Woman followed into basement and raped in Whitechapel, police say

Crime reporter(wp/es):

Police have launched a manhunt after a woman was followed into a basement in east London and raped.

The Met released an image of a suspect on Tuesday, following the attack in Whitechapel on November 9.

The 22-year-old was approached by a man in Hanbury Street at about 2.10am, police said. 

Scotland Yard said the suspect followed her into a building before raping her in the basement of the address.

He left about 20 minutes later.

Police said the suspect is described as a black man aged between 25 and 35 years.

He wore a dark coloured body warmer, which he left behind at the scene of the attack, along with a grey hat. He was then pictured in a grey jumper after the attack.

The victim is currently being supported by specially trained officers.

There have been no arrests as officers continue to investigate.

Anyone who recognises the man, or has information, is urged to call police on 020 8733 5999, or Crimestoppers anonymously on 0800 555 111.

Britain's May seeks to cut deal on future EU ties in Brussels

Political reporter(wp/reuters):
Prime Minister Theresa May met the EU’s chief executive in Brussels on Wednesday to discuss a blueprint for Britain’s future ties, hoping to secure commitments that will appease rebels at home opposed to a Brexit draft treaty.

With just over four months before Britain leaves the bloc, May’s meeting with European Commission President Jean-Claude Juncker aims to try to finalise an outline of future relations before a summit of EU leaders on Sunday.

The two leaders shook hands in front of TV cameras at the Commission’s headquarters but declined to answer questions.

Outstanding issues include a Spanish threat to block the so-called political declaration over Gibraltar as well as problems from other states on fishing rights and future trade ties.

One EU diplomat said there was still “some work needed on those three aspects: fish, goods and Gibraltar ... Juncker and May will try to sort it out.” A second EU diplomat said: “The only thing really outstanding is Gibraltar.”

Spanish Prime Minister Pedro Sanchez demanded assurances that the future of the disputed British territory of Gibraltar would be settled through direct talks with Madrid.

Many in Brussels thought Sanchez was trying to score points with voters at home before a Dec.2 local election in the southern Andalusia region. They said the issue could be solved by the leaders and warned Madrid not to put the whole Brexit agreement at risk. [L8N1XW2P7]

The British and European parliaments must ratify a deal to end more than 40 years of partnership before Brexit day, or Britain could leave the EU with no treaty.

The publication last week of a draft exit treaty sparked the biggest crisis of May’s premiership, with two cabinet ministers quitting and dozens of Conservative members of parliament calling on her to step down. They accuse May of making too many concessions to the EU, while others oppose Brexit altogether.

May hopes the blueprint on future relations — a political document of about 20 pages meant to be agreed side-by-side with the legally binding 600-page exit treaty — will help win back enough support at home for her approach to pass in parliament.

Despite the political turmoil around her, May has shown no sign in public of any doubt that she can bring home a deal.

The draft treaty envisages Britain staying in a customs union with the bloc, which many Brexit supporters see as a compromise too far.

The EU is trying to discourage Britain from any renegotiation of the draft treaty, while also seeking to assuage concerns expressed by some of the remaining 27 member states. While unanimity among the 27 is not legally required to endorse the deal now, the bloc seeks a unified stance.

NO RENEGOTIATION

“We are following the latest developments with growing concern,” said a second EU diplomat. “No one wants to reopen the withdrawal agreement.”

Both sides have also been advancing contingency plans for the worst case scenario — Britain crashing out of the EU without an agreement.

Diplomats in Brussels said Britain was also seeking an easy flow of goods after Brexit, a position which was too close to the privileges allowed only for countries that sign up to EU single market rules, including free flow of people and services.

“The UK wants free movement of goods, which they won’t get because that’s back to discussing partial access to the single market, which we don’t do,” another diplomat said.

In addition, France has called for more guarantees on future access to Britain’s fishing waters, which London wants to keep firmly under its control after Brexit.

EU states with pending issues are seeking to address them either through the blueprint of post-Brexit EU-UK ties or through separate EU statements. France has backed such extra declarations, while Germany opposed them, saying the focus should be on completing the blueprint.

