PRESS DIGEST - British business - July 31

FIVE JOINS CANVAS AS PARTNERS AWAIT TRUST

Five has become the latest television broadcaster to become involved in Project Canvas, the joint venture planning to make the internet available on televisions, joining the BBC, ITV (ITV.L) and BT (BT.L). It is possible that the venture may not gain regulatory approval from the BBC Trust; Ofcom is also believed to be concerned about the involvement of the BBC and there is speculation that the Office of Fair Trading is investigating the matter.

INVESTMENT COLUMN

Rolls-Royce (RR.L) (Buy)

Travis Perkins (TPK.L) (Hold)

Arena Leisure ARE.L (Buy)

The Guardian

MPS ATTACK CITY WATCHDOG FOR FAILING TO WARN DUNFERMLINE OVER.

As investigation by the Commons Scottish affairs select committee has concluded that the Financial Services Authority failed to properly warn the Dunfermline Building Society about the dangers of its aggressive commercial lending strategy, and failed to monitor its affairs. Dunfermline collapsed suddenly in March with its debts and assets split between the Treasury and the Nationwide Building Society. However, the committee of MPs also said that the building society was "ultimately responsible" for its own failure, as its board had failed to tell its 350,000 members about its high-risk commercial lending.

HEDGE FUND REBELS AIM TO OUST STRATEGIC EQUITY CAPITAL BOARD

Hedge fund Fortelus and other investors are preparing to oust the management of Strategic Equity Capital, an investment trust managed by SVG Investment Managers (SVI.L), in disagreement with its investment decisions. Fortelus owns 14 per cent of the shares and along with shareholders representing another 20 per cent of the company's capital, the rebel group will request the bold step at an extraordinary general meeting to be held in London on 14 August.

SKY ADDS A NEW DIMENSION TO TV VIEWING

BSkyB (BSY.L) is to launch Europe's first 3D television channel next year, showcasing Sky's sports, movies and entertainment output. The broadcaster has been testing 3D cameras, filming events as diverse as the English national Ballet performing Swan Lake and Liverpool playing Marseille in the Champions League. The first 3D televisions are set to appear in Britain in time for Christmas. Although initially expensive, Sky hopes they will eventually come down in price.

Prepared for Reuters by Durrants