31/10/2012 Daily Politics


31/10/2012

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Good morning. This is the Daily Politics. "Continuing as we are is

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not an acceptable option". So says Tarzan, who has emerged from the

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political jungle to issue a not very pleasant message for the

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government on its economic strategy. He wants bolder action to be taken

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on growth, infrastructure, an airport and energy. We'll be

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finding out exactly what he wants when we talk to Lord Heseltine

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later in the programme. Talking of energy the Conservative

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Energy Minister, John Hayes, appears to have had enough of these.

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But is he blowing just a lot of hot air?

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We'll be looking at the political shenanigans being played out over

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Europe ahead of the vote tonight on the EU budget.

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And forget bob-a-job week, or learning about knots. Politics is

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I used to do Bob Bird job. A way you in the Scouts?

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I was a cub. We showed the wrong wind farms. It

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is the onshore wind farms he has a problem with.

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Yes all that and more coming up in the next 90 minutes of truly

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terrifying TV, which frankly this programme is every week, not just

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on Halloween. And with us for the duration we have Count Dracula and

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Van Helsing. I leave you to decide which is which. The Business

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Minister, Michael Fallon, and the Shadow Welsh Secretary, Owen Smith.

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Welcome to you both. Now first today enough is enough. No we're

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not coming off air now. We're going to talk about wind farms, because

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the Conservative Energy Minister, John Hayes, doesn't appear to like

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them very much. He's apparently ordered a new analysis for the case

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of onshore wind farms which he says should form the basis of future

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government policy, rather than, "a bourgeois left article of faith

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based on some academic perspective". I think you can see where he's

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coming from. Anyway, does he have a point? And is everyone happy? Well

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not his boss, we're told, the Energy Secretary, Ed Davey. And not,

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I suspect the Liberal Democrat MP, Andrew George, who joins us now.

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What is your reaction? I think John is as entertaining as ever with his

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usual panache. Your picture, as you were showing of offshore wind is

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not the issue. We did clarify that. The issue of onshore wind is a bit

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of a dog whistle issue for some Conservatives. They object to the

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matter. The Government policy remains as it is, 20% of energy

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supply from renewable sources by 2020. I thought it was a 30%.

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you are, 30%, it goes up. Be very significant amount of VAT will come

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from wind. Most of it will be wind? The most significant and economic

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the efficient method by which you obtain renewable energy is from the

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wind and onshore wind is the most economic of all. If it is economic,

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why does it need a huge subsidy? does not need a huge subsidy.

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is so economic why does it need a guaranteed twice -- Prize, twice

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the guaranteed rate? It gets a lower subsidy than any renewable

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energy. His is hydro electric power. It gets less than any of the other

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new forms of renewable energy. All I would say is planning matters are

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matters that need to be determined on their merits. How much energy,

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as we speak, is being generated by wind power? At the moment, I do not

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know the actual figure. As we speak at 11:15am this morning is 6%. Your

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target is to get to 30% in eight years. From all renewables.

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most of it will come from wins, can you do that? It is a challenge, but

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it is one the Government wants to take on. Is it a challenge now John

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Hayes has said it is not in your policy any more? He is talking from

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a personal perspective. No, he is the Energy Minister. He is not

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spouting Government policy. What is Government policy on wind farms?

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is to encourage renewables of all kinds, to meet the target Andrew

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has described. You said wind is 6%, it has been increasing over the

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next few years. We do not set a target from each renewable sectors,

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we want them all. Is it Government policy to build a more onshore wind

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farms? These things are determined locally. It is not for the

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Government to determine where a wind farm should be. But whether

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his consent, we welcome the contribution wind makes onshore and

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offshore. The Government policy is for 1000 wind farms. If it is down

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to localism, which is what you seem to be saying, what happened if

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every locality said we do not want to wind farms? How would you need

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your target? There would be the contribution from offshore wind and

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other sources. There are already onshore wind farms, and there will

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be more of them, but it is for the local community to decide if they

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want these things. In some areas of the country, it is windier than

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others. Then there are 3,000 onshore wind turbines at the moment.

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The Government is planning another 4,000. Of course, locals can be

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overruled. I ask again, after John Hayes, is it Government policy to

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build another 4,000 onshore wind farms? It is Government policy to

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encourage onshore, offshore, all types of renewable. We're not

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saying we have to have 4,000 onshore wind farms by a certain

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date, these things have to be determined locally. And locals on

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never overruled in these matters? They can be overruled, but it

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depends on each case, on the merits of each application. They are over

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ruled on they? Of course. So it is not all down to the locals? What

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the Government are doing is undertaking a review as to how we

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ensure the communities that are closest to the wind farms gain

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additional benefit. You have an open goal here. Can you get

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anywhere near your renewable target if you do not build the 4,000 plant

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onshore turbines? That is a target and it is very laudable. You have

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not answered my question. I have wind farms in my constituency...

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Can you meet the target if you do not build 4,000 more onshore wind

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turbines? There are many ways that target can be met. A target of

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4,000 is in the plan, and it is down to the locals to decide.

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Smith, shoot. I am none Budweiser as to the Government's policy.

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thought it was just meat. -- none the wiser. We have Ed Davey saying

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he is in favour of more wind farms and Michael Fallon sitting on the

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fence and getting splinters in the studio. Painful, he's used to that.

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Government policy was to try and increase the volume of onshore wind

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power. We know it is the cheapest and most developed of the renewable

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facilities we have. We know it makes sense. The Government will be

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in power -- were we in power, would be sending more signals we need

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more wind power and need to invest in a renewable sector, apart from

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the shambles from the Tories and the Lib Dems.

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Now the Taxpayers' Alliance have published figures today showing

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that trade unions received �113 million of taxpayer subsidy last

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year in direct payments and through staff being paid to work on union

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business. The unions say this is money well spent with union

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representation helping to reduce absenteeism and increase

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productivity. We asked the TUC to come on and discuss the issue but

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no one was available, we also asked for a pre-recorded interview, but

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no-one was available. No one is at home. But we can now speak to

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Matthew Sinclair, from the Taxpayers' Alliance. How do you get

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to the figure of �113 million? built up by going to public sector

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organisations across the country, NHS trusts, councils, Government

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departments, and asking how many trade union staff they were

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allocating, and what payments they were making. It is an underestimate,

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because a lot of organisations were not recording how much time they

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were giving to the trade unions. The TUC dispute that figure, but

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even if you take the figure at face value, it works at a 25p per public

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sector worker per week. That does not sound like bad value. That is

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an underestimated figure. Look at the 25p a week. What Francis Maude

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wants to cut this to his 0.1% of the public bill. We have huge

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arguments about much smaller sums of money. It is an enormous subsidy.

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In terms of politics, and frees up their resources to campaign on,

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that can buy everything in Westminster and twice over. It is

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an enormous amount of money in a specific interest group. What does

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that interest group do? Is it a waste of money to look after and

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represent employees in the public sector, and of course there are a

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union representatives in the private sector. Is it a waste of

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money, they shouldn't be represented at save the public

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purse a lot of money in terms of dispute resolution, training take

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up and health and safety? I do not think there is anything wrong with

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people being represented. My organisation is to represent the

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taxpayer's interest. But if you are representing someone, it shouldn't

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be paid for by someone else. It Union staff are representing their

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members, they should pay for it. If you are working for the trade union,

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you should be paid for by the trade union. Taxpayers shouldn't have to

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pick up the bill, particularly when unions use resources for strikes,

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fight necessary reforms to pensions and necessary control in public

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spending. There is nothing wrong with a lot of what trade unions do,

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they have a legitimate function, but all those legitimate functions

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are being paid for by taxpayers, which frees up their own resources

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which should be used to pay for things like representation and be

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spent on political campaigns and functions that shouldn't be having

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the bill picked up by taxpayers. New don't disagree with what they

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are doing in terms of representation? Do you agree with

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the research commissioned by the Department for business, that in

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2007, those union representatives save the public purse between 170

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million and 200 million a year. That looks like it is saving money?

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If you look at the kind of estimates being found on official

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estimates of the full scale of this, not just the ones we could pin down

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to specific organisations. And the range is lower than the estimates

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of the cost of this. In terms of cost benefits, unless you take the

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high end of the range, it does not justify this as a spending item.

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Beyond that, a lot of what they are claiming, it will lead to lower

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sick leave, but there is far more time off in the public sector than

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in the private sector and there is also more sick leave. Why don't

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union just pay for this? Public sector and private sector employers

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think it is good use of public and private sector money to facilitate

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the employment of Union... Private sector pay for their own?

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public sector pays for people because they know it saves them

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money. It is not new, this is the second time the TaxPayers' Alliance

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have announced this alleged 113 million in November. It is

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interesting when the governments are in trouble on all sorts of

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issues. Should they be rolling out this 100 and think -- 113 million

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as nonsense. In 2007, they are reviewed it and said it saves them

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money. I don't think the TaxPayers' Alliance are disagreeing the

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functions are useful and could bring down costs to the public

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sector, but why don't the unions' pay for it? It is not like they

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don't have many of their own? theory the unions could pay for it.

