News digest 30 September 2011
The digest opens with the shift from the
Labour to the Tory party conference while BAE workers demand the
government backs manufacturing as the defence secretary blames the
top brass. There could be a rethink on child benefit cuts and
there’s extra money for rubbish, the speed limit could also go up
as used car sales soar, but Thomas Cook grounds planes, Santander
issues a profit warning while the treasury courts pension funds as
workers gear up for strike action, and while Germany backs the
euro, EU benefit tourists are attacked but at least the pint is
here to stay…
Last day of Labour conference
– The Liverpool conference draws to end, Labour leader Ed Miliband
had a wobble when trying to remember the candidates for leader of
the Scottish Labour party, but the main talk was of a more united
party and with speculation over a shadow cabinet reshuffle with a
range of possible promotions for new members including Rachel
Reeves, Stella Creasy, Liz Kendall and Emma Reynolds. The Guardian (p21) has a piece on the
union’s reaction to saying that Unite general secretary Len
McCluskey is ‘relaxed’ about Miliband’s views and reports that the
big three (Unite, Unison and the GMB) were all supportive of the
leader’s speech and the conference generally, a good week for
Labour overall (Mirror p6,
Sun p2, Express p2, Mail p10, Times p18-19, Indie p10-11, Guardian p20-21, Telegraph p12, FT p2, Morning Star p2).
Cameron’s credibility
challenged – Ahead of the Tory party conference which
starts in Manchester this weekend the Guardian (p24) says that the Tory
natives are getting restless. The Mirror (p10) outlines Boris
Johnson’s thoughts on Cameron which are of the four lettered
variation while the Sun (p2)
has a shock poll on what people think about the prime minister;
voters feel let down over immigration, the economy, pensions and
health. 61 per cent say Cameron is not tough enough on banks and
bonuses. Then again if you don’t have principles its hard to keep
promises. The FT (p1) expects the
issue of Europe to loom large over the week, while unions will
‘welcome’ the Tories to Manchester with an message for an
alternative. Unite general secretary Len McCluskey said:
"The deeper the cuts, the more harm this government
does to our economy. Our NHS, our welfare state and our access to
justice and education are all under assault … people are now
questioning this government's competence, and getting angry about
the choices it is making. This protest is only the beginning. We
will keep doing so until they stop this economic kamikaze
mission.” (Unite
release)
BAE workers bite back over
sack – The Mirror
(p27) and Morning Star (p1) report
on the fight back by BAE workers who yesterday told the government
to put its money where its mouth is and back British manufacturing.
An emergency motion at the Labour party conference moved by Unite
general secretary Len McCluskey said the economy will never emerge
from this crisis without a revived manufacturing sector:
“BAE Systems, Bombardier – these are companies that
should be leading the hi-tech future but are being sacrificed by a
government obsesses with austerity.”
Fox: Cuts are military’s
fault – As more than 1,000 Royal Navy sailors are due to
hear they have lost their jobs today the Guardian (p1) splashes on defence
secretary Liam Fox who has laid the blame for the depth of cuts in
the military budget at the foot of defence chiefs and their
ballooning spending saying that hampered his attempts to protect
the defence budget. Nothing to do with his poor negotiation skills
in the star chamber when the austerity cuts were being agreed in
Whitehall then …
Rethink on child benefit cuts
– The Times (p1) also
says that controversial plans to cut child benefit from higher
earners may be watered down amid concerns of a massive backlash
from families which could lose up to £1,000 a year and also worries
that women are increasingly being turned off by the Tories.
Government bung for bins –
Communities secretary Eric Pickles has found £250 million to help
councils ensure they either keep or restart weekly bin collections.
More than half of councils have switched to fortnightly collections
but provided they commit to keep weekly collections for five years
they will be paid to cover the cost of weekly collections (Sun p18, Express p7, Mail p1, Guardian p22, Telegraph p1).
