Wednesday newspaper round-up: Water companies, Hargreaves Lansdown, Klarna

28th Aug 2024 07:24

(Sharecast News) - Water companies will struggle to raise the billions of pounds needed to clear Britain's waterways and fix its creaking infrastructure under the regulator's plan to keep a lid on rising water bills, the industry will warn. The water sector's trade association is expected to warn the industry regulator that its proposals to cap the steady rise in household bills by curbing water company spending may drive away the investors needed for a multibillion-pound overhaul of water infrastructure. - Guardian

British ports will be given £10.5m in state support to prepare for increased border checks this autumn, when the EU's much-delayed entry-exit system (EES) comes into effect. The money will go to the Port of Dover, Eurotunnel's Folkestone tunnel and St Pancras International in London, where Eurostar trains depart, to supplement investment in facilities to avoid long tailbacks at the borders. - Guardian

Britain's power and gas suppliers have been ordered to protect their customers from falling into debt as the Government strips millions of pensioners of their winter fuel allowance. Companies will on Wednesday be warned that letting customers run into excessive arrears could put suppliers in breach of their licences to operate. - Telegraph

The co-founder of Hargreaves Lansdown has described the £5.4 billion agreed bid price for the UK's biggest DIY investment platform as "questionable" and "not the greatest deal in the world". Stephen Lansdown, who co-founded the business in 1981 with Peter Hargreaves, said the £11.10 per share take-private offer was nevertheless "fair" and would remove the FTSE 100 business from the limelight to enable it to focus on growth. - The Times

Klarna, the buy now, pay later lender, has cut more than 1,000 staff partly due to artificial intelligence and plans to shed almost twice that number ahead of a stock market flotation. The Stockholm-based financial technology group, which wrote off SwKr2.33 billion (£173 million) in bad loans in the first half of 2024 as more shoppers using the popular form of credit defaulted on their borrowings, said: "Our proven scale efficiencies have been enhanced by our investment in AI, which has driven down operating expenses and improved gross profits." - The Times