The grandchildren of Thomas the Tank Engine’s creator have been spared a potentially massive tax bill on their share of the multimillion-pound royalties generated by their grandad’s “really useful engine”, after HMRC lost a crucial High Court test case last week.

First published in 1945 after being invented by Rev Wilbert Awdry to entertain his sick two-year-old son Christopher, the popular children’s books have spawned an industry encompassing TV, films, toys and theme parks which was reportedly generating an annual turnover of $1bn by 2011 and a profit of over £35m a year.

Rev Awdry and wife Margaret had three children, Christopher, Veronica and Hilary, with the trio giving him seven grandchildren.

But almost 30 years after the author’s death, the managers of a trust fund he left for the benefit of his grandkids ended up fighting HMRC in court in a bid to pay out less tax on the royalties created by the much-loved steam train.

Mr Justice Richards at London’s High Court last week found against arguments put forward by HMRC lawyers that the royalty payments ought to count as income for trust law purposes and therefore be liable for potential income tax payments of up to 45%.

Wilbert Vere Awdry OBE was an English Anglican clergyman, railway enthusiast and children’s author. He was best known for creating Thomas the Tank Engine in his books, The Railway Series, writing the first 26 books between 1945 to 1972.

The books have since spawned an industry encompassing TV, films, toys and theme parks which was reportedly generating an annual turnover of $1bn by 2011 and a profit of over £35m a year.

That was the year that the rights in the brand were acquired by US toy giants Mattel – owners of Barbie, Hotwheels and Masters of the Universe – when they bought HiT Entertainment for $680m (£426m).

HiT by that time owned the rights to Thomas alongside other kids’ characters, including Barney the purple dinosaur, Fireman Sam and Angelina Ballerina, with Thomas branded products alone generating profit of over £35m a year.

The copyright to the Rev Awdry’s books was signed away by him to his then publishers in 1985 – shortly after Thomas made his first TV appearance – in return for a deal guaranteeing him a share of any future royalties.

Half of those royalties were tied up in a trust fund for the benefit of the clergyman’s grandchildren in 1987 at which time his grandkids – Christopher’s son and daughter Richard and Verity, Veronica’s kids Mark and Claire, and Hilary’s three children Sara, Simon and Rachel – ranged in age between six and 17.

All are now adults, but almost 30 years after the author’s death the trust fund’s managers ended up in a court fight with HMRC in a bid to pay less tax on the money churned out by Thomas.

Setting out the shape of the case in his judgment, Mr Justice Richards said: “On 16 October 1985, Reverend Awdry entered into a deed of assignment with his then publishers.

“Reverend Awdry assigned, to the extent that they had not already been assigned to the publishers or their predecessors in title, the entire copyright throughout the world in certain defined ‘Works’ and ‘Illustrations’ together with such rights as may subsist in what was described as the ‘Railway Format’.

“In return, the publishers were to pay Reverend Awdry a stream of royalties…during the term of the copyrights so assigned.

“On 10 March 1987, Reverend Awdry made the settlement…to transfer to the trustees the property and assets set out in the schedule.

“The settlement recorded that Reverend Awdry wished to make provision for his grandchildren, who were individually named and described as the ‘beneficiaries’ in the settlement.

“The schedule described the property and assets referred to as: one half of all royalties paid to the settlor after the date of this deed.

“The trustees are party to this claim as claimants because they wish to know how the settlement should be administered.

“HMRC is party to the claim because they have an interest in the outcome as they are likely to be entitled to more tax if the royalties are categorised as income for trust law purposes.”

Going on to find against the taxman and sparing the reverend’s grandkids trust fund a potentially massive tax bill, the judge said that the royalties were themselves the assets and capital of the trust, rather than counting legally as income generated.

“The royalties received by the settlement are most naturally analysed as ‘fruit’ of the copyrights in the Railway Series. Those copyrights are not assets of the settlement…the royalties are the capital of the settlement.

“The defendants argue that this is the wrong way of looking at matters. They submit that the royalties received by the settlement are fruit of the right to receive those royalties, which is an asset of the settlement.

“I acknowledge that this is an alternative way of looking at matters. However, I am not satisfied that trust law principles require the matter to be viewed in that way.

“Overall, I regard it as much more realistic to regard the royalties as fruit of the copyright in the Railway Series rather than as fruit of a right to receive payment.

“Overall, I see nothing to override the intention plainly expressed in the settlement itself. I consider that the royalties received by the trustees are capital for trust law purposes.”

By ROSS IBBETSON, ASSOCIATE EDITOR

Published: 13:14 BST, 22 July 2026 | Updated: 13:21 BST, 22 July 2026

Oil prices have rocketed to their highest level in more than a month after Marco Rubio warned the US would keep striking Iran for as long as it throttles the Strait of Hormuz.

