Ten Things You Need to Know Today: Thursday 1 Dec 2011

Downing Street has admitted that Britain is in a second credit crunch and Bank of England governor Mervyn King has warned banks to build up their reserves to survive the crisis. The Institute for Fiscal Studies says British families are facing the worst squeeze in living standards for over 50 years, and will be no better off in 2016 than they were in 2002.

The BBC has apologised after Jeremy Clarkson said he would like to see striking public sector workers "shot". The controversial Top Gear presenter made his remarks on The One Show. "I would take them outside and execute them in front of their families," he said. The remarks caused uproar on Twitter, and trade union Unison called for him to be sacked.

Talks between unions and the Government begin today to attempt to resolve the public sector pensions dispute which led to yesterday's strike. Teaching unions will meet the Government today, health unions follow tomorrow. Unions have dismissed the PM's claim the strike was a "damp squib".

Islamist parties could form an overall majority in the new Egyptian parliament, preliminary polling results suggest. The Freedom and Justice Party, backed by the Muslim Brotherhood, is expected to win up to 40% of seats. Al-Nour, a Salafist party, is tipped to finish second, ahead of the main liberal coalition.

The Crown Prosecution Service has been handed the police file into claims that England captain John Terry racially abused QPR defender Anton Ferdinand during a match. Terry was interviewed by police investigating the allegation last month. The CPS must now decide whether to prosecute the Chelsea player.

Hillary Clinton has promised to end Burma's international isolation if it continues with its reform programme. After talks with Burmese president Thein Sein, she said the US would back Burma as long as the continued "moving in the right direction". Clinton was also due to hold talks with pro-democracy leader Aung San Suu Kyi in the main city, Rangoon.

The European Union could impose new sanctions on Iran as several European countries recalled ambassadors from the Islamic Republic. Foreign ministers meeting in Brussels today will discuss a ban on oil imports. France, Germany and the Netherlands have recalled their ambassadors from Tehran.

Austrian kidnap victim Natascha Kampusch gave birth to a baby fathered by her captor, it has been claimed. She was held by Wolfgang Priklopil for eight years until her escape at the age of 18 in 2006. There are demands for a new probe after it was suggested police ignored evidence, including hair and a book about childbirth, found where she was held.

British soul singer Adele has been nominated for six Grammy awards, including song, album and record of the year. Fellow Brits, Mumford and Sons, earned four nominations and Amy Winehouse could win a posthmous award for her collaboration with Tony Bennett, Body and Soul. Kanye West led the nominaitons with seven.

Michael Grandage's final production as artistic director of the Donmar Warehouse opens tonight. Actor-model Eddie Redmayne, winner of the 2010 Tony for best featured actor in the play Red, stars as the youngest of Shakespeare’s doomed kings in a study of power and solitude. Until 4 February.