Browse content similar to 03/10/2011. Check below for episodes and series from the same categories and more!
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Hello from Manchester. Scene of the annual gathering of the dominant | :00:09. | :00:12. | |
part of our Government. Some hours ago, the Chancellor of the | :00:12. | :00:16. | |
Exchequer, stood up, in this hall, and told us how he's hoping to save | :00:16. | :00:20. | |
the economy. He mentioned a technique to help business, but | :00:20. | :00:25. | |
even his own ministers found it hard to explain exactly what it was. | :00:25. | :00:29. | |
This cabinet minister understands credit easing, as doubtless, do | :00:29. | :00:34. | |
almost all of these 80-odd Tory members, they may even agree what | :00:34. | :00:37. | |
it is, they certainly don't agree on Europe. Neither does this man, | :00:37. | :00:40. | |
who might have been leader of the party, and this eminent Liberal | :00:40. | :00:45. | |
Democrat, who is here to put the Euro-sceptics right, mix in a | :00:45. | :00:47. | |
couple of irritating commentators and we ought to have the makings of | :00:47. | :00:57. | |
:00:57. | :01:02. | ||
We are not emphatically not to call the main scheme to boost the | :01:02. | :01:07. | |
economy by the Chancellor today, a dodge, a wheeze, a bit of creative | :01:07. | :01:12. | |
accounting, or indeed charge on the taxpayer. When he announced he was | :01:12. | :01:16. | |
introducing called credit easing, even the Chancellor's own ministers | :01:16. | :01:19. | |
hadn't a clear idea what he was talking about. David Grossman will | :01:19. | :01:23. | |
explain it all in a moment. The prevailing tone of the Chancellor's | :01:23. | :01:27. | |
speech to the 4,000 though members of his party here was somber, or | :01:28. | :01:33. | |
calling a spade a spade, dull. Dull, because he didn't have much to say. | :01:33. | :01:38. | |
This is no time for gagsters. Here is David Grossman with everything | :01:38. | :01:42. | |
you ever wanted to know about credit easing. | :01:42. | :01:46. | |
There is not so much good news to be had on the economy right now. | :01:46. | :01:51. | |
The black hole of the debt crisis sits on top of the conference like | :01:51. | :01:57. | |
a, black hole. Many would cheer to the rafter on things like more | :01:57. | :02:02. | |
defence spending and tax cuts, but they have all been lost into the | :02:02. | :02:07. | |
spinning more. But the ministers are keen that the electoral chances | :02:07. | :02:15. | |
don't follow them into the abyss, so out of the back hole a little | :02:15. | :02:22. | |
light emerged. To adapt PDWodehouse there is a comparison between a | :02:22. | :02:29. | |
Chancellor with a a hole to fill and a ray of sunshine. The doom and | :02:29. | :02:34. | |
gloom thing isn't playing well, but they don't want to give up the idea | :02:34. | :02:39. | |
that they will rip up the deficit strategy. What to do, not so much | :02:39. | :02:42. | |
plan B, as plan, be a bit more cheerful. | :02:42. | :02:45. | |
Ladies and gentlemen, please welcome the Chancellor of the | :02:45. | :02:54. | |
Exchequer, George Osborne. George Osborne gave his party a | :02:54. | :02:58. | |
flash of the smile that has been absent from his speeches in recent | :02:58. | :03:06. | |
years, as well as some encouraging words. I don't want anyone to | :03:06. | :03:10. | |
underestimate the gravity of the situation facing the world economy. | :03:10. | :03:15. | |
But he also don't want anyone to think that the situation is | :03:16. | :03:23. | |
hopeless. That there is nothing we can do. Yes, the difficulties are | :03:23. | :03:27. | |
great. But we should be careful not to talk ourselves into something | :03:28. | :03:31. | |
worse. This being a party conference, the Chancellor's | :03:31. | :03:36. | |
starting point was a pop at the Labour Party. In the process, a pop | :03:36. | :03:43. | |
at one of his cabinet colleagues as well. Economic adviser to Gordon | :03:43. | :03:49. | |
Brown, I'm not sure I would put that on my CV if I was Ed Balls. | :03:49. | :03:59. | |
:03:59. | :03:59. | ||
It's like personal trainer to Eric Pickles! Claim - The Chancellor | :03:59. | :04:06. | |
wasn't just giving out smiles and gags too, there was money too, �805 | :04:06. | :04:10. | |
million to pay for a council tax freeze in England only. �145 | :04:10. | :04:16. | |
