27/11/2015 Daily Politics


27/11/2015

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Jeremy Corbyn says he's not keen on war but today he's locked in battle

:00:36.:00:42.

The Labour leader says he won't back David Cameron's plan to bomb

:00:43.:00:48.

At least half the Shadow Cabinet and many Labour MPs are now in open

:00:49.:00:54.

Two have even suggested, on the record,

:00:55.:00:58.

We'll have the latest in this developing row.

:00:59.:01:04.

Whatever Labour formally decides, there is likely a majority of MPs

:01:05.:01:07.

in favour of extending RAF airstrikes from Iraq to Syria.

:01:08.:01:13.

I'm against the air strikes generally simply

:01:14.:01:17.

because I think it will encourage more terrorism in this country.

:01:18.:01:20.

It only takes a few of them to get in and

:01:21.:01:23.

Turns out there was an extra 27 billion quid

:01:24.:01:34.

down the back of a Treasury sofa, allowing George Osborne to U-turn

:01:35.:01:37.

We speak to the independent number cruncher who found the money.

:01:38.:01:49.

A slightly curtailed programme today due to the Davis Cup tennis.

:01:50.:01:59.

But with us today is the columnist and broadcaster Jenni Russell.

:02:00.:02:03.

Jeremy Corbyn is fighting to contain a Shadow Cabinet rebellion today

:02:04.:02:06.

after he said he told MPs he could not support RAF airstrikes

:02:07.:02:11.

Yesterday, the Shadow Cabinet tried to come up

:02:12.:02:16.

with an agreed response to David Cameron's plan to deal with IS.

:02:17.:02:21.

They failed but agreed to meet again on Monday

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But divisions within Labour's top team spilled out in to the open

:02:24.:02:28.

when Mr Corbyn wrote to all his MPs saying he would not back the

:02:29.:02:31.

The Labour leader had omitted to tell the Shadow Cabinet he

:02:32.:02:37.

Several Labour frontbenchers are muttering about resigning

:02:38.:02:41.

if the leader orders his Shadow Cabinet to fall in line.

:02:42.:02:44.

This morning two Labour MPs even suggested Mr Corbyn should resign

:02:45.:02:47.

A free vote would seem the only way out of the mess.

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But Shadow Development Secretary Diane Abbott, says MPs need to get

:02:56.:02:58.

It's not for me to say whether there will be a free vote.

:02:59.:03:04.

Jeremy has made his position clear, as is appropriate as leader

:03:05.:03:07.

of the party and I think, in the end, party members will want

:03:08.:03:10.

MPs to unite behind the leader, because what Jeremy is saying

:03:11.:03:14.

about Syrian bombing is what party members are saying.

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Joining me now is the Labour MP Jim Fitzpatrick.

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He was a minister under Gordon Brown.

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And James Schneider is spokesman for Momentum, the campaign group closely

:03:24.:03:26.

They are urging their members to lobby Labour MPs to oppose British

:03:27.:03:30.

Welcome to you both. You listen to the Prime Minister yesterday. What

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broad conclusion did you come to? Do you broadly support him? I think I'm

:03:50.:03:52.

inclined to support the government depending on the motion. I want to

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see what the Shadow Cabinet recommend and the parliamentary

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Labour Party discussion overnight will say, but the Prime Minister

:04:01.:04:04.

clearly indicated he had listened to the previous defeat, had learned a

:04:05.:04:07.

lesson post-Iraq and set out a 7-point plan which tended to respond

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to the concerns that people have been racing about extending the

:04:14.:04:17.

action from that in Iraq across the border into Syria. What do you say

:04:18.:04:23.

to that, James? I don't think the case has been made, I don't think

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the case has been made, there were four conditions which needed to be

:04:29.:04:32.

met which was passed in the most recent Labour Party conference and I

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think the membership is overwhelmingly opposed to bombing

:04:35.:04:39.

and I think Jeremy Corbyn are showing very strong leadership on

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this by saying quite clearly what he thinks. Is there anything the Prime

:04:42.:04:46.

