08/08/2011 BBC News at Ten


08/08/2011

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Extraordinary scenes in London, as fires, riots and looting spread

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across large parts of the capital. A massive blaze is burning in

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Croydon in south London tonight as a furniture store was set alight.

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The latest violence began this afternoon in Hackney in east London,

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when police were attacked with rocks and missiles. It soon spread

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south to Lewisham and Peckham, where shops and cars were set on

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fire. And this was the scene in Birmingham tonight, as the violence

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spread outside the capital for the first time since the trouble

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erupted on Saturday. Let me be absolutely clear - those

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responsible for the violence and looting will be made to face the

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consequences of their actions. Counting the cost in Tottenham in

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north London, where it all began - businesses lost and homes destroyed.

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Just could not believe it - our building was going up in flames. 10

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minutes longer in that building and we would have been dead.

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And in the last hour, the Prime Minister has confirmed that he's

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cutting short his holiday and is flying home to the UK. Also

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tonight... Share prices across the world continue to fall despite

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efforts from President Obama to calm fears about America's economy.

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Markets will rise and fall, but this is the United States of

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America. No matter what some agency may say, we have always been and

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always will be a AAA country. Syria's President Assad stands firm

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as his Arab neighbours call on him to stop killing his civilians And

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how the economic downturn is taking its toll on Britain's summer music

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Good evening. Fires are burning across large parts of London

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tonight as serious violence breaks out on the streets of the capital

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for the third night in a row. The latest trouble started in Hackney

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in the east of the city late this afternoon before spreading to

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Lewisham, Peckham and now in the last hour to Croydon in south

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London. These are the latest pictures gender from Croydon. A

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furniture store has been a blaze for at least an hour. And for the

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first time since the trouble began on Saturday, violence has flared

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outside the capital, in Birmingham. The Home Secretary, Theresa May,

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has called the attacks "sheer criminality" and said those behind

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it would be brought to justice. In the last hour it has been confirmed

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that the Prime Minister, David Cameron, is cutting short his

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holiday and flying home tonight. Our first report tonight is from

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our home affairs correspondent, June Kelly.

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The smoke is a signal of the mayhem in the distance. The death of one

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mam has driven violence in neighbourhoods north and south of

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the capital. In Hackney, the disturbances began in the early

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evening. Police said they would have more officers on the streets

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of London tonight, and here, they moved in in force. All around this

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area, the cordons are going up. For the second night running, we have

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got copycat acts of violence, just what the police feared, what

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they're calling pure criminality. This group are looting a off-

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licence, one of them carrying away a whole box of drink, the

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livelihood of shopkeepers slowly being removed. Tonight, to begin a

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of London, this was Croydon, a furniture store in flames. And this

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was the view of one eye witness. They don't care, I have never seen

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such disregard for human life. The fear they have put in people's

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hearts, decent people, who have done nothing to anyone, the fear in

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them... This area is miles from the shooting which triggered this

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spiral of violence. Let's be absolutely clear, there is no

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excuse for violence, no excuse for looting, no excuse for thuggery.

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The police will deal with any emerging situations as they

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consider best. But I am absolutely clear, there is no excuse for

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looters or thuggery or violence on the streets. In Peckham, a clothes

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store was being turned over as others looked on. A bus was burnt

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out. Police were guarding a supermarket, but they could not

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stop a pharmacy being attacked. From the country's most senior

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police officer, an appeal for help in stopping the law-breaking.

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We have a lot of police officers on duty, but I urge that parents start

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contacting their children and asking where they are. There are

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far too many spectators getting in the way of the police operations to

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tackle criminal thuggery and burglary. I am employing that

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people within those communities actually start clearing the streets

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to enable my police officers to deal with the criminality which is

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occurring in front of them. In a development which will alarm police

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and politicians, tonight, the trouble moved outside London. This

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was Birmingham, handles and looters out in the city centre. Social

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media has played a massive part in the spread. Police have warned that

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anyone inciting violence through social networking sides could face

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prosecution. The technology company BlackBerry has said it will try to

