News digest 22 November 2010
The digest starts with coverage of the
Unite general secretary election, before Ed Miliband’s back, more
cuts are trailed with school sports the target, there could be a
new right to buy, but tenants could get kicked out if they get a
pay rise, Nestle makes some changes that sees billions vanish from
its top line and Nissan is targeting dollars while Ireland gets
euros…
Who will it be? New Unite general
secretary to be announced – Many of the papers report on
the results of the Unite general secretary election which is due to
be formally announced by Unite’s executive council on Wednesday
(Mirror p14, Sun p,
Express, Mail p21,
Times p48, Indie p21, Guardian p13, Telegraph p12/b3, FT p3, Morning Star p2, BBC,
Liverpool Echo,
Express & Star,
Scotsman).
Ed Miliband’s back – He might
need to watch it as some knives have been sharpened while he has
been away on paternity leave. The Guardian (p1) leads with an
interview where ‘profound’ party changes are expected including the
role of unions, on policy and pay, but the pledge on a 50p tax rate
looks set to stay. Some of the other papers report that he needs to
define himself, although there is a mix between whether Labour
should play a long game or go for short term gain (Sun p2, Mail p10, Times p3, Indie p6, Guardian p12-13, Telegraph p12).
Less funds for school sports
– And then its back to the cuts agenda as Gove announces that cash
for schools sports is to be cut by £162 million (Mirror p8-9, Mail p28, Times p5, Indie p8, Guardian p, Telegraph p10, FT p1, Morning Star p3).
Lots more police won’t cut
crime – Is the rather odd call from police minister Nick
Herbert who says there is no link between am increase in police
officers and a reduction in crime, convenient as shadow home
secretary Ed Balls claims 6,000 police officers may be cut this
year as retiring members are not replaced (Sun p19, Mail p4, Guardian p13, Telegraph p18).
David Laws says pain too
great – Former Con-Dem chief secretary to the treasury who
resigned after three weeks says burden of cuts is too much for
middle classes and must be eased by the end of the parliament
(Telegraph p1).
Out after a pay rise – The
Mirror (p4) reports on new
tests for council tenants to see if they qualify to stay in
accommodation. Councils are to be given the power to evict or
transfer tenants if their financial situation improves, that’s an
incentive to improve yourself then (Guardian p4).
New right to buy – Government
indicates housing shake up by allowing all social housing tenants
to buy their homes after five years of renting them, that’s if
anyone is left in them (Telegraph p14).
Extra council cash from parking
fines – Councils across the country may be looking to
almost double the cost of parking fines as they seek ways to meet
rising parking management costs (Mirror p31, Express p15, Mail p11).
Lower spending signals consumer
caution – And more evidence that the cuts are starting to
bite as the Telegraph
(b1) reports that consumer spending is slowing even as retailers
had hoped for a boost from sales prior to January’s rise in VAT.
Cash strapped consumers have been using savings to pay for
treats.
Expanding manufacturing – But
the Mail (p63) and
Indie (p35) both
highlight how the manufacturing sector is expanding, with British
industry increasing at its fastest rate since 1994 there is talk
this could compensate for the cuts, well according to the
Engineering Employers Federation.
New takeover targets – But
could assets be going overseas? The Indie (p36) also reports that
takeovers of UK firms are at their highest level for two years with
51 per cent of bids for UK companies from foreign buyers.
Market volatility threatens
pensions – Ands the FT
(18) warns the FTSE 100 pension schemes could face a collective
increase in their deficits of £25 billion as they are too exposed
to interest rate, inflation and equity risks.
Change at Nestle – World’s
biggest food group to change the way it reports revenues which will
see some $16.1 billion vanish from its top line as it takes out
promotional (ghost) sales from its accounts (FT p20).
Change at Danone? – And the
world’s biggest yoghurt maker is in talks with Japanese brewers
about a distribution deal for its water business – including Volvic
and Evian - which could be the precursor to a sell-off (FT p20).
Loose planning? – Moving on
to the energy sector and EDF has started work on building a €10
billion power station even before it has applied for planning
permission for the build at Hinkley Point in Somerset (Times p50).
United Utilities chief to
quit – Philip Green to step down (with £4 million
payoff/share options) from water company this week (Guardian p24).
Sky high rural bus prices –
But away from main cities the government’s plans to cut the bus
industry subsidy can be expected to lead to a jumps in bus fares,
Western Greyhound in Cornwall is fearing it will have to raise
fares by 50 per cent to compensate (Telegraph p11).
Key switch to dollar markets
– Nissan says it is planning to shift production and support
functions towards dollar-linked countries to protect against
currency volatility, chief Carlos Ghosn is also interviewed in the
FT (p21).
End of pretty packets – And
from one smoke making machine to cigarettes which under new
guidelines may have to be sold in plain packets (Mirror p22, Sun p4, Mail p12, Times p41, Indie p, Telegraph p1, Morning Star p5).
You’re saved – Finally all
papers report on the €80 billion bailout for the Irish economy, the
UK offers a £7.5 billion loan (who said we were bankrupt) while the
Irish government has public sector workers in its sights as it
threatens to cut the minimum wage and more jobs (Mirror p14, Sun p10, Express p2, Mail p2, Times p1, Indie p1, Guardian p1, Telegraph p1, FT p1, Morning Star p6)
Edited by Mik Sabiers
Subscribe to this post's comments using
RSS
Comments