Brent crude surged almost 4 percent to nearly $95 per barrel on Wednesday as US forces pounded Iran for the eleventh straight night and traders braced for a drawn-out war.

The Secretary of State delivered the blunt threat to reporters at the ASEAN foreign ministers’ meeting in Manila, insisting Washington would keep its warships in the fight even as he left the door open to a deal.

‘We’re going to continue to protect shipping, we think other countries should join us in that endeavor,’ Rubio said.

Advertisement

He accused Tehran of shredding a ceasefire deal to reopen the Strait ‘within two weeks’ of its agreement.

‘When those commitments are not kept, which is what’s happened in this particular case, then there will be consequences,’ Rubio said.

Energy markets were being squeezed on three fronts as chaos hit the Strait of Hormuz, the Red Sea and the Black Sea.

At least two oil tankers bound for the Bab al-Mandeb chokepoint in the Red Sea turned back overnight after Iran-backed Houthi rebels threatened to blockade Saudi Arabia, choking a route that handled 12 percent of global oil flows before the war.

Advertisement

US Secretary of State Marco Rubio speaks during a press conference on the sidelines of the Association of Southeast Asian Nations (ASEAN) Foreign Ministers’ Meeting in Pasay, Philippines on July 22

Protesters who support Yemen’s Houthi group brandish weapons and shout slogans as they celebrate the ban decision imposed against the maritime shipping of Saudi Arabia on July 20, 2026 in Sana’a, Yemen

Ukrainian attacks on Russian shipping have meanwhile disrupted a third artery, with a key Black Sea terminal halting deliveries of Kazakh oil after strikes on tankers.

Advertisement

The pain is already bleeding into wallets, with pump prices topping $4 per gallon, crude clawing back toward $100 and money markets now pricing a 24 percent chance of a Fed rate hike this month.

Rubio insisted the US still wanted peace, telling reporters Washington ‘would love to reach an agreement if it were possible with Iran’ provided Tehran abandoned terrorism and its nuclear ambitions.

But he made clear Trump was prepared to escalate, warning: ‘The President has many options available to him, if they continue to insist on not being cooperative … I think Iran knows we have many options.’

Iranian officials had reached out to try to defuse the fighting, Rubio revealed, but US negotiators remained deeply skeptical.

Advertisement

‘The problem we’re having right now is that they’re not serious about talks,’ he said. 

‘If they’re serious, we’re serious. If they’re not, then we will do what is necessary to protect that, our interests, and also the interests of our allies.’

The warning landed a day after Trump claimed that Iran ‘desperately’ wanted to meet but that Washington had no interest, boasting: ‘If we left right now, it would take Iran 20, 25 years to rebuild. And we’re not finished at all… we’re not leaving right now.’

The President has also doubled down on his threat to bomb a suspected Iranian nuclear site known as Pickaxe Mountain ‘pretty soon, and very heavily’, taunting: ‘There’s not a thing they can do about it.’

Advertisement

Police patrols are being stepped up as school holidays begin in Greater Manchester

Senior police chiefs say ‘multiple lines of enquiry’ are being pursued after a teenage girl reported being sexually assaulted in a park in Stretford, Trafford.

A description of a suspect – a man – has also been released by detectives. He’s said to be ‘an older white male of a large build wearing a black T-shirt’. No arrests have been made as yet, GMP confirmed in a new statement issued on Wednesday.

Parts of Victoria Park in Stretford were cordoned off on Tuesday night as police investigations began.

Click here to get the biggest stories straight to your inbox in our Daily Newsletter

Police swooped on the park at around 6pm, with pictures taken at the scene showing a walkway and an area of woodland taped off within a cordon.

GMP have now issued an appeal for the public’s help – and confirmed patrols are being stepped up around the park as school holidays begin.

In the statement, the force said: “Officers are appealing for information after a teenage girl reported being sexually assaulted in Victoria Park, Stretford. The incident is reported to have happened between 5.30pm and 5.44pm on Tuesday.

“The offender is described to be an older white male of a large build wearing a black T-shirt. No arrests have been made and enquiries are ongoing.”

Detective Superintendent Suzanne Keenaghan, from GMP Trafford, said: “Detectives are pursuing multiple lines of enquiry and the victim is being fully supported by specially trained officers.

“There will be an increased police presence in and around Victoria Park while officers continue their investigation and provide reassurance to the local community. We are particularly keen to hear from anyone who was in the park at the time, or who may have CCTV, doorbell, mobile phone or dashcam footage from the area.