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They should. Public sector and private sector employers who pay

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for facility down -- time had done so since the early 1990s when this

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was established in law by the Tory Government in 1992. They have done

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so because they think it is a good use of public or private money.

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They've been think it is good because it allows for proper

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representation of the workforce, a proper channel of engaging with the

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workforce, it reduces costs a recruitment and lost hours,

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sickness. It is clear why they do it. If they did nothing it was

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worthwhile, it would stop. It has got out of hand. What has got out

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of hand? The mound of union activity on the public sector pay

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roll. The school's budget is used to finance teachers who are not

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teaching, but sitting in a union office negotiating on behalf of

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their members but not doing any teaching. The school's budget

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:16:15.:16:23.

You should be paying teachers to teach, not to sit in a union

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offices. Watch out, animal hunters, Tarzan

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is back. Yes, Michael government intervention Heseltine has returned

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to the police could jungle with his new Treasury Commission report

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which promises to leave no stone unturned. At this moment I shall

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turn to Jo and she will give you an exposition of what is in the

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Heseltine report. But I am lost for words. Our computer has got stuck.

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I have offered to whack it with a spanner but they said no. It is

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probably being powered by windmills which is why we cannot use it.

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Onshore ones. So, Mr Heseltine says, your government does not have a

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strategy for growth. commissioned this report. We asked

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Michael Heseltine to do this. He has come forward with a whole range

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of ideas which we are going to follow up. He wants to go further

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and faster for growth and so do we. You go and have a major

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restructuring of local government. He has put forward different ideas.

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You can go to a unitary authority which is what he is suggesting.

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There is nothing stopping a council orate group of councils coming to

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us and wanting to take out a layer of bureaucracy. He recognises what

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we are doing on local enterprise partnerships as the key to growth.

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We are doing that as well. A un favour of handing 58 billions of

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pounds of Whitehall cash -- are you win favour? We are already handing

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money to cities. We have eight core cities and City deals at the moment.

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We invited 20 to apply in the second wave of this week. He is

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suggesting we should transfer more of the skills budget down from

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central by Jim down to the cities and local enterprise partnerships.

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Are you going to give more power to local enterprise partnerships?

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have already given their money. much? 24 million over the last two

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years. They are getting core funding now. They are coming

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forward with their growth plans. It is for them to tell central

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government what their priorities are. Michael Heseltine, he wants

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them to have 58 billion. That is a different scale. I gave them money

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for their capacities and own resources to finance themselves. He

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says they should have more control over government spending programmes.

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That is only a couple of billion. think it is more than that. Do you

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favour coming out with an aviation policy this side of the election

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which he has called for? We need to look carefully at the issue of

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where hub airports should be. We think there should be a hub airport.

:19:24.:19:31.

We think that should not be done by politicians by somebody independent.

:19:31.:19:34.

We have asked Howard Davies. Michael Heseltine is saying it

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should come out before the election. It is a simple question. Do you

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think that should happen on not? are not responding to the entire

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report today. What the Chancellor has said it is he is going to set

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out his response in the Autumn Statement on 6th December and tell

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you what we are going to do with each of the recommendations.

:19:55.:20:00.

Michael Heseltine is impatient for growth and so are we. That is

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because you have not had any. economy is growing now. Where were

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you last week? How since your government came to power we have

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had 0.6 % growth. Whereas, in June 2010 you predicted almost 6% growth,

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or the OBR did, say you are out by a factor of 10. It was an

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independent forecast. But you depend on it. You drop the cuts on

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the basis of a projected 6% growth, you have had a 0.6. I don't think

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anybody knew just how prolonged the problems in the eurozone would be

:20:40.:20:43.

and some of the fall-off in growth we have had in the rest of the

:20:43.:20:51.

world. Nobody predicted that. come on. The recession lasted

:20:51.:20:54.

longer than anybody thought. It turned out that boom-and-bust was

:20:54.:21:00.

far worse than anybody estimated. The big news is we are growing now.

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All right, are you in favour of an interventionist industrial policy

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as Michael Heseltine calls? We have an industrial strategy which Vince

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Cable set out in a speech a month ago. That means more collaboration

:21:15.:21:19.

on research and development in each sector, it means looking at the

:21:19.:21:25.

skills gap in each of the sectors, so yes, we have... Are you in

:21:25.:21:30.

favour of an interventionist policy? I am not sure what the

:21:31.:21:34.

differences. We do not want to pick winners but we want to help each

:21:34.:21:39.

sector pick its own winners and focus on what needs to be done on

:21:39.:21:43.

partnership with government. This is probably your second own goal of

:21:43.:21:48.

the day. I am trying to think of questions to ask you. You must love

:21:48.:21:53.

all this? No, we do not love it. What Heseltine has pointed out is

:21:53.:22:00.

the reality that we do not have a growth strategy in this country. I

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think it is broadly agree with what we have been saying for the last

:22:05.:22:08.

two years which is a, you do need an active industrial strategy. You

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do need government to intervene. You do need to have not got rid of

:22:13.:22:17.

the RDAs. The supreme irony of Michael Heseltine saying you have

:22:18.:22:26.

got it wrong, you have to have money is spent in the regions.

:22:26.:22:33.

the contrary... He believes you should have an interventionist

:22:33.:22:41.

government. Can I ask you, is a Labour in favour of passing �58

:22:41.:22:44.

billion of Whitehall spending through the local enterprise

:22:44.:22:48.

partnerships? We are in favour of much greater emphasis on regional

:22:48.:22:52.

growth. I understand that, that is like saying you are in favour of

:22:52.:22:58.

motherhood and apple pie. Are you in favour of giving �58 billion of

:22:58.:23:02.

Whitehall cash to the local enterprise partnerships? You would

:23:02.:23:08.

not expect me to say now worth around in favour of 58, 57 off �43

:23:08.:23:12.

billion. What we are in favour of his money being spent at a local

:23:12.:23:18.

level by effective organisations. That is what we had when we had

:23:18.:23:21.

Regional Development agencies right across the country which had real

:23:21.:23:25.

powers and real resources. This is an important point, unfortunately,

:23:25.:23:30.

the government got rid of those things. What Michael Heseltine was

:23:30.:23:35.

saying is they got it wrong. have made a point twice already.

:23:35.:23:40.

I'm sure it is a good point but it is not one I am asking. We will

:23:40.:23:44.

move on. We know when we are beaten. We will be talking to Tarzan

:23:44.:23:49.

himself, Michael Heseltine, live after Prime Minister's Questions.

:23:49.:23:57.

Now, Darth Maul, Greedo and Boba Fett, D you-know-who they are? They

:23:57.:24:02.

are not members of the European Central Bank. Apparently they are

:24:02.:24:06.

something to do with a lucrative movie franchise which started in a

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galaxy far, far away. Star Wars creator George Lucas has sold his

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film production company Lookers fell to the Walt Disney Company in

:24:15.:24:23.

a deal worth �2.5 billion -- Lucasfilm. Is nothing sacred? Some

:24:23.:24:28.

things cannot be bought so cheaply. Let me assure you you will never

:24:28.:24:35.

see this. Stormtroopers! I have one thing to say to Mr Disney, they are

:24:35.:24:40.

not the mugs you are looking for because they are not for sale at

:24:40.:24:46.

any price. But if the force is with you, dear viewer, one of these fine

:24:46.:24:50.

interstellar receptacles can be beamed to you at no cost. All you

:24:50.:24:55.

have to do is enter our guest the Year competition. Are we will

:24:55.:25:01.

remind you how to enter in a minute. Let's do a bit of our own time

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:25:11.:25:24.

travelling. See if you can remember Respect, tolerance, the family, try

:25:24.:25:34.
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If you are handing on the torch, to give somebody us the opportunity,

:25:52.:26:02.
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make sure the torches burning To be in with a chance of winning

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an intergalactic Daily Politics mug, send your answer to our special

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quiz e-mail address, [email protected] and you can see

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the full terms and conditions on our website,

:26:36.:26:42.

bbc.co.uk/dailypolitics. Now it is coming up to midday here. Let's

:26:42.:26:47.

take a look at Big Ben. That can only mean one thing, Prime

:26:47.:26:52.

Minister's Questions is on its way. Nick Robinson is already here.

:26:52.:26:56.

Welcome. Tell us about this European vote, there is a big row

:26:56.:27:00.

building up in the Commons today. Those who remember their history

:27:00.:27:05.

will remember in the 1990s, the Tory party pretty much fun apart on

:27:05.:27:09.

the issue of Europe and the Labour Party helped them, even though they

:27:09.:27:13.

were led by an avid pro-European, John Smith. I think the leadership

:27:13.:27:19.

of the Labour Party are inspired by Smith's example, urged by the

:27:19.:27:23.

Guardian editorial today and others, don't fait with the Euro-sceptics

:27:23.:27:27.

and the Tory rebels. The Labour leadership is sane, forget that.

:27:27.:27:32.

Nobody remembered in 1997 that the Labour Party were playing with the

:27:32.:27:36.

Euro-sceptics. They remember the chaos in the Tory ranks. What the

:27:36.:27:41.

