02/03/2012 Daily Politics


02/03/2012

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Afternoon, folks. Welcome to the Daily Politics. It is a big day in

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Europe - again. This morning, 25 of the 27 countries in the EU signed

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up to a new treaty committing them to tough new debt rules. Only

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Britain and the Czech Republic haven't put pen to paper. But David

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Cameron is not feeling isolated. In fact, he is claiming victory this

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morning over his ideas on stimulating economic growth in

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Europe. We will have the latest from Brussels, get reaction from

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Westminster and hear why the Irish plan another referendum on this

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latest treaty. And, as Labour gather for their Scottish

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conference, Shadow Defence Secretary Jim Murphy joins us to

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talk Europe, Scottish independence and what action needs to be taken

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Riots on the streets? Petty crime making your life a misery? Bring

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back national service. Well, the Government have. But there's no

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marching and it is not compulsory. But should it be? We'll ask the

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minister in charge of the Big Society idea that the Government

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claim as a big success. And pity your poor MP, he or she is

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suffering. No, it is not overwork, in fact it is the opposite, with

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just one vote in the Commons in the last seven days. We will find out

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why and ask what they are doing all All that in the next hour. And with

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us for the duration, Vincent Moss of the Sunday Mirror and Sue

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Cameron of the Daily Telegraph. Before we get under way, there have

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been developments in the Chris Huhne court case this morning.

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Let's go over to our correspondent, Tom Symonds, with the latest

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outside Southwark Crown Court. What happened this morning? Well, this

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was always going to be a procedural hearing. It was over in minutes.

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The any new information was the fact the trial of Chris Huhne and

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his former wife, Vicky Pryce, will take place in October. The press

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pack turned out in force. Chris Huhne had to fight his way out into

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a taxi. It is alleged that in 2003, when his car was registered as

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speeding in Essex, he was driving and he passed the points to Vicky

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Pryce and she accepted she could take the points she -- so he did

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not have to. They are both charged with conspiracy to convert the

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course of justice. We do not know if they will plead guilty or not

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guilty. Sir, basically nothing happened this morning of serious

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development. We do have the date for the trial, which will be

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October. We will have enormous media interest in S. When will we

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know when they will plead? It is very dangerous to predict how

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anyone might plead in a case like this. They are jointly charged with

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conspiracy and, therefore, the court will hear the case as it one.

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They are facing individual charges. There is a case management hearing

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in May but the trial is not until October and that is when the trial

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will get under way. All eyes will be on the court in October. There

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are pressures on the Chancellor with the budget just three weeks

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away. From calls for the abolition of the 50p tax rate to alarm over

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petrol prices reaching an all-time high, Mr Osborne is getting a lot

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of advice but, economically and politically, does he really have

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many options? We are hearing today that Mr Osborne will keep the 50 p

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rate. We do not really know because it is a budget. It is likely that

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he will, isn't it? I would have thought it is almost politically

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impossible to have reduced the 50p. The gross between the rich and poor,

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people are acutely aware of that. It only applies to people earning

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over 150,000. Two said they would keep more money in their pockets

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would be inflammatory at the moment. -- to say. The Liberal Democrats do

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not want them to do it. Is that really the clinching argument or is

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it political reality that even if the Lib Dems won a breathing down

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his neck, he probably still would not do it in this budget? He may

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give some direction of travel and say it is not raising that much

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money and say, I am minded to do something towards the end of the

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parliament. Give a signal but not do it. There is little room for

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manoeuvre. It if it does not raise much money, and early evidence is

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that it has not, we had one accountant on the show yesterday

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who said he thought it would raise 5 billion. If it raised that, it

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would be impossible to get rid of it. You could see a deal down the

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road if it does not raise much money. The Lib Dems are saying, we

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are going to cut the tax on income - on incentive - but we're going to

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find ways of raising taxes on the property of the better off. I think

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that is a possibility. It might easier to increase the number of

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council tax bands. People are living in expensive houses should

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pay more in that way. I still think, regardless of how much of how

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little they 50 p raises, it is the signal it sends out to ordinary

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voters. The politics are very difficult. We have just learnt the

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price of unleaded petrol has reached a new high of 137.42 4p per

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litre. So, it's another big day in Brussels. This morning, 25 of the

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EU's 27 leaders signed the new Treaty on Stability, Coordination

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and Governance in the Economic and Monetary Union, designed to prevent

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a repeat of the current debt crisis. It will oblige the signatories to

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legislate against a budget deficit None of them are near that at the

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moment. The treaty will now go to the national parliaments for

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ratification. Ireland has already said that it will hold a referendum

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and others may follow. The only leaders not to sign were the Czech

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Prime Minister, and, of course, David Cameron. Last night, Mr

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Cameron formally raised objections that his ideas for cutting red tape

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were not reflected in draft summit conclusions but, today, he said

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that his growth plans would be incorporated in the final

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communique after all. And here he is, speaking to journalists in

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Brussels in the last hour. Before this summer, 11 other EU leaders

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and myself set at an action plan for growth. Many more have backed

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our plan since then. This is an unprecedented coalition. It brings

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together countries from all four corners of Europe. It was not just

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the traditional allies from the northern European countries, it

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included Spain, Italy, Poland and many others. This letter has been

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the main focus at this council. Together, the countries that signed

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this letter, represent over half of the population of the EU. We made

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it clear we should agree concrete steps at this meeting. Yesterday it

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was frustrated that the drug summit communique did not do this. Today,

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in Brussels, as you will see when the communique is published, we

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have made our voice heard. It has been fundamentally rewritten in

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line with our demands. The Prime Minister is claiming a great

