Essential family bills for petrol and staple foods are rising at their fastest pace since records began. Official figures yesterday showed increases of up to 40 per cent over the past year - with the prospect of more to come. The new figures from the Office for National Statistics revealed the scale of the price increases on basic items.

Milk, cheese and eggs are up an average 17.6 per cent over the past year. Oils and fats such as butter are up 15.9 per cent and cereals 7.9 per cent. The biggest rise has been on fuel, with motorists suffering an increase of 20.4 per cent over the last year, pushed up by record oil prices. Since the start of the year, five of the UK's six giant energy companies have hit customers with inflation-busting price rises in the depths of winter. For British Gas's 15.8million customers, there were rises of 15 per cent for gas and up to 19 per cent for electricity. At Npower, electricity prices jumped by up to 27 per cent.

All these increases are the biggest logged by the ONS since records began in 1997. It means a typical family of four must spend an extra £572 a year to buy the same items on their weekly shop. The rises are being fuelled by massive increases in commodity prices, such as wheat, as well as higher global demand from countries such as China.

CHILDREN WITH "CHAOTIC" HOME LIVES TURN UP AT SCHOOL TOO TROUBLED TO LEARN, wrecking their prospects of success in exams, they said. Growing numbers are being brought up in splintered families by mothers with children by different fathers, leading to behaviour and mental health problems including eating disorders and suicidal thoughts, a teachers' conference heard. THEY ARE MORE LIKELY TO LEAD "DYSFUNCTIONAL" LIVES THEMSELVES, CREATING A "TOXIC CIRCLE" THAT NO AMOUNT OF INVESTMENT OR INITIATIVES DIRECTED AT SCHOOLS CAN REVERSE.

Members of the Association of Teachers and Lecturers demanded a proper recognition of the impact of family breakdown on education and CALLED ON MINISTERS TO DO MORE TO PROMOTE MARRIAGE. They said research from around the world showed that lack of stability at home can hamper children's learning. Secondary school teacher Phil Whalley told the ATL's annual conference in Torquay that 40 TO 50 PER CENT OF YOUNGSTERS BORN IN BRITAIN THIS YEAR FACE A GREATER RISK OF FAILING AT SCHOOL BECAUSE THEY WILL BE BORN TO UNMARRIED COUPLES OR SINGLE PARENTS.

Mr Whalley, a teacher at Hardenhuish School in Wiltshire, said: "We all know from professional experience the extent to which chaotic home lives and family breakdowns are damaging the educational prospects of children in this country. We know that no matter how brilliant the lesson, or how much has been spent on rebuilding the school, if a child comes in angry and in emotional turmoil because of their family life they will not learn. FAMILY STABILITY, OR THE LACK OF IT, IS AN IMPORTANT DETERMINANT OF A CHILD'S EDUCATION OUTCOMES."

"We need to blaze a trail in between (curbing inflation and nurturing economic growth)," Wen said after the conclusion of the first session of the 11th National People's Congress, the parliament. Wen was reappointed China's primer minister on Sunday, after his administration attained an eye-catching annual double-digit GDP growth for China in his first term. However, the Chinese premier admitted that it would be challenging to control inflation this year to within the projected 4.8 percent target. China's inflation ran as high as 8.7 per cent in February, partially because the severe snow storms - the worst seen in five decades - battered south China and handicapped food supplies.

Wen's administration has set "two prevents" when mapping out this year's economic policies: to prevent the fast-growing economy from being overheated, and keep structural price rises from turning into significant inflation. Facing a big squad of press corps at the Great Hall of the People in Beijing, Wen noted the worsening conditions brought about by the US subprime debacle, which has spawned a free fall in the value of the US dollar, slammed stock markets worldwide and fed into a surge in oil prices.

"I am closely watching and feel deeply worried about the global economic situation, especially the US economy," Wen said. "What concerns me is the continuous depreciation of the US dollar and when the dollar will hit bottom."

In an emotional speech, delivered in German, Merkel said her country would always be committed to Israel's security, particularly in light of growing threats from Iran. "Especially in this place, I emphasize: Every German government and every chancellor before me was committed to the special responsibility Germany has for Israel's security," she said. "This historic responsibility is part of my country's fundamental policy. It means that for me, as a German chancellor, Israel's security is non-negotiable," she added.

Merkel grew up in former East Germany, the daughter of a pastor. In her speech, she referred to her former country's refusal to take responsibility for the Holocaust; until unification in 1990, that task was shouldered by West Germany alone. She said Communist East Germany considered the Nazi past as a West German problem. "It took 40 years until the entire Germany ... acknowledged its responsibility for history and for the state of Israel," she said.

