Call for Miliband to condemn Unite

31 October 2013 Last updated at 08:03 ET

The Conservative Party chairman Grant Shapps has called on Labour leader Ed Miliband to condemn tactics used by the Unite union during the Grangemouth dispute.

It follows the claims of an Ineos manager who said a "mob" was sent by Unite to his home to intimidate him.

Unite said "leverage tactics" were both "legal and legitimate" during an industrial dispute.

It said bad employers should have "nowhere to hide".

But in his letter to Mr Miliband, Mr Shapps described the strategy as "thuggish".

He urged Mr Miliband to condemn the approach, to refuse money from Unite until those responsible were disciplined, and again called on Labour to investigate allegations of vote rigging in the Falkirk constituency.

He claimed Unite, which is the Labour Party's largest donor, sent a group called the Leverage Team to "threaten senior Ineos executives at home, and to seriously intimidate their families".

'Consistent strategy'

He said it was "clear from Unite's website" that the tactics were "not an isolated incident" but a "consistent strategy that they have used across the country".

Mr Shapps wrote: "Unite claim that this kind of behaviour is both 'legal and legitimate'. I'm sure you'll agree with me that it falls way short of decency.

"Last year (Unite leader) Len McCluskey praised this as 'a new, sophisticated, smart way to do business'."

He continued: "The Labour Party, and the Scottish Labour Party, backed Unite and their actions throughout the Grangemouth dispute. You must now accept the consequences of this disastrous misjudgement."

Mr Shapps said there were three questions that Mr Miliband, as leader of the Labour Party, must now answer:

• Will you actively condemn this thuggish leverage strategy, and demand that Unite abandon this unacceptable approach?
• Will you now refuse to accept any more money from Unite until those responsible for threatening innocent families are disciplined?
• Will you open a new inquiry to investigate properly the allegations of selection rigging in Falkirk, and accept that Unite attempted to subvert Labour's internal inquiry?

Mr Shapps said if Mr Miliband failed to answer 'yes' to those questions it would "send out the message to the British people that you are too weak to stand up to the union bosses that bankroll your party."

Continue reading the main story

Leverage is about the democratic right of the Union to ensure that immoral employers cannot hide behind veils of secrecy "

End Quote Unite website

On Unite's website, the union describes leverage as "a process whereby the union commits resources and time to making all interested parties aware of the treatment received by Unite members at the hands of an employer.

"Those interested parties may include shareholders of the employer; competitors of the employer; communities within which the employer operates; customers of the employer and the market place of the employer.

"We will ask those who object to the behaviour of an immoral employer to conduct in lawful protest against the actions of the employer. Where Unite members are involved in such lawful protest the union will use its best endeavours to ensure such members are aware of their rights of lawful protest."

The website said leverage was about the "democratic right of the union to ensure that immoral employers cannot hide behind veils of secrecy and must conduct their business in an open and transparent fashion and accept the consequences of the moral judgements that may follow".

'Legal and legitimate'

Unite claimed the tactic had secured "landmark victories" in the past against employers such as Honda, London Buses and Mayr Melnhof Packaging.

A spokesman for the union defended its targeting of Ineos managers during the Grangemouth dispute.

The spokesman added: "All the activities referred to are both legal and legitimate in the context of an industrial dispute. Bad employers should have nowhere to hide.

"Of course all campaigning in the context of the Ineos dispute has now ended with the agreement made with the company.

"However, for the workers and their union to be described as 'bullies' is beyond satire."

Unite also said Mr Shapps' letter showed how "our basic liberties - including the right to protest - are not safe with the Tories" and accused him of "standing up for the powerful against the weak".

On Wednesday, Prime Minister David Cameron blamed a "rogue" union official for the Grangemouth dispute, which almost led to the closure of the petrochemical plant at the site, with the loss of 800 jobs.

Speaking in the Commons, the prime minister said the dispute, which was prompted by the suspension of Unite official Stephen Deans over allegations he was involved in attempting to rig the selection of a Labour candidate in Falkirk, had nearly brought the industry "to its knees".

Mr Cameron called on Labour to hold an inquiry.

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Warning on 'too many' A&E admissions

30 October 2013 Last updated at 20:02 ET By Adam Brimelow Health Correspondent, BBC News

There are too many emergency admissions to hospitals in England, according to the government spending watchdog.

The National Audit Office says there were 5.3m such admissions in the last financial year - a 47% rise in 15 years - and many of these patients stayed in hospital for longer than necessary.

It says it is "critical" for the NHS to do better in dealing with these issues to cope with rising winter pressures.

NHS England says "big decisions" are needed to develop alternatives.

'Default route'

The NAO report looks at how well emergency admissions to hospital are managed. These are admissions that are not planned, and happen at short notice because of the perceived clinical need.

The report points out that, although admissions per head of population are lower in England than in Scotland and Wales, the rate of increase over the past decade has been much higher.

Continue reading the main story

Improving the flow of patients will be critical to the NHS's ability to cope with future winter pressures on urgent and emergency care services"

End Quote National Audit Office

A big factor is the growing proportion of patients attending major A&E departments who are admitted. Ten years ago it was fewer than one in five. Now it is more than one in four.

But the NAO estimates that at least a fifth of patients admitted as emergencies could be managed outside hospital.

It concludes that going to A&E and then being admitted has become the "default route" for urgent and emergency care.

It also highlights growing delays in discharging patients once they are fit to leave hospital.

It says these problems are a "major concern", partly because of cost to the NHS, but also because of the disruption they bring to hospitals and to patients.

The report argues that all parts of the health system have a role in ensuring patients are treated in the most appropriate setting.

It says primary, community and social care can manage long-term conditions better. It suggests ambulance services can take fewer patients to A&E, and it calls on hospitals to ensure senior doctors are on hand to help with early diagnosis and treatment.

There is added urgency in these findings as the health service prepares for the increased pressures of winter.

'Full to bursting'

The director for acute episodes of care for NHS England, Prof Keith Willett, said the increase in emergency admissions was a growing concern.

"As the report recommends, we must collectively take substantial steps to ensure patients receive the best possible care, preferably out of hospital but also when necessary in hospital," he said.

"To achieve that it is clear the way we provide health and social care must change so our hospitals, GP and community services have the space to do that."

In a statement the College of Emergency Medicine welcomed the NAO report.

"In particular the recognition that best practice includes consultant supervision of patient care within emergency departments echoes the college campaign to ensure every department has a minimum of 10 consultants."

Health Secretary Jeremy Hunt said: "We know demand for A&E services is increasing as the population ages, with more people needing more healthcare.

"That's why we are tackling both the short and long-term problems: transforming out of hospital care by reversing the disastrous changes to the 2004 GP contract, joining up the health and social care system, and backing A&Es with £250 million to prepare for this winter.

"Winter is always tough, but the NHS has never been more prepared, and in the face of unprecedented demand A&E performance has never been stronger."

For Labour, shadow health secretary Andy Burnham said the NHS was on the brink of a dangerous winter crisis.

"This report is right to warn about the increasing numbers of elderly patients being admitted to England's A&Es," Mr Burnham said.

"We have long warned ministers that severe cuts to council care services have left hospitals unable to discharge patients, and A&Es full to bursting."

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Move for 24-hour energy switching

31 October 2013 Last updated at 05:31 ET

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Ed Davey delivers his energy statement in the Commons

Households could be able to switch energy suppliers within 24 hours under proposals being announced by Energy Secretary Ed Davey.

He said it was "completely ludicrous" that switching suppliers could take more than five weeks.

He is setting out details of the plan in the Commons, as part of a review of energy competition and prices.

Labour said the review, which reports next spring, would do nothing to help with soaring winter fuel bills.

The government is under pressure to help people facing higher gas and electricity bills, with Labour calling for a price freeze.

'Massive change'

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The coalition's answer has been to encourage households to switch suppliers - but Mr Davey has accused the "big six" energy companies of anti-competitive practices by "trying to make it more difficult" to do that.

He will promise in his Commons statement to put pressure on those six firms to speed up the switching process.

"My ambition is to try and get it down to 24 hours," he told BBC Breakfast.

"We've got obviously work with the industry to deliver that but I've already talked to one of the leading independent suppliers, First Utility, who believe they can get it down to 24 hours.

"But we've got to make sure the other players are in there. So I am meeting, next month, three of the big six who have come forward, who are willing to work with me.

"And I really think we can make a massive change here and not before time. The big six basically have been trying to prevent people from switching, make it more difficult for them to switch. That is not acceptable."

Smaller energy companies have accused the big six of ripping off bill-payers, particularly those who remain loyal to one firm.

Mr Davey said: "Some of them clearly are making too much on some of their consumers because that's why they can make such big savings if they switch."

Mr Davey is currently delivering the annual energy statement in the Commons.

