20/09/2016 Daily Politics


20/09/2016

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As the Labour leadership contest enters its final 24 hours,

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it's high noon in the battle to take control of the party.

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As we come on air, the party's governing body, the NEC,

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is settling in for a marathon meeting that could prove

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crucial in the ongoing struggle between Mr Corbyn

:00:54.:00:55.

Theresa May's in New York at the UN, where she'll warn about mass

:00:56.:01:03.

She's also telling world leaders the UK isn't turning inwards

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The Liberal Democrats are meeting in Brighton ahead of leader

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Tim Farron's big speech, and we'll be talking

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about their plan for a new tax to pay for the NHS.

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And as Jeremy Corbyn reveals his preferred teatime snack,

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we'll be asking why politicians find it so hard to pick

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Why do they find it so hard? We're going to find out.

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of the programme today, it's the Guardian's Polly Toynbee.

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She's resisted the lure of Liberal Democrat conference

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in Brighton to be with us here in Westminster -

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probably because we told her there would be free biscuits.

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That's just something we tell all our guests to get them

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So we'll be talking about the Liberal Democrat

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conference, and we'll be back on air at two o'clock to bring you live

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coverage of leader Tim Farron's speech to his party.

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How could you miss that? Best get the popcorn in now!

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But first today, let's talk about Theresa May's trip

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to New York, where she's due to give her first speech

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She's already been talking about migration, and today she and

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Foreign Secretary Boris Johnson are meeting with big US investors

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to spread the word about trade opportunities with post-Brexit

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She's also responded to Eastern European leaders

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for suggesting they would make life difficult for the UK on the way

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We're going to be in a negotiation with the other members of the

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European Union as we negotiate the way we are exiting and the

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relationship we're going to have with them afterwards.

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I'm very clear, we're going to go in there to

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get the right deal for the United Kingdom.

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I'm going to be ambitious for Britain in the negotiations, and

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I want to see the deal that's going to be right for the UK.

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We're joined now by the Conservative MP Kwasi Kwarteng.

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Welcome back. Are we not at the moment, because we all look at what

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the Prime Minister says, but even the Slovakian prime minister, what

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he says, are we not in a phoney war where what anybody says does not

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matter? You make a good point. At the beginning, people are setting

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out their stall in the negotiation, saying they will be tough and will

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drive difficult deals, but I think what the Prime Minister said is

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right. There will be a deal, at the end of the day, because it is in our

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mutual interest as Britain and the EU to come to a deal. That is the

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line from your side of the argument, but you said we are at the beginning

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of a negotiation. I'm not even sure we are. Preparatory stage. The

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understanding is that article 50 will be invoked sometime next year.

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That is 12 months, maybe you could be more specific. Before Easter?

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What do you think? We have been in the EU for over 40 years, so whether

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it is at some point next year in the long run is neither here nor there.

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It has to be done and dusted if we're going to an election in 2020

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is at least before then. If you add two years to 2017, that's 2019.

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There isn't a problem. I can understand that you can't rush to

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trigger article 50, you want to do preparatory work beforehand. But the

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longer you leave it, I would suggest, the more you create a

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vacuum and the more others will fill that vacuum, not necessarily to your

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advantage. There will be a long vacuum anyway because the process of

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negotiation will take longer than two years, I suspect. Irene the FT

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day after day and one industry after another, the sheer complexity of

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what has to be agreed on each kind of sector that we are involved with

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I think... It will leak from both sides. Under article 50, they cannot

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take more than two years unless all 27 members plus ourselves I agree.

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Indeed. The great problem is there will be no agreement on anything

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unless all 27, plus the European Parliament, agree on everything. The

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idea that we can get there in two years seems to be whistled thinking.

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Perhaps we can, but during that time, there will be huge gaps, highs

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and lows in expectations. It will leak from the European side, from

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the 27 countries, leak from Parliament and from our site, too.

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The party is riven. There is the Chancellor on one side saying soft

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Brexit, and then there is Boris, the man David Davis, the terrible three.

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They are on the hard Brexit site. You can exaggerate the complexities.

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There is access to the single market and there is freedom of movement.

