News digest 12 October 2011

The digest opens with Fox still in the headlines, the NHS bill in the Lords and Bombardier workers on their way to the Commons. There’s quite a bit of news on pensions while the recovery is faltering, manufacturing has dipped but back in Westminster the Commons gets more cash, the justice minister is under investigation but nuclear power is safe, Virgin wants green fuel and Ryanair wants to remove loos. M&S is off to Paris while Le Monde is trying to break a print union as the EU bailout unravels…

Fox’s fishy friend? – The furore over Fox and his friend, aide or adviser depending on which version has been put forward continues to dominate the papers. Questions are asked about a supposed lie told by top Tories over a burglary at Fox’s home at the height of last year’s general election (A Tory spokeswoman said he was alone when a ‘younger friend’ was actually with him), how Werritty funded his many trips around the world with Fox, how the charity that supposed Werritty ran was wound up, whether Werritty was a corporate spy, what was his security clearance and were security risks allowed. Rising calls for an independent inquiry could force Cameron’s hand, looks like the hounds are closing in (Mirror p11, Sun p1/7, Mail p6-7, Times p1/6-7, Indie p4, Guardian p1/4-7, Telegraph p1/4, FT p2, Morning Star p5).

Lansley’s lost bill – Health secretary Andrew Lansley was left pleading with the House of Lords to back his Health and Social Care bill which will end the NHS as we know it. Today sees the crucial vote with peers the ones that could block the bill. The Mirror (p6-7) has a feature on 40 peers with a financial interest in private health companies while the FT (p4) says the bill faces a fatal blow if peers vote for a delay, 135,000 have signed the 38 Degrees petition calling for a halt, let’s hope the peers listen (Mail p4, Times p11, Indie p4, Guardian p8, Telegraph p2, Morning Star p3, Unite release).

Time to change track – Bombardier staff and supporters will join a Unite/RMT rally at Westminster later today to call on the government to change its mind over awarding the Thameslink contract to Siemens. Unite assistant general secretary Diana Holland said: "Today's tragic unemployment figures are evidence enough that the government's decision to turn its back on Britain's last train maker was a disaster. Thousands of jobs up and down the country depend on the government revisiting the Thameslink contract.” (Mirror p23, Morning Star p8, Unite release)

Don’t destroy Remploy - As the government’s consultation into their future nears its end Remploy workers will also descend on parliament later today to urge MPs to keep their factories working (Unite release).

Gus goes – Top civil servant Sir Gus O’Donnell announced his retirement yesterday, he is 59 and will get a pension of more than £100,000 a year when he leaves in 2012. The top job will also be split into three roles for senior civil servants (Mirror p6, Express p5, Mail p4, Indie p21, Guardian p7, Telegraph p10, Morning Star p5)

Yes to industrial action – Kevin Maguire in the Mirror (p8) backs the 30 November action on pensions arguing simply that working longer and paying more for a worse pension is a terrible deal. No argument there.

Boots under fire for ‘risky’ pension deal – The Times (p48), Indie (p58) and Telegraph (p2) report that high street retailer Boots is risking a wave of misselling claims over proposals to save an estimated £75 million by changing its retirement payments to staff after it asked them to forego inflation-linked increases in exchange for a one off increase to their pension pot.

Share falls hit pensions – The Mail (p19), Times (p53) and FT (p1) all report on concerns over pensions as the continued dip in the stock market is pressurising the overall funding of pensions as the gap has grown by £80 billion. The Mirror (p40) reports that pensioners will need to ‘mind the gap’ as there is now a 13 year gap between when people retire and when they can actually afford to. 

Fuel poverty and falling incomes – And the Express (p4) and Mail (p2) follow up on the pressure on ordinary families citing evidence that shows middle income families are suffering an unprecedented collapse in living standards as inflation and poor wages wipe thousands off incomes just as the government announces the worst unemployment figures for 17 years.

Anaemic UK recovery – Publishing its latest projections for the UK economy the National Institute for Economic and Social Research said GDP should have risen by 0.5 per cent for the last quarter, but that overall Britain faced its slowest recovery for a century (Times p53, Guardian p28, Telegraph b1, FT p4).

