Business

Our arts editor is retiring after 20 years. Here’s what she learned

Published

4 hours ago

September 23, 2024

This is an audio transcript of the Life and Art from FT Weekend podcast episode: ‘Our arts editor is retiring after 20 years. Here’s what she learned’

Lilah Raptopoulos
Welcome to Life in Art from FT Weekend. I’m Lilah Raptopoulos.

[MUSIC PLAYING]

There are some questions that I think a lot of us ask ourselves when it comes to the arts. Like what makes something good and what makes it lasting versus a fad. Is the art world really as mean as it seems? And what are the ways that the arts influence our everyday lives? My colleague Jan Dalley has been the arts editor at the Financial Times for coming up on 20 years, and she’s been writing about the arts for many more. By the time you hear this, she will be retired. She’ll still be writing for FT Weekend but this is her last official week on the job. And so before she walks away from this wild, prestigious and all-seeing role that she’s been in for so long, we thought we’d use this moment to ask her for some wisdom. I’m in London and Jan is with me. Jan, welcome back to the show. Thank you so much for taking the time.

Jan Dalley
Hi, Lilah. Thank you for having me. It’s really lovely to be able to kind of say hello and goodbye like this.

Lilah Raptopoulos
I know. I know. I wanted to ask you first. You know, I know this isn’t a total goodbye, but I’m just wondering how you’re feeling. Are you, like, ready to go relax in your garden? Are you ready to go and just sit in a museum and not have to look for a trend? Like, how does it feel?

Jan Dalley
It feels great. I’ve had what truly has been probably the best job in the world for many, many years. And I’m very, very happy for somebody else to take it on because I think, you know, new ideas are always important and I will be doing what I love best, which is simply writing about the arts.

Lilah Raptopoulos
That’s nice. I wonder what you’re finding yourself reflecting on most this week, especially like what has changed from when you started this job to now?

Jan Dalley
Well, there’s been huge, huge changes because when I say I’ve been in this job for 19 years, the job itself has just changed beyond recognition. And I think in a way, the changes in my job and my work mirror the changes in the cultural world.

Lilah Raptopoulos
Yeah.

Jan Dalley
I mean, just to give you a small example.

Lilah Raptopoulos
Yeah like 19 years ago versus now.

Jan Dalley
Yeah, I got the library to find for me the first issue of Weekend, as it was then called, the first one I ever worked on. And I mean, our amazing HTSI magazine was then just two pages inside the paper. So in a way, the growth of the luxury industries has been enormous and that has affected the arts, there’s no question, because the luxury industries and brands that have grown have put a lot of money into the arts. They’ve developed programs and somehow there’s a kind of glamour that has transferred itself to the art world, which really wasn’t there, I’m going to say, 25 years ago.

Lilah Raptopoulos
That’s interesting.

Jan Dalley
It was . . . I mean, 25 years ago, the kind of cultural figures who kind of got their names in the gossip columns and stuff weren’t contemporary artists. They were writers. So there’s that. There’s, I mean, these huge changes in the TV industry, for example, completely different because 20 years ago, basically, we really only had terrestrial television. And in this country, there were like, five, six, seven channels, and that was it. And then, of course, there are all the new art forms that have come. Podcasting. I mean, it was very interesting with podcasting because we honestly, I don’t think anybody really predicted that it that it would go on and on and on to greater and greater success like it has done. I think a lot of people thought, you know, this was something people kind of did in their kitchens and . . .

Lilah Raptopoulos
Right. Like a cute extension of the radio.

Jan Dalley
Exactly. Yeah.

Lilah Raptopoulos
Right. Wouldn’t be more.

Jan Dalley
So that’s a huge change. Anyway, so you see you see the kinds of things that I’m thinking of.

Lilah Raptopoulos
Right. Yeah. These are really big changes. Jan, one of the reasons that I’ve been excited to have you on is to ask for your advice, maybe on behalf of listeners, for how to go out and really experience arts and culture well. When I was taking this job on full-time as a culture journalist, I asked you if you could spare a few minutes for a video call. I don’t know if you remember, and you kindly did. And I asked you basically, when so much falls under the umbrella of culture, there’s visual art, there’s film, music, food, theatre, books, as you said, podcasts, video games. It’s endless. How do you prioritise? Right? Like, how do you start to learn all of these worlds? And the advice that you gave me was go to everything. And it was really incredible advice. And even now, if something catches my attention, like an event or an exhibit and I think I don’t really know how we would cover that in the show or I would cover it in writing, but maybe there’s something there. I think, Jan told me to go to everything. I should go. And so I guess my question is, what is behind that advice because it feels like good advice not just for journalists, but for anyone interested in culture.

Jan Dalley
Well, I should probably apologise. It sounds like I kind of ruined your life. (Laughter) Didn’t leave you with very many evenings free to do anything else.

Lilah Raptopoulos
I got way busier after that conversation. (Laughter)

Jan Dalley
Well, I think that what’s behind my saying that — and I do still absolutely believe it — is that the most dangerous thing for any of us, I mean, I’m talking now about us as journalists, but it probably applies to everybody everywhere, especially if we’ve been in a long time in the same role is that we get complacent. We think we know.

Lilah Raptopoulos
Yeah.

Jan Dalley
You know, it’s very easy for me to look at the first five lines of a press release and think, meh. And that’s dangerous. I mean, quite often I’m right — because I’ve been reading those things for a long time — but quite often I’m not. And you’ve got to allow yourself the possibility of being surprised. And I think that would probably be . . . Yeah, I think I’d probably, all these years on, say exactly the same thing. And, you know, you get bad surprises as well as good ones. But at least, you know, that’s another thing you’ve learned or discovered.

Lilah Raptopoulos
Yeah, I think some of the bad stuff is interesting, too. I’ve been feeling like as a culture, we’re trying so hard to optimise sometimes that like we get stuck in a decision paralysis. Like we’ll think, OK, what next book do I read or what show should I go to? Or, you know, is the movie going to be worth my time or my money? So let me read a hundred reviews before I decide. And I’m curious if you have thoughts on this. I mean . . .

Jan Dalley
Well, yes, I realise that go to everything isn’t very practical advice really, because most people can’t and we can’t either. I certainly don’t go to everything. I can’t. So in a way that’s really just a shorthand for keep trying new things. So I think that’s the so, for example, and sometimes there’s a fabulous show coming up, which I know is going to be amazing. You know, let’s say Monet is coming to the Courtauld Institute. There is that amazing series about London. When he lived in London and painted the Thames in the houses of Parliament and everything. I mean, that show is just going to be like having a kind of great big sweetie for me. Great piece of candy. On the other hand, if I was pressed for time, I probably, I mean professionally, I would probably skip that because I know those paintings and go to something that I don’t know so well.