Minister could have said? To convince you? I can't see how things

:04:47.:04:53.

David Cameron would've said, given what he said in the past about

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Syria, I think, ways in which we could be acting more robustly in

:04:59.:05:03.

Syria, but that would require certain preconditions which are very

:05:04.:05:06.

much not been met, so we did a conference plan deal with the

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refugees, the only military action needs to be subordinated to regional

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diplomatic efforts to come up with some kind of... But these already

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underway. Military action is not underway. It has not been

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subordinated to that process. No, but diplomatic action is already

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underway and everything we know, although they have not fallen apart,

:05:31.:05:33.

it would take a long time for this diplomatic action to bear fruit.

:05:34.:05:38.

Meanwhile, we know the intelligence services who met the Shadow Cabinet

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on Wednesday night, ISR planning terrorist attacks in the West

:05:43.:05:44.

including in terrorist attacks in the West

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will we do in the interim as a terrorist attacks in the West

:05:47.:05:51.

for diplomatic progress? But the case for additional bombing in

:05:52.:05:55.

Syria, that will prevent Isis attacks and

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Syria, that will prevent Isis what should we do in the interim

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given that we what should we do in the interim

:06:00.:06:05.

security services to avoid attacks here. With Paris, they were planned

:06:06.:06:08.

and organised. here. With Paris, they were planned

:06:09.:06:15.

want to abolish that? No, he does not. He signed a petition in April.

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No he didn't. He may have signed. I don't read the details. He may have

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signed a manifesto which don't read the details. He may have

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one line out of very many lines. don't read the details. He may have

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Politicians, you sign manifestos but you don't agree with every single

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line on it. He held this document up in front of a camera. I can't

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respond to John McDonald. I'm sorry. You voted against air strikes in

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2013. I did because the proposition was to bomb President Assad and I

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felt the experience of Iraq, we took out Saddam Hussein, there was no

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felt the experience of Iraq, we took post-conflict plan, we crated a

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vacuum and extremists moved into that vacuum. I think it is certainly

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vacuum and extremists moved into part of the strategy which it wasn't

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in 2013 and had we taken out President Assad, IS would've filled

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it in. Now the world has moved on, we have peace talks in Vienna, the

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recent atrocities in Paris and Tunisia, Iran and Russia and Saudi

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Arabia and around the table in Vienna for the first time. There's a

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different set of circumstances. ISR still growing, subjugating the

:07:32.:07:33.

Muslim community in the territory they held, throwing gay people off

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the roofs of tall buildings, beheading people, and we have 5

:07:41.:07:44.

million Syrian refugees as a result. We have to do something to contain

:07:45.:07:50.

IS and address this issue. Let me look at the Labour Party 's response

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to this. There was a long Shadow Cabinet discussion yesterday. It

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didn't come to an agreement. The agreement would be that they would

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meet again on Monday and mull things over. Why did Jeremy Corbyn without

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telling the Shadow Cabinet right to MPs pre-empting discussions by

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saying he's against it. He's entirely entitled to lead his

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position as leader of the party in the same way as other members of the

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Shadow Cabinet. But why didn't you tell a Shadow Cabinet? Until they

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discovered Jeremy Corbyn in this letter, they could not express their

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own opinions. Why did he not tell a Shadow Cabinet that that is what he

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was doing at the Shadow Cabinet meeting? No shadow minister knew

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that was what was going to do. As Hilary Benn said this morning,

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Jeremy is elected as leader on overwhelming majority. He is

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entitled to make his opinion very clear. But why did you not tell a

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Shadow Cabinet? I don't know what goes on in Shadow Cabinet. You seem

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quite well-informed. I don't know what goes on in Shadow Cabinet at

:09:01.:09:08.

all. But he is entirely right to show leadership and shows the

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position is going to take. I'm not arguing with you about that. Do you

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expect to be heavily lobbied by momentum this weekend to vote

:09:19.:09:21.

against the government? Yes. How would you respond? As I have been

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doing so, by individually e-mailing my constituents and expressing an

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opinion to them, to be honest, but I'm inclined to support the

:09:34.:09:36.

government, the game plan yesterday was a Shadow Cabinet was most to me

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to consult over the weekend their constituencies and reflect on the

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prime ministers statement and the evidence and come back on Monday to

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make a decision and a recommendation. Jeremy clearly, I

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think when they arrive in the chamber, body language indicated he

:09:55.:10:00.

is opposed and was not going to support it. He tested the Shadow

:10:01.:10:03.