million on new infrastructure, like spreading mobile phone coverage, | :04:16. | :04:21. | |
and �50 million for research. All to be paid for by using money | :04:21. | :04:26. | |
unspent from existing budgets. But this was definitely not Mr Osborne | :04:26. | :04:31. | |
relaxing his fiscal grip. The overall spending will stay the same. | :04:31. | :04:34. | |
Not only Labour, but some Conservatives as well, want a | :04:34. | :04:39. | |
change to. That they want tax cuts, especially for businesses. Don't | :04:39. | :04:44. | |
think I haven't thought hard about what more we could do, that I don't | :04:44. | :04:50. | |
explore every single option. I do. But borrowing too much is the cause | :04:50. | :04:53. | |
of Britain's problems, not the solution. | :04:53. | :04:57. | |
APPLAUSE But perhaps the most significant | :04:57. | :05:02. | |
thing the Chancellor did today was to introduce us to a new bit of | :05:02. | :05:07. | |
economic jargon. I have set the Treasury to work on ways to inject | :05:07. | :05:11. | |
money directly into parts of the economy that need it such as small | :05:11. | :05:14. | |
business. It's known as credit easing. | :05:14. | :05:19. | |
In short, this means the Treasury lending money to businesses, even | :05:19. | :05:24. | |
if the banks won't. Is there a problem with this, we did have | :05:24. | :05:26. | |
Project Merlin which was supposed to get lending going to businesses? | :05:26. | :05:31. | |
If that was working, if Project Merlin was working really | :05:31. | :05:33. | |
effectively, you might think there wasn't a great need for Government | :05:33. | :05:37. | |
support to businesses. It may be, and there probably is the case that | :05:37. | :05:41. | |
there are businesses out there that can't get money from banks. There | :05:41. | :05:45. | |
are two sorts, one sorts where Government, or whoever lends them | :05:45. | :05:48. | |
will make money because they are viable enterprise, and others not | :05:48. | :05:51. | |
getting money for good reason, which is they couldn't pay it back. | :05:51. | :05:55. | |
How has the speech gone down. At the weekend this senior | :05:55. | :05:58. | |
Conservative MP described the Government's long-term economic | :05:58. | :06:02. | |
policy as "inconsistent and incoherent". Today, well he was | :06:02. | :06:08. | |
full of praise for the Chancellor. I'm greatly encouraged by the | :06:08. | :06:12. | |
speech. Particularly the emphasis on making sure we protect people's | :06:12. | :06:14. | |
living standards. A relentless drive to secure growth in the | :06:14. | :06:19. | |
economy. But what's this? If we rewind the | :06:19. | :06:23. | |
tape, we see this positive take followed a lengthy chat with Steve | :06:23. | :06:27. | |
Hilton, the Prime Minister's head of strategy. Evidence, according to | :06:27. | :06:33. | |
some, of a bit of political nobbling. However, if we rewind the | :06:33. | :06:38. | |
tape even further, we can see that Steve Hilton, with three other | :06:38. | :06:41. | |
senior Number Ten insiders, just happened past the site of the | :06:41. | :06:46. | |
interview, it was the MP who wanted the chat. Steve, one point. Let's | :06:46. | :06:50. | |
go in there. However, if Steve Hilton will have to put his arm | :06:50. | :06:53. | |
around every critic of the Government's economic policy, well, | :06:53. | :06:58. | |
he will be a very busy man. With us now is the Transport | :06:58. | :07:02. | |
Secretary, Philip Hammond. Now this credit easing, how much money is | :07:02. | :07:06. | |
involved? We don't know yet, there is not a fixed limit. You don't | :07:06. | :07:09. | |
know? The Chancellor hasn't set a fixed limit. He has asked the | :07:09. | :07:13. | |
Treasury to look at the ways in which the Treasury could use its | :07:13. | :07:15. | |
balance sheet, to deliver credit directly to the parts of the | :07:15. | :07:20. | |
economy that need it, and then we will estimate the quantity of | :07:20. | :07:25. | |
demand for that kind of credit. much money might be available for | :07:25. | :07:30. | |
it? It could be billions of pounds. How many billions, roughly? This | :07:30. | :07:35. | |
isn't a totally new idea as suggested by David in the tape. | :07:35. | :07:40. | |
you haven't had time to work it out? In opposition we talked about | :07:40. | :07:43. | |
a national loan guarantee scheme, it is designed to do the same thing, | :07:43. | :07:48. | |
