Leisure group Whitbread said the casual dining market in the UK had become “more difficult” as it reported a slowdown in sales growth today.

The London market was dragged down today by fears over the impact higher oil prices will have on inflation and global economic growth.

The FTSE 100 Index returned above the 5900 barrier today as the London market overcame the impact of the UK's big freeze on travel and retail stocks.

The FTSE 100 Index rose to its highest level for two-and-a-half-years today amid market rumours of a bid from Royal Dutch Shell for rival BP.

Whitbread and retailer Carpetright suffered share price falls today after failing to shake off worries over a New Year spending squeeze.

Leisure group Whitbread reported stronger sales at its budget hotel brand Premier Inn today after a pick-up in demand from business customers.

Investors shrugged off fresh economic gloom today as the FTSE 100 Index built on yesterday’s 6% surge with further gains.

The FTSE 100 Index dived more than 2% for the second successive session today as a fresh wave of economic gloom hit stocks.

Whitbread today reassured over its “resilience” in the consumer downturn after the leisure group posted a 7.1% rise in first quarter comparable sales.

French drinks giant Pernod Ricard today agreed a £4.6bn (€5.7bn) deal to buy Absolut vodka maker Vin & Sprit.

Nervy traders took money off the table today as the City of London positioned itself ahead of the US Federal Reserve’s decision on interest rates.

The 45-strong chain of TGI Friday’s restaurants in the UK was sold to the brand’s American founder for £70.4m (€107.2m) today.

Premier Travel Inn and Pizza Hut owner Whitbread was today reported to be in the sights of US hotel and property business Starwood Capital.

London’s leading shares dropped almost 1% today as the market bore the brunt of heavy losses for mining stocks and banks suffered from fresh concerns over interest rates.

London shares were dragged back by heavy losses for mining stocks and renewed concerns over US interest rates today.

Costa Coffee set its sights on winning over a nation of tea drinkers today after it revealed plans for a chain of outlets in India.

Drinks giant Diageo today confirmed it had expressed interest in funding one of the rival companies vying to take over Allied Domecq.

Drinks giant Pernod Ricard should be ready to serve up a £7.4bn (€10.8bn) takeover deal for rival Allied Domecq later this week, reports indicated today.

Investors eyeing a potential £7.2bn takeover of drinks giant Allied Domecq helped stir the London market back into life today.

Drinks giant Allied Domecq today confirmed it was the subject of takeover interest from rival French group Pernod Ricard, which counts Midleton, Jameson, Powers and Bushmills whiskeys among its brands.

Leisure group Whitbread said today that it was giving up control of its Marriott UK hotels in a deal that will raise at least £1bn (€1.43bn) over two years.

British pubs and hotels group Whitbread today announced plans to create about 8,000 jobs and to quit its London head office.

Further evidence of a recovery in the UK hotels sector emerged today after Whitbread said its Marriott business had returned to growth.

The British government has given its blessing to the proposed takeover by Whitbread of Spirit Group’s Premier Lodge hotel chain.

Updates from a clutch of blue-chip companies should grab the attention this week as analysts get their clearest guide yet to trading so far in 2003.

Whitbread is understood to be in talks with Compass to buy Travelodge and Little Chef.