News digest 28 July 2011
It’s a mixed news day with no single story
dominating the headlines. The digest starts on foreign affairs,
moves to political holidays, operations and more pressure for Huhne
and then the high street, British gas is fined, Santander prepares
for compensation claims, the risk of recession rises, the Hilton
agenda is revealed, justice minister Jonathan Djanogly gets
embroiled in hackgate while Osborne is in deep water…
Norway mourns – Prime
minister Jens Stoltenberg vows Norway would become “a
more open, tolerant society” after the attacks on 22
July (Mirror p6-7, Sun p6-7, Express p32-33, Mail p12, Times p13-15, Indie p32-33, Guardian p17, Telegraph p14, FT p4, Morning Star p7).
Arab spring unwinds? – And
events across the Middle East move back into the headlines after
foreign secretary William Hague talks of his fears for Egypt and
expels the remaining Libyan diplomats in London as the assault on
Tripoli continues with no end in sight (Mirror p10-11, Express p2, Mail p10, Times p1/6-10, Indie p8, Guardian p1/8-9, Telegraph p16, Morning Star p6).
David unwinds – And the prime
minister is off to Italy this weekend to stay in at a £10,000 a
week bolthole in the Tuscan countryside, but in a nod to straitened
times he will fly out on a budget airline (Mirror p2, Sun p4, Express p31, Mail p11, Times p17, Telegraph p3).
Ed recuperates – Leader of
the opposition Ed Miliband is recovering after having his operation
on his nose to correct a deviated septum which left him open to
sleep apnoea. His spokesperson said Ed still sounds the same, but
no word’s been heard in public yet, he’s off to Devon for his
holidays so see if he comes back with a Devon twang… (Mirror p4, Sun p4, Express p4, Mail p32, Times p17, Indie p11, Guardian p1, Telegraph p4).
Huhne sweats – Could a mini
reshuffle be on the cards? Police handed prosecutors a file on
energy secretary Chris Huhne over claims he got his wife to take
his speeding points (Mirror
p4, Sun p10, Mail p24, Indie p2, Guardian p12, Telegraph p4, FT p2).
Lansley let off after Alexander’s
arbitrary announcement – Even though negotiations on
public sector pensions are ongoing chief secretary to the treasury
Danny Alexander announces higher pension contributions for some
public service employees from April 2012, no sign of health
secretary Andrew Lansley who argued such moves would be
counterproductive (Sun p2,
Telegraph p1, Unite
release).
MPs vanish – Not for the
holidays but long term as plans to shrink the number of
constituencies by 50 seats will be outlined in the first two weeks
of September according to the review being conducted by the
boundary commissions of England and Wales. Just 25 seats will be
undisturbed meaning a lot of MPs may be focused on saving their
seats not promoting their policies (Times p5, Guardian p13, FT p2).
Steelworkers needed – Better
news in the north as mothballed Teesside Cast Products in Redcar is
to reopen. The site will start recruiting next month, the new owner
is looking for 1,000 workers and many of those previously laid off
are expected to apply (Mirror p27, Sun p53, Morning Star p2).
Manufacturing jobs set to be
cut – The Indie (p40) says employers in
manufacturing are looking to cut jobs over the next three months
according to the latest CBI industrial trends poll, one of the
gloomiest in recent years. Manufacturing output declined by 0.3 per
cent in the last quarter.
Train trouble – Speaking of
job cuts and the Express
(p5) says the National Audit Office is to look into the awarding of
the Thameslink train deal while the Morning Star (p5) follows
up on the response to the parliamentary answer from transport
minister Theresa Villiers over the decision not to back
Bombardier.
Sales slump sees staff sacked
– Poor high street sales saw more than 15,000 shop workers lose
their jobs last month and a quarter of high street chains polled by
the British retail Consortium says they are preparing to axe more
jobs (Mirror p23, Guardian p26).
British Gas fined – Country’s
biggest energy firm with 13 million customers has been fined a
record £2.5 million for mishandling customer complaints as the
company prepares to hit customers with an 18 per cent rise in gas
prices and 11 per cent in electricity (Mirror p8, Sun p2, Express p2, Mail p19, Times p18, Indie p42, Guardian p11, Telegraph b3, Morning Star p3)
Costly credit – And more
evidence of pressurised consumers as profits at Britain’s dearest
credit card firm – Vanquis Bank – have almost doubled. The bank -
which charges up to 60 per cent interest – has seen a rush of
customers as other banks withdraw credit (Mirror p56).
