News digest 27 June 2011

The digest starts with Gove adding fuel to the fire over strike action on Thursday, there are concerns for the NHS and care, there’s a global warning on inflation while as Lloyds gets ready to cut more staff Tesco wants to learn to love them, Branson warns Virgin’s pilots, Unilever does a U-turn while Cameron gets embroiled in a bullying case, and further afield there’s concern for Chavez in Cuba…

Gove adds fuel to pensions fire – Education secretary Michael Gove - probably the only member of the current cabinet that stood on a (NUJ) picket line – draws a backlash from unions after he tells parents to cross picket lines to keep schools open during this Thursday’s coming strike action. Ministers and union leaders are today set for talks aimed at halting the action on Thursday by teachers and civil servants across the country (Mirror p19, Sun p2, Express p9, Mail p1, Times p5, Indie p1, Guardian p1,8/9, FT p3, Morning Star p5). While Unite’s Len McCluskey responds to the claims in last week’s Times (p22) by highlighting how Unite membership is on the increase, it looks like the government has wheeled out its big guns in the right wing press to bash the unions. Both Trevor Kavanagh in the Sun (p8) and Melanie Phillips in the Mail (p14) take unions to task with the former calling for minimum ballot thresholds to be introduced and the latter attacking teachers and trade union time, but the Telegraph (p6) reports that business secretary Vince Cable has rejected any plans to tighten strike laws, for the moment…

Gove sets stricter tests – And in a desire to nab the headlines Michael Gove is also featured in many papers announcing that modular GSCEs will be phased out to be replaced by a final year exams’ system to end the ‘culture of resits’, Gove also said teachers would be expected to pass literacy and numeracy tests within three attempts or be barred from joining the teaching profession, interesting to note that Gove failed his driving text six times before passing at the seventh attempt, does that mean he should be barred from driving (Sun p2, Express p9, Times p12, Guardian p4, Telegraph p1).

MoD overhaul – And although prime minister David Cameron said at last week’s PMQs he sees no need for another strategic defence review, defence secretary Liam Fox will publish a damning review of the MoD today. A report from Lord Levene’s defence reform unit is expected to accuse the MoD of leaving ministers in the dark and condemn the ‘overly bureaucratic management structures’ which cause indecisiveness and a lack of responsibility (Sun p2Mail p12, Times p1,6/7, Guardian p7, Telegraph p10, FT p2).

Doctor/patient bond in danger – Chair of the BMA, Dr Hamish Meldrum, will warn that the NHS changes could destroy public trust in doctors as he opens the medical association conference in Cardiff today (Indie p16, Guardian p10, FT p4)

Care catastrophe on the cards – Leading charities have warned the government that failure to reform care for the elderly could see a breakdown in the system. They call for the proposed Dilnot reforms – which could recommend that better off people pay at least £35,000 towards the cost of care, or sell their homes/raid their pensions - to be implemented in full (Express p16, Mail p10, Times p16, Guardian p4, Telegraph p14, FT p4).

Legal aid for elite – And the Mirror (p11) highlights how super-wealthy celebrities are hiring top barristers to defend themselves in court and getting the state to pay citing England footballer Steven Gerrard who pocketed £311,000 in legal aid after he was acquitted on charges of affray. Sadly these extreme examples are being used to justify the squeeze for ordinary people who are in desperate need of support.

Inflation warning – Many of the papers report on the Bank of International Settlements annual report which warns governments around the world that interest rates must rise sooner rather than later otherwise inflation will worsen (Mail p56, Times p33, Indie p31, Guardian p22, Telegraph b8, FT p1).

Treasury fiddling figures? – And the Times (p37) rep[orts that the government is expected to argue the cost of bailing out RBS and Lloyds has fallen thanks to fees and taxes they have paid meaning the government may push ahead with a sale of shares as the ‘in’ price is lower…

Lloyds sets out its stall – And many of the papers trail the Lloyds announcement due on Thursday where the chief executive is expected to lay out cuts of an addition £1 billion, ion top of the £2 billion outlined already as well as more job losses (Express p44, Mail p56, Telegraph b3, FT p17/19).

Love your staff – And the Times (p40-41) talks to Richard Brasher, CEO of Tesco’s British operations about his plans for the retail giant in the UK and how to go about reinvigorating the business, his plan is to hold a ‘listening exercise’ to get feedback from staff, perhaps he could just pay them a bit better…

Bribery law could cost billions – The Times (p37) also reports on claims that British companies may lose up to £15 billion of business as a result of stricter bribery laws.

Wen Jiabao visit worth a billion –Visit from Chinese premier expected to see a series of lucrative business deals announced, he visited Rover’s Longbridge factory and is thought to be leading a bid for work on the high-speed rail line between London and Birmingham (Mirror p14, Sun p2, Mail p2, Times p25, Guardian p12, Telegraph p2, FT p1, Morning Star p5).

Toyota Tourer to Japan – And in more car news the Times (p39) reports that the Derby produced Toyota Avensis Tourer range is to be sold in Japan, contrary to the company’s usual policy to build cars close to its customer market.

Branson warning – But if you are planning on flying abroad on Virgin Atlantic then the Times (p5/20) reports Sir Richard Branson has warned pilots they risk inflicting an ‘indelible scar’ on the airline if they proceed with action issuing a veiled threat to say he may not be prepared to bail out the airline if its is laid low by ‘self inflicted’ wounds…

Unilever U-turn – And still on international issues the Times (p44) reports that after closing more than 200 factories the company has announced that it wants to expand again with plans to open 11 factories this year, most expansion is expected to be China, but new plants are also expected in Latin America, South Africa and South East Asia.  

Paper mill to close – Closer to home and 116 jobs are set to be axed after DS Smith Paper announced it plans to close its historic Hollins’ mill. (Lancashire Telegraph).

Huhne on tape – And then back to Westminster and a tape held by the Sunday Times on which energy secretary Huhne is supposed to talk about his speeding points can be seized by the police a judge at Chelmsford Crown Court has ruled (Sun p12, Mail p26, Guardian p10, Telegraph p7).

Pritchard under pressure – And according to the Mail (p20) rebel Tory MP Mark Pritchard who is pushing through a bill banning the use of animals in circuses has been threatened with a ‘good hiding’ by another Tory MP embroiling Cameron in another bullying row.

Cameron’s chair found dead – The body of Christopher Shale, chair of the Conservative Association in Cameron’s constituency, was found in the VIP area of the Glastonbury festival. He had hit the headlines earlier that day over a leaked memo in the Mail on Sunday which said there was no reason to join the Tories as they “come over as voracious, crass, always on the take” (Mirror p2, Sun p1, Express p4/5, Mail p1, Times p3, Indie p4, Guardian p1, Telegraph p1, FT p2, Morning Star p3).

Is Ed listening? – And the Morning Star (p3) reports on Ed Miliband addressing the party’s national policy forum over the weekend, while Ed did criticise New Labour, he also blatantly failed to offer support for the coming wave of action over pay and pensions.

Concern for Chavez – And finally the Telegraph (p17) reports left wing president of Venezuela, Hugo Chavez, is reported to be in critical but stable condition in a Cuban hospital following surgery earlier this month.  

Edited by Mik Sabiers

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