Brown shaken by recession warning

The Prime Minister's push to create an "opportunity-rich Britain" - proposing 18 new laws designed to give people more influence over their local schools, policing and health services - was badly undermined yesterday by a warning from the Governor of the Bank of England that Britain is heading towards a recession. "The nice decade is over," said Mervyn King, indicating that inflation is set to increase sharply to around 3.7 per cent. By contrast, Gordon Brown argued Britain could avoid a recession.