Tonight:
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In his speech to the Labour conference today, the Chancellor, Alistair Darling, will emphasise the Government's commitment to reform of the financial system. He and the Prime Minister will, he says, be visiting finance ministers in the US and Europe to seek ways of preventing the problems from occurring again.
Yet the Government's response to last week's turmoil is not so clear cut. For example, Treasury minister Yvette Cooper says greed in the City must be tackled. Certainly it is disgraceful when the executives of failed institutions walk away from the collapse occasioned by reckless lending with their bonuses intact. But for the Financial Services Authority to regulate bonuses is asking a lot.
The global crisis requires international co-operation. But there is no good reason for Britain to follow the example of the US in bailing out the banking system by taking on responsibility for the banks' poor mortgage debt, as the US Treasury Secretary would like. Where a robust international approach would be welcome is in overhauling the credit rating agencies, which gave banks' toxic, securitised property debts a secure credit rating — and were paid by banks to do so.
The ambitious plan for the Prime Minister and Chancellor to reform the global finance system looks like a distraction from more pressing economic problems at home. Gordon Brown has told Conference that “in these unique circumstances, it is right to borrow and raise public expenditure”.
Yet Mr Brown has already presided over a significant increase in borrowing — besides the government debt that is kept off balance sheets through Private Finance Initiative schemes. Saddling the next government with massively increased debt looks like culpable short-termism.
The Government cannot be blamed for the financial crisis or the credit crunch. Where it can be blamed is for inflating public spending to the point where it has little ability to manoeuvre now. Sorting out the international financial system is essential. But it should not distract ministers from problems of their own making at home.
A vital inquest
Three years after the killing of Jean Charles de Menezes by police at Stockwell Tube, an inquest begins to determine if this was unlawful. Its chief interest will be the testimony from the two officers who fired seven shots at him at close range, the first time they have given public testimony. Over and above the shooting, the inquest will hear about the missed opportunities to apprehend Mr de Menezes during his journey to Stockwell Tube and the failings that led to his mis-identification.
There have already been four inquiries into this tragedy and an Old Bailey jury found the Metropolitan Police guilty of breaching health and safety laws in respect of the killing. But if the inquest finds against the Met, the questions it raises about the leadership of Commissioner Sir Ian Blair may make it impossible for him to continue.
Heathrow East
The Mayor's plan to move London's main airport from Heathrow to an artificial island in the Thames is bold but unrealistic.
Certainly Mr Johnson's idea is attractive for the way it would reduce the aircraft noise that blights swathes of west London. Such a scheme would also safeguard London's international transport links.
The problem is that it simply will not happen. The likely cost, tens of billions, would be unrealistic at any time but in the teeth of a major financial crisis, who would provide investment on this scale? Airport operator BAA, the airlines and the Government would oppose the move.
Lastly, Boris does not have the powers to make it happen. The Mayor is to be credited for his readiness to embrace bold new thinking. Unfortunately, London is stuck with Heathrow: now we have to find ways of making it work better.
