Good morning! Here’s what you need to know.
1. Britain is prepared to pay up to 40 billion euros ($US47.1 billion) to the European Union to settle its accounts when it leaves the bloc, the Sunday Telegraph newspaper reported. It is the first time the British side has put a figure on its so-called Brexit bill — although the sum falls well short of the €100-billion sum discussed in Brussels.
2. New York-based startup WeWork on Monday said it will invest $US500 million in Southeast Asia and South Korea in its latest effort to tap growing demand for shared office space in Asia. The firm, which provides workspace for users as varied as freelancers, entrepreneurs and corporations, said it will buy Singaporean peer Spacemob for an undisclosed amount, and that it will retain Spacemob’s management team.
3 Japan’s Nikkei share average rose on Monday morning, led by sharp gains for Toyota after it upgraded its earnings outlook, while a weaker yen following strong US jobs data underpinned overall sentiment. Toyota rallied 2.3% to 6,360 yen, the highest level since mid-March, after the world’s No.2 automaker raised its full-year outlook on Friday thanks to favourable exchange rates.
4. The United States and China piled new pressure on North Korea to abandon its nuclear missile programme after the UN Security Council approved tough new sanctions which could cost Pyongyang $US1 billion a year. One day after Council members voted unanimously for a partial ban on exports aimed at slashing Pyongyang’s foreign revenue by a third, top diplomats from the key powers in the dispute met in Manila.
5. Arqiva, a company that runs much of Britain’s TV and mobile infrastructure, has hired four banks for an initial public offering. The company, whose biggest shareholders include the Canada Pension Plan Investment Board and Macquarie, has appointed Barclays, Goldman Sachs, HSBC and JP Morgan for the listing.
6. The government of Germany’s Lower Saxony denied a newspaper report that its premier softened speeches critical of Volkswagen in the diesel emissions scandal at the company’s request. Stephan Weil, already facing an unexpected election after the defection of a member of his ruling coalition to Chancellor Angela Merkel’s conservatives, is under fire for what some see as a too-cosy relationship with VW.
7. Britain needs to make clear to the European Union that it is prepared to go it alone if it fails to reach a satisfactory deal in Brexit talks, former Bank of England Governor Mervyn King said. King – who said in December that Britain should leave the EU’s single market and possibly its customs union – said his country needed to be able to show that it had a clear plan of how it would manage without an EU trade deal.
8. Britain’s government launched a review on how best to reduce long-term energy bills for households and business, prompted in part by concern that high electricity costs could damage industrial competitiveness. The government said it was still committed to reducing emissions of greenhouse gases in line with its existing legal commitments, but also wanted to reduce Britain’s energy costs to the lowest in Europe.
9. Russia said the European Union’s decision to sanction a Russian deputy energy minister over the delivery of Siemens’ turbines to Moscow-annexed Crimea was politically motivated and illegal. The EU first imposed sanctions on Russia after the 2014 military annexation of Crimea from Ukraine. On Friday, it introduced additional measures in response to the delivery of Siemens’ gas turbines to Crimea, which violated its existing sanctions.
10. China’s banking regulator has extended by two months a June deadline for banks to submit risk assessments over concerns it was putting strain on the lenders, Reuters reported. Under the leadership of Chairman Guo Shuqing, the China Banking Regulatory Commission started the year promising a “windstorm” to clean up the banking sector, which had been seen as failing to control risks as credit swelled.