Minister’s diary missing – A
Scotland Yard officer was reprimanded after a diary detailing the
engagements of the home secretary Theresa May was found at a
concert hall in Glasgow. The diary was found at an awards ceremony
she had been attending (Sun p31, Times p11, Guardian p4).
Speed limit to rise –
Government set to consider raising speed limit to 80mph, although
you might have though he’d be content in fact energy secretary
Chris Huhne has raised worries that it may harm the environment, no
practice what you preach then (Mirror p10, Sun p6, Express p5, Mail p12, Times p1/5, Indie p1/6, Guardian p10, Telegraph p1, FT p2).
Sales of old bangers soar –
Some 6.6 million used cars were sold last year, up 270,000 on the
previous year (Mirror
p58, Times p52).
First slumps – Bus company
sees drop in passenger numbers as the slumping economy puts the
brakes on growth, revenues from its bus division are up just 1.2
per cent while its rail business advanced by 9 per cent (Sun p53, Express p66, Mail p88, Times p54, FT p22).
Thomas Cook grounds planes –
Troubled travel firm Thomas Cook is to ground six planes and close
24 travel agencies as it tries to reduce costs, at least 350 jobs
are to go and the company will also not pay a year-end dividend for
the foreseeable future (Mirror p58, Sun p52, Express p67, Mail p89, Times p57, Indie p38, Guardian p35, Telegraph b3, FT p20).
Ryanair challenges Aer Lingus and
Stelios – The Express (p66) and FT (20) report that Ryanair chief Michael
O’Leary continues his battle with Aer Lingus calling on the airline
to pay a special dividend (he holds 30 per cent of the carrier’s
shares) and at the same time also questioned easyJet founder
Stelios’ plans to try and set up a new budget airline named
Fastjet.
Tesco cuts challenged – The
Mirror (p58) reports the
£500 million cuts by the high street giant have been challenged
after comparisons with promotional prices in the last few weeks
show prices have actually risen.
Santander profit
warning – Bank issues severe profit warning for UK
business over rising costs and difficult market conditions
(Telegraph b3, FT p19).
Treasury courts pensions
funds – The FT (p4)
reports that the UK Treasury has entered talks with pension funds
to help assist in funding the £200 billion worth of infrastructure
projects that the UK needs in the next decade. ‘Stressed’ banks
have generally pulled out bankrolling the big infrastructure
projects due to their long term nature and will only lend if they
can charge much higher interest rates.
Prospect and CSP join pension
protest – Still on pensions and the Indie (p2) and FT (p3) report that as headteachers began
voting for the first time ever on possible strike action, two more
unions – Prospect and the Chartered Society of Physiotherapists –
have now joined in and will also be balloting for strike action
over the government’s proposed changes. Looks like there’ll be a
lot of workers taking action on 30 November.
Bail-out package boosted -
And talking of taking action Germany’s parliament ratified the
proposed bail-out plan for the eurozone by a large majority
yesterday giving Europe some breathing space ahead although over in
Athens a plan to cut 30,000 public sector jobs within two months
ran into opposition, but showed the real impact of leaving the
markets to dictate fiscal policy rather than demonstrating stronger
political leadership (Mirror
p32, Sun p52, Express p6, Mail p2/87, Times p37, Indie p4-5, Guardian p36-37, Telegraph b1, FT p1/6-7, Morning Star p7).
Benefit tourism attacked –
But the government soon resorted to its default Europe attitude
when it attacked plans that would allow unemployed European claim
benefits in Britain. The change could cost the exchequer £2.5
billion but is likely to be challenged at the ECJ (Mirror p4, Sun p14, Express p4, Mail p4).
Mine’s a pint – And as Friday
lunchtime arrives for many the Mirror (p18) and Mail (p33) report that the UK has
won a last ditch attempt to keep imperial measurements, so not only
will you still be able to buy a dozen eggs and half a pound of veg,
but the traditional pint will remain on sale, and on that note…
Edited by Mik Sabiers
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