Lilah Raptopoulos
Yeah.

Jan Dalley
And so there are two different ways of looking at it. Pure personal pleasure. Of course I’d go and I will go.

Lilah Raptopoulos
Yeah. Yeah.

Jan Dalley
But if I were still in this job next month when that happened, I probably would think I ought to be looking at something that’s less familiar to me.

Lilah Raptopoulos
Yeah. Yeah. I also wonder if we should all relieve ourselves of the pressure a little bit of the thing we’re going to having to be perfect, right? Like, actually, if it’s not perfect, it’s still kind of . . . I don’t know. Well, it might be important. You know, the binary isn’t just good and bad.

Jan Dalley
No, it isn’t. And also, you know what? Standards are fantastically high. So even the start, I mean, our expectations are unbelievable now. And that’s another thing that changes all the time and certainly has changed over 20 years that the . . . what we expect from, say, a museum visit. We don’t just expect a fabulous show. We expect, you know, an amazing environment. We expect a gorgeous shop and a brilliant café and really good, you know, ancillary materials, really well-curated, brilliant information. I mean, we just expect a lot.

Lilah Raptopoulos
A great audio.

Jan Dalley
A great audio, everything. And if we don’t get it, we’re a bit kind of hmmm, you know, it’s better down the road.

Lilah Raptopoulos
Right. I would love to ask you, Jan, for your insights about how you’ve noticed culture kind of move in cycle. You’ve seen a lot of trends come and go. You’ve had to choose how and whether to cover them. How do you gauge what’s real and exciting versus what’s like fluff and hype, you know? Like, are there things that you really see cycling?

Jan Dalley
Yeah, things that come around. Sure. Yes, absolutely. And there are things which never go away. I mean, questions about . . . Well, it’s always questions about money, actually. The big, big question is always, how do we pay for our culture? How do we pay for the arts? And is it the job of government, as in, let’s say, France and Germany used to be but not so much now, but 20 years ago in many of the richer European countries, you know, you could get things pretty much 100 per cent paid for. Whereas in the States, it would be almost always 100 per cent private-funded. Yeah, everybody always moans about there not being enough money. But somehow, art gets made. It just does. Art gets made and music gets created and people get, you know, people are able to do things, of course. And one of the reasons why it’s so important to have good funding for the arts, one way or another, is so that the opportunities to create come to a much wider range of people. The accessibility and the democratisation of the arts is probably the biggest single theme that runs through the whole of the last, let’s say, 20 years. You know that people from diverse backgrounds, not just ethnically, but also economically. And this is why arts education in schools is so important. But that’s something that’s gone downhill in the last 20 years. Badly. Badly downhill.

Lilah Raptopoulos
Yeah.

Jan Dalley
Really serious. So, yeah, a lot of things have got better, but not everything.

Lilah Raptopoulos
Right. So just to sum that up, what are you most discouraged by looking forward and what are you most encouraged by?

Jan Dalley
I think I am discouraged by the state of arts education. I just don’t see how we’re going to reverse this. This is a huge, huge problem because if you didn’t denude a whole system, you can’t put it back very quickly. I think if . . . possibly the biggest success story over the past 20 years is museums, what they’re actually like now. I mean, they’re just amazing.

Lilah Raptopoulos
They are amazing.

Jan Dalley
They are amazing. I mean, the museums, in fact, and galleries have to some extent taken over from the education system. Actually, there are some amazing initiatives in museums right across this country. And I know there are many in other European countries and in the States, of course, as well, where, you know, if you want to, you can take your kids for a Saturday morning and they can draw you. You know, people can do stuff, but it’s not the same. Yeah, but it does exist.

Lilah Raptopoulos
Yeah. Yeah.

Jan Dalley
So I think that that kind of thing is extraordinary.

Lilah Raptopoulos
Yeah.

[THE RUN THROUGH WITH VOGUE PODCAST TRAILER PLAYING]

Lilah Raptopoulos
OK. For our last section, I want to ask you a little bit about these different cultural worlds. I am learning that every world seems to have its own distinct vibe, you know. My sense at this stage is that the books industry is like actually pretty approachable but can be intellectually condescending sometimes. The food world feels kind of messy and find a little more casual and a little unhinged. The music world is very cool. You know, if you know the language and the references you’re kind of in. And the art world — and this has been proven and disproven in my experience with it — but it has the reputation of being mean. Why is the art world considered mean and is it?

Jan Dalley
Can be. Yeah. I think that I think money comes into it. Big part. I mean, when there are these huge, some potentially huge sums of money involved, people get weird around that.

Lilah Raptopoulos
Yes.

Jan Dalley
And you get extremely rich people involved. And they are not usually very approachable. And they may be, I don’t know, I mean, the collecting of art is quite a strange business, really. Some people think of it as an investment opportunity. I think they’re crazy. It’s extremely difficult to make money by buying and selling art. You might be lucky. You might not. And you’re much more likely not to. But when a lot of money is involved and high stakes are involved. For everybody. Really?

Lilah Raptopoulos
Right. Right.

Jan Dalley
And so I think that’s . . . I would say that was the big, big difference.

Lilah Raptopoulos
I’m curious how that’s changed over time, too. It feels like a lot of the art world has become much more commercialised. Like you were saying, collectors are making investments often when they’re buying art. Artists, it feels like they’re not just wacky minds the way they used to be. A lot of them are like very savvy, sometimes scrappy business people who are thinking a lot about how to increase the value of their work. And I imagine that’s changed in your lifetime.

Jan Dalley
It has changed. Yeah, it’s changed quite a lot. And when I know when I interview older artists, for example, I interviewed Michael Craig-Martin recently. He is in his early 80s although you’ll never know to look at him. And he’s just about to have a huge retrospective at the Royal Academy and very rightly. But his success has come relatively late. I mean, his big-scale success and also his commercial success. Anyway, he was quite interesting and he said the same thing that I’ve heard from almost all artists of his generation, and a bit subsequently, that when they were young, they didn’t think about it. They, you know, they assumed they weren’t going to make any money. They probably assumed that they would spend their lives teaching. And actually, Michael did teach from my freshman years and was an inspirational, amazing teacher. But he also said, he was talking about his show, which is opening, I think, and the Royal Academy. He was bringing out of storage a lot of work that he made, like in the 1950s. And he said, I’m I’ve still got it all because nobody bought it. (Laughter)

Lilah Raptopoulos
Yeah.

