Goldman Sachs boss takes potshot at bonuses-papers

The chief executive of Goldman Sachs yesterday called the mounting public fury over bankers' pay "understandable and appropriate”, reports the Independent.

Speaking at a conference in Hamburg, Lloyd Blankfein said: "There is little justification for the payment of outsized discretionary compensation when a financial institution lost money for the year."

He also called for a blanket ban on multi-year guaranteed bonuses, saying they were "bad for the long-term interests of our industry and the financial system". Full story.....

The Bank of England is widely expected to hold interest rates at 0.5% for the sixth month in a row, when it announces its decision later, reports the BBC.

It is also likely to maintain its programme of pumping money into the economy - called quantitative easing - but is not tipped to extend it.

Recent data has suggested the UK has begun to climb out of recession. But the Bank has warned recovery is not assured and it will take months for its policies to have full impact. Full story....

General Motors (GM) is set to retain ownership of its European business, removing the short-term threat of thousands of job losses at Britain's Vauxhall plants, reports the Times.

The US carmaker had been considering selling its European Opel and Vauxhall brands in the face of the worldwide downturn in new vehicle sales. An announcement is expected to made in Berlin later today, ending months of speculation about the future of the business.

GM's board has held a two-day meeting in Detroit and is believed to have signalled a decision not to go ahead with a sale. Full story.......