PC World and Currys owner Dixons Retail Group has received the backing of its banks with a new £300 million lending facility.

The president of troubled Bankia has tried to calm fears about the future of the bank, saying Spain's second largest mortgage lender will emerge as a solid financial entity after it receives 19 billion euro (£15.2bn) in state aid in the country's biggest ever bank bailout.

London's leading index was broadly flat on Friday as fears over Europe's banks were offset by a strong consumer confidence survey on the other side of the Atlantic.

Department store John Lewis highlighted the pressure on fashion retailers despite reporting another double-digit rise in sales.

Morgan Stanley, the lead investment bank in Facebook's troubled initial public offering, will compensate retail investors who overpaid when they bought stock in the social network site's flotation, a person familiar with the matter said.

Menswear retailer Moss Bros has hailed its new-look stores as it unveiled plans to revamp a further 10 sites in the wake of another surge in sales.

The Government is being urged to cut hidden credit and debit card costs which are said to be "strangling" UK retailers, following a European court ruling against MasterCard.

Fashion-conscious men have helped Asos end the year in style as the online clothing retailer nearly doubled its annual profits.

Cathedral City, Clover and Country Life maker Dairy Crest has slumped to a £10.1 million loss after an "unsatisfactory" year at its milk division.

Britain's double-dip recession is deeper than previously thought after revised estimates showed a sharper decline in the economy in the first three months of 2012.

Holidays giant Thomas Cook has appointed an executive from outside the travel industry to lead its turnaround strategy.

European shares defied the latest economic gloom as investors jumped back into the market on the hope of picking up cheap-looking stocks.