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They are linked. And a lot of discussion will be about those

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issues. I read the FT, as Polly does, I even read her column. There

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is endless hand-wringing and saying how difficult it will be, and how

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complicated and all the rest of it, but actually, I think the principles

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are simple. There is no doubt that Brexit means Brexit. What that means

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is that we will not stay in the U. We know exactly what it doesn't

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mean. Hasn't the narrative been set because Theresa May doesn't have

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anything to say at the moment? If she doesn't have a message to sell,

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because it will take time, that vacuum could create problems. You

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said it will take time, so the narrative will be filled. We are in

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a stage before preparation. The negotiations haven't started. There

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is no point in trying to second-guess our position before we

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start. I know there is endless hand-wringing. Brexit means Brexit

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is a tautology. They want us to leave as well. We all know that. It

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is a clear mandate, a clear proposition, and I think we will be

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able to deliver this into under half years. Simplicity has been the big

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lie on the Brexit side of the argument. There is nothing simple

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about it. Every industry has their own quite complex needs in terms of

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staying in the single market. That and the free movement of people. At

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the end of the two-year period, if there is still a tonne of tough to

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do, what happens? You describe article 50 very well. We leave

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anyway. Sir James Dyson has a clear view and says we start with a blank

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sheet of paper and we can carry on negotiating. I don't think this

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hotel California idea that we are always going to stay in is tenable

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and that it is going to happen. Is it your view that we cannot sign

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trade deals with other countries while these talks are going on, but

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could we begin negotiations, scope out deals with Canada or America or

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Australia? That think that's why the Prime Minister set up the Department

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of International trade. We know we can't sign deals, so what is the

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point of having a Department if they are not doing preparatory work for

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deals that will be signed after we leave the EU? Is that possible? You

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can scope it out. Liam Fox is in the Gulf states making deals with people

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that a lot of people would regard as quite unsavoury. If that is the

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alternative to the EU, making deals with dictators and people bombing

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other countries, I'm not sure that will go down awfully well. The EU

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makes deals with these people. It may do, but not the sort of deals we

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will be proposing. We will be pretty desperate. We have 44% of our trade

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with Europe, so if we are replacing some of that, we will be on our

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knees in these negotiations and will take any deal. I think the prophecy

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of doom, people have had enough of. In my constituency, people are very

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optimistic and upbeat about the prospects for Brexit. I have lots of

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exporters who export all around the world, selling fridges to Libya, if

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you can believe. These companies are buoyant and optimistic about the

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future. Nothing has happened yet. One thing that may be going the way

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of the Brexiteer 's, which is not of their making, but it is quite clear

:10:11.:10:15.

when you look at the lack of future for TTIP with North America, or the

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inability of Congress to agree the specific trade deal which has been

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agreed but not ratified by the US Congress, that maybe these big

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regional trade deals have come to an end and we are moving back into an

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age of bilateral trade deals between Japan and America, Britain and

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Canada and whatever. You need to look at the reasons why TTIP is

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falling apart. It is because the Americans won't agree to regulations

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that we have, and we won't agree to let them trade on more relaxed

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regulations. Do we want beef from America that has been injected with

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chemicals or antibiotics that we wouldn't allow? We want the same

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standards. And that was the problem. Are you saying that Britain would

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accept lower standards than the EU in a TTIP deal? I have no idea, I am

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simply saying that it would seem axiomatic, let's take Canada, that

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it would be easy to do for one country to do a deal than Canada

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doing a deal with the whole of the EU. I'm not sure why, unless there

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are regulations the EU insists on that we will drop. If you have 27

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individual states performing -- forming part of the EU, it is much

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harder, all things being equal, to do a deal with 27 when they had to

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agree on everything than it is with one country. It is just arithmetic.

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This kind of speculation, this kind of discussion, based on a minimum of

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fact, because we don't know, this will continue all the way through

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Christmas, won't it? In the negotiation, we don't know what the

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other people are thinking. It is like any kind of game theory. You

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don't know what all 27 are thinking, so we have to stop the discussions.

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I don't believe we will have these endless .my John Major said it will

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take ten years, someone else says it won't. The big question that will be

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asked is, what was all this for? We are going to go through this hell

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for at least two years, and at the end it might be OK, it might be

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disastrous, but what was it all for? That's what people will ask. I think

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it was good to reclaim sovereign rights over a sovereign country.

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Let's not refight the referendum campaign. Oh, we will!

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The question for today is all about biscuits.

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You can't say we shy away from the big issues of the day.

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Yes, Jeremy Corbyn was interviewed by users of the website Mumsnet

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yesterday, and as is now traditional, he was asked

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Was it, A: Garibaldi, B: Jammy dodgers, C:

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A bit later on in the show, Polly, who bows to no-one

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in her biscuit knowledge, will give us the correct answer.

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In just 24 hours' time the ballot will close in the contest to choose

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We won't know until this coming Saturday if it will be

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Jeremy Corbyn or Owen Smith, although if you were to head

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to your local bookmakers, you'd need to spend ?66 in order

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to win ?1 back on a bet for Mr Corbyn to see

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Let's just explain that - put down ?66 can, get ?1 back if he wins.