“Anyone with information can speak to officers at the scene, call 101, or contact us via LiveChat at gmp.police.uk, quoting log 3029 of 21/07/26. Always call 999 in an emergency.”

They don’t sleep in contact lenses.

They don’t stare closely at a screen for too long without breaks.

They don’t put off eye exams.

They don’t ignore a sudden vision change.

They don’t leave makeup on overnight.

They don’t stare at the sun.

They don’t smoke or vape.

They don’t rinse contact lenses in tap water.

They don’t eat an unbalanced diet.

Ms Priest said: “The board believes that the reinstatement of the Mackintosh Building can, and should, be part of a heritage-led economic regeneration project, building on the existing creative and cultural production assets within this part of the city, to strengthen Glasgow’s creative eco-system and its position as one of the UK’s leading, creative economies.”

The Burns Hotel, a Samuel Smith’s pub in 23 Market Street is one of ten establishments shortlisted in The Press reader competition to crown the best York pub for 2026.

The Tadcaster base-brewery and pub owner is known for brewing a wide range of traditional beers from natural ingredients – thought to include historic methods such as slate Yorkshire Square fermentation – to create its cask ale Old Brewery Bitter and other Samuel Smith beers.

The Burns Hotel in Market Street, York, is shortlisted in the top ten by readers of The Press as a contender in its Best Pub 2026 competition (Image: Kevin Glenton)

Samuel Smith describes its pubs as “a haven from the digital world – there are no TVs or background music.

“The use of mobile phones, laptops and other tech is not allowed in our pubs.

“Friendly pub conversation is encouraged (no swearing!) together with the responsible enjoyment of our beers.”

A notice from City of York Council in the pub window seen on Friday, July 17, indicated that the pub has applied to serve food and drink at the front of the premises in Market Street.

Described by the Campaign for Real Ale (CAMRA) as a “typical, traditional Sam Smith’s pub in the pedestrianised city centre,” the Burns Hotel was designed to blend with York’s historic streetscape.

The interior has drawn frequent praise from both locals and tourists.

The public house was built in the mid 19th century incorporating an adjacent house of early 18th century date, and formerly one of a pair with number 21, according to City of York Council’s records.

On TripAdvisor, one person who visits the city in their leisure time said: “A pub I always look forward to visiting on any holiday I take to York is The Burns Hotel, been here many times over the years.

“I was visiting this pub when it was called The Hansom Cab Pub many years ago, it’s a great Samuel Smiths Pub to unwind in.

“I like the look of this pub, the interior is superb, dark wood features abound, an eye-catching serving bar dominates the main room, with pub-like decor and furnishings and plenty of seating options spread throughout – it’s a great pub to unwind in.”

Many visitors echo this sentiment, noting the “great beer” at Samuel Smith’s prices.

The pub’s rules, which include avoiding loud music are often highlighted in reviews as part of its appeal.

One reviewer said: “A great pub, great beers, stick to the rules… no loud music.”

Voting slips for The York Press Best Pub 2026 are in copies of the newspaper up to and including Saturday, August 5 and must be posted off to the address provided to count.

The winner will be announced shortly afterwards.

“But there are times players want a different kind of scenario. When you leave a place like Liverpool and go to Madrid, and hypothetically it doesn’t work out, well, one option would be a club that isn’t at its best moment, to try to help it rise again. Manchester United is a clear example of that. There’s also a bit of a question regarding the Liverpool fans, or his affection for the club, it might be hurt seeing him move to Manchester.

The council has been aware of the movement ‘for some time’ and works to repair the bank are expected to begin in spring 2027

A Cambridge riverbank is collapsing into the river as the public has been warned to stay away from it. Cambridge City Council said it has been aware “for some time” about movement along a section of the riverbank near Jesus Green lock in Cambridge.

The city council, who is the landowner of Jesus Green, said there are several warning signs in place which advise the public against accessing the embankment.

These warning signs are on the park side near the embankment, next to the pump-out station. There are advance warning signs for those approaching by watercraft.

The council says that when the “poor condition” of the Jesus Green lock island came to light, it looked into bringing forward a joint project to address both issues with the Cam Conservators.

However, the council decided against this and is now looking into developing proposals for the repair. It would see the repair of the Jesus Green river wall delivered separately to the Jesus Green lock island.

A spokesperson for Cambridge City Council said construction works are anticipated to begin in spring 2027, subject to the completion of the design and approvals process.

Dr Sanjoy Kumar, Grace O’Malley-Kumar’s father, said he was “delighted” the “very high threshold” for a corporate manslaughter investigation had been met and believed it was “crucial” to avoid future deaths.

He told the BBC: “I think what the inquiry showed us is that the failings weren’t just at the senior management, they went all through this organisation, all the way from the people who work with the parents, all the way to the top.”

