U.K. satellite operator OneWeb plans to join forces with European rival Eutelsat in a deal the two companies hope will help them take on Elon Musk’s SpaceX, CNBC.com reported. The all-stock merger will see Eutelsat issue 230 million new shares and exchange them for all remaining shares of OneWeb, according to a press release Tuesday. Shareholders of OneWeb and Eutelsat will own 50% of the combined firm, respectively. The deal values OneWeb at $3.4 billion.

British former finance minister Rishi Sunak said his first economic priority if he becomes prime minister will be tackling high inflation, not the tax cuts pledged by some of his rivals in the race to replace Boris Johnson, Reuters reported. British consumer price inflation hit a 40-year high of 9.1% in May, and the Bank of England forecasts it will exceed 11% in October when regulated household energy tariffs increase next. "I think our number one economic priority is to tackle inflation and not make it worse," Sunak told BBC radio on Thursday.

Train drivers at eight British rail companies will go on strike later this month in the second large-scale industrial action set to affect commuters in July, the Associated Press reported. The Aslef train drivers’ union said Thursday its members will walk out for 24 hours on July 30 over pay disputes. The disruptions, which come during the busy summer holidays, are expected to affect sports fans attending the Commonwealth Games, which kick off in Birmingham on July 28, and the opening weekend of the English Football League.

Boris Johnson said Thursday that he would step down as British prime minister, following a wide-scale rebellion in his party, the Wall Street Journal reported. The step bookends an extraordinary 36 hours in British politics in which more than 50 ministers and senior government aides resigned, leaving the British government in a state of paralysis. Mr. Johnson said he would appoint a new cabinet as he stays in office until a successor has been found, a process that could take some months.

British finance minister Rishi Sunak resigned on Tuesday, saying he had reluctantly come to the conclusion that "we cannot continue like this," Reuters reported. "The public rightly expect government to be conducted properly, competently and seriously. I recognise this may be my last ministerial job, but I believe these standards are worth fighting for and that is why I am resigning," he said on Twitter.

The Bank of England warned on Tuesday that the economic prospects for Britain and the world had darkened since the start of the year and told banks to ramp up capital buffers to ensure they could weather the storm, Reuters reported. International institutions, such as the International Monetary Fund and OECD say Britain is more susceptible to recession and persistently high inflation than other Western economies, which are all grappling with global energy and commodity market shocks. "The global economic outlook has deteriorated markedly.

Britain's economy is struggling under the strain of two major risks in the form of double-digit inflation and a possible recession, leaving the Bank of England in a dilemma about how much further it should raise interest rates, Reuters reported. The BoE has raised borrowing costs five times since December and its next scheduled rates announcement is on Aug. 4. The central bank has said that it will act "forcefully" - in other words, increase rates more steeply - if inflation pressures turn more persistent.

Council leaders in England have said a multibillion-pound financial crisis caused by rising inflation could make local services unviable and even lead to local authorities going bankrupt, unless the government offers emergency funding, the Guardian reported. The cross-party Local Government Association (LGA) said local services that were seemingly secure just three months ago were now at risk of closure or cuts as councils scramble to manage an unforeseen £2.4bn rise in energy and pay costs.

Legislation allowing Britain to scrap some of the rules on post-Brexit trade with Northern Ireland on Monday passed the first of many parliamentary tests, as Prime Minister Boris Johnson pressed on with plans that have angered the European Union, Reuters reported. Despite some fierce criticism, lawmakers voted 295 to 221 in favour of the Northern Ireland Protocol Bill, which would unilaterally overturn part of Britain's divorce deal from the EU agreed in 2020. The bill now proceeds to line-by-line scrutiny.

A family-owned transport, trucking and railroad company in Bristol has collapsed into administration, Business Live UK reported. Pucklechurch-based Toogood International Transport and Agricultural Services appointed Mark Boughey and Mike Field of business advisory firm Mazars as administrators on June 21. The business has ceased to trade and all staff have been made redundant. The firm employed around 10 staff, according to Companies House records. The administrators are now seeking a buyer for all or part of the company’s business and assets.