Jan Dalley
And there was no bitterness. It was just kind of that was that was kind of how it was. Whereas I don’t think you’d ever find a younger artist kind of saying, yeah, well, nobody buys. It’s fine, you know, I’m still gonna keep doing it. I don’t think that’s the world. It’s not the same any more.

Lilah Raptopoulos
Yeah. Yeah. I think of the art world as a place that you just know very deeply and a place that loves you. And I’m wondering if there’s anything else that you can tell us about it that we don’t get from reading reviews. Once you told me that the art fairs are sort of like your industry conferences and that sort of changed the way I think about them. I thought of them as these sort of glamorous events, but really, they’re just, you know, almost like the Oscars as a professional industry event or the, you know, fashion or Fashion Week as a professional industry event. These are just, you know, the conferences of these industries. They’re just more glamorous than being at a Marriott and, you know, New Orleans or something. Yeah. What else kind of would surprise people, do you think?

Jan Dalley
Well, I should say straightaway, it’s easy for you to say that the art world loves me. The art world doesn’t love me. The art world loves the power of the Financial Times to write about them. (Laughter)

Lilah Raptopoulos
Yeah.

Jan Dalley
It’s important not to think you’re indispensable. So they love my job title.

Lilah Raptopoulos
Yeah.

Jan Dalley
But I think what’s very important to realise about the art world and all of us involved in it is that it’s gruelling work. It’s hard. I mean, it’s not just wafting about. You see people sort of beautifully dressed, going to an opening or turning up at an art fair or something. But the work that’s gone on behind those scenes is just crazy. It’s hard grind. People are not paid very much. In fact, it’s a notoriously badly paid. The galleries in particular. And, of course, it’s vastly worse in this country than it was before Brexit. It’s become a total nightmare. And so I think what we all probably need to think about is the kind of devotion of the people who do this work, because whether it’s museums and galleries, whether it’s in the public sphere, whether it’s in education, whether it’s in the commercial sphere, even in the auction houses, the glamour is very superficial and there’s a lot of work that goes on. So people really do these jobs for the love of it. And it’s quite a strange thing to be somebody who’s earning really quite a modest salary and probably going home to some slightly crummy little apartment somewhere and, you know, wishing they could go out to dinner but can’t afford it this week. And then they’re spending their days talking to people who are buying works for tens of millions. It’s quite weird.

Lilah Raptopoulos
Yes, it is.

Jan Dalley
Really is quite weird.

Lilah Raptopoulos
Yeah. Do you have any advice for people who just enjoy art but can’t afford a very expensive piece of art? Just about how they experience the art world. You know how to not be intimidated by the flashings. My sister worked for some time in the Diamond District and she said about trying on jewellery once, she said, like, don’t let anyone rush you. And it doesn’t matter if you don’t buy anything. Just go in and act like you deserve to be there and it doesn’t matter. And I wonder if there’s something in there for, you know, walking through galleries to where, I don’t know, experiencing art.

Jan Dalley
Well, one thing that most people don’t realise, or if they realise it, they kind of can’t quite believe it, is that the commercial galleries in our big cities provide the most amazing free shows. Because the shows they put on are beautiful and they’re curated to museums standards, most of them.

Lilah Raptopoulos
Yeah.

Jan Dalley
And you can go in for nothing. And you can spend an hour in there. As long as you’re quiet and respectful. I don’t think anybody’s gonna kick you out. They wouldn’t dare because there’s just always a chance. (Laughter)

Lilah Raptopoulos
Always a slim chance you can afford it.

Jan Dalley
Yeah. There’s a slim chance. And the more you look like you can’t, maybe that’s more that you can. So do remember that if you go to a city, like, let’s say you’re a visitor to London. You’ll probably look up what’s on at Tate and what’s on at, you know, the V&A and sort of the National Gallery. And then you’ll probably find that the show you want to see is £24 for a ticket, and you have to book and it’s sold out on the day you want to go and all that. Well, take a look at the, you know, wander around Mayfair. And take a look at those free shows in the galleries. They’re beautiful. So that’s one thing, it’s a fantastic resource. Now, if you do want to acquire something, it’s a really lovely thing to do. The first thing is don’t think you’re going to resell it for money for a lot of money. You’re probably not even going to resell it for what you paid for it. But that’s also true if you buy a sofa.

Lilah Raptopoulos
That’s true.

Jan Dalley
I have a friend who’s worked for a long time in galleries, and he says that he sometimes thinks that people should think about what they spend on a vacation. I mean, if you have more money, you spend more money on your vacations. And if you have less, you maybe, you know, have a very budget vacation or whatever. But you never think that’s a pointless thing to do because that’s money gone. And when you talk to people who have established collections, you quite often find that they say, well, of course, at the beginning I never had a car. Well, of course, at the beginning, I never you know, I never went on holiday because the money was for buying art. So, first of all, you should just think about what you actually do spend money on. And if you discover an artist you like, you need to talk to the gallerist, you need to research them, find out about them. You know, don’t be scared to ask lots and lots of questions. And if you really do want to buy something, don’t be scared to ask the gallerist if you can pay in instalments. I’m not kidding. This happens.

Lilah Raptopoulos
Yeah.

Jan Dalley
I mean, a lot of people have a buyout like that.

Lilah Raptopoulos
Right. Interesting. So what you’re saying is like, if you have some expendable income but you’re not a millionaire, you still can collect art and you can buy original art. And yeah, that makes me want to invest in a piece of art.

Jan, thank you so much for your time. I guess my last question is just, after this whole conversation, is there anything that any other sort of words of wisdom you may want to pass on to listeners who care about our coverage?

Jan Dalley
I think it’s really just what we’ve been talking about. You know, keeping an open mind, experimenting, trying things out, not thinking that things will be impossible and just enjoy. Enjoy it. I mean, it just enriches your life so much. And that’s what it’s for. And that’s not something that I say lightly because I truly believe it goes very deep.

Lilah Raptopoulos
Yeah. Jan, this is a real honour. Thank you. And please don’t be a stranger to the show.

Jan Dalley
Won’t be. Thank you so much for having me. I really enjoyed it.

Lilah Raptopoulos
Me too. Thank you.

[MUSIC PLAYING]

That’s the show. Thank you for listening to Life and Art from FT Weekend. As always, check out the show notes. We have links to some of my favourite pieces by Jan. Also links to places you can email the show and where you can find me on Instagram @LilahRap where I love chatting with you about culture. I’m Lilah Raptopoulos and here is our talented team. Katya Kumkova is our senior producer. Lulu Smyth is our producer. Our sound engineers are Breen Turner and Sam Giovinco with original music by Metaphor Music. Topher Forhecz is our executive producer and our global head of audio is Cheryl Brumley. Have a wonderful week and we’ll find each other again on Friday.