Labour Party want today is to try and alive with the Tory rebels and

:27:41.:27:44.

defeat the government on the issue of the EU budget. A what is it they

:27:44.:27:49.

want, freeze on the budget already cut? They want a real-terms cut.

:27:49.:27:53.

The government have talked of the policy of having a real-terms

:27:53.:27:59.

freeze, in other words, goes up with the rate of inflation, but the

:27:59.:28:03.

rebels and Labour Party are saying that is not good enough. It is an

:28:04.:28:07.

argument between you room realism and fundamentalism. The government

:28:07.:28:11.

are saying, of course we would like to cut the budget but we will never

:28:11.:28:15.

get it. We might be able to build an alliance in terms of a real-

:28:15.:28:21.

terms freeze. The rebels are saying, forget that, we want it cut. There

:28:21.:28:24.

are a mix of motives. One is to give the Government a bloody nose

:28:24.:28:28.

and the other is a cost free advertisement that Labour does not

:28:28.:28:32.

want to spend your money. If Labour vote with the rebels, could the

:28:32.:28:36.

government lose? They could if there are enough of them. Into

:28:37.:28:43.

simple terms, government majority of 68, the key is he turns up? Who

:28:43.:28:47.

is in the House of Commons on the relevant day? The second key thing

:28:47.:28:51.

is devoted against the government if you are a Tory or do you

:28:51.:28:56.

abstain? If I was the Tory whips I would say do not put a smile on the

:28:56.:29:05.

face of Mr Bowles and Mr Benn abound tonight. -- Mr balsa and Mr

:29:05.:29:11.

Miliband. Isn't there something you could do like catch-up on eight DVD

:29:11.:29:16.

box set. There are enough rebels on the issue of Europe. All the

:29:16.:29:21.

opposition -- if all the opposition parties were here and if all the

:29:21.:29:24.

rebels vote against the government, the government can be defeated. It

:29:24.:29:29.

does not mean they will be. Labour were responsible for the last time

:29:29.:29:35.

the EU budget was fixed and agreed to a doubling of the contribution,

:29:35.:29:43.

now you are calling for a reduction in the Budget, how does that work?

:29:43.:29:47.

Circumstances have changed. We know that we have got austerity right

:29:47.:29:51.

across Europe. We have governments right across Europe asking people

:29:51.:29:55.

to take tough decisions and tighten their belts and we think it is

:29:55.:29:59.

appropriate that in these changing circumstances, our government

:29:59.:30:08.

should go to Europe. It is smart fiscal policy. If the rest of

:30:08.:30:13.

Europe insists on going ahead with an increase and Mr Cameron wield

:30:13.:30:18.

the veto, will Labour support it? It is a shame we have got to the

:30:18.:30:22.

stage when David Cameron is so isolated in Europe. The Swedes are

:30:22.:30:28.

taking an even tougher line. I have just read what the European

:30:28.:30:35.

Minister has said. They want a bigger cut. So do the Dutch. He is

:30:35.:30:40.

not isolated. That is not the question I asked. If he is forced

:30:40.:30:45.

to stop a real-terms increase going through, we used support him

:30:45.:30:49.

wielding the veto? We will look at that at the time when we see what

:30:49.:30:54.

comes out of the negotiations. you calling for a cut? We are

:30:54.:31:00.

calling for a real-terms cut. there is a real terms increase,

:31:00.:31:07.

which is what the majority want, and Mr Cameron says no, I will veto

:31:07.:31:13.

it, surely biologic if you are calling for a real-terms cut, you

:31:13.:31:18.

should support the veto. Let's see what happens when he comes back to

:31:18.:31:24.

Europe. Can I say, very straight forward. We will be arguing tonight

:31:24.:31:34.
:31:34.:31:44.

for a real terms... I understand Want to pay tribute to those who

:31:44.:31:52.

have lost their lives a deep debt of gratitude. Their dedication,

:31:52.:31:56.

professionalism one never be forgotten by our nation. And our

:31:56.:31:59.

condolences are with their family, friends and colleagues.

:31:59.:32:03.

Our had meetings with ministerial colleagues and others and in

:32:03.:32:07.

additional duties in this house I will have further meetings later in

:32:07.:32:12.

the day. I am sure the house will want to associate itself with the

:32:12.:32:17.

remarks from the Prime Minister of our brave service personnel. Will

:32:17.:32:21.

the Prime Minister confirm if he cannot get a good deal for Britain

:32:21.:32:27.

in the EU budget negotiations, he will use the veto? And reject any

:32:27.:32:37.
:32:37.:32:40.

advice on this matter from those who gave our rebate away? I can

:32:40.:32:44.

absolutely give him that assurance. This Government is taking the

:32:44.:32:48.

toughest line in these budget Nick positions of any Government since

:32:48.:32:54.

we joined the European Union. At best we would like it cuts, at

:32:54.:32:59.

worst, frozen. I am prepared to use the veto if the do not get a deal

:32:59.:33:03.

that is good for Britain. It is within our interest to get a deal

:33:03.:33:07.

because a seven-year freeze would keep bills down compared to annual

:33:07.:33:12.

budgets. Labour's position is a one of opportunism. They gave away half

:33:12.:33:17.

the rebate, sent the Budget through the roof, now they want to posture

:33:17.:33:21.

rather than get a good deal for Britain. We can see right through

:33:22.:33:29.

it. Mr Ed Miliband. Can I stop by joining the Prime Minister are

:33:29.:33:36.

paying tribute to corporal David Hope cannot and corporal Channing

:33:36.:33:41.

day of the Royal Medical Corps. It is a reminder of the danger troops

:33:42.:33:45.

based on a daily basis on our behalf. They both showed the utmost

:33:45.:33:49.

courage and bravery and our condolences go to their family and

:33:49.:33:55.

friends. The Prime Minister has an opportunity to get a mandate from

:33:55.:34:00.

this house for a real-terms reduction in the EU budget which he

:34:00.:34:06.

says he wants over the next seven years. He could take to the talks

:34:07.:34:13.

in Europe. Why is he resisting that opportunity? I think the whole

:34:13.:34:19.

country will see through what is right opportunities and. People

:34:19.:34:23.

have not forgot the fact they gave away half our rebate in one ago as

:34:23.:34:30.

the Asian. They agreed a massive increase on the EU budget under

:34:30.:34:34.

their Government. And they have not even put down their own resolution

:34:34.:34:39.

on this issue. The nation will absolutely see straight through it.

:34:39.:34:45.

He is playing politics, he is not serving the country. Ed Miliband.

:34:45.:34:50.

When it comes to consistency, he seems to have forgotten what he

:34:50.:34:54.

said as leader of the opposition just four months before the last

:34:54.:35:00.

General Election. This is what he said. I would have thought they

:35:00.:35:04.

would be interested what the Prime Minister said when he was leader of

:35:04.:35:11.

the opposition. "at a time when budgets are being cut in the UK,

:35:11.:35:15.

does the Prime Minister agree in reviewing the EU budget, the main

:35:15.:35:23.

purpose should be to push for a real-terms cut". That is what he

:35:23.:35:28.

said in opposition. When it comes to opportunism, this Prime Minister

:35:28.:35:33.

is a gold medallist. At a time when he is cutting it the education

:35:33.:35:40.

budget by 11%, the transport budget by 15% and the police budget by 20%,

:35:40.:35:45.

how can he be giving up on a cut in the EU budget before the talks have

:35:45.:35:50.

begun? We have to make cuts in budgets because we are dealing with

:35:50.:35:57.

a record debt and deficit. If he wants to talk about consistency,

:35:57.:36:01.

perhaps he can explain why his own members of the European Parliament

:36:01.:36:07.

voted against a budget freeze we achieved last year? Perhaps he can

:36:07.:36:10.

explain why the Socialist group in the European Parliament he is such

:36:10.:36:15.

a proud member of, are calling, not for an increase in the Budget, not

:36:15.:36:21.

for a freeze in the Budget, but for a 200 billion euros increase in the

:36:21.:36:26.

Budget. And they want to get rid of the rest of the British rebate. Is

:36:26.:36:36.
:36:36.:36:36.

that his policy? Ed Miliband. good to see the Crimson tide...

:36:36.:36:41.

Order, order. Government backbenchers, including ministers,

:36:41.:36:47.

are preaching majority. They have got to tackle their behavioural

:36:47.:36:53.

problems before it is too late. Ed Miliband. He is getting very angry,

:36:53.:36:57.

maybe that is because he is worried about losing the vote this

:36:57.:37:03.

afternoon. MEPs voted the same as his on the motion before the

:37:03.:37:07.

