Number of British millionaires sinks during recession

The downturn has forced thousands of wealthy Britons out of the club of millionaires, and the trend is only likely to turn around in two years, a British independent research group says.

The number of millionaires has been halved in the past two years to just below 250,000, according to the latest estimates of the Centre for Economics and Business Research (CEBR).

The 2009 list of Britain's richest 2000 published in the Sunday Times also shows that the number of British billionaires has fallen to 43 from 75 in 2008 and both the leading two billionaires this year reported their assets have plummeted by more than 60 percent.

For the full story by Dongying Wang, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

UK into action to pursue clean coal power generation

Britain has started to test carbon capture and storage (CCS) technology at a working coal-burning power plant in Scotland. This has been hailed as a milestone” in the country’s green energy revolution.

With a potential in removing around 90 percent of the CO2 emitted by burning fossil fuels, the CCS is expected to help ensure energy supply in an environmental-friendly way.

Britain has also joined hands with Norway to tap the potential of the North Sea to store CO2, as part of its efforts to accelerate the commercial application of the green tech at an earlier date.

Britain has set off on a journey to fulfil its ambition to lead the world's low-carbon transformation.

For the full story by Dongying Wang, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

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Virgin Atlantic flying high despite recession

The top two airlines in Britain have reported conflicting business results in the downturn. Leading operator British Airways has sustained record losses over the past year. In contrast, Virgin Atlantic saw its profits double in 2008.

The number of premium travellers has been cited as a key factor in Virgin Atlantic’s success. And how management reacted to the volatile oil prices proved to be crucial to the companies’ performance.

Animosity between the two airlines has been long running, and their market competition has increased further in the downturn.

While celebrating its success, Virgin Atlantic is still concerned about tactics employed by British Airways, especially its attempt to merge with American Airlines.

For the full story by Dongying Wang, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

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Tight credit turns more Britons into loan shark victims

An independent think tank has sent a warning that more Britons will fall victim to loan sharks, as the recession continues to bite and sub-prime lending is shrinking.

Mortgage lending alone has contracted by 60 percent compared to a year ago. And there is no clear sign of recovery in months to come.

Local authorities are urged to protect those financially vulnerable from using predatory lenders, by taking measures such as mapping unlicensed lending, increasing public awarness, and enchancing enforcement against illegal lending.

For the full story by Dongying Wang, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

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Recession incurs record losses for British Airways

British Airways (BA) has announced record losses during the past one year, the most significant failure experienced by the company in its 85 year history.

Formed in 1924 as Imperial Airways Ltd., the business has transformed considerably over the years.

It was nationalised in 1974 by the then Labour government and became known as British Airways, combining both BEA (British European Airways) and BOAC (British Overseas Airways Corporation).

In 1987, the airline was privatised in an attempt to turn the company around after continued losses. Despite a certain amount of controversy surrounding the floating of British Airways on the London Stock Exchange, the privatisation was seen as a success with massive profits recorded by the early 1990s.

But within ten years of privatisation, the airline began to struggle as competition from other airlines increased, coupled with high oil prices. Although BA managed to turn its financial position around by the millennium, the recession has brought back all the old problems.

For the full story by Dongying Wang and Rob Welham, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

Scrappage scheme launched to save British car industry

Following the steps of other EU nations, Britain finally implemented on May 18 a car scrappage scheme, to encourage people to dump their old bangers for discounted new models.

Britain hopes this incentive will save its battered motor industry by boosting sales. Nearly 40 car makers have signed up to the scheme, and some with earlier trials have reported positive market feedback.

However, it still begs the question as to how effective the scheme will be in reactivating the vehicle market, as it will only run 10 months or until government funding runs dry.

For the full story by Dongying Wang and Rob Welham, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

Camping sought as cheaper holiday in recession

Many Britons are opting to camp at home instead of holidaying abroad in hotels as recession continues biting and the pound remains weak.

This has resulted in rising bookings at campsites and increased sales of camping equipment.

More importantly, going camping fills many with nostalgia for their happy childhood, though it brings not only joy but also drawbacks, which both were vividly shown in the British comedy Carry on Camping, released 40 years ago.

For the full story by Dongying Wang and Rob Welham, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

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British communications giants in limbo

BT Tower in Central London

Massive pensions deficits are reasons behind an uncertain future facing both Royal Mail and BT, two of Britain’s communications giants.

BT has reported huge losses. And despite large profits made by the Royal Mail last year, few believe it will be enough to turn the company around.

Royal Mail is on the way to become partially privatized, a plan which many fear will result in further job losses, and bring an end to a piece of Britain’s heritage.

For the full story by Dongying Wang and Rob Welham, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

Photo by Gaetan Lee

Britain urged to strengthen global financial ties

UK-based financial services elites have proposed a framework to the British government to develop its policy to keep UK financial services competitive over the coming 10 to 15 years.

The country is advised to better integrate the global financial services industry into its own domestic economy, and develop a strategic partnership with other financial centres in the world.

Britain is warned against taking for granted all of its qualities and advantages in financial services, and meanwhile is expected to take a lead in formulating international regulations.

For the full story by Dongying Wang and Rob Welham, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

Tougher speed enforcement invites criticism

The increased speed enhancement on Britain’s roads has turned the country into Europe’s capital of speed cameras.

For speeding motorists, there will be soon less possibility to escape tickets and penalties, something which the public would support.

However, the effectiveness in reducing road accidents by fixing more speed cameras has been questioned. Its increased use has even been interpreted by many as a quick way to increase revenue rather than a good solution to road safety.


For the full story by Dongying Wang and Rob Welham, published by Xinhua News Agency in May 2009, please click here . Also, please return to the blog to post your comment.

Consumer education boosted to fight online fraud

New research, undertaken to investigate Britons’ awareness of consumer rights, has raised concerns, as more than half of the surveyed are less confident to complain when things go wrong because they lack enough knowledge of consumer rights.

In Britain, where online shopping gets more popular, one quarter of online shoppers fail to check whether a website is safe and secure before inputting their bank details.

As such, the government is seeking effective measures to help the public better understand consumer rights and prevent them from shopping scams, especially those dealt with by online transactions.

For the full story by Dongying Wang, published by Xinhua News Agency in May 2009, please click here. Also, please return to the blog to post your comment.

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