The financial crisis continues for the papers following the confirmation of the partial nationalisation of the UK banking sysytem and the worldwide cut in interest rates.

Interest rate cuts overshadowed by spectre of recession says the Times

Interest rates across the world were slashed yesterday as central banks took unprecedented emergency action in an effort to contain the worst economic threat since the Great Depression. Hours after the Government unveiled a £500 billion rescue package for the British banking system, the Bank of England joined forces with its counterparts across the Western world to cut rates by half a percentage point.

but adds

In its bleakest forecast for years, the International Monetary Fund said that the world was entering a major downturn in the face of “the most dangerous shock . . . since the 1930s”. The US and Europe were either on the brink of or already in recession

Back from the brink says the Telegraph as it reports

Gordon Brown has said a £500 billion bail-out of British banks will restore "confidence and trust" in the financial system.

continuing

"This is not a time for conventional thinking or outdated dogma but for the fresh and innovative intervention that gets to the heart of the problem," he said at a Downing Street news conference.

The Independent describes the Global gamble as it has the banner Special edition across its front page

The world's central banks and governments appear to be running out of ammo in the face of a financial crisis that has been intensifying by the hour.
Even the unprecedented global interest-rate cut of half a percentage point yesterday had only the most limited effect, while the IMF called the credit crisis "the most dangerous shock in mature financial markets since the 1930s" and warned of a recession in the UK and elsewhere next year

Staring into the Abyss says the Guardian next to a picture of a pensive looking Prime Minister and Chancellor

The most concerted effort yet by global authorities to bring an end to the 14-month credit crunch, using every weapon in their arsenal, failed to restore battered confidence last night. Stockmarkets tumbled despite a £500bn bank rescue package from the British government and unprecedented interest rate cuts from the world's key central banks

Now we can hope again says the Express.It is optimistic and thinks

Britain can today dare hope that brighter times lie ahead – as long as the biggest economic gamble in our history pays off.
After months of gloom, the Bank of England slashed interest rates by 0.5 per cent yesterday, with expectations of big cuts to come.

The Mail is less happy

£16,000 EACH: That's what every one of us could have to pay for the Great Bank Nationalisation

That figure is the share of the bill we all face should Gordon Brown's gamble not pay off

.says the paper

International Rescue says the Sun

THUNDERBIRDS lookalike Alistair Darling led an international rescue effort yesterday to save the world’s banks.
The bushy-eyebrowed Chancellor teamed up with American and European finance chiefs to stave off a global slump.
Darling’s staggering £500billion injection to bail out Britain’s banks is equal to a £20,000 bill for every single taxpayer.

The Mirror refers to the £500m Balti bail out

The mammoth £500billion bail-out of Britain’s banks was sealed over a takeaway curry, it was revealed last night.
As talks on the biggest economic rescue plan in British history went on into the small hours, Chancellor Alistair Darling sent out for a balti.

The ramifications of the days events are poured over,the Telegraph says that

Imagine your house is on fire. Along comes Alistair Darling in his Fireman Sam role with one gigantic hose. He sprays the entire contents of the Thames over it. Then he goes home. Hours later your house is on fire again.

Where the recession will bite says the Independent as it analyses the different sectors of the UK including the high street where

Retailers are already feeling the effects of a consumer spending downturn. The fashion chain Miss Sixty and curtains-to-duvets group Rosebys have already gone into administration while the sports retailer JJB is in dire straits.
Amid warnings from one City analyst that the British high street is heading for its worst Christmas in 30 years, an insolvency specialist warned this week that 323 UK retailers are on a "critical watch list" with a 70 per cent chance of failing in the new year. Begbies Traynor said banks will call in debts on poorly performing chains once they have reduced as much of their stock as possible.

The Times reports that

Dozens of local councils risk losing hundreds of millions of pounds of taxpayers’ money held in Iceland’s stricken banks. Town halls across the country may have to raise council tax and cut services as the repercussions of the collapse of the Icelandic economy broadened into a diplomatic row with Britain.