EU envoys will meet on Thursday morning to discuss the outline of future ties. Negotiators will then look at it again at a meeting set for Friday.

FTSE snaps three-day rout as banks, energy bounce back

Business correspondent(wp/Reuters):
UK shares rebounded on Wednesday from three-week lows touched a day earlier, led by bank and energy stocks and also bolstered by upbeat results from Johnson Matthey that helped soothe investor concerns about slowing earnings growth.

The FTSE 100 .FTSE was up 0.6 percent at 1044 GMT, snapping three days of consecutive losses, with banking and energy sectors accounting for most of the gains so far. The FTSE 250 .FTMC was up 0.03 percent.

All major euro-zone bourses were in positive territory as Italian banks rebounded on hopes that Rome may compromise with Brussels over its budget plans, and the battered tech sector recovered after a widespread sell-off prompted by worries over iPhone demand.

Banks .FTNMX8350 were up 1.6 percent, while oil and gas stocks rose 0.9 percent as crude prices recovered. [O/R]

Otherwise, a mix of earnings, management changes and broker recommendations were driving individual moves.

Johnson Matthey (JMAT.L) topped the blue chip leader board, rising 8.3 percent and on track for its best day in more than a year after delivering an increase in first-half profits, issuing an upbeat outlook and pledging a rise in dividend.

NMC Health was buoyed by a JPMorgan upgrade.

Among the losers, Sage Group (SGE.L) fell 4.1 percent to its weakest in years after the British software provider cautioned about slowing growth and lowered its margin guidance, which analysts said implied a 10-17 percent downgrade.

“The implied share price hit today is probably less negative than the actual forecast cut,” said Investec analysts.

“While the news today is bad, there is an element of kitchen sink with a new CEO coming in, the strategy as laid out seems reasonable enough,” they said.

Kingfisher (KGF.L), Europe’s second largest home improvement retailer, was 3.2 percent lower after reporting weak quarterly sales in France and announcing plans to exit Russia, Spain and Portugal, which raised questions over its plan to increase profit.

There was plenty of action on the midcap index. Indivior (INDV.L) sank another 14 percent as its full-year guidance earlier in the morning failed to reassure investors after the company lost a legal battle on Tuesday over its blockbuster film-based opioid addiction treatment.

Babcock (BAB.L) hit their lowest in more than seven years after taking a one-off restructuring charge and warning that income from nuclear decommissioning would fall sharply next week. They are down 22 percent in the year to date.

Talktalk (TALK.L) was down 5.5 percent after its trading update and SSP Group (SSPG.L) were on track for their worst day on record as news of the CEO departure offset better-than-expected results.

UAE jails UK academic for life for spying, Britain says ties will be hurt

Crime reporter(wp/Reuters):

A UAE court sentenced British academic Matthew Hedges to life in prison on charges of spying for the British government on Wednesday, his family and a state-run newspaper said, in a move described as deeply disappointing by Prime Minister Theresa May.

The hearing lasted less than five minutes and his lawyer was not present, his family said.

“We are of course deeply disappointed and concerned at today’s verdict,” May told parliament. She and Foreign Minister Jeremy Hunt said they were raising the case at the highest levels of the UAE government.

“Today’s verdict is not what we expect from a friend and trusted partner of the United Kingdom and runs contrary to earlier assurances,” Hunt said in a statement.

He said the handling of the case by Emirati authorities would have repercussions on relations between the old allies and urged them to reconsider their decision.

Hedges, a 31-year-old doctoral student at Durham University, has been held in the UAE since May 5, when he was arrested at Dubai International Airport after a two-week research visit.

The evidence presented against him consisted of notes from his dissertation research, his family said.

“I am in complete shock and I don’t know what to do. Matthew is innocent,” said Hedges’ wife, Daniela Tejada, who was present in the Abu Dhabi courtroom and said he was shaking when he heard the verdict.

A Reuters journalist was barred from entering the hearing, which was closed to the public. A court statement about the verdict was carried by state-run newspaper The National.

A life sentence for a non-Emirati entails a maximum of 25 years in jail and is followed by deportation, according to The National.

