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Free schools “may increase social divide”: 8 in the morning – July 22nd

By Mark Ferguson / @markfergusonuk * In an interview with the Guardian, Ed Balls says that free schools could cause "social apartheid" and undermine local authorities. * But Toby Young calls this a "desperate attempt to shore up his Labour…

8am

By Mark Ferguson / @markfergusonuk

* In an interview with the Guardian, Ed Balls says that free schools could cause “social apartheid” and undermine local authorities.

* But Toby Young calls this a “desperate attempt to shore up his Labour leadership campaign”.

* The leadership race was always destined to be peripheral, says Steve Richards.

* Sunder Katwala’s first leadership profile – David Miliband.

* Tom Copley looks at councillor nominations for London Mayor – and challenges Oona King’s outer-London narrative.

* The economy is set for a “triple whammy” as a result of the budget says the chief economist of the BOE.

* Nick Griffin will be attending a party at Buckingham Palace.

* And Kevin Maguire has spotted Gordon Brown, and James Purnell – not together though…