Huhne has told the Indy that “the whiff of corruption has become a nauseating stench..there was an organised arrangement whereby a very large amount of money was donated to the Labour Party and at the same time the major donors received peerages and knighthoods”.

“It’s quite clear what was going on,” he said. “This was basically a supermarket in honours. It is completely mad to suggest other than this was an organised matter. I am very happy to say that on the record. If they [the Government] think otherwise they can very happily take me to a libel court.”

Huhne is no idiot, that is too vague to be libellous if it were untrue. You would have to say something more specific, such as “Lord Levy was intimately involved in the trading of honours for donations to the Labour party.” That would only be libellous if it were untrue, and that is why Lord Levy isn’t going to sue anyone.