Out of the frying pan…

8 May 2015 By George Hay Follow @gfhay

Britain’s election will give firms a short-term boost. A much better than anticipated showing by Prime Minister David Cameron’s Conservative Party will soothe investors who had feared an inconclusive result. But the surprisingly decisive outcome creates medium-term headaches.

This content is for Subscribers only

Context News

Prime Minister David Cameron’s Conservatives are on course for a majority after an unexpectedly strong showing in the UK election.

The BBC forecast an overall majority for the Conservatives of 328 seats in the 650-seat House of Commons.

Ed Miliband, leader of the main opposition Labour Party, said he was “deeply sorry” for a “very disappointing and difficult night.”

With almost all of Scotland’s 59 parliamentary seats counted, the Scottish National Party (SNP) had won 56 of them. The Liberal Democrats are heading for as few as eight MPs.

Sterling leaped to its highest in over two months against the dollar, gaining 1.6 percent on the day to $1.5486 after rising as high as $1.5523, its highest since Feb. 26.

The FTSE 100 climbed 1.6 percent in early morning trading. Risers included Lloyds Bank up 7.2 percent, Centrica up 6.6 percent, Royal Bank of Scotland up 5.8 percent and Barclays up 4.1 percent.

This context news is being regularly updated.

Email a friend

Please complete the form below.

Required fields *