'Transparency'

The review, to be led by the regulator Ofgem, together with the Office of Fair Trading (OFT) and the Competition and Markets Authority (CMA), is expected to report annually on the state of the energy market.

Continue reading the main story

Advice from the Energy Saving Trust:

• Insulate your hot water cylinder. Could save up to £60 a year
• Get an eco-shower head. Some water companies are giving them away free; could save you up to £75 a year
• Swap halogen spot lights with new LED bulbs. Replacing all traditional bulbs with energy saving versions can save £60 a year

Make more energy savings

It will examine the barriers encountered by new suppliers entering the market, scrutinise prices and profitability, and evaluate how easy customers are finding it to switch suppliers.

The review is expected to be complete by spring 2014 and would help to bring "much more transparency" to the sector, according to Mr Davey.

Four of the UK's six main energy companies have recently announced price rises, with an average increase of 9.1%, and the other two are expected to follow suit soon.

The firms say the rises are largely due to increasing wholesale prices, but Ofgem says these have risen by only 1.7% in the past year.

Wholesale costs - the price at which energy companies buy the gas and electricity they provide to customers - make up just under half of the energy bills paid by most customers.

Energy firms dispute Ofgem's figures and say wholesale prices have risen by 4-8% in the past 12 months.

'Stealth poll tax'

Appearing before the Energy and Climate Change Committee of MPs this week, some of the big energy companies blamed the government's social and green policies for driving up prices.

Tony Cocker, chief executive of E.On, called such costs a "stealth poll tax" and said they should be paid through the main tax system, not as part of energy bills.

Mr Cocker also told MPs there should be "a very thorough Competition Commission inquiry" into the way the UK energy market operates.

But Centrica, parent company of British Gas, later said such an inquiry was "unnecessary", adding: "There have been numerous inquiries into the energy market and none have found any evidence of anti-competitive behaviour."

At Prime Minister's Questions in the House of Commons on Wednesday, Mr Cameron clashed with Labour leader Ed Miliband on the issue of energy bills for the fourth week in a row.

The prime minister said the energy market needed "more competition and lower levies", but Mr Miliband called him "the unofficial spokesman for the energy companies" and said customers needed to "switch the prime minister".

Mr Miliband, who has pledged a 20-month energy bill freeze if Labour wins the 2015 general election, dismissed the government's review.

"How will a review that reports next summer help people to pay their bills this winter?" he asked the PM.

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Dangerous level crossings to close

31 October 2013 Last updated at 06:51 ET

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Many level crossings will be closed or improved to make them more safe in the next round of spending

Around 500 level crossings will be closed and safety improved at hundreds more after rail regulators increased funding to Network Rail.

In its final draft of 2014-2019 rail funding, the Office of Rail Regulation (ORR) increased funding for level crossings by £32m to a total of £109m.

Nine people died on level crossings last year, more than double the year before.

Network Rail's overall funding was cut by £1.7bn by the ORR.

The extra funding for level crossings comes a short time after the House of Commons Transport Committee heard about concerns over level crossing safety from the parents of Olivia Bazlinton, 14, who, with her friend Charlotte Thompson, was killed at a crossing at Elsenham in Essex in December 2005.

Savings of 20%

Network Rail was fined £1m over the girls' deaths in 2012 after admitting health and safety breaches associated with the level crossing.

Olivia's mother Tina Hughes told BBC Breakfast the changes being made to level crossings would save lives.

She said "many of the crossings in this country have got little protection on them" adding that such crossings represented the most danger to the public.

Network Rail said it had already closed 700 level crossings in the last five years and the extra funding would help it continue its work.

The safety measures being introduced at crossings that are not being closed include gates being installed, footbridges introduced, low-cost barriers and warning lights.

ORR chief executive Richard Price said Network Rail believed the measures would enable it to reduce the risk at level crossings by 25% compared to now.

"Closing 500 level crossings is a pretty big deal in terms of the railway overall," he said.

In the ORR's final determination on funding for railways in England, Scotland and Wales, Network Rail will receive more than £21bn over the next five years to fund the day-to-day running of the network.

The savings require Network Rail to bring down the cost of running the network by around 20%.

Many of the targets were included in the ORR's draft determination in June.

Targets and spending announced on Thursday included:

• A 90% punctuality target for all regional, London, south-east England and Scottish services.
• On long-distance routes, East Coast, Virgin Trains and First Great Western must run 88% of trains on time.
• A halving of trains more than 30 minutes late or cancelled on the East Coast and West Coast main lines.
• £250m to help improve the safety of track workers.
• £571m to upgrade structures such as bridges and tunnels.
• £12bn worth of improvements to Britain's rail network to ease congestion and improve performance on the railways.
• Rail users and train operators given a bigger role to shape the specification and delivery of approved enhancements.

Network Rail has until 7 February 2014 to respond in detail and accept or reject the ORR's determination.

'Critical challenge'

The company's chief executive, Sir David Higgins, said the next five years would be a "critical challenge" for the railway.

"A challenge to continue to respond to rising passenger demand and our need to grow and expand the network while at the same time juggling the ever harder challenges of improving performance, reducing cost and delivering huge investment projects from which substantial social and economic benefits flow."

He added that Network Rail would use the next few months to seek clarification and work through the detail of the determination.

Anthony Smith, chief executive of rail customer watchdog Passenger Focus, said: "Passengers want safe, reliable train services and more and longer trains to cope with rising passenger numbers.

"This large investment is welcome, and these industry targets should help underpin NR's plans. However, passengers will want to see these revised punctuality targets being met.

He said the organisation was "pleased to see a renewed commitment to transparency".

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Cameras allowed in Court of Appeal

31 October 2013 Last updated at 07:36 ET

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The moment broadcasting began from the Court of Appeal

TV cameras have been allowed to record proceedings in one of the highest courts in England and Wales.

Filming is being allowed at the Court of Appeal for the first time, after a partial lifting of the long-standing ban on cameras in court.

Senior judges and major broadcasters welcomed the move, which the head of BBC News said was a "landmark moment".

Cameras are not yet allowed in crown courts and magistrates' courts.

Live broadcasting is possible in five courtrooms at the Royal Courts of Justice in London after years of campaigning by the BBC, ITN, Press Association and Sky News. Recordings can be made in 13 others.

Continue reading the main story

Analysis

There has always been something of an "open justice" disconnect between the fact that any member of the public can go and sit in a court but the court's proceedings could not be seen by the wider public watching on television.

However, the cause of cameras in court was not helped by high-profile televised trials abroad, like the sometimes unedifying one of OJ Simpson in America in 1994. It sparked fears of lawyers, judges and even witnesses "showboating" for the cameras, and television coverage focusing on the salacious details of a case at the expense of the evidence as a whole.

The judiciary here has always been particularly concerned that nothing was done that might discourage victims, witnesses and jurors - those vital "cogs" in the justice system that ensure it functions - from taking part in cases. That is why the experiment is being limited initially to the Court of Appeal and is subject to strict limitations.

It marks both an historic change and a cautious first step. But England and Wales remains many years away from a full "OJ Simpson-style" televised criminal trial.

Filming has been banned in courts - with the exception of the UK Supreme Court - since the Criminal Justice Act 1925.

Lawyers' arguments and judges' comments will be allowed to be shown - but defendants, witnesses and victims will not. Only one courtroom will be covered a day.

The most senior judge in England and Wales, Lord Chief Justice Lord Thomas, said: "My fellow judges and I welcome the start of broadcasting from the Court of Appeal.

"The Court of Appeal has, of course, been open to the public and to journalists for a long time.

"The change in the law which is now coming into force will permit the recording and broadcasting of the proceedings of the Court of Appeal.

"This will help a wider audience to understand and see for themselves how the Court of Appeal goes about its work."

Safeguards, including a time-delay system operated by a specialist video journalist, will be in place to protect normal court restrictions - such as contempt of court - and broadcasting regulations.

In cases of appeals against conviction where there could eventually be a re-trial, the footage would only be aired once the case was concluded.

BBC director of news and current affairs James Harding said: "This is a landmark moment for justice and journalism.

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Baroness Helena Kennedy says court highlights will be "like goals in a football match"

"It is a significant step on the way to helping millions of viewers gain a greater understanding of how our judicial system works."

BBC deputy director of news Fran Unsworth added: "We've made our cameras very discreet."

ITN chief executive John Hardie said filming in courts would be "for the benefit of open justice and democracy".

John Ryley, head of Sky News, said: "Seeing justice being done will no longer be restricted to those members of the public who have the opportunity and time to go to court."

Continue reading the main story

"Start Quote

There should be some awe about it and it shouldn't be turned into entertainment for the masses "

End Quote Baroness Helena Kennedy QC Labour peer

Footage can be used for news and current affairs but not in other contexts such as comedy, entertainment or advertising.

