Coronavirus latest: England’s biggest cities bar London and Liverpool to go under toughest restrictions
industry-leading net-zero carbon target for 2050 in December 2019. At the time, it said it would take actions such as moving away from carbon intensive projects and lifting biofuel production, while using carbon-capture technologies to offset emissions
Repsol’s ambitions are “self-financing” and it can generate cash to cover investments and dividends without adding to its debt pile, the company said. The dividend is to be set at 60 euro cents a share, rising to 75 cents.
The 2021-2025 spending plan comes at “a time of historic difficulty”, Repsol acknowledged, pointing to the “highly uncertain environment” created by the coronavirus pandemic.
The first two years of its strategy will prioritise “efficiency” and investment cuts.
Farhan Bokhari in Islamabad
Pakistan’s opposition leader Bilawal Bhutto Zardari has tested positive for Covid-19 in an unexpected boost to prime minister Imran Khan’s resistance to increasingly vocal protests against his government.
“I have tested positive for #COVID 19 and am self isolating” announced Mr Zardari, leader of the Pakistan People’s Party in a tweet on Thursday. “Wear a mask everyone, see you on the other side”.
Mr Khan’s government in the past month has repeatedly urged opposition leaders to delay their protests until a second wave of coronavirus across the south Asian country has passed. Opposition leaders have refused to comply with Mr Khan’s advice, citing concerns ranging from growing inflation of food prices to military backing of the government.
But observers have been shocked to see activists at different opposition gatherings largely attend without face masks or other precautions. One opposition leader has drawn widespread criticism following public remarks which suggested that casualties from such gatherings was not “a heavy price to pay” for the cause of democracy.
Approximately 386,000 people have so far tested positive for Covid-19 across Pakistan. Just over 7,800 people have died.
Naomi Rovnick
European equities struggled for direction on Thursday, after a surge in coronavirus cases in the US and tightening restrictions in Europe held back a rally driven by optimism about vaccines.
The benchmark Stoxx 600 index and Germany’s Xetra Dax were broadly flat in early trades, while the UK’s FTSE 100 fell by 0.4 per cent.
The Stoxx index has gained 14.4 per cent in November, putting it on course for its strongest month on record, while the FTSE has risen 14 per cent.
But investors’ attention, strategists at Credit Suisse wrote, had now “seemed to switch back to the growing Covid-19 contagion in the US”.
Investors were torn between “rising optimism about a future world where vaccines reduce the impact of the pandemic, and current data, which shows how the pandemic is making life harder”, said analysts at ING in a research note.
Angela Merkel, Germany’s chancellor, said on Wednesday that the nation’s partial lockdown would last until at December 20 at the earliest and might be extended into January.
The US on Wednesday reported more than 2,000 coronavirus deaths for the second day in a row, while hospitalisations have doubled in the past four weeks to a record of nearly 90,000.
State authorities attributed a further 2,284 deaths to coronavirus, up from 2,029 on Tuesday, according to Covid Tracking Project data. That was the biggest one-day jump in fatalities since May 7.
With US markets closed for Thanksgiving, the dollar index traded flat although the spot gold price ticked 0.5 per cent higher to $1,814 a troy ounce.
Sterling slipped by 0.1 per cent against the dollar, to purchase $1.337, and lost 0.2 per cent against the euro to buy €1.203, as post-Brexit trade talks between Britain and the EU remained deadlocked.
Guy Chazan in Berlin
Angela Merkel has called on the EU to close all skiing resorts, amid fears that the skiing season could trigger a renewed surge in coronavirus infections.
In a statement to the Bundestag, Ms Merkel appealed to people to avoid all unnecessary contact with others, including all tourist travel.
“The skiing season is approaching, [and] we will push for a vote in Europe to close all ski resorts,” she told MPs.
She acknowledged that Austria was opposed to the idea. “It doesn’t look like … it will be easy to do, but we will try again anyway,” she said.
The chancellor was speaking hours after she and the 16 leaders of Germany’s regions agreed to extend and tighten the partial shutdown that has been in force since the start of November. The restrictions will last until December 20 but will be relaxed slightly over the festive season.
There is a chance that some Covid-19 vaccine doses might be available before Christmas, she said.
