David Cameron accuses anti-austerity Tories of being 'selfish', not 'compassionate' – as it happened

• David Cameron, the former prime minister, has accused anti-austerity Conservatives who are lobbying for the 1% cap on public sector pay to be lifted of being “selfish”, not “compassionate”. (See 4.22pm.)

• Talks in Northern Ireland have broken up without a deal on power sharing. Michelle O’Neill, the Sinn Fein leader in Northern Ireland, has described the crisis as a “monumental failure” by Theresa May.

• Sajid Javid, the communities secretary, has been strongly criticised by Labour council leaders for claiming that local government generally faces a “crisis of trust” after Grenfell Tower. (See 3.51pm.

• The government has defended the appointment of a retired appeal court judge to lead the inquiry into the Grenfell Tower fire and hinted that his remit could be widened, after he faced calls to resign from two Labour MPs.

• Three weeks after the Grenfell Tower fire, nearly all the residents evacuated from the west London estate remain in hotels despite Theresa May’s promises to find them permanent accommodation.

• A Guardian/ICM poll suggests that almost 30% of people thinks austerity contributed to so many people dying at Grenfell Tower. (See 12.48pm.)

• The Welsh and Scottish governments will offer free abortions to Northern Irish women, their leaders have confirmed, after the UK government said last week it would fund the procedures in order to head off a Commons revolt on the Queen’s speech.

• The government has moved to dampen fears in the pharmaceutical and life sciences industry that Brexit will mean patients and the NHS will wait longer and pay more for drugs and treatment.

That’s all from me for today.

Thanks for the comments.

4 Jul 201711.37 EDT

Henry McDonald

Democratic Unionist leader Arlene Foster has confirmed there has been no deal to restore power sharing government in Northern Ireland.

Foster came out of Stormont Castle to speak to the media this afternoon stressing that there would still be communications between the political parties and principally with Sinn Fein. She denied that there would be a political vacuum over the summer and that lines of communication would be kept open.

She said:

We are going to continue talking throughout the summer, I want to send that message very firmly to the people we represent. I think what we want to see is an agreement that everyone can buy into, whether you’re a nationalist or a unionist.

I hope others involved in this process are looking at the bigger picture as well and are saying if we want devolution, then you need to find an accommodation that everyone can feel comfortable with.

Jeremy Hunt, the health secretary, has been tweeting about the document he was photographed holding today referring to Brexit leading to people “fleeing [the] UK”. (See 1.03pm.)

David Cameron has also been tweeting about his South Korea visit.

He seems to be making a point about about how the UK does not need Brexit and the international trade secretary Liam Fox to double trade with countries like South Korea.

David Cameron, the former Conservative prime minister, has spoken out in the debate on public sector pay. With cabinet ministers queuing up to call for the 1% cap on public sector pay to be lifted, and, by implication, criticising the Cameron government’s austerity programme, he has hit back, accusing those who favour higher public spending of being “selfish”. Speaking in South Korea he said:

The opponents of so-called austerity couch their arguments in a way that make them sound generous and compassionate.

They seek to paint the supporters of sound finances as selfish, or uncaring. The exact reverse is true.

Giving up on sound finances isn’t being generous, it’s being selfish: spending money today that you may need tomorrow.

Cameron’s comments seem to be aimed particularly at those Tories who want to borrow more to fund higher public sector pay. His remarks don’t seem to be directed so much at those, like Sir Oliver Letwin, who have explicitly said taxes, not borrowing, should go up to release more money for the public services.

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Here is some more reaction to Sajid Javid’s speech to the LGA. (See 3.51pm.)

From Michael Payne, the Labour deputy leader of Gedling council

From Nick Golding, the Local Government Chronicle editor

Sajid Javid, the communities secretary, gave a speech to a Local Government Association conference earlier. And he claimed that the Grenfell Tower fire showed that local government faced a “crisis of trust”. He told the LGA:

Speaking to survivors, people in the local community, and people in tower blocks around the country, one thing is abundantly clear. Local government is facing a looming crisis of trust.

A decade ago, up in Blackpool, David Cameron said that you can’t drop a fully-formed democracy out of an aeroplane at 40,000 feet. He was talking about foreign wars and military interventions, but it’s a lesson that all of us here today would do well to remember.

Because all politics is local. Whether you’re councillor or an MP, we are elected by our local communities to serve the people of our local communities – to ensure their interests are put first. We see and feel the effect of our decisions on our streets, and in the services we use every day. And when something isn’t working, when something isn’t right, it is our duty to speak up and do something about it.

I know how hard many of us work to do just that. But if the events of the past few weeks have taught us anything, it’s that we have to raise our game.

The ties that bind local government to local communities have not snapped. But if we don’t act now, such a time may one day be upon us.

