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September 22 - 282010

News

TheTelegraph

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NEWS P7

Politician killed Prominent Pakistani stabbed outside his London home

COMMENT PAGES18, 19&21

The future of Britain at war Our top writers look at the Strategic Defence Review

OBITUARIES P22

Lord Bingham Outstanding judge who championed human rights

FEATURES PAGES24-25

Citizen sentinels The village that’s updated the concept of neighbourhood watch

LOTTO 15/09

LOTTO 18/09

20 2 33 40 43 46 4 5 16 17 20 32

Bonus Ball 14

Bonus Ball 3

There were three winners of Saturday’s £7.3m jackpot but no one won Wednesday’s £2.9m prize

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Party pack For all the latest from the Liberal Democrat party conference telegraph.co.uk/politics

The Telegraph

LIB DEM CONFERENCE

RIISCHROER

By Rosa Prince Political Correspondent MIDDLE-CLASS professionals could be subjected to lie detector tests as part of moves against tax evasion.

Debt collection agencies will work with HM Revenue and Customs to investigate the records of 150,000 people earning more than £150,000 a year — the threshold for the 50 per cent income tax rate.

It comes after a pilot amnesty, aimed at the medical profession, led to one doctor handing over £1million in unpaid taxes, and a dentist owning up to a £300,000 bill. Similar campaigns will be aimed at other high-earning professionals, such as those in the law, architecture and elite sports.

After HMRC’s tax collection fiasco, ministers will commission private debt collection companies to claw back £1billion in unpaid taxes. Companies such as Capita have pioneered the use of lie detector tests to identify potential fraudsters for the Department forWork and Pensions.

Sources at HMRC suggested that “voice recognition analysis”, which alerts investigators when a caller claiming benefits sounds nervous, could be used to identify those seeking to mislead tax inspectors.

Savers with offshore accounts will also be targeted, with a dedicated team aimed at catching those hiding money in foreign banks.

Legally, private companies lack the power government agents have to take severe enforcement measures, such as raiding properties.

But sources said pilot schemes showed that even

Liberal Democrat leader Nick Clegg and his wife Miriam share a lighter moment during a conference filled with recrimination with the limited powers to write and telephone suspects they were far more efficient and effective at clawing back money than HMRC staff.

Companies proved particularly successful at forcing tax avoiders to pay small sums.

The £900million drive against tax avoidance, evasion and fraud was announced on the first full day of the Liberal Democrat Conference.

It is seen as a sop to delegates who have called for higher earners to bear more of the pain of the recession.

During a question-andanswer session, Nick Clegg, the Deputy Prime Minister and party leader, was accused by one activist of allowing the poor to bear the brunt of the forthcoming programme of spending cuts.

In his keynote speech to the conference on Monday, Mr Clegg was trying to soothe delegates’ nerves by highlighting the plans on tax evasion, making much of the impact on higher earners.

“People who avoid and evade paying their taxes will no longer get away with it,” he said. “We will be tough on welfare cheats. But unlike Labour, we’ll be tough on tax cheats too.”

HMRC estimates that the annual number of prosecutions will rise fivefold, bringing in £7billion a year.

In his conference speech, Danny Alexander, the Chief Secretary to the Treasury, said: “There are some people who seem to believe that not paying their fair share of tax is a lifestyle choice that is socially acceptable. It is not.

“Decisions we make in the spending review will ensure the taxman has the resources to be ruthless with those oftenwealthy people and businesses who think they can treat paying tax as an optional extra.”

Officials calculate that £7billion is lost each year through tax avoidance.

By Andrew Alderson LORD ASHCROFT, the controversial billionaire Tory donor, has written a tough public critique of what he sees as the costly flaws in the Conservative Party’s election campaign.

He told David Cameron last Friday night that he would resign as deputy chairman of the Conservative Party at its board meeting this week.

The departure of the Tory life peer, who was a tax exile in Belize before returning to Britain this year, will leave a gap in the party’s structure because he masterminded the party’s marginal seats campaign and internal polling.

Lord Ashcroft indicated before the election that he would stand down as deputy chairman, the role he had held since 2005, but his resignation will end growing speculation that he would retain a prominent official role with the party.

In Lord Ashcroft’s assessment of the election campaign, he highlights what he believes were the Conservative Party’s tactical errors and why it failed to win the majority that many were predicting and was left to form a coalition with the Liberal Democrats.