“We have agreed that these vaccines will then be offered to people who work in the medical and care sectors, and will have first access to it,” she said.
Harry Dempsey
Amigo Loans fell to a deep first-half loss as a coronavirus-induced temporary pause in lending and payment holidays stung revenues, amid a backdrop of material uncertainty over the UK subprime lender’s ability to keep operating.
The group recorded an adjusted loss after tax of £58.1m in the six months to the end of September, compared with a £35.8m profit a year earlier, on revenues that fell by more than a third to £92.3m.
The pandemic has put a hold on new lending to everyone except key workers and triggered a holiday for repaying loans for more than 55,000 customers, with 22,000 of such plans still active.
“It’s undoubtedly been a difficult period for Amigo,” said Gary Jennison, chief executive of Amigo. “But as a team we have made significant progress towards quantifying and addressing the challenges we face.”
The coronavirus crisis has added to the troubles of customer complaints and an investigation by the financial regulator for the guarantor loan provider — a type of lending for people who struggle to access mainstream financing due to their credit history and have friends or family able to step in if there is a default.
The group said on Thursday that £160m of cash at the end of November would provide adequate liquidity to continue funding its operations.
“There is, however, a material uncertainty surrounding the going concern due to the potential economic impact of Covid-19, uncertainty over future complaint volumes and the possible outcome of the ongoing Financial Conduct Authority investigation,” it added.
Martin Arnold in Frankfurt
German consumer confidence has fallen for the second consecutive month, underlining how the country’s retailers face a harsh winter, after rising coronavirus infections prompted the government to warn its “lockdown light” was likely to last until March.
The GfK institute said its consumer confidence indicator had fallen more than expected by most economists, dropping 3.4 points to minus 6.7, with more people saying their economic and income expectations had declined in the past month.
“Although the retail stores remain open, the renewed closure of hotels, restaurants and events — as well as tourism, which is still sluggish — has a hard time affecting the consumer climate,” said Rolf Bürkl, a consumer analyst at GfK.
“Propensity to save, which has risen again as a result of the increasing uncertainty, has also contributed to the decline in the consumer climate,” he added. The decline in GfK’s consumer confidence indicator takes it to its lowest point since July, but it remains well above the level of minus 23.1 it reached in May.
The German government this week reduced its limit on social gatherings from 10 to five people and extended the restrictions — including closure of restaurants, bars and leisure facilities — to December 20. Berlin indicated on Thursday that the restrictions were likely to last until March.
Coronavirus infections in Germany have remained stubbornly high, increasing by 22,268 in the 24 hours to Thursday morning, up from 18,633 in the previous day, according to the Robert Koch Institute.
Jonathan Eley
Sales at luxury goods retailer Mulberry fell 29 per cent in the half-year to September as the Covid-19 pandemic turned many of Europe’s premium shopping streets into ghost towns, and the group said it expected disruption to continue for at least the rest of its financial year.
In the weeks since the half ended, sales are down 19 per cent. But the group’s half-year loss was lower than last year — £2.3m against £10.1m — because of cost cuts and receipts from the government’s job support scheme.
The company, which is 36 per cent owned by Mike Ashley’s Frasers Group, also said that its cash position was better than it had initially forecast, with its main lending facility still undrawn.
Thierry Andretta, chief executive, reiterated previous warnings that sales in the year to March would be less than last year but expected losses to reduce.
“Our expectations will undoubtedly be negatively affected by any further countrywide lockdowns,” he added.
Alice Hancock in London
Mitchells & Butlers, the UK pub group, has cut about 1,300 jobs since October as it warned that uncertainty over trading restrictions cast doubt over the group’s ability to continue as a going concern.
The group, along with rivals Fuller’s, has swung to a loss as coronavirus lockdown measures have devastated sales. Mitchells & Butlers does not expect sales to reach pre-Covid levels until 2021, it said on Thursday.
Uncertainty over whether it will meet its debt obligations “stems directly from a lack of clarity on both the extent and the duration of current tiering, local and national lockdowns and operating restrictions, such as social-distancing measures, limitations on party sizes and reduced opening times, all of which have an impact on consumers’ ability and willingness to visit pubs”.
Revenues in the year to the end of September were £1.48bn, down 34 per cent compared with 2019, while the group swung to a pre-tax loss of £123m from a profit of £177m last year.