Nick Forbes, the Labour leader of Newcastle council, said that Javid’s attempt to suggest all councils were implicated in the failures of Conservative-led Kensington and Chelsea was “outrageous” and that his speech went down “like a bucket of cold sick”.

Firefighters’ leaders have criticised a new pay offer even though they say it is the first to breach the Government’s 1% cap on the pay of public-sector workers, the Press Association reports. The Fire Brigades Union (FBU) said the proposed agreement is worth 2% on basic pay this year and a potential 3% rise from April 2018, with potential further increases in 2019 and 2020 without any figures being suggested. FBU general secretary Matt Wrack said the offer showed the 1% pay cap in the public sector was “dead in the water”, but he added it was not good enough. He said:

Firefighters have endured seven years of pay restraint imposed by the Government.

Their real wages are falling and our members are struggling to make ends meet. Firefighters have, in addition, taken on many new roles that are not being recognised in their pay.

It is sickening to hear politicians praising firefighters for the outstanding work they do every day of their working lives only to be told they have to tighten their belts as a result of economic problems caused by bankers.

This offer demonstrates that the 1% cap is dead in the water but the offer from our employers is simply not enough.

It does not recognise the extra work firefighters have been doing, it fails to address their falling living standards and, despite hints at improvements, does not make clear what they will be earning in future years. This offer lacks detail and credibility.

FBU members will now consider the offer at local meetings and the union’s executive will meet later in the month to discuss its next move.

4 Jul 201710.30 EDT

Henry McDonald

The Irish and British governments are expected to announce the suspension of talks aimed at restoring power sharing in Northern Ireland. The discussions are expected to resume again in the autumn as the two main parties - the Democratic Unionists and Sinn Fein - are no more closer to securing an agreement.

Earlier Irish foreign minister Simon Coveney had hinted that the talks would end today. Sinn Fein sources later confirmed the talks would be wrapped up by the end of the day.

Northern Ireland Secretary James Brokenshire will now have to legislate for a budget to keep vital devolved ministries in Belfast such as health and education running. It is likely Brokenshire will choose the option of appointing senior Belfast-based civil servants to take over the ministries during the summer instead of transferring power back to London based ministers and reimposing direct rule.

Buildings at three NHS trusts in England have failed fire safety tests in the wake of the Grenfell Tower disaster, NHS Improvement has said. As the Press Association reports, Sheffield Children’s NHS Foundation Trust is taking steps to remove cladding from one of its buildings following a negative test result.

NHS Improvement said the building is not used for inpatient accommodation and “measures are being put in place to ensure the safety of the building while the cladding is removed”.

Cladding from a building at North Middlesex University Hospitals NHS Trust has also failed the test and is being removed. It does not house any inpatients.

King’s College Hospital NHS Foundation Trust in south London announced on Monday cladding at one of its buildings was being taken down following tests. It is also a building not used by patients.

A spokeswoman for NHS Improvement said: “Patient safety is paramount. There will be no disruptions to patient services or continuity of care.”

Jeremy Corbyn is not backing the shadow fire services minister’s call (see 1.43pm) for Sir Martin Moore-Bick to resign as chair of the Grenfell Tower inquiry, according to a party source. The Labour leader “has not called for him to go”, a source said.

Corbyn has demanded a two-part inquiry looking first at the specific issues at Grenfell and then a wider examination of national issues. And he also wants transparency and the full involvement of the residents in the process, a source said.

In an earlier post (see 1.20pm) I described David Lidington as justice secretary and lord chief justice. That should have been justice secretary and lord chancellor, of course. Sorry.

4 Jul 201708.49 EDT

Rowena Mason

No 10 is refusing to say whether cabinet ministers spoke about the public sector pay cap row at their meeting this morning.

But Theresa May’s official spokesman did disclose a discussion about concerns that general election candidates were subject to unacceptable harassment and intimidation during the campaign, after a flurry of complaints from Tory MPs. The cabinet discussed what action could be taken to prevent such abuse in future.

Sheryll Murray, the Conservative MP for South East Cornwall, was the first to speak out about her treatment last week, saying it involved someone urinating at her office door and death threats on social media.

“Over the past month I’ve had swastikas carved into posters, social media posts like ‘Burn the witch’ and ‘Stab the c***,” Murray told the Commons chamber during PMQs.

Abuse was not limited to threats against Conservative candidates. Nimco Ali, a candidate for the Women’s Equality party, received a death threat in a letter filled with racist abuse and signed “Jo Cox”. Police also had to be called to the offices of the party, where workers were being inundated with abusive and threatening calls in the
run-up to the election, with one man telephoning to say he was 10 minutes away and they should be scared.

On the World at One Chris Williamson, the leftwinger who was appointed as shadow fire services minister yesterday, said Sir Martin Moore-Bick should resign as head of the Grenfell Tower inquiry. Williamson said:

I think he should step down. And if he is not prepared to do that, then I think the government need to sack him and find someone else.