Courts minister Shailesh Vara told BBC Radio 4's Today programme it was a "landmark moment" for the justice system.

"We are trying to ensure there is a balance, so the public can see what is happening, and that will be restricted to what the lawyers put forward and what the judge has to say.

"But on the other hand, we want to ensure that people are not intimidated and understand the justice system and are happy to come forward."

However, Labour peer Baroness Helena Kennedy QC said she was worried the development could undermine respect for the judicial system.

She said: "What I'm concerned about is something much more fragile, which is our liberty as citizens in this country that the legal system should be taken seriously.

"There should be some awe about it and it shouldn't be turned into entertainment for the masses and I don't trust the editors."

Barrister Michael Mansfield QC welcomed the move, saying it was long overdue.

"You have to remember justice is supposed to be public. It is public. You can walk in there today. The problem is that doesn't reach a wide enough audience and we're also subject to the editorial delights of various newspapers as to what they want to report," he said.

In Scotland, broadcasters have been able to apply to televise court proceedings since 1992 but this rarely happens.

Scotland's most senior judge, Lord Gill, has announced the policy will be reviewed to take account of changes in technology.

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Syria chemical equipment destroyed

31 October 2013 Last updated at 08:08 ET

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Jerry Smith, OPCW: "We have personally observed all of the destruction activities"

Syria's declared equipment for producing, mixing and filling chemical weapons has been destroyed, the international watchdog says.

This comes a day before the deadline set by the Organisation for the Prohibition of Chemical Weapons (OPCW).

The weapons have been placed under seal, an OPCW spokesman said.

Inspectors were sent to Syria following allegations, denied by the government, that its forces had used chemical weapons in civilian areas.

The inspections were agreed between Russia and the US after Washington threatened to use force in Syria.

Continue reading the main story

Analysis

The achievement of this crucial initial target is an important moment for the chemical weapons destruction effort in Syria.

The inspectors' first task was to move swiftly to prevent the government from producing any more chemical agent and to destroy facilities and equipment used for mixing agents and filling munitions.

Production facilities will be closely monitored to ensure that there are no moves to repair them. The next deadline is mid-November, by which time the OPCW and the Syrians must agree a detailed plan to destroy Syria's chemical weapons stockpile.

All sorts of questions are raised. Where will this destruction be carried out ? Who will provide the necessary equipment and so on?

Western intelligence agencies will be studying Syria's declarations carefully. They will be eager to direct inspectors to additional locations if there are any grounds to believe that Damascus has been less than frank in its disclosures.

Arsenal

Now that the equipment has been put beyond use, Syria has until mid-2014 to destroy the chemical weapons themselves.

Its arsenal is believed to include more than 1,000 tonnes of the nerve gas sarin, the blister agent sulphur mustard and other banned chemicals, stored at dozens of sites.

In a separate development, a large explosion at a Syrian army base has been reported outside the coastal city of Latakia.

Local media say the base was targeted by Israeli forces but this has not been confirmed.

Israel is believed to have targeted the same base in July and is concerned that some weapons in Syria are being moved to Hezbollah militants in neighbouring Lebanon.

OPCW head of field operations Jerry Smith told the BBC that his team had "personally observed all the destruction activities".

"They are not now in a position to conduct any further production or mixing of chemical weapons," he said.

In a statement, the OPCW said its teams had inspected 21 of the 23 chemical weapons sites in Syria.

The other two were too dangerous to visit but the equipment had already been moved to some of the other sites, it said.

Continue reading the main story

Syria's chemical weapons

• Syria believed to possess more than 1,000 tonnes of chemical agents and pre-cursor chemicals, including blister agent, sulphur mustard, and sarin nerve agent; also thought to have produced most potent nerve agent, VX
• US believes Syria's arsenal can be "delivered by aircraft, ballistic missile, and artillery rockets"
• Syria acceded to Chemical Weapons Convention on 14 September; it signed Biological and Toxin Weapons Convention in 1972 but never ratified

Mr Smith said that verifying the destruction of Syria's weapons production capability had been a "particularly challenging job" because it had to be done in the midst of a conflict, with a tight deadline.

The OPCW earlier this month won the Nobel Peace Prize but Mr Smith said his team had been too busy to celebrate because of their work in Syria.

"All stocks of chemical weapons and agents have been placed under seals that are impossible to break," OPCW spokesman Christian Chartier told the AFP news agency.

"These are 1,000 tonnes of chemical agents [which can be used to make weapons] and 290 tonnes of chemical weapons," he said.

The BBC's Jim Muir in Beirut says the OPCW's task is far from finished.

More than 1,000 tonnes of chemical precursors - the raw materials - remain to be removed and destroyed by the middle of next year, which our correspondent says will be a delicate and difficult process.

The first step is for the weapons watchdog and the Syrian government to agree a timetable for the destruction of the chemical weapons stockpile - this should be done within the next two weeks.

The US says more than 1,400 people were killed when government forces used a nerve agent to attack Ghouta on the outskirts of Damascus on 21 August.

Syrian President Bashar al-Assad and his Russian allies have said rebel groups were responsible.

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Shortly after the Ghouta attack, Bridget Kendall looked at how it unfolded, mainly through extremely distressing videos posted online

The OPCW announcement comes as human rights group Amnesty International says that hundreds of Syrian refugees are being turned away at the borders of Jordan and other countries.

Jordan has denied the accusation, saying its border is open to Syrian refugees.

More than 100,000 people have been killed in the fighting that has ravaged Syria for two-and-a-half years, according to the UN.

A further two million people have fled Syria and some 4.5 million have been displaced internally.

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Trial jury told of 'hacking' emails

31 October 2013 Last updated at 08:15 ET

The jury in the phone hacking trial has been told of three emails disclosed by News International which launched the police investigation in 2011.

They were from private investigator Glenn Mulcaire to ex-News of the World head of news Ian Edmondson.

It is alleged they concerned hacking phones linked to Tessa Jowell and David Mills, Lord Frederick Windsor and an adviser to John Prescott.

Eight defendants deny charges including conspiracy to intercept communications.

The first message, on 20 April 2006, referred to MP Tessa Jowell and her husband Mr Mills, at a time when he had been accused of involvement in bribery linked to former Italian leader Silvio Berlusconi.

It said: "Substantial traffic both ways, also looks like she's selling up."

Prosecutor Andrew Edis QC told the jury: "You're going to have to decide in Mr Edmondson's case what you make of that, whether it can possibly mean anything at all other that 'I've been phone-hacking Tessa, and this is what I've found out'."

Another message, from April 27 2006, referred to Lord Frederick Windsor, and contained a reference to "press * and Pin", which prosecutors say was Mulcaire telling Mr Edmondson how to hack a phone.

The third email referred to an adviser to former deputy prime minister Lord Prescott, who was at the centre of a publicity storm because he was accused of having an affair.

The jury has also been told senior figures at the now-defunct newspaper would have been involved in the decision to give Mulcaire a written contract in September 2001.

Mr Edis said that, other than a few "taskings" by the NoTW in 1999, the first dated instruction to Mulcaire was 8 January 2001.

An investigations team was set up by Rebekah Brooks when she became editor, and both Mulcaire and former NoW journalist Greg Miskiw, who has also pleaded guilty to hacking, were part of it.

The jury heard Mulcaire was paid a weekly fee until September 2001 when he moved onto a written contract - worth around £100,000 a year.

"It is if course part of the prosecution case that a contract like that, a big contract, involves the senior management, in this case the editor, the deputy editor and the managing editor, the three defendants whom you have to try for phone hacking in addition to Mr Edmondson - that is Rebekah Brooks, Andrew Coulson and Stuart Kuttner," Mr Edis said.

"It was not hidden from anybody that he was being paid all that money because of course the money has to go through an accounting system, it is budgeted for, it's seen.

"The question is, didn't anybody ever ask, what are we paying this chap for?"

Mr Edis added: "So what was it that he was doing? Well, we know that he was a phone hacker and we know that he was a good one, and we know that he was an accomplished blagger."

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Small energy firms 'escape levies'

30 October 2013 Last updated at 07:47 ET

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The head of one of the UK's biggest energy companies has suggested that smaller providers have an unfair cost advantage.

Tony Cocker, the chief executive of E.On, said small companies were excused from paying some of the environmental and social levies.

Such levies make up between 8% to 9% of the average bill.

The news come amid speculation that the Prime Minister may order a Competition Commission inquiry into the market.

On Tuesday, Mr Cocker told MPs that there should be a full investigation. He and seven other company bosses were called before the Energy and Climate Change Committee to justify recent price rises.