Net debt, excluding lease liabilities, stayed flat at £1.56bn. Its complex financial structure, through which much of its debt is secured against its pub properties and future income streams, have prompted doubts over whether it could meet forthcoming covenant tests.
Simon Emeny, chief executive of Fuller’s, warned on Thursday that the industry was facing “a tough winter and a very different looking Christmas” as the company reported a fall in revenues of 73 per cent to £45.6m in the six months to the end of September.
The company fell to a pre-tax loss in the period of £24m, down from a profit of £176.2m, although it said that over the summer, when pubs had been allowed to open, it had achieved a £2m profit.
Jyotsna Singh in New Delhi
Several Indian states have tightened Covid-19 restrictions to curb the spread of infections as India’s caseload crossed 9.2m.
Punjab has become the latest to reimpose a night curfew after a fresh surge in cases in the festival and wedding season, joining Madhya Pradesh, Gujarat, Himachal Pradesh and Rajasthan that have taken similar measures.
Punjab also doubled the fine for any violation of social-distancing norms, including failure to wear a mask to Rs1,000 ($13.54).
The hill state of Uttarakhand has also reordered mandatory testing for Covid-19 infection for visitors from Delhi. Maharashtra has also started testing travellers from Delhi, Rajasthan, Gujarat and Goa.
The restrictions came as the federal home ministry issued fresh guidelines on Wednesday, effective from December 1.
“The country is at a critical juncture in its fight against Covid-19,” the ministry said in a statement, emphasising that state governments must “promote Covid-19 appropriate behaviour” and take effective surveillance and containment measures.
India reported more than 44,000 new coronavirus infections and 481 deaths in the past 24 hours. During the peak in September, it recorded close to 100,000 single-day infections and more than 2,000 deaths.
FT reporters
London looks set to avoid being placed under the tightest coronavirus restrictions as the government prepares to outline its new regime of measures for England.
Senior government officials on Wednesday said they expected London to remain in the looser tier two, with Rishi Sunak, chancellor, Sadiq Khan, London mayor, and Oliver Dowden, culture secretary, all pressing Mr Johnson not to close the capital’s pubs, restaurants, hotels and theatres, which would be required if the city was placed into tier three.
With the UK recording a further 696 coronavirus-related deaths on Wednesday, the highest daily total since May, ministers met during the evening to discuss which areas of England will enter into each of the three tiers when the new rules come into effect from December 2.
The final decision will be announced by health secretary Matt Hancock in parliament on Thursday.
Read more here
Alice Woodhouse in Hong Kong
Six members of the Pakistan cricket team who arrived in New Zealand for international fixtures have tested positive for coronavirus.
New Zealand Cricket said two of the six positive tests were classed as “historical” while four are thought to be new infections.
New Zealand imposes strict quarantine requirements on all arrivals, but allows sports teams to train together during the isolation period. The test results mean the team’s training will be put on hold until the cases have been investigated.
The Pakistan team had tested negative on four occasions before travelling to New Zealand. Games between the two countries are set to begin in the second week of December.
Edward White and Kang Buseong
South Korea’s economic outlook has improved further despite the country facing its worst virus outbreak in eight months, according to the central bank.
South Korea’s coronavirus infection rate has hit its highest since March, prompting health officials to consider reinstatement of tougher social-distancing measures across the country.
However, bucking fears of worsening outbreak — locally and abroad — the Bank of Korea on Thursday issued an improvement in its economic forecast for 2020. The move underscores how Seoul continues to reap the rewards from its swift response to the pandemic.
The BoK raised its annual GDP outlook for 2020 to a 1.1 per cent contraction, from an earlier estimate of a 1.3 per cent decline. The improvement comes as robust foreign demand for South Korea’s technology exports helps offset the economic hit from earlier in the year and soft domestic spending. The central bank held interest rates at a record low of 0.5 per cent.
Still, health officials are grappling with the third serious virus wave to hit the country this year. Reflecting their risk-averse approach that has helped avoid strict lockdowns, officials have in recent days already strengthened distancing rules across the greater Seoul area in which about half the country’s 52m people live. Further restrictions are under consideration.