European Parliament 10 days ago. The reality is commonly cannot

:37:07.:37:11.

convince anyone on Europe. Last year he left the December

:37:11.:37:16.

negotiations with a veto and an agreement a went ahead anyway. He

:37:16.:37:21.

had thrown in the towel before these talks had begun. He cannot

:37:21.:37:23.

convince European leaders comedy cannot convince his own

:37:23.:37:29.

backbenchers. He is weak abroad, he is weak at home, it is John Major

:37:29.:37:36.

all over again. His position is completely incredible. He says he

:37:36.:37:41.

wants a cut in the EU budget, but he does not sanction a veto. We

:37:41.:37:47.

have made it clear we will use the veto, as we have used it before. I

:37:47.:37:52.

will ask him, will you use the veto? Order. I won't be using the

:37:52.:37:58.

veto. I will ask the Prime Minister to respect Parliamentary procedure

:37:58.:38:08.

in these matters. The south-east region is often regarded as the

:38:08.:38:12.

engine driver of the British economy. But the Solent region

:38:12.:38:16.

faces challenges, particularly with the announcement of job losses at

:38:16.:38:21.

Ford last week. Will he agree with me, the case for a city Deal for

:38:21.:38:26.

Southampton and Portsmouth is particularly compelling? I do think

:38:26.:38:30.

it is particularly compelling, we make sure Southampton has a City

:38:30.:38:35.

dealer. I understand they are on the list. The news from Ford was

:38:35.:38:41.

disappointing. It was a blackspot in an otherwise strong performance

:38:41.:38:45.

by the British automotive industry. We will be working with Southampton

:38:45.:38:52.

City Council to help everybody find jobs. May I ask a straightforward

:38:52.:38:59.

question that should command a straightforward answer? In the

:38:59.:39:01.

forthcoming police and crime Commissioner elections, it is

:39:01.:39:06.

predicted the turnout will be as low as 20%. Does the Prime Minister

:39:06.:39:11.

think it gives them Democratic legitimacy? I want the turn out to

:39:11.:39:15.

be as high as possible, but I recognise in new elections for a

:39:15.:39:20.

new post, it is a challenge. It is a challenge when you have dedicated

:39:20.:39:24.

Labour MPs resigning from his house to stand as police and crime

:39:24.:39:31.

commissioners. One thing the commissioner will be able to make

:39:31.:39:41.
:39:41.:39:44.

is that since crime is down by 20%. Lincolnshire has benefited from

:39:44.:39:48.

announcements that will boost the local economy. A Kimberley Clark

:39:48.:39:53.

announced the closure of their factory in Barton-upon-Humber in my

:39:53.:39:58.

constituency with a loss of up to 500 jobs. Can he assure me

:39:58.:40:01.

everything possible will be done by the Government to attract a new

:40:01.:40:06.

business to the area? I can give him that assurance. It is sad news

:40:06.:40:11.

for the workers at Barton-upon- Humber. The local council is

:40:11.:40:15.

working closely with Jobcentre Plus and the company to establish a

:40:15.:40:21.

local task force and the Government will support employees and try and

:40:21.:40:25.

find alternative employment. Following a report in the

:40:25.:40:28.

Hillsborough disaster and the phone hacking scandal, self regulation of

:40:28.:40:34.

the press, by the press is no longer acceptable to the public.

:40:34.:40:39.

More than three-quarters responding to recent polls back an end to

:40:39.:40:42.

media self-regulation. Prime Minister, your ministers have been

:40:42.:40:50.

briefing against Lord leathers and. Whose side are you on? Members must

:40:51.:40:57.

adhere to the proper procedures of this House. I think we should wait

:40:57.:41:01.

for the report to come out. A lot of work has been done. I want to

:41:01.:41:07.

see a robust regulatory system. What happens most of all, as I said

:41:07.:41:10.

in a house last week, is to make sure it newspapers get things wrong,

:41:10.:41:15.

they can be fined, journalists can be investigated, and there are

:41:15.:41:22.

prominent apologies. We know what a regulatory system should look like,

:41:22.:41:29.

we don't have one now but we need one for the future. I would like to

:41:29.:41:33.

echo the Prime Minister's tribute to our armed forces and fallen

:41:33.:41:39.

comrades. We owe their families and loved ones are a huge debt of

:41:39.:41:43.

gratitude. Last week we saw the sentencing of former staff of

:41:43.:41:46.

Winterbourne View Hospital who were found guilty of ill-treatment and

:41:46.:41:51.

neglect. I had hoped this would bring closure and a sense of

:41:51.:41:56.

justice to the victims and their families. But we have learnt

:41:56.:42:00.

patience from Winterbourne View have been -- may have been subject

:42:00.:42:04.

to neglect and ill-treatment elsewhere. Does the Member for

:42:04.:42:13.

Sutton and Cheam think they should be subject to a corporate

:42:13.:42:18.

prosecution? I pay tribute to what he said it on armed forces. On the

:42:18.:42:21.

issue of Winterbourne View, anyone who saw those pictures about how

:42:21.:42:25.

very vulnerable people were being treated, would be absolutely

:42:25.:42:31.

shocked. And just like me, they would want to make sure the law

:42:31.:42:35.

will go exactly where the evidence leads. But there needs to be

:42:35.:42:38.

further prosecution, then there should be. It was shocking what

:42:38.:42:43.

happened and we should judge for our society on a vulnerable and

:42:43.:42:48.

needy people and what happened was an acceptable. Ed Miliband. It is

:42:49.:42:53.

welcome the British economy is in a long as did Paul -- double dip

:42:53.:42:59.

recession since the war. And nor Heseltine said today "the message

:42:59.:43:05.

idea is the UK does not have a strategy for growth and job

:43:05.:43:10.

creation". Who does the Prime Minister blamed for that? What

:43:10.:43:13.

Michael Heseltine said is the coalition is fundamentally on the

:43:13.:43:18.

right track. He said, I praise its work for the industrial strategy

:43:18.:43:23.

plans, pioneering city devolution and the revelations in education

:43:23.:43:28.

and tackling unemployment. That is what Michael Heseltine said. We can

:43:28.:43:33.

keep trading quotes, but I think he is making a bigger.. It is an

:43:33.:43:40.

excellent report. What he is saying is over decades in our economy, it

:43:40.:43:45.

became too centralised, and regions and nations fell behind,

:43:45.:43:47.

manufacturing half as a share of national income during the last

:43:47.:43:51.

Government. And during the boom years, in the West Midlands there

:43:51.:43:55.

were no net a new private sector jobs. He is dealing with the big

:43:55.:44:01.

issues. What a pity or he can do is stand up and read out a quote.

:44:01.:44:06.

says Lord Heseltine's report says they are on the right track.

:44:06.:44:10.

Goodness knows what it would have said if he thought they were on the

:44:10.:44:14.

wrong track. He's said there is no strategy for jobs and growth,

:44:14.:44:19.

deregulation, his chosen approach is not the answer. Let me turn to a

:44:19.:44:25.

specific area of the report. Recommendations 61. He says, "the

:44:25.:44:30.

Government needs to set out a definitive and unambiguous energy

:44:30.:44:38.

policy." This is an appropriate day to be considering this

:44:38.:44:42.

recommendation on energy. It is good to see the business secretary

:44:42.:44:46.

on the bench. I'm sorry the growth Committee he is on his so one

:44:46.:44:51.

memorable, he cannot remember it. This is an appropriate date to

:44:51.:45:01.
:45:01.:45:02.

consider these recommendations will I am enjoying this, Mr Speaker. His

:45:02.:45:07.

energy secretary says he is against wind farms and enough is enough.

:45:07.:45:13.

Whilst his... The order. Let me say to the Government backbenches. It

:45:13.:45:18.

is straightforward. They either calm down or the session it will be

:45:19.:45:24.

extended, at whoever inconvenience that involved. It is incredibly

:45:24.:45:27.

straightforward. His energy minister says he is against wind

:45:27.:45:31.

farms and enough is enough while his energy secretary says he wants

:45:31.:45:37.

them. Who speaks for the Government, the Energy Secretary or the energy

:45:37.:45:43.

minister? Today the jokes has been bad and the substance is bad also.

:45:43.:45:47.

I tell you why it is a good day to talk about energy policy, because

:45:47.:45:53.

today Hitachi are investing �20 billion in our nuclear industry.

:45:53.:45:57.

Today is a good day to talk about energy because there is more

:45:57.:46:00.

investment in renewable energy under three years of this

:46:00.:46:04.

Government's ban under 13 years of their Government. It is a good day

:46:04.:46:10.

to talk about energy policy because we have got a Green Investment Bank

:46:10.:46:14.

up and running. There has been no change towards renewable energy. We

:46:14.:46:18.

have a big pipeline of onshore and offshore wind projects coming

:46:18.:46:23.

through. We are committed to those. All parties will have to have a

:46:23.:46:27.

debate in his house and outside this House about what happens once

:46:27.:46:37.
:46:37.:46:47.

the targets are met. And he ought It is very simple for the Prime

:46:47.:46:53.

Minister will stop you have one minister who says he is totally

:46:53.:47:02.

against wind farms and he has won a minister who is totally gunk hoe

:47:02.:47:06.

for wind farms. He has a wind turbine on his house, I thought he

:47:06.:47:12.

would be in favour. Lord Heseltine says in his report there are people

:47:12.:47:17.

resistant to his ideas. We know who they are, the Chancellor and the

:47:17.:47:21.