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political victory in Brussels. Sometimes it is true and sometimes

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it is not. Let's go over to our political correspondent, Iain

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Watson, in Brussels. You were telling us that it looked like

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Herman van Rompuy and the Commission had basically ignored

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the British-backed document. Now the Prime Minister is saying it is

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at the centre of things. Unravel it for as. The truth lies somewhere in

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between. David Cameron was keen to show he was not isolated. He turned

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up early for the summit. Gordon Brown turned up late wants to sign

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a treaty. 11 other countries had signed this letter, causing formal

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steps to boost economic growth. Last night he said he was

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frustrated because he was ignored. Today he said the communique had

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been fundamentally rewritten to incorporate what he was looking for,

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specifically timetables for lifting some EU regulations by 20th July 14

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and he saw that as a significant step forward. Two countries he did

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not mention were France and Germany. No soon as he claimed victory bend

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Nicolas Sarkozy issued his own rebuttal. I am not a polyglot. This

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is the sense of it. He said, he could not considered 10%, 15% of

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the demands of David Cameron and the temptation for deregulation is

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ever-present with Britain and Sweden and we do not want to see

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that on the table. I have spoken to EU Commission sources who said that

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David Cameron got about half of what he was asking for. That is a

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negative view. It reflects a bit of scepticism. The Prime Minister is

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wagging his finger at the rest of them at the EU summit. He was

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claiming victory today. We should be doing more to claim alliances.

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Nonetheless, let's be clear about this. The British government would

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say, if we had not made a point of this and got this round-robin

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together with 11 other countries, had it not been for the work of

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officials behind the scenes, there is a possibility would have got

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more warm words on gross but not what we need to boost the economy

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in difficult economic times. -- Kriss Akabusi. Was it the intention

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to ignore what Mr Cameron was asking for because it was not in

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the original draft? He made a song and dance about it and said, all

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right, we will write some extra bits into it. I saw at the original

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draft. There were four pages about the need for economic growth. This

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was only a draft and for circulation. We were always

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prepared to beef it up. We have made more progress towards

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deregulation than David Cameron is admitting. They saw being blunt

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about it as a manufactured row. The Prime Minister said, I led the way

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that it was not just me. Other countries like thin and stared up

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at the summit and decided they were going to back this. -- finance. He

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was not just playing to the domestic gallery. Herman van Rompuy

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had just been re-elected as President of the Council for

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another two-and-a-half years. David Cameron was trying to say, do not

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just listen to France and Germany. The feature EU budget, that will be

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negotiated. He says he has a guarantee of a proper discussion of

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EU trade in July. Thank you very much. He is not a polyglot but he

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is Scottish. And we are joined by Tory MP Stewart Jackson. He

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resigned as a government job over Europe last autumn and Sharon

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Bowles, Liberal Democrat MEP and chairwoman of the European

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Parliament's Economic Affairs Committee. Sharon, let me come to

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you. 25 of the 27 have approved the treaty. It has to be ratified but

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it looks like it is going ahead. It calls for fiscal union, the

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constitutional budget level laid down in law, and for more and more

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central control of individual economies on fiscal matters. For

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the foreseeable future, for this generation, all other means Britain

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will not join the euro. I think if Britain were to join the euro, it

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is a long way in the future. long? Certainly more than 10 years.

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I think it is off the table currently. To my mind, a lot will

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depend on what happens with eurobonds. If we get genuine

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eurobonds were joint and several liability and deep and liquid bond

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markets, there might come a point where that reflects upon what

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happens to gilts and we might have to think about it again from that

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point of view. Good luck with the Germans and that! It sounds as if

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you are hankering for membership. We have had other ambitions as well.

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I had interviewed every Lib Dem leader in recent memory and they

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have all made Europe one of the defining issues of your party. That

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ambition is not over. Hang on! We are in Europe. To join the euro?

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still think there are potentially circumstances where the UK may

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choose. The reasons worried did not join, some have been cured, like

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the fact there was not enough discipline but the facts such

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discipline would require much closer union, which was not to the

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overall UK taste. That has increased. If you look at it

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democratically, I think it is less likely to happen. You are shaking

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your head. I just cannot believe this delusion of the Liberal

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Democrats. They should be honest and say, had we listen to them, we

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would be more less in the same position as Greece. What the euro

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has done is inflicted policy and destitution on millions of Greek

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citizens. It has not worked and it has not worked because essentially

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it is a political project, driven by the bureaucratic European elite

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you want to extend their power. It is not about trade. We are a

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trading nation and a proud trading nation - the 5th biggest in the

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world. We do not need to be in this high-tax customers Union. The

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quicker the Liberal Democrats can understand the their way with the

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rest of the population, the better. That seemed to be a mix-up of the

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EU and Europe. That sometimes happens. I am talking about the

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European Union. You want out of the European Union. I have not said

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that. Let's ask her. I think for too long, you have to be over 55

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years of age ever to have been asked whether you believe in

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Britain having a close and what integrated approach to the European

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Union. The answer to the question is quite straightforward - we

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should have a referendum on future membership. How would you vote?

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am still agnostic. You could abstain! I would vote one way of

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the end of the stub it sounds to me want to vote No But cannot tell us.

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We are not having a debate. The need to have a debate among

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everyone. A moderate, well-informed What surprises me is anybody takes

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any notice. Have part of the deal is Europe will increase its

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employment rate by 75%, up to send 2%. The lisbon treaty said Europe

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would be the technological powerhouse of the world by 2010. I

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don't bake that happened, you just have to go to silicon Valley. Why

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did people bother? It's all nonsense! They like to put targets

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in as a headline. This time, there is quite a lot of work to try to

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make things happen. 20 measures coming forward to actually do more

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in the Single Market, remove the barriers still there, which should

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help growth. If you had 20 pieces of legislation referred to, it

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would stretch even your tolerance. There are much more positive moves.

