US Shooting: Terrified Children Hid In Closet

Gunshots, children hiding in a closet, sirens, shattered glass - and desperate parents trying to find out if their daughters and sons were alive.

Witnesses have described a horrific scene at a shooting spree at the Sandy Hook Elementary School  in Connecticut, where at least 20 children were killed.

"I saw policemen - lots of policemen in the hallway with guns. The police took us out of the school," Vanessa Bajraliu, a nine-year-old fourth grader, told the local newspaper Hartford Courant.

"We were told to hold each others' hands and to close our eyes. We opened our eyes when we were outside."

Her 17-year-old brother, Mergim Bajraliu, heard the shots from his nearby home and then the sirens of police cars at the scene.

He rushed to the school, where he said he saw a badly injured girl being carried out, another one with blood on her face.

Some teachers put the students in a closet until police officers told them it was safe to leave the building, US news reports said.

Other children were told by policemen to run away from their classroom and keep going until they reached a firehouse nearby.

"I heard gunshots; I was under a desk with three or four other people," Luie Munguia, an eight-year-old third-grader, was quoted as saying in the reports.

One teacher locked the door and told the students to stand in the corner, said parent Richard Wilford, whose son Richie heard the gunshots and recounted the scene to his father.

Continuing coverage of the US school shooting

Terrified students were crying and holding hands as their teachers escorted them away from the school.

Melissa Makris said her 10-year-old son, Philip, saw what looked like a body under a blanket as he fled the school.

As news of the shooting broke out, parents rushed to the school.

They were in anguish over the fate of their children, some frantically speaking on their mobile phones, others weeping.

"What does a parent think about coming to a school where there's a shooting? It's the most terrifying moment of a parent's life … you have no idea," said Mr Wilford.

Parents whose children emerged from the school unharmed cried and hugged them.

Residents of Newtown, a small quiet town, were in shock, as police and federal officials surrounded the school and sirens rang out in the chilly day.

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Connecticut School Shooting: Newtown Grieves

At least 28 people - including 20 young children - have been killed in one of the worst school shootings in US history.

The victims at Sandy Hook Elementary School in Newtown, Connecticut, are believed to include the school principal, teachers and young pupils aged between five and 10.

The gunman - described as masked and heavily armed - reportedly used a .223-calibre rifle, as well as two handguns - a Glock and a Sig Sauer.

Other guns reportedly found at the school are being traced by state and federal authorities to confirm ownership, according to a law enforcement official.

The shooter has been named as 20-year-old Adam Lanza.

The school is in the south west of Connecticut

A body found at Lanza's family home in Newtown is believed to be his mother Nancy, a teacher at the school.

The killer is thought to have driven his mother's car to Sandy Hook before carrying out the attack in a bulletproof vest.

His older brother, 24-year-old Ryan Lanza is being questioned by police, but is not thought to have any involvement in the killings and was said to have been "extremely cooperative".

An official briefed on the investigation told the AP news agency that Mr Lanza has said his brother was believed to suffer from a personality disorder and be "somewhat autistic".

Hundreds of people have packed a church at Newtown's St Rose of Lima church for a memorial service, with many more spilling onto the street, where they held hands in circles and said prayers. 

Governor Dannel Malloy said: "Evil visited this community today. It's too early to speak of recovery."

Families mourned their dead together at a Newtown church service

Lieutenant Paul Vance told a media conference earlier that 18 children had died at the school, two were taken to hospital for treatment where they later died. Six adults were found dead at the scene.

"The shooter is deceased inside the building," he added.

It has also been reported that the school headteacher has been killed.

One mother, Brenda Lebinski, told Fox News: "I talked to some parents that I knew and they said there were children being carried out all bloody, they thought they were dead.

"I was in total panic, numb, until I saw my daughter coming with her teacher from the school ... I grabbed her and it was the happiest moment of my life."

She added: "Another mum that I knew said she was actually in the school ... She said a masked gunman came in and was firing and that the principal is dead.

"This is a young vivacious woman who loved her job. She was the best principal."

Photos from the scene showed children, some of them crying, being escorted by adults through a car park in a line, hands on each other's shoulders.

Relatives wait for news

Stephen Delgiadice said his eight-year-old daughter heard two big bangs before teachers told her to get in a corner. His daughter was unharmed.

"It's alarming, especially in Newtown, Connecticut, which we always thought was the safest place in America," he said.

