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Conservative victory sees stocks rise at Mike Ashley’s Sports Direct

Shares at sporting goods retailer Sports Direct were up 4.5% midday Friday (8 May), amidst news that the Conservative Party would win the election outright.

Newcastle United owner Mike Ashley will have been particularly delighted as his sports chain ranked among the UK’s best performing stocks, especially following public criticism of the company.

A Channel 4 Dispatches documentary recently propelled the company into national spotlight, highlighting its use of zero-hour contracts.

Ed Miliband, who tendered his resignation as Leader labour his party’s shocking election performance, placed much emphasis on putting an end to perceived exploitative contracts in his campaign.

Moreover, this was also a view harnessed by other parties whereas it was much more of a grey area for the Conservatives. With the Tories in power, risk of sanctions placed on those companies advocating zero hour contracts has seemingly reduced.

Ashley recently saw his company’s Derbyshire headquarters searched by police, as part of an investigation in takeovers at Rangers Football Club.

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