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It is a fantasy move. Herman Van Rompuy was tweeting, thank you for

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re-electing the. I missed the election. Did you get a vote? Don't

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you think the public is losing patience? They keep on going to

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these summits, fight their internal battles. For the people watching

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this programme, for 99.9%, it means next to nothing. It is right it

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means next to nothing in a way. They have come up with a new

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agreement setting strict agreements on the size of the deficit. Even

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before they signed it, Spain and the Netherlands were saying, we are

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sorry, we can't manage this. We are talking as if, having signed it, it

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happens. The one they we know about Europe is, when they signed things,

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that is just the beginning of the argument. Exactly, it is about

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David Cameron playing to the domestic audience. His own party is

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at war over this. He tried to veto it. He is widely ignored in Europe.

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It is about shoring up the right wing of the Conservative Party.

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There is a settled Euro-sceptic can sentence in the Conservative Party.

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David Cameron is doing what people criticised him for in the past,

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building a coalition around growth, low taxes, low regulation, with

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other parties. We're now joined from Dublin by the

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Irish Finance Minister Brian Hayes. Thank you for joining us. Am I

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right in thinking that the legal advice, you might not want a

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referendum as a government, but the legal advice made it inevitable you

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have to have won under the Irish constitution? Good afternoon. The

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advice the Attorney General gave the government this week was that,

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on balance, a referendum should be held. We love those in Ireland,

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asking people their views on Europe. The view of the government is, even

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though this is an Inter governmental treaty, the

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constitutional test is quite strong here in Ireland and the government

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is going into this referendum in a positive position because it is

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good for Ireland and Europe to pass this duty and make sure that the

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mess created over the last number of years in Ireland and across the

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eurozone never happens again. We need to put in place strong rules,

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which get this crisis beyond, so we can move the agenda. 2012 should be

:20:57.:21:01.

the agenda around growth and jobs and creating new prospects for

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people. It is tough, it involves a considerable loss of sovereignty.

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Your opponents may even exaggerate the loss of sovereignty. You have

:21:13.:21:23.
:21:23.:21:24.

to give up a lot of budget powers, even some tax powers. In Ireland,

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Berlin seems to know about one of your budget agreements even before

:21:28.:21:33.

the Irish. It is not plain sailing? It is not, the government knows

:21:33.:21:39.

that. The great majority of people in this country no that the

:21:39.:21:44.

continuation of the euro and the establishment of the euro is

:21:44.:21:49.

crucial. We produce more than we can see him. We are exporting

:21:49.:21:54.

country. The only way back for Ryland is to export our goods and

:21:54.:21:58.

services and the best way it is with a strong attachment to hard

:21:58.:22:06.

currency. We also have over 250,000 direct and indirect jobs in this

:22:06.:22:11.

economy as a result of foreign direct investment, US and

:22:11.:22:15.

multinationals who come to Ireland because of its good location and

:22:15.:22:20.

quality of work force, also we are at the heart of the euro project.

:22:21.:22:29.

To create any uncertainty in economic history would be crazy.

:22:29.:22:34.

Most people realise, if we have to come back as a country, we need the

:22:34.:22:40.

support of all European countries, support of the eurozone. A means of

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doing that is part in this treaty. It is not going to be plain sailing.

:22:49.:22:59.
:22:59.:23:02.

I covered your referendum on the niece's treaty, I covered your

:23:02.:23:12.
:23:12.:23:19.

referendum -- Nice treat. -- and Lisbon. And you're lost. Will you

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be forced to have a second referendum? This is unlike any

:23:23.:23:28.

other referendum for the following reason. Once the requisite number

:23:28.:23:32.

of countries in the eurozone implement the treaty, the treaty

:23:32.:23:38.

goes on, without us. The question for us, do we have access to key

:23:38.:23:44.

emergency funding which we may or may not require in the future? We

:23:44.:23:48.

have a very precarious public finance position, a current budget

:23:48.:23:55.

deficit, just under 10%, we have got to get that down to 3% by 2015.

:23:55.:24:00.

It will be crazy for this country, in a circumstance where there could

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be up to 750 billion in a special fund, as a stop gap for the euro,

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if we couldn't have access. That is something Irish people will be

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mindful of. Sorry to interrupt. To get clarification, are you saying,

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even if you vote no, which Brussels which -- will regard as wrong, they

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won't make you vote again in a second referendum? There won't be a

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second referendum because no one will be making us do anything

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because other countries will simply go off on their merry way and

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create the conditions were the treaty can be established, without

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us. This isn't about Brussels telling the Irish what to do, it is

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about ourselves deciding what we want to do. There won't be any

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second referendum, the Deputy Prime Minister has made that clear. This

:24:58.:25:05.

and we wanted was to campaign on ensuring we don't get into this

:25:05.:25:15.
:25:15.:25:18.

mess again. It is good for Ireland, and good for Europe.

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Coming back to London. On this treaty, it puts into law, into

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constitutional amendment, the size your deficit can be. How does that

:25:31.:25:40.

square with the Liberal Democrats? Your party is riddled with

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Keynsians. They would say that is nonsense. If there is an over

:25:48.:25:53.

arching problem, externally, there are get-out clauses in his duty. If

:25:53.:25:58.

there is something... It strangely. It is not worth the paper it is

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written on! The balanced budget aspect as far as I can see, don't

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make a lot of difference to that we have already put partly into

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legislation in the last round, where we had balanced budgets in

:26:17.:26:22.

that. There is more that is coming in, in new legislation. The House

:26:22.:26:26.

of Lords has said there is nothing in that treaty the UK could not

:26:26.:26:32.

sign up to. Obviously, finds which applied to the eurozone would not

:26:32.:26:42.
:26:42.:26:43.

apply. -- fines. But all the rest to do with balanced budgets, we do.