Prime Minister. The evidence over the last two years is de Regulation,

:47:21.:47:26.

sink or swim. His answer is not the answer. Lot Heseltine is right and

:47:26.:47:31.

they are wrong. I have got one thing to say, not you, Mr Speaker

:47:31.:47:41.
:47:41.:47:47.

but he, he is no Michael Heseltine. Order! Order! I want to hear Mr

:47:47.:47:52.

Swales and I feel sure the people of red-carded. Thank you, Mr

:47:52.:47:59.

Speaker. The Russians want to award a prestigious medal to Arctic

:47:59.:48:05.

convoy veterans. The governments of Australia, Canada, the USA and

:48:05.:48:11.

Canada have agreed, the UK government have refused. Will the

:48:11.:48:17.

Prime Minister get this decision reversed so my constituent get the

:48:17.:48:26.

recognition that they reserve -- deserve. I have every understanding

:48:26.:48:31.

which is why we have asked Sir John Holmes to conduct this review into

:48:31.:48:35.

medals and important cases of which the Arctic convoy is probably the

:48:35.:48:45.
:48:45.:48:50.

most pressing. He is getting on The Foreign Secretary said

:48:50.:48:54.

yesterday that the rules of this House require that ministers answer

:48:55.:49:03.

questions. Sir, There is a stash of embarrassing emails, isn't there?

:49:03.:49:07.

Adam Smith has to publish every single one of his emails and ended

:49:07.:49:13.

up resigning. Why won't the Prime Minister publishes emails? Can he

:49:13.:49:17.

really be a fit and proper person to judge on the future of press

:49:17.:49:20.

regulation if he will not come clean with the British public?

:49:20.:49:24.

There is another rule of this house which is if you insult someone in

:49:24.:49:29.

this house you do an apology. I have to say, I am still waiting.

:49:29.:49:33.

The fact is, it is this government which set up the Leveson Inquiry

:49:33.:49:41.

and I gave all the information that Leveson asked to the inquiry.

:49:41.:49:47.

Owl and the pussycat is a coffee- shop in Larne in my constituency.

:49:47.:49:52.

They have just had their business rates hyped-up by 700 % and the

:49:52.:49:56.

council is coming up with the money -- coming for the money even though

:49:56.:50:04.

they have not yet heard the appeal. This is not unique to Wales, can

:50:04.:50:06.

the Prime Minister come to the rescue? I have every sympathy with

:50:07.:50:11.

the business he mentions. Business rates are a devolved issue. This is

:50:11.:50:14.

something which needs to be taken up with the Welsh Assembly

:50:14.:50:21.

Government. In England we have halved rate relief -- doubled rate

:50:21.:50:28.

relief to help small businesses. We have given councils new powers to

:50:28.:50:33.

levy discounts. I think that is the right approach to England and he

:50:33.:50:41.

will want to take their case to Wales. In 2007, the Prime Minister

:50:41.:50:45.

identified Lewisham Hospital as one of 29 hospitals he would be

:50:45.:50:51.

prepared to get into a bare knuckle fight over. On Monday, it emerged

:50:51.:50:56.

that Lewisham's a Andy and maternity services could end up

:50:56.:51:01.

paying the price for financial failures elsewhere in the NHS --

:51:02.:51:06.

accident and emergency. Which side of this bare knuckle fight is he

:51:06.:51:09.

on? The fight we are on is increasing the resources going into

:51:09.:51:15.

the NHS. We have extra money is going into Lewisham and she is on

:51:15.:51:21.

this side of cutting money into the NHS. What we have done is set out

:51:21.:51:24.

that there will be no changes to NHS confederation's unless they

:51:24.:51:29.

have the support of local GPs and unless they have strong public and

:51:29.:51:33.

patient engagement, unless they are backed by sound clinical evidence

:51:33.:51:37.

and they are backed by patient choice. Those sort of trustees

:51:37.:51:42.

whenever there under the last government. They are there now.

:51:42.:51:45.

light of last it's positive growth figures, does the Prime Minister

:51:45.:51:49.

agree with me that policies requiring yet more spending, more

:51:49.:51:53.

borrowing and more debt halve the precise opposite of what our

:51:53.:52:00.

country needs. My honourable friend is entirely right. The news last it

:52:00.:52:03.

was welcome that the economy is growing, unemployment is coming

:52:03.:52:07.

down, inflation is coming down, the rate of small business creation is

:52:07.:52:10.

going up, there are a million more people employed in the private

:52:10.:52:14.

sector that there were two years ago and the one absolute certainty

:52:14.:52:19.

is the worst approach and Michael Heseltine confirms this, would be

:52:19.:52:22.

to see more spending, more borrowing and more debt because

:52:22.:52:26.

that is what got us into the mess in the first place. The party

:52:26.:52:36.

opposite have only one growth plan and that is to grow the deficit.

:52:36.:52:39.

condolences -- condolences on the death of my constituent, Corporal

:52:39.:52:46.

Channing day. She always wanted to join the armed services. She wanted

:52:46.:52:52.

to save lives. Imagined how it felt for the injured soldier to see her

:52:52.:53:02.

going to help. She was soon return to the family who love their dearly

:53:02.:53:07.

and the community who are very proud. The community of Northern

:53:07.:53:11.

Ireland salute her courage, bravery and heroism. Would you agree with

:53:11.:53:16.

me that army medics are often the unsung heroes of conflict and will

:53:16.:53:21.

he agree to meet with me and my colleagues to discuss the

:53:21.:53:23.

implementation of the military covenant in Northern Ireland?

:53:23.:53:29.

of all, I would be very happy to meet him and his colleagues to talk

:53:29.:53:34.

about it. I have spoken to the First Minister and deputy First

:53:34.:53:37.

Minister in Northern Ireland. I know there are issues about

:53:37.:53:43.

implementing the covenant but I would be happy to have that meeting.

:53:43.:53:50.

He spoke very movingly about Corporal Channing Day. They do a

:53:50.:54:00.
:54:00.:54:01.

tremendous job. It has been a huge privilege for me to meet the medics

:54:01.:54:11.
:54:11.:54:12.

in Afghanistan. British forces are receiving the best care. Question

:54:12.:54:19.

number 8. Kettering hospital will retain its accident and emergency

:54:19.:54:23.

and maternity services. Any suggestion otherwise is

:54:23.:54:29.

scaremongering of the worst kind. Kettering has the 6th highest

:54:29.:54:33.

household growth rate in the whole country and accident and emergency

:54:33.:54:37.

missions are up 10 % year on year. Given that Kettering General

:54:37.:54:41.

Hospital has been at the very heart of the local community for well

:54:41.:54:45.

over 100 years, but local people deserve a clear assurance that our

:54:45.:54:49.

much loved and badly needed local hospital has a bright future ahead

:54:49.:54:54.

of it? I gave my honourable friend the strongest possible assurance

:54:54.:54:58.

and the point I have made, as I have made it to the honourable lady

:54:59.:55:02.

opposite, is there cannot be any changes and as there is full public

:55:03.:55:06.

consultation, and as there is the support of local GPs and strong

:55:06.:55:11.

public and patient engagement. In the case of Kettering, that does

:55:11.:55:15.

not on the agenda. Any suggestion by the opposition is scaremongering

:55:15.:55:22.

of the worst kind and I can see they are at it again. It has been

:55:22.:55:26.

emphasised again and again on all sides of the house, on the

:55:26.:55:33.

importance of skills to promote economic growth. The why did the

:55:33.:55:37.

number of apprenticeships start to fall last year? The number of

:55:37.:55:42.

apprenticeships under this government are about 900,000. It

:55:42.:55:46.

has hugely increased. government recently announced plans

:55:46.:55:51.

to extend the freeze on council tax for a third year. Unfortunately,

:55:51.:55:56.

the Labour-run city of York council increased council tax by 2.9 % at

:55:56.:56:04.

has moved with remarkable speed to confirm a 2% increase next to you.

:56:04.:56:09.

-- next year. Can Mike right honourable friend agree that the

:56:09.:56:16.

city of York council should look again? The government has made

:56:16.:56:20.

money available so councils can freeze their council tax fought the

:56:20.:56:23.

third year in a red. This demonstrates we are wrong side of

:56:23.:56:27.

people who work hard and want to get on and struggle to pay the

:56:27.:56:30.

bills. All councils should look at the money available and recognise

:56:31.:56:38.

that a council tax freeze is in the best interest of all our citizens.

:56:38.:56:42.

When did the Prime Minister become aware of the plans to close fought

:56:42.:56:45.

at Southampton and Dagenham and was the where of those plans went his

:56:46.:56:49.

government awarded a large sum of money from the regional growth fund

:56:49.:56:54.

to that company just a few days earlier? Obviously, these issues

:56:54.:56:58.

were discussed and we work closely with all the automotive companies

:56:58.:57:02.

in the United Kingdom. The news from most of them, from Nissan,

:57:02.:57:07.

Toyota, Jaguar Land Rover has been extremely positive. What happened

:57:07.:57:11.

at Ford in Southampton is very regrettable but we must do

:57:11.:57:15.

everything we can to help those people into work.

:57:15.:57:18.