US president Barack Obama, who ordered White House flags to be flown at half mast, wiped away tears as he paid tribute to the victims.

He said: "There is not a parent in America who does not feel the same overwhelming grief as I do."

PM David Cameron said he was "shocked and deeply saddened" by the tragedy and the Queen sent a message of condolence to President Obama.

Newtown is a small, tranquil community in one of the wealthiest counties in the US, about 60 miles (96km) northeast of New York City.

The incident began around half an hour after the school day had started.

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Litvinenko: Russia 'Was Involved' In Death

The UK has evidence the Russian state was involved in the murder of Alexander Litvinenko, who was working for MI6 when he died, a coroner has heard.

The pre-inquest review was told the former KGB spy had been hired by MI6 for a number of years and was also working with Spain to investigate the Russian mafia shortly before his death.

Mr Litvinenko was poisoned with polonium-210 after allegedly drinking tea at a meeting with two former Russian colleagues - Andrei Lugovoy and Dmitry Kovtun - in London's Millennium Hotel in November 2006.

Russia has refused to extradite the prime suspects, Mr Lugovoy and Mr Kovtun, both of whom deny involvement.

The hearing revealed for the first time that Mr Lugovoy - now a Russian MP - was double-crossing his government and helping with an investigation into the Russian mafia's links with the Kremlin and Russian President Vladimir Putin.

The former spy's wife Marina arrives at the pre-inquest review

Hugh Davies, counsel to the inquest into Mr Litvinenko's death, said assessments of confidential material submitted by the British Government had "established a prima facie case as to the culpability of the Russian state in the death of Alexander Litvinenko".

After the hearing, Mr Litvinenko's wife Marina said she was pleased the alleged involvement of the Russian government in her husband's murder would now be considered by the inquest.

"We've been saying this many times but this is the first time this question has been raised in court," she said.

"I appreciate all that was done today and I'm looking forward to any decision, which will be taken by the coroner after today's hearing."

It was also heard that Mr Litvinenko would regularly meet with an MI6 handler, named only as Martin, in central London and was paid by both the British and Spanish secret services into a joint bank account he held with his wife, the hearing was told.

Dmitry Kovtun (L) and Andrei Lugovoy (R) deny involvement in the murder

Ben Emmerson QC, representing Mrs Litvinenko, said the inquest should also consider whether MI6 failed in its duty to protect against a "real and immediate risk to life".

Mr Davies said assessments of confidential material that was submitted by the British Government showed there was no evidence to suggest the UK was involved in the poisoning of Mr Litvinenko or that it failed to take necessary steps to protect him.

The evidence also ruled out the involvement of other parties, including friend Boris Berezovsky, Chechen-related groups and the Spanish mafia, he added.

Mr Emmerson said Mr Litvinenko had been asked by MI6 to work with the Spanish secret service and the inquest should consider whether "detailed risk assessments" were carried out.

Mr Litvinenko in 1998

He had been due to travel to Spain with Mr Lugovoy shortly before his death to provide intelligence in the Russian mafia investigation, Mr Emmerson said.

The investigation was looking at links between Russian political parties, organised crime and arms trafficking, he added.

Neil Garnham QC, representing the Home Office, told the hearing he could "neither confirm nor deny" whether Mr Litvinenko was employed by British intelligence services.

The Russian Federation has now indicated its wish to become an interested party in the inquest, which is to be held on May 1.

The inquest will be held before High Court judge Sir Robert Owen, who has been appointed assistant deputy coroner.

Mr Litvinenko died three weeks after he was poisoned - after authorising the release of a photo showing the devastating impact of radiation poisoning on his body.

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Savile Revelations Spark NSPCC Abuse Campaign

The NSPCC has launched a campaign in a bid to prevent people thinking sexual abuse is a problem from the past following the Jimmy Savile abuse revelations.

The children's charity is worried that due to many of Savile's victims being abused in the 1970s and 80s, people may believe sexual abuse is not as common now as it was then.

The charity also fears that people still don't know where to turn for help or that they will hesitate to report child abuse until they feel 100% certain.

Peter Watt, director of the NSPCC helpline, said: "By bravely speaking out, Savile's victims have done a great public service in raising awareness of child sex abuse and its long-lasting, devastating effect on victims.

"Our advert aims to remind people that child abuse remains a widespread problem and children are still abused today.

"To end their suffering and bring their abusers to justice we must all act now. Savile's victims waited decades to be heard and helped. We can't let this happen again.

