Monday newspaper round-up: US-China talks, Brexit, Morrisons, manufacturing

US officials arrived in China for the first face-to-face negotiations since a 90-day truce was declared in a trade war between Washington and Beijing, in the hope of ending a bruising confrontation between the world’s two largest economies. Hopes that the sixth round of negotiations between the two sides could yield a breakthrough helped Asian shares rise on Monday, combined with optimism about the state of the global economy on the back of strong US jobs figures on Friday. - Guardian

Theresa May is preparing to make another desperate plea to EU leaders to offer a concession on the Irish backstop as she attempts to win over Brexiters who have vowed to vote down the government’s deal. The prime minister on Sunday promised to hold the meaningful vote in parliament in the week beginning 14 January despite growing opposition from Conservative backbenchers and the Democratic Unionist party, whose votes are required to push the deal through parliament. - Guardian

One in three financial services companies in Britain is considering or has confirmed plans to relocate its operations abroad because of Brexit, according to a report from EY. As uncertainty over Britain’s future relationship with the European Union grows, companies are seeking to shield themselves from the consequences of a damaging Brexit by relocating staff and assets away from the City. - The Times

Most politicians want to see companies that repeatedly fail to pay their suppliers within 30 days hit with fines and back making the voluntary Prompt Payment Code a legal requirement for large businesses. A survey of 100 MPs across all parties found that almost three quarters backed the measures, which were also endorsed by the business select committee last month. - Telegraph

More small energy suppliers will be pushed to collapse by rules forcing them to pick up the tab for those that have gone bust already, an industry boss has warned. Eight suppliers ceased trading last year, owing tens of millions of pounds between them to their customers and to industry schemes. Ofgem rules mean that much of this debt will fall to rivals. - The Times

Britons will send back a quarter of the online purchases made between Black Friday on November 29 and Boxing Day, adding to the woes of retailers, according to analysis from the Centre for Economics and Business Research in London. This would equate to about £4.8 billion of the estimated £19 billion in online sales. - The Times

Britain’s household debt mountain has reached a new peak, with UK homes now owing an average of £15,385 to credit card firms, banks and other lenders, according to the TUC. The trade union body said household debt rose sharply in 2018 as years of austerity and wage stagnation forced households to increase their borrowing. - Guardian

More than half of manufacturing companies anticipate more risks than opportunities this year, according to a survey. Almost three quarters of manufacturers said Brexit was their biggest source of uncertainty, with exchange rate volatility, delays at customs and loss of clients cited as major risks, EEF, the trade body for manufacturers, said. Only a quarter of businesses surveyed said they saw more opportunities than risks. - The Times

Morrisons has announced it is slashing the price of more than 900 products, as a week of retail trading updates is expected to show that Aldi and Lidl’s low prices helped the two German chains win the Christmas battle among supermarkets. On Monday, Bradford-based Morrisons said it would continue to defend its market share by cutting an average 20% off “store cupboard favourites” such as tinned tomatoes, cereal, sandwich fillers, ready meals and multivitamins.

The value of higher-end private equity deals fell in Britain last year, despite a global increase because investors are shying away from doing business in the country amid Brexit uncertainty. Research by Unquote Data, a European private equity specialist, show that the value of private equity deals in the UK was 34 per cent lower, at €27.2 billion, last year compared with 2017. - The Times

The German owner of one of Britain’s biggest rail franchises is demanding compensation from Network Rail for extensive delays in electrifying the ailing Northern franchise. Deutsche Bahn, the parent company of Northern operator Arriva Rail North, blamed Network Rail for plunging profits in accounts filed last week. - Telegraph

Hydrogen trains will be introduced in as little as two years under ambitious plans to phase out dirty diesel engines. A deal has been struck to convert more than 100 trains into the first fleet powered by hydrogen fuel cell technology, with Alstom, the French multinational, leading the project alongside Eversholt Rail, the rolling stock company. - The Times

Bitcoin’s energy consumption has dropped dramatically amid its falling price, easing concerns about the cryptocurrency’s environmental impact. The virtual currency’s rapid rise had triggered warnings that the huge amounts of electricity used to maintain the network could worsen climate change after economists calculated that it uses more electricity than most countries. - Telegraph

Lord Sugar’s property and trading vehicle restarted dividend payments last year, despite posting a pre-tax loss of £40 million on the back of a decline in the value of its assets. According to accounts filed at Companies House, Amshold Group, wholly owned by the star of The Apprentice, reported a loss of £40 million for the year to the end of June 2018, compared with a profit of £54 million in the same period the previous year. - The Times

A sharp fall in prices after a bumper harvest, competition from other countries and a trade deal between Brussels and South Africa have created a devastating perfect storm for Spain’s orange farmers. Tonnes of oranges lie on the ground at farms across the country because producers say it is not worth paying workers to pick the fruit now that the price has fallen so low. - The Times