What the Sunday papers said

The Bank of England faces a "nail-biting" decision over pumping billions more into the UK recovery this week as figures reveal the still-sluggish impact of its flagship initiative to boost lending. The central bank today unveils the latest results of its Funding for Lending scheme, which allows banks to access cash at a cost of 0.25 per cent. In exchange, the banks have to increase net lending.

The Sunday Times: City grandees in the frame to take over the chair at BAE

BAE has sounded out Sir John Rose and Sir Roger Carr as possible replacements to Dick Olver as its chairman. Mr Olver has faced intense shareholder pressure to go. The pair – senior City grandees – are regarded as obvious candidates for one of the top jobs in business. BAE is being hit by defence spending cuts and may need a big-hitter to reassure the City about its prospects.

The Mail on Sunday: John Lewis employees in line to share a £200m bonus pot

Staff at John Lewis will share a bonus pot of about £200m this week as profits jump at the employee-owned retailer. Analysts say profits are due to be up 17 per cent at £41m, which may allow for a bonus worth 16 per cent of salary to all staff. The group, which also owns Waitrose, has seen its size almost double in the last nine years to £8.5bn. It is said to have profited from the strife at rivals such as Tesco.

The Sunday Telegraph: Bank pay cap 'to put hundreds of thousands of jobs at risk'

Michael Fallon, the enterprise minister, claims "hundreds of thousands" of jobs are at risk from EU plans to impose a cap on banker bonuses. The Treasury is to ask for flexibility over the proposals. Mr Fallon said: "The threat is not to the well-paid banker. The threat is to the hundreds of thousands of ordinary banking jobs in Britain if big international banks are forced to relocate."

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