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assist the authorities in tracking down of the troublemakers. The

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shooting by police last Thursday has become the trigger for a chain

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of destruction. The sense of crisis has been underlined by the Prime

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Minister's decision to cut short Well, the rioting began in

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Tottenham in north London on Saturday after what was meant to be

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a peaceful protest following the death of a local man who was shot

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dead by police. Our special correspondent Alan Little has spent

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the day there as residents and local traders count the cost of the

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violence. Two days ago, this was someone's

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home. 26 families lived above this shop. The building has teetered all

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day on the verge of collapse. Tottenham can even now scarcely

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believe what has happened. This lady lived here. She escaped with

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her life but lost everything else. There was another neighbour trying

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to get out of the building, in such a panic. And then we got outside

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and then I saw the building, flames going up the building. It was just

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black smoke billowing down from the corner of the high road. 10 minutes

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longer in that building and we would have been dead. This man

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opened his bar and restaurant only in December. He came to check it in

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the early hours of Sunday and found looters ransacking it. One had a

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knife. Terrified, he escaped through an upstairs window.

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If they come under attack me here, I'm in danger... He climbed down a

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drainpipe to get away. You could see him at this angle. He had a

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knife. That's why I just went upstairs. Were you scared? I was

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really scared. I was scared for my life at that time. The Deputy Prime

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Minister came to Tottenham this afternoon to listen. The voices he

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heard were polite, patient, eloquent, but angry. Can I ask you,

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is this what is going to happen in England now, because of the cuts?

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People's homes getting burned, and suddenly made homeless? No, I don't

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suddenly made homeless? No, I don't think so. We left the flat as the

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rioters were coming up the road, and the buildings were on fire, we

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did not see one police person. fire engines could not get here

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because the police were not there to protect them. This is the image

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of London which has flashed around the world today, not what the city

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wants less than a year before the Olympics. The police force in

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London has two urgent questions to answer - what was the sequence of

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events which led to the deaf of Mark Duggan, and how did events get

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out of hand so quickly? Mark Duggan was shot dead by police on Thursday.

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His family do not believe that he was armed or that he opened fire

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first. On Saturday there was a small, peaceful demonstration.

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Within hours, Tottenham was in flames. Tottenham is a poor borough,

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but not the poorest. It has a history of tension between the

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police and some parts of the community. But no-one here now

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believes that the violence that is sweeping the capital has anything

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to do with Mark Duggan's death. His to do with Mark Duggan's death. His

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own friends and family have condemned it. If people just carry

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on doing this, it is not going to heal the pain. It is not the right

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way to go about it. Tonight, Tottenham's infamous new landmark

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is coming down. But the flames that started here are spreading, and the

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emergency goes on. And the questions remain unanswered.

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In a moment we'll speak to our political correspondent Iain Watson

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at Westminster. But first let's go to our correspondent Philippa

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Thomas, who joins us from Hackney in East London. This is where the

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trouble started today - what's the latest? Just minor skirmishes now,

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but there is still a major police presence. We spent about three

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hours on the street corner, moving between rioters and riot police and

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observing the tactics of both sides. On the part of the rioters, we

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could see young men pulling T- shirts across their faces, smashing

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bottles for ammunition, setting fire to cars, breaking bricks,

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getting stones, whatever they could get to throw out the riot police.

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On the police side, when we got round to their lines, it was the

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advantage of numbers. About 50 rioters, I would say about 200

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police, with dogs and mounted police, trying to contain the

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situation. For the moment, they have succeeded. The Prime Minister

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and the Mayor of London have decided to cut short their holidays,

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Iain Watson... It is extremely rare for a Prime Minister to call off

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his summer break. It is not something David Cameron took

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lightly, because he did not want to end gender more of a sense of

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crisis. Tonight, Downing Street sources say the Prime Minister had

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witnessed what he saw as a clearly deteriorating situation, and had

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decided to fly back. He will arrive overnight. Tomorrow morning, at

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about 8am, he is chairing a meeting of the emergency committee, Cobra.

