Here are the business stories making the headlines in Scotland and the UK this morning.

Airlines may get compensation for lost flights

Airlines could receive compensation for the IT meltdown that led to many flight cancellations this week, but customers will miss out.

Carriers are gearing up for potential legal action against the National Air Traffic Service as industry bosses said the bill was set to top £100million.

However, the Telegraph says thousands of customers whose flights were cancelled or delayed are unlikely to receive any compensation because the meltdown was out of airlines' control.

Nats has apologised for the error, but said British air traffic control was still "the envy of most of the world" following the technical issue which has led to nearly 2,000 flight cancellations since Monday.

New vision for heart of Glasgow

Glasgow is staking its future on three of its best-known streets.

Sauchiehall Street, Buchanan Street and Argyle Street will incorporate 1,350 new or converted flats under a new long-term vision for the city centre.

Councillors are expected to vote through the plan for the so-called Golden Z today.

Moving on from the dominance of shopping, the city centre could double its population in just 12 years.

At just 20,000, the number of residents in Glasgow's city centre is low compared to other cities.

The BBC says the council plan would boost the night-time economy, helped by more footfall from local residents.

Pret A Manger fined after freezer ordeal

Sandwich chain Pret A Manger has been fined £800,000 after a worker was stuck in a walk-in freezer for two and a half hours.

The employee, wearing only jeans and a T-shirt, tried to keep warm by moving around but feared for her life and was treated for suspected hypothermia.

After the incident in London in 2021, it was found there had been no suitable risk assessment.

The BBC says the chain pled guilty to a health and safety offence at Westminster Magistrates' Court this week.

Westminster City Council, which investigated the incident, said the worker became trapped in the freezer, which typically had its temperature set at -18C, at the chain's Victoria coach station shop.

RSPB apologises to ministers

Conservation charity the RSPB has apologised after calling PM Rishi Sunak and several of his ministers "liars".

The charity said its "frustration" at the government "reneging on its environmental promises...led us to attack the people not the policy".

The RSPB is angry at plans to scrap water pollution restrictions for housing developments in England.

The government says the move will be offset by other measures to tackle pollution.

The BBC says it argues water pollution from new homes is "very small" and the change will mean up to 100,000 new homes can be built by 2030.

Warning over AI

The prime minister's plan for Britain to take the lead in AI regulation is at risk unless a new law is introduced in November, MPs have warned.

The EU could overtake the UK in efforts to make AI safe unless action is taken, ministers on the Commons Technology Committee said.

Britain will host an international AI summit at the start of November.

The government told the BBC it is willing to consider further steps if needed.
But it did not reveal if it agreed that a new law should be put forward so rapidly.

Instead, a spokesperson highlighted the summit and a £100million initial investment in a task-force to encourage the safe development of AI models.

Man charged over Harvie incident

Police have charged a 59-year-old man accused of making homophobic comments towards the Scottish Green Party co-leader Patrick Harvie.

Mr Harvie was at his party's campaign launch for the Rutherglen and Hamilton West by-election, when a man interrupted an interview.

A Police Scotland spokesperson told the BBC:"Following a report of homophobic comments, a 59-year-old man has been arrested and charged.

"A report will be sent to the procurator fiscal."

Lego profits down

Toymaker Lego saw profits fall in the first half of the year as the bumper sales growth seen during the pandemic starts to fade.

The Danish company performed exceptionally well during lockdowns as households stocked up on toys and games to keep them occupied at home.

However, revenues have since stalled, with sales up just 1% in the first half of the year.

Profits at the toymaker dropped 17.7% to £634million.

The company had pinned its hopes on China, with its burgeoning middle-class who are eager to buy Western products.

Lego opened 58 stores in the first half of the year in China, as the world's second-largest economy began its big reopening as Covid-related restrictions were lifted across the country.

But the BBC says sales in the country have not been as strong as expected.

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