Cabinet and the majority are opposed to him so therefore he's going above

:10:04.:10:08.

their heads to use his momentum to put pressure on MPs and Shadow

:10:09.:10:11.

Cabinet members so when he recalls the saddle Cabinet on Monday, maybe

:10:12.:10:15.

some of them will have changed their mind. If they don't, the only place

:10:16.:10:19.

you can go is a free vote. If momentum members discover the

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majority in the parliament to Labour Party constituents are against

:10:25.:10:27.

bombing, they are faced with a member like this, who is going to

:10:28.:10:32.

vote with the government and abstain on the issue at least, what should

:10:33.:10:37.

happen to these MPs? Exactly as Jim said, they should respond to each

:10:38.:10:44.

position, and there's a normal debatable for the snow threat

:10:45.:10:50.

implied by Google writing to an MP to express an interest. You don't

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think it MPs defy Mr Corbyn on this issue, they should face calls for

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deselection? No I do not think so. They should vote on their

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conscience? Yes, there should be no deselection. There will be no

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deselection of MPs on this issue. You are smiling. There's always a

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minority in any constituency party disagree with their candidate and

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who will want to deselect him. I think there's a real chance now they

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will be an orchestrated attempt to deselect MPs and with a boundary

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changes the government are proposing for the next Parliament, there will

:11:26.:11:30.

be a lot of contests created as a result of geographical changes so a

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number of MPs I think will face a challenge. I don't see any way out

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of this for Labour. Except a free vote. Do you? I think every thing

:11:40.:11:44.

else is impossible, there's no possibility members of the Shadow

:11:45.:11:47.

Cabinet to our prepared to support air strikes are going to change

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their minds over the weekend. The problem for Jeremy Corbyn is the

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British public thinks there is no circumstance whatsoever he would

:11:56.:11:58.

ever back any kind of military action. We know he would ever back

:11:59.:12:01.

any kind of military action. We know his opposed military action over 30

:12:02.:12:04.

years and has already said he's against it in this situation, which

:12:05.:12:08.

may well be the right thing to believe, but the problem is he does

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not look like the leader who would ever agree in any circumstance. He's

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not going to change his mind and a Shadow Cabinet about change theirs.

:12:17.:12:24.

He's never supported the action against the IRA, the Falklands,

:12:25.:12:29.

Kosovo, he was against that. It's a default position. I don't understand

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why it's a great show of strong, courageous leadership to stick to

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your guns and go, yes, we're going to have a war, it's somehow a

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failure bishop not stepping up to it. If you just say clearly, watch

:12:43.:12:47.

opposition is... That wasn't Jenny 's point. There's no point having a

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debate with Mr Corbyn because he's always opposed any kind of military

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action which involves the West. At Labour Party conference, it was

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voted through by the delegates at conference, the conditions that

:13:01.:13:02.

would need to be met and those conditions have not been met. All

:13:03.:13:07.

right. Are you in favour of a free vote? Momentum does not have a

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position on it and it's not for me to say full setup to Jeremy and the

:13:14.:13:16.

