Isabel Hardman

Last night's debate on the bill capping benefit rises at 1 per cent was far more revelatory than it might first have appeared. It wasn't Labour's conclusion that the Tories were evil and the Lib Dems (those that turned up, at least: there were nine rebels, but a further 11 Lib Dem MPs were mysteriously absent) just as bad. But the most interesting revelation was the way the party handled this exchange: Charlie Elphicke: Is it therefore the right hon. Gentleman’s and the Opposition’s policy that uprating should be not by 1%, but by inflation? Is that a commitment? Stephen Timms: Uprating should indeed be in line with inflation, as it always was in the past. This was significant.

Tory backbenchers will raise concerns about the government's preparations for the lifting of controls on Bulgarian and Romanian migrants at a meeting with the Home Secretary in the next few weeks, I understand. Conservative MPs are becoming increasingly nervous about the situation, fearing that if handled poorly, it could have a particularly bad impact on the party's performance in the 2014 European elections, as the transitional controls end on 31 December 2013. One of those worried backbenchers is former ministerial aide Stewart Jackson, who tells me he is considering introducing a modified version of the 10-Minute Rule Bill that he brought before the House in October.

David Cameron's Europe speech already had a Tutankhamun-style curse on it before events forced him to postpone it, with the much longer delay from its original date of mid-autumn causing a feeding frenzy in the media, in his own party, his coalition partners, and in the opposition. By the end of last week, it was difficult to find an opposition MP or columnist who hadn't written a whimsical piece imagining they were Cameron giving the speech (or indeed twisting readers into an even greater willing suspension of disbelief by imagining they were John Major talking to Cameron about the as-yet undelivered speech as David Miliband managed to do).

David Cameron has postponed his speech on the European Union because of the hostage situation in Algeria where a standoff has been taking place in a gas plant in the Sahara Desert. There are conflicting reports, but it seems about 300 Algerian and 40 international hostages were taken and several have been killed in a rescue attempt. The PM has suggested that worse news will follow saying:- 'We should be prepared for the possibility of further bad news in this very dangerous fluid situation.' No10 said earlier that Cameron had not been informed about the Algerian rescue attempt before it began and has told his Algerian counterpart that he wishes he had been "contacted in advance". The Japanese government has asked the Algerians to desist.

The Prime Minister met a group of Tory backbenchers in Downing Street this afternoon to discuss Friday's Europe speech. I have spoken to the group's ringleader, John Baron, who has stressed the confidential manner of the discussion, but has given Coffee House readers some exclusive details of what went on. John Baron, Peter Bone, Edward Leigh, Mark Reckless, Philip Davies and Steve Baker attended the meeting. They were representing the 100 Conservative backbenchers who had signed the original letter in June calling for legislation in this Parliament for a referendum in the next. The meeting, which had a good atmosphere, lasted 20-25 minutes, and Baron and colleagues reiterated to the Prime Minister the letter's two demands.

The irrepressible Lord Oakeshott is making mischief again: he's using Sir Mervyn King's comments about Goldman Sachs bonuses today to attack David Cameron and George Osborne. He's just told Coffee House the following: 'The Governor speaks for all on Goldman's greed. He shows leadership where the Prime Minister and Chancellor stayed submerged. Starbucks are an also ran in the tax avoidance stakes compared to world champions like Goldmans.' Then he took another covert shot at the Treasury by referring - not by name - to the appointment of former Goldman employee Mark Carney as the next Bank of England Governor: 'Big banks like Goldman can't have it both ways. If they want the kudos of advising governments and collecting fat fees like their £4.