Treasury Minister Danny Alexander will set out new rules on Monday to push ministries to tighten their grip on spending at a time of deep public cuts aimed at wiping out the country's huge budget deficit within five years, Reuters reported. Under the new rules, government departments will be asked to identify 5 percent of their annual budget to cover unexpected costs - in a bid to discourage them from asking for more money from central government when emergencies arise.

Barclays said Chief Executive Bob Diamond will tie half of his long-term bonus awards to the U.K. bank's future profitability, as the lender looks to quell shareholder anger over pay ahead of its annual general meeting, The Wall Street Journal reported. Mr. Diamond and Finance Director Chris Lucas will forgo 50% of their deferred bonuses, which are paid out over three years, until the bank's return on equity exceeds its cost of equity, Barclays said.

Aquascutum, the venerable British fashion brand that has been worn by Winston Churchill and Margaret Thatcher, has been placed into administration, The Washington Post reported on an Associated Press story. Administrator Geoff Rowley of FRP Advisory said Tuesday he hopes to find a buyer. The decision to put the brand into administration follows a change of ownership at Jaeger, another longtime British brand that had been united with Aquascutum under the ownership of entrepreneur Harold Tillman.

Unemployment may still have further to rise this year as a result of slow economic growth, though fears of the total topping 3m are fading, according to analysts, the Financial Times reported. Economists expect this week’s data to show the jobless rate stable at 8.4 per cent of the workforce, or about 2.7m, in the three months to February, according to a Reuters poll. If that forecast is borne out, it would be the third month in which unemployment has been flat.

Video games retailer Game Group's Spanish operations have been bought out of administration by investment firm OpCapita, with an eye to eventually selling them on, OpCapita said on Friday, Reuters reported. The private equity firm, owner of British electrical goods retailer Comet, has already bought the larger British operations of Game out of administration.

A group of Conservative MPs is calling on the government to reform the UK’s bankruptcy laws so they are fairer to small businesses and sole traders, which they say are liable to exploitation by banks, the Financial Times reported. Proposals on how to change the law – to be published on Friday by the Free Enterprise Group of Tory MPs – include updating the Law of Property Act so banks have fewer powers over borrowers’ assets, and extending the administration procedure to small businesses that are not registered as limited companies or partnerships.

Britain's most powerful shareholder group has said it has concerns about executive pay levels at Barclays Plc, adding to growing criticism over a 17 million pound award for Chief Executive Bob Diamond, Reuters reported. IVIS, the shareholder advisory service of the Association of British Insurers (ABI) - whose roughly 440 members own about 20 percent of the FTSE All-Share index - said it had issued an "amber top" warning on Barclays' remuneration, which indicates it has some concerns. A red top warning signals its most serious criticism about an issue.

Thomas Cook is close to striking a £1.2bn refinancing deal that will give the troubled travel group two more years' breathing space to turn round its business, The Guardian reported. A consortium of 17 banks including Royal Bank of Scotland and Barclays is expected to approve an extension of loans until 2015. Although the conditions are likely to be stringent, with higher interest rates and the lenders taking a significant stake in the company, the deal is regarded as good news by Thomas Cook.

European rules on state aid have jeopardised small UK companies’ access to venture capital funding worth hundreds of millions of pounds each year, placing further strain on a sector already starved of credit, the Financial Times reported. Under a measure included in the Finance Bill, venture capital trusts that invest in small growth companies could lose generous tax benefits as a result of a new cap on state-backed investment sources. At present, VCTs offer 30 per cent upfront tax relief on investments of up to £200,000 a year, as well as tax-free dividends and capital gains.

Video games seller Game Group's British stores were sold to investment firm OpCapita on Sunday, safeguarding nearly 3,200 jobs, the collapsed retailer's administrator PricewaterhouseCoopers (PwC) said. The private equity firm, which bought electrical goods retailer Comet last year, will buy all 333 of Game's British shops that have remained open during its administration, Reuters reported. It will also seek to re-employ a small number of staff who previously worked at Game's head office but received redundancy notices last week, it said in a joint statement with PwC.