I am delighted the economy is finally growing and green growth is

:57:18.:57:23.

a key part of this. He is the Prime Minister still committed to this

:57:23.:57:28.

being the greenest government ever, particularly when it comes to his

:57:28.:57:31.

policies on renewable energy? under this government that we have

:57:31.:57:35.

seen more investment on green energy in three years than we had

:57:35.:57:38.

13 from the party opposite. The Green Investment Bank that we

:57:38.:57:44.

promised, that is up and running. The carbon plans we spoke about

:57:44.:57:47.

foreign players. This is a Green government and it is sticking to

:57:47.:57:55.

its promises. -- the plans are in place. The number of people waiting

:57:55.:58:01.

more than four hours in accident and emergency units has doubled.

:58:01.:58:07.

There are plans to close Central Middlesex Hospital, Ealing Hospital,

:58:07.:58:13.

Lewisham and a suspect Kettering hospital as well, if constituents

:58:13.:58:17.

had to end up in casualty they would have to wait longer for

:58:17.:58:21.

accident and emergency services. have to say, I could not be any

:58:21.:58:25.

clearer about the future of Kettering hospital and for him to

:58:25.:58:29.

say that is scaremongering of the worst kind. Let me tally him what

:58:29.:58:34.

is happening at the hospitals which serve his constituents. In May 2010

:58:34.:58:39.

there were 52 patients waiting longer than 12 months. How many are

:58:39.:58:42.

there now? None under this government will start that is what

:58:42.:58:46.

is actually happening. We are putting the money into the NHS and

:58:46.:58:56.
:58:56.:58:57.

Further to the result on 18th October, on the contentious

:58:57.:59:02.

decision at the Royal Regiment of the Royal Fusiliers, it would the

:59:02.:59:05.

Prime Minister meet with me and other interested members from

:59:05.:59:09.

across the House to discuss this issue? I am always happy to talk to

:59:09.:59:14.

colleagues about this issue. I know the Ministry of Defence and

:59:14.:59:18.

Secretary of State is. He knows we have to make difficult decisions to

:59:18.:59:26.

be done place about the future structure of the army. Clearly, we

:59:26.:59:29.

have a to make some difficult decisions about regiments and

:59:29.:59:33.

battalions and in that, we were guided by trying to save as many

:59:33.:59:38.

regiments and cap badges as possible. The Defence Secretary

:59:38.:59:43.

will continue going on listening to recommendations.

:59:43.:59:45.

Will the Prime Minister confirm that the changes to child benefit

:59:45.:59:51.

due to be introduced in January this year, next year, but the cost

:59:51.:00:00.

of that, the overall cost is very much over �100 million? The changes

:00:00.:00:04.

that we are making to child benefit, where we are taking child benefit

:00:04.:00:11.

away altogether from people earning over �60,000, that will save around

:00:11.:00:14.

�2 billion. It is necessary to take tough decisions in order to deal

:00:14.:00:18.

with the massive deficit, bigger than Greece, bigger than Spain,

:00:18.:00:24.

that his party left us. I find it completely inexplicable why the

:00:24.:00:28.

party opposite, that say they want those with the broadest backs to

:00:28.:00:32.

share some of the burden, oppose the idea of taking child benefit

:00:32.:00:39.

away from people over 60, 70, 80, 90,000. I do not see why the front

:00:39.:00:42.

bench there should go on collecting their child benefit when we have to

:00:42.:00:50.

make such difficult decisions. Will my right honourable friend

:00:50.:01:00.
:01:00.:01:01.

joined me in congratulating might - - accompany my constituency for

:01:01.:01:06.

their Queen's Award. Does he agree this is the finest example of

:01:06.:01:14.

business on the up? I think the honourable lady next at -- makes a

:01:14.:01:24.

good point. We need to go further and faster and that is what Michael

:01:24.:01:34.
:01:34.:01:43.

Heseltine's excellent report is They were saying on wind power,

:01:43.:01:53.
:01:53.:01:58.

Investment to meet the 22 Beavon -- 2020 target was on target. The main

:01:58.:02:03.

exchange between the two front benchers, it was split into three

:02:04.:02:12.

and three. Normally the leader of position does all six questions. --

:02:12.:02:22.
:02:22.:02:23.

leader of the opposition. He was talking about the European budget.

:02:23.:02:32.

Labour wants a real-terms increase in the European budget. Mr Cameron

:02:32.:02:36.

says he will settle for a real term rise. The leader of the opposition

:02:36.:02:41.

moved on to the Michael Heseltine report. We will be speaking to him

:02:41.:02:46.

in a few moments for stomp and then brought in a wind farms, as we know

:02:46.:02:53.

the Government's party is not totally clear on that. We will get

:02:53.:02:57.

a reaction in a minute, but we want to know what you thought.

:02:57.:03:06.

Lots of Commons. Diane from Cornwall said, "pour

:03:06.:03:10.

from David Cameron who lost his temper under pressure from Ed

:03:10.:03:14.

Miliband. He did well by splitting his questions and seems to have

:03:15.:03:20.

continued for where he left off before the recess".

:03:20.:03:26.

Ian Whitely, "Ed Miliband trounced David Cameron and the EU position

:03:26.:03:29.

on the budget will stop Ed Miliband it is showing he is more interested

:03:29.:03:32.

in putting Labour before the country".

:03:32.:03:39.

Robert, "David Cameron has been dealt a blow from the opposition he

:03:39.:03:43.

finds him at odds not only in Parliament but within his own

:03:44.:03:53.

party". "I enjoyed the you are no Michael

:03:53.:04:03.
:04:03.:04:13.

Heseltine comment from the Prime If you could see his face, he would

:04:13.:04:18.

be smiling. What do we make of this? We are seeing how the leader

:04:18.:04:22.

of the Labour Party has decided to try to repeat what happens to John

:04:22.:04:32.
:04:32.:04:32.

manger. He brought up John manger - - John Major from the 90s. The

:04:32.:04:36.

truth is, there is no comfortable middle ground between the two. What

:04:36.:04:42.

the Tory backbenchers want, which is a wholesale rejection of what

:04:42.:04:46.

Europe stands for and a cut in their budget, is not what any

:04:46.:04:56.
:04:56.:05:00.

diplomat or businessman will tell you is possible. What people will

:05:00.:05:06.

remember is it the Tory party is in disarray. He is equal on the issue

:05:06.:05:11.

on wind farms, trying to pull the coalition parties apart. John Smith

:05:11.:05:17.

used this tactics in the 1990s to make life awkward for John Major,

:05:17.:05:22.

in which Tony Blair was the great inheritor of. Why isn't the Prime

:05:22.:05:26.

Minister going to Brussels to talk about a real-terms cut in the EU

:05:26.:05:32.

budget? We have to deal with the budget we have got, and it is

:05:32.:05:40.

expanded. Neighbour just waved through an 8% increase. If it has

:05:40.:05:45.

expanded, cut it. We wouldn't be in this mess it you had exercised some

:05:46.:05:53.

proper control over it. He waved through an 8% increase last time.

:05:53.:05:58.

It has got out of control and we are Di -- trying to cap it. We have

:05:58.:06:03.

to do with the budget we have got. It is not a huge chunk of the

:06:03.:06:10.

overall resources of the European Union? 1%. Because we are having to

:06:10.:06:14.

inflict cuts at home on domestic spending priorities, we are saying

:06:14.:06:20.

to parts of the private sector, you have had a pay freeze. We have to

:06:20.:06:24.

persuade other governments to get the budget under control. That

:06:24.:06:29.

means there will be some cuts in some areas of the Budget. No one

:06:29.:06:34.

really believes, I suggest that if Labour was in power they would be

:06:34.:06:42.

going to Brussels arguing for a real-terms cut in the Budget, not

:06:42.:06:46.

pro-European Ed Miliband? We can only rely on the evidence we have

:06:47.:06:52.

got. Last July the voted for a real-terms cut in the Budget. Our

:06:52.:06:56.

MEPs voted for a cut in the Budget now. The Tories used to believe,

:06:56.:07:02.

when in opposition, they should be a cut in the budget in real terms.

:07:02.:07:06.

Now they are arguing for a 5% increase. You have done the same

:07:06.:07:09.

thing, called for cuts in opposition, but go along with

:07:09.:07:16.

increases in Government. The world has changed. We have austerity, you

:07:16.:07:23.

keep telling us we need to make cuts. We are going round in circles.

:07:23.:07:26.

Back to Nick Robinson for some common sense. Also, we will be

:07:26.:07:32.

going to Michael Heseltine. Europeans read the same opinion

:07:32.:07:37.

polls. Ministers get the same advice from diplomats whether they

:07:37.:07:40.

are Labour or Conservative switchers, the alliance's don't

:07:40.:07:45.

exist to deliver a cut. You don't deliver anything it you don't get

:07:45.:07:50.

people on your side. No matter how many vetoes, you have to reach an

:07:50.:07:54.

agreement or lead. These guys are doing what the Tories did before

:07:54.:07:57.

and the Tories are doing what Labour did before. And that is what

:07:57.:08:02.

happens. It will keep on happening the sometime until there is a way

:08:02.:08:05.

through. The interesting thing on the Michael Heseltine peas, there

:08:05.:08:11.

is a deeper thing I think that is interesting. But there is no doubt

:08:11.:08:17.

