Two traders jailed for rigging benchmark interest rates have had their convictions overturned by the Supreme Court.

Tom Hayes, 45, was handed a 14-year jail sentence – cut to 11 years on appeal – in 2015, which was one of the toughest ever to be imposed for white-collar crime in UK history.

The former Citigroup and UBS trader, along with Carlo Palombo, 46, who was jailed for four years in 2019 over rigging the Euribor interest rates, took their cases to the country’s highest court after the Court of Appeal dismissed their appeals last year.

The Supreme Court unanimously allowed Mr Hayes’ appeal, overturning his 2015 conviction of eight counts of conspiracy to defraud by manipulating Libor, a now-defunct benchmark interest rate.

Ex-vice president of euro rates at Barclays bank Mr Palombo’s conviction for conspiring with others to submit false or misleading Euribor submissions between 2005 and 2009 was also quashed.

Mr Hayes, who served five and a half years in prison before being released on licence in 2021, described the “incredible feeling” after the ruling.

“My faith in the criminal justice system at times was likely destroyed and it has been restored by the justices from the Supreme Court today and I think it’s only right that more criminal appeals should be heard at this level,” he said.

Both he and Mr Palombo have been described as “scapegoats” for the 2008 financial crisis, but Mr Hayes said: “We literally had nothing to do with it.”

A spokesperson for the Serious Fraud Office (SFO), which opposed the appeals, said it would not be seeking a retrial.

In 2012, the SFO began criminal investigations into traders it suspected of manipulating the Libor and Euribor benchmark interest rates.

Mr Hayes was the first person to be prosecuted by the SFO, which brought prosecutions against 20 people between 2013 and 2019, seven of whom were convicted at trial, two pleaded guilty and 11 were acquitted.

He had also been facing criminal charges in the US but these were dismissed after two other men involved in a similar case had their convictions reversed in 2022.

Mr Hayes, a gifted mathematician who is autistic, was described at his Southwark Crown Court trial as the “ringmaster” at the centre of an enormous fraud to manipulate benchmark interest rates and boost his own six-figure earnings.

He has always maintained that the Libor rates he requested fell within a permissible range and that his conduct was common at the time and condoned by bosses.

Mr Hayes and Mr Palombo argued their convictions depended on a definition of Libor and Euribor which assumes there is an absolute legal bar on a bank’s commercial interests being taken into account when setting rates.

The panel of five Supreme Court justices found there was “ample evidence” for a jury to convict the two men if it had been properly directed.

But in an 82-page judgment, Lord Leggatt said jury direction errors made both convictions unsafe, adding: “That misdirection undermined the fairness of the trial.”

Lawyers representing Mr Hayes and Mr Palombo said the ruling could open the door for the seven others found guilty to have their convictions overturned and that there were grounds for a public inquiry.

A third person has died in a shooting in Co Fermanagh, police have said.

Two people were killed in the shooting on Wednesday morning, and a third, who was seriously injured, died in the afternoon.

A fourth person was seriously injured in the shooting in County Fermanagh, Northern Ireland.

All victims were from the same household, Superintendent Robert McGowan, District Commander for Fermanagh and Omagh, said at a news conference.

They have cordoned off the scene in the village of Maguiresbridge, about 75 miles (120km) southwest of Belfast.

“We can advise there is no ongoing risk to the public,” a Police Service of Northern Ireland spokesperson said.

There was no mention of a motive behind the shooting.

A murder investigation has been launched.

Supt McGowan said at the news conference that police don’t anticipate any arrests to be made at this stage.

Emergency services were called to the shooting in the Drummeer Road area of the village at around 8am on Wednesday, a spokesperson for the Northern Ireland Ambulance Service said.

They confirmed that two people had been injured.

“Following assessment and initial treatment at scene, one patient has been taken to the Royal Victoria Hospital, Belfast, by air ambulance and another to South West Acute Hospital by ambulance,” the spokesperson added.

Drummeer Road is currently closed, police said, warning that this could lead to delays on alternative roads.

Secretary of State for Northern Ireland Hilary Benn said: “The news from Maguiresbridge is tragic and deeply distressing.