get money to the parts of the economy that aren't been reached, a | :07:48. | :07:52. | |
few tens of billions of pounds if that was the demand. When there l | :07:52. | :07:56. | |
it be available? The Chancellor has tasked the Treasury with looking | :07:56. | :07:59. | |
for the openings for delivering the credit easing. It is likely there | :07:59. | :08:02. | |
will be different types of approach, that are appropriate for different | :08:02. | :08:07. | |
types of business. So mid--cap businesses, which could act. What | :08:07. | :08:13. | |
does a mid-cap business? Middle- sized companies. Companies | :08:13. | :08:17. | |
employing 200-300 people, could be cable to access a bond mark. That | :08:17. | :08:21. | |
could be done relatively quickly. Packaging up much smaller loans to | :08:21. | :08:25. | |
smaller businesses may take a bit longer. Does this appear on the | :08:25. | :08:29. | |
Government's books? If the Government uses its balance sheet | :08:29. | :08:33. | |
to lend to businesses through credit easing, it wouldn't add to | :08:33. | :08:38. | |
the deficit, because the Government would be buying liquid financial | :08:38. | :08:44. | |
instruments in exchange. Is it similar to PFI or other wheezes | :08:44. | :08:48. | |
used by the previous Government? is similar to what the Bank of | :08:48. | :08:50. | |
England is doing to the quantitative easing, it is buying | :08:50. | :08:55. | |
Government debt, this would be something that got credit directly | :08:55. | :08:57. | |
through to private sector business that is couldn't get credit from | :08:57. | :09:01. | |
the banking system. So it is an admission that project | :09:01. | :09:06. | |
merllirn, the scheme to get banks to - Project Merlin, the scheme to | :09:06. | :09:09. | |
get banks to lend to businesses has failed? It hasn't failed. In the | :09:10. | :09:13. | |
first half of the year the banks have met their target for lending | :09:13. | :09:18. | |
to small and medium enterprises. that case you set the target too | :09:18. | :09:22. | |
small? The target for the banks was set to what they could deliver on | :09:22. | :09:25. | |
the basis of the balance sheets they have. There is clearly more | :09:25. | :09:29. | |
demand in the economy for credit than the banking system, crippled | :09:29. | :09:34. | |
as it is. Than you realise? No, the banking system, because of the | :09:34. | :09:36. | |
problems we have been through is able to meet. You were talking | :09:36. | :09:40. | |
about this ages ago, you knew Project Merlin would not be enough? | :09:40. | :09:45. | |
No, we were talking about a national loan guarantee scheme in | :09:45. | :09:48. | |
opposition, as way of adding to the lending the banks could get through, | :09:48. | :09:53. | |
to small and medium-sized businesses. This monetary activism, | :09:53. | :09:58. | |
that the Chancellor is talking about, is that another, what he | :09:58. | :10:04. | |
called, Ponzi scheme? Not at all. You could describe this as a form | :10:04. | :10:07. | |
of monetary activism. What the Chancellor is keen to emphasise is | :10:07. | :10:11. | |
we are not going to back down or compromise in any way, our | :10:11. | :10:17. | |
commitment to closing the fiscal deficit. Eliminating the structural | :10:17. | :10:20. | |
fiscal deficit over the life of this parliament. That doesn't mean | :10:20. | :10:25. | |
we are powerless to act to hp business and stimulate growth. We | :10:25. | :10:31. | |
can do that through monetary activism, making sure interest | :10:31. | :10:36. | |
rates remain low and credit gets through to the economy. Some | :10:36. | :10:39. | |
people's brains will short circuit at the moment about what is on and | :10:39. | :10:44. | |
off the Government books. Is it accurate, that if you start | :10:44. | :10:50. | |
investing in these small or medium enterprise companies, and they go | :10:50. | :10:54. | |
belly-up, the taxpayer is exposed to the loss is that right? It is | :10:54. | :10:59. | |
true that the Government would put its balance sheet at risk during | :10:59. | :11:03. | |
the exercise, that is the point of the exercise. The risk has to be | :11:03. | :11:09. | |
properly priced by an independent credit rating institution. Who will | :11:09. | :11:14. | |
make the decision? In terms of lending, it depends on the conduit. | :11:14. | :11:21. | |