Lloyds Express? – The
entrepreneur known for building Pizza Express into a national chain
– Hugh Osmond – emerged as a third surprise bidder for the 632
branches being sold by Lloyds. He plans a simple ‘back to basics’
bank (Express p51, Mail p69, Times p44, Indie p42, Guardian p26, Telegraph b3, FT p17).
RBS notice issued – And the
US Federal Reserve has ordered the Royal bank of Scotland group to
improve controls to prevent money laundering at its US operations
giving the bank 60 days to outline planned improvements (Mail p66, Indie p40).
Santander sets aside £500
million – Bank sets up fund to cover the expected costs of
paying compensation for misselling payment protection insurance,
result is expected to delay planned float as profits will be down a
fifth (Mirror p56, Sun p53, Express p51, Mail p66, Times p44, Indie p42, Guardian p26, Telegraph b3, FT p19).
Barclays funding schools and
hospitals – The Times (p39) reports that
Barclays bank has plans to set aside £500 million infrastructure
fund designed to invest in projects in cooperation with the
government. The bank will seed the fund with £200 million initially
but will focus on using debts to fund projects.
US debt deal delays – Still
no agreement on extending the US government’s overdraft, although
signs of concerns on both sides could see a solution otherwise
expect a run on the markets, a vote on house speaker John Boehner’s
deficit reduction plan is expected to be held later today (Times p39, Indie p36, Guardian p24-25, Telegraph b1, FT p6, Morning Star p7).
Risk of recession rises –
Bank of England Monetary Policy Committee member David Miles sounds
a cautious note over the recovery in the Times (p46) and Telegraph (b2), while the
Indie (p17) reports on
a ComRes poll of MPs which shows they are jittery over the
prospects for economic growth, unemployment and inflation in the
next year. Only 37 per cent expect growth to pick up in the next
year and many backbench MPs are calling for the government to do
more to stimulate growth…
Cable cuts – Business
secretary Vince Cable tries to do his bit for the government’s
growth strategy by announcing a number of cuts to rules in the
retail sector. He announced 130 out of 257 regulations will be
scrapped. Some commentators highlight that he is getting rid of
rules that were outdated such as the trading with the enemy
regulations stopping exports to the USSR, but in reality it is just
a soft start before the government goes for health and safety and
other rights at work (Sun
p2, Mail p2, Times p39, Indie p17, Guardian p26, Telegraph b4, FT p3).
Hilton agenda – The Guardian (p6) and FT (p1) delve into the plans of Cameron’s
strategy director Steve Hilton. Among his ideas to support growth
in the economy include breaking the law, abolishing jobcentres,
suspending consumer rights and scrapping maternity leave, so much
for compassionate Conservatism.
Attacks on women up – The
recession has been blamed for a rise in attacks on women as 120,000
more cases of domestic abuse were reported in the last year
(Mirror p9).
Operations rationed – The
Indie (p1) reports that
NHS operations are increasingly rationed to save money, cataracts,
hip, knee and tonsil operations are being put on hold as part of
the drive to reduce the costs of the NHS by £20 billion. At the
same time the Guardian
(p6) reports that the cost of the restructuring of the NHS is
rising by an estimated £1 million a day. The latest estimate shows
that the cost of transition is now £1.49 billion, six months ago it
was £160 million lower.
Advice service rushed – And
the Morning Star
(p3) reports that front line advisers at NHS direct yesterday
voiced concerns over call targets as a 90 day consultation changing
the way the service is run starts. Staff fear that they will be
asked to spend less time on calls and work longer hours as terms
are changed to help roll out the new NHS 111 phone advice service
by April 2013.
Morgan denies hacking
accusations – Talking of phones and hackgate continues
with former Mirror editor Piers Morgan arguing his enemies are
trying to smear him while concerns rise over government minister’s
private briefings with the Murdochs (Times p4, Indie p1, Guardian p10, Telegraph p1, FT p15).
Justice minister reported over
blagging – The Telegraph (p1) reports junior
justice minister Jonathan Djanogly has been reported to the
Information Commissioner’s Office over claims that he paid
detectives to covertly monitor his constituents, he denies any
wrongdoing.
Osborne in deep water – And
finally bad news for the chancellor George Osborne as a full scale
inquiry into a leak at Downing Street was launched yesterday with
George Osborne as the prime suspect, apparently a pipe in his flat
above 10 Downing Street had burst spilling water down the walls of
the Pillared Room. Initial estimates say the damage is superficial,
much like Osborne then…
Edited by Mik Sabiers
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