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Travel

New Zealand Hotel In Cambridge Embraces Lake And Forest

Published

9 mins ago

September 23, 2024

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Columbia Hillen

About to leave for our scheduled tour of Hobbiton, the charming film location of the Shire, home to Frodo and company, disaster struck.

Approaching our car, I noticed the rear tire was completely flat, the result of a nail puncture. And the spare was too thin to get us there.

Columbia Hillen

To make matters worse, it was our last day in New Zealand’s Waikato region so we couldn’t re-schedule. Seeing my wife’s downcast face, Hobbiton being the holiday highlight she’d been most looking forward to, I felt helpless.

That’s when staff at our hotel, Hidden Lake in Cambridge on the North Island, went into action.

Rajwinder Kaur, hotel manager. Photo by Columbia Hillen

Within minutes, not one but four members of staff were hard at work to save the day, two working the phones, one to find a garage, the other to see what time Hobbiton closed and if we could change our scheduled tour time, while two others rushed to the car to replace the flat tire with the reserve to get us to whatever nearby garage might be open.

Unfortunately, the first two garages contacted were too busy to help and as the minutes ticked by, all seemed lost. But aside from being a patient and kind host, hotel manager, Rajwinder Kaur, a native of Uttar Pradesh in northern India, is also a very persistent woman. Finally, looking up at our forlorn faces, she smiled. “I found one.”

Glenda Turner, hotel owner. Photo by Columbia Hillen

This incident encapsulates the pedigree of people my wife and I were fortunate to meet on a two-night stay at this attractive family-run hotel.

Owned and operated by Chris Turner, an agricultural machine specialist, and his wife, Glenda, a former teacher, the 37-room hotel sits beside a lake partially hidden by a forest of maple, oak and Japanese cherry, a relaxing place where Glenda and her family would enjoy weekend getaways, thus the inspiration for the hotel’s name.

Columbia Hillen

After leasing the building, the couple opened the hotel three years ago offering their services to both tourists and corporate clients from the nearby horse stud farms, glass manufacturing and agricultural sectors.

Columbia Hillen

Our room was a comfortable one featuring a small balcony overlooking the forest with furnishings that included a large wall TV, an armchair, tea and coffee-making facilities, a mini-bar and a glass-enclosed shower.

Being environmentally conscious, pillows and duvets were made from recycled plastic, any solar energy the hotel doesn’t use is donated to the township of Cambridge, dispensers are used instead of single soaps and guests have options in their rooms to separate recyclable material from waste.

Columbia Hillen

Food at the Hidden Lake Hotel is of the highest quality, with much of the produce used either coming from her uncle’s farm or the local farmer’s market.

Columbia Hillen

Both dinner and breakfast are served in D’Arcy’s restaurant with views over the forest from the second floor. The latter featured a tasty whipped avocado dish comprising local goat cheese, poached eggs with focaccia and za’atar, a mix of Levantine herbs such as sesame, sumac and other spices.

Columbia Hillen

The menu also featured classic eggs Benedict, Chinese bolognese, brioche French toast with mascarpone, poached pear, bacon and honey, as well as the full breakfast of bacon, chipolata, hash browns, toast and cherry tomato or Poppa’s porridge with caramelized banana, brown sugar and cream and Bircher muesli with coconut and plum. The hot chocolate I tasted, offered with or without marshmallows, was deliciously smooth and creamy.

Columbia Hillen

Dinner was similarly diverse with my wife choosing starters of seared scallops and I green lipped mussels in a creamy turmeric sauce followed by mains of tagliatelle and salmon.

Columbia Hillen

Kudos also go to Chris and Glenda for their innovative cocktail menu, many created by them, often reflecting real-life situations. The Lockdown Delta Variant, for example, emerged out of Covid, and comprises gin, blood orange, Bergamot, lemon juice, Aquafaba and orange bitters, all topped with tonic water. Another cocktail, Smoky Linen, emerged from an incident when a tea towel caught fire. It consists of Bailey’s, Kahlua, white and dark chocolate and creme de cacao and milk, topped, of course, with a smoky charred marshmallow.

Columbia Hillen

Within easy walking distance of charming downtown Cambridge, the Hidden Lake Hotel is also a convenient stopover for tourists visiting Hobbiton, a 30-minute drive away through rolling countryside, as well as to Hamilton with its stunning, 54-hectare public garden and the geothermal park with its dramatic geysers, bubbling mud and Maori cultural experiences at Te Puia Rotorua.

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Business

Sri Lanka swears in leftist president as concerns grow for IMF deal

Published

15 mins ago

September 23, 2024

NewsAdmin

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Leftist Anura Kumara Dissanayake has promised to “heed the best advice” in running Sri Lanka as he was sworn in as the country’s president, following a stunning election win that has renewed concerns over the future of a fragile IMF-backed debt restructuring.

Sri Lanka’s bonds fell on Monday in the wake of the upset win at the weekend by Dissanayake, the country’s first president from outside its traditional ruling elite.

“I will heed the best advice,” said Dissanayake, 55, after taking the oath of office on Monday, in comments aimed at easing investor fears over the fate of a $3bn IMF rescue plan. “There are my capabilities and incapabilities, things that I know and don’t.”

“We do not believe that this deep crisis can be overcome by a government, a party or an individual,” he added. “I am no conjuror or magician.”

Dissanayake’s victory on Saturday marked a new era in the south Asian country’s political history, with voters rejecting the political dynasties they blamed for years of economic crisis that culminated in a damaging debt default in 2022.

Months later, protesters over-ran the presidential palace, forcing then-president Gotabaya Rajapaksa to flee the country.

Dissanayake took pains during the five-week campaign to allay investor misgivings, pledging to preserve the IMF agreement. But he has also called to ease some of its conditions to alleviate Sri Lanka’s economic hardship after two years of austerity.

The election manifesto of his neo-Marxist National People’s Power coalition called to renegotiate the IMF deal to make it “more palatable and strengthened” and keep interest payments “at a bearable level”.

Sri Lanka’s dollar-denominated bonds tumbled on Monday, with notes maturing in 2029 shedding almost 6 per cent to trade at 50.2 cents on the dollar. Prices had briefly dipped below 50 cents on the dollar in early trading.

The Colombo Stock Exchange’s all-shares index shed 1.5 per cent before paring losses to be even on the day.

Dissanayake, who hails from the rural North Central province, previously led the People’s Liberation Front, a Marxist-Leninist party founded in 1965 and a precursor to the NPP that led bloody rebellions in 1971 and from 1987-80.