Shadow Cabinet. I don't want to second-guess it. Does the cabinet

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take place before the Shadow MP? Yes. He would have to say of the PLP

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what he agreed position as or they would be an agreement? Jeremy will

:13:28.:13:33.

be reporting to them at 6pm on Monday and telling as the

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recommendation which will then be discussed among the PLP but, yes,

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Shadow Cabinet will come to one imagines a conclusion before the

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PLP. You had better order in the popcorn. Gentlemen, thank you very

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much. So, the Prime Minister laid out

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his comprehensive plan yesterday to take the fight to so-called

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Islamic State in Syria. The Prime Minister might have

:13:52.:13:53.

convinced MPs We've been watching in the House

:13:54.:13:56.

of Commons whose decision it is, mood-changing possible

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mind-changing, on whether we should But what do people

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outside think about it? I'm against

:14:08.:14:13.

the air strikes generally simply because I think it will encourage

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more terrorism in this country. Isil is an enormous problem but I

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don't believe this is I think we should, to be honest,

:14:19.:14:21.

yeah. I really do because of everything

:14:22.:14:25.

that's going on at the moment. It only takes a few

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of them to get in and So I agree with it, yeah, I really

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do. I'd want to know for

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a start precisely what the objective was of these strikes, who they were

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aimed at, and what the endgame was. They've got to be stopped but then

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there's the civilian casualties as well to take into consideration,

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so it's a very difficult call. I wouldn't like to be voting

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on that myself. We're watching other people do it,

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and obviously our allies are doing it, so maybe we

:14:52.:14:53.

should get involved as well. At the same time,

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they're really bad people. And I think, in order

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for the bad people to succeed, it's You should be involved

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because they are troubling The whole world has been troubled

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by them. I think it's

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a very unclear situation. I think there's a lot of countries

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that are already involved and it's very difficult to understand

:15:40.:15:42.

the impact that we would have in Peter Kellner is the President

:15:43.:15:44.

of the polling organisation YouGov. Welcome back to the programme,

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Peter. Let's begin with the changing mood of public opinion in the round.

:16:02.:16:09.

What is now the majority British view in extending our bombing to

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Syria? It is exactly the opposite to what it was two years ago before the

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Government's defeat. Then we found at YouGov, 2-to-1, the public were

:16:18.:16:23.

opposed to air strikes against President Assad, now it is two to

:16:24.:16:27.

one in favour of air strikes against Isil in Syria. And I assume that is

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Tunisia, Paris, Jihadi John, the rise of Islamic State beheadings and

:16:34.:16:39.

so on? That is right. I think what happened two years ago, it blew up

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suddenly, if you remember the stories of chemical weapons, it

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happened in the summer, MPs were on a break and Parliament was recalled

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and there wasn't the time, either at Westminster or the general public,

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for the Government to prepare the ground and this time it is well

:16:54.:16:58.

prepared. And do we have data on the attitude of the Labour membership,

:16:59.:17:04.

such as it is in a largely expanded form in the course of Mr Corbyn's

:17:05.:17:08.

leadership election and subsequently? Yes, because we polled

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in September, when we called Corbyn's victory more or less spot

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on, and ask them what we think and the Labour Party membership now is

:17:19.:17:22.

strongly against, 2-to-1 against bombing, but Labour voters are two

:17:23.:17:31.

to one in favour of bombing, so you have got out there, in the Labour

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Party out in the world, this contrast

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Party out in the world, this has, and remember, it doesn't have

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enough to form a Government, it will need to win over more people but the

:17:41.:17:43.

Labour membership, they back the need to win over more people but the

:17:44.:17:49.

party leader. So if you are like Jim Fitzpatrick, the MP who we have just

:17:50.:17:53.

had on who is minded to vote with the Government

:17:54.:17:54.

had on who is minded to vote with would argue there is a disconnect by

:17:55.:18:00.

those people who are now Labour activists and the wider

:18:01.:18:02.

those people who are now Labour community, in the sense of people

:18:03.:18:05.

who vote Labour and the country at community, in the sense of people

:18:06.:18:10.

large. There is a clear disconnect and it is not only on this issue, it

:18:11.:18:13.

large. There is a clear disconnect is a whole range of other issues.

:18:14.:18:14.

You find public like, for example, the

:18:15.:18:19.

