7.30pm WATCH: George Osborne discusses the Coalition's pro-manufacturing agenda

4.30pm Parliament: Tory MPs divided on No Fly Zone during Hague statement on Libya

2pm Local government:

1.45pm LeftWatch: Are Labour MPs given a bonus for how many times they accuse Downing Street of "incompetence" in a single interview?

11.30am Bill Cash MP on Comment: Time to tackle the enemies of enterprise that come from Europe

ToryDiary: The Party Manifesto, not Coalition Agreement, should most guide voting of Tory MPs

MUST WATCH: Channel 4's five minute report on the "fragile" mood of Tory MPs


Nadine Dorries MP on Comment: Britain’s abortion laws currently leave vulnerable women without the most basic support and help to which they should be entitled

On the Local government blog, John Bald on the remarkable success of Mossbourne Community Academy in Hackney: What's its secret?

Also on Local government: Defections update and Senior Shropshire Council managers agree to 5% pay cut

ThinkTankCentral: Britain has most anti-family tax system in Europe

Gazette: Schedule of upcoming No2AV speaker meetings around the country

Clegg wants any spare cash used to raise income tax allowance, not lower fuel duty

Clegg on Marr "The chancellor gave a strong hint on Saturday that he would reverse plans for a 1p rise in fuel duty. Reversing the rise, due to take effect in April, would cost the Treasury about £500m. But Mr Osborne is being urged by Mr Clegg, the deputy prime minister, not to go too far in offering tax cuts to motorists. He argues that scarce resources should be focused on raising the income tax threshold towards £10,000, a long-term target in the coalition agreement." – FT (£)

  • The Daily Mail reports that Osborne is determined to press ahead with some kind of cut in duty.
  • The Sun Says scrapping the 1p increase must only be a start. There must be a Fair Fuel Stabiliser, it argues.

I'll set business free vows Cameron in blast at civil service

"David Cameron launched an extraordinary attack on his own civil servants last night for  loading costs on to business, as he set out the ‘moral’ case for enterprise. The Prime Minister expressed intense frustration with the failure of officials to understand that firms buckling under the weight of Labour’s red tape ‘frankly cannot take it any more’. ‘If I have to pull these people into my office in No 10 to argue this out myself and get them off the backs of business, then, believe me, I’ll do it,’ he said." – Daily Mail

…As Boris begs HSBC to stay in London – Telegraph | Andrew Lilico on why HSBC might still quit

  • CBI and City warn ministers to cut taxes and regulation or face exodus of talent – Guardian
  • Business leaders call on Cameron to cut red tape – Telegraph
  • Allister Heath in City AM lists the anti-enterprise measures promoted by Cameron
  • Cameron defends arms sales in push for growth – Independent
  • From HSBC to the oil price – Benedict Brogan on the pressures building on George Osborne – Telegraph

> Yesterday's ToryDiary on Cameron's "Enemies of Enterprise" speech.

Osborne said to back forcing big UK banks to capitalise their retail and investment arms separatelyFT (£)

IDS says unemployed need to be trained to fill 500,000 vacancies

DUNCAN SMITH DP "UK unemployment stands at 2.5 million. Mr Duncan Smith told the Conservative spring conference in Cardiff that was less of a problem than some have suggested. “It’s shortsighted to say there aren’t any jobs at the moment. The fact is there are around half a million vacancies in the economy at the moment,” he said. “It’s not the absence of jobs that’s the problem. It’s the failure to match the unemployed to the jobs there are.”" – Telegraph

In latest sign of Cameron's determination to grip Whitehall, he's ready to axe under-performing ministerial advisers – Benedict Brogan in The Telegraph

Ken Clarke: AV supporters are from 'fringes of politics'Guardian

> Saturday's ToryDiary: Baroness Warsi tells Tory activists that defeating AV is their most important task on May 5th

Jeremy Hunt's decision on BSkyB risks continuing coolness between the Mail, Telegraph and Cameron – Stephen Glover in The Independent

Cameron red-faced as Libyan authorities release phone calls showing diplomat operation had amateur feelGuardian

Boris Johnson slams Labour's involvement in Libya: "We allowed the Labour PM to slobber over him in a tent, we gave his son some absurd degree and, most sickeningly of all, under Gordon Brown the legal process was subverted and the Lockerbie bomber went back in triumph to Tripoli. The British state, or rather the Labour government, engaged in an act of deep moral corruption." – The Telegraph

Screen shot 2011-03-07 at 07.25.24 Government sources: We'll “shed no tears” if the Duke of York resigned as UK trade envoy – Times (£) | But, publicly, Hague gives Prince Andrew backing

Andrew Gilligan investigates the wasteful spending of councils that are axeing frontline servicesTelegraph 

Liberal Democrat MP says give every adult £1,000 of RBS sharesBBC

David Miliband reflects on leadership defeat

"David Miliband committed himself to domestic politics yesterday despite admitting that losing the Labour leadership to his brother still causes him pain. “Sometimes it hurts,” Mr Miliband said as he conceded that the upset had forced him to scale back his ambitions, although he added that he still wanted to change the world “but in smaller ways perhaps than I had once hoped”." – Times (£)

Tory MP Andrew Bridgen complains about travel expense claims of Balls and CooperMetro

George Monbiot's manifesto for the Left's future: Tax, tax, tax and tax Guardian

Cardiff Assembly’s Presiding Officer says the Wales Office should be shut downWestern Mail

Institute for Government calls for 25 top appointments to be subject to parliamentary scrutiny where political impartiality is crucialFT (£)

And finally… John Prescott is to read the shipping forecast on Radio 4 for Red Nose DayThe Sun