He was sworn in on Monday in Sri Lanka’s old parliament building, a colonial landmark that the group had planned to attack in 1971 as part of a plot to overthrow the government.

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Money

Why do black and ethnic minorities feel excluded from advice?

Published

32 mins ago

September 23, 2024

NewsAdmin

For those in a minority, it can be difficult for your voice to be heard and your views to carry weight. Even if the majority group listens, it is not easy for its members to stop seeing the world as they do and start seeing it through your eyes.

This is always the problem when the predominantly white financial advice profession tries to tackle the lack of ethnic diversity within its ranks and client base.

It sets up diversity, equity and inclusion (DE&I) committees and says its doors are open to everybody. Yet the same kinds of people tend to walk through. Why is that?

Legacy issues

It was not until the Race Relations Act 1965 that legislation made some forms of racism an offence. Even in the more progressive 1960s, certain businesses were refusing to serve people or overcharging them based on the colour of their skin.

Cultural values towards credit play a significant role in how individuals navigate the financial system

Black and ethnic-minority families have not had the same access to products and services that others have taken for granted, which has had repercussions.

“People of colour historically have not had the opportunity to build wealth over the generations, so the financial system hasn’t been designed for them,” says Tynah Matembe, founder of MoneyMatiX Financial Education and host of the ‘Grow Your Money’ podcast.

“Systems that are discriminatory should be named and shamed, while affordable and innovative banking and financial services should be promoted.”

Not surprisingly, research still highlights disparities between the finances of black and ethnic minorities and those of their white counterparts.

Earlier this year, Scottish Widows reported 14% of black women and 15% of Asian women were opting out of pensions, compared to 5% of white women. Reasons given by black and Asian women included a lack of trust, affordability and preferring to save money in other ways.

Belvedere Wealth Management senior partner Emmanuel Asuquo — who appears on TV as a financial expert for Channel 4 — suggests cultural reasons may also play a part.

It could be that black and Asian families have followed traditional gender roles — where men were breadwinners and women the homemakers — for longer than white families. But this is changing, with black and Asian women now more likely to work.

We need to make a concerted effort to diversify how we push products out, making them truly inclusive

“Only now are they realising that one income isn’t enough,” says Asuquo. “I think the pension situation will change over time.”

The Scottish Widows research also found that black and Asian women were more likely than white women to have multiple jobs, which probably indicates those jobs were low paid.

A cultural lens

Different cultural values are not always easy to navigate. Credit plays a big part in UK financial services, where people routinely borrow money to buy houses or cars, start businesses and so on. But credit can be tricky for some black and Asian people to understand due to cultural differences, which can lead to them being ‘locked out’ of financial services.

It sounds simplistic, but a lot of the problem stems from a lack of representation in the workforce. We need inclusive policies and recruitment practices

“Advisers would do well to consider how cultural values towards credit play a significant role in how individuals navigate the financial system,” says Matembe.

“For many people from cash-based economies or backgrounds, where credit is viewed with suspicion, the concept of using debt strategically can be quite foreign and even intimidating.”

Asuquo, whose parents came from Nigeria, says that, when people in Nigeria want to buy a house, they purchase the land and employ builders to build on it.

“It’s the same in the Caribbean — people don’t take out mortgages,” he says. “But, when they come to the UK, nobody tells them how it works. So, they either learn by their mistakes or assume they can’t do it and focus on buying land at home.”

Often, they end up with a home they plan to retire to, but never do as they develop ties in the UK.

When people see others from similar backgrounds using credit responsibly and successfully to build wealth, it can help shift perceptions

“If you feel you belong, you can set down roots,” observes Asuquo.

“You’d be happy to buy a house and open an Isa.”

Matembe agrees that the issue is not just about access to credit — which can be difficult for minorities to obtain. It is also about reshaping mindsets and educating people on how to use credit responsibly “with a cultural lens”.

She says: “For many, the avoidance of debt is rooted in a desire for financial security, and changing these ingrained values requires a thoughtful approach. Tailored financial education programmes that consider cultural contexts and historical disadvantages will help bridge the knowledge gap.”

Matembe suggests combining this with examples of lived experiences and success stories from within the community.

For many people from cash-based economies or backgrounds, the concept of using debt strategically can be quite foreign and even intimidating

“When people see others from similar backgrounds using credit responsibly and successfully to build wealth — whether through homeownership, education or entrepreneurship — it can help shift perceptions,” she says.

A representative profession

A recent study from Mannheim Business School in Germany, looking at gender stereotypes in financial advertisements, briefly touched on ethnicity. It found that 74% of the main figures in the ads were white, with ethnic minorities more likely to be shown in low-status, low-expertise positions.

Although ads are not real life, they shape people’s thinking about financial services. As Asuquo says, “Seeing is believing.”

He adds: “If I go on a website and I don’t see people who look like me, I’m going to think this is not for me.”

Even if an adviser’s client base is predominantly white men, their website can depict a more diverse range of people to show that the adviser is welcoming and inclusive, suggests Asuquo.

Systems that are discriminatory should be named and shamed, while affordable and innovative banking and financial services should be promoted

Others agree with his views.

Equilibrium Financial Planning head of best practice Sarah Hammond says: “A diverse workforce can help to build trust and ensure products and services are designed with a broader range of needs in mind.”

As a black woman working in fintech, Whitney Simon, head of DE&I consulting at technology PR and communications firm Missive, concurs.

“To make financial services more inclusive, we need to create access for black and ethnic-minority professionals in product development and the organisations themselves,” she says.

“It sounds simplistic, but a lot of the problem stems from a lack of representation in the workforce. We need inclusive policies and recruitment practices.”

Simon also points out there can be inherent bias in systems, with financial products seeming to be tested by the same groups.

People of colour historically have not had the opportunity to build wealth over the generations, so the financial system hasn’t been designed for them

“We need to make a concerted effort to diversify how we push products out, making them truly inclusive,” she says.

“The more diverse voices we have in the room, the more inclusive our products and services will be. It’s not rocket science, but it does require intentional effort and commitment.”

This is echoed by Matembe.

“More people of colour are needed in decision-making roles to ensure diverse perspectives are included in policy and product development,” she says.

Concrete action

Raising awareness of the need for ethnic diversity in financial services is all very well but commentators want to see concrete action.

The more diverse voices we have in the room, the more inclusive our products and services will be

“It is essential for the government to appoint a financial inclusion expert to lead the strategy and to advise on and develop policies with a focus on the needs of people of colour,” says Matembe.

