Here’s another picture from David Cameron’s Japan trip.

Nigel Farage has been hit by leaves from a tree while sitting on the top of Ukip’s open-top battlebus while campaigning today. This is from the Press Association’s Dave Higgens.

Here are more pictures from the steel workers protest in London today.

An annual average of £16.3bn has flowed from the UK to the EU over the last five years, according to new figures, the Press Association reports.

Analysis from the Office for National Statistics (ONS) suggests that Britain made an average net contribution to the EU budget of £7.1bn per year between 2010-2014 while receiving an average of £5.6bn a year from the EU in credits for the public and private sectors for the same period.

Public sector funding included payments to farmers, while private money was targeted at areas such as funding research in universities.

When taken together with the UK’s average annual rebate of £3.6bn, this adds up to a total of £9.2bn.

The figures are based on data from the European Commission, which the ONS argues gives “a more complete picture of the money that flows between the UK and the EU”.

Operation Black Vote, which campaigns for equality by encouraging black and minority ethnic people to get involved in politics, has produced a poster to encourage people to vote in the EU referendum.

OBV said the poster, which is due to be displayed on 37 digital billboards in London and Manchester - highlighted the “demonisation of foreigners and people of colour” in the campaign. It said:

The campaign shows that their vote carries as much weight as the other, frequently more vocal sides of the political spectrum.

Many people feel that this debate, whether it’s the Remain or the Leave camps, has been characterised by anger, not much objective information and at times the demonisation of foreigners and in particular people of colour.

Our campaign poster illustrates that.

According to the Press Association, around 30% of the around 4m BME voters in the UK are not registered to vote. The deadline for eligibility to take part in the referendum is June 7.

At PMQs George Osborne welcomed the appointment of Lord Sugar as the government’s new enterprise tsar. Labour have been pointing out that Sugar has not been so complimentary about Osborne in the past.

This is what Sugar told the Daily Mirror in 2012. At the time he was a Labour peer.

There is an underlying lack of confidence in the current chancellor.

I never rated him in the beginning. I don’t know what his qualifications are to be chancellor, but we need someone in there who has got a handle on the economics. He’s proving too indecisive.

I don’t know if there is a reshuffle but if I were David Cameron I would seriously think about [sacking Osborne].

PMQs is meant to last half an hour. But this one dragged on until 12.42, which could be a record.

Labour’s Alan Whitehead asks about a Southampton lettings agency banned for not giving tenants their deposits back. But this sector is largely unregulated, he says.

Osborne says the government wants to increase protections in this field.

Sir Edward Garnier says the Prison Reform Trust published a report saying too many children in care end up in the criminal justice system.

Osborne says Garnier speaks very powerfully. The Queen’s speech addresses this, he says. And the government is reforming prisons.

Osborne says he agrees more needs to be done to help the social care sector. It needs to be more integrated with the NHS, he says.

Bernard Jenkin, the Conservative MP and chair of the public administration committee, says his committee has published legal advice from Speaker’s counsel saying it will be illegal for the government to keep its pro-EU propaganda on websites during the referendum period.

Osborne says the government will abide by the law. He says he and Jenkin disagree. But they should focus on the substance of the debate, not on process.

Labour’s Ruth Cadbury says the government’s housing policies will not help the housing crisis in West London.

Osborne says there is a challenge of housing in London. He says he met with Sadiq Khan earlier this week, and they will see where they can agree on policies.

Responding to Sir Bill Cash, a Conservative, Osborne says he and Cash disagree on the EU. But they both agreed to support a manifesto saying the British people should decide.

Labour’s Judith Cummins says more than 200,00 people signed a petition to keep recipes on the BBC website. Will the government allow a debate on charter renewal?

Osborne says the BBC is a great national broadcaster. But we do not want it to be a great national newspaper too, because we have a flourishing newspaper market and want to keep that. He says the BBC has got the balance right.

Anne Main, a Conservative, asks about the green belt.

