Morning Briefing: Europe
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Good morning. European leaders are increasingly concerned that Russia will mount a new offensive on Ukraine. The UK could raise £1.9 billion a year by removing a tax relief for partnerships. And Eric Trump’s wealth soars on American Bitcoin. Listen to the day’s top stories.

— Teo Chian Wei and Ho Xue Lin

European leaders are increasingly concerned that Russia will mount a new offensive on Ukraine as they sit down with president Volodymyr Zelenskiy to discuss security guarantees for his country. At their security council meeting last week, German and French officials discussed the Russian troops massing outside Pokrovsk in the eastern Donetsk region, people familiar said.

Poland’s President Karol Nawrocki secured a commitment from Donald Trump that the US won’t withdraw troops from the country and might even increase their presence. Nawrocki is a staunch critic of the EU and believes Poland’s security and future rest exclusively in stronger ties with America.

Chancellor Rachel Reeves says growth is the solution to Britain’s economic problems. At her budget on Nov. 26, she faces the prospect of having to kill it due to an £8 billion increase in borrowing costs and other economic challenges. She’ll need to raise around £35 billion, largely through taxes, Bloomberg Economics has estimated.

The UK could raise £1.9 billion a year by removing a tax relief for business partnerships, according to the Centre for the Analysis of Taxation. Partnerships are currently exempt from employer national insurance contributions, paid by firms on staff salaries, due to an “accident of history,” CenTax said.

Photographer: Patricia de Melo Moreira/AFP/Getty Images

Fifteen people have died and 18 were injured after the iconic Elevador da Gloria derailed in Lisbon shortly after 6 p.m. local time. Local media reported the tram, in operation since 1885, derailed and crashed against a building near the bottom of the hill after a cable snapped.

Check out our Markets Today live blog for all the latest news and analysis relevant to UK assets.
More Top Stories
China Eyes Curbs on Stock Speculation to Foster Steady Gains
Bearish Treasuries Bets Grow as Traders Brace for Key Jobs Data

Deep Dive: Buy High, Sell Low

John Caudwell made what looked to be a sure-fire bet in October 2011 as London’s luxury housing boom gathered steam, splashing out £143 million for a car park on a prime lot in ritzy Mayfair. The Phones4u billionaire planned to use the site to build arguably the most opulent apartment block in the city.

  • Dubbed 1 Mayfair, the luxury residences would start at £35 million. Despite the eye-watering price, Caudwell said that he expected them to be snapped up.
  • But almost 14 years since acquiring the site, the entrepreneur’s lofty ambitions are colliding with the worst slowdown in London’s luxury property market since the financial crisis.
  • The investment makes Caudwell among the highest-profile developers to have plowed a fortune into the capital’s top end real estate at or near its peak, only to be launching sales in a slump.

The Big Take

Pus, Pain and Infections: A Faulty Implant Tormented Cancer Patients for Years
BioZorb was marketed to help breast cancer patients, but the company behind it kept complaints from regulators and the public.

Opinion

The importance of China’s summitry should not be measured just by how well it did in building the financial institutions and military alliances it wants to replace, Marc Champion writes. Some version of a new Chinese order will come, whether regional or global. Judge it instead by the mirror it has held up to the chaos in Washington and Europe.

More Opinions
Lara Williams
Europe May Freeze If This Ocean Current Collapses

Before You Go

Eric Trump’s stake in American Bitcoin is now worth $548 million, in one of the most striking examples of how the Trump family is profiting from crypto.

Watch the Video
Eric Trump, Hut 8 CEO on American Bitcoin Debut, Mining

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