Business news live: FTSE 100 hits record milestone, Reeves to address mortgages and pensions in speech

Tuesday brings Rachel Reeves’ Mansion House speech, with the chancellor expected to delve into pension reform and plenty more besides. There has been a push in some quarters for the chancellor to rip up fiscal rules limiting spending, which has been rejected by the government, and to bring in a wealth tax, which has not.

It’s not expected that ISAs will be a key focus now, with reform expected to wait until further discussions have taken place, but tax changes for businesses may still be on the agenda along with other initiatives as the government chases economic growth.

Elsewhere, bitcoin has hit new highs of late and the FTSE 100 has hit 9000 points for the first time - in contrast to other parts of the global stock markets as tariff threats continue and a deal between the US and the EU appears no closer.

Follow The Independent’s live coverage of the latest stock market and business news here:

Business news live - 15 July

• Reeves speech: Plans on mortgage market shakeup
• FTSE 100 hits 9000 points for first time
• How mortgage changes could help you onto the property ladder
• Caution sounded over mortgage plans leading to later-life debt
• New push will see savers offered chance to invest
• New to investing? Here are our key reads for starter ideas and what it all means

Mortgage Guarantee Scheme won't make deals cheaper for homeowners, expert cautions

14:41 , Karl Matchett

The government have now published plans on the mortgage guarantee scheme and it’s a positive step, says Peter Stimson of MPowered Mortgages - but doesn’t answer every question and won’t tick the boxes for too many new would-be homeowners to take that next step.

“Kudos to the Chancellor for delivering on an election pledge. The rebranded Mortgage Guarantee Scheme is a good idea. The trouble is it’s a year too late, and is missing one vital detail - the cost,” Mr Stimson said.

“Every lender who wanted to offer a 95% loan is probably already doing so. The Chancellor’s announcement is unlikely to make dozens more suddenly follow suit - as the price of entry is unknown and will vary each year.

“The Freedom to Buy scheme shuffles some of the risk burden between lenders and the Government, but don’t expect it to make mortgages cheaper for borrowers.

“Much like the Mortgage Guarantee Scheme it replaces, the capital offered to mortgage lenders is likely to be at market rate rather than discounted.

“So while first-time buyers who aren’t able to call on the Bank of Mum and Dad may find it slightly easier to get a mortgage with a 5% deposit, they will still pay some of the highest interest rates.

“For all the Chancellor’s fanfare, big questions remain over the cost of Freedom to Buy and it will tweak, rather than transform, lending to first-time buyers.

“She would have done better to bring back an updated version of the Help to Buy scheme to boost both housebuilding and access to finance.”

Falling bonds demand could push borrowing costs higher

14:22 , Karl Matchett

Falling demand for UK gilts, also called bonds, might push borrowing costs higher, the OBR has warned.

They say with defined benefit pension schemes not buying as many, there might be a £20bn hit to borrowing costs over the long term.

“You’ve got to find people and induce them to hold bonds,” David Miles of the OBR said. “That means you’ve got to offer them a better deal.”

Falling demand means prices may lower; when bond prices go down, the yield on them therefore rises, and the yield is the effective cost of borrowing for the government.

BrewDog co-founder plans cannabis market dominance in new venture

14:09 , Karl Matchett

One of the founders of BrewDog is targeting domestic dominance with a new business, planning to invest £20m into his new medical cannabis company.

Martin Dickie, who founded the alcohol and bars firm with James Watt nearly 20 years ago, now runs Waterside Pharmaceuticals.

A licence was granted by the Home Office last year to cultivate medical cannabis, with the firm describing their set-up as a tech-led vertical farm, with controlled environments and sustainable operations.

The first harvest, from a farm near Newburgh, Aberdeenshire, is expected to yield up to 9kg of medical cannabis. However, plans are to expand that to 200kg this year, with ambitions to continually scale up and grow the business over the coming years.