Osborne says the government’s plans for more homes will protect the green belt.

Labour’s Julie Elliott asks Osborne why he has changed his views since 2003, when he said tuition fees were a tax on learning.

Osborne says in those days Labour were in favour of tuition fees. The difference is, the Tories learnt their lessons, and Labour did not. The number of students from disadvantaged backgrounds at university is higher than ever. He says Labour’s plan to get rid of tuition fees is completely unaffordable.

The SNP’s Patrick Grady asks what the difference is between an economic migrant and and ex-pat.

Osborne says Grady’s question illustrates how the UK’s special status in the European Union works.

Osborne confirms that Lord Sugar has become a government enterprise tsar. Sugar has told Labour it is fired, he says.

Eagle says given that Duncan Smith calls Osborne disingenuous, and Boris Johnson calls him demented, she would not talk about Tory splits if she were Osborne. She says Michael Portillo recently said the Tories did not know what they wanted to do in power. Even this nothing Queen’s speech has caused a revolt, and caused the first defeat on the government’s legislative programme for 92 years. Doesn’t that tell you everything you need to know: the prime minister and the chancellor cannot even get their backbenchers to vote for nothing without a fight.

Osborne says the government has delivered a record number of jobs, and introduced the national minimum wage. She says Labour used to back nuclear weapons. Now they want to get rid of them. The prawn cocktail offensive has become just offensive.

Eagle says the government is in utter chaos. The stakes could not be higher. The Tories are fighting a bitter proxy war. There are now Brexiteers on the front bench, she says. It is good to see the justice secretary here, she says (when it is pointed out Gove, a Brexiteer, is there). Instead of focusing on the national interest, they are focusing on their narrow self-interest.

Osborne says Labour is like rats deserting a sinking ships. Members of the shadow cabinet want to become mayors. When the government said it wanted to create job opportunities, it did not mean for the opposition front bench. Labour know Jeremy Corbyn will be back after today. They face four years of hard labour. A Labour report published this week (the Jon Cruddas one), called Labour’s Future, is surprisingly long. And it says Labour is becoming increasingly irrelevant.

Eagle says the exchequer secretary deals with taxes on vices, not Google. She did her job on that. France is demanding ten times more from Google than Osborne did. Labour wants the UK to stay in the EU, she says. But the Tories are split right down the middle. And it is descending into “vicious acrimony”. Last week Priti Patel called for Brexit so there could be a bonfire of workers’ rights. Does Osborne agree with Patel, or with Len McCluskey, who backs the EU for the sake of workers’ rights.

Osborne says Eagle has confirmed she did not raise Google’s taxes when she was in the Treasury. Let’s have a consensus on Trident, and on having a credible economic policy. He says he backs staying in the EU.

Eagle says Osborne has agreed with Len McCluskey. Iain Duncan Smith said Osborne was Pinoccio. Does Osborne think the public should listen to Duncan Smith, or the trade unions?

Osborne says it is no secret that Tories have different views on this. The Tories said the British people should decide this. And if Eagle wants to talk about divisions, Jeremy Corbyn is sitting at home wondering whether to impeach Tony Blair for war crimes.

Eagle says Labour looks forward to the Trident vote, and Osborne should get on with it.

Given the French tax raid on Google, does Osborne regret calling his cosy tax deal with Google “good news”.

Osborne says Google did not pay tax under Labour. Eagle was a Treasury minister at the time. Did she ever raise tax with Google.

Eagle says Osborne has done some research on her, and that is a compliment. He says Osborne is far too satisfied. Even Boris Johnson said the Google deal was “derisory”. Osborne’s tax deal with the Swiss raised a fraction of the money he said. So why have 11,000 tax staff been sacked since 2010.

Osborne says HMRC has been given more resources to deal with tax avoidance. There have been a diverted profits tax. He returns to the question: what did Eagle do, as exchequer secretary, to raise the tax affairs of Google?

