(Bloomberg) -- Speculation about Chancellor Jeremy Hunt’s potential planned tax increases has grown over the weekend. We break down the key options that might be on the table. Meanwhile, Prime Minister Rishi Sunak is pledging support for countries on the front-line of climate change as he attends the COP27 climate summit in Egypt today. On the corporate front, Europe’s largest discount airline and an oil and gas IPO are in focus this morning. 

Here’s the key business news from London-listed companies this morning:

In The City

Ryanair Holdings Plc: Europe’s largest discount carrier lifted its full-year passenger goal and said earnings should top €1 billion, while playing down the likely impact of a recession on demand for its low-cost flights this winter. 

• The airline said concerns about the impact of slowing economies and higher household bills on its business model have been greatly exaggerated
• It predicted people will trade down to the lowest available air fares rather than give up on traveling, comparing itself with cut-price retail brands Aldi and Lidl

Ithaca Energy Ltd.: The UK oil and gas producer is marketing shares to investors at the lower end of its price range.

• The company initially discussed raising as much as $1 billion before downsizing its ambitions amid volatile markets, Bloomberg reported last week
• Inflation, rising interest rates and recession risks have put the lid on IPOs globally and London listings in particular have been in short supply, with investors pulling away from Britain amid the fallout from changing economic plans

GSK Plc: The pharmaceutical giant said a trial of its Blenrep antibody drug conjugate in patients with relapsed or refractory multiple myeloma did not meet its primary endpoint. 

PayPoint Plc: The provider of in-store bill payment services for customers has struck a deal to buy gifting company Appreciate Group Plc in a cash- and share deal, valuing the company at about £83 million. 

In Westminster

A possible freeze on income tax thresholds, an increase in capital gains tax, a higher windfall tax — here are some of the options Chancellor Jeremy Hunt could announce when he presents his economic package on Nov. 17. 

Rishi Sunak will attend the COP27 climate summit in the Egyptian resort of Sharm el-Sheikh today, his first foreign trip as prime minister. He already pledged British support for countries on the front-line of climate change and said the UK will invest in Egyptian and Kenyan clean energy projects and fund rainforest protection in the Congo basin.

Sunak also faces mounting unrest in his party, as questions swirl about his judgment, after a key ally was accused of bullying a colleague.

In Case You Missed It 

UK house prices fell at the sharpest pace in almost two years as rising mortgage rates and a gloomy outlook for the economy depressed demand. 

The numbers come the Resolution Foundation says a plunge in property prices next year is likely to leave almost a fifth of young homeowners living in a house worth less than their mortgage. 

While the Federal Reserve remains committed to pushing borrowing costs higher than traders are anticipating, the European Central Bank is “rapidly heading” to the same point as the Bank of England, writes Bloomberg Opinion’s Marcus Ashworth.

Looking Ahead 

Forward-looking comments from Associated British Foods Plc will be essential when the conglomerate reports annual results tomorrow.

AB Foods already warned that profit will decline in the next fiscal year as rising energy costs and the strengthening of the US dollar weigh on the company’s Primark fashion chain, which generates most of the group’s profit. Margins in the Grocery and Primark units are going to be lower before they can be built back, says Bloomberg Intelligence’s Charles Allen. 

Against the backdrop of higher mortgage rates and concerns about consumer savings, homebuilder Persimmon Plc’s third-quarter update will be watched closely for confidence in the UK’s housing markets. A lot has happened since the company’s August update, with some estimating a 30% house price drop in a worst-case scenario.

For a news fix when the day is done, sign up to The Readout with Allegra Stratton, to make sense of the day’s events.

--With assistance from Charles Capel and Ryan Hesketh.

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