“My thoughts are with the victims, their relatives and the local community in Fermanagh. I would urge the public not to speculate and to allow the PSNI to continue their investigation.”

Sinn Fein MP Pat Cullen has expressed her deep shock over the shooting, saying: “Firstly, my thoughts are with the victims and their families at this tragic time.”

Read more from Sky News:
Jailed traders’ convictions overturned
Family tribute after death of teenager

DUP MLA Deborah Erskine, who represents the area in the Northern Ireland Assembly, said that the community was “stunned” by the shooting in “a rural, quiet area.”

“Everyone is deeply affected by what has happened this morning,” she said.

As India and Britain look set to sign a free trade agreement (FTA), some industries are disappointed and want a level playing field. 

The Indian cabinet has given its consent to the deal as Prime Minister Narendra Modi is headed to the UK to sign it with his British counterpart Sir Keir Starmer.

The pact, formally called a comprehensive economic and trade agreement, will now have to be ratified by the British parliament, which could take several months.

Money blog: Rival set to overtake Morrisons

For Britain, this is the biggest and most economically significant bilateral trade deal since it left the European Union. The government says the deal is expected to add £4.8bn to the economy and £2.2bn in wages every year in the long run.

Britain is the sixth-largest investor in India, with cumulative investments of around $36bn. There are at least 1,000 Indian companies operating in the country, employing more than 100,000 people, with a total investment of $2bn.

At a time when countries are trying to navigate the turbulent effects of US President Donald Trump’s tariff upheaval, this pact comes as a great economic boost for both countries.

What’s in the deal

Once made law, the agreement will reduce 90% of tariffs on British exports to India that include whisky, cars, cosmetics, salmon, lamb, medical devices, electrical machinery, soft drinks, chocolate, and biscuits.

India will get a zero-tariff deal on 99% of its tariff lines, covering nearly 100% of trade value. These include clothes, footwear and food products, including frozen prawns. With a zero tariff on textiles and apparel, Indian exports will get the same advantage as countries like Bangladesh and Vietnam.

Read more:
Traders jailed for interest rate rigging have convictions overturned
US and Japan agree trade deal to circumvent worst of tariffs

India has got concessions on easy mobility for its professionals, including contractual suppliers and intra-corporate transferees with dependents.

The Double Contribution Convention (DCC) that ensures employees temporarily working in the UK for up to 3 years will continue paying social security contributions in their home country.

India will reduce duties from 100% to 10% for a limited number of imports of cars, while Britain will give access to its markets for electric and hybrid vehicles.

Both countries have agreed to provide national treatment (same treatment as domestic companies) in select services, including telecom, construction and environment.

Areas of concern

But it’s Scotch whisky that has been a bone of contention in the negotiations. The UK has bargained hard, and tariffs have been slashed from 150% to 75% while retaining the issue of maturation of Scotch.

Whisky to be classified as Scotch needs to mature for at least three years. During this process, a small amount – dubbed the “angel’s share” – evaporates due to climate and casks.

Follow The World

Listen to The World with Richard Engel and Yalda Hakim every Wednesday

Tap to follow

Anant S Iyer, director general of the Confederation of Indian Alcoholic Beverage Companies (CIABC), representing Indian manufacturers, told Sky News: “India has a tropical climate – the process of maturation is much faster. While in Scotland, the evaporation losses are around 2% a year, here it’s about 10-15% yearly, depending on where you’re distillery is based.

“So, a one-year-old mature Indian whisky could be equal to about a three-year-old Scotch whisky. This non-tariff barrier is something that’s causing us a huge setback.”

Indian manufacturers lose a third of volume over a three-year maturation period, which makes it unviable for them.
Mr Iyer says, “while the FTA does bring cost savings for our blended whiskies, it will also open the floodgates for cheaper products from a plethora of Scotch brands in the UK”.

India is the largest whisky market in the world by volume, and Scotch has just 3% of that.

According to the Scotch Whisky Association, which represents over 90 companies, India is its largest export market by volume, with more than 192 million bottles exported in 2024.

Despite the deal, there is still little clarity on issues of “rules of origin”, a provision to help contain the dumping of goods; UK carbon tax, a concern for India as it could restrict the export of metal products; and the issue of international arbitration.