BrewDog co-founder plans cannabis market dominance in new venture

FTSE 100 above 9000 points, US stocks set to open higher

13:40 , Karl Matchett

The FTSE 100 hasn’t fluctuated a huge amount today, but being up 0.08 per cent still leaves it in unchartered territory, above 9000 points for the first time.

Currently at 9005, in fact.

Looking at the futures market, however, shows that US stocks are going to open slightly higher than that this afternoon, with the S&P 500 up 0.25 per cent in pre-trading.

The Nasdaq is up 0.47 per cent too, ahead of market opening.

Thames Water reports £1.6bn loss

13:20 , Karl Matchett

Losses at Thames Water dropped to more than £1.6bn last year as the company spent over £380m on restructuring, set aside more than £120m for anticipated fines and wrote off more than £1bn of unrecoverable loans.

The total senior debt rose 10 per cent to more £16.8bn by the end of March, underlining the work needing to be done as the business battles insolvency.

Senior creditors gave the company a £3bn lifeline on interest rates of around 10 per cent this year, say the Times.

Investing for beginners: All you need to know

13:00 , Karl Matchett

If you’re looking at the news of late encouraging savers to start investing, and wondering if it’s for you... Independent Money has you sorted.

We’ve been building a bank of explainers, advice and ideas for people who are looking into, or even taking, their first steps as an investor.

So here are a few articles which might suit you for further education and learning:

• How compounding works and why it’s your most powerful wealth-building tool
• Best ways to invest £2k, £10k and £20k in a new stocks and shares Isa
• Boring investing could be your route to stock market riches
• What’s hiding in your pension? How to find out where your money is invested and take control

These are all good primers to understanding why there’s more encouragement for investing now, and also to help understand what exactly makes up this whole term of “investing”.

If you have questions or want to know more about something specific, head to our Independent Money page, sign up to our Money newsletter (it’s under Lifestyle) here or get in touch using the comments in this blog.

Inflation data incoming - interest rates to be impacted

12:46 , Karl Matchett

While all eyes and ears are on Ms Reeves’ speech tonight, we should remind ourselves that tomorrow is inflation data day.

We expect it to be unchanged, maybe even a modest tick up to 3.5 per cent - but in terms of interest rates, as long as it’s not a major correction up, it feels like the Bank of England are paying more attention to the jobs market right now.

Kevin Mountford, co-founder of Raisin UK, explains what that might mean for savers.

“With the latest CPI figures due this week, all eyes will be on whether inflation continues to creep above expectations or starts to ease once again. A cooling inflation number would strengthen the case for a rate cut in August, particularly given Andrew Bailey’s recent comments about growing slack in the labour market.

“The Bank of England has been clear that it’s watching not just inflation, but the broader state of the economy. Slowing wage growth and signs that employers are reducing hours or headcount suggest the job market is softening, partly in response to higher business costs, such as the national insurance rise.

“If CPI surprises on the upside again, the Bank may hold its nerve a little longer. But if price growth appears to be coming under control, alongside a weaker labour market, that could tip the balance toward further easing. For savers, it means time may be running out to lock in competitive fixed rates, especially on longer-term accounts.”

Reeves sets out sweeping reforms to financial sector

12:27 , Karl Matchett

Rachel Reeves has set out sweeping reforms to the UK’s finance industry in the hope of delivering much-needed economic growth.

The Chancellor hopes the drive to cut red tape and increase innovation, billed as the biggest changes in more than a decade, will turn around an economy which has shrunk in recent months.

The plans include measures to make it easier for first-time buyers to get on the housing ladder with increased levels of borrowing and efforts to support new financial technology – fintech – firms grow in the UK.

Full details here from PA:

Reeves sets out sweeping reforms to financial sector in search for growth

Savers could be offered investment opportunities in new push

11:50 , Karl Matchett

As part of new plans to encourage people to invest more, those who have funds in low-interest bank accounts will be contacted over more potentially lucrative opportunities.

A large advertising campaign on the benefits of investing is to be started and banks will send customers details of opportunities which might benefit them.

In addition, a review of risk warnings will be undertaken, with current language around investments thought to be off-putting.

