UK Stocks -- Factors to watch on Sept 4

LONDON, Sept 4 (Reuters) - Britain's FTSE 100 .FTSE index
is seen opening flat on Thursday, according to financial
bookmakers, ahead of the Bank of England's interest rate
verdict.

The UK benchmark closed down 121.0 points, or 2.2 percent
lower at 5,499.7 on Wednesday.

Oil prices CLc1, meanwhile, were little changed near $109
a barrel as traders weighed concerns over slowing demand from
major consumer countries against further hurricane threats to
the U.S. oil sector.
Investors awaited interest rate decisions from the Bank of
England and the European Central bank as poor economic data has
driven up expectations of future rate cuts, though both banks
are seen as keeping rates on hold this month.

* Global growth worries rattle Wall St; Dow rises [nN03308484]
* Asia shares hit 2-yr low, global slowdown fears [nL4735946]
* Nikkei slips, tech and resource shares battered [nT147621]
* Dollar off 8-mth high vs euro, awaits ECB [nT171201]
* Oil at $109 on demand concerns, storm threat [nSIN267849]
* Gold bounces from 2-wk low, holds above $800 [nSP323465]

UK stocks to watch on Thursday are:

BP (BP.L)

BP is expected on Thursday to sign an agreement aimed at
resolving the fierce dispute with its Russian partners in
TNK-BP, the 50/50 joint venture that is Russia's third-largest
oil company, the Financial Times reported.

FRIENDS PROVIDENT (FP.L)

Clive Cowdery, the insurance enterpreneur, is studying
Friends Provident as a break-up target, amid increasing concern
that Friends' own plans to dismantle itself have run adrift, the
Financial Times said.

BRITISH ENERGY BGY.L

State-controlled power giant EDF (EDF.PA) has taken
preliminary steps to sweeten its 12 billion pounds bid for
British Energy in an attempt to win over the shareholder groups
that derailed a previous offer, the Wall Street Journal quoted
people familiar with the situation as saying.

The Financial Times, however, said M&G, one of the biggest
shareholders in British Energy, denied on Wednesday it had
reached agreement with EDF over an improved offer for the
nuclear generator.

ROYAL DUTCH SHELL (RDSa.L)

The oil producer said late on Wednesday it would begin to
restart offshore oil and natural gas production in the Gulf of
Mexico on Thursday. [ID:nN03483700]

BRITISH AIRWAYS (BAY.L)

Sterling's precipitous slide against the dollar has wiped
out most of the benefits British Airways has seen from the lower
oil price, the Daily Telegraph reported.

VEDANTA RESOURCES (VED.L)

Vedanta Resources expects aluminium output to rise to about
500,000 tonnes in the year to March 2009, up 28 percent from
about 390,000 tonnes in the previous year, a senior company
official told Reuters. [ID:nDEL201608]

BG GROUP (BG.L)

The gas producer could splash out 31.5 million pounds in
executive share rewards for its top team, including a 9.8
million pounds haul for chief Frank Chapman, the Daily Mail
said.

MARKS & SPENCER (MKS.L)

The GMB union plans to launch a series of protests against
Marks & Spencer after the retailer sacked a member of staff for
gross misconduct on Wednesday, the Daily Telegraph said.

WHITBREAD (WTB.L)
Whitbread is due to issue its trading update.

TODAY'S UK PAPERS

> Financial Times [PRESS/FT]

> Other business headlines [PRESS/GB]

(Reporting by Simon Falush)