John Manzoni, the new chief executive of the civil service, will waive his £100,000-a-year salary from a major drinks company as he comes under fire from more than 70 leading medical professionals and charities over his second job in the alcohol industry.
Reports of a reconciliation may be premature.
David Cameron has accused Ed Miliband of frightening holidaymakers as he blamed any delays in the issuing of passports on the fact that the Passport Office was facing 300,000 more applications, which was "above normal".
A massive clampdown on trade union activities in the civil service is to be announced at the Tory party conference in a move that will infuriate the largest civil service union, the PCS, and possibly threaten attendance at its annual conference.
Ministers are to be given formal input into the annual appraisal of their civil servants – affecting their grade and bonuses – in a fresh drive to clarify the accountability of officials to the government.
One of the most senior civil servants in Whitehall resigned suddenly on Thursday night, the Guardian has learned, amid allegations of serious problems at the Department of Energy and Climate Change (Decc), headed by the Liberal Democrat Ed Davey.