Here are the top business stories making the headlines in the morning newspapers.

OBEs for North-east business chiefs

A host of figures from Aberdeen and the north-east, from business leaders to a Scottish football hero, were recognised in the New Year Honours list.

Among those to be honoured include James and Peter Gray, joint managing directors of Gray and Adams Holdings, who receive OBE's for their services to industry and Fraserburgh.

The honours are the first to be handed out by King Charles following The Queen's death. The list includes a total of 1,107 recipients – 50% of whom are women.

Sunak makes pledges on the economy and inflation

Halving inflation and growing the economy are among five pledges set out yesterday by UK Prime Minister Rishi Sunak.

He is facing various challenges this winter, including a wave of strike action, a cost-of-living crisis and huge pressure on the health services.

With the Conservatives trailing in the polls after last year's political turmoil, Mr Sunak used his speech to set out the priorities for his premiership.

He also sought to reassure the public that he could deliver, ahead of a General Election widely expected in 2024.

His speech set out five key pledges:

  • Halve inflation this year to ease the cost of living
  • Grow the economy, creating better-paid jobs and opportunity across the country
  • Ensure national debt is falling
  • NHS waiting lists in England will fall and people will get the care they need more quickly
  • Pass new laws to stop small boat crossings, making sure those who arrive illegally are detained and swiftly removed

The PM said people would be able to judge his government on whether it had delivered on these priorities, "no tricks...no ambiguity".

But the BBC says he provided little detail on how some of the pledges would be achieved and admitted "many factors are out of my control".

Starmer warns on spending

Sir Keir Starmer will today warn that Labour "won't be able to spend our way out" of the "mess" left by Tories - even though he recognises the need for investment.

In his first speech of 2023, the Labour leader will promise a "decade of national renewal" if he wins the next General Election.

But the BBC reports that he will also say that the party won't be "getting its big government chequebook out again".

Aberdeen murals up for awards

Two Nuart Aberdeen murals have been picked as contenders for major global street art honours.

Slim Safont's The Punishment and Nuno Viegas' Queen Of Hearts were nominated for the best of 2022 awards created by Street Art Cities - one of the biggest online street art communities in the world.

The Press and Journal says voting for Street Art Cities' Best Of 2022 competition closes on January 30.

Thousands of people flocked to the city centre last June to take in the festival atmosphere and 11 new works that have helped transform the heart of Aberdeen into a glorious canvas of masterpieces.

Aberdeen Inspired, the event organiser, was thrilled with the response and confirmed the street art festival would return later this year.

Fall in new car registrations

New car registrations in the UK fell last year to their lowest level in three decades, new figures show.

The BBC says that, despite a recovery in the second half of 2022, a continuing parts shortage hit production lines.

Meanwhile, demand for electric vehicles continued to grow and they accounted for almost a fifth of new car sales.

But charging infrastructure is not being built quickly enough to cope with growing demand, warned the Society of Motor Manufacturers and Traders.

Drop in mortgage approvals

Mortgage approvals fell to their lowest level in two years as interest rate rises put off buyers, new Bank of England figures suggest.

The BBC says they slumped to just over 46,000 in November, down from under 58,000 in October, according to the central bank.

Economists have predicted house prices could fall by up to 10% this year.

Pay rise for supermarket workers

Supermarket giant Sainsbury's is to raise pay to at least £11 per hour for 127,000 of its workers as cost-of-living pressures bite.

The company has been in talks with shop workers' union Usdaw, which said the February pay rise will "make a significant difference to our members".

Sainsbury's, the largest supermarket so far to hike pay to £11, follows a similar move by rival Aldi.

The BBC says supermarkets are currently competing for workers in a tight jobs market.

Sainsbury's and Argos workers will get a bump in hourly pay from £10.25 to £11 per hour and from £11.30 to £11.95 per hour in London.

Record rise in fresh food prices

Fresh food prices rose at a record rate in December, at a time when many families would have been stocking up for Christmas, new figures suggest.

Fresh food inflation hit 15% in December, up from 14.3% in November, according to the British Retail Consortium.

It marks the highest monthly inflation rate for fresh food since records began in 2005.

The BBC says prices have been pushed up by animal feed, fertiliser and energy costs.

Overall, inflation for food hit 13.3% in December, the retail body said.

Recession worries for world

A third of the global economy will be in recession this year, the head of the International Monetary Fund has warned.

Kristalina Georgieva said 2023 will be "tougher" than last year as the US, EU and China see their economies slow.

The BBC says it comes as the war in Ukraine, rising prices, higher interest rates and the spread of Covid in China weigh on the global economy.

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