Merkel expressed support for a two-state solution to the Israeli-Palestinian conflict, but also said Israel does not need unsolicited advice from outsiders. Merkel is not meeting Palestinian leaders during her current trip to Israel.

The Federal Open Market Committee voted 8 to 2 in favour of the reduction to the federal funds rate to 2.25 per cent, the lowest rate in five years. The central bank also trimmed its discount rate for direct loans to banks, and now available to some securities firms, by a similar amount, bringing the cost of borrowing down to 2.5 per cent. The Fed said: "Today's policy action, combined with those taken earlier, including measures to foster market liquidity, should help to promote moderate growth over time and to mitigate the risks to economic activity."

The Fed made the cut as Henry Paulson, the US Treasury Secretary, finally admitted the economy had declined sharply, but he refused to label the situation as a recession.

Mr Paulson said: "We know we are in a sharp downclimb and there is no doubt that the American people know that the economy has turned down sharply. So to me, much less important is the label that is placed on it today. Much more important is what we do about it."

So she decided to perform her own aspartame experiment - with 108 rats for 2 years and 8 months. Daily, she fed some of the rats the equivalent, for their body weight, of two-thirds the aspartame contained in 8-oz of diet soda. Eleven of the females who took aspartame - 37 percent - developed tumors, some of massive size.

The fact that aspartame is endorsed by the U.S. FDA as a safe product, and is recommended by many doctors as a good alternative sweetener in lieu of sugar is enough to make you go speechless with rage. Sold commercially under names like NutraSweet, Equal, Spoonful, Equal-Measure and Canderel, aspartame can be found in more than 6,000 products. It's even found in vitamins, as well as prescription and over the-counter drugs such as Alka Seltzer Plus, and some Tylenol medications.

The Aspartame Danger is NO MYTH! Contrary to what the PR machine says, there is overwhelming scientific evidence that aspartame is exactly as dangerous as we say it is, and whenever you root around to see who gave aspartame its latest "clean bill of health," invariably you will find ties to the industry. DOES IT MAKE SENSE THAT WHAT WAS ONCE LISTED BY THE PENTAGON AS A BIOCHEMICAL WARFARE AGENT IS NOW AN INTEGRAL PART OF YOUR MODERN DIET?

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The FTSE jumped almost 100 points in early trading today but even that was not enough to make up for yesterday's heavy losses. Investment banks Goldman Sachs and Lehman Brothers are both due to report their earnings later on today and the U.S Fed is expected to cut interest rates by as much as one per cent. Lehman Brothers' shares closed 19 percent lower last night ahead on speculation it was vulnerable to the credit crisis.

Yesterday both George Bush and Gordon Brown were forced to make statements in a bid to cool the panic. As the U.S. - the world's largest economy - faced chaos, the president insisted he was "on top of the situation", a claim many experts fear is over-optimistic. Despite the political leaders' attempt to calm nerves, stock markets from Asia to Europe plunged, wiping out billions in investors' savings.

Soon after news of the Bank's move, the Prime Minister issued his message of stability. With the City close to meltdown - 16 per cent has been knocked off the FTSE 100 so far this year - Mr Brown was under pressure to show he has not under-estimated the impact the global turmoil will have on the UK economy. He told MPs: "we will continue to take whatever action is necessary to maintain economic stability." But one of Britain's most experienced investors admitted he was "scared".

In afternoon trading, Lehman shares plunged $14.83, or 37.8 percent, to $24.43. At one point on the day the stock fell to $20.25, its lowest since June 2000. THE STOCK PLUNGE SLASHED LEHMAN'S MARKET CAPITALIZATION TO $12.96 BILLION, COMPARED WITH ABOUT $20.8 BILLION AT THE CLOSE OF TRADING ON FRIDAY. As Wall Street absorbs Bear Stearns' sudden and dramatic downfall, INVESTOR ATTENTION HAS TURNED TO THE QUESTION OF WHO MIGHT BE NEXT. Lehman, which has substantial exposure to the subprime debt that brought down Bear Stearns, is the target of much of that speculation. The bank is scheduled to report its first-quarter earnings Tuesday.

UBS Investment Research analyst Glenn Schorr downgraded Lehman shares to "Neutral" from "Buy" along with other companies in the sector, reflecting the perception that it may be "next on the list" -- though he was quick to offer a caveat. "For what it's worth," Schorr said, "we think Lehman is an excellent company that is far more diversified (by product & geography) than Bear, has a deeper capital base and far better liquidity position, and has done a great job managing risk in this incredibly challenging environment."

