16/06/14 Market Movements

Market news

The FTSE100 closed down 23.21 points at 6,754.64  as concerns about a large increase in its pension deficit hit BT, while housebuilders extended their recent sell-off after recent suggestions of a UK interest rate increase.

BT fell 2.38%, after reports showed that a three-yearly review of the firm’s pension scheme due next month was likely to show a £6billion deficit – a 50% jump.  It is feared that the increase deficit would force BT to increase its contributions and potentially reduce its firepower in its fight with rivals BSkyB over sports broadcast rights.