12/06/2013 BBC News at Ten


12/06/2013

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Stephen Hester after five years running the Royal Bank of Scotland.

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He'll step down later this year, though he's hinted he had wanted to

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stay on. I'm content with the board's perspective on this. There

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is no fight or anything like this, and I hope I will leave RBS a lot

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better than I found it. He took charge after the massive bailout by

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the taxpayer. Ministers say it's for someone else to take RBS back into

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private hands. Now we need to move from taking R BS back from the brink

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and out of the risky phase to a new phase where RBS does more to help

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the British economy and we focus on getting British taxpayers' money

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back. We'll be asking what this says about the timetable for privatising

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RBS. Also tonight: In Turkey, more

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anti-Government protests as ministers move to end the crisis.

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Controversial plans to reorganise children's heart surgery in England

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are put on hold. A city of contrasts. We have a

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special report from Damascus, more than two years into Syria's

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conflict. And will Australian David Warner's

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:01:24.:01:53.

attack on England's Joe Root cost Good evening. Stephen Hester is to

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step down as chief executive of RBS later this year. He took charge of

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the bank five years ago after the massive bailout by the taxpayer. Mr

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Hester said he'd wanted to carry on in the job, but the task of leading

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the bank back into private hands will now fall to someone else. Our

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business editor, Robert Peston, reports. Stephen Hester is the big

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bonus banker brought in to save Royal Bank of Scotland when it was

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almost bust and semi nationalised at the end of 2008. And now RBS's board

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and the Chancellor think it is the right moment for him to stand down.

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Stephen Hester, you didn't want to leave RBS now did you? I think that

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there is a cogent argument to say that, in a perfect world, it should

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be the beginning of a future for RBS and RBS should be led by someone who

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sees it as a beginning and not as an end. I'm content with the board's

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perspective on this. There is no fight or anything like this, and I

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hope that I will leave RBS a lot better than I found it. He is

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leaving by mutual agreement, says a Treasury official, because the

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chairman of RBS, Sir Philip Hampton, and the charm, felt that giant RBS

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is ripe for change. Five years ago RBS was on the edge of collapse and

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Stephen Hester has done a very good rescue job, but now we need to move

:03:17.:03:22.

from taking RBS back from the brink and out of the risky phase to a new

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phase where RBS does more to support the British economy and we focus on

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trying to get British taxpayers' money back. Stephen Hester has

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shrunk RBS and made it stronger to absorb losses, but he has faced flak

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for not lending enough and for his big pay, which has seen him waive

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bonuses. You are leaving with a package worth a minimum of which

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four. .5 million. Many will say, because this esay this about all

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bankers' packages a, it is way too much. What do you say to those?

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These are large sums of money, by the standards of anyone else doing

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the jobs, and the impact we've had, the �800 million off the balance

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sheet and so on, it's a low sum of money. An argument that will go in

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circles. The only good bit of the argument is I won't be around to

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have it any more. RBS's chairman, Sir Philip Hampton, said the

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Treasury rants RBS ready to return to the private sector by the end of

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2014. And will taxpayers get back the �45-46 billion that they

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invested in RBS? RBS a capable of being worth more. So it is possible

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that we'll get the money back? capable of that. I will be

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disappointed if over the passage of time that isn't the case In your

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time at the bank you've been periodically beaten up over bonus

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being, over not lending enough to small businesses and not supporting

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the economy in general. Has it been a hideous job to do? There are some

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not great moments of which that. There were. I like being a

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businessman, I don't especially like being a politician or a media

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person, but this job has demanded all of those things. I've done it to

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the best of my ability. I think the company is considerably better off

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as a result not just of what I've done but everyone at RBS. As Stephen

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Hester leaves RBS, what have we learned? That with whether we love

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or hate the bankers there is no return to prosperity for any of us

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until the banks are fixed. Robert Peston is with me. Let's talk about

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the prospect of privatising this bank. What do you read into the

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signals today about the timetable? Well, the Treasury interestingly

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earlier today urged me not to read too much into Mr Hester's departure

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in respect of when this enormous taxpayer stake is likely to be sold.