Michael Heseltine wrote a script that was helpful in the short term

:08:17.:08:22.

to Ed Miliband. No great strategy, indecision on airports and a mess

:08:22.:08:26.

on energy policy. But his long-term policy is an interesting challenge

:08:26.:08:32.

to all politicians. What he is saying is, Britain should be more

:08:32.:08:36.

like Germany. There should be an industrial strategy driven by the

:08:36.:08:40.

Government. They should be a strong series of business organisations.

:08:40.:08:46.

He talks about the possibility of forcing, by law, business has to

:08:46.:08:52.

join the Chamber of Commerce. And he talks about having the powerful,

:08:52.:08:56.

local organiser it -- Local Enterprise Partnerships, which

:08:56.:09:01.

would spend and allocate the money. It is a reshaping of the British

:09:01.:09:05.

state along dramatic lines. The Lib Dems used to argue to scrap the

:09:05.:09:10.

business department. The Conservatives were always split

:09:10.:09:14.

between people like Michael Heseltine and the free market. The

:09:14.:09:18.

Labour Party have been interesting decision, and there were a lot of

:09:18.:09:24.

speeches that sounded like this, but they did not do it. Now I

:09:24.:09:29.

believe the man of the moment can join us now from Birmingham. Lord

:09:29.:09:36.

Heseltine, welcome to the Daily Politics. I don't know whether you

:09:36.:09:41.

heard that, but do you want Blighty to be more like Germany, as Nick

:09:41.:09:47.

Robinson was saying? No, I want it to be every other capitalist

:09:47.:09:53.

economy. Germany is not special, it is the same. We are the ones out of

:09:53.:09:58.

step. Whether you look at America, the Asian tigers or the European

:09:58.:10:03.

competitors, they all have a system of Government which devolved power,

:10:03.:10:08.

broadly to their local city states. They all have industrial strategies

:10:08.:10:15.

designed to help their industries win. All right, I wondered, why did

:10:15.:10:20.

it take you six months to come up with all of this, since I have

:10:20.:10:25.

listened to you talking about this for the past 25 years? Andrew, you

:10:25.:10:33.

have not seen the report, I suspect which is 220 pages and a 40 page

:10:33.:10:37.

Amex would 89 recommendations, covering a wide range of Government

:10:37.:10:42.

and local authority and private sector activity. It has been quite

:10:42.:10:47.

a task. And if I say so, a privilege. But the Government to

:10:48.:10:52.

have the guts to have the Civil Service report to look at

:10:52.:10:56.

everything they are doing and produce a report without trying to

:10:56.:11:01.

influence it, it is a Government of confidence. Why do you think a

:11:01.:11:06.

free-marketeer like George Osborne asked you to do this report?

:11:06.:11:11.

Perhaps because he does not believe in the simplicity of your

:11:11.:11:17.

definitions. It was the Prime Minister who instigated it. It was

:11:17.:11:22.

George Osborne and Vince Cable to whom I have to report. They know my

:11:22.:11:28.

form, as you know my form, so it is not in the least bit surprising

:11:28.:11:33.

that what I have said is consistent with what I have said over the last

:11:33.:11:38.

30 years. They knew all that. They were interested in my ideas.

:11:38.:11:43.

Whether they carry them out, is for them. Let's look at your ideas. You

:11:43.:11:51.

talk about English local Government. Talking about it being too

:11:51.:11:54.

fragmented and you call for a major restructuring of local Government.

:11:54.:12:01.

Is the Government's up for this? You did it with Peter Walker, do

:12:01.:12:05.

you think this Government is up for another restructuring of local

:12:05.:12:10.

Government? Don't let's get carried away. I'm talking about allowing

:12:10.:12:16.

counties, if they want, to become unitary as opposed to two Tear. A

:12:16.:12:21.

few of them have done it. The legal position entitles them to do it. I

:12:21.:12:25.

am saying under the pressure of public spending constraints, as you

:12:25.:12:30.

can save between 10 and �15 million a year accounted, if they want to

:12:30.:12:35.

do it, they should. But whether conurbations of coming together,

:12:35.:12:41.

they should be encouraged to do it and they should have the choice of

:12:41.:12:46.

having a mayor to figurehead it if they want is. Those are not going

:12:46.:12:50.

to cause, in my view, certainly in the conurbations, it is already

:12:50.:12:56.

happening. On they are moving to a wider authorities in the model of

:12:56.:13:00.

Manchester. On the unit trees, I am saying if they want to do it, let

:13:00.:13:06.

them do it. Do you believe these Local Enterprise Partnerships, of

:13:06.:13:11.

which I would suspect 99% of people have never heard of and have no

:13:11.:13:17.

idea what they do. Are they really ready to take �58 billion of

:13:17.:13:25.

taxpayers' money? That is the arguments, Andrew, which all my

:13:25.:13:29.

life has led central Government to say No They are not. It has two

:13:29.:13:36.

permutations. They are doing it badly, so we will create a quango

:13:36.:13:41.

and take it away from them. Housing went that way. People say, why

:13:41.:13:46.

don't you let the chambers do this. We say they are not up to it,

:13:46.:13:50.

therefore we have another quango. If they are not doing it well

:13:50.:13:55.

enough, if they are not strong enough, help them become strong.

:13:55.:14:00.

What you have got to get hold of is the dynamism of English cities and

:14:00.:14:05.

the states around them. That is how a capitalist a economy works.

:14:06.:14:10.

criticise the Government for putting off the decision on airport

:14:10.:14:13.

expansion or runway expansion, particularly in the South East.

:14:13.:14:16.

They have kicked it into touch by giving it to someone who won't

:14:17.:14:22.

report until after the election. You need to think they should take

:14:22.:14:26.

the decision quickly, if not immediately. What you don't tell us

:14:26.:14:33.

this, where do you think it should go? Should -- where should the

:14:33.:14:38.

extra runway capacity be? I don't criticise the Government. The

:14:38.:14:42.

Government has an honourable commitment not to provide a third

:14:42.:14:47.

runway at Heathrow. They made that in the election campaign. They have

:14:47.:14:56.

said we cannot break R-word. -- R- word. They have said they will

:14:56.:15:01.

delay any further decision until after the next election. I am

:15:01.:15:05.

pointing out that compatible with that, they could speed up the

:15:05.:15:09.

process without taking a decision finally until after the next

:15:09.:15:14.

election. It is not a criticism of the Government. Can I take this

:15:14.:15:20.

whole issue? It is tedious. The moment it you repute -- produce a

:15:20.:15:24.

report like this, if the journalists can find a gap between

:15:24.:15:28.

the word I use and the word the Government used, it becomes a

:15:28.:15:33.

monumental divide and a crisis. I reject that totally. Strike the

:15:33.:15:43.
:15:43.:15:57.

word criticism and let me ask you, I am not criticising you for not

:15:57.:16:01.

saying in your report where the runway should be, I am asking you

:16:01.:16:05.

as a man of public affairs who follows these things, what is your

:16:05.:16:09.

view about where the extra runway capacity should go in the south-

:16:09.:16:15.

east? Can I be a little humble, without the facts and figures and

:16:15.:16:20.

costs, I would hesitate to answer your question. That is why the

:16:20.:16:24.

government set up the Davies report. Exactly, let's wait to see what it

:16:24.:16:30.

says. The they will not be until 2015 witches I thought the point

:16:30.:16:38.

you're making that they should do it sooner. Even that is not true.

:16:38.:16:44.

They can provide information before 2015. It is the decision that wants

:16:44.:16:48.

to wait until after the election because they look will not break

:16:48.:16:53.

their election promise and you should be praising them for that.

:16:53.:16:57.

am not asking them to break anything, and simply asking if you

:16:57.:17:02.

took the decision and if they were not breaking their promise, what

:17:02.:17:06.

should that decision be? I know when I am beaten on this. We will

:17:06.:17:16.

move on. NEWLINE never beaten, Andrew! I am enjoying it Eva in --

:17:16.:17:26.
:17:26.:17:33.

it even so. 89, there we go... is this another failure?

:17:33.:17:39.

actually is a criticism that you could not round it up to 90. Let me

:17:39.:17:46.

plead guilty. It has got to wade through 89 of these to decide,

:17:46.:17:50.

which won? The Prime Minister and Chancellor are watching now, which

:17:50.:17:58.

one, two or 3D say it should give priority now from the 89 to do now?

:17:58.:18:02.

I would say to the Prime Minister, that you have got the loneliest and

:18:02.:18:07.

most difficult job in the country and you are at the mercy of world

:18:07.:18:12.

events which you can only partially influence. The battering of leaders

:18:12.:18:19.

of politics today by the incessant 247 news coverage is frightening.

:18:19.:18:24.