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Not that we endorse gambling, particularly at those odds.

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But Mr Smith's campaign insists he is still in with a chance,

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and both men are still working hard to hoover up those final votes.

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Let's have a reminder of how the campaign has unfolded.

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Launching my bid to be the next leader of the Labour Party, and more

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importantly than that, the next Labour Prime

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This party is strong, this party is capable

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And that I am leader of the party, I will be that Prime

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It doesn't mean trading our principles.

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How you can complain about disunity in the

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party when you and others are the ones who resigned from the party?

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Most people in the undecided section have moved

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and swelled the ranks of the

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I think we should stay within the European

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Union, and I've always believed that.

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Jeremy wants to leave the European Union.

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We have to realise that regrettable as they are, the

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results of the referendum, we have to ensure we have access to

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European markets for manufactured goods.

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I've absolutely no desire whatsoever to go on Strictly Come Dancing.

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If Jeremy Corbyn wins, as the polls seem to suggest,

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attention will turn to the other battle within Labour, over

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who controls the party machinery - supporters of Mr Corbyn or those MPs

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And today sees something of a show-down at a meeting

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of Labour's National Executive Committee.

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It's just got under way, and it could pave the way for rule

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changes that could change the balance of power within Labour.

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The National Executive Committee is the ruling body of the Labour Party.

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It is composed of 33 members from various branches

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of the Labour movement, including MPs, trade unions

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The NEC is finely balanced between allies and opponents

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of Jeremy Corbyn, making it a key battleground in the ongoing power

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In August, six new NEC members were elected in a clean sweep

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Today is the final meeting before they take up their posts.

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Items up for discussion include possible changes to the rules

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Labour MPs voted overwhelming for a return to a Shadow Cabinet

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Jeremy Corbyn, however, is understood to favour a counter

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proposal for "partial" elections that would see the Leader,

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MPs and party members each decide a third of the Shadow Cabinet.

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But whatever is agreed today won't be the end of the story.

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It will also need to be ratified by the party conference

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Well, Labour's deputy Tom Watson has been speaking ahead of the meeting.

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We've been airing our dirty linen in public.

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We've got a leadership election, we'll get a new leader on Saturday

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and we've got to put the band back together because Jeremy,

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Owen, myself, John McDonnell, most of our front bench,

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think we're heading for an early General Election.

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So, there are a series of proposals today to try and help do that.

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Well, let's find out more now from our correspondent Mark Lobel.

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He's outside the meeting which we're told could last for as

:18:10.:18:11.

Here you are again outside an NEC meeting, the Labour ruling

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executive, is this the showdown we have been talking about? You are

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right, it's a little bit like Groundhog Day. Two months ago they

:18:31.:18:34.

were here Jeremy Corbyn trying to get on to the leadership ballot.

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Since then over the last two months while they've tried really hard in

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public, Jeremy Corbyn and the deputy leader, to really get on and show

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they're best of friends, behind the scenes they've been fighting very

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hard. When the parliamentary Labour Party came up with this proposal for

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elected Shadow Cabinet members, rather than appointed ones, it was

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met with scepticism by Jeremy Corbyn's camp. One member told me it

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was transparent manoeuvring to undermine Jeremy Corbyn. He at first

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suggested he would bring members on as part of the election but I

:19:06.:19:07.

understand he is going to kick the idea into the long grass today so

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that it can get proper consideration as part of a wider review of party

:19:12.:19:14.

democracy so that might not be resolved today. But this other issue

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of registered supporters, the constituency that traditionally

:19:21.:19:23.

favours left-wing leaders, might be scrapped, that's another thing put

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up today, people who pay ?25 to vote for the leadership, to get a vote in

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the leadership, that facility might go as a result of today's meeting.

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In terms of the party itself, inward looking, infighting, the critics

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say. But this is a battle for the heart and soul of the Labour Party.

