Tuesday newspaper round-up: UK start-ups, Wirecard, consumer confidence
The chancellor is expanding a £500m fund for UK startups hit by the coronavirus crisis, to ensure firms that shifted their headquarters abroad can still access the scheme. The Future Fund will now benefit companies that are seen as British in all but name, having moved their parent company to tap US investors or take advantage of so-called accelerator programmes. Accelerators like US-based Y Combinator often ask firms to set up a US entity in order to access financing, mentorships and expert networks overseas. – Guardian
More than 300,000 planned new homes may remain on the drawing board over the next five years, deepening the UK’s housing crisis, as a result of the coronavirus pandemic, new research predicts. Stalled construction and the recession will slash the number of new homes being built, with 85,000 predicted to be lost this financial year, according to a study by the property agency Savills with the housing charity Shelter. – Guardian
Restrictions on German company Wirecard have been lifted by the Financial Conduct Authority (FCA) after thousands of Britons were left potentially unable to access their own cash. Newcastle-based Wirecard Card Solutions Limited's licence was frozen after a major accounting scandal at its German parent company. Fintech firm Curve was among those who said the FCA decision would temporarily prevent customers from using their accounts. – Telegraph
Thousands of Wirecard investors are preparing to sue the German state for billions of euros over its alleged failure to pre-empt the worst accounting scandal in the history of its premier share index, the Dax. Two separate class actions will accuse the financial watchdogs of negligence after it emerged that they had assigned only one full-time worker to investigate claims of a complex €1.9 billion fraud at Wirecard last year. – The Times
Households are slowly regaining confidence in the economy as the lockdown is lifted and businesses begin to reopen, according to a survey. Although the country is experiencing one of its worst economic downturns in modern history, consumers are feeling more hopeful about their job prospects and personal finances. Consumer confidence edged up by 2.5 points to 98.5 in June, according to the poll by YouGov and the Centre for Economic and Business Research. Any reading above 100 suggests that households are more optimistic than they are pessimistic. – The Times
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