Government's public like, for example, the

:18:20.:18:19.

like it, on the public like, for example, the

:18:20.:18:28.

nationalisation. The people who voted the Jeremy Corbyn,

:18:29.:18:33.

nationalisation. The people who Party electorate but if there was a

:18:34.:18:38.

new leadership election today, the membership would vote

:18:39.:18:42.

new leadership election today, the but people outside in the country

:18:43.:18:43.

think very differently. But but people outside in the country

:18:44.:18:47.

understand that Labour activists who are very much against the bombing in

:18:48.:18:52.

Syria, they don't want, the data tells us, they don't want Mr Corbyn

:18:53.:18:57.

to try do, to whip the Labour Party into line. They would be

:18:58.:19:01.

to try do, to whip the Labour Party a free vote. He

:19:02.:19:03.

to try do, to whip the Labour Party Dianne Abbott earlier, saying Labour

:19:04.:19:04.

Party members Dianne Abbott earlier, saying Labour

:19:05.:19:08.

Corbyn's position, that is right, but if you are going to

:19:09.:19:11.

Corbyn's position, that is right, line of what Labour Party members

:19:12.:19:13.

want, by an even bigger line of what Labour Party members

:19:14.:19:17.

they oppose bombing, they want a free vote for all MPs to do what

:19:18.:19:24.

they want, 70%. These figures really go to the heart of Labour's dilemma,

:19:25.:19:29.

because we get told all the time by those who elected Mr Corbyn and that

:19:30.:19:31.

he won by 60%, let him get those who elected Mr Corbyn and that

:19:32.:19:36.

it, and there is huge Democratic those who elected Mr Corbyn and that

:19:37.:19:39.

logic in that. The problem is the people who elected Mr Corbyn would

:19:40.:19:43.

seem not to be that representative not only of the country

:19:44.:19:45.

seem not to be that representative but of the 9 million people who

:19:46.:19:49.

voted Labour at the last election. That is right, that is why Labour is

:19:50.:19:54.

in so much difficulty, and polling 27%. The Tories have a 15 point

:19:55.:19:56.

lead. 27%. The Tories have a 15 point

:19:57.:20:00.

legitimately got a feeling they are responsible to the people who

:20:01.:20:03.

elected them in May, they have a personal mandate from their voters

:20:04.:20:08.

and four Corbyn to say my mandate from this very small number of

:20:09.:20:14.

people, 300 - 400,000 people there in the Labour Party trumps your

:20:15.:20:16.

responsibility to the 9 million people who voted Labour just doesn't

:20:17.:20:23.

wash. If it responds entirely to fit a lectureship -- it electorate

:20:24.:20:31.

should, it will be a small party, it needs to respond to the people who

:20:32.:20:35.

voted for it. The Conservatives may well find themselves in the same

:20:36.:20:37.

position over Europe, where the party membership is in a very

:20:38.:20:39.

different place to Conservative voters. It is across the western

:20:40.:20:45.

world, with, on the whole, declining party memberships. Labour's is up on

:20:46.:20:49.

the last few months but way down from what it was 30 or 40 years ago.

:20:50.:20:54.

Increasingly, you get the obsessives, look at the tea party

:20:55.:20:57.

Republicans in the States. It is a problem with parties across the

:20:58.:21:02.

Western world, a disconnection with the activists and the wider

:21:03.:21:06.

electorate in all countries. The answer would be that if everybody

:21:07.:21:10.

who was concerned about the future of the Labour Party now joined it in

:21:11.:21:14.

order to swamp the is, but people would rather stay home and watch TV

:21:15.:21:21.

-- the Corbyn followers. And what is wrong about? It is a wider

:21:22.:21:24.

phenomenon and all the more interesting than that.

:21:25.:21:25.

In his Autumn Statement and Spending Review delivered on Wednesday,

:21:26.:21:28.

not just to pull a rabbit out of the hat, but a rabbit worth ?27 billion.

:21:29.:21:40.

He announced that the Office for Budget Responsibility's forecasts

:21:41.:21:42.

for the public finances showed a significant improvement

:21:43.:21:44.

compared to their previous assessment in July.

