Pub group leads FTSE fall

The FTSE 100 index has fallen after yesterday's gains, led by energy and mining stocks.

The index opened at 5,593.80, down from its previous close of 5,620.70.

Pub group Enterprise Inns saw the biggest falls in its share price, following rival Punch Taverns' decision to axe its final dividend.

Shares in Enterprise Inns fell 11.07 per cent on the news to 273.25p.

Financial stocks were also down after the collapse of hedge fund Ospraie Management and shares in HBOS fell 4.92 per cent to 294.75 per cent.

This is despite rises in banking stocks yesterday as hopes were raised that the government's housing proposals could boost the mortgage market.

Among the risers this morning was Imperial Tobacco, up 2.85 per cent to £19.13 and Cable and Wireless, up 2.23 per cent to 183.10p.