Continue reading the main story

"Start Quote

Once an investigation is launched - and I am told that the prime minister is very close to initiating one - a cloud of expensive uncertainty will descend on the industry"

End Quote

Speaking to the BBC's Today programme, Mr Cocker said: "The small companies are exempt from a number of environmental and social obligations. Not all, but some of them."

Energy firms with less than 250,000 customers do not have to pay the Energy Companies Obligation (ECO), or the Warm Home Discount. Together those account for £58 on an average bill.

Prices

Stephen Fitzpatrick, the managing director of Ovo Energy, claimed that his firm could cut bills for many consumers.

"I can tell you, of the four companies that have raised their prices, we are around £160 cheaper. So that's about 12% to 13% for a customer of average consumption," Mr Fitzpatrick told the BBC.

Ovo raised its prices by 5.8% in April 2013.

So far this month, British Gas, SSE, Scottish Power and Npower have raised prices by an average of 9.1%.

Social and environmental levies
Levy	Use	Cost to customer per year
source: DECC
Energy Companies Obligation (ECO)	Energy-saving measures for low income homes	£47
Warm Home Discount	Rebate to low-income households	£11
Renewables Obligation	Requires companies to buy green energy	£30
European Trading Scheme	Sets cap on emissions	£8
Carbon Price Floor	Tax on use of fossil fuels	£5
Feed in Tariffs	Subsidy for green energy generation	£7
Smart meters and better billing	To cut use of estimated bills	£3

The regulator, Ofgem, estimates that levies add about £107 a year to an average bill, or 8%.

The Department for Energy and Climate Change (DECC) puts the figure at £112, or about 9%.

The Prime Minister has already pledged to consider "rolling back" some of the levies.

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Press in legal bid to stop charter

30 October 2013 Last updated at 05:54 ET

Newspaper and magazine publishers are seeking a last-minute injunction to stop the proposed royal charter on press regulation being approved later.

They will argue at the High Court that the Privy Council failed to consult the industry adequately or to consider its own proposed charter properly.

The Times's Roger Alton said the deal "stitched up" by politicians and lobbyists would be resisted.

The row follows the phone-hacking affair and subsequent Leveson Inquiry.

Newspaper and magazine publishers fear the charter agreed by political parties means the end of a free press - which its supporters deny.

BBC media correspondent David Sillito said the charter proposed by the three main political parties was on the verge of approval after "months of wrangling".

The Press Standards Board of Finance (Pressbof), which raises money from the newspaper industry to fund the current regulator, the Press Complaints Commission, said that process had been unfair and wants a judicial review.

At the High Court, Pressbof will ask two senior judges for permission to seek a judicial review of the Privy Council's decision to reject the press-backed royal charter.

Pressbof claims the application was not dealt with fairly, that the government and Privy Council failed to consult with the press and that the procedures used were "irrational".

'Proper and fair'

Lord Black of Brentwood, chairman of Pressbof, said the decision to go to court had been made because of the "enormous ramifications for free speech" of the case.

Last week a newspaper industry source told the BBC he hoped the court action would put the politicians' plan on hold, but the government said it would push ahead.

Media commentator Steve Hewlett told BBC Radio 4's Today programme that what the newspapers were hoping to do now tactically was to induce delay.

"The whole point is if they can induce enough delay they hope that when Ipso (Independent Press Standards Organisation) - their self-regulator - is up and running, as time goes by the political pressure for further reform as we approach an election in 2015 will begin to evaporate.

"So to that extent it becomes a game of chicken, because they're gambling that no party will want to go into the election waving press reform, which may turn out not to be right."

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Maria Miller told Parliament there must be a "fair system" of press regulation

Lawyers for Culture Secretary Maria Miller will oppose the legal challenge.

A spokesman for the Department for Culture, Media and Sport said the industry royal charter had been considered in "an entirely proper and fair way" and Mrs Miller had secured significant changes to the cross-party charter to address press concerns.

"The government is working to bring in a system of independent press self-regulation that will protect press freedom while offering real redress when mistakes are made," the spokesman said.

The rival royal charters are similar in some respects, with both proposing a "recognition panel" to oversee a press self-regulation committee with powers to impose fines of up to £1m on newspapers for wrongdoing.

But while the press charter would require industry-wide approval for any amendments, the politicians' version could be changed by a two-thirds majority in Parliament - and some in the media claim this could let governments encroach on press freedom.

Mr Alton - who is the executive editor of the Times - told the Today programme that Ipso would be an "extremely tough" regulator.

"You sign a contract into the regulator and you are liable for extremely severe fines," he said.

"The idea that somehow a deal stitched up between a few politicians over pizzas and a handful of lobbyists from Hacked Off, which is essentially an anti-newspaper group, the idea that such a deal is the thing that now controls the press, which is one of the most vital safeguards in our democracy, I find extraordinarily depressing, very sad ... It will be resisted."

Various forms of press regulation have been proposed following the Leveson Inquiry into the culture, practice and ethics of the press, set up in the wake of revelations about phone hacking by journalists.

The Privy Council, whose active members must be government ministers, meets in private to formally advise the Queen to approve "Orders" which have already been agreed by ministers.

Royal charters are granted by the Privy Council to "bodies that work in the public interest" - in this case a proposed press regulator.

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Government loses work scheme appeal

30 October 2013 Last updated at 07:14 ET

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Employment minister Esther McVey says the judges rejected "forced labour" accusations

The government has lost a Supreme Court appeal over a ruling its flagship "back to work" schemes were legally flawed.

Ministers failed in a bid to overturn an earlier ruling that regulations underpinning the schemes were invalid.

The case was brought by graduate Cait Reilly. She also claimed that requiring her to work for nothing at a Poundland store breached her human rights.

But the judges rejected claims that the schemes were "exploitative" and amounted to "forced labour".

Critics have said the sector-based work academy scheme and the community action programme - introduced in 2011 -are unfair because they involve work without pay and cuts in jobseeker's allowance (JSA) for those who failed to comply with the rules.

Five Supreme Court justices upheld a Court of Appeal decision which went against the government in February, because of shortcomings in the way the schemes were explained to those taking part.

They ruled the government had not provided a "sufficient detailed prescribed description" of the schemes and what would happen if people refused to take part.

But the Supreme Court rejected a counter-appeal against the scheme and upheld the Court of Appeal's ruling in the government's favour that the regulations did not constitute forced or compulsory labour.

They said the schemes came "nowhere close to the type the exploitative conduct" prohibited under the European Convention of Human Rights since the conditions attached to payment of JSA were "directly linked to its purpose".

'Won the argument'

Ministers brought in new rules allowing the unpaid schemes to continue pending the outcome of the appeal.

BBC correspondent Andy Moore said Wednesday's ruling made clear that the government was entitled to ask people to take part in the schemes and it would not have to further amend existing legislation.

Ms McVey rejected suggestions that the ruling was in any way a blow for the government, describing it as a "victory for common sense".

She told the BBC that the government had listened to the concerns about the schemes and would introduce further safeguards to clarify what was expected of those taking part.

But she insisted that judges had backed the fundamental basis of the scheme - to give people experience of holding down a job - and the potential use of sanctions.

"First and foremost, it is about getting people into work and supporting them the best we can and we are doing a very good job of that," she said.

'Something wrong'

In a statement, the Department of Work and Pensions said the Supreme Court had "unanimously upheld our right to require those claiming jobseeker's allowance to take part in programmes which will help get them into work".

"We have always said that it was ridiculous to say that our schemes amounted to forced labour, and yet again we have won this argument," Work and Pensions Secretary Iain Duncan Smith said.

Ms Reilly - who now works part-time in a supermarket - said she hoped the judgement would "serve to improve the current system and assist jobseekers who have been unfairly stripped of their benefits".

"I brought these proceedings because I knew that there was something wrong when I was stopped from doing voluntary work in a local museum and instead forced to work for Poundland for free."

"It must be time for the government to rethink its strategy and actually do something constructive to help lift people out of unemployment and poverty."

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Police say Federation 'must change'

30 October 2013 Last updated at 07:23 ET

Ninety-one per cent of police officers believe it is time for the organisation that represents them, the Police Federation, to change, an independent review has suggested.

The survey of 12,500 police officers also found 64% are dissatisfied with the performance of the federation.

Members are "appalled" at the damage the "plebgate" affair is doing to policing, the review has found.

The federation called the initial findings "worrying".

The final report on the federation is expected in January 2014.

The review is examining whether the Police Federation acts as a credible voice for officers, genuinely serves the public good and functions as an organisational democracy.

It is being conducted by a panel and is chaired by former Home Office permanent secretary, Sir David Normington, with the Royal Society for the encouragement of Arts, Manufactures and Commerce (RSA) providing the secretariat.

'Turned on itself'

The Police Federation represents police officers at all levels in England and Wales, and currently has 127,226 subscribing members.