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What is or isn't decided today or at any subsequent meeting will decide

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the future direction of the party, won't it? Absolutely. This is a

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crunch meeting and if it's not resolved today, the Shadow Cabinet

:19:57.:20:02.

issue is still a crunch issue, as one former Shadow Cabinet who left

:20:03.:20:05.

upset with Jeremy Corbyn's handling of the party said to me we might by

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the end of this week and on Saturday if he is re-elected as is widely

:20:10.:20:14.

rekicked, have Jeremy Corbyn strong within the party, the party itself

:20:15.:20:18.

will remaven divided and this Shadow Cabinet Minister is looking to see

:20:19.:20:21.

who is in the Shadow Cabinet and what it looks like as an example of

:20:22.:20:24.

how the party will continue and whether they'll be a strong

:20:25.:20:28.

opposition. Jeremy Corbyn's camp, however, says that there is at least

:20:29.:20:31.

a dozen former Shadow Cabinet members that will come in, even if

:20:32.:20:34.

he is still appoints a Shadow Cabinet and they'll focus on two

:20:35.:20:38.

things. Electoral strategy straightaway, they almost want an

:20:39.:20:41.

early election and they would encourage Theresa May to have one.

:20:42.:20:46.

They also need to prepare for the local and mayoral elections in May.

:20:47.:20:51.

Second, they're going to try to change the party into a

:20:52.:20:56.

union-backed, take it away from the momentum groups, some upset, some

:20:57.:20:59.

members of the parliamentary party and want to take away something that

:21:00.:21:05.

turns their stomach and make it into a more inclusive party. Only eight

:21:06.:21:09.

hours to go, to see you this evening.

:21:10.:21:13.

He has nothing else to do, no harm, keeps him out of harm's way!

:21:14.:21:16.

She's a newly elected member of the NEC who'll be taking up

:21:17.:21:20.

So, she too can look forward to sitting in these meetings

:21:21.:21:24.

So you are not at the NEC today because you are not yet on but you

:21:25.:21:34.

will be for the next meeting? Absolutely. I will be joining

:21:35.:21:39.

straight after conference. What is your view on whether or not the

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Shadow Cabinet should be elected? Well, you know, I think it's

:21:43.:21:47.

important that sort of debate happens really. I am on the NEC to

:21:48.:21:54.

represent members. I was elected to represent members and members will

:21:55.:21:58.

unite behind and make their decision on Saturday clear. I understand

:21:59.:22:05.

that. What I am asking is when that debate takes place, it seems like it

:22:06.:22:10.

may take place today, but may not be decided today, so it will still be

:22:11.:22:13.

an issue by the time you are on the NEC. What is your position? I like

:22:14.:22:20.

the idea of opening up the notion of greater party democracy and

:22:21.:22:23.

decision-making to members and widening that debate and looking at

:22:24.:22:27.

that. It's great that the parliamentary Labour Party has put

:22:28.:22:30.

forward this concept and this idea because I think it's something we

:22:31.:22:35.

ought to discuss and look at. Who do you think should elect the Shadow

:22:36.:22:38.

Cabinet? I think the notion of having a debate that involves the

:22:39.:22:42.

membership in being able to select some is a good idea. The opportunity

:22:43.:22:47.

also for the membership having decided their leader, the

:22:48.:22:52.

opportunity for the leader to actually also appoint who he would

:22:53.:22:54.

like to serve the leadership with him. Let me get this clear. You

:22:55.:22:59.

think the broad membership should choose some of the Shadow Cabinet,

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and the leader should also choose some? I like the idea of having that

:23:03.:23:08.

discussion about how can we enable the membership to have a greater say

:23:09.:23:13.

in party democracy in the running of the Labour Party and I think the

:23:14.:23:18.

notion of enabling the Shadow Cabinet to have that interaction

:23:19.:23:20.

with the membership is an important one. Equally important is the

:23:21.:23:26.

opportunity for the parliamentary Labour Party to have its say but

:23:27.:23:33.

crucially... The leader, the democratically elected leader to

:23:34.:23:37.

appoint. It seems are you in favour of this one-third one-third,

:23:38.:23:40.

one-third solution that the members elect a third, the leader chooses a

:23:41.:23:45.

third and the PLP chooses a third? It's an idea that is just emerging

:23:46.:23:49.

and I think I am open to hearing that discussion and engaging with

:23:50.:23:53.

others around that. It gives the opportunity, in my view, for the

:23:54.:23:57.

membership to have a real say in party democracy and I think that's

:23:58.:24:02.

important. Is this a good idea? It's a complete stitch-up between on the

:24:03.:24:05.

Corbynite side, because at the moment as things stand with a huge

:24:06.:24:10.

new membership, the old membership is on the whole less pro-Corbyn with

:24:11.:24:15.

a new membership, they will vote the Corbyn ticket. Claudia was elected,

:24:16.:24:22.

six members by the membership, all of them the straight Corbyn slate,

:24:23.:24:26.

so Corbyn would have a third, he would also control the slate of the

:24:27.:24:31.

other third. The PLP would effectively be outvoted. What's

:24:32.:24:34.

interesting about this is that there is no constitution for the Shadow

:24:35.:24:36.