The court ruled that his devices and research would be confiscated, the newspaper reported, adding that Hedges could appeal the ruling within 30 days.

Emirati authorities could not immediately be reached for comment.

Hedges was released on bail in late October, but had been held in solitary confinement for five months before that, his family said.

He was made to sign a confession statement in Arabic that he did not understand and experienced deterioration in both his physical and mental health during his detention, they added.

The National reported that he was arrested after an Emirati man told police he had been asking for sensitive information and confessed to the charges during questioning.

According to Durham University’s website, Hedges is a doctoral student in the School of Government and International Affairs whose research interests include civil-military relations, political economy and tribalism.

More than 120 academics from around the world have issued a petition urging UAE authorities to release him.

Durham released a joint statement with Exeter University, where Hedges completed his Master’s degree, expressing concern over his welfare and attesting that he had conducted his research in accordance with its policies.

The UAE is a tourism and trade hub for the Middle East, but tolerates little public criticism of its ruling families or policies.

UK factory orders recover after October slump - CBI

Business correspondent(wp/Reuters):

British factory orders bounced back in November after falling sharply in October, a survey showed, potentially easing concerns about the scale of a slowdown in the economy ahead of Britain’s departure from the European Union in March.

The Confederation of British Industry said its monthly order book balance rose to +10 from -6 in October, the sharpest fall in two years.

November’s reading was stronger than all forecasts in a Reuters poll of economists.

“It’s encouraging to see an improvement in the manufacturing sector after October’s stark survey, with order books and output growth on the up,” Rain Newton-Smith, the CBI’s chief economist, said.

“But the future prosperity of manufacturers depends on getting the Brexit deal right. The overwhelming message from business to the government is to make progress, don’t go backwards.”

British Prime Minister Theresa May last week agreed a withdrawal deal with Brussels that would give the country a transition period for leaving the EU.

But the agreement faces stiff resistance in May’s Conservative Party, meaning it could fail in parliament.

Manufacturing accounts for about 10 percent of total British economic output.

With Carney warning of 1970s-style shock, UK firms ready for no-deal Brexit

Business correspondent(wp/Reuters):
Companies began triggering plans to keep operating if Britain leaves the European Union without an agreement, a “no deal” scenario the Bank of England said could plunge the economy into a crisis not seen since the 1970s.

With less than five months before Britain leaves the bloc, Prime Minister Theresa May is struggling to persuade parliament to back a draft divorce deal agreed with Brussels last week.

She won the backing of Bank of England Governor Mark Carney, who warned that a no-deal Brexit could hit the economy in a way not seen since the oil crisis that pushed many western nations into recession just after Britain had joined what is now the EU in 1973.

But the warnings and a charm offensive launched by May to court public opinion have done little to win over her critics, who are trying to force her to change tack over Brexit, Britain’s biggest policy shift in more than 40 years.

Northern Ireland’s Democratic Unionist Party, which props up May’s minority Conservative government, again said it would vote against her deal in parliament.

“All of our efforts are directed along with a large number of Conservative MPs from both the remain camp and the leave camp as well as opposition parties to defeat this deal and force a rethink,” the DUP’s Brexit spokesman Sammy Wilson told Sky News when asked if his party would bring down May’s government.

The prime minister may have hoped opposition to what is a draft divorce deal with the EU would fade after an attempt to unseat her by pro-Brexit Conservatives seemed to be fizzling out.

For her, it was business as usual. She will meet European Commission President Jean-Claude Juncker in Brussels on Wednesday to discuss an agreement on future ties before EU leaders are due to rubber-stamp the divorce deal on Sunday.

But one eurosceptic lawmaker, Jacob Rees-Mogg, said May had taken a “deliberate decision not to deliver a proper Brexit” and the prime minister’s opponents were adhering to the mantra that “patience is a virtue” in their attempt to oust her.

STARK CHOICE

May has warned lawmakers they have a simple choice: back her deal or risk ushering in a no deal departure, a delay to Brexit or possibly no Brexit at all.

Carney, who angered many Brexit campaigners by warning of the hit to economic growth from the decision to leave the EU, was also keen to illustrate the risks if the deal were voted down in parliament.