“I think this mental health trust failed catastrophically, and from every angle.

“I think it [the investigation] will put every mental health trust across the country on notice so that these catastrophic failings don’t happen again.”

In a statement, Emma Webber, the mother of Barnaby Webber – who had been walking from a night out with Grace when they were attacked – said the investigation signified the “beginning of the reckoning” and accountability the families had been calling for.

“This has to be the line in the sand – when those who fail, neglect and cover up, from the leaders at the top down, are fully held to account and made to recognise their failures,” she said.

“This includes chief executives, chairmen of the board, non-executive and executive board members, as well as the negligent clinicians, practitioners and hospital managers who over a sustained period failed to manage and recognise the threat posed by Valdo Calocane.

“We now ask that, for the first time, all of those involved who will be required to participate do so with full candour and transparency.”

Cher Lloyd has hinted at the reason she split from her husband Craig Monk, after it emerged their marriage was over.

The X Factor star, 32, reposted a TikTok video days before the split was announced, with the caption: ‘I heard someone say ”the disrespect at the end was louder than any good memory we ever had, and that’s when I knew I was done.’

On Tuesday, Cher shared a candid picture which included Drake‘s song Yebba’s heartache which is about grief and heartbreak

The day before, Cher had publicly  revealed she has split from her husband after 13 years of marriage, just three months after her father’s death.

She first sparked speculation over her marriage when she shared a snap of her ring-free hand on Instagram, and later responded to a user by saying she’d thrown her wedding ring ‘in the bin.’

After news of the split, a friend of Craig has told Daily Mail that Cher should ‘stop airing her dirty laundry in public’, and instead focus on ‘talking’ to her estranged spouse. 

On Monday, The X Factor star revealed she has split from her husband after 13 years of marriage, just three months after her father’s death

Days before it emerged that she and Craig had split, Cher had also reposted a TikTok video about ‘disrespect’

It comes after a source close to Craig urged the singer to ‘have an adult conversation with her husband’ instead of posting about the state of their marriage online. 

They said Craig found Cher’s comments ‘disrespectful’ adding: ‘She’s obviously spent the last few days photographing her hand. It seems to be for attention. 

‘To say that she’s thrown her wedding ring in the bin is extremely disrespectful. Once something like that goes online, it’s always online.

‘I think it’s quite obvious that she’s not acting in a very mature manner. Maybe have an adult conversation instead of going straight onto Instagram.’

Cher married Craig in November 2013 and the couple share two daughters, Delilah-Rae, who was born in May 2018, and Eliza Violet, born in September 2023. 

The source added: ‘Craig’s okay. He’s getting on with life and prioritising his two girls and that is literally all that is at the forefront of his mind. They are the only ones who matter in all of this.’

The Daily Mail has contacted Cher’s representative for comment. 

On Tuesday, Cher alluded to moving ‘onto greater things’ amid the surprise split. 

Moreover, she ‘liked’ a number of posts referencing her gut and intuition, crying for hours and lost love. 

She then liked a funny video showing somebody dancing in a video to Shakira’s Hips Don’t Lie, with the caption: ‘Me after crying for two hours’.

Another shot showed words layered over an image of Jessica Alba reading: ‘Source? My gut feeling. My intuition. Super symbolic dream. The vibe I got’. 

One of the more poignant videos shared by Cher, was a video with a voiceover saying: ‘I’ll buy you whatever you want’, with the response: ‘No you can’t’. 

An accompanying caption read: ‘What happened to old-school love? When trust came naturally, loyalty meant something, and people weren’t afraid to genuinely care for each other.’

Cher and Craig got engaged less than a year after meeting, following her rise to stardom on The X Factor, where Cheryl Tweedy was her mentor.

During a guest appearance on ITV chat show Loose Women in October 2018, Cher said: ‘You know when you grow up and dream of that fairy tale of course we’ve had our ups and downs, but honestly it is like a fairy tale with me and him.’

The speculation of a marriage split comes just three months after Cher announced the devastating news that her father had died.

In an emotional statement posted onto her social media, she wrote: ‘Life will never be the same again. I’ve never felt pain like this. My Dad, I love you. Goodnight. 10.03.73 – 11.04.26.’

Cher also shared an image of a text message conversation with her dad Darren, in which she had said ‘I love you dad. More than you’ll ever know’, to which he replied: ‘I know you do. And I love you more and more each day see you tomorrow.’

Cher’s father struggled throughout the Covid-19 pandemic, and was rushed to hospital three times in 2020 as he battled against the deadly bug.

At the time – due to the strict restrictions – Cher was unable to visit her dad