Seven days in the Square Mile

UK inflation rose to the highest level in 20 months in July as the impact of the weaker pound began to be felt. The consumer price index ( CPI) edged up to 0.6%, and the retail price index ( RPI) rose to 1.9%. Regulated rail fares, which are based on the July RPI figure, will rise by the same amount from January. The Office for National Statistics also reported that unemployment remained at its lowest level for 11 years in June, at 4.9%. The Bank of England’s second effort to buy long-dated gilts, as part of its £70bn stimulus programme, proved successful, following last week’s botched auction: it comfortably purchased the £1.17bn of bonds targeted. Stock markets continued their upward ascent, reaching new all-time highs in the US. The Treasury unveiled new proposals to target tax evasion. Any bank or accountancy firm designing or marketing an avoidance scheme deemed unlawful will face fines of up to 100% of the unpaid tax under the new crackdown. William Hill rejected a revised takeover proposal worth more than £3bn from rivals 888 Holdings and Rank Group, who are seeking a three-way merger. The bookie said there was no merit in entering talks. The £1.4bn nine-year franchise to run trains in East Anglia was won by the Dutch state operator, Abellio. Helena Morrissey stepped down as chief executive of Newton Investment Management. Couriers at Deliveroo continued their strike in protest at a new pay deal. Three Foxtons estate agents were fired following a brawl with class war protesters outside Boris Johnson’s home last month.