“This would be a very unusual situation ... It is very rare to see a large negative supply shock in an advanced economy. You would have to stretch back at least in our analysis until the 1970s to find analogies.”

Welcoming the transitional period in the draft deal with the EU, he also said there were limits to what the central bank could do in the event of a Brexit shock to the economy, both in terms of a fall in demand and ensuring lending by banks.

Earlier, the BoE said it would fulfill a request from parliament’s Treasury Committee to provide analysis of how the draft Brexit divorce deal “will affect the Bank’s ability to deliver its statutory remits for monetary and financial stability, including in a ‘no deal, no transition’ scenario”.

Doubts over the vote in parliament have pushed companies which have “no deal” contingency plans to start triggering them.

Electrocomponents (ECM.L), which stocks more than half a million industrial and electronics products, said it would spend 30 million pounds ($39 million) to increase its holding of fast-moving lines in Britain and Europe. AO World (AO.L), an online electricals and white goods group, said it might increase stock to mitigate any friction in the supply chain while Compass (CPG.L), the world’s biggest catering firm, said it was looking to build inventory and vary its menus before Brexit next March.

More than two years after Britons voted by 52-48 percent to leave the EU, it is still unclear how, on what terms or even if it will leave as planned on March 29, 2019.

The EU is due to hold a summit to discuss the draft deal on Nov. 25. Some eurosceptic ministers in May’s cabinet want her to rewrite parts of it, though EU governments have largely ruled this out.

Justice Secretary David Gauke said talks were now moving on to Britain’s future relationship with the EU.

“The withdrawal agreement is essentially done. We have had thousands of hours of negotiations with the European Commission and we have reached a deal where there have been compromises on both side,” he told BBC radio.

“The withdrawal agreement meets our key objectives in terms of the integrity of the United Kingdom which is so important to all of us in government, especially the prime minister.”

Bank of England chief Carney backs UK PM May's Brexit deal

Business correspondent(wp/Reuters):
Bank of England Governor Mark Carney gave his backing to a Brexit deal struck by British Prime Minister Theresa May, saying the alternative of leaving the European Union with no transition could be akin to the 1970s oil shock.
“We have emphasized from the start the importance of having some transition between the current arrangements and the ultimate arrangements,” Carney said, speaking to lawmakers on Tuesday. “So we welcome the transition arrangements in the withdrawal agreement ... and take note of the possibility of extending that transition period.”

May agreed with Brussels last week on a deal for Britain’s withdrawal from the EU in little more than four months’ time. But the agreement faces stiff resistance in her Conservative Party, meaning it could fail in parliament.

The value of sterling fell sharply on concerns that Britain could leave the EU with no deal.

Carney angered many euroskeptics before the 2016 Brexit vote by warning of a hit to economic growth from a decision to leave the EU. On Tuesday he said a lack of a transition would deliver a “large negative shock” to the British economy

“This would be a very unusual situation,” he said. “It is very rare to see a large negative supply shock in an advanced economy. You would have to stretch back at least in our analysis until the 1970s to find analogies.”

An oil embargo by OPEC exporters imposed over the 1973 Arab-Israeli war and a leap in crude prices plunged many western economies into deep recessions.

Carney also said there were limits to what the BoE could do in the event of a Brexit shock to the economy, both in terms of offsetting a fall in demand and ensuring the country’s banking industry was able to continue lending.

“I think we’ve put (the financial sector) in a position ... where it would dampen it,” he said. “That is not the same thing as saying it will be alright.”

Carney and other BoE officials speaking alongside him on Tuesday repeated their warning to investors not to assume that the central bank would respond to a no-deal shock by cutting interest rates, as it did after the Brexit referendum in 2016.

“That depends on the balance of demand, supply and the exchange rate... We could see either scenario,” Carney said.

He also said a planned analysis by the central bank of the economic implications of Brexit would not include a scenario in which Britain stays in the bloc.

Some of the analysis is due to be published on Nov. 28 alongside the latest bank stress tests and an assessment of Britain’s financial stability by the BoE.