British supermarket giant Asda has secured a financial boost ahead of a planned tilt at frozen food retailer Iceland, it was reported today.

ICELAND’S president accused European countries yesterday of having bullied it into agreeing to guarantee repayment of the debts of a failed bank, reviving a dispute with Britain and the Netherlands, whose citizens are owed billions.

Frozen foods retailer Iceland today reported record sales and profits – heaping pressure on potential buyers to pay more for the company.

Iceland’s former prime minister, Geir Haarde, has demanded that a special court dismiss charges that he was negligent before and during the collapse of the nation’s banks.

Supermarket Asda is preparing to do battle with rival Morrisons in the £1.5bn (€1.68bn) auction of frozen food retailer Iceland, it was reported today.

ICELAND is heading for economic and political chaos, according to the country’s prime minister, after a plan to repay €3.45bn to Britain and the Netherlands was rejected for a second time.

It seems the decision by Icelandic voters not to pay billions of euro in compensation to Britain and the Netherlands may end up in the courts.

Voters in Iceland have rejected a government-approved deal to repay Britain and the Netherlands $5bn for their citizens’ deposits in the failed online bank Icesave.

Icelandic President Olafur Grimsson has said he would put a new deal aimed at solving a dispute with Britain and The Netherlands over a £3bn (€3.56bn) repayment to a public vote.

Frozen food supermarket Iceland and toy emporium Hamleys are to be sold by failed Icelandic bank Landsbanki, according to reports today.

Two former senior executives of Iceland’s failed Landsbanki bank have been arrested over allegations of market manipulation.

STOCKBROKER Merrion Capital has announced three of its top executives are to leave the company in a significant shake-up at the group, previously owned by collapsed Icelandic bank, Landsbanki.

Defiant Icelandic voters have resoundingly rejected a €3.9bn plan to pay off Britain and the Netherlands for debts spawned by the collapse of internet bank Icesave, according to initial results today.

The economy of Iceland grew by 3.3% in the last quarter.

Iceland's leader said the country would "honour its obligations" over the £2.3bn (€2.55bn) owed to Britain for lost savings.

Around a quarter of voters in Iceland have signed a petition against repaying billions of pounds lost by foreigners when the country's banking system collapsed.

Shoppers' growing appetite for menswear and beauty products helped spur an "improving trend" in sales, UK department store chain House of Fraser said today.

Iceland decided today to repay Britain and the Netherlands the billions it borrowed to compensate savers in those countries who lost funds in the collapse of an Icelandic internet bank last year.

The second richest man in Icelandic history has filed for bankruptcy, his spokesman said today.

Britain has secured agreement from the Icelandic authorities to repay the £2.3bn (€2.6bn) paid out by the British government in compensation to UK depositors in the failed Icesave bank, the UK Treasury said today.

West Ham’s owner Bjorgolfur Gudmundsson is under no pressure to sell the club before a March deadline, sources close to the Icelandic financier have insisted.

LANDSBANKI, one of the three banks seized by the Icelandic government in October, has been given court backing to stop Irish creditors trying to recover their investments before February 26, 2009.

West Ham have assured new manager Gianfranco Zola he will not have to sell players in the January transfer window despite another of the club’s main shareholding companies heading into administration.

Iceland’s prime minister offered government guarantees on Icesave savings deposits in Iceland and Holland of nearly €20,500 on each account.

Robert Karlsson promised a marshal “as many beers as he wants” after staying on course for the European Order of Merit title today.

British building society, Barnsley Building Society, is to merge with its larger rival Yorkshire Building Society after being exposed to losses from the collapse of the Icelandic banks.

Oxford University could face losses of up to £30m (€38.41m) which is tied up in Icelandic bank accounts, a spokesman confirmed today.

Zabeel Investments, the company who have lodged a bid to buy Charlton, have rejected claims they are interested in purchasing West Ham.

A stricken Icelandic bank has been loaned £100m (€128.3m) by the Bank of England to keep it operating while efforts are made to get UK creditors’ money back, it was announced today.

West Ham could be facing a £50m claim for damages from Sheffield United over the Carlos Tevez affair.

Crisis-hit Iceland suspended trading on its stock exchange until Monday today.

The Icelandic government took control of the country’s largest bank, Kaupthing, today as it struggled to prevent a collapse in its entire banking system.

THE dominance of debt-laden Premier League clubs in Europe will soon come to an end as the global financial crisis takes hold, according to a leading football finance expert.

The financial crisis engulfing Iceland showed no sign of easing today.

West Ham have moved to play down concerns the club will be adversely affected by Icelandic bank Landsbanki going into administration.

World stock markets were mixed today as banking stocks on both sides of the Atlantic took another pounding.

West Ham’s vice chairman has moved quickly to allay fears that the club will be affected by Icelandic bank Landsbanki going into receivership.

Royal Bank of Scotland shares plunged nearly 40% to a 15-year low today as speculation mounted over an imminent taxpayer-funded rescue of Britain’s banks.

Iceland nationalised its second-largest bank today under new emergency legislation as it moved to get a grip on the escalating economic crisis.

Russia today pledged a €4bn loan to bolster Iceland’s foreign exchange reserves.

Iceland’s government has taken control of the Landsbanki bank, the authorities said today.

Iceland’s banks face a battle for survival today, after the country’s government introduced emergency legislation giving it sweeping new powers over the collapsing financial sector.

The Icelandic Stock Exchange today halted share trading in six major financial institutions as the government said it was drafting a plan to deal with the financial crisis engulfing the Nordic country.

Housebuilding giant Persimmon today said it had laid off more than a fifth of its workforce since January as it faced up to the toughest conditions in the group’s recent history.