The progress report said the federation's "influence and impact on the public and policy has declined".

It had happened, the report said, "just at a time when the police service is undergoing major changes and needs influential voices representing front-line officers".

It continued: "It has turned in on itself and risks losing public confidence and its legitimacy to represent front-line policing. It must change and change fundamentally. Otherwise it may become an irrelevance or face reform from outside."

The Police Federation said "clearly the initial findings are worrying and raise a number of issues for consideration and further debate within the organisation".

Continue reading the main story

It has turned in on itself and risks losing public confidence and its legitimacy to represent front-line policing. It must change and change fundamentally. Otherwise it may become an irrelevance or face reform from outside."

End Quote Police Federation review

"We must not lose sight of the fact that it was the new incoming chair of the Police Federation, Steve Williams, who asked for an independent review to be carried out, in January, because of the concerns that had been raised concerning the federation and some of its working practices.

"It was important that we understood how these impacted on the federation and how we could change the organisation to ensure that we were fit for purpose moving forward.

"As the progress report highlights, the federation is an organisation that is in need of change."

'Plebgate'

The "plebgate" row had damaged the federation, the review said.

The row started after Andrew Mitchell, then chief whip, was accused last September of calling officers "plebs" after they refused to let him ride his bicycle through Downing Street's main gates.

Three weeks after the original incident, Mr Mitchell met three officers acting for the Police Federation, who afterwards claimed Mr Mitchell had not elaborated on the Downing Street row and called for him to resign - which he later did.

But Mr Mitchell secretly recorded the meeting, which showed he had apologised for swearing and expressly denied that he had used the word "pleb".

According to the review, members and representatives at all levels of the federation are "appalled" at the damage the row is doing to policing and say the risk for the federation, if it does not reform itself, is that it will be imposed externally.

The survey also found that 68% of federation members are dissatisfied with how their interests are being looked after at a national level. That number dropped to 47% at a local level.

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Pension fees cap plan unveiled

30 October 2013 Last updated at 07:34 ET

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Pensions minister Steve Webb: "This is the start of a full frontal assault on charges"

Management fees charged by pension providers could be capped between 0.75% and 1%, according to proposals being set out by the government.

The Treasury is consulting on its plans to cap fees, which it says could save people tens of thousands of pounds.

Some older schemes set up more than a decade ago have been found to charge up to 2.3% a year in management fees.

On Tuesday, Pensions Minister Steve Webb said the government would launch a "full frontal assault" on pension fees.

Auto-enrolment

The consultation will seek industry input on three possible options: a 1% cap, a 0.75% cap, or a two-tier "comply or explain" cap, where pension providers will be capped at 0.75%, rising to 1% if they can explain to regulators why their scheme must charge more.

A Treasury spokesperson said any final cap could lie somewhere between the two levels suggested, depending on the evidence received.

The proposed cap would also only apply to auto-enrolment funds.

Mr Webb told BBC Radio 5 live that the move was just the start of a much broader review into pensions charges.

Continue reading the main story

It is important that any cap doesn't have the effect of levelling charges up"

End Quote Otto Thoresen Director general, Association of British Insurers

He said: "We do have powers to cap a much wider range of charges. The document today looks at banning something called active member discounts. That means when you leave a firm they jack your charges up - we don't think this is right so we will probably ban those."

When asked if charges should be capped lower than 0.75%, the minister said the cap should not be so low that it discouraged providers. He said the cap needed to be "at a level where there's competition in the market".

Labour's shadow minister for pensions, Gregg McClymont, said the opposition would have to look at the detail of the proposal "to see if it goes far enough".

But he added: "It is clear this government is not ready to take the decisive action needed to stand up for ordinary savers, given that they have just voted against our amendment to the pensions bill that would have made all pension costs and charges transparent."

Since last October, workers have been gradually signed up to workplace pensions, such as the government funded National Employment Savings Trust (Nest) scheme, unless they deliberately opt out.

Over the next five years, nine million extra people are expected to join so-called "defined contribution" schemes.

The average charge on a pension set up in 2012 was 0.51%, but the Office of Fair Trading (OFT) estimates that there are more than 186,000 pension pots with £2.65bn worth of assets subject to annual charges of more than 1%.

Older pension schemes, set up more than a decade ago, were found to be charging as much as 2.3% in annual fees.

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Richard Lloyd from Which?: "[The government] should look at a lower cap"

The government said that someone who initially saved £1,200 in the first year and worked for 46 years could lose almost £170,000 from their pension pot with a 1% charge and more than £230,000 with a 1.5% charge.

And a saver with a 0.75% annual charge on their pension pot could end up £100,000 better off than if they had been charged a rate of 1.5%, it added.

These calculations assume that their contributions rise by 4% each year, and that the pension pot investment grows by 7% each year.

In addition, these figures do not take inflation into account. In 46 years' time, the total amount will be worth less in real terms owing to the effects of inflation.

'Detail crucial'

The plans for a cap on fees is outlined in amendments to the government's pensions bill, which is currently working its way through Parliament.

However, the industry has reacted cautiously to plans for a cap.

Responding to the launch of the consultation, Otto Thoresen, director general of the Association of British Insurers (ABI), said pension charges were at their "lowest ever average levels".

The industry was "committed to making pension reform a success", he said, but warned: "It is important that any cap doesn't have the effect of levelling charges up.

"The detail around what is included in the charge definition will be crucial, as is the need to recognise that other factors contribute to customers receiving value for money."

Last month, the OFT published a report criticising pension schemes containing £40bn worth of savings that were delivering "poor value for money", but it stopped short of recommending a cap on fees.

It advised the government to make pensions more transparent and easier to compare, and to give greater powers to regulators.

Consumer group Which? said it welcomed the plan for a cap but urged ministers to see if it could be set even lower than 0.75%.

Executive director Richard Lloyd said: "Even a fraction of a per cent can have a significant impact on pension funds, and people need to be confident that their scheme is giving them the best value for money.

"We also need to see tight regulation so these charges can't simply be hidden elsewhere, and the government should look at what can be done to bring down charges on existing schemes set up before 2001."

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Germans in US talks over spy claims

30 October 2013 Last updated at 07:55 ET

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A summary of US spying allegations brought about by Edward Snowden's leak of classified documents

A German delegation of intelligence officials is in Washington for talks at the White House on Wednesday following claims that the US monitored Chancellor Angela Merkel's mobile phone.

The chancellor's foreign policy adviser and Germany's intelligence co-ordinator will hold talks at the White House.

The head of US intelligence has defended the monitoring of foreign leaders as a key goal of operations.

The US is facing growing anger over reports it spied on its allies abroad.

It has also been reported that the National Security Agency (NSA) monitored French diplomats in Washington and at the UN, and that it conducted surveillance on millions of French and Spanish telephone calls, among other operations against US allies.

Continue reading the main story

Analysis

The measure of how seriously Chancellor Merkel takes the matter is that she has sent two of the most important people in her immediate circle of advisers: her foreign policy adviser, Christoph Heusgen, and the German government's intelligence coordinator, Guenter Heiss.

Next week, the heads of the actual spying agencies go to meet their opposite numbers in Washington.

This week's meetings are more about how to rebuild trust, while next week's agenda will be more about the detail of how the two countries' agencies might or might not work more in harmony.

The US has an agreement to share intelligence with Britain, New Zealand, Australia and Canada. It is not clear if Germany wants to be part of that.

There have been commentators in America saying that Germany is in a different position from the other countries mentioned because its future relationship with China is not clear.

On this argument, Germany's close trade links with China might make it loath to support the US in any future trans-Pacific confrontation.

However, NSA director Gen Keith Alexander said "the assertions... that NSA collected tens of millions of phone calls are completely false".

The revelations stem from documents leaked by fugitive ex-US intelligence contractor Edward Snowden, who now lives in Russia and is wanted in the US in connection with the unauthorised disclosures.

German media have reported that the US bugged German Chancellor Angela Merkel's phone for more than a decade - and that the surveillance only ended a few months ago.

Germany's delegation includes Christoph Heusgen, Mrs Merkel's foreign policy adviser, and Guenter Heiss, the secret service co-ordinator, said Caitlin Hayden, a spokeswoman for the National Security Council.

US National Security Adviser Susan Rice, Director of National Intelligence James Clapper and Lisa Monaco, assistant to the president for homeland security and counterterrorism, are also expected to take part.

Ms Hayden said the meeting was part of the agreement reached between President Barack Obama and Chancellor Merkel last week to deepen US-German cooperation on intelligence matters.

'Basic tenet'

The meeting comes just hours after Mr Clapper and Gen Alexander testified before the intelligence panel of the House of Representatives on Tuesday.