Maria Caulfield, a Conservative, says security must be a priority. So what is the government doing on Trident?

Osborne says he agrees. For 70 years an independent nuclear deterrent has provided security. There will be a vote in the Commons. He challenges Angela Eagle to say Labour will back Trident renewal.

George Osborne says he is standing in for Cameron.

In his speech on the EU this morning Dan Jarvis, the Labour MP, said that staying in the EU would help to keep Britain secure. Here’s an extract.

It has been 64 days since the attack on the people of Brussels and 59 days since the Easter bombing in Lahore. Much has been written about what the attacks teach us about terrorism and geopolitics. The truth however is these attacks told us only what we already knew. Things we have known since 2001 and have been repeatedly and tragically reminded. From Madrid to Mumbai; from Jakarta to Jos and from Peshawar to Paris we have seen that these networks pay no attention to lines on a map.

Terrorist networks have become more sophisticated, combining with criminal networks. We have seen this most prominently with Daesh – where defeating their financial networks has often become as important as traditional methods of defeating terrorist networks. In how we approach these networks, the US General Stanley McChrystal has put it best, saying: “It takes a network to defeat a network.”

And while we’re on the subject of David Cameron, the Daily Mirror is asking its readers to try to help it send him to prison. Or at least some Tory MPs to prison. It has announced a People’s Electoral Commission and is inviting readers to go through Tory MPs’ election expenses returns to identify possible fraud. You can read more here.

Channel 4 News had a good line on the election expenses story last night. It said the Conservative party sent lawyers to court to oppose a bid by Kent police to extend the time limit for its investigation into allegations the Tories broke election spending rules. Without an extension, the time limit in the Representation of the People Act could prevent a prosecution.

David Cameron has arrived in Japan for the G7 summit.

Here’s Nigel Farage, the Ukip leader, on the IFS report.

Vote Leave issued more information about why it thinks the IFS is biased in a detailed rebuttal press notice it released last night. Here’s an extract

The Institute for Fiscal Studies has received €7.4m from the EU since 2007. It is not an independent organisation, but a paid-up propaganda arm of the European commission ...

In addition, the IFS states that in 2014, 11% of its research funding came from the EU. It states that it has received £4,118,651 from the European Research Council in total and received £792,931 in 2014 alone. This means that if we Vote Leave, the IFS will face a financial deficit of £792,931, or 11% of its income.

The Vote Leave press notice also addressed the IFS’s claim (see 9.48am) that the £350m a week cost-of-EU-membership figure is wrong because it does not include the rebate.

The rebate is a discretionary grant which the European commission can pay to the UK if it so chooses. There is no obligation on the commission to pay it. As the chancellor of the exchequer, George Osborne, has said: ‘It is not a unilateral decision of the British Treasury or the British government to just say, “This is our rebate. We are entitled to it. Pay up”. The way this works and has always worked is there is a negotiation with the European commission.’

The Department for Business has announced that it has appointed Lord Sugar, the Apprentice star and former Labour peer, as an enterprise tsar. In its news release the department said:

Lord Sugar has been appointed enterprise tsar as part of the government’s drive to get more young people to consider starting their own business or undertaking an apprenticeship.

As well as championing enterprise and apprenticeships among young people, he will encourage businesses to take on apprentices themselves.

ITV’s Robert Peston has posted his verdict on the IFS report on his Facebook page. Here’s an excerpt.

Possibly the most damaging statement for the campaign to leave the EU in today’s report by the Institute for Fiscal Studies - on the implications of Brexit for government finances - is one that will attract little attention.

It is this: “there is an overwhelming consensus among those who have made estimates of the consequences of Brexit for national income that it would reduce national income in both the short run and long run”.

The Treasury has (unsurprisingly) backed the IFS report. This morning a Treasury spokesman said:

It’s a significant addition to the consensus of credible opinion that Britain’s economic security is at risk from a vote to leave the EU, and supports the conclusions of the Treasury’s own analysis which shows a vote to leave would lead to a significant hit to public sector borrowing, of up to £40bn by 2019/20.

