Hammond hints at major compromise on free movement…

EU Brexit“Access to the single market will be as important as controlling immigration in the Brexit negotiations, Philip Hammond said last night. In a surprise intervention, the Chancellor suggested ministers were prepared to compromise on free movement to retain access to the single market. Mr Hammond said immigration controls would focus on limiting the number of low-skilled migrants arriving from Eastern Europe.” – Daily Mail

  • Brexit bust-up between May and Hammond over high-skilled migration – The Sun
  • Chancellor tries to calm markets as pound plunges – The Times (£)
  • Hammond bids to reassure Wall Street – FT
  • Government plans ‘spending spree’ outside London – The Sun


  • Oliver claims Remain never predicted immediate recession – Daily Mail
  • Morgan becomes leading light of awkward squad – The Times (£)
  • Osborne claims capitalism and democracy are in ‘crisis’ as he announces new book – Daily Telegraph
  • Sturgeon says there may be a case for a second EU referendum – Daily Telegraph


  • The EU needs the City more than the City needs the EU – Stanislas Yassukovich, Brexit Central
  • We’ve had quite enough cheap money, thank you – Jeremy Warner, Daily Telegraph


  • Cheap money comes at a cost – Daily Telegraph
  • The perils of loose talk on monetary policy – FT

…as Merkel leads European backlash

“Theresa May was criticised across Europe as her uncompromising stance on immigration hardened opposition to British demands over Brexit. Angela Merkel won thunderous applause from hundreds of German business leaders yesterday as she warned that Britain could not retain full access to the EU’s single market unless it allowed free movement of people. The French housing minister, Emmanuelle Cosse, described as a catastrophe the British plan to force companies to publish the number of foreign workers they employ.” – The Times (£)

  • Chancellor warns European business not to undermine EU ideals – FT
  • Hollande demands tough negotiations – FT

At home:

  • Prime Minister faces resistance over plans to curb migration – Daily Telegraph
  • Sofa boss hits back at Rudd over complaints he recruited too many foreign workers – Daily Mail
  • Rudd’s brother sees red over her migration plans – The Times (£)
  • Sturgeon will back firms who refuse to list employees – The Scotsman
  • LBC’s Ferrari clashes with journalist on migrant jobs – Daily Express
  • Nobel scientist can’t see point in British citizenship without free movement – The Times (£)
  • Two thousand new schools needed to cope with population explosion – The Sun

More Europe:


  • The EU is better off without freedom of movement – Ed Conway, The Times (£)
  • The SNP are using Rudd’s stupid and inflammatory proposals to mask their EU confusion – Alan Cochrane, Daily Telegraph
  • Why Europe wants a hard Brexit to hurt – Charles Grant, The Guardian

>Today: Syed Kamall MEP in Comment: The EU elites still don’t get it

>Yesterday: ToryDiary: Forcing businesses to declare how many foreigners they employ is an awful and clumsy idea

Fraser Nelson: Remainers are the illiberal Brexit enforcers now, like it or not

MAY Theresa menacing“In her speech, Mrs May said her main enemies are the socialist left and the “libertarian right” – a faction whose troops are perhaps even thinner on the ground than LibDems. I suspect what she really had in mind was liberal Conservatism, the type that Boris Johnson and Michael Gove were preparing to champion had their joint leadership bid not ended in such a debacle. They would have carried on the type of Tory liberalism that underpinned David Cameron’s leadership, and made the coalition possible.” – Daily Telegraph

  • The Tories lurch left and right without a clue where they really stand – Gaby Hinsliff, The Guardian

>Yesterday: James Frayne’s column: May is emerging as the true heir to Thatcher

May could introduce pensioner bonds to help savers

“Theresa May could bring back pensioner bonds for all ages to help long-suffering savers, it emerged last night. Former pensions minister Baroness Altmann suggested government-backed bonds with higher interest rates would be a boost to those who have endured rock-bottom returns for years. It is understood other plans to help savers may include tax breaks, such as ripping up savings limits on Isas.” – Daily Mail

  • Government help for savers within weeks – Daily Express
  • Carney tells the Prime Minister to help savers – Daily Telegraph
  • Gambling adverts face ban from daytime TV – The Times (£)
  • Expats get ‘vote for life’ as Tories plan to scrap 15 year limit – Daily Telegraph
  • Prime Minister urged to roll back policies hitting under-25s – The Guardian