Factory output dips – Osborne’s ‘march of the makers’ hits a roadblock as manufacturing production dipped by 0.3 per cent in August leading to more calls for a Plan B, or anything but what the government is currently doing (Mail p71, Indie p58, Guardian p28, Telegraph b1, FT p4).

MPs to grill officials over Goldman deal – The UK’s top tax official is to be grilled over leaked documents concerning the settlement of a tax dispute between Goldman Sachs and the authorities which allegedly allowed the company escape £10 million in interest payments on a failed tax avoidance scheme (Indie p1, Guardian p2, Telegraph b1, FT p2).

Justice minister faces inquiry – The Guardian (p17) and Telegraph (p10) say justice minister Jonathan Djanogly has admitted to MPs that inquiries have been launched by his own department following questions over whether he could personally profit from changes he is pushing through the House of Commons.

Commons budget boosted – And while all of us face cuts the Mail (p17) reports that speaker John Bercow has pushed through a £9 million rise in parliament’s budget despite auditors refusing to sign off last year’s accounts as the authorities failed to hand over full details on MPs’ expenses.

Clegg’s registration rethink – The Guardian (p13) reports that the deputy prime minister Nick Clegg will drop his plans to make it easier for people not to register to vote after being criticised by Labour, the Electoral Commission, psephologists and electoral registration officers.

Miliband criticised by Field and Clarke – The Sun (p2), Telegraph (p10) and Morning Star (p5) report that Labour has-beens Frank Field and Charles Clarke have criticised Labour leader Ed Miliband over his economic policies saying Labour should apologise for the economic mess, maybe they should have listened harder to shadow chancellor Ed Balls at conference. 

Conference changes nothing? – And the Indie (p4) has the first poll after the conference season which sees no real change for the parties; the Lib Dems are languishing on 12 per cent, while Labour is on 38 per cent to the Tories 37 per cent.

Gove ploughs on with free schools – The Morning Star (p4) reports that the NUT has challenged education secretary Michael Gove over free schools warning they will divert vital funds from state education.

Nuclear power is safe – And energy secretary Chris Huhne has welcomed a report from the nuclear regulator that says that UK plants have no fundamental safety weaknesses. The report was commissioned after the Fukushima disaster (Mirror p21, Sun p14, Mail p73, Times p4, Indie p21, Telegraph b5, Morning Star p2).

Virgin wants more green fuel – The Express (p50) and Times (p13) report that Sir Richard Branson is planning to make jet fuel from the waste gas of steel mills.

Ryanair to remove loos – The Indie (p10) reports the airline trying to get approval to expand seating area in its plans by removing one of the three toilets on its fleet of short haul aircraft.

Heathrow hits a new high – BAA announces airport had its best ever September with a 1.4 per cent rise in passenger numbers (Sun p49, Times p45, Indie p62).

Blow to rural buses – And the FT (p4) says a Campaign for Better Transport report shows that rural bus services could see a sharp decline as councils wrestle with 27 per cent cuts; England’s regions have already lost over 1,000 bus services.

Boost to supermarkets – The Mirror (p9) and Sun (p49) report that Sainsbury’s says it plans to hire 50,000 more employees by 2020 as it embarks on an expansion project to add 6,000 jobs a year as well as recruit 15,000 staff for the Christmas period.

M&S returns to Paris – The Sun (p49) Express (p50) and Guardian (p29) all report on the opening of new Marks & Spencer stores in France with a three story shop on the Champs-Elysees.

Le Monde tries to break print union – And still in France the Telegraph (p20) reports that one of France’s most influential newspapers is trying to break France’s powerful print union which remains a closed shop, a warning - look at what happened to the British press once Murdoch had his way…

Slovak blow to EU bailout – The Slovak parliament yesterday rejected the EU bail-out plan, but in that usual spirit the country is expected to be given another chance to vote, this time to make the correct decision. Other stories focus on capitalisation levels for Europe’s banks which look to be set at close to nine per cent creating extra pressure to raise funds, but time is running out for Europe’s leaders to agree a plan going forward (Sun p2, Express p15/51, Mail p2/70, Times p5/45, Guardian p25, Telegraph b1, FT p1/6).

Edited by Mik Sabiers

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