Booming sales of Galaxy smartphones have helped the South Korean group Samsung post record profits, piling pressure on its rival Apple to introduce a new iPhone. Samsung profits rose nearly 80 per cent in the last three months to £3.9bn. The next iPhone is widely expected in September.

McCafferty replaces Posen on MPC

The Government has chosen Ian McCafferty, the chief economic adviser of the CBI, the employers' body, to replace Adam Posen on the Bank of England's Monetary Policy Committee. Mr Posen's three-year term as an external member of the MPC finishes at the end of August.

Rain blamed for Marshall's loss

The paving specialist Marshalls lost the equivalent of six days' slab-laying because of the torrential rain in the first six months. That knocked revenues by £10m, or 5 per cent, to £167m on a year ago. The company is upping cost-cutting, including job cuts.

Oligarchs to bid for part of BP's stake

AAR, the Russian consortium that owns half the TNK-BP oil joint venture, has said it is preparing to bid for a further 25 per cent after BP put its 50 per cent holding up for sale last month. BP said it would consider an expression of interest from AAR if it received one.