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But Sir Philip Hampton, the chairman of RBS, rather let the cat out of

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the bag when talking to journalists today. He said the Treasury had

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asked the bank to get itself ready for privatisation at the end of

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2014. Indeed that's the reason, he said, why it was right for Mr Hester

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to go, because the board and the Chancellor both decided that it was

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sensible to have somebody not only lead the bank into privatisation but

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run it for a couple of years afterwards. The point about Mr

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Hester is he didn't want to run the bank for as long as that. In my

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interview with Stephen Hester, he said something I think politically

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significant about the privatisation, and that is, and he volunteered

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this, he thought that taxpayers would be able to get the full �45-46

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billion that we've invested in RBS back. Why does that matter? Because

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there are quite a lot of people around, the Chancellor, George

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Osborne, telling him just flog this thing as quickly as possible. Don't

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worry about the amount of money you get, blame the losses on the last

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Labour Government. Stephen Hester is saying that if they manage the

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privatisation properly, which means doing it in a sort of staged way, Mr

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Hester would say, we will as taxpayers get all of that

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astonishing sum, �45 billion back one day. Thank you.

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The controversial plans to stop children's heart surgery at three

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hospitals in England have been suspended. The Health Secretary said

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the original decision was based on a flawed analysis. The NHS had planned

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to concentrate care in a smaller number of centres. NHS England has

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until the end of next month to respond back. Fergus Walsh has the

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details. Born with a hole in the heart, four

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week old Sarah Sarah has already undergone life-saving surgery at the

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Royal Brompton in London, one of ten hospitals in England which perform

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these highly complex operations. Children's heart surgery here had

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been under threat. But now the plans, which have already cost �16

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million, have been suspended. Inaccurate figures were used and im

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impact on other hospital services were overlooked will. The outcome of

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which the Safe and Sustainable was based on a flawed analysis on the

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impact of incomplete proposals and leads too many questions about

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sustainability and implementation. This is clearly a serious criticism

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of the Safe and Sustainable process. The need for change was set out more

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than a decade ago following the Bristol heart scandal, when many

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babies died needlessly. An inquiry said surgery should be carried out

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in fewer bigger and better centres. Fiver years ago the Safe and

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Sustainable review was set up. It concluded that children 's heart

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surgery should stop at the Royal Brompton in London and in Leeds and

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Leicester. In March this year Leeds won a High Court ruling quashing

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that decision. A fresh review said the proposals failed to take into

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account the impact on families like four-year-old Lyle's from Leeds, who

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would have faced repeated journeys to Newcastle for surgery.

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wouldn't be here if we had to two to Newcastle for surgery, because he

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wouldn't have had the joined up care he had in Leeds. To have that taken

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away and to be told by national charities that very few children

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need more than one surgery and therefore your needs matter is so

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hurtful and it has made us so angry, so upset. All medical bodies agree

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that change is vital and quality of care will improve if surgery is

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concentrated in fewer centres. been very clear that our

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recommendations is a mandate to move on, not a mandate to go back and

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start again, and therefore we would expect NHS England to use those

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recommendations to forge a new process of change. NHS England now

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has six weeks before it must decide what to do next.

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The utter failure of this five-year review is a deep embarrassment for

:10:11.:10:17.

the NHS. It was meant to provide a template into how other services

:10:17.:10:22.

could be reorganised into fewer specialist centres. Instead it

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leaves families here and around the country facing months, maybe years,

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of uncertainty about where their children will be cared for.

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Jordan's Parliament has approved a treaty with the UK designed to lead

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to the deportation of Abu Qatada. The vote means that the process to

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deport the hard line cleric is likely to resume within weeks. He

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has indicated he will not challenge deportation if the treaty is passed,

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because the document guarantees him a fair trial.

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The number of people in employment has risen to the highest since

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records began. Other figures today show that nearly 10% of people over

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65 are now working. A new report also concludes that the recession

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has had an unprecedented impact on household finances.

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There are signs of an improvement in the business climate. There is

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growth in the economy, but many want to know, what will that mean for

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jobs and will it become easier to find work? The latest figures show a

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fall in unemployment to two. 51 million between February and April.