Cabinet. Once they are sitting around the table decisions are not

:24:37.:24:40.

made there. The reason that so many people walked away from it was that

:24:41.:24:44.

they would have discussions around the table and Jeremy Corbyn would

:24:45.:24:47.

say thank you very much and go away and nothing would be decided and he

:24:48.:24:50.

would do whatever he wanted. There is nothing in the constitution that

:24:51.:24:52.

says the Shadow Cabinet actually matters. I guess if he gets a Shadow

:24:53.:24:56.

Cabinet more to his liking he may end up taking more decisions in it?

:24:57.:25:00.

Possibly. I think he makes his own decisions. In reality, what you saw

:25:01.:25:06.

was when Jeremies could elected this time last year, with an overwhelming

:25:07.:25:10.

mandate, Jeremy opened up the Shadow Cabinet to a wide range of people.

:25:11.:25:16.

People came on board. The idea... But then left. What we saw was a bit

:25:17.:25:24.

of an orchestrated... The big chunk of them left. Was that a vote

:25:25.:25:29.

against the leader or a vote against the democratic membership that

:25:30.:25:32.

elected the leader in the first place? What should they do around

:25:33.:25:38.

the table, if you had Heidi Alexander walking to talk about

:25:39.:25:43.

health policy, other people walk -- wanting to talk and they couldn't

:25:44.:25:49.

get a meeting, so there was no policy, a bit of time of time. But

:25:50.:25:52.

the Shadow Cabinet was clearly useless. These are things we heard.

:25:53.:25:57.

This is all being played out in the public domain, put to the membership

:25:58.:26:02.

again. They've heard all of this. They will make their decision on

:26:03.:26:05.

Saturday. I believe that they will continue to have faith in Jeremy as

:26:06.:26:08.

the leader, despite all that you say and despite all that the

:26:09.:26:12.

parliamentary Labour Party have said. We have got a tripling of the

:26:13.:26:16.

membership, this is all happening under Jeremy Corbyn. Jeremy's drawn

:26:17.:26:20.

a fine line between Labour's policies and where the Conservatives

:26:21.:26:24.

are at. The membership are listening to this and making a clear decision

:26:25.:26:28.

on Saturday and it's behind that sense of unity that I think the

:26:29.:26:35.

Labour Party needs to draw its energy and take that. The Labour

:26:36.:26:40.

Party is, in quote, near terminal meltdown. I think it is. It's really

:26:41.:26:45.

two parties. The old Labour Party and then this huge avalanche of new

:26:46.:26:48.

arrivals who are a completely different party. Of course if we had

:26:49.:26:52.

a sensible electoral system they would be two parties, just as the

:26:53.:26:56.

Tories would long ago have been a pro-Europe and anti-Europe party. We

:26:57.:27:00.

have an electoral system that forces people to say within the two big

:27:01.:27:04.

parties, which is very uncomfortable. At the moment for

:27:05.:27:10.

Labour it really is could habiting divorced couples. These are ordinary

:27:11.:27:16.

people from the stretch of of the country, nurses, these are

:27:17.:27:20.

administrators, these are people doing ordinary jobs from all ages,

:27:21.:27:24.

all diversities, all mixes, joining in for change, for something that

:27:25.:27:29.

reflects change in society. This is a powerful testimony of people

:27:30.:27:32.

coming together and saying that they are fed up with the current

:27:33.:27:35.

political system and they want to see change. They see that hope, that

:27:36.:27:42.

energy in Jeremy. What do you say to poly's point or claim that your

:27:43.:27:47.

party's in near terminal meltdown? I don't think that is the case. What

:27:48.:27:52.

we will see from Saturday is hopefully a sense of unity. The

:27:53.:27:55.

membership will be clear about its decision. Nearly 600,000 members

:27:56.:28:00.

making a very clear decision about who it wants to lead the party. That

:28:01.:28:08.

is a clear standing. What do MPs do? The parliamentary Labour Party will

:28:09.:28:12.

hopefully come behind that sense of unity and that sense of democracy.

:28:13.:28:15.