Continue reading the main story

How intelligence is gathered

• Accessing internet company data
• Tapping fibre optic cables
• Eavesdropping on phones
• Targeted spying

Gen Alexander said much of the data cited by non-US news outlets was actually collected by European intelligence services and later shared with the NSA.

Meanwhile, Mr Clapper told lawmakers that discerning foreign leaders' intentions was "a basic tenet of what we collect and analyse".

He said that foreign allies spy on US officials and intelligence agencies as a matter of routine.

Mr Clapper said the torrent of disclosures about American surveillance had been extremely damaging and that he anticipated more.

But he said there was no other country that had the magnitude of oversight that the US had, and that any mistakes that had been made were human or technical.

The BBC's Jonny Dymond in Washington says if anyone was expecting apologies or embarrassment from the leaders of America's intelligence community, they were in for a disappointment.

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James Clapper said knowing what foreign leaders were thinking was critical to US policymaking

The intelligence pair were not given a tough time by the committee but that sentiment is turning within Congress toward tightening up the reach of American intelligence agencies, our correspondent says.

Meanwhile, the spokesman for Russian President Vladimir Putin has denied that Moscow used free USB memory sticks and mobile phone charging cables to spy on delegates attending the G20 Summit in St Petersburg last September.

Reports in two Italian newspapers suggested that the USB sticks and cables had bugs on them that could steal data from the delegates.

Spokesman Dmitri Peskov said the reports were an attempt to distract from the problems between European countries and the US.

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Man stabbed on final pizza delivery

30 October 2013 Last updated at 08:07 ET

A pizza delivery man found stabbed to death at the wheel of his car was making his final delivery before starting a new job.

Thavisha Lakindu Peiris, 25, was found dead by colleagues in his car in Southey Crescent, Sheffield, at 22:30 GMT on Sunday.

South Yorkshire Police said he had just accepted a new job as an IT consultant.

Det Supt Lisa Ray said he had lost his life in the "most brutal of fashions" in an apparently motiveless crime.

'Absolute tragedy'

Mr Peiris, who was born in Sri Lanka, had been working at Domino's Pizza in Halifax Road after completing a degree in IT at Sheffield Hallam University in 2011.

Ms Ray said more than fifty officers were working on the case.

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Det Supt Lisa Ray: "This was meant to be his last day delivering pizza"

"He was a bright, hard-working, intelligent and caring man who had worked hard to develop his career in Sheffield.

"His murder is an absolute tragedy and has caused untold grief for his mother, father and brother in Sri Lanka and for his many friends in Sri Lanka and in Sheffield," she added.

Mr Peiris left the restaurant at 21:50 to make a delivery in Southey Crescent and when he failed to turn up, colleagues set off to find him.

They found him dead in his Toyota Yaris outside the address where he was due to make the delivery.

A post-mortem examination found Mr Peiris died from stab wounds.

Ms Ray said: "It is urgent that anyone who saw him, or his car, or anything that they now regard as suspicious, comes forward without delay.

"A family is grieving for a young man who whose life has been taken from him in the most brutal of fashions, and we owe it to him and his family to find the person or persons responsible".

Ms Ray said his relatives were preparing to travel to Sheffield from Sri Lanka.

A spokesman for Domino's Pizza said: "All at Domino's Pizza are shocked and saddened by his death and our thoughts and prayers go out to his colleagues, friends and family."

The company said it was doing all it could to assist the police investigation.

South Yorkshire Police said a number of men arrested had been questioned and released without charge.

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Soldiers jailed for Westgate looting

29 October 2013 Last updated at 07:12 ET

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Security camera footage which emerged shows Kenyan soldiers taking away white shopping bags, as the BBC's Rebecca Donovan reports

Two Kenyan soldiers have been sacked and jailed for looting during last month's attack on the Westgate shopping centre, the army chief has said.

Julius Karangi said that a third soldier was under investigation.

He has previously said that soldiers had only taken water during the four-day siege, despite CCTV footage seeming to show them helping themselves to goods in a supermarket.

Somali Islamist group al-Shabab says it was behind the attack, which killed 67.

At the same news conference, Police Criminal Investigation Department head Ndegwa Muhoro said that a phone call had been made to Norway during the siege.

One of the suspected attackers has been named as 23-year-old Somalia-born Norwegian national, Hassan Abdi Dhuhulow.

The Kenyan army has said that all four of the attackers died.

Mr Muhoro said that Interpol was helping to analyse the bodies to confirm their identities, reports the AFP news agency.

Officials had initially said there were 10-15 attackers.

Mr Muhoro said that five other people were in detention over the attack and would be charged soon.

Several shop-owners have said that their premises were looted during the siege.

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Energy chiefs under fire on prices

29 October 2013 Last updated at 03:12 ET

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The BBC's Steph McGovern explains how some energy companies present profit figures

Top executives from the UK's six largest energy companies are expected to face serious criticism when they come before a group of MPs.

The bosses have been called in front of the Energy and Climate Change Committee, following recent price rises.

So far, four companies have announced increases that average 9.1%.

The energy firms are expected to insist that the rises were largely due to increasing wholesale prices.

But Andrew Wright, the acting chief executive of regulator Ofgem, is expected to tell the MPs that wholesale prices have risen by less than the rate of inflation.

Ofgem data suggests that wholesale electricity and gas together have risen by just 1.7% over the last year.

It estimates the net effect of wholesale prices on a household bill should be just £10 extra on a bill of £600.

Further rises

Continue reading the main story

"Start Quote

If you look at the 24-month figure to October 2013, there has been an 18% rise in the wholesale cost"

End Quote Spokesperson British Gas

However, the energy companies are expected to argue that wholesale prices have gone up much faster than Ofgem maintains.

Most companies try to reduce risk by buying wholesale gas on the futures market, a process known as hedging.

Many will buy up to two years in advance.

"If you look at the 24-month figure to October 2013, there has been an 18% rise in the wholesale cost," said a spokesperson for British Gas, the largest energy supplier.

Scottish Power said that wholesale costs had jumped 7% in the last year.

British Gas was also critical of the way in which Ofgem calculates the increases.

"The prices that individual suppliers pay depend on their own hedging strategies, and the Ofgem methodology is, at best, an approximation of what those hedging profiles are," said the spokesperson.

However, Ofgem has admitted that wholesale prices are due to rise significantly this winter.

It expects the wholesale price of gas to rise 8%, and electricity to rise 13%, putting further pressure on bills.

Under new Ofgem proposals, the big six energy companies will have to announce exactly how much they pay for wholesale gas or electricity, up to two years in advance.

The companies have also blamed the rising cost of transmission, and green energy levies, for the recent price rises.

Angela Knight, chief executive of the power industry group Energy UK, told BBC Radio 5 Live that energy companies have control of less than a fifth of the costs of energy bills.

"I think the fundamental problem is this: we are on a path in which there needs to be a huge investment in this country in new generation and different types of generation and it costs a lot of money and I don't think it was ever properly explained," she said.

"The costs were never explained, the reason why you've got to make a profit in order to invest huge sums - £11bn last year - and there's more to come."

Transparency

Continue reading the main story

"Start Quote

The bosses of the major energy companies are being questioned by MPs over recent price rise announcements, but who are they and whom do they work for?"

End Quote

On Monday, Prime Minister David Cameron stressed that he wanted to see further competition between suppliers.

"I'm frustrated about the big six," he said.

"I want to see the big 60; I want to see many more energy companies."

A spokesman for Number 10 added that the energy companies needed to do more to justify price rises.

"It is for the energy companies to explain the decisions they have taken around bills to their customers," he said.

MPs on the Energy Committee will echo those sentiments, by asking companies to explain why consumers are now having to face an average dual-fuel bill of £1,320 a year.

They also want to know how the transparency of their profits can be improved.

In a letter to the committee, Ian Peters, the managing director of energy at British Gas, admitted that there was further work to do on that.

Competition

Labour MP John Robertson will be one of those asking the questions on the Energy and Climate Change Committee. He believes the suppliers should adopt a supermarket-style approach to pricing strategies.

"You have never ever seen an energy company take on the rest of its competitors to try to undercut them," he said.

"That's what I call competition. They don't have competition. When one puts the price up, they all put the price up."

Later this week, Energy Secretary Ed Davey is expected to set out further details of the annual competition test for the energy market.

The review will be carried out by Ofgem in conjunction with the Office of Fair Trading (OFT) and the new Competition and Markets Authority (CMA).

The government has also said it will look at the contribution made to energy bills by the green levies, although these make up a relatively small part of overall costs.

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Major US surveillance review ordered

29 October 2013 Last updated at 07:25 ET

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President Obama says he wants to ''review'' the NSA's operations

The US Senate's intelligence committee has announced a major review of the country's surveillance operations.

The committee's chair, Diane Feinstein, said eavesdropping on leaders of friendly nations was wrong.

