The FTSE 100 <.FTSE> index is seen opening as much as 0.3 percent lower on Monday, according to financial bookmakers, with caution prevailing after the weekend failed to deliver a Greek debt deal and new tensions emerged between Greece and Germany ahead of a European summit.
The UK blue chip index is forecast to open down 13-16 points after closing 61.75 points lower on Friday at 5,733.45.
Germany's Economy Minister Philipp Roesler openly called for Athens to surrender control of its budget policy to outside institutions if it cannot implement reforms required under the euro zone rescue, sparking an angry reaction from Greece's Finance Minister, Evangelos Venizelos, and heightening divisions ahead of Monday's European Union summit.
Greece was heading to the summit having yet to clinch a debt swap deal with its private creditors. The agreement is essential for sealing a new bailout and avoid an uncontrolled default that would have heavy consequences on Europe's financial system.
No major economic British economic indicator is due to be released on Monday.
In the United States, personal income and consumption data for December will be released at 1:30 p.m. Personal income in the world's largest economy is forecast to have grown 0.4 percent month on month in December, accelerating from a 0.1 percent increase the previous month.
The U.S. core personal consumption expenditure (PCE) index is expected to have risen 0.1 percent month-on-month in December, in line with the growth rate shown in November.
(Reporting By Francesco Canepa)