PRESS DIGEST - British business - May 30

The Times

CLIFFORD CHANCE MAKES RECORD 1.3 BILLION POUNDS AS CREDIT CRUNCH PROVIDES MORE LEGAL WORK

Clifford Chance has reported revenue in the year to April 30 of 1.33 billion pounds, an 11 percent increase, thus retaining its position as the world's biggest law firm. Rapid growth in Asia, the Middle East and Eastern Europe enabled the firm to overcome a second half slump in high-value transactional work in Europe and the United States, and saw partners earning an average of 1.15 million pounds, up 13 percent on the previous year. David Childs, the global managing partner, said the coming year would be "very much tougher".

NORTHERN FOODS STAFF TAKE FIGHT FOR JOBS TO MARKS & SPENCER BOARD

The corner of Marble Arch in London was cut off on Thursday for nearly two hours as more than 100 staff from Northern Foods' (NFDS.L) Fenland factory in Lincolnshire protested against its closure. Northern Foods said a fortnight ago it had no option but to mothball the 21-year-old factory after it failed to agree a new supply contract with Marks & Spencer (MKS.L). Paul Kenny, GMB general secretary, told The Times that "M&S is making money, Northern Foods is making money, they don't have to close this factory".

The Daily Telegraph

VERWAAYEN ATTACKS PAPER BILL "POLLUTERS"

Ben Verwaayen, who leaves his post as chief executive at BT (BT.L) this weekend after six years in the job, has hit out at customers who refuse to pay by direct debit and insist on receiving paper telephone bills. Almost 40 percent of BT's 15.2 million customers still pay by cash or cheque, and those who pay by cash and receive a paper bill now pay 2.75 pounds a month more for line rental than someone who pays by direct debit and receives an electronic bill. Verwaayen said: "If you want to have a paper bill you'd better pay for it. You are paying for pollution. Get used to it."

HAYS HEAD TAKES CHAIR AT BARRATT

Bob Lawson, chairman of recruitment group Hays (HAYS.L), has been appointed as the new non-executive chairman at Barratt Developments (BDEV.L). Britain's second-largest house builder revealed in a trading update early in May that reservations for new homes were down 30 percent, blaming problems in the banking industry. Lawson replaces Charles Toner on the Barratt board at this difficult time, and will retain his role as chairman of Hays.

HSBC FACES LARGE PROTEST VOTE OVER PAY

A large protest vote against a pay package for senior directors is expected at HSBC's (HSBA.L) annual meeting on Friday. Under HSBC's plan, chief executive Mike Geoghegan will receive a basic salary of one million pounds but could walk away with 12 million pounds a year after bonus and incentive plan payments are taken into account. Over three years the bank's top five directors could pocket a total of 120 million pounds if they hit stretching performance targets. The plan is expected to go through with about 80 percent in favour despite Pirc, the corporate governance adviser, labelling the scheme "excessive" and calling for a vote against.

The Independent

BA RAISES FUEL SURCHARGES TO 218 POUNDS ON LONG-HAUL TRIPS

British Airways (BAY.L) applied its second rise in fuel surcharges in as many months on Thursday, taking the additional cost on its longest flights to 218 pounds return. The move is an attempt by the airline to maintain its profitability, but analysts, such as Douglas McNeill at Blue Oar Securities, are expecting its profit to drop off by around 80 percent, from 875 million pounds last year to around 200 million pounds in 2008.

GULF FIRM PULLS OUT OF DEAL FOR SILVERJET