“However, it’s not solely the government’s responsibility. Financial institutions, regulatory bodies and community organisations must collaborate to drive meaningful progress.”

This article featured in the September 2024 edition of Money Marketing.

If you would like to subscribe to the monthly magazine, please click here.

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Business

Why do concert tickets now cost as much as a games console?

Published

47 mins ago

September 23, 2024

NewsAdmin

Why do concert tickets now cost as much as a games console?

Tickets to see Taylor Swift, Beyonce and Oasis have set new benchmarks for pricing

BBC A treated image showing Taylor Swift, Beyonce, and Liam Gallagher in front of hands holding up credit cards — Tickets to see Taylor Swift, Beyonce and Oasis have set new benchmarks for pricing

The last time Oasis played Wembley Stadium, in 2009, a standing ticket cost exactly £44.04.

For their return next summer, the same ticket was priced at £150. Vastly more than the old ticket price which, when adjusted for inflation, would cost £68.

Not only that, but some fans were charged hundreds of pounds more than the face value, after so-called “dynamic pricing” boosted the cost in response to high demand.

But Oasis aren’t alone. If you’ve logged onto Ticketmaster over the last couple of years, you’ll know the cost of live music has soared.

Ticket prices shot up by 23% last year, having already risen 19% since the pandemic. Going to a gig can cost the same amount as taking a holiday, and prices are only rising.

At the most extreme end of the scale, Madonna charged £1,306.75 for VIP passes to her Celebration tour; and Beyoncé offered fans the chance to sit on the stage of her Renaissance concerts for the bargain price of £2,400.

Overall, the average ticket price for the top 100 tours around the world was £101 last year, up from £82 in 2022, according to Pollstar, a trade publication that tracks the concert industry.

In the UK, 51% of people say high prices have stopped them going to gigs at least once in the last five years. Among 16 to 34-year-olds, two-thirds of concert-goers say they’ve reduced the number of shows they attend. But despite this, tours with high-priced tickets keep selling out – but only for the biggest-name artists.

Abbi Glover, 33, from New Holland, Lincolnshire, said the cost of tickets “creates a divide” between those who can afford them and those who are “priced out”.

“I work hard and earn a decent wage. What do I have to do to be able to just enjoy these things when I’m doing everything I possibly can?”

‘Milking the cow’

UK prices are still below those in the US but, as ticketing expert Reg Walker told the BBC, “what happens there happens here five to 10 years later”.

So why have costs skyrocketed?

If your first thought was “greed”, well, that’s definitely part of it.

“It’s not speculation to think that some artists want to make as much money as they can,” says Gideon Gottfried, Pollstar’s European editor.

One musician who’s been bullish about the price hikes is Bruce Springsteen.

Fans were alarmed when some seats for his 2023 US tour were priced as high as $5,000 (£3,874), thanks to Ticketmaster’s dynamic pricing.

Speaking to Rolling Stone, Springsteen argued that most of the tickets were in an “affordable range”, but he was fed up with touts making money off his back, so he chose to match their prices.

“I’m going, ‘Hey, why shouldn’t that money go to the guys that are going to be up there sweating three hours a night for it?’” he said.

Kiss star Gene Simmons also defended the system.

“Whatever the pricing is, it’s all academic,” he told Forbes. “Somebody sits in a room and tries to figure out how far the rubber band can stretch. And if you’re not selling tickets, guess what happens? The price goes down. Capitalism!

“Vote with [your] money,” he concluded. “You don’t like the ticket pricing? Don’t buy a ticket.”

Springsteen and Simmons are in good company. Other artists who’ve embraced dynamic pricing include Coldplay, Harry Styles, Olivia Rodrigo and Taylor Swift (although she ditched it for the Eras tour after significant fan backlash).

Following the Oasis debacle, Prime Minister Sir Keir Starmer vowed to get a “grip” on the situation and “make sure that tickets are available at a price that people can actually afford”.

But it might not be so simple…

A pie chart showing that from a £150 ticket, £84 goes to the artist - which will also pay for crew and transport - £30 on VAT, £16.50 on ticket fees, £15 to the promoter, and £4.50 goes to royalties. This is illustrative and amounts will vary from show to show

Aside from the lure of a big payday, there are many reasons why artists are charging more.

Some are trying to combat the impact of streaming – the majority of musicians make just 5% of their income from streaming, a sharp decline from the years when vinyl and CD were king.

Others are worried about their longevity, in an era when entire careers can be measured in the span of a TikTok trend.

“Nobody really knows what the heck is going on, and how the economy will develop and what the next crisis is going to be,” says Gottfried, “so some artists are trying to milk the cow as much as possible, while it’s still possible.”

Beyonce’s Renaissance tour broke records

Beyonce sits on a piano in front of a large crowd — Beyonce’s Renaissance tour broke records

Not everyone thinks that way. Punk-pop star Yungblud organised his own festival in Milton Keynes this August, setting prices at a market-beating £49.50.

He was compelled to take action after noticing unsold seats on his US arena tour last year.

“Five hundred seats would be completely empty because they were $200 a ticket,” he told Music Week. “I’d have 1,000 kids outside the venue who couldn’t afford to come in and I was like, ‘Something’s got to change here.’”

But the festival didn’t go completely to plan. Heightened security after a stabbing in Milton Keynes the previous weekend led to delays of up to three hours for fans waiting to get into the venue. As temperatures soared above 30 degrees Celsius, some passed out in the queue. Others gave up and went home.

Higher-priced tickets could have paid for extra security staff and eased those pressures – illustrating the delicate balance that has to be struck when setting prices.

Still, Yungblud isn’t the only one trying to get a fair deal for concert-goers.

Paul Heaton capped prices for his upcoming tour at £35. Pop star Caity Baser set her 2023 concerts at just £11 – or “two meal deals”, as she put it – to help cash-strapped fans.

But these artists don’t require big productions full of pyrotechnics and jumbotron video screens.

For acts who do, the cost of touring has spiralled since the pandemic. Here are just a few examples:

Transport Whether you’re in a minivan or a private jet, it costs more to travel these days. Fuel prices have risen by 20% since 2019 and a shortage of drivers post-Brexit means experienced crew can charge a premium.

Freight costs A tour isn’t just about moving bodies – for big arena and stadium shows, the stage also has to be transported. According to the pop star Lorde, the cost of shipping her stage around the world increased by up to 300% after Covid. And logistics company Freightwaves says the cost of insuring one truck can be as high as $5m (£3.8m). For context, Taylor Swift’s Eras tour requires up to 50 trucks.

Catering We’ve all seen our food bills increase, and touring artists are no exception. When you have hundreds of mouths to feed, the costs add up.

