Holidays firm Saga for sale

SAGA, the UK's best-known provider of services for the over 50s, was put up for sale yesterday with a price tag thought to be in excess of £1bn. The move will provide a windfall for the family of founder Sidney De Haan, who set up the Folkestone business in 1951. Saga is now a dominant force in its target market, with services that include insurance, holidays and home shopping. It also has a leading magazine and operates radio stations.

SCHROEDER DEFIANT: German Chancellor Gerhard Schroeder remained defiant after Germany and France faced down a threat of EU sanctions over their ballooning budget deficits, angering smaller member nations and sparking concern about the Euro's stability. Mr Schroeder derided the EC and said supporting Germany's fragile economic recovery with tax cuts was more vital than fiscal restraint.

TAX RISES? Chancellor Gordon Brown may be forced to impose tax rises or cut his public sector spending plans in order to balance the books, the Organisation for Economic Co-operation and Development warned. Experts said that Britain's public sector deficit had widened considerably. They also suggested the Bank of England would have to raise interest rates to rein back house prices.

FIRMS FINED: City watchdog the Financial Services Authority has fined three subsidiaries of an upmarket financial advisor £250,000 for "serious record-keeping and monitoring inadequacies". It levied the penalties on St James's Place UK, St James's Place International and St James's Place Unit Trust Group, subsidiaries of wealth management firm St James's Place Group.