The Korea Disease Control and Prevention Agency reported 583 new infections on Thursday, the worst daily total since the country’s initial outbreak linked to a massive cluster in a church group in late February and early March.
Gary Jones
The UN launched “16 Days of Activism against Gender-based Violence” on Wednesday, saying that “as countries implemented lockdown measures to stop the spread of the coronavirus, violence against women, especially domestic violence, intensified — in some countries, calls to helplines have increased five-fold”.
Even before Covid-19 hit, the UN said, “violence against women and girls had reached pandemic proportions. Globally, 243m women and girls were abused by an intimate partner in the past year. Meanwhile, less than 40 per cent of women who experience violence report it or seek help.”
Formal reports of domestic violence have decreased as survivors find it harder to seek help and access support through the regular channels, the UN said. School closures and economic strains had also left women and girls poorer, out of school and out of work, and more vulnerable to exploitation, abuse, forced marriage and harassment.
The new initiative is part of the UN’s UNiTE by 2030 to End Violence against Women campaign. It will continue until December 10, the global Human Rights Day, and calls for international action to bridge funding gaps, ensure essential services for survivors of violence during the pandemic, and encourage the collection of data that can improve life-saving services for women and girls.
Peter Wells in New York
The US on Wednesday reported more than 2,000 coronavirus deaths for the second day in a row, while hospitalisations have doubled in the past four weeks to a record of nearly 90,000.
State authorities attributed a further 2,284 deaths to coronavirus, up from 2,029 on Tuesday, according to Covid Tracking Project data. That was the biggest one-day jump in fatalities since May 7.
The country has averaged 1,584 deaths a day over the past week – the result of a record surge in cases and hospitalisations since the start of autumn that pushed up the overall death toll to a rate previously seen in mid-May.
There are 89,954 people currently in US hospitals being treated for coronavirus. That is a record high for the 16th day in a row and an increase of 99 per cent from the number of patients four weeks ago, according to an analysis of Covid Tracking Project data by the Financial Times.
Texas (200), Illinois (178), Ohio (156) and California (106) were the states that reported more than 100 new deaths on Wednesday. Ohio, Tennessee (92), Iowa (45) and Utah (26) had record jumps.
States reported 182,537 Covid-19 infections, the third-biggest daily jump since the start of the pandemic and about 10,000 more cases than the country’s seven-day average. Wednesday’s increase was still shy of the November 20 record of 192,805.
California and Texas separately reported record one-day increases in coronavirus cases — 18,350 and 14,648, respectively — but these were offset by the midwest, which has been at the forefront of the autumn surge but is now beginning to exhibit downward trends in daily cases.
Gary Jones
World Health Organization guidelines released on Wednesday warned that exercise was more important than ever during the pandemic, and that 5m deaths a year could be averted if the global population was more active.
WHO statistics show that one in four adults and four out of five adolescents do not get enough physical activity. This is estimated to cost US$54bn in direct healthcare globally, and another US$14bn to lost productivity.
With many people currently homebound due to Covid-19, the WHO’s new guidelines on physical activity and sedentary behaviour recommend 150 to 300 minutes of moderate to vigorous aerobic activity per week for all adults, including people living with chronic conditions or disability, and an average of 60 minutes per day for children and adolescents.
“Being physically active is critical for health and wellbeing – it can help to add years to life and life to years,” said WHO director-general Tedros Adhanom Ghebreyesus. “Every move counts, especially now as we manage the constraints of the Covid-19 pandemic. We must all move every day – safely and creatively.”
Donato Paolo Mancini, Anjana Ahuja and Clive Cookson in London
Disquiet is growing over the way that Oxford university and AstraZeneca have handled the early readout from trials of their coronavirus vaccine, which much of the developing world may rely on to emerge from the pandemic.
The results were hailed a success for showing an average efficacy of 70 per cent — a figure reached by pooling the results from cohorts on two different dosing regimens.
A month apart, one set of participants received two identical doses, while the other group received a half-dose, and then a full dose. The efficacy for the first, larger group was 62 per cent. In the second subgroup, it was 90 per cent.
But on Tuesday, Moncef Slaoui, the head of Operation Warp Speed, the US government’s funding programme for vaccine development, disclosed that the second subgroup was limited to people aged 55 or below, a demographic with lower risk of developing severe Covid-19.
