Rebel News - Independent News and Analysis

Eurozone has suffered a sharp 1.7 percent rise in inflation in July amid a hike in the prices of food and energy.

The figure represents the highest 12-month inflation rate since November 2008, when it stood at 2.1 percent -- just above the European Central Bank's core economic target.

BP's Tony Hayward is to step down as chief executive on October 1, with an annual severance payment package roughly equal to $1 million per year.

Under the terms of his contract, Hayward would also receive a one-year's salary, worth the equivalent of $1.620 million.

BP has reported a record quarterly loss of $17bn in the wake of a major oil spill that it has been trying to stop for months with limited success.

The company also announced it planned to sell assets worth up to $30bn over the next 18 months and cut its net debt to between $10bn and $15bn in that period.

BP Chief Executive Tony Hayward is to step down on October 1, as the energy giant struggles to salvage its reputation after the BP oil spill in the Gulf of Mexico.

Robert Dudley, an American executive known for his diplomacy, is set to replace the 53-year-old Briton, BP said in a statement on Tuesday.

The leak in the Gulf of Mexico has cost oil giant BP a record loss of up to 19 billion pounds.

Estimates show that BP will be liable for 16 to 19 billion pounds to pay for the damage caused by the oil spill which will be one of the biggest in British corporate history, BBC reported.

BP is expected to announce the resignation of its CEO, Tony Hayward, in the next few days, following months of criticism of his handling of the Gulf of Mexico oil spill.

The decision was reportedly made during a BP board meeting in London on Monday, the Associated Press reported, citing informed sources. The report said Hayward will leave his position in October.

Eurozone bank shares have risen, buoyed by the results of a stress test published on Friday that showed the majority of European financial institutions can withstand a new fiscal crisis.

In Monday trades in the UK, shares of major banks witnessed growth. Barclays bank gained 3.2 percent, Lloyds rose 2.5 percent, and RBS increased 2.1 percent, the BBC reported.

Despite news suggesting a change in BP's management over the mishandling of the Gulf spill, the company says it has made no final decision to replace its CEO.

BP comments came Monday amid speculations that Tony Hayward, the company's present Chief Executive Officer, is to announce his resignation over the handling of the BP spill in the Gulf of Mexico.

The pan-European stress tests were published on Friday and we now know that seven - five Spanish, one German and one Greek - of the 91 banks failed.

However, these banks only need to raise the equivalent of $4.5bn - much less than the amount predicted by the markets, which was around the $70bn mark, and definitely much less than the amount American banks had to raise in April 2009 when their stress test results were published. In the US, 10 out of the 19 banks failed and needed extra money to the tune of $75bn.

Chief Executive of BP Tony Hayward is poised to resign by Tuesday when the announcement of the energy giant's half-year result is released, reports say.

The millionaire CEO, who drew heavy criticism for his mishandling of the Gulf of Mexico oil spill disaster, is set to step down on July 27.