Hordes of rats have swept through the forests of Mizoram - home to just under a million tribespeople - feasting on the fruits of wild bamboo, which flowers every 48 years. Experts say that the rich protein content of the bamboo fruits increases the rats' reproductive power, and, when they finished off the fruits, the rats turned their attention to farmers' crops. The last time the bamboo flowered was in 1959 -- and the armies of rats that came in its wake decimated paddy fields across the region, leading to severe food shortages.

In 2007, the government hoped to be better prepared. But the rats could not be stopped because of bad planning and alternative rice supply plans went wrong, aid agencies said. "The government is reluctant to accept that the situation is rapidly slipping out of its control." Local people call the famine which follows bamboo flowering "mautum", which means "bamboo death" in the local language. In 1959, New Delhi brushed off local warnings of a famine as tribal superstition.

Mizoram needs around 15,000 metric tonnes of rice a month, but only about one-fifth of that was available now at subsidised rates. "Sufficient rice is not available with the food supply department. There is a huge shortfall of rice," Dominic Lalhmangaiha, a consultant with the state-run Disaster Risk Management programme, told Reuters. "Villagers are going to jungles to dig out roots to supplement their regular food."

Speaking on the last day of parliament, Mr Wen said the exiled Tibetan leader's claim of "cultural genocide" in Tibet was nothing but lies. Mr Wen said the protests were intended to "sabotage" the Beijing Olympics. China says 13 people were killed by rioters in Lhasa. Tibetan exiles say at least 80 protesters were killed in a crackdown by Chinese security forces. A spokesman for the Dalai Lama said Mr Wen's accusations were "baseless".

The Dalai Lama, who in 1989 was awarded the Nobel Peace Prize for his consistent opposition to the use of violence in the quest for Tibetan self-rule, has repeatedly called for dialogue with China. The protests began on 10 March - the anniversary of a Tibetan uprising against Chinese rule - and gradually escalated, culminating in a day of violence late last week. There have been no moves so far for an international boycott. On Monday, European Union ministers ruled out such a move, saying it would only punish athletes.

But on Tuesday, Ma Ying-jeou, the front-runner in Taiwan's presidential election, to be held on Saturday, said he would "not rule out" a boycott if the crackdown worsened. China says Tibet has always been part of its territory but Tibet enjoyed long periods of autonomy before the 20th Century and many Tibetans remain loyal to the Dalai Lama, who fled in 1959.

AT THESE PRICES, WE HAVE A TRILLION DOLLARS WORTH OF OIL sitting under a section of frozen tundra the size of Dulles Airport near Washington, D.C. We could go get it. Instead we prefer to shovel billions of our dollars to thugs like Chavez while the same politicians who lock up our domestic energy praise him when he offers "cheap" home heating oil to states in the Northeast.

Chavez has said he's changed his mind about cutting off supplies to the U.S., but it's BECAUSE HE'D HAVE A HARD TIME SELLING VENEZUELA'S HEAVY CRUDE -- WHICH REQUIRES SPECIAL REFINING -- ANYWHERE ELSE. He's not doing us any favours. Unfortunately, neither is the U.S. Senate. Oil futures closed above $100 for the first time after the February 18 explosion at Alon USA's refinery in Big Spring, Texas. It could be shuttered for two months. YET THE NIMBYS (NOT IN MY BACK YARD) WON'T LET NEW REFINERIES BE BUILT, AND THE GREENIES WON'T LET THE DOMESTIC OIL BE REFINED.

The heads-in-the-tundra crowd is led by Hillary Clinton. She has voted no fewer than nine times to block drilling in a tiny, frozen part of ANWR. (Arctic National Wildlife Refuge) Her husband first blocked ANWR development in 1995. After Hurricane Katrina disabled offshore oil platforms, revealing our energy vulnerability, MRS. CLINTON SAID: "IT MAKES NO SENSE TO RESPOND TO A DISASTER IN THE GULF BY MAKING A DISASTER IN ALASKA."

Never mind that the caribou and other critters have thrived despite drilling in Prudhoe Bay, which recently delivered its 15 billionth barrel of oil through the Alaska pipeline. BARACK OBAMA, who has voted twice against drilling in ANWR, has noted that a "large portion of the $800 million we spend on foreign oil every day goes to some of the world's most volatile regimes." Still, he says that "WE CANNOT DRILL OUR WAY OUT OF THE PROBLEM." CALL THIS THE AUDACITY OF HELPLESSNESS.

