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FTSE 100 lowest since 1 April<\/p>\n
Britain\u2019s main stock index has dropped to its lowest level in almost a month, on a busy morning for corporate news.<\/p>\n
The FTSE 100 share index dropped by 52 points, or 0.5%, in early trading to 10,280 points, its lowest level since 1 April.<\/p>\n
Wealth manager St James\u2019s Place are the top faller, down 6.3%, after reporting a drop in net inflows in the first quarter of 2026 amid \u201cheightened geopolitical uncertainty and market volatility\u201d.<\/p>\n
British drugmaker GSK are down 2.7%, after reporting first-quarter profit and sales above analysts\u2019 expectations. Fellow pharmaceuticals giant AstraZeneca (1%) are also among the fallers, despite beating profit expectations this morning thanks to strong demand for its cancer and rare-disease drugs.<\/p>\n
Share<\/a> Meta now has the chance to examine the commission\u2019s investigation file and mount a defence against the charge that it has breached of EU law for failing to prevent children under 13 from using its Facebook and Instagram platforms.<\/p>\n If the finding against the Silicon Valley company is upheld, it could be fined up to 6% of its global annual turnover. Meta reported revenue of $201bn (\u00a3148bn) for 2025.<\/p>\n Share<\/a>EC: Meta failing to prevent minors under 13 from using Instagram and Facebook<\/p>\n Newsflash: The European Commission has preliminarily found Instagram and Facebook in breach of Europe\u2019s Digital Services Act (DSA) for failing to protect minors.<\/p>\n The EC says the two services, both owned by Meta, failed to \u201cdiligently identify, assess and mitigate the risks of minors under 13 years old accessing their services\u201d.<\/p>\n It is proposing that Instagram and Facebook must change their risk assessment methodology, and strengthen their measures to prevent, detect and remove minors under the age of 13 from their service.<\/p>\n In a statement outlining its preliminary findings, the EC says there are no effective controls to prevent a minor below the age of 13 from entering a false birth date, and labels Meta\u2019s tool for reporting minors under 13 on the platform as \u201cdifficult to use and not effective\u201d<\/p>\n Henna Virkkunen, executive vice-president for Tech Sovereignty, Security and Democracy, says:<\/p>\n double quotation markMeta\u2019s own general conditions indicate their services are not intended for minors under 13. Yet, our preliminary findings show that Instagram and Facebook are doing very little to prevent children below this age from accessing their services. The DSA requires platforms to enforce their own rules: terms and conditions should not be mere written statements, but rather the basis for concrete action to protect users \u2013 including children.<\/p>\n Share<\/a><\/p>\n Elsewhere in banking, Santander UK is taking an extra \u00a3179m provision to cover the cost of the motor finance scandal.<\/p>\n The charge has pulled Santander UK\u2019s pre-tax profits in Q1 2026 down to \u00a3202m, from \u00a3358m a year earlier.<\/p>\n It also lifts the company\u2019s total provision to \u00a3633m, which is \u2018at the upper end of the previously assessed range.\u2019<\/p>\n This comes after the Financial Conduct Authority issued its plans for a compensation scheme for customers who were overcharged for loans when buying a car, due to commission payments between lenders and car dealers between 2007 and 2024.<\/p>\n Santander UK has decided not to challenge the scheme, and has updated its scenarios and assumptions including operational and legal costs. However, the FCA\u2019s proposals is now being challenged by Consumer Voice<\/a>, who argue it does not compensate enough customers affected.<\/p>\n Share<\/a>Lloyds profits jump despite \u00a3151m impairment charge from Middle East conflict<\/p>\n Lloyds Banking Group has shrugged off the economic uncertainty caused by the Iran war, by beating profit expectations for the first three months of the year.<\/p>\n Earnings at Lloyds jumped by a third in the first three months of 2026 to \u00a32bn, up 33% compared with a year ago, and ahead of analyst forecasts of \u00a31.8bn.<\/p>\n Lloyds chief executive Charlie Nunn said the banking group\u2019s business model was \u201cresilient in the context of the current economic uncertainties\u201d, adding:<\/p>\n double quotation mark\u201cWe remain focused on supporting UK households and businesses as they look to strengthen their financial positions and achieve their goals.\u201d<\/p>\n Lloyd also took a \u00a3151m impairment charge to reflect \u201cthe deterioration in economic outlook as a result of the Middle East conflict\u201d. However, that was partly countered by a \u00a350m improvement in \u201cglobal tariff and political disruption risks\u201d.<\/p>\n Share<\/a><\/p>\n The uncertainty over the Middle East conflict means many holidaymakers are delaying their bookings until closer to departure time.<\/p>\n Jet2, the flights and package holiday firm, has reported this morning that since the conflict began, its customers\u2019 \u201cbooking profile has become increasingly close to departure\u201d, adding:<\/p>\n double quotation markAt present, Q1 (April, May, June) combined average load factor is in line with the prior year, with the current geopolitical uncertainty limiting visibility for the peak summer season and beyond.<\/p>\n As previously stated, we continue to invest in load factor and remain fully committed to pricing that is attractive and represents real value to our Customers.<\/p>\n Passenger bookings for summer 2026 are up 6.2% compared with the previous year, while Jet\u2019s capacity is currently 7.7% higher than in summer 2025.<\/p>\n The company adds that it has \u2018a high degree of cost certainty\u2019 about its jet fuel costs, as it has hedged 87% of its summer requirements.<\/p>\n Share<\/a><\/p>\n Heathrow has warned that it faces an \u2018uncertain outlook\u2019, after a positive start to the year.<\/p>\n London\u2019s largest airport has reported a 3.7% rise in passengers in the first quarter of this year, up to 18.9m.<\/p>\n It says:<\/p>\n double quotation markFollowing airspace closures in the Middle East, there was an increase in transfer passengers across Heathrow\u2019s network. While Heathrow has temporarily absorbed demand from elsewhere, passenger numbers for the rest of the year are likely to be impacted whilst there is significant uncertainty in the Middle East.<\/p>\n Heathrow adds that it has \u201cseen some impact from recent Middle East disruption\u201d, but has not yet updated its outlook for 2026.<\/p>\n Share<\/a><\/p>\n Updated at\u00a002.35 EDT<\/p>\n More UK firms fall into financial distress<\/p>\n The number of UK businesses in \u201ccritical financial distress\u201d has jumped by more than a third amid fresh pressure linked to the conflict in the Middle East, according to new research.<\/p>\n Hotels and leisure firms are in particular distress after facing higher labour costs and taxes over the past year, latest research from Begbies Traynor Group (BTG) has shown.<\/p>\n BTG\u2019s latest quarterly red flag report indicated that more firms edged closer to collapse in the first quarter of 2026 \u2013 the number of companies considered in \u201ccritical financial distress\u201d rose by 36.9% to 62,193 for the quarter, compared with the same period a year earlier.<\/p>\n The number of businesses in \u201csignificant\u201d financial distress meanwhile rose by 9.6% year on year to 634,867.<\/p>\n Ric Traynor, executive chairman of BTG, said:<\/p>\n double quotation mark\u201cThe shockwaves from a war in the Middle East will be felt across every corner of the global economy for some time to come.<\/p>\n After initial signs that the UK\u2019s GDP was improving at the very start of the year, it now feels like after taking a step forward, the UK has taken a few steps backwards following one of the most severe energy shocks in living memory.\u201d<\/p>\n![\"Jennifer](\"https:\/\/www.newsbeep.com\/nz\/wp-content\/uploads\/2026\/04\/Jennifer_Rankin,_L.png\")
Jennifer Rankin<\/p>\n