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The Maastricht criteria contained all the right rules, they are

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already there. They were broken. Everyone knew Greece was fiddling.

:26:55.:27:01.

The elephant in the room surely... And the UK helped France and

:27:01.:27:06.

Germany escape when it came round to the vote. Surely, the Germans

:27:06.:27:10.

are the influential people, they will dictate whether the European

:27:10.:27:15.

Central Bank will be the lender of key resort. They are not willing to,

:27:15.:27:22.

for political reasons. We should be focusing on a low regulation, this

:27:22.:27:24.

is that institutions and power- broking in Europe.

:27:24.:27:29.

If you're planning a trip to Dundee this weekend, watch out. The place

:27:29.:27:33.

will be crawling with the great and the good from the Labour Party. Get

:27:33.:27:37.

there early, and you might even bump into Ed Miliband, who's taking

:27:37.:27:40.

the fight to Alex Salmond over independence with a speech this

:27:40.:27:48.

afternoon. Among his many warm-up acts today will be Shadow Defence

:27:48.:27:53.

Secretary Jim Murphy. We'll speak to him in a moment. First, here's a

:27:53.:28:00.

flavour of Douglas Alexander's address to conference this morning.

:28:00.:28:05.

As proud Scots, we may feel there is nowhere better, but we also

:28:05.:28:09.

understand there is something bigger. And if, in the coming

:28:09.:28:13.

century, our influence is to be increased and not diminished, our

:28:13.:28:17.

global reach is to be extended not limited, we need the British

:28:17.:28:22.

connection. So, in the months ahead, it will fall to Scottish Labour, to

:28:22.:28:26.

every person gathered in this hall, to every party member in the

:28:26.:28:32.

country, to say in the case that Scotland stands taller on the world

:28:32.:28:35.

stage as part of Britain, we are stronger together and we would be

:28:35.:28:42.

weaker apart. Douglas Alexander. Jim Murphy joins

:28:42.:28:49.

us now, from the conference in Dundee. Is Scotland really up for

:28:50.:28:55.

this fight for independence? Welcome to Dundee. I am looking at

:28:55.:29:02.

the window, it is a lovely day. We meet in Dundee, is city with a

:29:02.:29:07.

great history, through tough times. The Labour Party is up for it, not

:29:07.:29:14.

for our own sake but for the people who are hurting in this city and

:29:14.:29:20.

across the country. We lost an election in Scottish Parliament, we

:29:20.:29:24.

didn't lose our sense of right and wrong or our self-confidence. We

:29:24.:29:29.

have got to stop apologising, and take the fight to the two

:29:30.:29:36.

governments we face, in the Commons and the Scottish Government.

:29:37.:29:42.

they will be your allies in the fight for the union? On supporting

:29:42.:29:49.

devolution, they will be our biggest ally, the truth, Logic,

:29:49.:29:53.

common sense, the Scottish public. Folk hero know a good deal when

:29:53.:30:03.
:30:03.:30:04.

they see one. Ultimately, Scots are patriotic, fiercely so. A good deal

:30:04.:30:10.

is getting a fantastic deal as part of the UK. Who will lead the Labour

:30:10.:30:20.
:30:20.:30:22.

The Scottish public. Which Labour leader will lead it? We will have

:30:22.:30:29.

Johann Lamont at the head of it. You will have Johann Lamont as

:30:29.:30:34.

leader of the Labour Party campaign for the union? Yes, there will be a

:30:34.:30:38.

Labour Party campaign and an all- party campaign which will involve

:30:38.:30:45.

people from all political parties. That is the way to do it. Come the

:30:45.:30:50.

big debates for independence, if we have this referendum, not just on

:30:50.:30:53.

Scottish television but network television throughout the British

:30:53.:30:58.

Isles, many may be taken throughout the world given the importance of

:30:58.:31:04.

where the United Kingdom stays together or not, who, in these

:31:04.:31:10.

debates, will represent Labour up against Alex Salmond? Let's see who

:31:10.:31:19.

the BBC invites! That is a cop out. Who do you offer? The clever you

:31:19.:31:27.

invite will come on to your television. I know it makes good

:31:27.:31:32.

telly for you and I to shout at one another hundreds of miles apart. No

:31:32.:31:37.

one in Dundee or any street across Scotland is thinking, he will be in

:31:37.:31:42.

the TV debate? What they want is a conversation about what separation

:31:42.:31:46.

means, what interest rates would apply. Those other big questions we

:31:46.:31:51.

will face. At some point we will get the issue of who will make the

:31:51.:31:56.

debate in television studios. understand that. I would not have

:31:56.:32:00.

to shout at you if you just answer the questions. I answered it but

:32:00.:32:06.

you did not give me the answer. did not answer it. Who will lead

:32:06.:32:10.

the campaign against Alex Salmond? There will be a team effort of all

:32:10.:32:14.

the parties. I look forward to playing my part, I look forward to

:32:14.:32:20.

Alistair Darling claimed his pack - - his part. Let's see who the BBC

:32:20.:32:27.

it invites. That is an absurd one such. The viewers will make up

:32:27.:32:31.

their minds. You said you were not share a platform with David Cameron

:32:31.:32:38.

to save the Union, is that still true? I do not think it helped make

:32:38.:32:45.

the argument for the United Kingdom. I saw Labour politicians doing that

:32:45.:32:49.

on the first past the post and the eight the referendums. It is not my

:32:49.:32:53.

politics. There will be an all- party campaign. This campaign will

:32:53.:32:59.

be led in Scotland. David Cameron not be leading this campaign.