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Gary Jones
Los Angeles Mayor Eric Garcetti on Wednesday launched “LA Optimized”, a tech-driven initiative to help small businesses recover from the pandemic.
LA Optimized aims to help small businesses adapt to the shifts in consumer behaviour brought on by the pandemic by boosting their digital marketing skills and optimising their online presence.
“Covid-19 has changed everything — the way we communicate, work, socialise and shop — and our brick-and-mortar stores need to rapidly rethink how they reach their customers, market their goods, sell their products and thrive when so much business is happening online,” Mr Garcetti said.
“Our small businesses are the backbone of our economic strength, and LA Optimized taps into the power of partnerships to equip local enterprises with a larger digital footprint and the tools necessary to gain a competitive edge and lead our pandemic recovery.”
The mayor’s office plans to allocate over $1.5m to support the initiative.
Alice Woodhouse in Hong Kong
Asia-Pacific stocks took a breather on Thursday following a pause for US equities after record highs earlier in the week.
In Japan, the Topix was down 0.1 per cent, the Kospi in South Korea was flat and the S&P/ASX 200 dipped 0.1 per cent.
On Wall Street on Wednesday, the S&P 500 dipped 0.2 per cent, stepping back from an all-time high as US unemployment rose for a second straight week. The figures, which come amid a surge in coronavirus cases, provided more evidence of weakness in the country’s labour market.
US markets will be closed on Thursday for Thanksgiving.
Gary Jones
New York Mayor Bill de Blasio announced on Wednesday that the city had amassed more than 150m items of personal protective equipment costing US$900m.
“A second wave is at our doorstep, and we’re taking zero chances on preparedness,” said Mr de Blasio. “New York City has stepped up so our frontline heroes and healthcare workers will have what they need to save lives.”
The city’s PPE stockpile now holds more than 45m isolation gowns, 58m surgical masks, 9m N95 masks, 5m face shields, 30m pairs of nitrile gloves and 900,000 pairs of goggles.
Peter Wells in New York
Texas reported more than 14,600 new coronavirus cases on Wednesday, a record jump for the second-day running, and more than 200 deaths. A further 14,648 people tested positive, authorities revealed, easing past the previous one-day record set on Tuesday of 13,998.
Additionally, the health department revealed 961 historical cases stemming from backlogs of lab tests, including 771 from the region around Houston, to the statewide total. That took the total number of confirmed cases in Texas since the start of the pandemic to 1.13m, second only to the 1.14m in California, which also reported a record jump in cases today.
Texas attributed a further 200 deaths to coronavirus, up from 162 yesterday and compared with 187 on Wednesday last week. The state reported 230 fatalities on November 19, which was the biggest one-day jump since late August. Over the past week, Texas has reported an average of 152 deaths a day, the highest rate since the start of September.
The state’s overall death toll, at 20,950, is second only to New York. There are 8,585 people currently in Texas hospitals being treated for coronavirus, an increase of 90 over the past 24 hours. That is the highest level of hospitalisations since August 4.
Guy Chazan in Berlin
Angela Merkel and the leaders of Germany’s 16 states have decided to extend the partial shutdown imposed for the month of November until December 20, saying more needed to be done to bring the coronavirus pandemic under control.
In a government order agreed late on Wednesday evening, the leaders agreed to keep all restaurants, bars, theatres and gyms closed till late next month and to extend the ban on domestic tourism. Schools and most businesses will continue to function as normal.
A government scheme to compensate businesses affected by the “lockdown-lite” imposed at the start of November, which allowed them to claim 75 per cent of their normal monthly revenue, will be extended into December.
A statement said the November lockdown had succeeded in stopping the exponential growth in coronavirus infections and flattening the curve. But the number of cases was still too high: on November 20 a new daily record of 23,648 infections was recorded by the Robert Koch Institute, Germany’s main public health authority.
The order agreed on Wednesday evening also imposed further contact restrictions. Masks must now be worn in front of shops as well as in them. Smaller shops can only admit up to one person per 10 square metres of retail space, and larger ones one person per 20 square metres.
Districts that have succeeded in reducing the rate of new infections to 50 per 100,000 people within seven days will be able to deviate from the new rules.
