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Good morning from the Financial Times.

Today is Friday, September 16th, and this is your FT News Briefing.

China's local government squeezed by the property crisis have found a way to bail themselves out.

Liz Truss wants a top British chip designer to list in London,

and the FT's Ranaferu Harc says wealthy Americans and their spending habits may be adding to inflation.

I'm Mark Filipino, and here's the news you need to start your day.

China's property bubble is deflating, and the plunge in sales is painful for China's local

governments. They've relied on land sales for a long time. It's made up to half of their revenue.

And now the FT is found, local governments are using their investment arms to buy up land

themselves. Here's our China economics reporter Sun Yu.

China's property market is at sort of a watershed in a sense that demand for housing is difficult

to recover to its pre-crisis level, given the crackdown on speculation and given the

the fundamental change in people's mindset that real estate is no longer the best investment

that they should have. And that has led to a fundamental shift in how local authorities or Chinese

cities finance themselves. They can't rely on real estate sales or land sales to make ends meet.

But for now, they can't find another source of income, so they have to temporarily rely on

their own financing vehicles to bridge the financing gap.

All right, so cities are using local government investment vehicles to buy up land

that in the past would have been bought up by private developers. Is this strategy working?

I mean, it helped to offset the huge decline in fiscal revenue. To that degree, it is working.

...