"With this advert we want to send out a clear message about how vitally important it is to act on your suspicions and that the NSPCC is here to help you do this.

"Our trained counsellors will discuss your concerns and the best course of action."

Some 589 people have come forward with information relating to the Savile scandal, with a total of 450 complaints against the the BBC presenter and DJ himself, mainly alleging sexual abuse, Scotland Yard said.

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Victims 'To Get Voice' As Asbos Scrapped

By Gerard Tubb, North of England Correspondent

Victims of anti-social behaviour will get to have a say in how offenders are punished under plans put forward by the Government.

The so-called Community Remedy forms part of draft legislation that could become law in 2014.

The changes, based on a Government white paper published in May, will slim down existing laws, with Anti-Social Behaviour Orders (Asbos) being scrapped on the grounds that they were seen by some offenders as a badge of honour.

Home Office minister Jeremy Browne said victims of anti-social behaviour would be able to have their say on out-of-court punishments of offenders.

"Victims of anti-social behaviour and low level crime often feel powerless," he said.

"Our reforms will place power back in the hands of the people, giving them a proper say in how their local area is policed."

The plans have been welcomed by Joanne Binns, 39, who was driven from her Leeds home six years ago by a gang of youths.

"It was like no matter what I did, they were tormenting me and my family, we couldn't go anywhere, we couldn't sit in our own home," she said.

It took a year to bring some of the offenders to court, by which time she said she had had enough.

"Even in our own home with the curtains closed there were bricks getting thrown, graffiti drawn on our house, it was just a life of hell," she said.

In the six years since then, Leeds City Council and West Yorkshire Police say they have worked with other agencies to create a more effective system to deal with anti-social behaviour.

Police Superintendent Keith Gilert, the council's chief community safety officer, believes many of the Government's proposals will help them to do even more.

"What we find here in Leeds is that an awful lot of these issues can be dealt with at quite a low level and can be resolved through mediation and negotiation between the parties," he said.

Under the changes, more punishments would be dealt with outside the court system, with police, councils and others working together to create a local 'menu' of ways to deal with offenders.

Victims could be asked whether they want an offender to sign an Acceptable Behaviour Contract, take part in alcohol or drug treatment, pay compensation or repair damage.

Ms Binns, who now works with her council to improve communities, says she cannot wait for the Bill to be passed.

"With Asbos they can tell them where not to hang around, where not to go, but they can't tell them to go on a drug rehabilitation course," she said.

"With the new Bill we can, so it's going to help perpetrators, but also give the victim a voice, and that's what my main concern is."

The draft legislation is now open to public consultation and will be scrutinised by the Home Affairs Select Committee.

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Royal Prank Call Nurse's Inquest Set To Open

Timeline: Nurse Prank Call Tragedy

Updated: 2:04am UK, Thursday 13 December 2012

Here are some of the key developments surrounding the death of hospital nurse Jacintha Saldanha following a hoax phone call by two Australian radio hosts.

Monday, December 3
The Duchess of Cambridge is admitted to King Edward VII's Hospital in London with severe morning sickness.

Tuesday, December 4
2Day FM presenters Mel Greig and Michael Christian make their hoax call to the hospital in the early hours of the morning, posing as the Queen and Prince Charles. Nurse Jacintha Saldanha puts them through to a colleague who divulges details of how doctors have been treating the Duchess.

Wednesday, December 5
A King Edward VII's Hospital spokesman confirms the Australian radio station made the prank call, saying it "deplores" the act and is conducting a review of its phone system.

Thursday, December 6
The Duchess of Cambridge leaves hospital.

Friday, December 7
:: Ms Saldanha is pronounced dead at staff accommodation close to the hospital. She is thought to have taken her own life, although a post-mortem examination is yet to be held.

:: King Edward VII's Hospital releases a statement saying: "It is with very deep sadness that we confirm the tragic death of a member of our nursing staff, Ms Saldanha. She was an excellent nurse and well-respected and popular with all of her colleagues."

:: The Duke and Duchess of Cambridge send their condolences to Ms Saldanha's family.

Saturday, December 8
:: Ms Saldanha's family in southwest India speak of their heartache. Her mother-in-law, Carmine Barboza, says: "Jacintha was a very caring woman. She used to call us every Sunday without fail. We just cannot believe what has happened."