Stage equipment From sound systems to lighting rigs, rental costs for tour gear have risen by 15-20%. And with more tours on the road, equipment is overbooked – which can push prices even higher.

“We’ve seen projects where the cost of overheads have increased by up to 35 to 40%,” says Stuart Galbraith, CEO of concert promoters Kilimanjaro Live, “and the only form of income that comes in to cover all of that is ticket money”.

Even when prices go up, the profit margins are minimal, according to Stephan Thanscheidt, CEO of FKP Scorpio, which organises more than 20 European festivals, as well as tours by Ed Sheeran, the Rolling Stones and Foo Fighters.

“The costs associated with our productions have doubled or tripled [but] we cannot and will not compensate for this by tripling the ticket prices,” he told Pollstar last year.

The squeeze is particularly tight on UK festivals, which have also been hit by a ban on “red diesel”, a fuel tinted with red dye, which they previously used to power the generators and heavy vehicles needed to construct festival sites.

The move is part of the UK’s commitment to reduce greenhouse gases, and meant some organisers suddenly had to pay a higher rate of fuel duty from April 2022 – a big increase of 46 pence per litre.

Since then, the average cost of a UK festival ticket has shot up by 22%. Combined with other rising costs, more than 50 festivals went on hiatus or closed completely this summer.

The teetotal tax

Small venues are under pressure, too. Their prices might average between £7 and £10, but they’re struggling to sell shows – partly because fans have already spent their money on stadium tickets that cost the same as a games console.

Toni Coe-Brooker from the Music Venues Trust said this is down to “a culture in which people think that grassroots gigs should be free”.

In the past, that didn’t matter because owners made plenty of money behind the bar. But Gen Z are increasingly turning their backs on alcohol. One study says 26% of 16-to-25-year-olds are teetotal, and that leaves yet another hole in venues’ finances.

Combined with other pressures including higher rent and electricity bills, 125 music venues closed or stopped hosting live music in 2023.

In those that remain, costs are so tight that “a lot of venue operators aren’t even paying themselves, which is really worrying,” says Coe-Brooker.

The Music Venue Trust wants bigger concert halls to donate £1 from each ticket sold to the grassroots scene and the next generation of artists.

That wouldn’t necessarily push prices up again – the trust says the £1 fee would be factored into existing costs – but here’s the fascinating thing: If the artist is the right one, fans will pay regardless.

Oasis’ upcoming gigs will cost vastly more than their 1996 shows at Knebworth

Live Nation is the world’s biggest concert promoter and it shifted a record 118 million tickets in the first six months of 2024.

According to its latest earnings report, sales for arenas, amphitheatres, theatre and club shows are all up double digits.

“People’s enthusiasm to go out has not been as curbed as we expected in the current economy,” says Gottfried.

“VIP ticket sales have definitely picked up. Every single promoter I’ve spoken to across the individual European markets, has seen an uptake in almost every case. And £1,000 for a VIP package is not at all unheard of.”

‘Outrageous money’

However, the same rules don’t apply to everyone.

The biggest names might get away with charging hundreds of pounds per show, but “the weaker tours are coming under more pressure,” says Galbraith.

In other words, with an ongoing squeeze on their disposable incomes, fans are cutting back on experiences that don’t seem unique or essential.

“We’re competing in a marketplace that isn’t just gig to gig,” says Galbraith. “It’s also, are we value for money versus a restaurant? Are we value for money versus a mini break? So every tour has to be as cost effective as they possibly can.”

There are some signs that we’ve reached a peak. Jennifer Lopez and the Black Keys both scrapped recent US arena tours, after fans baulked at average prices of around $150 (£116). And the most expensive tickets for Billie Eilish’s 2025 UK tour (£398, of which £151 goes to local charities) are still available, months after going on sale.

It’s hard to say whether this will change. But Leah Rafferty, 27, from Sheffield, is an example of a fan who will pay whatever is asked. She lives with her parents, which allows her to spend her disposable income on concerts – something she says she feels “extremely lucky” to do.

A devoted Swiftie, she has seen The Eras Tour six times: Once in Edinburgh, twice in Liverpool and three times in London, at a cost of £1,192.57.

“As long as it doesn’t bankrupt me, I’m happy to spend whatever it costs.”

That’s exactly what promoters are relying on, says Gottfried.

“One of the reasons you haven’t seen notable dips [in sales], despite people struggling economically, is that seeing their favourite artist means so much to them that they make irrational decisions.

“Any market will be distorted by people making irrational decisions. It might be a beautiful decision for them but it’s also an irrational one, because their emotions and their fandom will make them pay outrageous money.”

Lead image: Getty

BBC InDepth is the new home on the website and app for the best analysis and expertise from our top journalists. Under a distinctive new brand, we’ll bring you fresh perspectives that challenge assumptions, and deep reporting on the biggest issues to help you make sense of a complex world. And we’ll be showcasing thought-provoking content from across BBC Sounds and iPlayer too. We’re starting small but thinking big, and we want to know what you think – you can send us your feedback by clicking on the button below.

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Travel

Luxury Homes That Travel the World with You

Published

1 hour ago

September 23, 2024

NewsAdmin

Dreaming of renting or buying villas around the globe for your next adventure? Well, here’s a twist on the typical travel tale – Miami-based Storylines is crafting a floating eco-friendly paradise with 530 luxury homes aboard. Forget cabins, condos, or villas – this is a private residence vessel, and the dwellings are rightfully called ‘residences.’

The vessel, MV Narrative, is scheduled to set sail in 2027 from Split, Croatia, embarking on a journey around the world every three years. Unlike the hurried pace of a typical world cruise, this voyage offers a more measured experience, allowing residents to immerse themselves in each region for up to three months and savor five days at every port. This thoughtful pace benefits not only the residents but also the port cities, many of which are seeking relief from the overwhelming influx of day-trippers delivered by traditional cruise liners.

As for life aboard this extraordinary ship, imagine residing in a home where the view is ever-changing, revealing the world’s most breathtaking landscapes and the vast, serene ocean. Whether your tastes lean toward a cozy interior studio, ideal for those who favor simplicity, or an expansive four-bedroom penthouse with multiple balconies, there is a residence to suit your preferences. An annual fee, in addition to the purchase price, covers all maintenance, concierge services, and grants access to the ship’s numerous amenities, ensuring a life of comfort and elegance as you sail across the globe.

