted as a potential issue this year.
Next benefit from M&S cyber hack hit
08:45 , Karl MatchettHigh street retailer Next have reported full price sales surging 10 per cent and ahead of guidance - partly due to the digital hack earlier this year at rival Marks & Spencer.
A statement from Next said: “In the UK, we believe that the over-performance was largely due to better than expected weather and trading disruption at a major competitor.”
M&S said earlier this year they expected to take a £300m hit all told from the hack, which set them back months in terms of online and app sales.
Richard Hunter, head of markets at interactive investor, provided some analysis.
“The Next naysayers who eschew the UK retail sector have been dealt another blow, as the group continues to fire on all cylinders,” he said.
“Next now has the reputation of a company which under-promises and then over-delivers and this update is no exception.”
Rolls Royce shares surge 10% as profits fly
09:00 , Karl MatchettRolls Royce shares jumped more than 10 per cent this morning after profits of around £1.7bn were announced - more than half a billion larger than this time last year.
Profit guidance for the full year has been raised and the share price hit an all-time high today as a result.
Rolls-Royce CEO Tufan Erginbilgic said: “Our multi-year transformation continues to deliver. Our actions led to strong first half year results, despite the challenges of the supply chain and tariffs.
“We are continuing to expand the earnings and cash potential of Rolls-Royce.”
Chris Beauchamp, chief market analyst at IG, said: “Rolls-Royce’s near tenfold rally since early 2023 reflects strong execution, rising profits and growing cash returns. Civil Aerospace is delivering, Power Systems is expanding fast, and Defence remains a steady contributor.
“With SMRs offering long-term upside and cash delivery on track, the re-rating may still have legs.”
FTSE 100 rises - Rentokil and Rolls Royce the biggest share price increases
09:24 , Karl MatchettThe FTSE 100 is up 0.4 per cent this morning, partly on news of some exceptional earnings reports.
It hasn’t made good reading for everyone of course - packaging firm Mondi is down almost 6 per cent for example, while miners Antofagasta, Rio Tinto and Glencore are all down between 4 and 5.5 per cent.
But a 9 per cent rise for Rentokil and Rolls Royce shooting up too - that’s pared some gains but still 8.6 per cent higher - has much of the market buoyed.
Around 27 of the 100 companies are in the red this morning, while a full 40 are up at least 0.5 per cent.
Meta and Microsoft add billions to value overnight
09:40 , Karl MatchettTwo of the Magnificent Seven in the US reported their earnings last night - Microsoft and Meta - and two more follow tonight - Apple and Amazon.
Needless to say, AI expenditure, profits and cutting-edge tech plans were the watchwords and the markets exploded afterwards, both companies adding hundreds of billions to their market capitalisation values.
Meta is up 11 per cent in after hours trading, with Microsoft up 8 per cent.
That equates to not far off half a trillion dollars in value being added in a single night.
“I spent a lot of time building this team this quarter,” said Meta CEO Mark Zuckerberg. “The reason so many people are excited to join is because Meta has all of the ingredients required to build leading models and deliver them to billions of people.
“We’re making all these investments because we have conviction that superintelligence is going to improve every aspect of what we do.”
Will the City ever learn to love working from home?
10:00 , Karl MatchettBy demanding its senior staff ‘set an example’ and be in the office at least four days a week, HSBC has become the latest financial institution to turn against hybrid working – which is bad news for us all, says James Moore.
Comment:
Rightmove expect two-year mortgage rates to become cheaper
10:20 , Karl MatchettRightmove’s mortgage tracker is showing the average two-year fixed rate is level with the five-year rate.
Like most analysts, the mortgage market is expecting an interest rates cut next week from the Bank of England and in turn some movement on the two-year rates.
“It would appear to only be a matter of time before the typical two-year rate is cheaper than the five-year equivalent,” the house ad company says.
Assessing the data, Nathan Emerson, CEO of Propertymark, said: “Affordability continues to be the number one issue for many aspiring and current homeowners. Therefore, seeing banks continue to improve their mortgage products will be much needed and welcome news for many.
“At a time when people are facing higher taxation connected with property transactions, ever more challenging deposits which are needed and general cost of living increases, a wider variety of more affordable products is essential to help combat and further support consumers.”
Meta profits rise despite huge hiring costs as AI pays dividend
10:40 , Karl MatchettMore on Meta, who have been hiring new staff for the AI team at a cost of hundreds of millions of dollars over the terms of their contracts.
CEO Mark Zuckerberg said he aims to deliver “personal superintelligence for everyone”, with billionaire Alexander Wang one of the notable additions after Meta’s investment in Scale.
Matt Britzman, senior equity analyst, Hargreaves Lansdown, said:
“Meta has knocked it out of the park. Pick your metric and Meta crushed it, from ad revenue growth to daily users, all the way down to the profit lines.