The peer criticises the party for failing to get its “message” and “brand” across to the voters; relentless counterproductive attacks on the Labour Party and Gordon Brown; and agreeing to a televised debate of political leaders that enabled the Liberal Democrats to seize the “real change” initiative.

The Tory peer believes the analysis is constructive criticism and many in the party will be relieved that his verdict on the campaign is not as damning as some insiders have been predicting.

Lord Ashcroft, 64, goes out of his way to praise Mr Cameron’s personal contribution and says the party should feel “proud” of the result.

LIB DEM CONFERENCE

By Andrew Porter LIBERAL DEMOCRAT activists gave Nick Clegg a rough ride amid claims that he had taken the party too far to the Right to accommodate David Cameron.

In a question and answer session on Sunday, the Lib Dem leader was accused of disenfranchising his party by Sandra Gidley, a former Lib Dem MPwho lost her Romsey and Hampshire seat at the general election.

“I thought we would go into government being the Government’s conscience, standing up for those in society less fortunate than us. My concern is that that hasn’t happened,” she said.

“We have always been a party of the people, and I think that at the moment the public sees us as putting power before the people.

“We seem to be drifting as a party towards the Right and there are quite a lot of people feeling disenfranchised because the party we see now isn’t the party we joined.” Mr Clegg was also warned not to start talking about “politicians in denial” when it was the Lib Dems who had been warning of the danger of cutting too quickly during the election campaign.

Richard Grayson, the former Lib Dem policy director who unsuccessfully fought the Hemel Hempstead seat at the general election, said: “I was involved in writing our manifesto. What I said to people is what you all said: we and Labour want the same scale and timing of cuts – except we are being more honest about what that actually means – and the Tories are economically irresponsible.”

Linda Jack, a Lib Dem activist said: “We say that no one should be enslaved by poverty, and yet so many of these cuts are going to disproportionately affect the poorest. All our youth policy, I don’t see it in the Coalition agreement.” Mr Clegg later seemed to soften his stance on whether the cuts programme would go ahead in full, even if there was a double-dip recession.

He told the BBC: “We’re not producing an approach to deficit reduction that says we are going to pursue this irrespective of what happens in the world around us.”

The Deputy Prime Minister also defended Vince Cable’s decision to criticise the Government’s immigration policy, after the Business Secretary said last week that an interim cap on foreign workers coming to the UK was “very damaging” to British industry. telegraph.co.uk/expat

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September 22 - 282010

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Out on a limb? Join our community, meet other expats, swap tips and advice, and get your ownblog telegraph.co.uk/myexpat

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By Matthew Moore SEVENTY years after the RAF and Luftwaffe clashed in the skies over southern England, the pilots who repelled the Nazi assault were honoured by the country’s leaders on Sunday for what may be the last time.

Battle of Britain veterans received a nation’s thanks as the sacrifice of The Few was remembered at Westminster Abbey. During a moving ceremony, six veterans paraded the Battle of Britain Roll of Honour — which lists all 2,936 crew who fought in the battle — through the abbey, bringing many guests, including the Prince of Wales, to the verge of tears.

The former airmen, all in their late eighties or nineties, are among just 25 Battle of Britain pilots thought to be alive today.

Sqd LdrTony Pickering, 90, who took part in the procession, said: “It’s very special to come here because we are remembering the pilots who did not make it. We are getting fewer each year.”

Two days after graduating as an RAF helicopter co-pilot, Prince William took centre stage at the service, leading his father and the Duchess of Cornwall as they took their places in the abbey.

The Prince of Wales again deferred to his son as the royal party departed, reflecting the second in line to the throne’s increasingly prominent public role.

Speaking afterwards, the Prince of Wales said he was “humbled” by the bravery of the servicemen who defended Britain during the summer and autumn of 1940.

“I always find it so moving, this particular service each year, it always brings a tear to my eye,” he said.

The Prince of Wales also told how his grandmother, the late Queen Elizabeth the Queen Mother, spoke of a German bomber flying up The Mall to bomb Buckingham Palace.

“One of those bombs fell

Guests at the service, including David Cameron, Prince William and RAF members past and present, watch the fly-past, led by a Spitfire into the Palace and didn’t go off, so you’ve got the incredibly funny sight of people carrying the bomb on a stretcher down the corridor,” he said.

