Monday newspaper round-up: Saudi/Iran, Shire, retailers, LLoyds

David Cameron’s claim that British membership of a reformed EU is vital to Britain’s economic security is today backed by an overwhelming majority of economists in an annual Financial Times survey. Regardless of the UK prime minister’s renegotiation of Britain’s terms of EU membership, most of the more than 100 economists thought economic prospects following a Brexit would be hit if voters decided to leave. Economic arguments are central to both the “in” and “out” camps as they prepare for a referendum on whether the UK should leave the EU. It could be held as early as June. – Financial Times

The price of diesel on British fuel station forecourts has dipped below £1 per litre as the falling oil price makes filling a tank the cheapest in years for Britain’s 11 million diesel drivers. Supermarket chain Morrisons announced on Sunday that it had cut the price of diesel to 99.7p per litre, pricing it at under a pound for the first time since May 2009. Rivals Asda and Tesco are set to match the price on Monday. – Guardian

British commuters spend as much as six times more of their salaries on rail fares than their European counterparts do, campaigners claim, as millions return to work today paying new, higher fares. Analysis of similar journeys into four major European cities showed that season tickets in Britain are significantly more expensive. – Guardian

The FTSE 100 drug maker Shire is close to agreeing a $32bn (£21.6bn) takeover of Baxalta after pursuing the US rare disease specialist for more than six months. A deal could be announced within days after Shire indicated it could increase a bid first made in July. – Telegraph

Leading hedge fund manager Crispin Odey has warned that a series of threats to the global economy, including the potential bubble in the UK housing market, will make 2016 a difficult year for investors. Mr Odey, one of the London hedge fund industry’s best-known names, cautioned that a “string of threats” ranging from a possible devaluation of China’s yuan to concerns about the US economy could damage returns. – Telegraph

Retailers experienced mixed fortunes over Christmas and the new year, although there was a rush of disappointed recipients of gifts taking them back for exchange and another spike as shoppers took advantage of new year sales. – The Times

Lloyds Banking Group is set to become a fully privately owned company by the summer for the first time since its £20 billion taxpayer-fund bailout as the state sells its remaining 9 per cent stake. Officials hope that a combination of a retail offer of Lloyds stock, combined with the continued “dribble out” of the state’s shareholding, will ensure that the last of the holding will offloaded into private hands by June, at the latest. – The Times