You know it's not going to. At the end of the day we are a Labour Party

:28:16.:28:19.

that believes in social justice. These are parliamentary Labour Party

:28:20.:28:22.

members that do not want to see a divided party, do not want to see a

:28:23.:28:27.

split. They actually believe in democracy and they will unite behind

:28:28.:28:32.

that. You don't know that. The fact is that a lot of these Labour MPs

:28:33.:28:40.

who are anti-Corbyn, the likelihood is will now face deselection

:28:41.:28:45.

problems. That's plain. Len McCluskey has made it plain. He has

:28:46.:28:50.

a lot of power. Even without being orchestrated, partly because of the

:28:51.:28:54.

happenstance of the boundary changes. Which gives them an

:28:55.:28:56.

opportunity. Gives them an opportunity. There is a lot of

:28:57.:29:01.

momentum going on in the back door of a lot of these MPs. I think they

:29:02.:29:05.

feel they are threatened with deselection. I think they have to

:29:06.:29:11.

between now and then make it quite clear what they actually stand for

:29:12.:29:16.

and I am advocating they should take a strong pro-European position

:29:17.:29:21.

because the Labour Party has simply and scent... Some are saying they

:29:22.:29:27.

will drift back to a Shadow Cabinet under Jeremy Corbyn which shows

:29:28.:29:29.

there could be moves to them supporting him as leader again. Yes,

:29:30.:29:34.

I think some will. Some found it so impossible last time they say they

:29:35.:29:39.

can't. Some will, certainly if the PLP gets to elect most of the - a

:29:40.:29:45.

majority of the members they'll put up enough people. That's not going

:29:46.:29:50.

to happen? You weent want that to happen. These eight-hour meetings,

:29:51.:29:55.

somebody You wouldn't want the PLP to choose a Shadow Cabinet? It would

:29:56.:30:00.

be unjust if it was just the PLP. I think you need to have the leader

:30:01.:30:04.

having a say and the membership having a say and at the end of the

:30:05.:30:07.

day you talk about deselection, there is nobody calling for

:30:08.:30:11.

deselection of hard-working parliamentary Labour Party members.

:30:12.:30:15.

Not Jeremy Corbyn, not any of the leadership of the Labour Party.

:30:16.:30:20.

What about Peter Keil in Brighton? I don't believe that is really what

:30:21.:30:29.

we're talking about? Did you see Channel 4 last night? Come on... You

:30:30.:30:35.

said no one is calling for his deselection, but people were.

:30:36.:30:45.

Channel 4 News is not a credible journalistic... It was hardly

:30:46.:30:52.

credible. A focus on a WL as being the basis of any entry is, this is

:30:53.:30:59.

not... But there was someone calling for Mr Keil to be deselected. The

:31:00.:31:05.

leadership of the party, and the structures that govern the Labour

:31:06.:31:09.

Party, there is no one calling for deselection of anybody. So you would

:31:10.:31:16.

back Mr Keil to stay as the MP for Brighton and Hove? He has the

:31:17.:31:20.

opportunity to put himself... I didn't ask you that. I'm not a

:31:21.:31:25.

member in Brighton and Hove. At the end of the day, I will sit on the

:31:26.:31:31.

Labour Party's NEC. While I am there, I won't advocate deselection

:31:32.:31:37.

and I don't expect anyone else to. We are talking about hard-working

:31:38.:31:42.

Labour MPs, Unity, working together and taking the fight to the Tories,

:31:43.:31:48.

to the Conservatives, and ensuring that we win over on the ardent of

:31:49.:31:50.

anti-austerities. Let's return now to the Liberal

:31:51.:31:54.

Democrat conference, where later today Tim Farron

:31:55.:31:56.

will use his closing speech to unveil a panel of senior doctors

:31:57.:31:58.

and other experts to examine the case for a dedicated

:31:59.:32:01.

NHS and care tax. Here's the party's health spokesman,

:32:02.:32:03.

Norman Lamb, telling conference that the health

:32:04.:32:05.

service needs more money. We live in a country with the 6th

:32:06.:32:07.

largest economy in the world. Yet we are letting

:32:08.:32:13.

people down so badly. Surely we can do better than this

:32:14.:32:18.

but the Government seems Again and again, they claim

:32:19.:32:20.

that they are giving money to the NHS, more

:32:21.:32:25.

so than ever in the past. Treat these claims

:32:26.:32:28.

with extreme caution. And Norman Lamb joins

:32:29.:32:36.

us now from Brighton. Norman Lamb, you want to raise taxes

:32:37.:32:47.

to pay for health and social care - which taxes will you raise and by

:32:48.:32:53.

how much? I am asking this expert panel to look, and I think it is a

:32:54.:32:59.

sensible way to develop policy, to get health economists, others with

:33:00.:33:04.

an expert knowledge of the NHS to work together to advise the party,

:33:05.:33:07.

but we are asking them to look at the case for a dedicated health care

:33:08.:33:13.

tax which would be shown on your pay packet, and my view is that health

:33:14.:33:20.

