PRIME MINISTER DEMANDS EU ALLOW UK TO REVISE FUTURE STANDARDS

The prime minister has demanded that the European Union revise the terms of the UK's future relationship with Europe to allow Britain to significantly diverge from European rules after Brexit. It's reported the European Commission told EU27 diplomats on Tuesday that the UK government was determined to break away from EU standards, going back on commitments made by Theresa May's government to uphold a ?level playing field? in key areas such as the environment and social standards once the UK has left. The demand to change the political declaration text that is part of the Brexit deal was made by David Frost, Mr Johnson's Europe adviser, during negotiations in Brussels last week, according to a diplomatic note seen by the Financial Times. 

A spokesperson for the UK government said: ?There will need to be some consequent changes to the political declaration to reflect the future goal of a Free Trade Agreement, if we are to reach a deal. After we leave the EU, the UK will be the same country it has been in the past: dependable, open and fair. We have an unrivalled track record of promoting high standards and that will not change after we leave the EU (the Financial Times, online only)."

POLICE NEED TO "STEP UP" FIGHT AGAINST FRAUD, ACCORDING TO NCA HEAD

Fraud is ?not getting the attention it deserves? and should be taken far more seriously by police, the head of the National Economic Crime Centre Graeme Biggar has said in comments to the Evening Standard (p2). Mr Biggar said the government's pledge to recruit more police officers should be combined with an increase in the number of specialist financial investigators used to track down illicit money. He added that tackling fraud would require a ?cultural shift? with a greater focus on removing assets from offenders, including through unexplained wealth orders, to disrupt their activities and reduce the harm inflicted on the public.

SCOTLAND SETS OUT PLAN TO TACKLE CLIMATE CHANGE

The Scottish government has made tackling climate change the ?centre piece? for its 2019-20 programme, with the launch of a new Scottish National Investment Bank due to begin operations next year. It will also create a £3 billion package of investments to attract green finance to Scotland. The Scottish National Party first minister Nicola Sturgeon, yesterday pledged to curb emissions and greenhouse gases with the ?primary mission? of securing a net zero carbon emission economy. Other measures announced by Ms Sturgeon include the development of regulations so that new homes from 2024 use renewable or low carbon heat (Financial Times, p2, print only, ITV News, online only).

NEWS IN BRIEF

Labour MP John Mann has been appointed as interim chair of the Treasury Committee, replacing the Rt Hon Nicky Morgan MP who was appointed as Secretary of State for Culture in July. The committee will take evidence from Bank of England governor Mark Carney today on preparations for Brexit and the Bank's latest inflation report (Daily Telegraph, £, online only).

Negative interest rates and quantitative easing may end up causing more ?harm than good? to economies rather than delivering any intended boost, according to Huw van Steenis, a former senior adviser to Bank of England Governor Mark Carney, reports The Times (p38, £).

A rising number of people are being tricked by fraudsters using hashtags on social media, with under-25s the most at risk, reports the Daily Mirror (p36).

Prison sentences for money laundering have risen to an average of 27 months in 2018, the longest on record, according to analysis by City law firm Baker McKenzie (The Times, £, p50). 

WHAT THE COMMENTATORS SAY

There will be numerous references to ?fiscal headroom? as the chancellor delivers the government's next Spending Review later today, writes Faisal Islam, economics editor at the BBC. There will be some £15 billion in extra borrowing available from the government's 'self-imposed overdraft limit?, with Sajid Javid also benefitting from low borrowing costs. Islam says that separating the Spending Review from the Budget has had 'the happy coincidence that there are no new independent fiscal forecasts?, which would likely have painted a gloomier picture of the economy and cut the amount of money available. 

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