Britain has expelled an Israeli diplomat over the use of forged UK passports by the killers of a senior Hamas official. The foreign secretary, David Miliband, says Israel's behaviour was "intolerable". Julian Borger, our diplomatic editor, says it's the lowest point in Anglo-Israeli relations since the late 1980s.
The chancellor, Alistair Darling, today unveils Labour's last budget before the general election. Heather Stewart, the Observer's economics editor, says Alistair Darling's got more room for manouevre than many pundits predicted.
Jeff Jarvis, who writes a new media column for the Guardian and has written an acclaimed book, What Would Google Do?, hails the search engine's decision to shift its operations in China to Hong Kong.
Philosopher Alain de Botton discusses his latest book, The Pleasures and Sorrows of Work, which he describes as a "travelogue" in which he attempts to find out: when does a job feel meaningful?
