Peter Hoskin

Attack, attack, attack. That's the temper of George Osborne's article for the Guardian this morning, which sets about Labour's economic credibility with a ferocious sort of glee. Perhaps the best passage is where he asks how many times Labour can spend their ubiquitous "bank tax," but this is more pertinent to the recent debate: "Where does all this leave Ed Miliband's newfound enthusiasm for the "squeezed middle"? Let's pass over his failure in every interview to define it – his last effort included around 90% of taxpayers. Where we can all agree is that these are difficult times for family incomes. There are two root causes. One is global: rises in food and commodity prices.

Boris kicks off his Telegraph column today by observing that Colonel Gaddafi and Gordon Brown "look vaguely similar". And yet the really provocative copy, at least so far as the government is concerned, is reserved for the final paragraph: "It is bonkers [by pushing for AV] to be pursuing the last manoeuvre of a cornered Gordon Brown. By all means let us have a referendum – the one we were promised, on the Lisbon EU Treaty. Have you noticed the EU policy on North Africa? Have you heard much from Baroness Ashton? Shouldn't we have a vote on all that?" It's hardly a secret that Boris wanted a referendum on Lisbon: he said as much in an interview before the 2009 Tory conference, and irritated the party leadership in the process.

Ed Balls has been warming up to this one for a while, and now it has finally come: an all-out attack over rising prices. In an interview with the Sunday Times (£), the shadow chancellor warns of Britain's "cost of living crisis," and demands that George Osborne reverse the VAT increase. Much of his pleading is made on behalf of motorists, who – as I pointed out a couple of days ago – face punishment at the petrol pumps. He doesn't even mention spending cuts once, especially not where his own party's are concerned. Rising costs, clearly, are the new weapon of choice. And it's not just Balls.

"Now he and his leader know what it’s like to be people’s second choice," trilled George Osborne during his recent encounter with Ed Balls over the dispatch box. But might Balls actually have been Miliband's third choice for the shadow chancellorship? That's the implication of a delicious little story in today's Sun, which claims that Miliband first "tapped up" his brother, aka MiliD, when trying to replace Alan Johnson: "A Labour insider revealed: 'Ed's people were desperate not to give the job to Balls.' However, Ed stopped short of offering his brother the job when David made it clear he wanted to stay on the backbenches." If true, then it's revealing on two counts.

Aside from official – and provocative – proclamations from Saif al-Islam Gaddafi, the news from Libya is still arriving piecemeal. The latest reports are that the protestors have prevailed in Zawia, in the west of the country, to add to their "liberation" of Benghazi last night. And there is some speculation that Gaddafi Senior has fled the country, which would certainly reinforce the sense that his power is being whittled down, potentially to naught. As for Britain, the questions about our prior relationship with Libya still hover awkwardly over proceedings, and over the heads of the last government in particular. There was the al-Megrahi deal, of course, as well as all those meetings in Gaddafi's tent.

The morning after the day before, it seems that some of the murk around Abdelbaset al-Megrahi's release has lifted. In particular, one thing is explicit that wasn't before: that the policy of the Brown government was to "do all it could" to facilitate the convicted Lockerbie bomber's transfer to Libya. We might have surmised the same from David Miliband's statements at the time. But now, at least, we know for sure. Naturally, this is tricky news for Labour, and especially for the Ghosts of 2008 whose names are splashed across the papers today: Brown himself, Jack Straw, Des Browne, etc. And yet Gus O'Donnell's report has also absolved them of the worst sin of all: lobbying the Scottish government to release al-Megrahi.