:: Ms Greig and Mr Christian go on indefinite leave from the radio station after they are bombarded with abusive and threatening messages on social media websites.

::  Lord Glenarthur, chairman of the King Edward VII's Hospital, writes a latter to 2Day FM calling for the "truly appalling" broadcast to "never be repeated".

:: Max Moore-Wilton, chairman of Southern Cross Austereo which owns 2Day FM, describes the events over the past few days as "tragic", but adds: "The outcome was unforeseeable and very regrettable."

Sunday, December 9
:: It emerges Mel Greig and Michael Christian may be questioned by London's Metropolitan Police.

:: Ms Greig and Mr Christian express a desire to speak about the tragedy, but are still in hiding.

:: The Australian Communications and Media Authority, which regulates radio broadcasting, says it is considering whether it should launch an investigation into whether the presenters breached the commercial radio code of practice.

Monday, December 10

:: Mr Christian and Ms Greig break their silence, expressing their regret and sorrow over the tragedy in a series of emotional Australian TV interviews. They insist they never expected their phone call to go so far and thought hospital staff would hang up on them. Both extend sympathy to Ms Saldanha's family.

:: The family pay tribute to a "loving mother and wife". Speaking on their behalf, MP Keith Vaz says: "They are really grateful for the support of the British public and the public overseas for the messages of support and kindness."

Tuesday, December 11

:: A memorial fund for Ms Saldanha's family is set up by the radio station. Parent company Southern Cross Austereo is expected to contribute AUS$500,000 (£326,000).

Wednesday, December 12

:: Sky sources reveal that Ms Saldanha was found hanged in her room at staff accommodation. At Prime Minister's Questions, David Cameron says: "She clearly loved her job, loved her work, cared deeply about the health of her patients, and what's happened is a complete tragedy. There are many lessons that need to be learned."

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Two Killed In Oregon Shopping Centre Shooting

Two people have been killed by a gunman wearing body armour at a shopping centre in Oregon.

Clackamas County Sheriff's spokesman James Rhodes, said: "I can confirm that we believe at this point that there was one and only one shooter involved and that shooter is deceased.

"In addition to that we have at least one patient who was taken from the mall with a traumatic injury and at least two that were deceased in addition to the shooter."

Emergency services at the scene of the shooting

Police say the gunman apparently killed himself.

Witnesses described a scene of chaos and disbelief as the gunman, wearing some sort of camouflage outfit and a white mask, shot an initial burst of fire and then more rounds near the centre's food court.

Many shoppers fled and others hid in the backrooms of stores.

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North Korea's Long-Range Rocket 'A Success'

North Korea's controversial launch of a long-range rocket appears to have gone according to plan, South Korea's military has said.

The blast-off, which had been anticipated, defies critics who have warned the country wants to develop technology that would enable it to carry out a nuclear strike.

The impoverished North has said it simply wants to put a weather satellite into space, rather than carry out suspected ballistic missile tests, and it declared the mission a success.

It tried in April to launch a long-range rocket, but it broke apart shortly after lift off, crash-landing in the Yellow Sea. South Korea said the latest attempt - the second under leader Kim Jong-un - appeared to have broken up in three stages as planned.

The rocket, launched in northwest North Korea, passed over Japan's Okinawa

South Korean TV station YTN said the rocket was launched from a site on the northwest coast. Japan's government said it had passed over Okinawa - a trajectory predicted by the North - and was launched shortly before 1am UK time on Wednesday.

The development will further strain tensions in the region. South Korea, which is days away from presidential elections, has expressed "grave concern" and its president Lee Myung-Bak immediately called an emergency security meeting.

Sky's Asia correspondent Mark Stone said: "The reaction will be one of anger from the Americans, South Korea and the international community."

Pyongyang had announced that it was planning for a launch to take place by December 29, an extension on the previous deadline of December 22.

Japan's missile defences, pictured, have been on high alert

The country is banned from conducting missile and nuclear-related tests under UN sanctions imposed after its 2006 and 2009 nuclear tests. It is thought to have a handful of rudimentary nuclear bombs, but it is not yet believed to be capable of building warheads small enough to pin on a long-range missile.

Japan did not try to shoot down the latest rocket, its government said. Tokyo said it believed parts of the rocket had fallen into the sea off the Korean peninsula, with another part dropping into the ocean near the Philippines.

A spokesman for Japan's government called the launch "extremely regrettable", adding: "Our country cannot tolerate this. We strongly protest to North Korea."

