The scale of profits at HSBC, the UK’s largest bank, was certain to attract unwanted attention.

Earnings of £17billion look to be off the scale at a time when High Street banks rightly are in the dock over poor returns for savers, branch closures and rotten customer service.

All of that is true, but HSBC is much more complex than Britain’s other banks, with the possible exception of Barclays.

Britain is only a fraction of what it does. Nevertheless, there is reason to applaud its decision to take on Silicon Valley Bank in the UK at a time when the drive into tech, AI and the life sciences is so critical for the nation. HSBC also fits well into the post-Brexit agenda of reaching out to Asia-Pacific regions.

When Kemi Badenoch signed up to the impossibly named Comprehensive and Progressive Agreement for Trans-Pacific Partnership last month, it received a lukewarm welcome on grounds that the extra output would be negligible. 

But what should not be forgotten is that in HSBC and Standard Chartered, the UK has a reach into Asia like no other European banks.

HSBC does tread a perilous path when it comes to Hong Kong-Chinese relations. Kowtowing to Beijing has not won it political friends. 

But given its huge role in the region in trade finance and as a provider of banking services to other commercial banks, realpolitik has been necessary.

Work done by chief executive Noel Quinn to narrow HSBC’s footprint globally, scythe costs and improve margins is paying off. 

The sale of North America is completed. France has been sold and a Canada deal is due to be finalised next year.

All of this enables improving returns, a second dividend and a second buyback this year of £1.6billion. 

That is extremely useful in keeping its army of Hong Kong private investors happy. It also de-fangs the effort by mainland China shareholder Ping An – with an 8 per cent stake – to force a break-up. 

In banking you never quite know where the next shock is coming from, and there were concerns that Hong Kong and Chinese real estate could be a banana skin.

So far, so good.

Raising spirits

The late Sir Ivan Menezes used to compare Diageo with a start-up seeking to conquer the world.

The Guinness-to-Johnnie Walker group may only have less than 5 per cent of the global booze market, but with its upmarket brands and innovation it has become one of the UK’s more impressive exporters.

Menezes’ Texas-born successor Debra Crew is as enthusiastic about premium brand building and conquering new markets as he was. 

Johnnie Walker remains the core whisky brand and the newer spin-offs, such as Blonde in Latin America and Gold look to be doing as well as established label Black and super-pricey Blue.

Investment is going into re-opening so-called ghost distilleries in Scotland, seen by Crew as a significant investment in the long future. 

The group’s move into tequilas remains an enormous growth category in the US, Mexico and across the globe.

Overall group sales volumes slipped in 2022-23, but the increasing importance of upmarket brands, now 63 per cent of sales, meant improved margins and profits, which climbed to a whopping £4.6billion at the operating level.

Crew is as keen on discovering fresh luxury brands as her predecessor and also views India as a great opportunity.

There is a whinge about the rise in duties in the UK with 70 per cent of a bottle of Scotch now tax. But one has to believe in the rarefied luxury world, to which Diageo aspires, it is not going to make a ferocious dent.

Guinness remains core. A £73million investment in Guinness at Old Brewer’s Yard at Covent Garden is proof. Sláinte.

Green light

After the bonanza came a 70 per cent slump in BP profits in the second quarter, disappointing the market.

In spite of his green push, chief executive Bernard Looney recognises that oil and gas are still critical and has slowed the energy giant’s escape from hydro-carbons to a 25 per cent cut from 2019 daily production levels by 2030. 

It has retreated from the original 40 per cent pledge. That won’t endear BP to the carbon zero zealots. 

The critics ought to be comforted by its big investments in offshore wind in Germany and UK biofuels, electric vehicle charging and hydrogen making it one of country’s larger climate change investors.

Just Stop Oil won’t be satisfied until the lights go out.

It’s good to be quack! Giant rubber duck returns to Hong Kong harbour after ten years…and this time the 60ft bird has a friend

• The two 60-ft-tall rubber ducks sailed into Victoria Harbour in Hong Kong 

By Rachael Bunyan

Published: 07:01 EDT, 6 June 2023 | Updated: 19:22 EDT, 6 June 2023