Gromit, as serving military it gives me great pleasure to point out that you are wrong :)
You are allowed, and in some cases (VC, GC, etc) encouraged to wear realtives gongs. You wear the medals of a relative on your right breats, and your medals on your left.
That is the way it is. The Grandson was perfectly correct in wearing of those gongs.
As for the Iraqi blokes defence, it's rubbish. How many of you can tell me the difference between an Op Telic medal, an Op Herrick medal, Op Southern Watch, Op Granby, Op Corporate or Op Banner. I know I couldn't and i've got some of those mentioned. He had no way of knowing whether the Grandson was wearing his old mans medals or ones he'd earned himself.
This was a good, old fashioned, unprovoked, assault. The reasons behind this are unknown, as every media outlet wants to provoke it's own little bit of paper-selling outrage.
As for the deportation, I actually agree. If you want to live in this country you obey the rules. If you cannot, then you go home.