Japan had been on high-alert since the launch window opened.

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Kate Hospital: Nurse's Family Pays Tribute

The family of nurse Jacintha Saldanha, who was found dead after taking a hoax call about the Duchess of Cambridge, have thanked people for their support and messages of condolence.

Speaking on their behalf, Keith Vaz MP described Mrs Saldanha as a "loving mother and a loving wife".

"This is a close family, they are devastated by what has happened, they miss her every moment of every day," he said, as he stood beside Mrs Saldanha's husband Benedict Barboza and her two teenage children.

"They are really grateful for the support of the British public and the public overseas for the messages of support and kindness," he added.

The post-mortem for the nurse, who put through a hoax call made about the duchess' medical condition, will take place later.

Mrs Saldanha took the initial call from Australian DJs Mel Greig and Michael Christian who posed as the Queen and the Prince of Wales when they rang the hospital where Kate was being treated for acute morning sickness.

Believing it to be genuine, she put the call through to another colleague who was duped into describing the duchess' condition in detail.

The Duchess of Cambridge was treated for acute morning sickness

Mrs Saldanha was found dead days later, having apparently taken her own life.

Prime Minister David Cameron spoke of his "shock" at Mrs Saldanha's death.

He said: "I thought it was completely shocking ... I heard about the suicide of this nurse, who worked incredibly hard and obviously was incredibly dedicated.

"I feel incredibly sorry for her and her family. It is an absolute tragedy that this has happened and I am sure everyone will want to reflect on how it was allowed to happen."

On Monday, the two DJs gave their first interviews since the tragedy

It comes after the boss of Sydney radio station 2Day FM said five attempts were made to contact London's King Edward VII's Hospital about the prank call before it aired.

"Following the hoax call, the radio station did not speak to anyone in the hospital's senior management or anyone at the company who handles our media enquiries," a hospital spokesman said.

Earlier, Rhys Holleran - head of the station's parent company Southern Cross Austereo - said he was satisfied that the appropriate checks were carried out before the pre-recorded segment was broadcast.

"It is absolutely true to say that we actually did attempt to contact those people on multiple occasions," he told Fairfax Radio, an Australian broadcaster.

"We rang them up to discuss what we had recorded ... we attempted to contact them on no less than five occasions ... we wanted to speak to them about it."

Britain's Health Secretary Jeremy Hunt has told Sky News the nurse's response to the prank call does not point to a widespread breach of procedure.

Asked what lessons needed to be learned, he said: "I think we need to make sure that the right safeguards are in place, that the right training is in place, but I think it's too early for me to say whether this is something which is just an individual prank that went horribly wrong and it was an isolated breach or whether there are more widespread issues.

"My instinct is that this was an isolated incident with very exceptional circumstances."

Labour MP Mr Vaz, who visited Mrs Saldanha's family in Bristol on Sunday, has called on the hospital to hold an inquiry and provide more support to the relatives.

"What is needed, clearly, is an inquiry by the hospital into what has happened.

"The hospital has sent them a letter, which I have seen, but I'm surprised that nobody has made the journey to Bristol to sit with them and offer them the counselling that I think they need."

He said the family was in "terrible distress", adding: "More support in my view needs to be given."

King Edward VII's Hospital has announced the launch of the Jacintha Saldanha Memorial Fund.

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HSBC 'To Pay $1.9bn' In Money Laundering Case

British banking giant HSBC will pay a record $1.9bn (£1.2bn) to settle a money-laundering probe by US authorities into Europe's biggest bank, reports say.

The investigation of the bank has focused on the transfer of billions of dollars on behalf of nations such as Iran and the movement of money through the US financial system from Mexican drug cartels.

Reports say the bank is expected to pay $1.25bn (£778m) in forfeiture - the biggest such amount in any case involving a bank - on top of $655m (£408m) in civil penalties.

Under what is known as a deferred prosecution agreement, the bank will be accused of violating the Bank Secrecy Act and the Trading With The Enemy Act.

The bank says it is co-operating with investigations but that those discussions are confidential.

Standard Chartered agreed to pay £203m to settle money laundering claims

A US Senate investigative committee reported earlier this year that in 2007 and 2008, HSBC Mexico sent about $7bn in cash to the US. The committee said such an amount of cash pointed to illegal drug proceeds.

Last month it emerged HSBC was setting aside as much as $1.5bn (£935m) to cover the likely bill for fines from US authorities.