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And tonight, I am also told, as well as Boris Johnson returning to

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London tomorrow, the Leader of the Opposition, Ed Miliband, is also

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cutting short his holiday, as well as his deputy, Harriet Harman. So,

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politicians are trying to get back The rest of the news now.

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Turbulence on the stock markets of the world has continued today.

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Tonight, President Obama has tried to reassure the world kits of the

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world, but it was not enough to halt the slide in share prices.

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This was the biggest single-day fall since 2008 on the Dow Jones.

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Stock markets were down in other markets around the world. Faces of

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fear on trading floors in three time zones. Yet another tale share

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price falls, the likes of which we have not seen on Wall Street since

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the slump of 2008. It comes hard on the heels of sharp drops in Asia

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and Europe. But what we are seeing here is the symptom, not the cause.

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This is where the Royal Bank of Scotland trades not shares, but

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debt. This is where the great drama is being played out. It is all

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because of the major doubts over whether the giant economies of

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Italy, France and the US, can repay all of their debts. -- Spain.

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Investors say they are increasingly worried about lending to those

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worried about lending to those countries. Today there has been a

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sharp fall in the interest rates paid by those governments. That's

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because this body, the European Central Bank, has taken the

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historic decision to buy Italian historic decision to buy Italian

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and Spanish bonds, an indirect way of lending to those countries.

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It is exactly what the markets were looking for, somebody trying to

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stabilise Spain and Italy bonds. It is because these countries are too

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big to bail-out. The European central bank is owned by the

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passengers on this tram, and the other taxpayers of the eurozone.

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How much financial risk are the Germans and French taking?

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It is about 2.5 billion Euros per day, potentially adding up to a big

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number, around 800 billion euros of sovereign debt from Spain and Italy.

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American investors have been blue, too. The ratings agency Standard

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and Poor's took what many saw as a shocking decision, to strip the US

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Government of its AAA rating for what it borrows.

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The markets will rise and fall, but this is the United States of

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America. No matter what some agency may say, we have always been and

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always will be a AAA country. fear remains that America may be

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heading back to recession. Bank share prices have been savaged,

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with Bank of America plunging by a 20%. People are selling today not

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just because of the downgrade but because the US economy looks a lot

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less promising today than it did one week ago.

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Behind the market mayhem is a conundrum - what to do about record

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debts bearing down on which Western economies. Don't pay down debts -

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creditors and investors take fright. Repay them too fast - back, perhaps,

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to recession. So, what more come the members of

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the eurozone and the United States do if anything? Our economics

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editor, Stephanie Flanders, looks There are two big issues. Let's

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start with the eurozone, many say the solution has to be rapid

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integration, maybe the muskateer strategy, governments convince the

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markets that the single currency is all for one and one for all. Today,

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the German foreign minister told us he wants that too. We are facing

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now a forked road for Europe and the European Union. We can decide

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do we go the way of left Europe or do we go the way of for more Europe.

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We think it is necessary to answer that crisis with more Europe.

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Ministers have been saying things like that since the start of the

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year to convince the markets now that they really mean it could take

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a much, much bigger bail out fund of at loaf a trillion euros, maybe

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two trillion. Also, maybe a promise to guarantee the debt of countries

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like Portugal or Italy. But in return for that, those countries

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would have accept more central control of tax and spending.

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Eurozone governments ruled out these kind of radical solutions

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only a few weeks ago. I think it's becoming increasingly clear that

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the muddle through solution is not working. The indebted economies are

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not returning to growth. They're not really getting a grip on the

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public finances. The markets are rapidly losing faith in that

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solution. They want to see a more decisive move towards greater

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fiscal integration. Then there's growth in the US. Last year, when

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the recovery hit a soft patch, the Central Bank pumped more money into

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the economy and President Obama got Congress to agree to an emergency

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stimulus. Now rising inflation is limiting the Federal Reserve's room

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for manoeuvre and the President and Congress aren't exactly in a strong

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position to raise spending. Plans to shore up its credit worthiness

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are colliding with very important plans now to boost growth. I think

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that is the predicament that the US finds itself and partly also, which

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Europe now actually finds itself. Markets can be fickle things. Small

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events can send them no a tail spin. But this time the markets jitters

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are all too real. Both America and Europe do face tough problems with

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their economies, which policy makers will struggle to overcome.