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That was the story for the UK. In Wales the jobless number stayed the

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same as before. Total employment rose and there are now a record

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number of over 65s in work. More than one million. In the hunt for

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jobs some are finding more opportunities. At Leicester College

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they are running courses teaching building skills to people out of

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work. That leads to a short-term contract with the local council and

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valuable experience. Steven was on the dole for six months but the

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course has given him just the lift he needed. Now I have hope, there's

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hope for my family and hope for me. We can go places and spend money.

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They've given me my life back. I'm not just existing. I'm living.

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what do the bosses think? Numbers in work have fallen a lot less rapidly

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than in previous downturns. Companies like this advertising

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business have held on to staff but kept did lid on pay. The reality for

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the last five, six, seven years in a tough economic environment it is

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impossible simply to give inflation pay rises every year. Our staff no

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longer expect that. It is a similar story for salaries across the

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economy. To keep their jobs many workers have had to tolerate pay

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freezes at a time when prices of goods and services they buy have

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been accelerating. The wage squeeze is clear when you look at cost of

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living increases measured by the annual inflation rate. That's

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running at two. 4%. It is well ahead of average pay rises excludeing

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bonuses of zero. 9%. A leading think-tank said today the squeeze on

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pay in recent years hasn't been seen for generations. You've had this

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unprecedented period since the recession, wages not keeping up with

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inflation, falling quite a lot behind inflation, and that

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followings five or six years when they were barely going above

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inflation. A every a ten-year period no real wage increase. In recent

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months private sector pay rises have been even lower than the public

:13:43.:13:53.
:13:53.:13:54.

sector. It may be the price workers are paying to hold on to their jobs.

:13:54.:13:56.

The Foreign Secretary, William Hague, has said tonight that Britain

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and its allies must be prepared to do more to help ease the

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humanitarian crisis in Syria. Speaking after talks in Washington,

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he said there was nothing new to announce on the possibility of

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providing arms to the rebels. The Syrian president insists his regime

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is on course to crush the opposition, after more than two

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years of fighting which has claimed at least 18,000 lives. In the

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capital, Damascus, the impact of the conflict very dramatically between

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districts. Our chief international correspondent Lyse Doucet has

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travelled across Damascus. In parts of Damascus, it is easy to forget

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there is a war. Maybe that is why this ice cream parlour is so packed.

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So much has been destroyed, but Syrians are holding onto much loved

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traditions. The family has been making ice cream in the old city

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since 1895. They have been using the same secret recipe for three

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generations. In some neighbourhoods, rituals also go on. There is relief

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that one more exam is out of the way for these high stools students. In

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Syria, nearly one in five schools is now shut. These teenagers are

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fortunate to live in a safe, government-controlled area. You do

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:15:34.:15:38.

not have any worries? They answer in unison - no, none at all. They thank

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their army and their president, Bashar al-Assad, for keeping them

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safe. But in Damascus, people have had to find ways to live with war,

:15:49.:15:59.
:15:59.:16:01.

even when a shell lands nearby. But nobody flinches this time. But just

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two streets away, Jobar, like many neighbourhoods, is a battlefield.

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The Roman troops, with overwhelming firepower, are trying to push back

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armed rebels. Nearly everyone who lived here has left. -- government

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troops. The lucky ones found shelter, and even a special place

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for children, funded by the UN to try to bring back some childhood

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:16:37.:16:40.

joy. 13-year-old milk of it still wears her sadness. Her whole family

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fled Jobar a few months ago. What is it like there? Not very good, it is

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:16:58.:16:59.

very bad, she says. I ask her if there are problems. A lot of

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problems, she says. Even in parts of Damascus like this, where it is

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peaceful enough to still play, the impact of the war is ever present.

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Now that Rania and her friends have coloured in these apples, they are

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going to be asked to write what they would like to do when they are

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older. The last time they did this exercise here, three children wrote,

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we just want to grow up. Rania once every detail to be just perfect. She

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has made her wish. She has written - I want to go back to my home. But

:17:39.:17:49.
:17:49.:17:51.