If it is bonds purchased in the market they are bonds done in the | :11:21. | :11:25. | |
usual way, by bond credit agencies. If it is packages of small business | :11:25. | :11:29. | |
loans packaged together for the purpose, it will probably be the | :11:29. | :11:31. | |
banks who have the existing relationships with those businesses | :11:31. | :11:36. | |
who are charged with making the credit and lending decision. So the | :11:36. | :11:39. | |
Government, and therefore the taxpayer, could lose money on this? | :11:39. | :11:42. | |
Well, there is a contingent liability, but that will be priced | :11:42. | :11:47. | |
for. This will not be free money. That is a way of saying yes, a | :11:47. | :11:50. | |
contingent liability? That means there is a risk, of course there is | :11:50. | :11:55. | |
a risk. But nobody is suggesting that there is no risk. But what we | :11:55. | :12:00. | |
believe is that given the demand for credit in the economy, the | :12:00. | :12:04. | |
urgent need to support small and medium-sized businesses, this is a | :12:04. | :12:07. | |
risk that the Government should be prepared to take, provided it is | :12:07. | :12:11. | |
properly priced and managed. Just on the broader question of how | :12:12. | :12:15. | |
this party now looks to you today. A lot of people are saying this | :12:15. | :12:19. | |
looks a very different kind of Tory Party to the Tory Party we were | :12:19. | :12:26. | |
familiar with. Do you think it's different? No, I don't think so. If | :12:26. | :12:30. | |
you are talking about credit easing this is the direct descentant of | :12:30. | :12:34. | |
the national loan guarantee system. I mean the people here, and how | :12:34. | :12:36. | |
they greeted George Osborne's economic strategy today, the sort | :12:36. | :12:40. | |
of things they are worried about. Does it seem to you a different | :12:40. | :12:43. | |
Tory Party? The party has clearly changed over the six years since | :12:43. | :12:48. | |
David Cameron took the leadership. It has become younger, more diverse, | :12:48. | :12:52. | |
and we're all believing that is a good thing. It has changed? Over | :12:52. | :12:57. | |
the last six years, definitely. Let's go to some of the audience | :12:57. | :13:03. | |
now. Let's start off with George Osborne, who is excited by credit | :13:03. | :13:08. | |
easing? Three people were, four people were. Very good, you in the | :13:08. | :13:14. | |
front row, go on. As an 18-year-old, I'm extremely worried by the | :13:14. | :13:17. | |
structural deficit we have inherited from Labour, and | :13:17. | :13:22. | |
therefore, a scheme that is a value waited risk, that will put money | :13:22. | :13:26. | |
into businesses to deliver jobs and growth, has to be a good thing for | :13:26. | :13:30. | |
my future and this country. Are you an economist? I did an economics A- | :13:30. | :13:33. | |
level last summer. That is good enough in this Government, I | :13:33. | :13:38. | |
imagine! All right, you are slightly more qualified. The lady | :13:38. | :13:43. | |
at the back there, very hard to see you in the darkness. I'm a local | :13:43. | :13:47. | |
councillor in Bedford, I'm really pleased that more money will come | :13:47. | :13:54. | |
into local Government. Do you feel the fact the Chancellor had to | :13:54. | :13:59. | |
announce this, is an indication that what has been advocated | :13:59. | :14:03. | |
previously, the Project Merlin, to get the banks, allegedly, to lend, | :14:03. | :14:07. | |
has succeeded or failed? pleased he has identified there is | :14:07. | :14:10. | |
an extended need for small businesses to get money. I'm | :14:10. | :14:13. | |
pleased he has identified that we need in local Government more money. | :14:13. | :14:17. | |
That's terrific. Lady in the second row with your | :14:17. | :14:23. | |
hand up? I have been working with a start-up company, and they have | :14:23. | :14:29. | |
been to over 90 different avenues to get credit. This is a small- | :14:29. | :14:32. | |
smedum enterprise, it is British, they can't - small-medium | :14:32. | :14:37. | |
enterprise, it is British, they can't get credit. Anything for them | :14:37. | :14:42. | |
I'm for. All you Tories, what you really want is tax cuts? Yes. | :14:42. | :14:47. | |
Anyone not want tax cuts right now? Does anybody disappointed. You can | :14:47. | :14:51. | |