On that note, the luxury doesn’t end at your doorstep – The onboard community enjoys access to an array of world-class facilities rivaling those of the finest land-based resorts. Whether it’s indulging in gourmet dining at one of the ship’s several specialty restaurants, rejuvenating in the full-service spa, or keeping active with state-of-the-art fitness facilities and pools, every aspect of life onboard is designed to enhance your well-being, longevity and enjoyment. For traveling families, children can enjoy the cinema, a library, and even an onboard school, ensuring that every resident, whether retired or working and raising a family, has the resources and spaces they need to live life fully. The education includes on-shore excursions for world-schooling.

For those fortunate enough to have the freedom to work remotely, the ship is fully equipped with high-speed, reliable satellite internet, ensuring that you stay connected no matter where in the world you are. Imagine logging into your virtual office while sailing past the rugged cliffs of the Mediterranean or taking a conference call with the vibrant skyline of Hong Kong as your backdrop. That would certainly take the grind out of work!

Along with many of the residences coming equipped with home offices, dedicated co-working spaces provide the perfect environment for productivity, featuring ergonomic workstations, private meeting rooms, and stunning views that make even the most mundane tasks feel inspired.

One of Storylines goals is to create an environment with the most healthy work-life balance imaginable. After a day of work, you can unwind by exploring a new port of call, or simply relaxing with fellow residents in one of the many luxurious lounges, one of which is a waters-edge marina – this includes use of watersports equipment such as scuba gear, kayaks and jet skis.

What’s on offer?

Storylines offers a range of options, each residence a unique blend of comfort, elegance, and innovation, designed to cater to your every need while you journey around the globe. Prices start from $625, 000 for an inside studio up to $8,600,000 for the premium penthouse.

50% Co-ownership Options

For those seeking a part-time residence on the ship, similar to a vacation home, Storylines offers 50% fractional ownership. This option provides access to a luxurious residence for six months each year. Not only does this significantly lower the cost, but it also allows your vacation home to explore a different part of the world each year.

While there are nine different design-types, we will focus on one each from the five classes – RU1 to RU5. Starting from entry-level to their most premium homes, let’s take a look at what Storylines offers.

RU1. DISCOVER

These interior studio residences showcase cutting-edge European space-saving design, offering both style and functionality. With the push of a button, your luxurious 6-star mattress bed smoothly folds away, transforming the space into a cozy lounge area. While this is the entry-level, inside studio (meaning there is no window), a digital screen window brings the outside world to you – it displays live scenes from various onboard CCTV cameras, so you never miss a moment of the ever-changing view.

RU2 EXPLORE

The spacious RU2 range homes are all outside balcony units, featuring a large waterfront living room with a minibar that separates the living and sleeping areas. You can choose between a Murphy bed that folds away to make space for a table and chairs or a sofa that converts into a queen-sized bed, providing both comfort and space.

RU3 INDULGE

The RU3 range are stunning one-bedrooms that offer abundant space, featuring a dedicated workspace, a wet bar with a dining area, and a spacious lounge. The bedroom is a luxurious retreat, enclosed in glass with curtains that can be drawn for complete privacy or left open to enjoy the breathtaking views from bed. It also includes a generous walk-in wardrobe and a bathroom with a combination bathtub/shower.

RU4.3 ENVISION

The RU4 range includes expansive two-bedroom homes that boast an extra-deep balcony designed for seamless indoor/outdoor living. The waterfront master bedroom includes a walk-in closet and an en-suite bathroom, while the guest bedroom also offers its own private bathroom. The lounge area features a pop-up television lift cabinet, allowing you to enjoy stunning views during the day and your favorite shows at night.

RU5 GLOBAL

The RU5 range is the cream of the crop. The premium residences span two levels on decks 17 and 18. Available in three floor plans with options for two or four bedrooms, this expansive home is perfect for a family and ensures your guests feel right at home. The living area includes a full bar, a dining setting for eight, and cozy lounges to enjoy the ever-changing scenery. The open-plan design fills every corner with natural light and fresh air. With two balconies, each over 100 square feet, this is a true home at sea, ideal for entertaining or simply relaxing.

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Business

Australian retailers sued over ‘illusory’ discounts on Tim Tams and cat food

Published

1 hour ago

September 23, 2024

NewsAdmin

Stay informed with free updates

Australia’s consumer watchdog has sued the country’s two largest supermarket chains Coles and Woolworths over accusations that they engaged in “illusory” discounting on hundreds of products ranging from Tim Tam biscuits to cat food.

The Australian Competition and Consumer Commission launched the legal action on Monday after months of wider debate in the country about the power and influence of the retailers.

The ACCC alleged that the two supermarkets — which control about 65 per cent of Australia’s grocery market, according to a Treasury report this year — engaged in “misleading” practices related to discounts on goods between 2021 and 2023.

The watchdog said Coles and Woolworths advertised discounts on items that were sold at the same or sometimes higher price than the regular cost of the products. They did so by implementing “price spikes” of about 15 per cent on the goods for brief periods before offering them at a discount to the inflated price.

“We allege these misleading claims about illusory discounts diminished the ability of consumers to make informed choices about what products to buy, and where,” said Gina Cass-Gottlieb, chair of the ACCC.

In one example, the ACCC said Woolworths offered an Oreo family pack for a regular price of A$3.50 (US$2.40) for at least a year until November 2022. That month, Woolworths increased the price of the Oreo pack to A$5.00 for 22 days before promoting it as “prices dropped” at a cost of $4.50 — “29 per cent higher than the product’s previous retail price of A$3.50,” said the ACCC.

Australia’s Prime Minister Anthony Albanese said the artificial discounting would be “completely unacceptable” if proven. “Customers don’t deserve to be treated as fools by the supermarkets,” he said at a press conference.

He added that the alleged behaviour could have added to Australia’s inflation problem. “When you’re charging more for products than you should, it of course has an inflationary impact by definition,” he said.

The Australian government on Monday also issued an update on its plan to introduce a mandatory code for the country’s largest food retailers that would give regulators the right to impose huge fines on the companies if they are found to have breached regulations around pricing.

The ACCC action will increase pressure on retailers, which have argued in recent months that they have absorbed higher input costs as inflation has soared.

Coles said it would defend itself during proceedings brought by the ACCC. In a statement, it said the regulator’s allegations covered a period of significant cost inflation, which triggered an increase in the retail price of products.

“Coles sought to strike an appropriate balance between managing the impact of cost price increases on retail prices and offering value to customers through the recommencement of promotional activity as soon as possible after the establishment of the new non-promotional price,” it said in a statement.

Woolworths said it would review the allegations. “Cost-of-living pressures remain a key issue for millions of Australians who shop with us every week,” said Amanda Bardwell, the recently appointed chief executive.

Coles and Woolworths shares both dropped about 3.5 per cent following the ACCC action.

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