Rania knows she has no home to go to Unions in Greece have called a

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24-hour general strike for tomorrow in protest at the sudden closure of

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the state broadcaster ERT. Programmes were taken off air in the

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middle of a broadcast late last night. The Government says it needs

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to save money, and it says ERT was inefficient. It says it will reopen

:18:09.:18:15.

later with a smaller staff. An independent report has concluded

:18:15.:18:19.

that the Lib Dem leader, Nick Clegg, should have done more to deal with

:18:19.:18:22.

allegations of inappropriate behaviour by one of the party's

:18:22.:18:26.

senior figures. It says opportunities were missed formally

:18:26.:18:33.

investigate claims of sexual misconduct against a party's former

:18:33.:18:38.

chief executive, who has denied wrongdoing. Vicki Young can tell us

:18:38.:18:42.

more. These reports first became public earlier this year, but in one

:18:43.:18:47.

case they were made as far back as 2007, so this report looked into how

:18:47.:18:52.

the Liberal Democrat had handled it over those years. It says the

:18:52.:18:56.

party's response was haphazard, that much more could and should have been

:18:56.:19:00.

done, and that Nick Clegg himself should have asked more questions. It

:19:00.:19:04.

says senior figures who heard the complaints did not act maliciously,

:19:04.:19:08.

and there is no evidence of a deliberate cover-up, but by not

:19:08.:19:13.

launching a formal investigation at the beginning, it says it allowed

:19:13.:19:15.

issues to fester, making the situation far worse for everybody

:19:15.:19:22.

involved. Nick Clegg has admitted that serious errors were made.

:19:22.:19:26.

makes sobering reading, because it shows that, stretching over a 20

:19:26.:19:31.

year period, a series of mistakes were made, which left a number of

:19:31.:19:35.

women feeling seriously let down, and for that there is no excuse. The

:19:35.:19:40.

report also shows that the individuals who dealt with the

:19:40.:19:43.

complaints had the right motives, but there were not the right

:19:43.:19:46.

processes in place to support the women who had come forward. As

:19:46.:19:51.

leader of the Liberal Democrats, I take responsibility for that.

:19:51.:19:56.

the main problems seems to have been misunderstanding and confusion about

:19:56.:20:00.

what the women who complained wanted to happen next. Some wanted to

:20:00.:20:04.

remain anonymous, others wanted a formal procedure. The report says

:20:04.:20:09.

that because the allegations will associate Reus, any organisation in

:20:09.:20:13.

this sensitive situation must fully investigate them anyway. Throughout

:20:13.:20:19.

the affair, Lord Rennard himself has denied any wrongdoing.

:20:19.:20:22.

Thousands of anti-government protesters are again gathering in

:20:22.:20:24.

central Istanbul despite warnings from the Prime Minister that his

:20:24.:20:30.

patience has run out. The government has now raised the possibility of a

:20:30.:20:36.

referendum for the people of Istanbul on the original, local

:20:36.:20:41.

dispute which provoked the protests. Jeremy Bowen has the latest. By the

:20:41.:20:44.

middle of the evening, the demonstrators were back in Taksim

:20:44.:20:51.

Square, a human chain against the police. It looks like the old

:20:51.:20:55.

Turkey. But one of the protest organisers said the country had new

:20:55.:20:59.

rules now. The government needed the consent of all the people, not just

:20:59.:21:09.
:21:09.:21:12.

the supporters of the ruling party. Thousands reoccupied Taksim Square.

:21:12.:21:15.

They may be changing this country, but the Prime Minister still wants

:21:16.:21:20.

to do things his way. He reportedly told a meeting that this business

:21:20.:21:27.

must be concluded by tomorrow. The government told the protesters to

:21:27.:21:30.

clear the square, and the adjoining Gezi Park, but nobody was going

:21:30.:21:35.

home. Because it means freedom, without freedom, you do not do

:21:35.:21:40.

anything. It means freedom, freedom of speech, freedom of religion,

:21:40.:21:49.

everything. But is this not a democracy already? This is not a

:21:49.:21:55.

democracy, this is fascism. Ankara, the Prime Minister met a

:21:55.:21:59.

group which some people said was not representative. He offered them a

:21:59.:22:07.

referendum on the plan to build on Gezi Park. This demonstration was by

:22:07.:22:10.

lawyers in Istanbul against police violence. It shows that the protest

:22:10.:22:15.

is about much more than the original issue. It is about country's

:22:15.:22:18.

future, and the anger among those who did not vote for the Prime

:22:18.:22:22.