Patel challenges World Bank to stop spending aid on developed countries

aidgraphic“Britain will today challenge the World Bank to focus aid spending on “countries who need it most”, rather than more developed nations such as Brazil, India and China. Priti Patel, the International Development Secretary, said the World Bank must use British taxpayers’ money to help poor countries “stand on their own two feet”. Britain is the biggest contributor to the bank’s International Development Association (IDA), which provides loans and grants to the world’s poorest countries.” – Daily Telegraph

  • Britain suspends aid payments to Palestine over terrorism concerns – The Sun

Philip Collins: May has no mandate for her manifesto

“Spare a thought for that class of conservative who, drunk on dreams of sovereignty, hoped to turn Britain into a low-tax market paradise. Daniel Hannan, a man who sounds like he has learnt how to be British from a guide book written for foreign tourists, is convinced the referendum provided no mandate for cutting immigration. He is finding he has no say in what the referendum means. The only critic who counts is the prime minister.” – The Times (£)

  • It’s time to bring submarine May to the surface – Martin Kettle, The Guardian

Labour 1) MPs attack ‘hostile’ Corbyn over reshuffle

LABOUR dead rose“Jeremy Corbyn reasserted his authority over Labour last night as he sacked a senior moderate from his team and appointed close allies to key posts. In a move that some MPs branded the most hostile act of his leadership, Mr Corbyn dismissed Rosie Winterton as chief whip and replaced her with Nick Brown, one of Gordon Brown’s former political enforcers. The dismissal was the start of a shadow cabinet reshuffle in which Mr Corbyn handed the key post of shadow home secretary to Diane Abbott, his staunch ally.” – The Times (£)

  • Lawyer behind ‘whitewash’ anti-Semitism report joins Shadow Cabinet – Daily Mail
  • Winterton sacked as Chief Whip – Daily Telegraph
  • Corbyn gives defence brief to anti-Trident MP – FT
  • Leader tells Scots that only Labour has the answers on inequality – The Scotsman

Labour 2) Blair hints at return to prevent ‘one party state’

“Tony Blair today indicates he is planning a dramatic return to front line politics to prevent Britain becoming a ‘one-party state’. In an extraordinary interview with Esquire magazine, the former Prime Minister acknowledges he is deeply unpopular in Britain in the wake of the Iraq war. But he says he is ‘very motivated’ to try and save the brand of centre-left politics which saw him win three elections, but which has now been abandoned by Labour.” – Daily Mail

Woolfe in hospital after allegely being struck by fellow MEP

UKIP glass“An MEP has revealed he had two seizures after being punched by a UKIP colleague in the European Parliament. Speaking to the Mail from his hospital bed, Steven Woolfe said Mike Hookem ‘came at me and landed a blow’… At one stage it was feared the married father of one was fighting for his life. A tearful Nigel Farage was battling to stop the party breaking apart and UKIP’s biggest donor threatened to quit.” – Daily Mail

  • Hamilton accused of ‘spewing bile’ after blaming Farage – The Times (£)
  • Moneyman threatens to quit party if Hamilton remains – Wales Online
  • How the UKIP heavyweights compare – The Times (£)
  • Banks blasts party’s ruling team as ‘circus clowns’ – The Sun
  • Farage launches probe into Woolfe collapse – Daily Express


  • RIP to the party that changed Britain forever – Dominic Sandbrook, Daily Mail
  • Only a failed Brexit can save UKIP now – Alexandra Phillips, The Guardian


  • UKIP’s elected representatives need to grow up, fast – The Times (£)



SNP reject coal gasification despite warnings that Scotland will lose out

“Scotland has lost the chance to be a “world leader” in a technique that would allow the extraction of gas under the Firth of Forth and swathes of the country, an energy company has claimed after SNP ministers imposed a ban. Paul Wheelhouse, the Energy Minister, said an independent review commissioned by the Scottish Government concluded that Underground Coal Gasification (UCG) found that a “step change” in information would be needed before it could be reliably assessed.” – Daily Telegraph

  • UK fracking go-ahead boosts shale industry – FT

News in Brief:

  • Two million urged to evacuate in the US ahead of Hurricane Matthew – Daily Mail
  • More strike misery as Southern Rail talks collapse again – The Times (£)
  • Scotland Yard unit ‘corrupted’ by private investigators – Daily Telegraph
  • Twitter shares plunge as bid interest wanes – FT
  • Russia warns it will shoot down US planes over Syria – Daily Express