She said the White House had told her such surveillance would stop, but a senior administration official told the BBC there was no policy change so far.

Senior US intelligence agency officials are to testify before the House of Representatives later on Tuesday.

Correspondents say pressure is growing on the White House to explain why President Barack Obama apparently did not know about the extent of the intelligence gathering operations.

Mr Obama has spoken publicly of his intent to probe spying activities amid claims of eavesdropping on US allies.

Continue reading the main story

"Start Quote

It is my understanding that President Obama was not aware Chancellor Merkel's communications were being collected since 2002. That is a big problem"

End Quote Dianne Feinstein Senate Intelligence Committee chair

In a US TV interview, the US president said that national security operations were being reassessed to make sure the National Security Agency's (NSA) growing technical spying capability was kept under control.

"We give them policy direction," he told ABC's Fusion network.

"But what we've seen over the last several years is their capacities continue to develop and expand, and that's why I'm initiating now, a review to make sure that what they're able to do, doesn't necessarily mean what they should be doing."

An EU delegate in Washington has described the row over intelligence gathering as "a breakdown of trust".

German media has reported that the US bugged German Chancellor Angela Merkel's phone for more than a decade - and that the surveillance only ended a few months ago.

'Totally opposed'

Ms Feinstein, who chairs the Senate intelligence panel, called for a "total review" of US intelligence programmes in light of the Merkel revelations.

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Jay Carney: "There has been extraordinary change... in the way we transmit and gather information"

"With respect to NSA collection of intelligence on leaders of US allies - including France, Spain, Mexico and Germany - let me state unequivocally: I am totally opposed," she said in a statement.

"It is my understanding that President Obama was not aware Chancellor Merkel's communications were being collected since 2002. That is a big problem."

Senator Feinstein said the White House had told her that all surveillance of leaders of countries friendly to the US would stop.

However, the BBC's North America editor Mark Mardell says a senior administration official has told the BBC this is not accurate - and that while there have been individual changes - there have not been policy changes, such as terminating intelligence gathering aimed at allies.

Continue reading the main story

Intelligence officials testifying

Officials appearing before the House of Representatives intelligence committee on 29 Oct:

• James Clapper, director of National Intelligence
• James Cole, deputy attorney general, US justice department
• Gen Keith Alexander, director of National Security Agency (NSA)
• Chris Inglis, deputy director of the NSA

Earlier, White House spokesman Jay Carney told reporters that the administration "recognise[s] there needs to be additional constraints on how we gather and use intelligence".

Neither Mr Carney nor Mr Obama have commented on specific allegations that the US eavesdropped on international allies, including tapping the phones of foreign officials.

An across-the-board review of US intelligence resources is currently under way.

The head of the NSA, Gen Keith Alexander, and other experts are due to testify before the House of Representatives intelligence committee at 13:30 local time (17:30 GMT) on Tuesday.

The BBC's Jonny Dymond in Washington says tough questions can be expected from Congress as politicians of all stripes have been angered by the revelations of large scale intelligence gathering on both Americans and US allies.

The Associated Press quoted an unnamed administration official saying the Obama government was considering ending spying on allied heads of state.

The official said a final decision had still to be made, as the internal review was under way.

Spying pact

Earlier on Monday, representatives from the European Parliament's Committee on Civil Liberties, Justice and Home Affairs spoke to members of the US Congress about the alleged US spying on European leaders and citizens.

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What do people in Spain make of news 60 million calls were tracked?

The European delegation was reportedly unhappy with the "stock" responses from US officials on the issue.

Continue reading the main story

'Five Eyes' agreement

• Initially a top-secret deal signed between the US and UK in March 1946
• It committed both nations to sharing communications intelligence, continuing the practices of WWII
• Later referred to as the "UKUSA Agreement", it formed the basis for intelligence co-operation
• The agreement was later extended to cover Canada, Australia and New Zealand
• Other countries also reported to have joined the community
• The full text of the initial agreement was released by Britain's National Archives in 2005

Their visit coincided with reports that the US had monitored 60 million Spanish telephone calls in a month and asked the Japanese government to help it monitor fibre-optic cables carrying personal data through Japan, to the Asia-Pacific region.

According to Spain's El Mundo newspaper, the NSA tracked tens of millions of phone calls, texts and emails of Spanish citizens in December 2012 and January 2013.

The Japanese news agency Kyodo said Japan refused the NSA's request, citing legal restriction and staff shortages.

Mrs Merkel is also sending German intelligence officials to Washington.

The allegations of US surveillance on international allies stem from documents leaked by fugitive ex-US intelligence contractor Edward Snowden, now living in Russia.

The US has had a "no spying pact", known as Five Eyes, with Britain since just after World War II, with Australia, New Zealand and Canada later joining.

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Many still without power after storm

29 October 2013 Last updated at 07:39 ET

Over 57,000 homes are still without power after a storm battered Britain.

Engineers restored supplies to 100,000 homes overnight after heavy rainfall and winds of more than 70mph (112 km/h) hit parts of the country.

Four people are known to have have died in the storm which brought major rail and road disruption to commuters in southern Britain on Monday.

Most rail companies say services have returned to normal, but there is still disruption on some routes.

Bethany Freeman, 17, suffered fatal injuries when a tree came down on the caravan she was sleeping in in Hever, near Edenbridge, Kent, at about 07:20 GMT.

Donal Drohan, 51, from Harrow, was pronounced dead at the scene after a tree crushed a red Peugeot 307 at Lower High Street in Watford, Hertfordshire, at 06:50 GMT.

And a man and woman died in west London following a suspected gas explosion after a tree fell during high winds in Hounslow.

The Energy Networks Association said more than 660,000 homes in total had lost supply during the storm. Some 48,000 properties in the East and 9,600 in the South East still have no electricity.

BBC News correspondent Duncan Kennedy, reporting from Berkshire, said engineers had had trouble reaching some of the more remote areas in southern England because of fallen trees and it could be a few days before power supplies were restored to all locations.

Network Rail said the damage to infrastructure had been "worse than expected", with more than 100 trees on lines.

Train operators - who cancelled hundreds of services because of the bad weather - have resumed normal services on Tuesday but some travel disruption remains:

• Greater Anglia says disruption and cancellations are expected on a number of routes until approximately 12:00 GMT on Tuesday and is advising passengers not to travel unless necessary
• Stansted Express services have resumed with a half-hourly service
• First Capital Connect is running a full service but with some delays
• C2C says a near-normal service has resumed but buses will be replacing trains from Barking to Grays via Rainham
• East Coast says it is operating a near-normal service but delays of up to 30 minutes are occurring through Peterborough and between Stevenage and King's Cross
• Southeastern is running a normal service on all routes with some delays
• Chiltern Railways is running a normal service but says there may be some delays and short-notice cancellations
• London Midland is running a normal service with one exception - buses will replace trains between Watford Junction and St Albans Abbey until Wednesday

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Ferry crossings and flights were also affected as the storm moved across the UK.

The Environment Agency had dozens of flood warnings in place on Monday - in areas of south-west England, East Anglia and the Midlands where flooding was expected - but there are no longer any in place.

Initial estimates of the level of financial damage caused by the storm are not expected until later this week, the Association of British Insurers said.

BBC weather forecasters said in more populous areas including Lyneham, near Swindon; Yeovilton in Somerset and Hurn, near Bournemouth, speeds of 74-75mph (119-121km/h) had been recorded.

The strongest gust of 99mph during the storm was recorded at Needles Old Battery, Isle of Wight, at 05:00 GMT.

Wind speeds of 115mph were recorded during the so-called Great Storm of October 1987.

Eight people died as the storm swept through France, Germany and the Netherlands after it moved out of the UK shortly after 12:00 GMT.

The search for the 14-year-old boy - who has been named as Dylan Alkins - who was swept away in Newhaven, East Sussex on Sunday is continuing.

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HS2 benefit to UK revised down

29 October 2013 Last updated at 07:44 ET

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Transport Secretary Patrick McLoughlin: "I hope very much it comes below budget"

The government's latest business case for the HS2 high-speed rail link has slightly lowered the amount of benefit it predicts relative to the cost.

The expected benefit-cost ratio (BRC) has fallen from £2.50 to £2.30 in benefits for every pound spent.

That fall is mainly due to a £10bn rise in the scheme's projected £42.6bn cost, which was added earlier this year.

The report is the latest update on questions such as who benefits and by how much.

It also has revised an earlier assumption that business people do not get much work done on trains, a view that was widely criticised at the time.

Continue reading the main story

When I spoke to the people who wrote this latest business case, they said things like, "We've listened" and "We haven't over-egged it".

For example, in the last four business cases, the government's been ridiculed for assuming people don't get much work done on trains. Plainly unrealistic in the world of mobile phones and laptops.