The HSBC agreement comes after another London-based bank, Standard Chartered, agreed to pay $340m (£203m) to settle federal charges that it laundered money on behalf of four countries, including Iran, that were subject to US economic sanctions.

That deal covered currency transactions made at the bank's New York branch for Iranian, Sudanese, Libyan and Burmese entities from 2001 to 2007.

With US officials increasingly cracking down on money laundering by banks, Credit Suisse, Barclays and Lloyds have all paid settlements since 2009 related to allegations that they moved money for people or companies that were on the US sanctions list.

An official announcement of the HSBC agreement is expected as early as Tuesday.

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Rio Ferdinand: FA Probe As Star Hit By Coin

Manchester City have apologised to Manchester United's Rio Ferdinand after he was hit by a 2p coin thrown from the crowd.

The player was left bleeding after he was struck in the face as he celebrated his side's injury-time winning goal in their 3-2 victory at City's Etihad Stadium.

Former England captain Ferdinand sustained a cut just above the eye in the incident, which is being investigated by police and the Football Association.

The defender was able to complete the game and left the pitch holding his shirt to the wound, accompanied by a team physiotherapist.

A Manchester City spokesperson said: "We apologise to Rio. We condemn the actions of the individual concerned.

"We are reviewing the CCTV with the police and our normal security. We will support the police with any investigation and hopefully identify the person as soon as possible."

Rio Ferdinand was accompanied by a United physio as he left the pitch

Man City trailed 2-0 but fought back to equalise before Robin van Persie's late free-kick secured three points for their rivals.

With blood pouring down Ferdinand's face, there was more controversy when a City supporter ran on to the pitch to confront the player.

The fan slipped and fell as he approached the defender and then England and City goalkeeper Joe Hart stepped in as he restrained the pitch invader who was eventually arrested.

After the game, Ferdinand said on Twitter: "Whoever threw that coin, what a shot! Can't believe it was a copper 2p....could have at least been a #1 coin!"

He then wrote: "Respect to Joe Hart for protecting that idiot who ran on!! Love the banter between fans but there is a point when it goes too far...calm it!"

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HMS Audacious: New Super Submarine For Navy

By Alistair Bunkall, Defence Correspondent

A £1.2bn contract has been agreed to build a new submarine for the Royal Navy.

The deal, awarded by the Ministry of Defence to BAE Systems, will safeguard 3,000 jobs at the company's Barrow shipyard in Cumbria.

The submarine, to be called HMS Audacious, will be the fourth of seven Astute Class boats being built for the Navy. It will join Astute, Ambush and Artful in the growing fleet.

The first two submarines, Astute and Ambush, are currently undergoing sea trials to test their systems ahead of full service. These trials assess their ability to dive to deep depths and fire missiles.

A further £1.5bn has also been committed to three submarines yet to be built, which will complete the fleet. It will allow vital preliminary work to start.

Commenting on the announcement, Rear Admiral Simon Lister, the MoD's director of submarines, said: "The Astute Class will become the jewel in the crown of the Royal Navy's Submarine Service and boasts much greater firepower and more advanced sonar and communications than ever before.

Audacious is the fourth of seven Astute submarines being built for the Navy

"These submarines represent a huge leap forward in technology and will operate all over the world with the Royal Navy.

"These boats provide the optimum capability a submarine can offer in land strike, strategic intelligence gathering, anti-submarine and surface ship warfare, and protection of the strategic deterrent."

The Astute class submarines are powered by nuclear energy which means they never need to refuel. In theory they can stay underwater forever, only re-surfacing to take on supplies for the crew.

They are fitted with the most advanced sonar systems available and are quieter than older submarines. The sonar system has the processing power of 2,000 laptops and can track spot and track ships 3,000 miles away.

At around 320ft (97 metres) from bow to stern they are about 50% bigger than the Royal Navy's current Trafalgar Class submarines. They carry on board a mix of Spearfish torpedoes and Tomahawk land-attack missiles.

The submarines will also make their own oxygen from seawater. 

The money is coming from a pre-allocated budget. In the Autumn Statement the Chancellor said the MoD could have more time to spend about £1bn that it has yet to use from this year's budget.

It was thought that the Treasury might request the money be returned, but George Osborne has allowed the department a period of flexibility.

