U.K. stocks edged higher on Wednesday as the pound slipped, while shares of bakery chain Greggs (LSE:GRG) declined sharply after the company issued a cautionary forecast for its full-year operating profits.

By 11:12 GMT, the FTSE 100 index had climbed 0.1%, with the British pound down 0.3% against the U.S. dollar, trading near $1.37. In continental Europe, Germany’s DAX advanced 0.2%, and France’s CAC 40 rose 1.2%.

Bank of England’s Taylor Flags Risks to U.K. Economic Soft Landing

Alan Taylor, a Bank of England policymaker, expressed concern on Tuesday over the diminishing chances of a smooth economic soft landing for the U.K., citing signs of slowing growth. Speaking to Bloomberg TV, he said, “The soft landing scenario appears increasingly uncertain as we see clear signs of economic deceleration.”

Bytes Technology Shares Plunge on Weak Trading Outlook

Shares of Bytes Technology Group (LSE:BYIT) tumbled more than 27% after the software and cloud services provider issued a disappointing trading update ahead of its annual meeting. The company highlighted how broader economic challenges led customers to delay purchasing decisions earlier in the fiscal year, impacting corporate sector demand in particular.

SSP Group Surges on News of TFS IPO in India

SSP Group PLC (LSE:SSPG) shares jumped over 8% following the announcement that its Indian joint venture, Travel Food Services (TFS), plans to proceed with an initial public offering. TFS is expected to list on the Indian stock exchange on July 14, with shares priced between 1,045 and 1,100 Indian rupees, valuing the company at roughly £1.17 to £1.23 billion.

Greggs Warns of Profit Impact from Hot Weather

Greggs’ (LSE:GRG) stock slumped by up to 13.7% to 1,704 pence after the company indicated that its full-year operating profit may fall slightly short of last year’s results. The firm attributed the profit warning to unusually hot weather in the U.K., which dampened store traffic in June despite a boost in cold drink sales.

Topps Tiles Shares Rise on Strong Quarterly Sales

Topps Tiles (LSE:TPT) saw shares climb nearly 7.9% following a solid 7.3% increase in like-for-like sales during Q3, driven mainly by higher trade customer orders. Although the retailer faces headwinds from rising payroll taxes and minimum wage costs, it remains optimistic about margin improvements in the latter half of the year.

Banco Sabadell to Sell TSB to Santander

Banco Sabadell (LSE:AZN) shares gained 4% after confirming plans to sell its U.K. unit, TSB, to Banco Santander (LSE:AZN) in a deal valued up to £2.9 billion. The transaction, requiring shareholder approval, is expected to close in early 2026, with a General Meeting set for August 6.

KKR to Acquire Spectris in £4.7 Billion Deal

Spectris (LSE:AZN) shares rose more than 4% following the announcement that private equity firm KKR will acquire the precision instruments company in a cash deal worth £4.7 billion. Spectris shareholders will receive £40 per share, including a pending interim dividend.

Shell to Amend SEC Filings

Shell (LSE:AZN) announced plans to update its 2023 and 2024 SEC filings after the company’s auditor, EY, failed to comply with U.S. rules on audit partner rotations.

AstraZeneca Considers U.S. Listing Move

According to a report in the Times, AstraZeneca (LSE:AZN) is exploring the possibility of shifting its stock listing to the United States.