News digest 7 April 2011

The NHS leads the digest, is the government looking for a way out from the reforms? One minister thinks everything is fine while there are fears the economy is weakening, the car sector sees mixed returns as sales drop and production slows (due to parts shortages) while in the City bankers stay put while porters look likely to be shown the door, but there are elections just around the corner…

Lansley on the line – The three stooges - Cameron, Clegg and Lansley - got together yesterday to launch a ‘listening exercise’ over reforms of the NHS as the government is looking increasingly shaky on selling its unnecessary reforms. Cameron even hit out at Lansley for “charging ahead” with the reforms without public support. Unite national officer for health Rachael Maskell said: "Quite simply, this bill cannot be saved. In the weeks to come, all sorts of fudges will be proposed, but if the government is truly listening it will understand that they only way forward is to ditch this bill and start again." The odds on Lansley losing his place in the next cabinet reshuffle are shortening as you read this… (Mirror p6, Sun p6, Express p4, Mail p2, Times p18, Indie p8, Guardian p2, Telegraph p10, FT p2, Morning Star p4, Unite release)

Job done? – Cabinet office minister Oliver Letwin – who last week reportedly said that ‘poor’ families should not take overseas holidays – now argues that the government’s reforms are going so well it won’t need to do anything in two years time. Hmm, no mention of the stalled economy, or the U-turn on health reforms, the EMA, tuition fees and all the jobs and services soon to be axed, well if the plans were to break what made Britain great it seems to be working (Mirror p11, Telegraph p7).

Economy weak – The National Institute for Economic and Social Research said the British economy remains weak with the stronger growth in the first quarter of this year down to the poor end to 2010, the problem now is manufacturing is weakening and consumer spending will be hit by rising taxes and frozen or falling incomes (Times p41, Indie p34, Guardian p28, Telegraph b1, FT p4).

Red tape revolution – Cameron and business secretary Vince Cable will ask the public to help rip up thousands of rules and regulations. A website is being launched displaying some 21,000 regulations which will lapse if they cannot be justified, the government has asked ministers to justify regulations in their area, with the government so out of touch how much confidence do you have in that, exactly, nil (Mail p5, Telegraph b2).

M&S reports rise – High street retailer reports a rise in sales of 2.3 per cent for the last quarter but expects tougher times ahead. Some of the papers note that M&S customers are not the ‘squeezed middle’ meaning the reality on the high street is likely to get much worse (Sun p45, Express p71, Mail p65, Times p37, Indie p30, Guardian p29, Telegraph b1, FT p17).

Car sales slip –SMMT reports that car sales fell by 7.9 per cent last month in comparison to the same time last year, although the market benefited from the scrappage scheme this time last year as the then Labour government took action to drive demand (Mirror p57, Sun p23, Times p39, Indie p30)

Honda on hold – The Japanese earthquake has forced Honda to temporarily halve production at its Swindon car plant, but staff won’t lose out and will continue to receive full pay thanks to a deal negotiated by Unite. (Mirror p57, Sun p30, Mail p18, Times p38, Indie p29, Telegraph b3, FT p45, Morning Star p3)

Chrysler cuts overtime – Planned overtime cancelled at company’s US plants as parts shortfall due to earthquake continues (FT p23).

Rover – Good news for Rover as it plans to hire 1,500 more workers on top of 1,000 engineers as it ramps up UK production, Range Rover sales are up a whopping 32 per cent (Mirror p57, Express p71).

Rolls-Royce pursuing Tognum – German engineering firm still in company’s sights with offer of €24 a share set at 30 per cent above current price (Express p74, Mail p66, Indie p35).

Staying put in the City – And the Mail (p65) reports that bankers are staying with their current employers as confusion over bonuses means they fear they will lose out if they move…

Porters’ livelihoods lost – But elsewhere in the City the porters from Billingsgate fish market looks set to have livelihoods taken away according to a piece by Jon Cruddas and Maurice Glasman in today’s Guardian (p33) which says the porters’ licences will likely be taken away today leaving the bankers, property developers and financiers as the only ones to benefit from ancient rights and privileges. Unite has organised a demonstration outside today’s meeting (Unite release).

easyJet up again – From the City to the skies and March passenger numbers for the low cost airline are up 11.9 per cent to 3.96 million (Express p71, Mail p66).

MP blasted over BA – And the Telegraph (b1) reports that the former BA pension trustee that stood down over the shift to uprating by CPI not RPI has blasted his local MP, home secretary Theresa May, after she said the move was ‘unfortunate’ but ‘necessary’. It is worth noting that there are quite a few BA workers in her Maidenhead constituency...

Election time – And the FT (p3) and Morning Star (p2) both trail the coming elections which are just a month away. The Lib Dems are expected to contest fewer seats that in 2007, and probably lose a whole lot more, but deny that its activist base has slumped since getting into bed with the Tories…

Clegg has feelings – And finally the deputy prime minister opens his heart in an interview in the New Statesman saying he regularly cries to music and his children wonder why students are being hard on him saying: “I’m not a human punch bag – I’ve got feelings.” Perhaps people would care more if he had principles… (Mirror p6, Sun p4, Mail p17, Times p17, Indie p90, Guardian p2, Telegraph p1)

Edited by Mik Sabiers

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