Sunday's-European pain,university intake slumps.the BBC splashes out and Peaches in trouble

Europe once again takes centre stage this Sunday morning.

The Observer reporting that the Tory party has descended into open warfare over Europe.

The paper says that David Cameron is vowing to face down the expanding ranks of Eurosceptic MPs demanding a referendum on the UK's EU membership.

The Telegraph meanwhile reports that with the Eurozone in crisis,European Union chiefs are drawing up plans for a single “Treasury” to oversee tax and spending across the 17 eurozone nations.

The proposal put forward by Herman Van Rompuy,it says,would be the clearest sign yet of a new “United States of Europe”,with Britain left on the sidelines.

The Sunday Times reports that Britain's Universities are facing their biggest fall in applications for more than 30 years ahead of next years hike in fees.The paper says that of 26 universities that provided figures last week, 15 reported a fall.

Meanwhile,it adds, there is growing interest in apprenticeships and school-leaver recruitment schemes run by professional firms as an alternative to university.

There is much coverage from Libya,though only the Independent leads with it.What now for the Arab awakening? it asks adding that it is in the midst of a tumultuous weekend as the convulsions set in train last December by the suicide of a despairing fruit-seller accelerate into the unknown.

To the tabloids and the Express turns its attention to the BBC claiming the corporation has splashed out thousands of pounds of licence-payers’ cash on nearly 100 leaving parties at exclusive restaurants and bars.

The Mail leads with a report that claims that a housing manager has been demoted, and his salary slashed, after he criticised a controversial new gay rights law.

Adrian Smith, a Christian, was found guilty of gross misconduct by his publicly funded housing association for saying that allowing gay weddings in churches was ‘an equality too far’.
He posted the comment in his own time, on his personal page on the Facebook website, which could not be read by the general public.

The Sunday Mirror leads with the exclusive that Peaches Geldof was caught shoplifting £70 of make-up from Boots.

Finally the People follow Coronation Street star Michael Le Vell from Betty Driver's funeral yesterday and find him sat slumped over a pint, his face etched with strain over his arrest on suspicion of child rape