“AI is clearly delivering real-world benefits for advertisers, and they’re willing to pay more as a result. Average price per ad was up 9% over the quarter, a clear indication that Meta is delivering an improved product for both users and advertisers.
“The broader focus now turns to Meta’s mammoth AI investment plans and whether it can continue to manage those costs without hurting earnings or free cash flow. Clearly, all this spending adds some near-term risks to the bottom line, but Meta looks set to be a clear winner in the AI space over the longer term.”
Profits, dividends and cause for concern: Shell, Pets at Home and more
11:00 , Karl MatchettHere’s a quick recap of some of this morning’s reports from some leading UK firms, in case you missed them:
- Next sales climbed, partly due to benefiting from M&S’ cyber attack
- Shell profits fell but still beat estimates, with a new buyback announced
- Housebuilder Taylor Wimpey made a loss of more than £90m in the first half of the year
- Pets at Home warns of lower profits, slowing growth and cost controls
Inheritance tax and the rise of ‘giving while living’
11:20 , Karl MatchettFor generations, inheritance was something handed down after death.
Now, amid rule changes meaning more might be taxable, more families are flipping the script.
Instead of waiting for probate and HMRC to take a slice of their hard-earned assets, they’re adopting a new approach: giving while living.
So what’s happening with inheritance tax?
Inheritance tax and the rise of ‘giving while living’: How to pass on wealth tax-free
Government add tough laws and penalties for late payments to businesses
12:12 , Karl MatchettLabour are adding penalties and new laws for late payments to businesses and smaller suppliers.
The Federation of Small Businesses called the action “bold and ambitious” and backed the government taking the side of SMEs.
The planned new legislation will see maximum payment terms of 60 days, eventually reducing to 45 days, as well as mandatory interest charges on late payments. Businesses who continually pay late could be fined “millions” of pounds.
Keir Starmer said late payment to businesses was “unfair, it’s exhausting and it’s holding Britain back. So, our message is clear: it’s time to pay up.
“We’re not only tackling the scourge of late payments once and for all, but we’re giving small business owners the backing and stability they need for their business to thrive,” he said.
Meta and Microsoft add half a trillion dollars to share price value overnight as AI investment pays off
12:40 , Karl MatchettUS tech giants Meta and Microsoft added more than half a trillion dollars in combined value overnight in a major boost for shareholders.
Meta, the owner of Facebook, Whatsapp and Instagram, will see its share price soar more than 11 per cent higher when US stock markets open this afternoon – equivalent to more than $190m (£143m) being added to the company value.
For Microsoft, an 8.5 per cent uptick in share price represents around $320m (£241m) boost in market capitalisation and puts it in the $4tn category overall – just the second company to ever reach that milestone after chipmaker Nvidia did so recently.
Dan Coatsworth, investment analyst at AJ Bell, said the surge was the sort “most companies can only dream of”. He added: “They’ve smashed market forecasts by a country mile and caused investors to scream with joy.”
More here:
Meta and Microsoft add half a trillion to share price value as AI investment pays off
Government must go beyond fines for late payment to help small businesses - expert
13:02 , Karl MatchettMore now from the government’s push to punish late payers, with one organisation saying it is “long overdue” and needs to be just the first step of many to get a systemic change.
“News that the government is taking action to reduce the impact of late payments for small and medium sized businesses is long overdue,” said Jonathan Andrew, CEO at Bibby Financial Services.
“So far, attempts to crack down on this issue have failed to have meaningful impact, with our research revealing that 58 percent of SMEs believe the latest measures, such as the Fair Payment Code, don’t go far enough to protect them.
“However, this latest announcement is only the first step. Businesses need to see these plans convert into tangible action. Crucially, late payments are not an isolated issue.
“Bad debt, caused by non-payment or customer insolvency, is an equally challenging issue eroding profit margins of small businesses.
“With businesses facing wider economic challenges, such as supply chain disruption and stubborn inflation, it’s critical the government follows through and demonstrates its commitment to rebuilding SME confidence.”
Why the FTSE 100 is breaking records — and why that’s good for your pensions
13:30 , Karl MatchettThe FTSE 100 has surged to new record levels after investors piled back into the stock markets they deserted in April following Donald Trump’s announcements of tariffs.
The new highs are seen as good news for investors but also for most people in the UK, whose pensions will likely be invested in companies in the stock market.
And the levels could continue to go higher in the wake of a trade agreement between the US and the EU.
Why the FTSE 100 is breaking records — and why that’s good for your pensions
HMRC warns homebuyers over stamp duty scam
14:00 , Karl MatchettHome buyers are being warned by HM Revenue and Customs (HMRC) to avoid false claims about stamp duty.
The revenue body said it is actively pursuing agents who make false stamp duty land tax repayment claims.
Some agents have suggested that, for a fee, they can reclaim stamp duty the buyer has already paid by saying the property is non-residential because it is uninhabitable, HMRC said.
