The Papers: Twelve dead in Channel and 'Starmer and US at odds'

A variety of stories lead Wednesday's papers. The Guardian reports that six children and a pregnant woman were among at least 12 people who died after a small boat carrying migrants sank in the English Channel. The paper quotes French officials saying that 70 people are thought to have been on board and that more than 50 were rescued. It adds that Prime Minister Sir Keir Starmer is facing calls from charities to open safe routes for asylum seekers and calls the incident a "major test" for his government.

The Daily Mail also says the incident will "pile pressure" on the government to address the Channel crossings and asks: "How long before the vile smuggling gangs are stopped?"

The publication of the final report from the inquiry into the Grenfell fire on Wednesday should be followed by criminal prosecutions, MPs and survivors have told the i. Police have said they need to see the report before pursuing prosecutions and that the scale of the investigation means that no charges will be announced until late 2026. The paper quotes Labour's Joe Powell, MP for Kensington and Bayswater, calling on the government to "accelerate" prosecutions.

The Financial Times says regulators are to scale back a planned new regime that will force banks to reimburse victims of fraud after pressure from ministers and fintech firms. The paper says the ceiling for compensation was going to be £415,000, but that the maximum payout will now be £85,000. It adds that banks argued the higher limit would have provided an incentive for fraud, while smaller fintech firms feared it could put them out of business.

The government's decision to suspend some arms sales to Israel has placed it at odds with the US, according to the Times. A government source tells the paper that the US privately warned Britain against the decision, arguing it could damage attempts to negotiate a ceasefire in Gaza. The Foreign Office responds that it does not recognise that "characterisation" of talks with the US and other allies.

The Daily Express leads with the news that a 14-year-old boy has been arrested on suspicion of murder following the death of 80-year-old Bhim Kohli. Police have said Mr Kholi succumbed to a neck injury after being attacked in a Leicestershire park on Sunday. The paper reports that Mr Kholi was a grandfather and that he was walking his dog at the time of the alleged attack.

Mr Kholi was just 30 seconds from his home when the alleged attack took place, according to the Daily Mirror. The paper also quotes a friend who says Mr Kholi was a "lovely guy".

The Metro reports that the son of a man who is believed to have taken his own life after appearing on the Jeremy Kyle Show in 2019 has told an inquest that Mr Kyle "threw him under the bus" by egging the audience on to boo him. Steve Dymond, 63, had gone on the show to deny cheating on his ex-partner but during the episode failed a lie detector test. Son Carl Woolley told the inquest his father felt he had been "made out to be a baddie”.

And the Daily Star says Mafia mobsters have "moved away from their traditional homes" in Italy and America and "taken up residence in leafy suburban towns" like Woking.