Monday newspaper round-up: Brexit, energy cap, fund charges, defence review

Theresa May will insist that “nothing is agreed until everything is agreed” on the terms of Brexit after the Irish government claimed that last week's preliminary deal is binding. The Prime Minister will say in the House of Commons on Monday that although she is optimistic that a deep and special future deal can be agreed, last week's agreement is contingent on such an outcome. - Telegraph

Theresa May’s delicate Brexit compromise on Ireland was in danger of unravelling last night after the government’s commitment to a deal was questioned in Dublin and Brussels. After David Davis described the deal as a “statement of intent” that was not legally enforceable, a senior Brussels source said that detailed negotiations on a future EU-UK relationship would only start once the withdrawal treaty, together with the financial settlement, had been completed. - The Times

Government officials have admitted the plan to put a cap on standard energy prices could scupper growing competition in the energy market, unless the regulator keeps bills high enough to make it worthwhile for consumers to switch. Ministers have argued that the first intervention in energy pricing since privatisation is necessary after Ofgem’s previous attempts to break up the “two-tier energy market” failed and its recent efforts will take too long to come into effect. - Telegraph

…the price cap also risks damaging her government’s hopes of installing millions more smart meters in homes, two of the UK’s biggest energy companies have warned. Giving evidence before the business, energy and industrial strategy committee , British Gas owner Centrica said: “We believe the price cap will damage the rollout of smart meters and may reduce the total number of meters installed.” - Guardian

The academic appointed by regulators to force fund managers to be more transparent says that the industry is “arrogant and complacent” and estimates that it is taking £35 billion a year too much in hidden charges from pension funds. Chris Sier, chairman of the institutional disclosure working group, said that he was determined to expose costs that are never disclosed but seriously eat into retirement incomes or add to the expenses of employers running defined-benefit schemes. - The Times

The Ministry of Defence is set to request a full defence review and £4 billion of emergency cash to avert deep cuts to the armed forces. It is preparing to ask Theresa May and Mark Sedwill, the national security adviser, if the defence element of a review of security capability can be elevated to a formal strategic defence review early next year, four sources said. - The Times

Billions of pounds have been laundered through the City of London, despite Britain remaining one of the safest and cleanest places in the world to do business, the home secretary has said. Amber Rudd issued the warning as she announced plans for a new national economic crime centre, with the power to task the Serious Fraud Office to investigate the worst cases of fraud, money laundering and corruption. - Guardian

The first-even bitcoin future began trading Sunday as the increasingly popular virtual currency made its debut on a major US exchange. The futures contract that expires in January rose from $15,460 to $16,000 in its first hours of trading on the Chicago Board Options Exchange. - Guardian

A world expert in financial options has warned that those hoping to use futures contracts to bet against the spiralling price of bitcoin were doomed to lose money. Nassim Nicholas Taleb, an authority on derivative markets, said that there was “no way to short the bitcoin ‘bubble’ ” properly. - The Times

Britain’s biggest businesses are warning the economy will remain in the slow lane, as uncertainty from Brexit puts their investment plans on ice despite progress with Brussels. The interjection by British Chambers of Commerce comes before a meeting of Bank of England’s rate-setting committee this week. - Guardian

One in eight workers are thinking about leaving their workplace pension schemes when contributions rise next April, according to research by Aviva. The insurance giant said that while only 4pc of people have definitely ­decided to opt out of their pension schemes next April, with half of people still planning to save into one, everyone else is on the fence. - Telegraph

Labour is considering moving the Bank of England from its London home of more than 300 years to Birmingham if it wins the next general election. Consultants commissioned by John McDonnell, the shadow chancellor, have recommended moving “some functions” near to the National Investment Bank and Strategic Investment Board, organisations that the party intends to create in the country’s second biggest city. - The Times

The world’s central banks and financial authorities should club together to “stress test” the entire global economy in order to spot potential crises before they strike, a former top policymaker has proposed. Regulators including the Bank of England, the Federal Reserve in the US and the European Central Bank already stress test the banks under their purview to see how the lenders could withstand recessions and to spot any problems building up in the system. - Telegraph

The Government has been urged to ­focus on the aviation industry in its Brexit talks if the country is to avoid suffering a hit to trade and investment. The Independent Transport Commission think-tank, one of the country’s leading research charities, has issued a report claiming a lack of support for the sector could lead to trade suffering once the UK leaves the EU. - Telegraph

England languishes outside the world top ten for the proportion of waste recycled, behind several Asian nations and other parts of the UK, figures show. The recycling rate in England fell for the first time since records began between 2014 and 2015 and recovered by only 0.6 percentage points between 2015 and 2016. - The Times