In his book "The Audacity of Hope," Obama writes: "Instead of subsidizing the oil industry, we should end every single tax break the industry currently receives and demand that 1% of the revenues from oil companies with over $1 billion in quarterly profits go toward financing alternative energy research and infrastructure." YET HE'D SUBSIDIZE THE ETHANOL INDUSTRY, WHICH CONTRIBUTES TO RISING FOOD PRICES AND HURTS THE ENVIRONMENT THROUGH INCREASED AGRICULTURAL RUNOFF.

THE SANHEDRIN COURT FOR MATTERS OF PEOPLE AND STATE ORDERED HER IMMEDIATE RELEASE. "Every day and every hour that Tzvia Sariel spends behind bars is a wrongdoing to this girl," Rabbi Ariel ruled. "Justice demands to release her immediately. It is a serious stain on the judiciary system in Israel. ACCORDING TO THE TORAH LAW OF ISRAEL, we are demanding her immediate release without conditions and to erase the indictment."

The hearing was marked by uncertainty over legal procedure, according to IsraelJustice.com. "Attorneys did not understand what role was given to the rabbinical court in a criminal case and whether the rabbis were granted any authority over the civil court judge who approved the procedure. Usually, Rabbinical courts are only authorized to hear cases that concern marriage and divorce. There is a question of authorities," Honenu's Meidad explained.

Sariel was arrested in December and has been held for three months for allegedly pushing an Arab who entered her town to pick olives. Judges decided to keep her in prison without formal charges after she refused to cooperate with the secular justice system. Sariel, 18, remains in prison even after two Arab men, witnesses called by the prosecution, testified that she was not involved in the alleged physical assault.

THE SANHEDRIN COURT called for the establishment of a committee to act as bridge between the state's law and Torah law, in light of the legal precedent set by the Israeli court's recognition of the court and its findings. "IT IS NO COINCIDENCE THAT THE HEARING TOOK PLACE ON THE ANNIVERSARY OF THE PASSING OF MOSES OUR TEACHER, THE FATHER OF HEBREW LAW, and close to the days of Purim, when it is said that THE JEWS REACCEPTED AND AFFIRMED THEIR COMMITMENT TO THE LAW OF THE TORAH," a statement from the court said.

After the verdict was read, the court's rabbis, wrapped in prayer shawls, stood and recited the special prayers accepting the justice of the Almighty, according to IsraelJustice.com: "Everyone in the courtroom followed in a loud chant to say the words, 'Hear O' Israel, the L-rd is our G-d, the L-rd is One,' despite an attempt by prison guards to prevent supporters, including Ruth Sariel, Tzvia's mother, from entering the hearing." Following the hearing, the officials present from the Prisons Authority affirmed their commitment to carry out the verdict of the Sanhedrin court. Prisons' Authority warden Hila Furis reportedly told those present: "THE PRISONS' AUTHORITY RECOGNIZES THE AUTHORITY OF THE SANHEDRIN COURT AND WILL ACT TO IMPLEMENT THE VERDICT."

The nascent Sanhedrin, headed by Rabbi Adin Even-Israel Steinsaltz, was established in 2004, with the renewal of Semikha (ordination) in order to create the infrastructure necessary to fulfill the Torah obligation of reestablishing the supreme Jewish legal body of 71 Torah scholars. The Court for People and State has been one of the most active projects of the nascent Sanhedrin. Those now participating are committed to stepping aside when greater or more prominent scholars take their seats.

THE CENTRAL BANK SEEMS TO BE WADING FURTHER INTO SHARK-INFESTED WATERS BY THE DAY as it looks to shore up a blighted credit market that threatens to prolong the pain for a U.S. economy that many analysts fear is already in recession. The Fed had little choice but to act after investment bank Bear Stearns became the biggest casualty to date of the seven-month-long credit crisis, analysts said.

THE FIRM AGREED TO A $2 PER SHARE BUYOUT FROM JPMORGAN CHASE & CO ON SUNDAY. ITS SHARES HAD TRADED AROUND $60 ON THURSDAY AND $160 LAST APRIL. In a surprise move, also on Sunday, the central bank made an emergency quarter-percentage point cut to the discount rate that it charges on loans to banks, and announced a central role in the Bear Stearns deal. The discount rate was dropped to 3.25 percent.

ANALYSTS SAID RISKS TO THE U.S. FINANCIAL SYSTEM APPROACHING THOSE SEEN DURING THE GREAT DEPRESSION FORCED THE FED'S HAND. "The U.S. financial system probably is under more strain now than for at least several decades. Let's hope (the Fed's) determined efforts eventually get 'traction,'" said Rory Robertson, analyst at Macquarie Bank in Sydney.