and care are, in a way, unique in terms of public services in that

:33:21.:33:24.

demand just keeps rising inexorably every year, by 4% across the

:33:25.:33:28.

developed world. There is a real case for carving it out. You end the

:33:29.:33:32.

distortion of spending in other areas of Government spending as well

:33:33.:33:36.

by carving it out and dealing with it separately. Then there is the

:33:37.:33:40.

case of whether you need to increase it. You would have a separate

:33:41.:33:45.

hypothecated tax that would go towards paying for health and social

:33:46.:33:52.

care. How much would it be? Would it be 1p on national insurance, on

:33:53.:33:58.

income tax or what? We know that 1p on income tax or national insurance

:33:59.:34:04.

will raise ?4 billion ?5 billion, something in that range. Certainly,

:34:05.:34:08.

that amount extra at the moment would make a massive difference to

:34:09.:34:13.

the sustainability of our health and care system. So that is what you

:34:14.:34:19.

would go for? Yes. The argument I am making is, let's look at the design

:34:20.:34:24.

of a dedicated tax. You could base it... Frank Field has argued this,

:34:25.:34:29.

that it should be based on national insurance. You would then need to

:34:30.:34:33.

look at whether you need to make it more progressive. You would need to

:34:34.:34:38.

make sure it is fair between generations but ultimately, it could

:34:39.:34:41.

form the basis of a hypothecated tax. The argument is that if people

:34:42.:34:45.

could see where their money is going on this, they may be prepared to pay

:34:46.:34:49.

a bit more, if it is clear that the system needs more money. Before,

:34:50.:34:53.

under Labour, there was more money for the health service, but it

:34:54.:34:57.

wasn't hypothecated in quite that way, which meant that some of the

:34:58.:35:01.

money did not go towards health. Exactly, and Frank Field makes that

:35:02.:35:03.

point. The NHS in England is facing a ?22

:35:04.:35:20.

billion gap in its finances by 2020, so if you're only talking about ?4

:35:21.:35:22.

billion being raised on national insurance, it won't go that far. Why

:35:23.:35:25.

not be bolder in opposition? That is why I have asked the expert panel to

:35:26.:35:30.

look at this. The public are crying out for politicians to be straight

:35:31.:35:35.

and to tell people what the scale of the problem is. There has been a

:35:36.:35:39.

conspiracy of silence about health and care funding. No party wants to

:35:40.:35:44.

admit how dire the situation is. No party at the last election came up

:35:45.:35:49.

with a solution to this problem. Including yours. Absolutely, I am

:35:50.:35:54.

saying that. And yet everyone within the system recognises that the

:35:55.:36:03.

situation now is dire and it will have real consequences for human

:36:04.:36:05.

beings. I put it to you that the reason is because it is not

:36:06.:36:07.

palatable politically. I don't know, but maybe people don't want to pay

:36:08.:36:11.

more than 1p extra on National Insurance to pay for extra money

:36:12.:36:17.

going into the health service. I think you're right. The consensus

:36:18.:36:21.

over many years has been, don't talk about extra tax, only talk about

:36:22.:36:27.

cutting tax. But there is also, we know, an enormous sort of affection

:36:28.:36:31.

for the NHS, but their results are a recognition that every family relies

:36:32.:36:39.

at moment of need on a very well organised and effectively

:36:40.:36:42.

functioning health system and care system. Is there any evidence that

:36:43.:36:47.

the public want to pay for this? That is the question. Beyond getting

:36:48.:36:53.

this panel to advise the party on our policy-making, I've also called,

:36:54.:36:59.

along with Liz Kendall and Dan Poulter yesterday, a form of -- a

:37:00.:37:05.

former Conservative minister, the three of us have come together to

:37:06.:37:10.

urge Theresa May to set up a cross-party commission to engage the

:37:11.:37:14.

public on these critical, once-in-a-lifetime questions. I have

:37:15.:37:17.

talked to the Institute for Government for this. It has been

:37:18.:37:23.

done in the last decade with pensions, and by establishing a

:37:24.:37:27.

process that binds in all the parties, a solution was developed

:37:28.:37:30.

which we legislated for. We need the same process for health. Your

:37:31.:37:35.

thoughts, Polly Toynbee, because it has been dismissed by the Government

:37:36.:37:39.

and even Labour voices like Margaret Hodge, who says there is a lot of

:37:40.:37:43.

waste and if we got rid of that, we would not have to raise this sort of

:37:44.:37:46.

money that Norman Lamb was talking about. She has been brilliant and

:37:47.:37:52.

incisive about picking up bits of waste, but I think everyone

:37:53.:37:55.

recognises that the health service is severely underfunded and there

:37:56.:38:00.

has to be some mechanism by which the public does, as Norman Lamb

:38:01.:38:05.

suggests, if they really care about the health service, which the polls

:38:06.:38:08.

show they do, there has to be a method for paying for it. I think a

:38:09.:38:12.

