News digest 18 May 2011
The digest opens with a jump in inflation,
before battle between Cameron and Fox continues, Huhne is still in
the headlines, while Lords reform is attacked from all sides,
there’s a call for a pause in Law reform, while Laws calls for Lib
Dems to be nice to Tories and Labour should be nice to Lib Dems,
but business wants to be nasty to workers, Vodafone benefits from
smartphones. BAE is hit over corrupt practices, the people’s port
is praised, but there’s some taxi trouble although letting the
train take the strain may be more costly…
Inflation jumps again – CPI
jumped 0.5 per cent to 4.5 per cent yesterday as fuel, food and
travel prices continue to increase, Osborne’s increase in VAT is
also blamed. The RPI did however dip slightly to 5.2 per cent but
UK inflation is now the third highest in Europe and almost double
that of its main competitor nations, which also happen to be
growing at twice the rate of the UK. The governor of the Bank of
England has ruled out a rise in interest rates, and says that
workers may rebel over continued pay freezes, but the government
seems to have no ideas for dealing with the pressures, ‘Plan B’
anyone?(Mirror p6, Sun p2, Express p7, Mail p2, Times p35, Indie p33, Guardian p2, Telegraph b1, FT p4, Morning Star p1)
No aid for Fox – Prime
minister Cameron hits back at defence secretary Liam Fox over his
attack on the overseas aid budget as defence chiefs complain about
the level of cuts, how long before Fox is for the chop? (Mirror p9, Sun p15, Express p7, Mail p12, Times p3, Guardian p10, Telegraph p2, FT p2, Morning Star p3)
Huhne’s job on the line –
Obviously not a yellow one, the pressure over the speeding ticket
continues, although he seems to take many of the jokes in the
Commons debate on carbon emissions on the chin especially talk of
the government’s “go-slow” green policy and being told of the need
to “accelerate” the pace of reform (Mirror p14, Sun p6, Express p2, Mail p4, Times p11, Indie p7, Guardian p10, Telegraph p1, FT p4).
Lords plans opposed – Deputy
prime minister Nick Clegg outlined his plans for an 80 per cent
elected House of Lords and a reduction in number to just 300 but he
was attacked on all sides as both Labour and the Tories tore the
plans apart, while even Lib Dem peers said the reforms would end in
failure, seems Clegg’s anti-Midas touch is still going strong
(Mirror p, Sun p2, Mail p20, Times p6, Indie p18, Guardian p1, Telegraph p8, FT p2).
Pause legal aid reform – The
Guardian (p4) reports that
the Law Society has launched a campaign calling for a halt to the
reforms to legal aid, arguing that if the changes are forced
through it could fundamentally change the justice system and leave
the most vulnerable without access to justice.
Be nice to Tories – From the
law to disgraced David Laws who is interviewed in today’s Times (p1). Possibly angling
for a return to cabinet he says that Lib Dems should stop sniping
at the Tories…
Be nice to progressive Lib
Dems – And the Indie (p18) says it has a copy
of a leaked circular from Ed Miliband’s office which urges Labour
councillors to form coalitions with Lib Dems to run local
authorities, the Greens are ok too, but links with Tories are
banned, all power sharing deals must be approved by the NEC.
Be nasty to unions – In
the FT (p3) there’s an
interview with the president of the CBI, Helen Alexander, who has
stepped up the pressure on government calling on the coalition to
get on with introducing tougher laws on strike action while backing
the government’s austerity programme, she will step down next month
to be replaced by Roger Carr of Centrica.
PCS in conference – Today’s
the day the PCS strike ballot result is announced after members
were asked to vote on possible action over changes to jobs, pay and
pensions. The union is holding its conference in Brighton which
will be addressed by Unite general secretary Len McCluskey later
this week (Mirror p18,
Mail p8, FT p3, Morning Star p4).
M&S to go upmarket –
Ahead of the retailer’s results to be announced next week the
FT (p19) reports chief executive
Marc Bolland says the company will be in for a year of change and a
strategic shift.
Lloyds AGM – And the Times (p39) reports Lloyds
chief Antonio Horta-Osorio is expected to be grilled at the bank’s
AGM in particular over excessive pay with both individual and
institutional investors wanting answers.
Bank lending disappointing –
Cameron admitted the scheme to support loans to small firms has
been ‘disappointing and said it may impose fresh taxes unless the
banks meet their targets (Mirror p4, FT p2).
Good call – Vodafone has
gained an extra 232,000 customers over the last quarter gaining
from demand for smart phones, full year profits rose 9.5 per cent
to £9.5 billion, although the company is continuing to cut staff
and offshore operations (Mirror p40, Express p57, Mail p58, Times p32, Indie p38, Guardian p24, Telegraph b8, FT p18).
Another fine for BAE Systems
– US corruption probe sees company agree to pay £49 million fine
over violations of rules over military exports (Express p57, Mail p59, Times p32, Indie p34, Guardian p26, Telegraph b4, FT p1).
Progress on people’s port –
The Dover Port story gets featured in the Guardian (p30) citing that 90 per
cent of local people back the idea (Unite
release).
More mirrors – Also on
transport, MPs yesterday backed Alan Beith’s private members bill
to demand that all new lorries on Britain’s roads are fitted with
extra safety mirrors to get rid of blind spots that hit pedestrian
and cycle safety on Britain’s roads (Indie p22).
Taxi trouble – If there’s no
cab when you want one it’s down to taxi drivers putting the brakes
on spending, Manganese Bronze - Britain’s biggest black cab maker -
says sales are down almost nine per cent since March (Sun p43, Mail p58).
Rail prices up or down? – The
Telegraph (p10) reports
that all may not be well for the railways as off-peak fares may
have to rise following a review of fare structures by transport
secretary Philip Hammond which is due to be published tomorrow, the
rise may need to come into place to cover cuts to some rush-hour
prices, perhaps the most interesting fact is that running the
railways in the UK is 40 per cent more expensive than on the
continent, and that is not down to high wages, but to train
operators that can milk the travelling public…
Edited by Mik
Sabiers
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