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Let's get more from our business editor, Robert Peston who is with

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me. Another turbulent day on the markets. Where does it leave the

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UK? The talk among investors is the greater danger of the US and

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eurozone slipping back into recession. The problem with that

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kind of talk is it can be self- fulfilling. Look at the share

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prices of huge banks today, barving of America -- bank of America down

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20%, City group down 16%. When you see falls like that creditors of

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those institutions become more reluctant to lend. They tend to

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charge more for lending to those banks wh. It becomes harder for

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banks to borrow, they push up the cost of what they lend to business

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US and to households. They make credit less available. When that

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happens there's less spending by households and less investment by

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businesses. When businesses see share price falls they worry about

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the outlook. They invest less. That's bad for jobs and growth. And

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as Stephanie just said, the weapons available for central banks and

:19:34.:19:38.

governments to combat an economic slowdown, they are per received to

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have become more limited. The eurozone, US are two -- our two

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biggest markets. If they slipped back into recession, it would be

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impossible for the UK toe avoid paying.

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Thank you. There's growing diplomatic pressure

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tonight on the Syrian government with calls for it to end its

:19:57.:20:01.

violent crack down on opposition activists. King Abdullah of Saudi

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Arabia has urged the regime to put a stop to the killing machine,

:20:05.:20:10.

before it's too late. The Saudi kingdom has recalled its ambassador

:20:10.:20:20.
:20:20.:20:24.

Every day in Syria more protesters are killed. This is Dera Ghazi Khan

:20:24.:20:33.

in the east. With -- Deir al-Zour in the east.

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Arab channel as cross the region have been reading a strongly worded

:20:39.:20:43.

statement from Saudi King Abdullah. The kingdom of Saudi Arabia Arabia

:20:43.:20:46.

demands a stop to the killing machine, blood shed and calls for

:20:46.:20:51.

an act of wisdom before it is too late. Syria has to enact genuine

:20:51.:20:57.

reforms, not promises. But Saudi Arabia tolerates no real

:20:57.:21:01.

opposition itself and sent armour into neighbouring Bahrain precisely

:21:01.:21:06.

to help crush opposition there. Why has Saudi Arabia moved to such

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strong language now? Well, partly it's because King Abdullah,

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guardian of two of Islam's holiest sites at mecca and Medina, feels a

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responsibility to fellow Sunni Muslims, who are leading Syria's

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uprising. Partly it's because the Saudi's fear any public unrest

:21:27.:21:30.

against autocrats, wherever it breaks out, could inspire their own

:21:30.:21:33.

people to rise up against them. Still, this is a significant moment.

:21:33.:21:40.

Kuwait has followed the Saudis lead, also recalling its ambassador from

:21:40.:21:44.

Syria. And now the Arab League has moved against one of its own

:21:44.:21:52.

members and expressed seer yuz -- serious worries. The response to

:21:52.:21:55.

President Assad, seen visiting wounded soldiers in recents days,

:21:55.:22:00.

he has now sacked his Defence Minister. Few people believe that

:22:00.:22:04.

will lessen the pressure. He's already isolated internally within

:22:04.:22:11.

his country. If he becomes isolated regionally, this will tip the

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balance drastically against him and his regime. It will force him

:22:15.:22:20.

either to speed up reforms or to leave power all together. He cannot

:22:20.:22:26.

continue the way he is. But so far President Assad has simply toughed

:22:26.:22:29.

things out. Human rights organisations say the regime has

:22:29.:22:33.

killed more than 1600 civilians. Since anti-government protests

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broke out in March, at least 12,000 people have been arrested.

:22:38.:22:43.