It warned making claims of this kind often leave the homeowner liable for the full amount of stamp duty, plus penalties and interest.
Money poll: to pension or not to pension?
14:30 , Karl MatchettInheritance tax data: More families paying it, more money paid in it
15:00 , Karl MatchettHMRC released data today showing the changes to inheritance tax (IHT).
The highlights include an effective tax rate of 13 per cent on estates paying IHT, but moreover, there are more estates paying it than ever before - 4.62 per cent of all UK deaths resulting in an IHT payment.
This is largely a result of frozen thresholds and cut exemptions, with 2022-23 IHT receipts coming in at £6.7bn - a 12 per cent rise year on year.
And yet, given these figures are for two tax years ago, this does not take into account rule changes since then.
“HMRC proudly states that fewer than half of deaths currently require interaction to establish if there is tax to pay – something that will soar when the IHT raid on family businesses, farms and pensions comes into force,” said AJ Bell’s pensions and savings expert, Charlene Young.
“Rachel Reeves’ first budget in October 2024 tore into the exemptions enjoyed by family businesses, farms and pensions. Starting from April 2026, wealth that has been completely sheltered from IHT will start to be included in people’s estates for IHT.
Massive offshore wind farm approved by Scottish Government
15:20 , Karl MatchettAn offshore wind farm which developers say could be the world’s biggest has been approved by the Scottish Government.
Berwick Bank – proposed to be built off the coast of East Lothian – aims to deliver 4.1 gigawatts (GW) of capacity, which is believed to be enough to power every home in Scotland twice over and around 17% of the homes in the UK.
The development will feature up to 307 turbines and have two connection points to the grid – one in Dunbar, East Lothian, and another in Blyth, Northumberland.
HMRC issues warning over late tax payments due today
15:30 , Karl MatchettHMRC has issued a warning to anyone who completed a self-assessment tax return earlier this year, as a new deadline looms.
A self-assessment tax return must be completed by anyone who is self-employed or who receives income other than from their regular job, such as from a rental income, dividend or a side hustle. That helps to determine how much tax and National Insurance Contributions they must then pay on those earnings.
While self-assessments must be completed annually by 31 January, a second mid-year payment must be made on 31 July, which goes towards the next tax year bill.
That’s today - so act now if you haven’t already.
Expert tips for making tax payments
15:40 , Karl MatchettIf you’ve not yet made your payment or forgot about it and don’t know where to begin, Pauline Green, head of international compliance at Intuit, has some expert tips for how to get through it.
“If you’re feeling the pressure, here are three quick tips that can still help, even on deadline day,” she says:
- Don’t panic but act now: To determine whether you need to make a 31 July Payment on Account, check your previous Self Assessment tax bill. You’ll usually need to pay if your bill was over £1,000 and less than 80% of your income was taxed through PAYE. You will receive a tax code notice from HMRC confirming any changes, including details of any underpayment and how it will be collected through PAYE. If you miss the 31 July deadline at midnight, interest will begin accruing from 1st August, and penalties may be applied.
- Use digital tools to budget with confidence: If you’re unsure how much tax you may be liable for when it comes to the Self Assessment deadline, income tax estimator tools can give you a solid sense of what’s owed, as you generate your income. Setting that amount aside in a separate savings account, ideally one that earns interest, helps you budget in advance. For those who find it difficult to hold money back between earning and paying tax, this approach encourages a ‘pay-as-you-go’ mindset. Cloud accounting software tools, while not 100% accurate as not all the information is available during the tax year, will reduce the likelihood of surprises when your tax bill lands.
- Get ahead of the curve with MTD: Making Tax Digital for Income Tax is on the horizon. While the payment deadlines won’t change, quarterly reporting under MTD will give the millions of self-employed taxpayers (from April 2026 for those above the £50,000 threshold) more frequent insights into their tax position. Getting into digital habits now, such as tracking income monthly and reviewing your liability in real time, can ease the adjustment and make future deadlines far less stressful.
US stocks jump as tech earnings season kicks off
15:55 , Karl MatchettWe heard earlier about Meta and Microsoft; tonight is the turn of Amazon and Apple to report their latest profits, plans and shareholder presents.
Looking at the wider US market, stocks are up again today - the S&P 500 is up 0.7 per cent, the Nasdaq has risen 1.08 per cent and the Dow is just about up, 0.12 per cent.
Again it’s a tech-heavy focused rise, we can see.
In the UK earlier gains have been wiped out - the FTSE 100 is totally flat, 0.03 per cent up for the day. Most European stocks are down.
Can Mark Zuckerberg really be trusted to oversee the AI revolution?
16:10 , Karl MatchettAs Meta's profits get supercharged by artificial intelligence, Facebook looks destined to be at the forefront of this exciting new tech frontier – but politicians should be guarding against worshipping at the altar of the tech bros, says James Moore.
Can Mark Zuckerberg really be trusted to oversee the AI revolution?