The leaders also agreed that from December 1, social gatherings will be restricted to a maximum of five people from up to two households. This rule will, however, be relaxed from December 23 till January 1, when up to 10 people can come together socially.
People will be urged to reduce all social contact to an absolute minimum for five to seven days before family get-togethers at Christmas. People will be obliged to wear masks at work and in busy public areas, as will children at school from the age of 13. Universities will have to switch to digital learning. New Year’s Eve firework displays in crowded streets and public squares will be banned.
Peter Wells in New York
California reported more than 18,000 new coronavirus cases on Wednesday, the biggest one-day increase of any state during the pandemic.
A further 18,350 people in the most populous US state tested positive, its health department revealed this afternoon, up from 15,329 on Tuesday.
The latest increase soars past its previous record from Saturday of 15,442 as well as the biggest jumps in Florida, Texas and Illinois.
Adjusted for population, the roughly 46 new cases per 100,000 people on the day, ranks among the bottom half of US states.
The record jump came from 168,988 tests reported, down from Tuesday’s record volume of 283,819, and below the state’s 14-day average of about 192,000. This pushed the 14-day positivity rate to 5.9 per cent, a three-month high.
Authorities attributed a further 106 deaths to coronavirus, up from 43 on Tuesday and compared with 61 on Wednesday last week. Today’s increase matches that of November 19, which was the biggest one-day rise in fatalities since late October.
The number of people currently in California hospitals being treated for coronavirus rose to 7,049, an increase of 408 over the past 24 hours and to the highest level since early August.
The recent surge in cases and hospitalisations in California prompted Governor Gavin Newsom to impose a curfew, which went into effect on November 21, that restricts late-night activities in the state’s coronavirus hotspots for the next four weeks. The designated hotspots cover 94 per cent of the state’s nearly 40m residents.
President-elect Joe Biden urged Americans to forgo their traditional Thanksgiving customs during the pandemic, warning of the dangers of coronavirus “fatigue”. “This is the moment where we need to steel our spines, redouble our efforts and recommit ourselves to the fight,” Mr Biden said in a Thanksgiving speech.
ExxonMobil said it will sack up to 300 workers at its Canadian affiliates, including oil sands producer Imperial Oil, as it continues to reduce costs in the wake of the coronavirus-led crash this year. “The impact of Covid-19 on the demand for ExxonMobil’s products has increased the urgency of the efficiency work,” the company said.
Turkey is in the midst of a severe resurgence of coronavirus, the country’s health minister has confirmed as he announced a full figure for confirmed new daily cases after months of opacity. Health minister Fahrettin Koca said in a press conference that authorities had identified 28,351 confirmed cases of the virus in the past 24 hours.
The UK pub industry has outlined the desperate straits they face over the Christmas period in a letter to the prime minister that calls for the immediate publication of evidence of the virus spreading in pubs. The letter was signed by the British Beer and Pub Association alongside the majority of the UK’s large pub groups.
New York on Wednesday reported more than 6,000 coronavirus cases in a single day for the first time in seven months. A further 6,265 people tested positive over 24 hours, Governor Andrew Cuomo revealed at a press conference, up from 4,881 on Tuesday.
The US goods trade deficit swelled last month as a recovery in domestic demand has driven imports back above pre-crisis levels. The trade gap, which US president Donald Trump had vowed to slash during his four years in office, widened to $80.3bn in October, from $79.4bn in September, the Department of Commerce said.
More than £56m has been set aside to support an additional 1,000 loans for entrepreneurs under the start-up loans scheme administered by the state-owned British Business Bank. The government has said that £519m would be allocated for the broader Covid-19 loans schemes through 2021.
Global trade rose for the fourth consecutive month in September, narrowing the gap with last year’s level as China’s economic rebound fuelled global imports and exports. The volume of international goods trade rose 2.1 per cent in September compared with August, according to a widely watched world trade monitor published by the Netherlands Bureau for Economic Policy Analysis.
Large minorities in “frugal” EU countries are concerned about the misuse of the bloc’s €750bn pandemic recovery fund. The EU sealed a deal on the recovery fund in July after resistance from Austria, Denmark, the Netherlands and Sweden, which were opposed to the idea of permitting the union to borrow money and hand it out as budgetary expenditure for member states.
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