Royal commission would be an excellent idea. I think there is see

:38:13.:38:15.

Roe chance of the Tories doing it. They brought in the Lansley act,

:38:16.:38:20.

which the Lib Dems voted for, at last. They brought in a budget that

:38:21.:38:26.

cut the NHS spending as never before. And the Lib Dems were part

:38:27.:38:31.

of that. I know they regret it now, but it is a shame. Let's talk about

:38:32.:38:36.

the merging of health and social care, as Andy Burnham has talked

:38:37.:38:39.

about. How would that work? There is a central grant that goes to

:38:40.:38:44.

councils and they decide how much is spent on care. Are you saying that

:38:45.:38:48.

within the NHS budget more of that should go to social care? I am

:38:49.:38:54.

arguing that we have to have a unified health and care system. If

:38:55.:38:56.

you think about it from the patient's point of view, it is

:38:57.:39:01.

ridiculous that it is split down the middle. Too often, quite vulnerable

:39:02.:39:05.

people fall through the cracks in the system between organisations,

:39:06.:39:11.

and we have this crazy situation of two lots of people commissioning

:39:12.:39:15.

services in every locality. Let's just recognise that there is a

:39:16.:39:20.

continue here between health and care, and that the whole system

:39:21.:39:24.

ought to be focusing much more on preventing ill-health and preventing

:39:25.:39:28.

deterioration of health. Get all the incentives in the system aligned and

:39:29.:39:31.

have one pot of money. That would save money and it would make more

:39:32.:39:36.

efficient use of resources. But I think, you know, we need to organise

:39:37.:39:40.

things in localities. We shouldn't have a top-down service. But that

:39:41.:39:46.

does sound like what you are proposing. You are centralising

:39:47.:39:49.

something that has been decentralised. I think you were the

:39:50.:39:55.

party of local decisions. No, not at all. I think it is important to have

:39:56.:39:59.

very clear national standards about your right of access. One of the

:40:00.:40:03.

things I have campaigned for for many years and introduced as a

:40:04.:40:07.

minister is the first maximum waiting time standards in mental

:40:08.:40:12.

health. So, wherever you live in the country, you should know that the

:40:13.:40:15.

National Health Service will give you access to good, evidence -based

:40:16.:40:20.

treatment on a timely basis. You can then allow every area to design

:40:21.:40:24.

services to meet the needs of that locality, subject to those national

:40:25.:40:28.

standards which everyone should abide by. That seems perfectly

:40:29.:40:31.

consistent. Norman Lamb, thank you very much.

:40:32.:40:35.

What could Brexit mean for the airline industry?

:40:36.:40:37.

Well, there were warnings during the referendum that a vote

:40:38.:40:39.

to leave might affect the cost of cheap flights to Europe.

:40:40.:40:42.

But, as you'll have realised by now, along with most things to do

:40:43.:40:45.

with Brexit, the reality is a little more complicated.

:40:46.:40:47.

Take a look on the website flightradar and you

:40:48.:40:54.

will see some of the two million-plus take-offs and landings

:40:55.:40:56.

It is an industry regulated in a big way by

:40:57.:41:00.

A group of airlines and airport operators had a meeting with

:41:01.:41:05.

Chris Grayling the Transport Secretary here at the Department for

:41:06.:41:07.

Transport during the summer holidays.

:41:08.:41:10.

Top of their wish list is

:41:11.:41:11.

access to the EU's single market in aviation.

:41:12.:41:15.

I understand easyJet would

:41:16.:41:18.

like a deal where any UK-based airline could fly from any European

:41:19.:41:21.

city to any other European city, as they can do now.

:41:22.:41:25.

And they want a deal done as soon as possible.

:41:26.:41:28.

Maybe even separate from the main Brexit

:41:29.:41:29.

Transatlantic carriers like Virgin are also concerned about

:41:30.:41:35.

what happens to the EU's agreement with the US,

:41:36.:41:37.

which allows European airlines to fly to American cities.

:41:38.:41:41.

Will Brexit Britain have to negotiate its own treaty with

:41:42.:41:44.

Aviation lawyers say deals will have to be done

:41:45.:41:51.

position to fall back on, like the World Trade

:41:52.:41:54.

Organisation provides for

:41:55.:41:57.

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