So to tackle that, they've now cut by a third the value of business time lost on a train (from £47.18 an hour to £31.96 an hour, if you're interested).

They were also heavily criticised for using a 12-year-old survey for some of their data. They've updated that.

But the reality is, the last four cases have failed to convince enough influential people, people like shadow chancellor Ed Balls for example, that HS2 is worth the money.

And no Ed Balls, no HS2.

The new study has cut by one-third the value put on saving an hour's worth of time getting between meetings or workplaces on a quicker train, to reflect that productive work is also done while travelling.

Closures

BBC transport correspondent Richard Westcott says the new report is an attempt to shift the focus away from a controversial assumption of people not working on trains, and towards the benefits of providing lots of extra capacity on the rail network.

One part of the report, which came out a day earlier, argued that the alternative to HS2 would mean 14 years of route closures and longer journeys.

A study, prepared by Network Rail and the management consultancy Atkins for the government, said that without the project, there would have to be 2,770 weekend closures on the East Coast, West Coast and Midland main lines for the same intended capacity of HS2.

This could lead to travel times between London and Leeds doubling.

'Play politics'

Transport Secretary Patrick McLoughlin said without the new line, the West Coast, East Coast and Midland Main Lines were likely to be overwhelmed.

He said it would also bring benefits for regional and commuter services, as well as increasing the amount of freight that could be carried by rail.

But he warned it needed broad political consensus or it would end in nothing: "You can't play politics with our prosperity. The new North-South line is a multi-billion, multi-year investment in the future of Britain."

Shadow transport secretary Mary Creagh said: "We must address the capacity problems that mean thousands of commuters face cramped, miserable journeys into cities like Birmingham, Manchester, Leeds and London. But there can be no blank cheque and ministers must get a grip on costs."

Penny Gaines from the Stop HS2 organisation said: "The big flaw in the government's argument is that phase one of HS2 won't open to the travelling public until about 2027, meaning there would be no change for passengers until the middle of the next decade.

"But building HS2 would cause years of disruption at [London] Euston, and other places on the rail network as well as chaos along the route of HS2, with roads being diverted during the build and in some places permanently shut."

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Shoesmith's Baby P payout 'stinks'

29 October 2013 Last updated at 07:56 ET

The six-figure payout to the former head of Haringey children's services Sharon Shoesmith "stinks", a former government minister has said.

Conservative MP Tim Loughton said the settlement would "leave a really bad taste in taxpayers' mouths".

In 2011, Ms Shoesmith, who earned £133,000 a year, won a ruling that she was unfairly sacked after a damning report about the death of Baby Peter.

BBC Newsnight revealed the payout could cost Haringey Council up to £600,000.

Peter Connelly, who was 17 months old, died in 2007 after months of abuse.

The boy had more than 50 injuries, despite being on the at-risk register and receiving 60 visits from social workers, police and health professionals over eight months.

'Botched job'

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• 3 August 2007: One-year-old Peter Connelly (Baby P) found dead in his cot
• 11 November 2008: Peter's mother, Tracey Connelly, boyfriend Steven Barker and brother Jason Owen convicted of causing his death
• 13 November 2008: Ed Balls orders inquiry into role of the local authority, the health authority and the police
• 8 December 2008: Ms Shoesmith is sacked with immediate effect
• 22 May 2009: Connelly, Owen and Barker all get lengthy jail sentences
• 15 September 2010: Ms Shoesmith asks a House of Commons committee why the police and health services had not also been made to take responsibility
• 27 May 2011: The Court of Appeal rules in favour of Ms Shoesmith
• Oct 2013: Ms Shoesmith agrees a six-figure payout with Haringey Council

Three people were jailed in 2009, including his mother.

The Court of Appeal concluded Ms Shoesmith had been "unfairly scapegoated" and her removal from office in December 2008 by the then Children's Secretary Ed Balls had been "intrinsically unfair and unlawful".

One government source told BBC Newsnight that the cost to Haringey Council could be as high as £600,000, although Ms Shoesmith is expected to receive a lower sum.

The exact figure may not emerge as there are confidentiality clauses preventing its disclosure but it will be significantly short of the £1m figure it had been reported she was seeking.

However, it would appear the package is more than the minimum suggested by senior judge Lord Neuberger in a 2011 ruling in the Court of Appeal. He suggested Ms Shoesmith was entitled to a minimum of three months' salary plus pensions contributions.

Three months' salary would have been about £33,000.

Mr Loughton, a former children's minister, told BBC Radio 4's Today programme the payout became "inevitable" after the Court of Appeal ruled that Mr Balls "had made a complete botched job of her dismissal".

But he added: "This is going to leave a really bad taste in taxpayers' mouths that a not insubstantial amount of public money is being used to pay off somebody who presided over a dysfunctional department in Haringey [where] a 17-month-old boy died in horrific circumstances.

"We are effectively rewarding failure and when you are appointed a director of children's services... the buck has to stop somewhere and somebody has to take responsibility, and you don't expect that person... to get a large cheque on the back of it as well."

Gove 'furious'

A statement from Haringey Council confirmed it had reached a settlement with Ms Shoesmith but that the terms of the settlement were confidential and it was unable to comment further.

Some of the cash will come from central government, but Haringey council will foot most of the bill, it is understood. An exact figure is yet to be agreed.

The Department for Education declined to comment on the story when contacted by the BBC.

But one source told Newsnight that Education Secretary Michael Gove was "furious" about the secrecy over the amount paid to Ms Shoesmith, believing it to be "indefensible".

Lawyers representing Haringey Council and Ms Shoesmith had been in lengthy discussions regarding a settlement since the May 2011 ruling.

Ms Shoesmith had been due to return to court later this week, seeking a declaration that she remained employed by Haringey Council.

That action has now been dropped and the settlement reached between the two parties is understood to be a final one.

Peter Connelly's mother, Tracey Connelly, her boyfriend, Steven Barker, and his brother, Jason Owen, were jailed in May 2009 for causing or allowing the child's death.

Earlier this month it was reported that Connelly was due to be released from prison on parole.

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Accused former BBC driver found dead

29 October 2013 Last updated at 08:18 ET

A former BBC driver accused of sex offences has been found dead.

David Smith, 67, from Lewisham, south-east London, had been due to stand trial at Southwark Crown Court for allegedly abusing a boy, 12, in 1984.

A warrant was issued for his arrest on Monday after he failed to attend court.

Smith was charged with two counts of indecent assault, two of indecency and one of a serious sexual offence as part of Operation Yewtree. The cause of his death is not yet known.

Smith was the first person to be charged under the investigation into historical cases of abuse, which was originally set up in the wake of the Jimmy Savile scandal.

Continue reading the main story

What sort of checks did the BBC carry out on David Smith? Was it aware of his criminal record?

He was due to stand trial on Monday accused of sex offences carried out in 1984, but he already had a string of convictions.

In the 1970s, while working as a milkman, Smith committed offences against boys as young as two and eight, and later went on to abuse boys at a table tennis club.

There are also questions for the police. Why couldn't they trace Smith when the victim of the 1984 attack came forward in 2002? He was serving a jail sentence, so they must have had access to prison records.

Finally, should more have been done when the 67 year-old failed to turn up at court?

It might be thought that a defendant in a high-profile trial involving allegations of sexual offences against a child should have been closely monitored

It was alleged Smith met his victim at a swimming pool and invited him back to his flat, where he sexually abused him.

He also took the boy on a visit to the BBC studios at White City, in west London. During the journey, the boy claimed, he was indecently assaulted.

Historical abuse

The alleged victim's partner contacted police after she saw his response to the ITV documentary Exposure: The Other Side of Jimmy Savile, which was broadcast on 3 October 2012.

A previous attempt to track down Smith in 2002 had failed when police could not find him - even though he was in prison at the time.

Smith was a prolific sex offender whose first conviction was in 1966. He had 22 convictions for sexual offences against young boys.

BBC Home Affairs Correspondent Danny Shaw said both the BBC and the police had questions to answer about Smith.

• Why the police were unable to trace him in 2002?

• Why the police took four hours to go to his home when he failed to turn up at court on Monday? Could they have done more?

• Whether the BBC knew about Smith's criminal record when he was employed as a driver?

Smith's barrister became concerned on Monday when his client failed to appear at court.

Police found him at his home address at about 14:20 GMT and he was pronounced dead at the scene.

The cause of death is not yet known and a post-mortem examination will take place.

Yewtree is an inquiry into allegations of historical sexual abuse linked to the entertainment industry.

The operation has three strands. One concerns Savile's crimes exclusively, while a second strand relates to allegations against Savile and others.

The third strand concentrates on accusations that emerged as a result of the publicity surrounding Savile, but which are unconnected to him.

Smith was investigated under the third strand.

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