U.K. stocks fell, halting a two-day gain in the benchmark FTSE 100 Index, as investors weighed results from Tesco (TSCO) Plc and Unilever.
GlaxoSmithKline is planning to turn its HIV treatments into a standalone company floated on the stock market, where it could be high up in the FTSE 100 index.
Mortgage activity dropped in September compared with a year ago signalling a UK housing market that is "continuing to cool", banks have said.
Shares in Foxtons plunged 15% after the estate agent warned that the London's property market was cooling. The company, whose 50 branches operate mainly in the capital, reported a "sharp and recent slowing of volumes" in London sales.
Lloyds Banking Group is expected to announce plans to cut a further 9,000 jobs over the next three years when it announces third-quarter trading results next week.