Bail-out deal means curbs on executive pay says the Guardian

Britain's leading banks have agreed to curb executive pay, cut shareholder dividends and keep lending to small businesses and would-be homeowners in return for a £500bn taxpayer bailout.

whilst also reporting that

The public finances were already under increasing pressure from a deteriorating economy but yesterday's £500bn of support for the banking sector may have surprisingly little impact on the figures.
Taxes are expected to rise in coming years and spending will be cut. But that was already likely as the economy tipped into recession this year and spending has run ahead of tax receipts for years.

The Mail reporting also that

Gordon Brown was under increasing pressure last night to impose a blanket ban on bonuses for fat cats at banks being bailed out with taxpayers' cash.
The Prime Minister insisted there would be curbs on payouts for senior staff at seminationalised banks, saying the Government wanted to 'reward hard work' not 'excessive risk-taking'.

Away from the financial turmoil,the Times reports that

Clusters of speed cameras that will monitor drivers’ average speed on all routes across a wide area are to be deployed on hundreds of roads next year.
It will be impossible to evade detection because the digital cameras will cover every entry and exit point and, unlike the earlier speed cameras, will never run out of film.
Drivers who slow down briefly or who make a detour from the main route will still be caught because up to 50 of the cameras will work together in a network. They can be positioned more than 15 miles apart and will automatically read numberplates and transmit data instantly to a penalty processing centre.

The papers look at the latest battle in the Presidential elections,the Telegraph reporting that

John McCain's advisers insisted that he can still win the White House despite a flat performance in the presidential debate in which he twice appeared to demean his rival Barack Obama

According to the Independent

Barack Obama may have come a step closer to the White House if the verdict of Americans on his second televised debate with John McCain, in which both candidates outlined plans to steer the US out of a looming global economic crisis and a recession, is any measure

Back to the UK and the Mail reports

In one picture her arms are draped around a male friend. In another she is embraced by a girl pal and in yet another she pulls faces for the camera.
This is single mother Denise Goldsmith pictured out enjoying herself at a number of parties.
But last night, after the pictures from an internet networking site emerged, the 29-year-old was in police custody, suspected of the manslaughter of her two little boys.
The brothers - aged seven and five - died in each other's arms on Saturday afternoon when their family home was destroyed by fire.

British universities lose ground to their richer foreign rivals says the Times

Cambridge and Oxford have lost ground to Harvard and Yale, while fewer British universities are in the top 200 list, published today, than last year.
At a time when it is essential for British institutions to attract lucrative international students who pay higher fees, they are being outdone increasingly by American universities that receive huge endowments.

Education in the Independent which reports that

People would be able to chat, drink coffee and watch videos in English libraries under a new government proposal, The Independent has learnt. Andy Burnham, the Secretary of State for Culture, will today launch a consultation on changing the face of libraries which he believes are out of touch.

The Telegraph reports on the battle of the touch screens

Touchscreen mobile phones are officially all the rage – BlackBerry has just launched its first ever device to do away with a physical keyboard in favour of a touchscreen interface

The Sun follows up its story of yesterday,the paper reports that

AN Afghan mother does not like the £1.2million house she and her family are living in for free — because it is too big to clean.
The Sun told yesterday how Toorpakai Saindi and her seven children were moved in by the local council — which is paying the £12,000-a-month rent.

The Independent reports on how

There is still a welcome mat outside A Touch of Class, and its website promises visitors "sumptuous earthly delights". But gentleman callers will be disappointed. After nearly 40 years of serving the local community, Sydney's most infamous brothel has shut up shop.

Finally the Guradian reports that aHistorian says Beatles were just capitalists, and not youth heroes

John Lennon controversially declared they were bigger than Jesus, and the levels of fan hysteria and devotion they engendered made them synonymous with the youth culture of the swinging 60s. But a Cambridge University historian today argues that the Beatles were not heroes of the counter-culture but capitalists who cynically exploited youth culture for commercial gain. David Fowler claims: "They did about as much to represent the interests of the nation's young people as the Spice Girls did in the 1990s."