"We need to double down on our global strengths to put the UK ahead in the global race for financial businesses, creating good skilled jobs in every part of the country and helping savers' money go further,” said Ms Reeves today.

Auto-enrolment contributions mean retirement shortfall incoming?

11:46 , Karl Matchett

UK Sustainable Investment and Finance Association CEO James Alexander says the nation must get a grip of pensions now, with two in five private sector employees facing a shortfall in retirement.

Speaking on BBC Radio 4, he said: “It’s really vital that we get a grip of pension savings in the UK, and a part of that, a big part of that, is looking at auto-enrolment contribution levels.

“Can we handle a future where a whole load of pension savers, people in retirement, don’t have sufficient income in order to live…in the UK?

“The pensions minister has said that auto-enrolment rates will not rise in this parliament. That’s the right decision. It means that these things can be long-term plans that investors and companies can work towards.

“This review has to balance the needs of ensuring people are saving the right amount for retirement and, of course, not putting too much burden on businesses.”

Why Russian markets jumped after Trump’s tariff threat against Putin

11:36 , Karl Matchett

Speaking alongside Nato chief Mark Rutte in the Oval Office on Monday, US President Donald Trump announced 100 per cent tariffs for Russia if a peace deal is not reached within 50 days.

But rather than be spooked, the Russian stock market rose by 2.7 per cent.

Russia had been expecting tougher sanctions from Trump with local media bracing the country for a fresh confrontation.

More details from Steffie Banatvala:

Why Russian markets jumped after Trump’s tariff threat against Putin

11:17 , Mortgage changes could mean debt burden into later life

Jinesh Vohra, CEO of Sprive, says that mortgage reform to allow more people to get on the property ladder is good news - but cautions it means millions could be paying off their houses into late 60s and 70s.

“This is great news and a positive step towards helping more people get on the property ladder, especially at a time when the cost of homeownership feels out of reach for so many,” Vohra said.

“However, it’s important these changes are approached with care. Higher loan-to-income mortgages mean first-time buyers could be taking on significantly more debt and often over longer terms, which increases the risk of carrying a mortgage well into later life.”

UK bank Starling considering New York listing for IPO

11:02 , Karl Matchett

One of London’s most successful fintech firms is considering going public on the US stock market rather than in the UK.

Starling Bank is looking at listing in New York due to potentially higher valuations, a departure from last year when then-interim CEO John Mountain said they were “very committed” to a London IPO.

“We continue to observe what is happening externally with our peers, and also what is happening on the global stage in terms of the UK versus US [stock markets],” Declan Ferguson, CFO, told the FT.

Starling’s value in 2023 was around £1.5bn, down from £2.5bn a year earlier.

10:51 , Karl Matchett

The former CEO of the Financial Ombudsman Service, Caroline Wayman, says Ms Reeves’ Mansion House talk could “reimagine” the financial landscape for the next decade.

We’ve touched on mortgages already and encouraging investors will be another key area of reform, as well as pensions and potentially business taxes.

“This year’s Mansion House speech isn’t just another date in the City’s diary – it looks like a sharp turn off a well-worn path. The planned reforms to City red tape are far-reaching but taken together create a genuine once-in-a-decade opportunity to reimagine the approach to risk and innovation. Financial businesses need to seize the day and be ready to act and think differently,” said Ms Wayman, now global head of financial services at PA Consulting.

“The focus on putting more money in ordinary people’s pockets recognises that financial inclusion isn’t just a social good – it’s a growth strategy. More people investing, saving, and planning means a bigger, healthier market for everyone. The sector’s strongest asset isn’t just capital, it’s customer confidence, and that’s built by putting people first and creating world-class customer experience.”

FTSE 100 milestone is perfect timing for retail investor push

10:22 , Karl Matchett

Getting savers to invest in the UK is a hot topic this year - so all these milestones for the main index of British companies is well worth highlighting.