:32:59.:33:03.

have called for an all-party campaign. That would imply all

:33:03.:33:07.

three leaders of the mainstream parties should get together to

:33:07.:33:14.

fight Scottish nationalists. You're saying despite the all-party

:33:14.:33:20.

campaign, you would not appear with the Tories. The Labour Party, the

:33:20.:33:23.

Conservative Party and the Lib Dems. Leaders and Scotland will come

:33:23.:33:27.

together. It is not about taking on Alex Salmond, it is about making a

:33:27.:33:33.

case for Scotland in the United Kingdom. If we can set aside the

:33:33.:33:37.

personalities, it is about the substance. That is what the

:33:37.:33:41.

nationalists want. They have the dominant individual who behaves

:33:41.:33:48.

like the King of Scotland. That is not what this debate is about. Who

:33:48.:33:53.

will set the interest rates? How big will the Army be, the Navy?

:33:54.:33:58.

These are enormous issues which will decide the debate in Scotland.

:33:58.:34:03.

It will be all party led by the three party leaders of the Scottish

:34:03.:34:07.

party's. Thank you. We were led to get back to Dundee. Good luck in

:34:07.:34:14.

finding a leader against Mr Salmond. There we have it. A Labour campaign

:34:14.:34:19.

that does not have a leader. would cut this morning to find out

:34:19.:34:24.

it was the BBC who had chosen Engelbert Humperdinck to be our

:34:24.:34:29.

representative in Eurovision. thought he was dead actually! I am

:34:29.:34:36.

glad he is not. He is not running to either a break-up or save the

:34:36.:34:40.

Union. From listening to Jim Murphy there, they have not really got

:34:40.:34:45.

someone to lead their sight of the argument. He is saying, although it

:34:45.:34:50.

is about the future of the country, I will not appear but the Tories.

:34:50.:34:54.

If I was Alex Salmond, Aled Brew up another coffee and say, we're off

:34:54.:35:01.

to the races. -- I would brew up. The Conservatives and Labour in

:35:01.:35:06.

Scotland have some very lightweight politicians. All the best a down in

:35:06.:35:11.

Westminster. Possibly they should be repatriated to lead the campaign.

:35:11.:35:17.

It needs decent politicians of that stature. Alex Salmond is a much

:35:17.:35:21.

better politician. They need more heavyweight characters, the

:35:21.:35:27.

Conservatives as well. What do you think about Johann Lamont leading

:35:27.:35:35.

the campaign? She looks a very small figure when compared with

:35:35.:35:41.

Alex Salmond. And, if you can't get enough of Scottish independence,

:35:41.:35:45.

don't worry. I'll be interviewing First Minister Alex Salmond on the

:35:45.:35:55.
:35:55.:35:57.

Sunday Politics this Sunday at noon on BBC1. -- at 11:30am. These days,

:35:57.:36:00.

if someone offered you the chance to pay university tuition fees of

:36:00.:36:04.

�1,000, you'd probably bite their hand off. But, back in the early

:36:04.:36:06.

days of the Blair government, their introduction caused outrage. Since

:36:07.:36:09.

then, how we pay for higher education has proved a minefield

:36:09.:36:12.

for both Labour and Coalition governments and it has got

:36:12.:36:15.

increasingly expensive. But what does the man who first brought

:36:15.:36:18.

tuition fees in think about where we are today and what has their

:36:18.:36:28.
:36:28.:36:41.

Student grants, here to stay it! Protests on the streets of London

:36:41.:36:47.

and many other cities as well. Why? Tuition fees are being introduced

:36:47.:36:52.

by the Government. It seems like a long time ago. Back in the early

:36:52.:36:57.

days of New Labour, it was the job of David Blunkett to sell the idea

:36:57.:37:01.

to a deeply sceptical public. People were genuinely and

:37:01.:37:05.

understandably worried about the breach of the principle over the

:37:05.:37:12.

previous 25 years of so-called free education. So, in the face of

:37:12.:37:15.

pretty fierce opposition, upfront fees came in with concessions for

:37:15.:37:21.

the less well off. In 2001, Labour promised there would be no top pubs.

:37:21.:37:26.

Two years later they changed their minds. Tuition fees would be paid

:37:26.:37:31.

after students graduated but they could be as much as �3,000 a year.

:37:31.:37:34.

More furious protests and it almost brought down the Blair government.

:37:34.:37:42.

Why did they do it? Tony and Gordon got cold feet. They started to feel

:37:42.:37:46.

the wind of parents. Students would not be hit in that way but they did

:37:47.:37:51.

not like the upfront contribution. The demo is of 2004 were repeated

:37:51.:37:56.

six years later when the cap was raised by this government to �9,000.

:37:56.:38:01.