:21:45.:21:46.

The surprise extra money comes from a combination

:21:47.:21:48.

and lower interest payments on the nation's debt.

:21:49.:21:58.

Because interest rates are going to stay low for the foreseeable future.

:21:59.:22:02.

VAT is now expected to magic up an extra ?11.5 billion by 2020-21

:22:03.:22:06.

after the OBR decided its previous forecasts were too pessimistic.

:22:07.:22:10.

The Government also expects to get more money

:22:11.:22:16.

from National Insurance Contributions and Corporation Tax.

:22:17.:22:20.

So the Chancellor is set to borrow ?8 billion less

:22:21.:22:24.

over the next five years than he planned to in July,

:22:25.:22:31.

over the next five years than he planned to in July.

:22:32.:22:33.

Despite waving his magic wand to increase capital spending,

:22:34.:22:36.

reverse cuts to tax credits and protect the overall police budget,

:22:37.:22:39.

Add to defence, almost everything that moved, he is able to spend

:22:40.:22:44.

more. And I'm joined now by the man who

:22:45.:22:45.

found all that extra cash Chairman of the Office for

:22:46.:22:48.

Budget Responsiblity, Robert Chote. When did you discover that there was

:22:49.:23:00.

more than we thought? Well, gradually over the period running up

:23:01.:23:06.

to the forecast. The largest single contributor to this ?27 billion,

:23:07.:23:09.

which we should remember is just a quarter of 1% of GDP, it doesn't go

:23:10.:23:13.

as far as we used to -- it used to when we were young, is lower debt

:23:14.:23:19.

interest. Because the bank said lower interest rates for the

:23:20.:23:22.

foreseeable future, it doesn't cost much to service our debt? That is

:23:23.:23:26.

part of it and simply, the rates on the financial market at which the

:23:27.:23:29.

Government can borrow are lower than they were in July, so all you need

:23:30.:23:34.

Reuters screen and an abacus to know that but it was apparent everybody

:23:35.:23:38.

as we went along. The Bank of England thing would have been harder

:23:39.:23:41.

for people to calculate in advance. But you have adjusted your model as

:23:42.:23:45.

well, the model you use for forecasting tax revenues

:23:46.:23:47.

underestimated what tax revenues would be? In a couple of areas. On

:23:48.:23:53.

the VAT one, these are both situations in which the models were

:23:54.:24:01.

being used before the OBR existed. The one for VAT in particular, as

:24:02.:24:05.

the public spending cuts have mounted, that has started to show us

:24:06.:24:10.

over estimating the amount that is deducted from VAT because of the

:24:11.:24:14.

flows within Government, so that becomes apparent, so we flagged that

:24:15.:24:18.

in October and said it was likely to improve the position by about ?3

:24:19.:24:24.

billion at the end of the forecast. But did you adjust your projections

:24:25.:24:28.

for tax revenues without knowing what was happening to tax revenues

:24:29.:24:34.

in this financial year in particular? Because of weak tax

:24:35.:24:38.

revenues, the deficit in October was the worst since 2009. Yes, we don't

:24:39.:24:46.

get prerelease access to the actual release that comes out on the day,

:24:47.:24:49.

but all of the raw material that goes into that from the HMRC, we

:24:50.:24:56.

have most of that, so if we had that release, the forecast wouldn't have

:24:57.:24:59.

looked... It wouldn't have changed, even though the most recent evidence

:25:00.:25:05.

we have, it suggests that even as the economy grows by other two and a

:25:06.:25:08.

half percent this year, the tax revenues have actually been weaker

:25:09.:25:13.

than forecast, you have still adjusted the forecast to have

:25:14.:25:18.

stronger tax revenues on the year is out. You are judging it is weaker on

:25:19.:25:24.

the performance of the year-to-date extrapolating that. There are a

:25:25.:25:28.

number of reasons why we would expect the deficit to four passed at

:25:29.:25:31.