And there’s more than just record highs at play here too, as AJ Bell’s Dan Coatsworth explains:

“It’s party time as the FTSE 100 has smashed through the 9,000 level. This is another big tick in what’s proving to be a momentous year for the UK stock market, which suggests the market is shaking off its unloved reputation and more investors like what’s on the menu.

“Outperforming the main US indices since January is a major achievement for the UK and the FTSE 100 going through 9,000 builds on this success. It should help to convince overseas investors that the UK market isn’t dull and boring.

“The UK stock market is full of interesting companies that are leaders in their respective fields. While the UK market lacks the kind of technology opportunities found in the US, it excels in other areas and investors are spoiled for choice in sectors such as financials, natural resources, healthcare and industrials.

“The timing is perfect as the financial regulator has announced various initiatives to potentially give the UK market another boost. The IPO process will be sped up in an effort to convince more companies to list in London. Existing quoted companies won’t have to publish detailed documents to raise more money, in most cases. The process of issuing corporate bonds to retail investors will also be simplified.

“These initiatives are a step in the right direction as long as investors can still obtain the necessary information on which to make informed decisions. With cash interest rates trending lower, there is a good chance that individuals will look at other ways to make money and investing is a natural avenue to pursue.”

China's economy continues to grow despite US tariff threat

10:10 , Karl Matchett

China have stated their economy grew 5.2 per cent in the three months to June, a slowdown from the first quarter of 2025 but still above the target rate of 5 per cent growth.

That is despite the Asian nation battling to find an agreement with the US over a trade deal and tariffs of up to 145 per cent at one point being placed on them.

Some economists have suggested the growth rate is weaker than official figures suggest but it’s still well above the rate of the UK (1.3 - 1.5 per cent estimated this year) or the US (1.4 to 1.8 per cent).

Unite calls on airlines to standardise hand luggage rules

09:56 , Karl Matchett

The worker union Unite is demanding the airline industry standardise hand luggage rules in the UK to stop passengers getting irate with airport staff.

Doubtless we’ve all seen the scenes when someone’s bag wheels don’t fit in the frame and the £70-odd fee gets handed to them - in no small part down to each airline sizing them differently.

Make the rules the same is the cry; don’t be surprised when they do so and make them even smaller then, might be the response.

Worth noting this is already in effect in Europe.

Unite general secretary Sharon Graham said: “The industry needs to get its act together and introduce standardised hand luggage rules. The current situation is not only unfair on passengers but is resulting in airport workers facing abuse on a regular basis. This is totally unacceptable.”

How mortgage market changes could help first-time buyers onto the property ladder

09:40 , Karl Matchett

Plenty of mortgage market-related changes over the last few weeks, from altered stress tests to changing borrowing limits.

Need to know how it helps you get on the ladder? Money writer Marc Shoffman tells all.

How mortgage market changes could help first-time buyers onto property ladder

Mansion House speech to bring investment push a step closer

09:27 , Karl Matchett

Part of Rachel Reeves’ biggest job is going to be encouraging more people to invest, and know how to do so wisely.

Susannah Streeter, head of money and markets, Hargreaves Lansdown, says today’s speech marks one point which might well be a good step towards that.

“There are hopes the Chancellor’s Mansion House speech later will provide sparks to ignite an investment culture in the UK. The Financial Conduct Authority has already revealed changes in prospectus rules which should encourage more companies to raise money on the London market and make the UK more attractive place to list. In addition, it will result in more capital raisings being open to retail investors.

“The establishment of public offer platforms marks a big step of progress. Companies will be able to use the platform to offer big chunks of bonds or shares without needing to compile a costly and lengthy prospectus. Crucially, offers will also be available to retail investors via authorised firms.

“The public are used to the crowdfunding concept so this should help spark the imagination and revitalise interest in investing.

“By fostering a retail investment culture and making UK markets a more attractive place for listings, it will help build a more dynamic and equitable financial ecosystem. It’s still not going to be easy to compete against the might of New York, but with continued collaboration across the industry, these changes should provide more fuel to power an engine of growth and innovation.”

