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  • Today's business and finance round up 22nd March 2022

Today's business and finance round up 22nd March 2022

British arm of Russian energy giant facing collapse

22nd March 2022

Bite-sized business news from the UK and beyond

Good morning Free range eggs are no longer available in British supermarkets and it’s not due to supply chain issues or hoarding but bird flu. An outbreak of the disease means that hens haven’t been allowed outside since November so their eggs no longer meet the ‘free range’ definition. Instead retailers have to mark their eggs with labels calling them 'barn eggs' to show that they have been produced by hens permanently in doors.

Today's stories

  • British arm of Russian energy giant facing collapse

  • Newest clearing bank raises £175m

ENERGYBritish arm of Russian energy giant facing collapse

What’s going on?

The UK division of Russian gas giant Gazprom is on the brink of ruin as major customers exit amid the conflict in Ukraine.

Why is this important?

Gazprom is owned by the Russian state and is one of the biggest gas producers in the world.The UK division is based in Manchester and is a crucial part of the national energy system. It supplies more than 20% of the gas used by British companies but does not supply households. Despite the name, It does not directly sell Russian gas instead it resells gas from the National Grid which is sourced from the North Sea. Earlier this month, Gazprom’s CEO was sanctioned by the government over his close connection to Russian President Vladimir Putin. Since then big customers like McDonald's, Siemens and local councils have tried to end their multimillion pound contracts with the energy provider.This exodus of businesses has put Gazprom UK’s future in doubt with reports circulating that it had asked rivals if they were interested in buying it.

Zooming out

If Gazprom UK can’t find a buyer, it could be taken over and temporarily run by the British government in a process called a special administration. The last time this was done was in November with Bulb Energy, the UK’s seventh largest provider, when £1.7bn of government funds were set aside to keep it trading.

Other stories to keep you in the loop

  • Fuel hikes: Fuel retailers defend high costs at UK pumps after drop in oil prices

  • Partial opening: Moscow stock market reopens for some bond trading

  • Undercut: P&O Ferries reopen with £1.81-an-hour workers

  • Late night: Pubs set to open until 1am for three days to celebrate Queen’s Jubilee

  • Outlawed: Russian court bans Facebook and Instagram under ‘extremism’ law

  • Sell off: London Stock Exchange strikes $1bn deal to sell wealth assets

FINTECHNewest clearing bank raises £175m

Stat of the day

10m people in Ukraine have now fled their homes following Russia's invasion including nearly 3.5m refugees who have left the war-torn country

Interesting links from around the web

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