On the other is the influence of Michael Heseltine's view that we need something called an industrial policy to promote companies we can regard as national champions.That belief that competition policy should partly attempt to create national champions has, too frequently, influenced the MMC, under the chairmanship of Graeme Odgers. The ill-fated report on electricity mergers at times seemed to second-guess what its authors thought ministers might like to hear. As on so many other issues the Government appears caught between two ultimately conflicting views of the world. But he may well have made the right decision for the wrong reasons, to pre-empt the Tory right opening up a new front of internal opposition over the Government's commitment to competition. Worse, it leaves competition policy in a mess, the position of the Monopolies and Mergers Commission uncertain and the future shape of the electricity industry hanging in the air. Despite Mr Lang's unexpected decision, overturning a recommendation made by the MMC, the Government's anxieties over the industry will not go away.

Privatisation was meant to get government out but it keeps on being dragged back into the water industryover the disastrous performance of some of the privatised companies, and into electricity by the wave of mergers that was threatening to sweep through industry. Ian Lang, the Secretary of State for Trade and Industry, was undoubtedly right to block the bids by PowerGen for Midlands Electricity and National Power for Southern Electricity. The members' enclosure will be seething with theatricals and their guests, headed by Sir Andrew. And I look forward to witnessing the culture clash as luvvie meets bookie. The latter, I should warn the Really Useful Group, are not renowned for air kissing.. Hull's municipally owned telephone network charges just 5.5p for local calls, regardless of their duration. A fine civic gesture, until you remember that the Internet works on the basis of a local call charge.

The Communication Workers Union magazine Voice reports that one local "anorak" stayed on line for eight days for his 5-and-a-half pence.Stakes are high when luvvie meets bookieSir Andrew Lloyd Webber's wife, Madeleine, as well as inspiring the occasional piece of swirling romantic music by her spouse, is also well-known as a racehorse owner. I suspect she is the inspiration for Sir Andrew's Really Useful Group taking over much of the card at Newbury races on Sunday 19 May. Thus we find such sponsored races as The Jesus Christ Superstar Rated Stakes, which a spokesman for Newbury chairman Lord Carnarvon describes as "a nice touch for Sunday racing."In addition, local school choirs will be frightening the horses, singing hits from the Lloyd-Webber oeuvre. And he lets rip, with a non-humorous column in prime position at the front of the journal Blair and the Blairites "were never Labour. They don't come from Labour families, they don't share Labour values ...

they set out to abolish the Labour Party and replace it with an updated version of the Tory party." Not quite the message Ian Hargreaves intends to promote, when he officially takes over next week, I suspect.Jazz and the Jackson factorPlaying an instrument is no handicap to getting to the White House as those who have listened politely to President Clinton and his saxophone will know. But we weren't dropping any hints to American civil rights campaigner Jesse Jackson when a piece about him here yesterday was accompanied by a picture of jazz trumpeter and composer Quincy Jones. It was, as they say in the best jazz and political circles, computer error Our apologies. The real Jesse Jackson is pictured here.Netting a bargainThey're all becoming computer buffs on Humberside. My old friend Mat Coward, whose schizophrenic activities include humorist with New Statesman And Society, and activist with the Labour Party in Pinner, is not to be part of the new Ian Hargreaves regime at the Statesman But he is given one last column in today's edition. Sir Edward, however, refused to engage in conversation with him, but merely said, "Congratulations".That was followed by ribald laughter all round by Duncan's Tory chums.

There was a 22 per cent swing to Labour in Staffs South East.Just one more rant...Rule number 34b of journalism is never give a writer just one more column, directly after sacking them They generally take the chance to say all the wrong things. In the Commons tea room yesterday, the Conservative MP Alan Duncan was holding court despite his less-than-brilliant performance masterminding the Staffordshire South East by-election. I reckon I should nick him for impersonating a novelist."Community policing at its finest.Things could have been worseSir Edward Heath has not lost his skill at the one-line or even one-word put down. I got into a right row with Jeffrey Archer when he was here - terrible, he is Writes crap. Could they be the latest hot authors to watch - or were they checking up on their erstwhile bosses' after-hours drinking habits? Nothing of the sort.