Far from having more to spend on schools, hospitals and other vital public services, we’d have far less. This is further proof that we are stronger, safer and better off inside a reformed EU.

Alistair Darling, the former Labour chancellor, was also on the Today programme this morning. He said he would like to see Jeremy Corbyn getting more involved in the Remain campaign. Darling said:

The leader of any main political party in this country, and the leader of the opposition, has a big role to play and I hope that [Corbyn] does more. However, this is a broad-based campaign of all parties and people of no parties.

The Institute for Fiscal Studies has this morning joined the many respected economic bodies saying that Brexit would produce a short-term hit to the economy. It has set out its views in an 80-page report, Brexit and the UK’s Public Finances (pdf).

Here is an extract from the news release.

In the short run, our estimates therefore suggest that the overall effect of Brexit would be to damage the public finances. On the basis of estimates by NIESR, the effect could be between £20 billion and £40 billion in 2019–20, more than enough to wipe out the planned surplus. In the long run, lower GDP would likely mean lower cash levels of public spending.

To put this in context, dealing with the public finance effect would require at least an additional one or two years of ‘austerity’ – spending cuts or tax rises – at the same rate as we have experienced recently to get the public finances back to balance (should that remain the government’s priority). Following this path would also mean government debt remaining higher than otherwise, and additional debt interest payments.

In response, the Leave camp is accusing it of bias. This is what the Conservative MP Andrea Leadsom said last night in a statement issued by Vote Leave.

It’s no wonder people are being turned off this debate given the continuous campaign to do down the British economy from EU-funded organisations. So many of these studies are based on entirely negative assumptions about our economy and the future decisions a UK Government outside the EU would make, but ignore the pressing need of EU countries to continue trading with the UK. They also ignore the very real risk of what will happen if we vote ‘In’; more money and power to a Brussels interested only in propping up an ailing eurozone.

And this is what John Redwood, another pro-Brexit Tory, told the Today programme this morning.

I think the IFS are part of this cosy establishment which desperately wants to keep us in the European Union. And they have on this brochure they have issued today, the ‘UK in a Changing Europe’ logo. They say it’s paid for by the economic and social research council and they clearly buy into this general view that there would be unspecified negatives on our trade were we to leave the European Union.

Here is our overnight story on the report.

I will post more on this as the morning goes on.

Here is the agenda for the day.

9.30am: Gordon Brown, the former prime minister, gives a speech on the EU to the European parliament.

10am: The Labour MP Dan Jarvis gives a speech on the EU.

10am: Sadiq Khan, the new mayor of London, holds his first mayoral question time at City Hall.

10.30am: Nigel Farage, the Ukip leader, is campaigning in south Yorkshire. Later he will be in Bolton.

12pm: George Osborne, the chancellor, takes PMQs because David Cameron is in Japan for the G7 summit. Angela Eagle will respond for Labour, standing in for Jeremy Corbyn.

1pm: Lord Hall, the BBC director general, gives evidence to the Commons public accounts committee.

I will be focusing in particular on PMQs and on the reaction to the IFS report but, as usual, I will be covering the breaking political news as it happens, as well as bringing you the best reaction, comment and analysis from the web. I will post a summary after PMQs and another in the afternoon.

If you want to follow me or contact me on Twitter, I’m @AndrewSparrow.

I try to monitor the comments BTL but normally I find it impossible to read them all. If you have a direct question, do include “Andrew” in it somewhere and I’m more likely to find it. I do try to answer direct questions, although sometimes I miss them or don’t have time. Alternatively you could post a question to me on Twitter.

If you think there are any voices that I’m leaving out, particularly political figures or organisations giving alternative views of the stories I’m covering, do please flag them up below the line (include “Andrew” in the post). I can’t promise to include everything, but I do try to be open to as wide a range of perspectives as possible.