News digest 11 April 2011
The digest starts with the NHS on the
critical list, there’s a big squeeze for families before banking
comes to the fore, some money is found for the military while
teenagers are hit again, the election campaign is staring to heat
up while Longbridge is reborn, nuclear disposal could be doomed and
Dave has a special message…
Critical list – As Unite
slams over 100 stingy trusts for refusing to pay staff proper
holiday rates for the royal wedding bank holiday (Morning Star p2) the
latest changes to the NHS feature across most of the papers. The
Mirror (p4) cites a report
from the Royal College of Nursing to be released today which
reveals one in eight nurses will be axed by 2014 and prescriptions
could double as the government looks to cut the total number of
pills per prescription. The pressure for the government worsened
when leading Lib Dem Norman Lamb threatened to quit over the NHS
reforms, he is Nick Clegg’s senior policy advisor. The RCN report –
published to coincide with its conference this week – expects
40,000 NHS workers to be axed, with more than half expected to be
front line staff. Many of the papers report on the services that
will be cut including speech therapists, mental health, dementia
and more with commentators noting that these could be false
economies as they store up greater trouble which is more costly to
treat in the long term (Sun
p2, Express p15, Mail p8, Times p5, Indie p2, Guardian p8-9, Telegraph p14, FT p1, Unite
release).
Big squeeze – 2011 will see
families facing the biggest financial squeeze for 90 years
according to a report from the Centre for Economics and Business
Research as Tory taxes suck £27 billion out of the economy. This
comes at the same time that Bank of England policymaker Andrew
Sentence questioned the logic of increasing VAT arguing that
interest rates may have to quadruple to deal with inflation and
later this week the IMF is expected to cuts its forecasts for UK
growth. More worryingly for the government the Times (p5) says that Labour
under Ed Miliband is winning the support of the squeezed middle
(Mirror p10, Sun p2, Express p8, Mail p12, Indie p22, Guardian p21, Telegraph b2, FT p4).
Banking shake up – As Gordon
Brown says that he underestimated the need for stricter regulation
in the banking sector, many of the papers trail the interim report
by the Independent Commission on Banking that was unveiled this
morning. Unite’s David Fleming summed it up: “We have
waited for too long for these recommendations on banking reform,
yet today we have been presented with nothing more then merely
tinkering at the edges. This is another missed opportunity to
protect customers and staff from the corporate greed which brought
disaster to our economy.” The report states more
competition is needed in retail banking - which should see the
sell-off of more Lloyds branches – and that retail operations
should be "ring-fenced" from their investment banking arms. The
commission's final recommendations will be published in September
(Sun p2, Express p2/44, Mail p4/63, Times p1, Indie p31, Guardian p2, Telegraph p1/b1, FT p1, Unite
release).
Ana Botin interviewed – New
head of Santander’s UK business is interviewed in the FT (p19) outlining plans to penetrate
current accounts and the small business sector as the bank looks to
build market share.
Iceland rejects deal –
Population votes against plan to repay debt on savings bank, UK
government expected to sue to get £3 billion back (Sun p2, Express p2, Mail p4, Times p8, Indie p31, Guardian p21, Telegraph b1, FT p5).
FSA fines hit £100 million –
The Indie (p32) also
reports that the City regulator fined financial services firms
three times as much in its final year, the FSA is shortly to be
broken up.
£100 million for military –
And the Telegraph (p4)
says that the government has found an emergency £100 million for
the armed forcers as the impact of wars on multiple fronts hits
home, the government is still insisting it will not reconsider the
strategic defence review.
Restricting choice – But what
is it with this government and teenagers? Not content with chopping
the EMA and tripling tuition fees as well as cutting jobs the
Indie (p17) reports
that education cuts are hitting sixth formers as A-level funding
has not been ring fenced. Schools are starting to withdraw the
total number of courses available and increasing class sizes as
cuts bite.
Lowering top rate tax – But
the Mail (p13) and
Telegraph (p1) report
that chancellor George Osborne has made it a priority to lower the
top rate of tax, and plans to cut the 50p rate from 2013 as the
need to cut the deficit will have eased. Nothing to do with
rewarding your rich mates…
Election time – And the
FT (p2) trails the coming
elections highlighting key battlegrounds in the Midlands with
Clegg’s Lib Dems expected to face the fiercest fight while Labour
should also win seats in the Midlands.
Airport expansion – And the
Telegraph (b3) reports
the Midlands is also expected to be the place for wider choice of
destinations as the government looks to expand aviation outside the
south east.
Longbridge reborn – And more
Midlands good news as the Indie (p31) reports that out of
the ashes comes a new MG6. The first new car is expected to roll
off the Longbridge production line on Wednesday.
MOT delay – And possible good
news for drivers as the government considers relaxing rules on MOT
tests, the first one may only be needed after four years, and then
every second year, not so sure how good that will be for safety
(Express p27, Mail p13, Telegraph p16, Morning Star p5).
Profitable ports – From cars
to the sea and the Times (p32) profiles AB Ports
which has seen profits rise by 40 per cent over the past two years,
the company is gaining from its dominance of the trade area as well
as expanding out into wind energy, will the government sell off the
remaining three state owned ports?
All at sea – And directors of
oil company BP are expected to face a grilling at the company’s AGM
this Thursday with not only the oil spill but also bonus payments
on the agenda (Mail p64,
Times p31, FT p1).
Doomed disposal plan –
Talking of spills the Indie (p4) focuses on the
fallout from the nuclear disaster in Japan which could doom the
plan to dispose of the UK’s stockpile of nuclear waste which had
been hoped could be reprocessed for new nuclear plants.
Dave’s message to you – And
finally in the midst of all this the Sun (p6-7) clears two pages for the
prime minister to outline his top priorities, his message, bring
out the bunting for the royal wedding…
Edited by Mik
Sabiers
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