Protesters are now celebrating King Abdullah's condemnation, but

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Syria's regime may still calculate its survival depends on crushing

:22:47.:22:53.

dissent by whatever means. Two Arctic expedition leaders,

:22:53.:22:56.

injured trying to fight off a polar bear that killed a British teenager

:22:56.:23:01.

in Norway, have returned to Britain. Michael Reid and Andy Ruck were

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discharged from hospital this morning. They're said to be in a

:23:05.:23:08.

stable condition in hospital. The Royal Navy has appointed a

:23:08.:23:13.

woman to command a warship for the first time. Sarah West will take

:23:13.:23:18.

command of HMS Portland from April next year. The frigate carries two

:23:18.:23:23.

missile systems and anti-submarine torpedoes.

:23:23.:23:29.

More than a dozen music festivals were held this weekend. With a

:23:29.:23:33.

grand total of 600 festivals this summer alone, more than 30 smaller

:23:33.:23:37.

ones have gone to the wall. Declining ticket sales and the

:23:37.:23:39.

squeeze on household budgets mean fewer people are willing to part

:23:40.:23:45.

with their cash. We look at whether we've reached

:23:45.:23:49.

saturation point when it comes to saturation point.

:23:49.:23:55.

The UK's music festivals range from the massive to the minute. From the

:23:55.:24:02.

radical to the relaxed. And from the funky to the folky. Many of

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Britain's smaller festivals are now in big trouble. Over the summer

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months, not a single weekend goes by without small music I vents --

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events like the one being prepared here, taking place in fields all

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over the UK. In the past few years, they've been springing up

:24:18.:24:23.

everywhere. Now many are disappearing, just as quickly. In

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four days' time, this piece of farmland in the Surrey countryside

:24:28.:24:34.

will be transformed into Leefest. It's been going for five years now

:24:34.:24:39.

and will see 2,000 fans enjoying a line up of more than 40 acts. Its

:24:39.:24:42.

founder and organiser says things are getting more difficult for

:24:42.:24:48.

events like his. So many small festivals out there, doing similar

:24:48.:24:52.

things, that coupled with the decline in ticket sales, seen

:24:52.:24:55.

across-the-board from the big to very small festivals, is making it

:24:55.:24:58.

really difficult to balance the books. I don't know whether less

:24:58.:25:02.

people are coming because of the economic climate or festivals are

:25:02.:25:06.

going out of fashion. It's making it really tough. Already this

:25:06.:25:10.

summer more than 30 have been cancelled. And with festivals in

:25:10.:25:16.

the UK also facing growing competition from similar events in

:25:16.:25:20.

sunnier climates abroad, organisers recognise to survive they need to

:25:20.:25:24.

recapture the unique elements that first made so many festivals here

:25:24.:25:30.

so popular so quickly. Let's return now to tonight's main

:25:30.:25:34.

story, and the rioting that has spread across parts of London.

:25:34.:25:38.

There has been trouble this evening in Hackney, Lewisham and Peckham.

:25:38.:25:42.

There have been blazes in Croydon and looting outside the capital in

:25:42.:25:46.

Birmingham, for the first time. Let's return to Philipa Thomas in

:25:46.:25:50.

Hackney now. There are a lot of very frightened people in London

:25:50.:25:55.

tonight. Can you give us an idea of how widespread the violence is at

:25:55.:25:59.

the moment? There is still violence. There are skirmishes going on.

:25:59.:26:04.

There are rioters out there, but it's in pockets. One of the most

:26:04.:26:08.

serious incidents is the huge fire in Croydon, which is still going on.

:26:08.:26:13.

There's some activity here in Hackney, in Tottenham, in Peckham,

:26:13.:26:17.

in Lewisham and Clapham Junction we're hearing. The police are

:26:17.:26:20.

telling us they have good quality CCTV pictures and that's going to

:26:20.:26:23.

help them with their investigations. They are saying to us so far, I

:26:24.:26:29.

think the total arrested over these last few days comes to about 215

:26:29.:26:34.

and that's rising tonight. Even before tonight, Sophie, 25 police

:26:34.:26:38.

officers had been hospitalised. As we say, there are still incidents

:26:38.:26:42.

going on, not London-wide, but in pockets across London.

:26:42.:26:46.

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