David Blunkett voted against it but sets -- but accepts that Labour set

:38:01.:38:06.

the tone. The pressure once you have changed the system and once

:38:06.:38:13.

you could repeat the mantra there was no bump -- upfront payment -

:38:13.:38:17.

therefore be the students paying at the time they could afford it -

:38:17.:38:20.

that mantra immediately allowed the upward pressure to the point we

:38:20.:38:27.

have seen today. The number of students applying to go to

:38:27.:38:31.

university has dropped by 10%. Has the introduction of students' fees

:38:31.:38:38.

rarely had the chilling effect expected? 18 euros have not had the

:38:38.:38:45.

chance to go to university before. -- year olds. The number has gone

:38:45.:38:52.

down by 4%. That is much less than many of us thought. The number of

:38:52.:38:57.

students who are applying for more -- from more disadvantaged

:38:57.:39:01.

backgrounds has been the smallest dip of them all. Could that move

:39:01.:39:07.

away from the system of upfront fees? I think there is a real risk

:39:07.:39:12.

that upfront payments would have put students off. We have a system

:39:12.:39:17.

where you pay according to how much you earn. In many ways, it is more

:39:17.:39:21.

socially progressive Foster how much you pay depends on what you

:39:21.:39:26.

learn when you graduate. Looking back, does David Blunkett regret

:39:26.:39:30.

being the man who brought in tuition fees? Yes and No. I regret

:39:30.:39:35.

we have ended up with a situation with substantial fees, with a big

:39:35.:39:42.

reduction in England of 10% in those applying for university from

:39:42.:39:48.

autumn 2012. And a great deal of fear, I think, about what it means

:39:48.:39:51.

about the introduction of fees and the contribution that was made

:39:51.:39:56.

first aid by parents and in the feature by students. It has not

:39:56.:40:02.

damaged universities. It has allowed substantial expansion. It

:40:03.:40:07.

has allowed the maintenance of world-class quality. That really

:40:07.:40:12.

does matter. And, to discuss all that, we are joined from Hull by

:40:12.:40:14.

the chair of the Education Select Committee, Conservative MP Graham

:40:14.:40:20.

Stuart. And the author and blogger Owen Jones is with us too. Welcome

:40:20.:40:25.

to both of you. Application figures for 2012 show a minimal drop

:40:25.:40:31.

overall. What was all the fuss about? There has been a drop. It is

:40:31.:40:36.

too early to tell in terms of long- term prospects. This government has

:40:36.:40:40.

scrapped 15,000 places this year. You have to take into account the

:40:40.:40:50.
:40:50.:40:52.

effect of scrapping of Educational Maintenance Allowance. Where is the

:40:52.:40:59.

support to show that places and applications have dropped? It talks

:40:59.:41:04.

about a drop in public services. When Labour induced top up fees, a

:41:04.:41:14.
:41:14.:41:16.

disappeared. In Scotland, you have free education and the drop is only

:41:16.:41:21.

3%. Arts and humanities has had its funding completely withdrawn. The

:41:21.:41:25.

Government has an ideological approach to these matters. Courses

:41:25.:41:31.

such as arts and humanities are falling by the wayside. The whole

:41:31.:41:37.

thing was that it would deter kids from the poorest backgrounds. You

:41:37.:41:43.

turned out to be wrong. No, I did not turn out to be wrong.

:41:43.:41:46.

Applications from kits from the poorest backgrounds barely

:41:46.:41:54.

registered a drop at all. How much did they dropped by? 0.2%. That is

:41:54.:42:01.

statistically insignificant. This is from a very low base. The top

:42:01.:42:09.

5th richest students come at over a half applied for university. We are

:42:09.:42:13.

talking about a very low base. Unless we're talking about a

:42:13.:42:18.

dramatic expansion, we want lots of people from all backgrounds to go

:42:18.:42:22.

to university, we will not achieve that if people are deterred by huge

:42:22.:42:27.

amounts. The number of kids from poor backgrounds going to

:42:27.:42:32.

university has barely changed. has not increased from a very low

:42:32.:42:39.

base. I use saying that 0.2% is statistically significant? -- are

:42:39.:42:46.

you saying? It is a low base. The scrapping of Educational

:42:46.:42:51.

Maintenance Allowance - 49% of colleges in this country - have

:42:51.:42:57.

reported a decline in student numbers. The poorest students are

:42:57.:43:03.

not even going to six form. When will fees go up? When will these go

:43:03.:43:11.

up? They have tripled in recent years. When do they go up again?

:43:11.:43:15.

The important thing is people like Owen have gone on suggesting that

:43:15.:43:20.

these were going up too far for those from disadvantaged

:43:20.:43:26.

backgrounds. So -- statistics show they have not. In a system where

:43:26.:43:32.

most people who go to university, we're going to do our best to close

:43:32.:43:37.

the gap, it will continue to be dominated by people from better-off

:43:37.:43:40.

families. We do not want people who never stood a chance of getting to

:43:40.:43:45.

university and into work longer hours and pay more tax to subsidise

:43:45.:43:48.

the rich to go to university. That is what left-wing people like Owen

:43:48.:43:52.

have been arguing - they have been arguing it would put up the poor.

:43:52.:43:57.

The new system is working. Universities will have 10% more

:43:57.:44:02.

money by 2015. We have a more responsive university sector. We

:44:02.:44:05.

hear from universities that the questions from students and they

:44:05.:44:09.

come to the open days are much more focused. There is a lot more

:44:09.:44:15.

attention to detail. Universities are having to respond. That is fine.

:44:15.:44:20.

I question to you was how can future students of tomorrow and not

:44:20.:44:24.

take it for granted that these will stay roughly in real terms where

:44:24.:44:27.

they are and that we're not on an escalation of fees that will rise

:44:27.:44:34.

and rise and rise and get to American levels? What we have is a

:44:34.:44:38.

system where you do not have to pay until you earn decent money. If you

:44:38.:44:43.

do not earn decent money, you do not have to pay at all. As long as

:44:43.:44:46.

we have the right Progressive support in place, this system is

:44:46.:44:51.

more progressive than the old one. It works out about five had and �40

:44:51.:44:55.

the year less than the old system. You have to earn more money before

:44:55.:45:01.

you start paying. We have a big improvement. As long as we have the

:45:01.:45:08.

right framework in place, these should rise as and when required in

:45:08.:45:12.

future. They should not be frozen for ever. They could be index-

:45:12.:45:18.

linked? Well, we will need to look at what is politically and most

:45:18.:45:28.
:45:28.:45:31.

importantly education league Do these figures seen convincing?