the end of the year than the beginning. For example, there have

:25:32.:25:34.

been measures that will boost self-assessment for tax revenue that

:25:35.:25:40.

will come in in January. There is a change in Stamp Duty which changes

:25:41.:25:43.

the year on year profile which will look better because the Stamp Duty

:25:44.:25:47.

policy came in in December, in the fourth quarter of the year. There

:25:48.:25:51.

are numbers that the Office for National Statistics have said it is

:25:52.:25:55.

going to put into the back data that we have put into the forecast, but

:25:56.:25:59.

they will take time to put it into the back data. There are also the

:26:00.:26:03.

Government announced spending cuts within this year in June which had

:26:04.:26:09.

not yet shown up in the numbers, so for a whole set of those reasons, we

:26:10.:26:11.

think the year-on-year comparison will look better in the fourth

:26:12.:26:14.

quarter of the year than it does in the first three. That said, there is

:26:15.:26:18.

always considerable uncertainty. The average error for forecasting the

:26:19.:26:22.

budget in this part of the year is half a percent of GDP, twice the

:26:23.:26:27.

size of the rabbits you referred to. When did you inform the Chancellor

:26:28.:26:31.

that he had this unexpected windfall? Some of it would have been

:26:32.:26:34.

obvious to anybody looking at the path of interest rates. But when did

:26:35.:26:40.

he realise there would be ?27 billion more in the OBR projections

:26:41.:26:45.

compared with July? As we say in the document, we hand the final

:26:46.:26:49.

pre-measures forecast, ie what would happen if he sat on his hands and

:26:50.:26:53.

did nothing, on November nine. So he had some advanced notice that the

:26:54.:26:59.

fiscal position gave him a bit more wiggle room than he had beforehand?

:27:00.:27:05.

That is right and then the moving parts stopped moving and he had a

:27:06.:27:09.

clearer picture by mid-November. Although this is not a matter to

:27:10.:27:14.

you, are you surprised that he spent most of this 27 billion? I mean, if

:27:15.:27:21.

you were repairing the roof while the Sun was shining, wouldn't you

:27:22.:27:25.

put some of this away for a rainy day? As you say, that is in my

:27:26.:27:29.

judgment to make. He has a target to balance the budget in 2019-20 and on

:27:30.:27:35.

the policies he has announced that the moment, we think he has a margin

:27:36.:27:39.

of about ?10 billion. If you look at the average size and distribution of

:27:40.:27:43.

forecasting errors over the last 25 years or so, that suggest about 55%

:27:44.:27:48.

chance of forecasting errors over the last 25 years or so, that

:27:49.:27:52.

suggest about 55% chance he has to decide how big a cushion he once

:27:53.:27:56.

when setting out spending plans for a number of years. Assuming no

:27:57.:28:02.

external shocks to the economy, which none of us can predict. Lucky,

:28:03.:28:04.

Lucky Chancellor. He is also taking an immense gamble. Robert is a

:28:05.:28:09.

brilliant economist but the one thing that trumps the OBR's

:28:10.:28:12.

projection so far is they have all been optimistic and all been wrong,

:28:13.:28:16.

so for the Chancellor to base all of his spending decisions today on the

:28:17.:28:22.

assumption that in four years' time inflation, growth, jobs and economy

:28:23.:28:26.

and taxation receipts will all be the same as the OBR expect now is

:28:27.:28:30.

fantasy politics. But he will adjusted as he goes on. He will, but

:28:31.:28:35.

he was able to jump out of this hole on the basis of hope. Forecast in

:28:36.:28:38.

the economy is more complicated than forecasting what is -- less

:28:39.:28:43.

complicated than forecasting what is going to happen in Syria, but it is

:28:44.:28:51.

still difficult. Thank you. We will be back on Sunday with a Sunday

:28:52.:28:54.

Politics as the countdown to that Syrian vote gathers pace, 11 o'clock

:28:55.:28:58.

Sunday morning, the by. -- goodbye.

:28:59.:29:01.

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