But if it could bring himself to recognise that the growth of the

:18:24.:18:28.

economy is the overarching responsibility and the biggest

:18:28.:18:31.

opportunity and therefore, put himself at the front of the pursuit

:18:31.:18:37.

of growth, with all the type of support systems that I indicate,

:18:37.:18:41.

that would be to me, a transformation of what has happened

:18:41.:18:44.

in this country Thrupp my life. We are not talking that short-term

:18:44.:18:47.

things here. This is something I think Britain should have done

:18:48.:18:52.

historically. Michael Heseltine, we will have to leave it here. It is

:18:52.:18:58.

good to see back in the limelight. It is like the old days again and

:18:58.:19:04.

you are enjoying it. And always with you. It is symbolic that he

:19:05.:19:08.

unveiled the report in Birmingham and not London, I think that was

:19:08.:19:15.

ace and -- a sensible thing to do. When you opened the report with the

:19:15.:19:20.

picture of Jo Chamberlain, the old city creators of wealth, the people

:19:20.:19:24.

who ran cities and did not care what London thought, he wants a

:19:24.:19:28.

return to that. It was interesting. He is basically saying England

:19:28.:19:32.

needs to be more a Wales and Scotland in terms of its

:19:32.:19:36.

organisation also Wales and Scotland have unitary councils and

:19:36.:19:40.

they have governments who tend to go out and back for their economy.

:19:40.:19:44.

England has a mess of councils. Some my unit tree and someone not.

:19:45.:19:50.

I do not think that is right. In Scotland, I do not know about Wales,

:19:50.:19:55.

is all power is centralised in Edinburgh now, not London. Glasgow

:19:55.:20:00.

and Aberdeen, he wants them to have the power. Is that a criticism in

:20:00.:20:07.

Wales as well? There is always a few there is too much

:20:07.:20:12.

centralisation. Michael says there is not a scintilla of a gap between

:20:12.:20:19.

him and George Osborne, there is a gaping chasm on this. He is arguing

:20:19.:20:24.

for devolution, if you like, throughout England. He is arguing

:20:25.:20:28.

for a regional growth strategy and for him to turn round and say the

:20:28.:20:32.

Prime Minister needs to recognise that growth did to be the primary

:20:32.:20:37.

priority for this government, that is a criticism. He did not answer

:20:37.:20:40.

that but he answered my question about the two or three general

:20:40.:20:45.

things with a general statement on growth. Ultimately, he is talking

:20:45.:20:49.

about statelet intervention where this government believes the state

:20:50.:20:53.

crowds out private sector enterprise. The Easter Fallon will

:20:53.:21:00.

have the final word. -- Michael Fallon. We have to look hard at

:21:00.:21:04.

ourselves and we have done that. We will go through these

:21:04.:21:08.

recommendations. He has only just produced it. We will go through

:21:08.:21:14.

these one by one. All that stuff is something we heartily endorse. All

:21:14.:21:17.

ministers are as impatient as Michael is to get this country

:21:17.:21:22.

growing again. You have not worked out how to do it. The have worked

:21:22.:21:26.

it out. We want local growth. He does not recommend going back to

:21:26.:21:32.

the regional bureaucracies that Owen had. He wants city regions,

:21:32.:21:35.

local enterprise partnerships which we are doing. A lot of things we

:21:35.:21:39.

are doing he wants us to accelerate and we will look at the

:21:39.:21:46.

recommendations. Thank you for staying with us. Are a pleasure. A

:21:46.:21:54.

Hezza Andrew contest. Do you get time 1/2 when you stay for extra

:21:54.:21:59.

time? Over to you with your toggles and wobbles. Warbles, actually.

:21:59.:22:04.

Do you get your Waples in a twist when it comes to parliamentary

:22:04.:22:11.

process -- woggles. We have got just the team for the bob-a-job.

:22:11.:22:16.

The Scouts have invaded Westminster. They are taking on MPs in a quiz

:22:16.:22:23.

today. It is to mark the launch of their citizenship project. We can

:22:23.:22:27.

cross to College Green and talk to Scout leader Peter Jeffries, Scout

:22:27.:22:34.

Imogen Woodhall in the middle and MP Graham Evans who is co-chair of

:22:34.:22:38.

the All Party Parliamentary Scout group. Graham, can we tell -- can

:22:38.:22:44.

you tell us more about this? It is an opportunity for scalps to come

:22:44.:22:51.

into Westminster and test their politics with politicians -- for

:22:51.:23:01.
:23:01.:23:05.

scalps to come in. Will your Scouts Way you're scalps get a badge?

:23:05.:23:11.

will have a good time. They will understand more about the world

:23:11.:23:17.

around them and how to engage in the political process. It does seem

:23:17.:23:23.

to tie in with what they are doing in schools at the moment, young

:23:23.:23:27.

people and citizenship, is that the idea to link it educationally?

:23:27.:23:32.

is absolutely right and it is all credit to the scouting movement.

:23:32.:23:35.

Education, in my view, with politics, has been lacking in

:23:35.:23:39.

recent years, along with the teaching of history. I think

:23:39.:23:44.

politics, history and citizenship go together. You have just had

:23:44.:23:47.

Michael Heseltine and he was a minister in the 1970s, in the Ted

:23:47.:23:53.

Heath government. How many people actually know that? It is about the

:23:53.:23:55.

general public engaging in the vitally important subject of

:23:56.:24:01.

politics. Imogen, do you think it will work, do you think it sounds

:24:01.:24:04.

interesting? I think it sounds interesting and it will work

:24:04.:24:08.

because not many young people know about Parliament, so it is a good

:24:08.:24:12.

opportunity. What are your first impressions of being out

:24:12.:24:15.

Westminster? Maybe you have been here before, looking around

:24:15.:24:22.

Parliament? It is very big! There are a lot of them, they'll go and

:24:22.:24:28.

hide in there, don't they, Graham? Yes, we do. What is the best way,

:24:28.:24:33.

Peter, of trying to make this accessible to young people like

:24:33.:24:40.

Imogen? One of the really important things for Scouts like image and to

:24:40.:24:43.

understand is how this affects their lives. Rather than being a

:24:43.:24:48.

far away context, what is it in their local communities, how can we

:24:48.:24:53.

become more active, with our local authorities and local MPs so

:24:53.:24:57.

everyone can understand more about what people are thinking about the

:24:57.:25:02.

world around them. Taking the whole day into account, we are going to

:25:03.:25:07.

quiz Imogen and Graham. Graham, be very scared. We are going to start

:25:07.:25:14.

with you, Imogen. My first question is Leader of the Opposition? Think

:25:14.:25:21.

Wallace and Gromit. If that is a clear. Is that an unfair clue.

:25:21.:25:29.

we allowed to give hints along the side. Ed Miliband. Ed Miliband.

:25:29.:25:35.

many houses of parliament are there? Imogen, do you know? Two.

:25:35.:25:41.

well done, you can get a bonus point if you name them both.

:25:41.:25:46.

House of Lords and Commons. Well done. You have got a very deep

:25:46.:25:54.

voice, Imogen! How old do you have to be to get the vote? 16? Well,

:25:54.:26:04.

some people think so. 18. Yes! We will give you 2.5. Graham, no help

:26:04.:26:08.

for you. Who was British Prime Minister when Abraham Lincoln was

:26:08.:26:14.

the President of the United States. Pass. Yes, it is quite hard. It was

:26:14.:26:20.

Lord Palmerston. I should have known that. But you did not. What

:26:20.:26:27.

does LIBOR stand for? LIBOR is the interest rate which banks agreed

:26:27.:26:31.

between each other. It is, but do you know what it stands for word

:26:31.:26:38.

for word? No, pass. It is the London Interbank offered Rate. And

:26:38.:26:42.

which British animal linked the founder of the Society of Friends,

:26:42.:26:48.

a 60 No 5 comedy by playwright Ben Jonson and a Whig politician born

:26:48.:26:55.

in 1756. Which animal links those? Blackadder? No! You have not done

:26:55.:26:59.

very well. We did make them quite tricky. Peter, do you have the

:26:59.:27:04.

Daily Politics mug there? I have. Who wins this after those

:27:04.:27:10.

questions? I think we can fairly and squarely say Imogen. You get a

:27:10.:27:15.

Daily Politics mug. Sorry, Graham, there is nothing for you at all.

:27:15.:27:22.

The story of my life! Thank you for joining us.

:27:22.:27:28.

Black had a? When was that an animal. He was never a Prime

:27:28.:27:35.

Minister. Time to guess the year, the answer was Michael. Michael --

:27:35.:27:41.

the answer was 2000. Michael, press the red button. Who is the lucky

:27:41.:27:51.
:27:51.:27:54.

winner? I do not know why they have What do you think about this idea

:27:54.:28:02.

of getting Scouts in and doing political engagement? One of my

:28:02.:28:09.

sons is a car and the other is a Brownie. It is a great initiative.

:28:09.:28:14.

Young people have not been voting in great numbers. Do you think they

:28:14.:28:17.

should have the vote at 16? There is an argument that that because

:28:17.:28:23.

they are not paying taxes. You were in favour of anything we are not in

:28:23.:28:31.

favour of. So stop it, you two! are going to stop the petty

:28:31.:28:35.

bickering and bring it all to an end. Thank you to all our guests

:28:35.:28:40.

who appeared today. The One o'clock News is starting over on BBC One. I

:28:41.:28:43.

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