In New York the Dow Jones Industrials tumbled 194 points, more than 1.5%, in early trading before recovering. London's FTSE 100 index was down 2.7%, in Paris the Cac 40 slumped 2.9% and Frankfurt's Dax fell 4.1%. European banks have been hit. UBS plunged 13.1%, Societe Generale fell 9.1% and Commerzbank was down 7.9%. Asian stocks also fell, with Tokyo's Nikkei average closing 3.7% lower and Hong Kong's Hang Seng slumping 5.2%. In Mumbai, the Sensex was down 6.5%. Investors are worried that the collapse of Bear Stearns, one of Wall Street's biggest names, is a sign that the credit crunch is getting worse and lending might seize up.

CENTRAL BANKS HAVE BEEN TRYING TO RESTORE SOME CONFIDENCE TO THE FINANCIAL SYSTEM. The Bank of England on Monday made an extra £5bn ($10bn) available for banks to borrow - and found that THE FUNDS WERE FIVE TIMES OVER-SUBSCRIBED. On Sunday, the US Federal Reserve reduced its discount rate - the interest rate at which banks lend to each other - from 3.5% to 3.25% and offered to buy up the assets of other troubled banks. THE FED IS EXPECTED TO LOWER ITS GENERAL INTEREST RATES ON TUESDAY BY UP TO 1%.

"DESPERATE TIMES NEED DESPERATE MEASURES. The Federal Reserve is doing what it takes to restore stability and if it means cutting the discount rate on a Sunday night in the US, then so be it," said Craig James, Chief Equities Economist at Commsec in Sydney. Investors' confidence has been hit by the problems at BEAR STEARNS. The investment bank was forced to seek emergency funding from the US Federal Reserve last week and WAS SOLD OVER THE WEEKEND TO JP MORGAN CHASE FOR A TINY FRACTION OF ITS EARLIER VALUE.

The bank got into trouble when other banks refused to lend it money over fears that it had too many bad debts due to the sub-prime mortgage crisis. THE FED HAS AGREED TO TAKE OVER UP TO $30BN OF BEAR STEARNS' ASSETS, REMOVING THE RISK FOR JP MORGAN.

Worries about the credit crisis and the health of the banking industry also undermined the dollar. It fell to 95.72 yen, its lowest level in more than 12 years. The euro hit a record against the dollar, buying $1.5903. The weak dollar boosted commodities, with oil rising to another record, light sweet crude traded at $111.80 before falling back. The dollar is also falling because of the expectation that the US Fed will cut interest rates further, making it less attractive to hold dollars as opposed to other currencies.

It follows years of the opposite, known - unsurprisingly - as leveraging. In the leveraging era, THE WORLD'S BANKS AND OTHER GREAT LENDERS LENT FAR TOO MUCH - to businesses, to various financial speculators, such as hedge funds and private-equity investors, to homeowners, to shoppers, and even to each other. A GREAT BUBBLE OF DEBT WAS CREATED. That bubble was punctured last summer, when lenders suddenly realised that some of their loans - the sub-prime ones to US homeowners with poor credit histories - weren't ever going to be repaid in full.

Since then lenders have been asking for their money back from those perceived to be a lousy credit prospect - and pushing up the cost of credit for almost everyone. This de-leveraging process, which has gone in fits and starts, moved up a gear in the past fortnight, as lenders became increasingly fearful about the outlook for the biggest economy in the world, that of the US. Borrowers dependent on certain parts of the US economy, especially its ailing housing market, are increasingly perceived as bad risks.

That's what caused the crises last week at Carlyle Capital Corporation and Bear Stearns. IN THE COMING DAYS YOU CAN EXPECT MORE BAD NEWS FROM FINANCIAL FIRMS WHOSE SOURCES OF FINANCE ARE DRYING UP.

So is there nothing that governments can do to minimise the dislocation caused by de-leveraging? Well in a way our own government has actually been encouraging de-leveraging, by supporting the plan of Northern Rock - the nationalised bank - to shrink its balance sheet by around £60bn. The impact of that is to cut the amount of mortgage finance available in the UK by up to a fifth. AS FOR CENTRAL BANKS, THEY INCREASINGLY LOOK NOT LIKE SUPERMEN BUT SEVEN-STONE WEAKLINGS.

Worse still, perhaps, the cost of longer-term loans is being pushed up, because lenders and investors believe THE FED IS DEVALUING THE DOLLAR AND STOKING UP INFLATION. As the distinguished economist Joseph Stiglitz has observed, much of central banks' evasive action looks as effective as pushing on a piece of string.