Minister about the way that he governs. Tonight, the police, not

:22:22.:22:27.

the protesters, have the backing of the government's supporters, still

:22:28.:22:32.

the majority. But the split in the country is deepening. This is as

:22:32.:22:36.

tense as it has been all day in the square. The Prime Minister has

:22:36.:22:39.

effectively given the people in the park and in the rest of the square

:22:39.:22:43.

and Alderman Tim - they have to go home, or the police are going to

:22:43.:22:50.

move in. -- an ultimatum. Behind the square, in Gezi Park, thousands are

:22:50.:22:55.

waiting, talking endlessly about what happens next, in no mood to bow

:22:55.:23:03.

to the Prime Minister's authority. The Barcelona for Paula Lionel Messi

:23:03.:23:08.

and his father are being investigated for allegedly

:23:08.:23:11.

defrauding the Spanish authorities of almost �3.5 million in unpaid

:23:11.:23:16.

tax. The striker, world Player of the Year, is one of the highest-paid

:23:16.:23:22.

sportsmen in the world of sport. David Warner, the Australian

:23:22.:23:26.

cricketer, has apologised for punching the England batsmen John

:23:26.:23:31.

wrote in a bar in Birmingham in the early hours of Sunday morning. The

:23:31.:23:33.

England and Wales Cricket board described it as an unprovoked

:23:33.:23:37.

attack, and it led to one being dropped from today's Champions

:23:37.:23:46.

League Trophy match against New Zealand. Australians prefer their

:23:46.:23:52.

sporting heroes to come with a rough edge, but batsmen David Warner's

:23:52.:23:57.

behaviour may have gone a step too far. He has been suspended for

:23:57.:24:02.

punching young England player John Root in a late-night pub brawl.

:24:02.:24:06.

Believe it or not, it was here, in an Australian themed bar in

:24:06.:24:16.

Birmingham, that the first blow of an Ashes summer was struck. Root was

:24:16.:24:21.

drinking with two team-mates, when, according to England, a worse for

:24:21.:24:25.

wear Warner launched an unprovoked attack. For Root, it was business as

:24:25.:24:29.

usual today, as he prepared for England's Champions League Trophy

:24:29.:24:34.

game tomorrow. His captain is confident his players were not to

:24:34.:24:38.

blame. Disappointed that the incident happened, but after

:24:38.:24:42.

investigating our side, we realise we do not believe we have done

:24:42.:24:48.

anything wrong. A different sort of round four Warner and his team-mates

:24:48.:24:53.

today, serving drinks, as Australia played New Zealand at Edgbaston.

:24:53.:25:02.

Now, he could be kicked off the tour. Whatever unfolds, the tone for

:25:02.:25:06.

the Ashes has been set here in Birmingham. David Warner's

:25:06.:25:10.

suspension might come to be seen as a minor footnote, but it reflects a

:25:10.:25:16.

deeper malaise in the Australian camp. The Australian team have

:25:16.:25:18.

certainly had their problems recently. Only three weeks ago,

:25:18.:25:23.

Warner was in trouble again on Twitter, fined for using offensive

:25:23.:25:28.

language against Australian journalists. In March, four players,

:25:28.:25:31.

including vice captain Shane Watson, were suspended for failing

:25:31.:25:35.

to complete the report on the squad's problems on tour in India.

:25:35.:25:41.

Now, with the Ashes looming, their captain and only world-class

:25:41.:25:46.

player, Michael Clarke, is struggling with a back injury.

:25:46.:25:49.

Unfortunately, David Warner has tarnished the whole of the

:25:49.:25:54.

Australian cricket team. The whole network of the team, the structure,

:25:54.:25:58.

the management, the captain, the supporters, you all get tarnished.

:25:58.:26:03.

That is what the individual has done for them. Uncle with Australian team

:26:03.:26:09.

under growing pressure, Warner's actions might actually galvanise

:26:09.:26:12.

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