:45:31.:45:37.

agree with you. I do think we are still in quite troubled waters, it

:45:37.:45:41.

will take a few more years before you can really see what is

:45:41.:45:48.

happening. And it has always been the case, kids from disadvantaged

:45:48.:45:53.

backgrounds found it difficult to get to university. I wouldn't have

:45:53.:45:59.

gone to university if these fees were instituted. We're heading

:45:59.:46:08.

towards an American system where you need a small fortune. Let us

:46:08.:46:17.

see how things develop. The final word? The number of people from the

:46:17.:46:22.

poorest backgrounds going to university is shockingly low. A

:46:22.:46:25.

third of courses in England have disappeared since the introduction

:46:25.:46:31.

of fees. If you're an MP, it's a hard life.

:46:31.:46:34.

I'm not kidding. With constituency surgeries, a bulging post bag and

:46:34.:46:38.

all those babies to kiss, it can be tough. So you'll be pleased to

:46:38.:46:42.

learn that things are easing up over the road in the Commons. In

:46:42.:46:45.

the past seven days, honourable members have only been called to

:46:45.:46:50.

vote once. That was yesterday, and most of them are still having a lie

:46:50.:46:57.

down to get over the shock. But not one man. Ealing MP Stephen Pound is

:46:57.:47:00.

up and about, and joins us from College Green outside Parliament,

:47:00.:47:10.
:47:10.:47:11.

along with the Independent on Sunday's Matt Chorley.

:47:11.:47:16.

So, you have nothing to do these days? I am grateful for your

:47:16.:47:22.

concern. We have a great deal to do. However, there is an odd mood on

:47:22.:47:26.

the floor of the chamber, Tumbleweed blowing down the

:47:26.:47:32.

corridors. The government has lost control of the timetable. We had

:47:32.:47:37.

the covers on recess and the Lords sitting, then the other way around.

:47:37.:47:43.

This week, you know when you are desperate for business, we debate a

:47:43.:47:50.

motion on protecting UK interest in respect to the Treaty on Stability,

:47:50.:47:59.

Coordination and Governance, you know you were desperate men.

:47:59.:48:08.

you on a one-line whip? No, there is an important debate next Monday

:48:08.:48:18.
:48:18.:48:18.

with a three-line whip. Because... Because it is a Labour debate! You

:48:18.:48:27.

have to turn up for that. That was confidential! What is the mood up

:48:27.:48:37.
:48:37.:48:38.

like -- like it at Westminster? are lucky to find an MP. A lot of

:48:38.:48:43.

them are working very hard in their constituencies. The fact we are

:48:43.:48:47.

getting into almost the local election campaigning has nothing to

:48:47.:48:57.

do with a fat it is difficult to find MPs at the moment. -- the fact.

:48:57.:49:07.
:49:07.:49:09.

It is a very good thing, the less law-making they do, the better!

:49:09.:49:12.

Look at the Health Service Bill, most of which they didn't need

:49:12.:49:16.

legislation for, it has got them into terrible trouble. It is much

:49:16.:49:24.

better if they do not do too much law-making. Isn't it also the

:49:24.:49:27.

product of coalition government, they are running out of things they

:49:27.:49:32.

agree on to legislate on? They put all of the big bills, health,

:49:32.:49:37.

welfare, that went into the Commons first. The Liberal Democrats wave

:49:37.:49:47.
:49:47.:49:49.

it through. When it got to the House of Lords it got into trouble.

:49:49.:49:55.

There are over 1000 amendments to the health and welfare bill in the

:49:55.:49:59.

House of Lords. When you have over 200 hours of scrutiny, you have

:49:59.:50:04.

either made a catastrophic mistake, or you are so arrogant if you think

:50:04.:50:09.

you can crash this through. We are approaching Belgium where they had

:50:09.:50:19.
:50:19.:50:22.

the best part of two years without a government. Gentle men, we know

:50:22.:50:26.

you have nothing to do so we had better let you go see you can do

:50:26.:50:30.

It it's a been half a century since the abolition of national service.

:50:30.:50:33.

And whenever the bad behaviour of Britain's youth makes the headlines,

:50:33.:50:37.

as it often does, the cry comes up to restore it. Enter the

:50:37.:50:40.

government's National Citizens Service. How to fix a "broken

:50:41.:50:44.

society"? Well the Prime Minister's big idea, unveiled just before the

:50:44.:50:47.

general election, is the National Citizens Service. Not national

:50:47.:50:54.

service, mind you. There's be no square-bashing on the march to

:50:54.:51:01.

Dave's sunny uplands. Mr Cameron hailed the idea by referencing

:51:01.:51:04.

Mahatma Gandhi's maxim that: "The best way to find yourself is to

:51:04.:51:10.

lose yourself in the service of others." This summer, the programme

:51:10.:51:14.

will be rolled out to 30,000 16 year olds. But eventually, the PM

:51:14.:51:18.

wants all them to take part. The aim is a more responsible and

:51:18.:51:28.
:51:28.:51:36.

engaged youth. A goal even more pressing since last summers' riots.

:51:36.:51:43.

Tell me, how many 16 year-olds are best in this country? 600,000 at

:51:43.:51:48.

any one time, 8,000 took part in our pilot last year. And, how long

:51:48.:51:57.

will it take to cover, to meet this goal of 600,000 being involved?