FTSE 100 reaches 9000 points milestone for first time

08:37 , Karl Matchett

There we go - the FTSE 100 has crossed the line to 9000 points.

The index dipped on opening but has bounced back and, as mentioned, it only needed a very slight rise to cross the threshold.

Up 0.04 per cent for the day is more than enough for a first intra-day high above that milestone.

Experian is the company leading the rise today with a 3.7 per cent morning increase.

Housebuilder Barratt Redrow, meanwhile, is down a massive 10 per cent after reporting this morning, including a buyback.

Rachel Reeves set to bet the house on economic growth by loosening mortgage rules

08:22 , Karl Matchett

Rachel Reeves is set to bet the house on hopes of finally achieving economic growth by easing rules on mortgages to make more loans available at lower salaries and at 4.5 times a buyer’s income.

The chancellor will use her keynote Mansion House speech in the City of London on Tuesday evening to unveil plans to create up to 36,000 additional mortgages for first-time buyers over the first year.

It is part of a wider package of reforms which will see a bonfire of red tape for financial services as Ms Reeves urges businesses and investors to “take risks again”, according to a Treasury source, following the caution which settled in after the 2008 banking crash.

More from David Maddox, political editor:

Rachel Reeves set to bet the house on economic growth by loosening mortgage rules

FTSE 100 set to hit 9000 points for first time

08:06 , Karl Matchett

After a strong week last week and another rise yesterday, the FTSE 100 is within touching distance of 9000 points for the first time.

For some context, it reached 7000 in 2021, touched 8000 in 2023 but didn’t really get there and stay there until mid-2024, then has risen 10 per cent so far in 2025 to new all time highs.

Even a 0.1 per cent rise today will see it past the latest milestone.

Reeves to announce mortgage shakeup plans

07:44 , Karl Matchett

One key issue Rachel Reeves is set to bring up this evening in her Mansion House speech is a shakeup of mortgages.

The chancellor is set to allow renters to show a good track record of payments to prove to lenders how much they can borrow, as well as launching a permanent mortgage guarantee scheme.

Many other mortgage market-related changes have come through in the past few weeks, from relaxed stress test rules at Santander to Nationwide cutting salary requirements for first-time buyers.

Key details to expect from Rachel Reeves' Mansion House speech

07:23 , Karl Matchett

Rachel Reeves is likely to hit many topics today but in principle we’ll be looking out for details of mentions on:

• Taxes
• ISAs
• Pensions reform
• and anything else which impacts businesses, particularly SMEs.

The chancellor is expected to double down on not exceeding her fiscal rules and will focus on cutting red tape, looking to “regulate for growth”, says the FT.

£650m EV subsidy could help UK car industry 'grow by £16bn'

07:08 , Karl Matchett

Following news of the government considering offering electric car subsidies to the tune of £650m, Colin Walker, head of transport at the Energy & Climate Intelligence Unit (ECIU), said:

“A quarter of all new cars sold last month were EVs with sales in the first half of 2025 35% higher than the first half of 2024. This significant increase in sales is being helped along by the Government’s ZEV Mandate, which is sending prices down as manufacturers compete to hit their targets, all to the benefit of the British driver.

“The UK car industry’s survival is based on a rapid transition to building the EVs to which the world is moving. CBI Economics found that our car industry, currently worth £46.8bn to the UK economy and employing over 550,000 full-time equivalent jobs, could see its economic output grow by £16bn, or 35%, and employ an additional 167,000 jobs, if it embraces the EV revolution.

“Conversely, go slow, and economic output could collapse by 73%, or £34bn, with over 400,000 jobs being lost. This fund, together with other support for the industry recently announced by the Government, increases the likelihood of the positive scenario being secured”.

Business news live - 15 July

06:58 , Karl Matchett

Morning and welcome to Tuesday’s business and money coverage on The Independent.

Today’s big lines will doubtless come from Rachel Reeves’ speech at Mansion House, where taxes, pensions and ISAs may all be in the firing line.

But we’ll also look at big company news, the latest stock market movements and more.