FirstFT: Johnson pulls out of Tory leadership contest

Boris Johnson has pulled out of the race to become Britain’s next prime minister after his marketing campaign stalled and rivals claimed he didn’t have the backing of the 100 Tory MPs wanted to enter as we speak’s contest.

Regardless of frantic makes an attempt by Johnson to bolster his assist, he introduced at 9pm yesterday that he was abandoning his bid to make a comeback as prime minister simply weeks after he stop Quantity 10.

His withdrawal from the competition leaves former chancellor Rishi Sunak because the clear frontrunner to succeed Liz Truss. Sunak’s solely declared rival for the job, chief of the Home of Commons Penny Mordaunt, is backed by fewer than 30 Tory MPs. If she doesn’t attain the edge of 100 nominations by 2pm as we speak, Sunak will turn out to be prime minister.

A spokesman for Mordaunt’s marketing campaign insisted yesterday: “Penny remains to be working to be the chief of the Conservative occasion.”

In the meantime, Sunak has gained the backing of Jeremy Hunt, who is anticipated to stay as chancellor in a Sunak administration. Hunt is because of ship an important debt-cutting plan on Sunday.

Thanks for studying FirstFT Europe/Africa. Right here is the remainder of as we speak’s information — Gary

5 extra tales within the information

1. Revenue warnings soar as prices hit UK corporations Extra FTSE-listed corporations have been forced to issue profit warnings this quarter than at any time because the international monetary disaster, in line with an evaluation by EY-Parthenon. Corporations face a poisonous mixture of hovering inflation, slowing demand from worsening financial circumstances and rising rates of interest.

2. China’s GDP development falls in need of goal Third-quarter gross home product rose 3.9 per cent year on year, impacted by property woes and a zero-Covid coverage, and laying naked the size of the financial challenges dealing with the nation. The discharge of the information, delayed from final Tuesday, comes after President Xi Jinping prolonged his rule for an unprecedented third time period on the Communist occasion’s twentieth congress final week.

3. China’s YMTC asks core US workers to depart Chipmaker Yangtze Reminiscence Applied sciences has asked American employees in core tech positions to leave, because it rushes to adjust to new US export controls which might be disrupting China’s chip trade. Semiconductor corporations in China, the US and Europe are speeding to make sure compliance with the powerful restrictions.

4. UK banks withdraw first-time purchaser mortgages UK banks have withdrawn 60 per cent of mortgages for borrowers with small deposits because the begin of the 12 months, in line with knowledge from client web site Moneyfacts. A lot of lenders have both pulled house loans or have but to return with their 95 per cent loan-to-value merchandise following former chancellor Kwasi Kwarteng’s “mini” Funds.

5. European offshore wind corporations push into Asia With South Korea, Taiwan and Japan having dedicated to boosting their share of renewables as a part of internet zero targets, European corporations are pushing into east Asia’s offshore wind market, searching for to leverage their technological benefits over their Chinese language rivals.

The day forward

Bond Avenue on line The landmark station joins London’s cross-city categorical railway the Elizabeth Line.

Earnings Heidrick & Struggles, Hyundai Motor and Philips launch third-quarter earnings. Pearson has a Q3 buying and selling replace, and Petrobras publishes its Q3 manufacturing and gross sales report.

Financial indicators S&P International/Sips releases buying managers’ index knowledge for the EU, France, Germany, Japan, the UK and the US.

Trump Group trial begins The previous US president’s household firm has been charged with tax fraud by Manhattan’s district lawyer. The Trumps face a penalty of a minimum of $250mn in what the district lawyer claims had been ill-gotten proceeds.

What else we’re studying

Steven Pinker, the ‘oracle of optimism’ The Harvard psychology professor doesn’t signal on to the pessimistic conclusion that people are inherently irrational. His books The Higher Angels of Our Nature and Enlightenment Now compile knowledge that present humans are living longer and better, even when information headlines counsel the other.

How the markets broke ‘Trussonomics’ Observe alongside in a visual journey of the UK’s economic history and Liz Truss’s legacy — an ill-fated “mini” Funds, its devastating fallout and Truss’s swift departure after solely 44 days in workplace.

How US chip export controls have turned the screws on China Joe Biden’s powerful measures make it more durable for China to fabricate superior semiconductors, slowing the nation’s army modernisation and its progress in synthetic intelligence and supercomputers. However the controls could have a number of effects on China’s homegrown trade, American corporations and different industries.

• Opinion: China’s economic system is not going to overtake the US till 2060, if ever, writes Ruchir Sharma, the chair of Rockefeller Worldwide.

Harsh classes learnt from company rebrands Up till final Thursday, Manchester-based journey enterprise Intravelr glided by the identify Invasion. The group was motivated to rebrand after Russia’s invasion of Ukraine. Whereas they’d wise reasoning, the choice to drop the second “e” within the spelling of their identify makes much less sense, writes Pilita Clark.

‘Massive Brother’ managers ought to flip the lens on themselves The variety of employers utilizing knowledge surveillance software program to watch staff has doubled because the begin of the pandemic, writes Rana Foroohar, with the rise of office surveillance representing what Microsoft chief government Satya Nadella has referred to as a brand new “productiveness paranoia” on the a part of employers.

Property

Discover 5 of Europe’s most interesting properties, at the moment on the market, that function beautifully preserved frescoes on their ceilings and partitions.