:51:57.:52:01.

will take it a step at a time. 30,000 places will be made

:52:01.:52:05.

available this year, in large part because we are so pleased with the

:52:05.:52:11.

results last year. We are committed to 90,000 places in 2014. We have

:52:11.:52:15.

to make a case for it to the Treasury and public, this is a

:52:15.:52:25.

substantial involvement -- investment. Last year, nine out of

:52:25.:52:29.

10 kids who took part said they would recommend it to their friends.

:52:29.:52:35.

We are sitting on something very powerful. The current rate of

:52:35.:52:41.

expansion will mean 23 years to get up to 600,000. We are starting with

:52:41.:52:46.

something new. On the evidence we have had so far, it has had such a

:52:46.:52:52.

positive impact on young people, building their confidence, the soft

:52:52.:52:56.

skills employers have said they need, connecting them with their

:52:56.:53:00.

communities and how to make a difference. If we continue down

:53:00.:53:05.

this track, and build greater awareness, more people will come

:53:05.:53:12.

forward. But, do you have a target date in your mind when you would

:53:12.:53:20.

hope to see everybody covered? that is the long-term aspiration.

:53:20.:53:25.

What I have in my mind is the 30,000 figure this year. Then may

:53:25.:53:29.

have to make a case, it has to work for the taxpayer. Is there any

:53:29.:53:34.

stage way you would consider making this compulsory. Not at this stage.

:53:34.:53:39.

That is not the direction, our mission is to make it as compelling

:53:39.:53:43.

as possible, so many more young people want to take part because

:53:43.:53:48.

they see the value of it for themselves, their employers seek

:53:48.:53:55.

its value. They understand it is not policy now. But, in your view,

:53:55.:53:58.

sitting as you do at the moment, you would not consider making this

:53:59.:54:04.

a compulsory scheme for 16 year- olds? That is the prime minister's

:54:04.:54:12.

decision ultimately. It is not the intention. This started in 2005

:54:12.:54:16.

when David Cameron became Leader of the Opposition. He wanted to do

:54:16.:54:20.

more for young people. We are not good as a country helping young

:54:20.:54:25.

people make that transition to adulthood. Can we, government,

:54:25.:54:29.

charities, work together to construct a modern version of

:54:29.:54:33.

national service which isn't compulsory, which doesn't have a

:54:33.:54:38.

military dimension, which pressures kids together from different

:54:38.:54:42.

backgrounds to have a, expense which challenges them and gives

:54:42.:54:52.
:54:52.:54:52.

them skills. If it is as good as you say. Why would you make it

:54:52.:54:57.

compulsory? We want a track of proving its value to young people,

:54:57.:55:02.

parents, schools, businesses and ultimately the tax payer. Our

:55:02.:55:06.

belief is we can make it so compelling, it will become a rite

:55:06.:55:13.

of passage for young people. think it sounds a good idea, I am

:55:13.:55:18.

sure it will expand people's horizons, it will be useful and fun.

:55:18.:55:26.

But, it only lasts three weeks. The old National Service used to last

:55:26.:55:30.

for two years. I do not think putting people together, good idea

:55:30.:55:40.
:55:40.:55:43.

that it might be, it will cost �37 million? It is lovely, warm and

:55:43.:55:53.
:55:53.:55:54.

cuddly. You are slightly too old. What people want is jobs. It sounds

:55:55.:55:59.

great but all young people want to hear is, how can I get a job? I

:55:59.:56:03.

can't find work. A lot of young people are attracted to this

:56:03.:56:07.

because they know it will look good on their CV. Employers say what

:56:07.:56:12.

they're missing from young people are confidence. This programme is

:56:12.:56:18.

helping to develop it. If it is only three weeks. They can pack a

:56:18.:56:25.

lot into three weeks. We can pack and out into one out of

:56:25.:56:33.

broadcasting. Time now to see what else has been happening over the

:56:33.:56:37.

last seven days. Here's the week in 60 seconds.

:56:37.:56:41.

The week started some nifty Lib Dem positioning on the Health Bill,

:56:41.:56:44.

with Nick Clegg writing to Lib Dem activists promising to back more

:56:44.:56:48.

amendments. I do not know whether he supports the bill or opposes it.

:56:48.:56:53.

I support it. Oh, he supports it! Leveson finally showed us the money.

:56:53.:56:57.

Exactly how much does it cost to buy a police horse? Sorry I mean

:56:57.:57:07.
:57:07.:57:21.

police force! Three �150,000 in cash. That is a lot of ponies. As

:57:21.:57:24.

one protest came to a close, another stepped up a gear, as anti-

:57:24.:57:26.

workfare campaigners occupied the golden arches.

:57:26.:57:29.

While union leader Len McCLuskey declared he was going for gold,

:57:29.:57:33.

with a plan to disrupt the Olympics. And, who said two wheels are better

:57:33.:57:36.

than four? Boris Johnson unveiled his new Routemaster buses. Although

:57:36.:57:44.

at �1 million a piece, it means he couldn't afford a driver.

:57:44.:57:52.

What about the horse? It is a brilliant story. It will define the

:57:52.:58:00.

whole inquiry. There was a Channel 4 comedy, the kind of thing you

:58:00.:58:05.

would have expected in that. David Cameron was in Brussels wanted to

:58:05.:58:10.

talk about the economy, and the question was, did you ride on

:58:10.:58:19.

Rebekah Brooks's horse? And the answer was, yes. But the horse is

:58:19.:58:24.

no longer, you can't even interviewed the horse. You see,

:58:24.:58:30.

everybody is talking about it. wonder if it gave an exclusive

:58:30.:58:37.

interview? Thanks to our guests. The One

:58:37.:58:41.

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