News digest 14 April 2011

A bit of good news on unemployment starts the digest, but if you look behind the figures the outlook is more worrying. Elsewhere Lansley is still in the midst of a storm over NHS reform, Cameron bangs the immigration drum while there’s trouble at the treasury, challenges over charity cuts, and even though the Post Office is protected a lot more businesses are looking shaky. There’s mixed news from the car industry, more pressures in aviation and a call for a Tobin tax, while the Mail has a good word for Brown as Green considers returning to the UK…

Dole down – No not another cut in benefit payments, most papers report the unexpected fall in unemployment, although most say it is too early to celebrate. While the total fell by 17,000, unfortunately the number of women claiming the dole was at a 15 year high and the number of 16-17 year olds without work hit a record 218,000. Interestingly a third of new jobs created in the past year went to the over 65s; the general consensus is that the overall jobs market remains fragile (Mirror p6, Sun p12, Express p15, Mail p19, Times p35, Indie p16, Guardian p22, Telegraph p2/b1, FT p1/3, Morning Star p2)

Ninety-nine per cent of nurses say no – Lansley loses out to vote of confidence at Royal College of Nursing conference as pressures on the health secretary and his controversial NHS bill increase, Unite’s health sector backed the no-confidence motions calling for the bill to be withdrawn. Lansley says he is sorry, but the bill is still going ahead even though according to a King’s Fund it is full of legal loopholes that could leave the service open to exploitation by profiteering outsiders. Labour leader Ed Miliband is working with crossbench peers to try and kill the bill in the Lords (Mirror p6-7, Sun p6, Express p4, Mail p4, Times p17, Indie p4, Guardian p1, Telegraph p10, FT p2, Morning Star p3, Unite release).

Cut benefits to cut immigration – You know the Tories are worried when they have to play the immigration card; Cameron to outline new immigration policy today which is to target benefit claimants and blame Labour letting in too many immigrants disjointing communities and contributing to the rise of the BNP, effectively he will expand on his Munich speech in February which was roundly condemned at the time (Mirror p4, Sun p2, Express p7, Mail p1, Times p1, Indie p17, Guardian p1, Telegraph p1, FT p4).

Treasury trouble – And the AV battle is causing strains for the coalition as chancellor George Osborne is taken to task by his deputy Danny Alexander who accused Osborne of ‘dirty tricks’ over funding claims. This comes as a poll shows that the yes campaign has a 12 point lead with 45 per cent of people planning to vote saying they will vote yes, while the no vote stands at 33 per cent (Times p26, Indie p2, FT p4).

Charity cuts challenge – As Unite releases a survey that reveals the £5 billion in funding snatched by central government is forcing charities to the wall and shaming all claims the prime minister makes to fostering a 'Big Society' Unite’s Sally Kosky said: “As these huge cuts destabilise the third sector, the more hollow the government’s ‘Big Society’ rhetoric sounds. When these services disappear - nothing replaces them. It is delusional to suggest that efficiencies can be made in a sector that already operates on a shoe-string.” There are reports communities secretary Eric Pickles introduced new laws yesterday to stop councils disproportionately cutting charity grants; councils will now have to give three months notice if cuts could threaten the viability of a service, the questions is whether that goes far enough or is too little, too late? (Times p5, Charity Times, Third Sector, Unite release)

Post Office protected – Mail unions celebrating after government concessions sees a clause inserted in the bill that will see the Royal Mail remain the sole provider of a universal service for ‘at least the next 10 years’ (Telegraph b5, Morning Star p2).

PCS to ballot 250,000 – Public sector workers to be balloted over pension cuts as government announces it will ‘mutualise’ the body that deals with civil service pensions, some consider this to be code for privatisation by the back door (Morning Star p1).

Businesses in distress – The Guardian (p22) reveals a surge in companies that are showing financial distress reporting that 186,554 UK businesses were now facing ‘significant’ or ‘critical’ financial problems, a 26 per cent rise over the last quarter.

Deepwater to hot water – BPs troubles continue ahead of what is expected to be an angry AGM today. The £10 billion deal with Rosneft looks to be on the verge of collapse and a shareholder revolt over corporate strategy is looking likely (Express p65, Times p35, Indie p22/40, Guardian p25, Telegraph b1, FT p1/21, Morning Star p3).

Price fixing penalty – Proctor & Gamble and Unilever fined a combined total of €315.2 million for fixing washing powder prices in eight European countries (Express p65, Mail p73, Times p41, Indie p40, Guardian p23, Telegraph b3, FT p20).

Bus cuts – Coalition plans to slash £95 million from local transport funding could see fares rise by 20 per cent and cutbacks to concessionary fares for pensioners (Mirror p16).

Toyota puts brakes on – UK production be scaled back due to disruption following the earthquake, work to be suspended over the Easter break at Burnston in Derbyshire and Deeside, North Wales (Mirror p58, Times p43, Guardian p26, Telegraph b8, FT p19, Morning Star p5).

JLR gears up – But resurgent Jaguar continues its international focus with chief executive Ralf Speth interviewed in the Indie (p41) outlining his vision for the marque.

Brum brum – First MG6 rolls off Birmingham production line, 40 production staff are expected to assemble 2,000 cars this year (Mirror p31, Sun p9, Express p28, Mail p33, Telegraph b3, Morning Star p2).

BmiBaby cuts back – From cars to planes and budget airline to stop flights from Cardiff and Manchester after the summer as the economic climate impacts sales, the company does plan to expand Belfast and East Midlands routes (Indie p43, Guardian p, Telegraph p, FT p, Morning Star p)

Swissport strike ahead? – Unite to begin balloting members for strike action at Swissport Cargo Services on 18 April 2011 in a dispute over the use of agency workers and the imposition of new employment contracts for new starters (Unite release).

Time for a Tobin tax – And on the international front the Guardian (p1) and Telegraph (b5) both report that over 1,000 economists have come together to call on the G20 to introduce a Tobin tax – also known as a Robin Hood tax – to be slapped on City speculators to help the world’s poor.

Brown the favourite – Not words you often hear, especially in the  (Mail p28), but former prime minister Gordon Brown has been tipped to take over the chair of the IMF if current head Dominique Strauss-Khan steps down to contest the French presidency.

Back to Britain for Top Shop? – And finally the Telegraph (b1) reports Topshop retail magnate Philip Green is thinking of returning production to the UK and launching a manufacturing academy, no mention of whether he’ll repatriate all those taxes that have gone abroad as well…

Edited by Mik Sabiers

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