THE DAILY BRIEFING

US DOWNGRADE The International Monetary Fund has cut its forecast for the US amid a darkening outlook around the world.

In its annual health check of the world’s most powerful economy, the Fund trimmed its outlook for growth this year from 2.4pc to 2.2pc.

Despite the downgrade, IMF managing director Christine Lagarde said: ‘The US economy is in good shape.’ HORNBY REVAMP Toy train maker Hornby is to cut 40pc of its product lines and raise £8m through a share placing in a bid to turn around its fortunes.

The Kent- based manufacturer reported losses of £13.5m for the 12 months to the end of March. Shares fell 6.3pc, or 2p to 30p. JOB CUTS Offshore engineering firm Subsea 7 has announced plans to axe up to 430 jobs in the UK, mostly in Aberdeen.

The firm said the cuts were due to ‘continued difficult business and economic conditions in the oil and gas market’. It is to cut the 9,200-strong worldwide workforce by 1,200 and remove five vessels from its fleet. BUILDING BOOM Contracts for the construction of offices in the UK reached £2bn at the start of this year, figures show.

In the three months to the end of March, deals to build corporate premises were at their highest since 2008 and included six major developments worth more than £50m, according to Barbour ABI. STORAGE DEAL Storage business Safestore has bought Space Maker for £43m.

The deal will mean the group has 110 outlets, 63 of which will be in London and the South East. Safestore shares rose 2.9pc, or 11.4p to 399.5p.

BIDDING WAR British investment firm Zegona Communications has ended talks to buy a Spanish mobile operator after being outbid by a rival.

The firm had been in talks to take over Yoigo for nearly three months but lost out to fellow Spanish mobile network MasMovil. Zegona shares closed down 3.8pc, or 5p at 126.5p. CAR TROUBLE Embattled Japanese car maker Mitsubishi has slumped into the red for the first time in eight years after admitting fiddling fuel efficiency tests.

The car giant forecast an annual loss of £950m due to a slump in sales and a raft of compensation claims. TESLA OFFER Elon Musk’s electric car maker Tesla has offered to buy his solar power company SolarCity for £1.9bn.

The deal would see SolarCity join Tesla’s green energy business, which makes batteries for homes and companies.