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Kate Prank Call: Hospital Slams Radio Station

The hospital where the nurse who was duped into helping reveal details about the Duchess of Cambridge's health worked has condemned the prank phone call as "truly appalling".

In a letter to the Australian radio station 2day FM's parent company, Lord Glenarthur, Chairman of King Edward VII's Hospital, said he wanted to "protest" against the "extremely foolish" gag.

His comments follow the apparent suicide of nurse Jacintha Saldanha, 46, who was found dead on Friday.

She had taken the hoax call from the radio station on Tuesday morning and put it through to a nurse on the Duchess of Cambridge's ward, who divulged private information about her treatment.

Lord Glenarthur said Ms Saldanha's death was "tragic beyond words".

It comes as footage emerged of her grieving family members in her home country of India.

The letter to Southern Cross Austereo said the immediate consequence of the station's "premeditated and ill-considered actions" led to the "humiliation" of Ms Saldanha and another nurse.

"I appreciate that you cannot undo the damage which has been done but I would urge you to take steps to ensure that such an incident could never be repeated," it added.

Footage has emerged of Ms Saldanha's grieving family in India

A spokesman for the private London hospital said the letter was sent on Saturday.

Ms Saldanha's devastated family were being comforted by relatives and friends at their terraced home in Southmead, Bristol.

A statement said: "We as a family are deeply saddened by the loss of our beloved Jacintha."

A friend at the address said Ms Saldanha's partner Benedict Barboza, 49, and their teenage son and daughter, aged 14 and 16, were "very, very shocked and unhappy at the tragedy".

The devoted nurse and mother-of-two was pronounced dead at staff accommodation close to the hospital where the pregnant duchess was treated for a severe form of morning sickness.

News of her death led to a huge backlash against the two presenters, Mel Greig and Michael Christian, who pretended to be the Queen and Prince Charles during the prank on their 2day FM show.

Michael Christian and Mel Greig have been taken off the air

They have now been taken off the air while the Sydney-based station has been inundated with complaints.

Southern Cross Austereo said that, by mutual consent, the hosts would not be returning to their show until further notice.

The company's Chief Executive Rhys Holleran has stood by the two DJs and said they were shocked and devastated by news of Ms Saldanha's death.

He said: "This is a tragic event that could not have been reasonably foreseen and we're deeply saddened by it. I spoke to both presenters early this morning and it's fair to say they're completely shattered."

Mr Holleran said the pair had been offered counselling, adding: "These people aren't machines, they're human beings. We're all affected by this."

In a video of her relatives in India, her sister-in-law Celin D'Souza said: "I will really miss her a lot. She was a good-natured sister-in-law. I cannot forget her, she was so good."

Another sister-in law Cerolin D'Souza, added: "It would have been great if the Indian government had taken the initiative to help and do the necessary thing of getting back the body of our daughter. It is so sad. I am unsure as to what is in store."

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Kate Prank Call 'Could End Radio Wind-Ups'

By Tom Parmenter, Sky News correspondent

One of Britain's most notorious DJs has told Sky News the death of a nurse after a prank call to the hospital treating the Duchess of Cambridge could mark the end of such radio wind-ups.

Steve Penk built his career winding up unsuspecting members of the public and high profile celebrities.

In 1998, his Capital Radio breakfast show famously got put through to then Prime Minister Tony Blair.

Mr Penk now believes the tragic consequences of a stunt that saw a nurse apparently take her own life days after putting a hoax call from two Australian DJs through to the ward where the pregnant duchess was being treated could change the entire radio industry.

The hoax call was made to the King Edward VII hospital in London

He told Sky News: "I think there will be huge fallout. I think it will be, for want of a better phrase, the death of the wind-up phone call.

"Ofcom (media regulator) will wrap it in so much red tape that it will make it almost impossible to get these things on the air, which I think is a shame because they can be entertaining."

Mr Penk has duped hundreds of people through his career at various radio stations.

Often people were set up by friends or relatives who wrote in and suggested victims. Unlike the Australian stunt, permission was then sought from the victim before the calls were broadcast.

Mr Penk now owns The Revolution 962 in Oldham and has cancelled his latest prank show after the hoax call to the hospital treating the duchess.

DJs Mel Greig and Michael Christian from 2Day FM made the prank call

He feels sympathy for the two DJs who are now being vilified for their role in the stunt.

He added: "You can't predict something like this, I genuinely feel very sorry for them.

"I think it is unfair that at the moment the blame is at their doorstep."

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