Other guests at the thanksgiving service included David Cameron, Liam Fox, the Defence Secretary, and Baroness Thatcher.

Tributes to The Few were led by the Very Reverend Dr John Hall, the Dean of Westminster. He lauded the “heroism and dedication” of members of the RAF, “without whose bravery … the Second World War would have been lost”. “We honour all who have fought and those who still fight in the service of freedom,” he said.

After the service the veterans enjoyed a fly-past led by a Spitfire and Hurricane, the two fighter aircraft most closely associated with what Winston Churchill described as this country’s “finest hour”.

Flt Lt Robin Appleford, 89,

who flew with 60 Squadron during the Battle of Britain but did not take part in the procession, said he struggled to put his emotions into words. “What can you say?” he added. “It’s not just for me but for all the others that were there. I feel very lucky to be here.”

By Duncan Gardham Security Correspondent THE spy whose naked body was found in a sports bag in an empty bath was probably involved in an unusual sex game, police now believe.

Officers have ruled out almost every other possibility. They have come to the view that Gareth Williams probably died after climbing into the bag, which was then locked by another person.

It is unclear whether he did so on instructions from the other person or was locked in at his own request.

However, detectives believe he was probably indulging in a sadomasochistic game in which he got a thrill from being helpless.

It is likely that once locked and left in the bag, he died from a combination of causes including suffocation and dehydration, which sources said can be hard to identify in a post-mortem inquiry. The red holdall was made from a laminate material and had reinforced seams, making it hot and almost impossible to escape from. MrWilliams’s top-floor flat in Pimlico, central London, is likely to have been hot in the August weather, causing him to pass out.

The North Face bag was padlocked from the outside and officers believe another person was supposed to return to the flat to release him, but when they came back they found him dead.

Scotland Yard is still seeking a Mediterranean couple aged between 20 and 30, who were let into the spy’s flat late one evening in June or July.

Officers have been unwilling to ascribe motives to the killing before investigating all the options, which included the possibility that MrWilliams was murdered to prevent him decrypting messages from foreign powers.

Toxicology tests have so far failed to find any signs of poison in his system. Previous tests have ruled out alcohol and recreational drugs.

No bruising was found on the body, making strangulation unlikely.

Detectives from Scotland Yard’s Homicide Task Force say they did not find any other signs of a sexual fetish at Mr Williams’s flat, although investigations continue.

MrWilliams, 31, a keen cyclist and mathematician, came from Anglesey, North Wales.

One source close to the inquiry said: “We began with a variety of less probable scenarios, eliminating each one until we ended up with the most likely.”

By Holly Watt and Matthew Moore MORE than 9,000 public sector employees earn more than the Prime Minister, according to most comprehensive analysis of state pay levels undertaken.

In a stark illustration of the financial rewards available to workers in the National Health Service, schools and police forces, the study found a total of 9,187 earning more than the £142,500 paid to David Cameron. There are also 38,000 who earn more than £100,000 a year.

The study, by the Bureau of Investigative Journalism for the BBC’s Panorama programme, is the first to put an overall total on the number of state employees earning more than the Prime Minister. The figure is substantially higher than previous estimates suggested by surveys of civil servants, council or NHS workers.

The research threatens to undermine calls by trade unions for “civil disobedience” and coordinated strike action over the Coalition’s proposed programme of cuts to public sector pay and perks.

It follows official statistics last week showing that state employees earn an average of £74 a week more than their private sector counterparts. Public sector workers also enjoy more generous pension packages and have traditionally had greater job security.

Business and workers’ groups called at the weekend for urgent steps to bring high public sector pay “back to reality”. The British Chambers of Commerce said “messed-up” incentives were undermining the economy by tempting talented people away from the wealthcreating private sector.

GPs, head teachers, policemen and BBC executives are among the public servants identified in the latest study as earning six-figure salaries.

Nearly 6,500 NHS staff are paid more than the Prime Minister, with two GPs earning about £475,500 a year; 385 teachers in England earn more than £100,000 and 17 get more than the Prime Minister.

Francis Maude, the Cabinet Office Minister, said that the inflated salaries should not be necessary and that people should be driven to work for lower salaries out of a sense of public duty.

“You don’t need to pay stupendous amounts to get good people,” he said. “That public service ethos is very important.”

TheTelegraph