Williamson said Moore-Bick did not have the confidence of the survivors.

I have had reported to me - I have not spoken directly to residents - that they are not happy about him, they don’t feel he is fit for purpose. They don’t think that he would be suitably independent. And consequently they are calling for somebody who they feel they would have more confidence in.

And given that this community has been disregarded and ignored for years and years I think it is really important the government listens now and puts somebody in place who this community has confidence in.

Williamson said he was concerned by the judge’s record.

If you look at his record, it does seem that there have been one or two cases where he has tended to come down, when he has made his judgments, on the side of the establishment and he has been overturned in the supreme court on that basis.

Williamson also said that John McDonnell, the shadow chancellor, was right to say that the Grenfell Tower victims were “murdered by political decisions”. Several Labour MPs have said they would not support that claim, but when Williamson was asked if McDonnell was right to say that, he replied:

I do. It’s a problem which dates back three or four decades now where public services have been viewed as a cash cow, an opportunity to make money for the private sector. And we’ve got to move away from that. Public service should be about delivering good for the wider general public, not about serving the interest of private business and generating private profit. We need to move way from the neoliberal economic agenda that has held sway for so long over government policy and move back to a system where we recognise the importance of public services, because public services define a decent society.

I think it is pretty clear that had we had in place the system of public housing that we used to have, that this tragedy would not have happened.

David Lidington, the justice secretary and the lord chancellor, who recommended Sir Martin Moore-Bick to the prime minister as head of the Grenfell Tower inquiry, has defended his appointment. In a statement Lidington, who has lord chief justice is responsible for defending the judiciary, said:

The public inquiry into the Grenfell Tower disaster has understandably been the subject of much commentary. People have every right to feel passionate about this. The community - and the whole country - want answers following such a horrific tragedy.

That is why it is right that there should be a judge-led inquiry into the disaster, and that the residents are consulted before the terms of reference are decided.

Our judiciary is respected the world over as fair, free from improper influence, and truly independent from government and parliament.

As lord chancellor, I am clear that their motives and integrity should always be respected and not impugned by politicians. I have complete confidence that Sir Martin Moore-Bick will lead the inquiry into this tragedy with impartiality and with a determination to get to the truth and see justice done.

Downing Street has also backed Moore-Bick, with the prime minister’s official spokesman saying he was a “highly respected, hugely experienced” former court of appeal judge.

UPDATE: I’ve corrected this post. Lidington is, of course, lord chancellor, not lord chief justice.

4 Jul 201708.03 EDT

Lisa O'Carroll

Health secretary Jeremy Hunt’s was snapped with briefing notes exposed as he went to Downing Street for cabinet meeting.

One question he apparently needed prep on was: “Hard brexit means people fleeing the UK”.

Figures recently showed that the number of nurses from the EU registering to work in the UK has dropped by 96% less than a year after the Brexit vote.

Hunt’s notes show his answer for this question: “What recent discussions have you had with home secretary on ensuring … NHS has the workforce it needs after the UK leaves the EU?”

The answer he was to give was:

The 150,000 EU nationals working in our health and care services do a brilliant job and we want them to continue doing it. I am in regular talks with cabinet colleagues to inform both domestic workforce and the government’s negotiations with the EU.

Bullet points on his notes give him statistics to back up his point.

Around 2,200 EU docs joined the NHS in year to March 17

Around 62,000 nurses (~19%) are EU nationals [as at Mar-17]

Around 4,000 EU nurses joined the NHS in year to March 17

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In the Commons, in response to the Labour urgent question about school funding, the schools minister Nick Gibb has confirmed that the government has dropped the Tory manifesto plans to get rid of free school meals for infants, the Independent’s Rob Merrick reports.

4 Jul 201707.57 EDT

Matthew Weaver

London Mayor Sadiq Khan says the public cannot trust the new leader of Kensignton and Chelsea because she is “tainted” by the council’s woeful response to the Grenfell tower fire.

On Monday the borough elected former education cabinet member Elizabeth Campbell to replace fellow Conservative Nicholas Paget-Brown who resigned last Friday after widespread criticism of his handling of the fire.

In an interview with LBC Khan urged the government to appoint commissioners to run the council.

Asked if he had trust in Campbell, Khan said:

I don’t see how anybody from the majority party, who are currently tainted, can take over an expect the public to have trust and confidence in them.

He added:

Put aside the years of neglect. Since the fire happened their response has been woeful. And their woeful and inadequate response has led to a vacuum being created and I’m afraid national government hasn’t filled that vacuum. In those circumstances where a council isn’t fit for purpose, there is legislation which allows central government to send in commissioners. My advice to government, and I’ve said this quite forcefully at the task force meetings and I’ve written to the prime minister, is that [they should be] consulting residents and appointing commissioners to not just restore trust and confidence but to provide services residents need.