LONDON (ShareCast) - The Big Six energy firms are expected to escape demands for a major break-up when the Competition and Markets Authority (CMA) this week announces the results of its lengthy review into competition in the industry. The competition regulator is expected to say that the vertical integration structure under which Centrica's British Gas, Scottish Power, EDF Energy, SSE, Eon and RWE Npower all operate does not result in higher prices. The CMA is thought to be more likely to criticise regulator Ofgem for restricting competition, the Sunday Times reported.
Financial regulators will also unveil the results of a review into industry practices. The Bank of England's Prudential Regulation Authority will send out tough new rules this week to HSBC, Barclays, Lloyds, Royal Bank of Scotland, other British-based lenders, and top insurers and asset managers that will make it easier to punish bankers and encourage whistleblowers, said the Sunday Times. The rules will form part of the controversial new Senior Managers Regime, whereby board members and senior managers could be held accountable in a future financial crash.

Separately, the BoE's Financial Conduct Authority (FCA) will also week set out rules for bankers' behaviour. The Senior Managers Regime has reversed the burden of proof, says the Sunday Times, meaning bankers will be forced to prove they were unaware of dubious behaviour, or had challenged it at the time, with new rules intended to punish the highest earners in banks for serious failures. The new regime will also give regulators the power to send bank bosses to prison if they are found guilty of a new charge of "reckless misconduct".

The Chinese government has reportedly frozen new share offers and established a market-stabilisation fund in an attempt to halt the sharp decline in the country's stock market. The Wall Street Journal said initial public offerings had been suspended, news which came just hours after a number of the country's leader brokerages posted a statement on the website of the Securities Association of China saying that they would collectively buy at least $19.3bn-worth of shares. After almost $3trn was wiped off the value of markets in China in recent weeks, 25 of the country's mutual funds have also said they were also willing to acquire stock. Other recent central government attempts to ease the volatility include increased bank liquidity and an interest rate cut.

The UK's main supermarket groups are risking disaster in their cut-throat price war, according to Mark Price, managing director of Waitrose and deputy chairman of John Lewis Pertnership. The 30-year industry veteran, speaking to the Mail on Sunday, said the constant price-cutting to ward off the threat of German discounters Aldi and Lidl could result in a company failure unless the biggest chains alter course. "Supermarkets are saying 'If we drop our prices it's all going to be OK again'. But the reality is people don't eat more food because you drop your prices. If everybody keeps dropping their prices, it's a zero sum game."

Some of the industry's main players are in store for a tough time as soon as this week. The Observer noted that Sainsbury's expects a court ruling this week after football club Bristol Rovers sued the grocer over the retailer's plans to pull out of a deal to buy the League 2 club's ground. Sainsbury's also holds its annual meeting this week and the board will have to justify what shareholder group Pirc called "significant concerns" over the potentially huge awards still on offer to former boss Justin King, who has "retained all his outstanding long-term incentive awards in full". Management are predicted to also face questions about not paying all staff the living wage.

Elsewhere, just as Marks and Spencer chief executive Marc Bolland seemed to have turned round the company's clothing business, it is expected to suffer another blow this week after cool weather in May and June dampened sales. A trading update on Tuesday is expected to show a slide in like-for-like sales in its vital general merchandise (GM) division, which includes clothing, of around 1% for the past quarter, the Sunday Telegraph reported. The retailer has been struck by weak demand for its spring and summer clothing, a trend that has affected most clothing chains thanks to the weather.

Specialist fashion retailer Supergroup, owner of the Superdry brand, is understood to be close to sealing a deal to take its international expansion into China. The FTSE 250 group, which has more than 190 stores in Europe and in March re-engineered its plans to attack the US market, is in talks with a joint venture partner about entering China, according to the Sunday Times.

Online white goods retailer AO World is weighing up moves into Austria or The Netherlands as the second country in its overseas expansion after launching in Germany towards the end of last year. The FTSE 250-listed company's chief executive John Roberts told the Sunday Telegraph that Austria is seen as a good option because of the language, while The Netherlands is better geographically. Co-founcer Roberts said: "The goal is to be market leader in the categories we're in and to expand that internationally."

In the media sector, an experienced industry team is floating a new company to do deals in the magazine and newspaper industry. Backed by shrewd buy-and-build backers Marwyn Value Investors, the former digital heads at Hearst Magazines and Pearson are planning to use new shell company Gloo Networks to acquire old-fashioned publications and then "digitise" them, using data about readers to try and better tailor articles and advertisements.

Elsewhere in the sector, giant WPP is in for a windfall from the Wall Street initial public offer (IPO) of AppNexus, the Sunday Times said. The New York tech start-up, which counts FTSE 100-listed WPP as one of its largest investors, is plotting a flotation that is expected to value the eight-year-old company at about $2bn (£1.3bn). AppNexus has developed a "real-time bidding" platform for online advertising, allowing advertisers to "bid" to show their adverts to users as they move from website to website. WPP, many of whose digital agencies buy ads via AppNexus, owns an estimated 15% of the company.

Tony Hayward, already chairman of FTSE 100-listed commodities giant Glencore, is poised to shift round the boardroom table at FTSE 250-listed Genel Energy from the chief executive's to the chairman's seat. Hayward faces criticism from corporate governance groups, the Sunday Times reported, as the UK corporate governance code disapproves of appointing a chief executive as chairman, stating a preference for independent directors who are less burdened by personal loyalties or history when it comes to critical decisions. The ex-BP boss was one of Genel's co-founders in 2011.

A private equity backed oil and gas company, Third Energy, is also likely to hear some criticism ahead. The Sunday Times noted that the company lodged a bid to begin fracking for shale gas at a site near the Vale of Pickering in North Yorkshire, just four days after councillors blocked another proposal by another private firm, Cuadrilla. Anti-fracking campaigners had hoped that the Cuadrilla win was their 'Waterloo' victory in the battle to stop this controversial drilling technique. But Third Energy believes it can overcome opposition because its site has been home to a gas well that has been operating for 20 years.

Finally, this week may seen an interesting bond issue from Kurdistan, the northern-Iraqi region where Genel's operations are based, which is set to tap London's Square Mile institutions with a first-ever bond issue. The oil-rich region has made the move to replenish coffers that have been run down by its battle with the 'Islamic State'. After a roadshow in London drummed up strong levels of interest, Kurdistan has looked to raise between $500m (£320m) and $1bn, although pricing on Monday or Tuesday could be delayed by the Greek referendum. The bond is expected to be priced with an interest rate of between 11% and 12% - slightly more than the yield of Iraqi bonds.

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