Asda, Burberry, Rothschild: Business news in brief on Monday June 6

Asda chief executive confirms plans to step down; Car sales 'may be reflecting Brexit nerves'; Rothschild takes over Maurel for £190m

Signs of weakening demand from some business and private customers as new vehicle registrations increase 2.5% in May (Getty)

Asda chief executive confirms plans to step down

Asda’s chief executive has confirmed plans to step down from his role at the Walmart-owned chain. Andy Clarke said that incoming chief operating officer Roger Burnley is in line to take over his role. He will be joining the supermarket in October. His comments come amid a difficult period for Asda, one of Walmart’s biggest businesses outside of the US. Last week, Walmart chief executive David Cheesewright said the parent company was “very disappointed” at Asda’s weak performance in the UK supermarket price war.

Car sales 'may be reflecting Brexit nerves'

Growth in new car sales was below 3 per cent for the second month running in May with a rise of just 2.5 per cent new registrations to 203,585, according to the trade body the Society of Motor Manufacturers and Traders (SMMT). It said that both private and business demand fell, which may due to Brexit uncertainty. “The new car market in May remained high... but the low growth is further evidence of the market cooling in the face of concerns around economic and political stability,“ said Mike Hawes, SMMT chief executive.

Burberry CEO Christopher Bailey gets 75% pay cut after disappointing results

Christopher Bailey, Burberry’s CEO has received a 75 per cent pay cut last year, as the country’s largest luxury goods business struggled for growth. Bailey will receive £1.89 million, down from £7.51 million a year earlier, according to Burberry’s annual report, published Monday. His salary stayed roughly flat at £1.1 million. But Bailey, along with Burberry’s chairman and its chief financial officer, didn’t get a bonus after the company missed its profit target. He received a bonus of £1.78 million last year.

Rothschild takes over Maurel for £190m

Rothschild, part of the banking dynasty focused on merger advisory, is buying Compagnie Financiere Martin Maurel for €240 million (£190 million) to expand its wealth-management and lending operations for French families and entrepreneurs. The move is set to create one of the top private banks in France, with combined asset of €34 billion (£26.7 bn) in the country. Baron David de Rothschild, chairman of Rothschild & Co, said: “Our two companies share an independent family model that is a real strength when compared to our competitors. This transaction would strengthen and ensure the continuity of this model.”