have your say in a minute. Was anybody disappointed the Chancellor | :14:51. | :14:59. | |
didn't say anything about tax cuts today? You're all very loyal! Go on | :14:59. | :15:04. | |
then, Philip? We all want tax cuts when it is affordable. We are a | :15:04. | :15:07. | |
tax-cutting party. We believe that lower taxes are the way to | :15:07. | :15:11. | |
stimulate enterprise and get the economy growing. But we also know | :15:11. | :15:14. | |
that we have an immediate challenge in getting rid of the deficit we | :15:14. | :15:19. | |
have inherited from Labour. The Chancellor's policy was endorsed | :15:19. | :15:28. | |
today by SMP, reaffirming, the ratings agency. Who have such a | :15:28. | :15:32. | |
dodgy record. They reaffirmed Britain's Triple A credit rating, | :15:32. | :15:36. | |
means people can go on looking forward to low cost interest rates | :15:36. | :15:40. | |
and borrowing, and the Government can borrow at German rates of | :15:40. | :15:43. | |
interest, even though we have a Greek level of debt. Going back to | :15:43. | :15:46. | |
earlier, talking about how much this party has changed. Here we | :15:46. | :15:50. | |
have about what, 80 Conservatives, and there is not one of them wants | :15:50. | :15:57. | |
a tax cut now. That is a mark of how it has changed? This is | :15:57. | :15:59. | |
responsible Government. Every one of these people. They are not in | :15:59. | :16:03. | |
Government. Would like to see tax cuts when it is affordable and | :16:03. | :16:08. | |
sustainable. The boy with the economics A-level is nodding his | :16:08. | :16:11. | |
head! As the Chancellor said we don't want tax cuts for Christmas, | :16:11. | :16:16. | |
Ed Balls side, that have to be reversed 18 months or a year later. | :16:16. | :16:22. | |
APPLAUSE. I tell you what their loyalty hasn't changed, has it! | :16:22. | :16:30. | |
Let's fix the deficit w when we can - And when we can afford it, let's | :16:30. | :16:35. | |
treat ourselves to a tax cut. love that dare not speak its name | :16:35. | :16:40. | |
inside the conference hall is, wait for it, Europe. With the euro | :16:40. | :16:46. | |
threatening to plunge the economy into intensive care, it is all over | :16:46. | :16:49. | |
the fringe meetings like a nasty rash. The state of the single | :16:49. | :16:53. | |
currency has made plain the extent to which anxiety over membership of | :16:53. | :16:56. | |
the project has not been eradicated from the party's nervous system, it | :16:56. | :17:02. | |
has just been dormant. There was a crisis in the eurozone, and can be | :17:02. | :17:06. | |
seen on the streets of Greece. But the reverbations are being felt | :17:06. | :17:10. | |
back here in Britain. The Chancellor is leaving the | :17:10. | :17:13. | |
Conservative conference early to meet the EU finance ministers | :17:13. | :17:16. | |
tomorrow. The eurozone needs to end all the speculation, decide what | :17:16. | :17:21. | |
they are going to do with Greece, and then stick to that decision. | :17:21. | :17:29. | |
APPLAUSE Britain is not immune to all this | :17:29. | :17:34. | |
instability. And he could have said, neither is his own political party. | :17:34. | :17:38. | |
In recent years the Conservatives have been relatively united on | :17:38. | :17:42. | |
Europe, putting aside those divisions that characterised the | :17:42. | :17:47. | |
last period in office. Now new divisions are opening up, over how | :17:47. | :17:51. | |
to prevent a Greek tragedy turning into a bigger drama for Britain. | :17:51. | :17:55. | |
And a rather bizarre venue has been chosen to hold some of those | :17:55. | :18:00. | |
discussions. And, this is no jo, these Conservatives have come to | :18:00. | :18:06. | |
take advice from a foreigner. A leader of an increasingly Euro- | :18:06. | :18:09. | |
sceptic party in Finland, and doesn't see the current bailout of | :18:09. | :18:14. | |
Greece as a laughing matter. He favours a referendum on EU | :18:15. | :18:20. | |
membership. I wouldn't know know what I would want if I was British. | :18:20. | :18:26. | |
What would you vote? No, get out. Only a handful of MPs believe the | :18:26. | :18:30. | |
current crisis is the perfect time to hold a referendum on EU | :18:30. | :18:40. | |
:18:40. | :18:41. | ||
The Foreign Secretary wasn't exactly rushing to respond to this, | :18:41. | :18:46. | |
when invited by Newsnight. How are you doing. | :18:46. | :18:48. | |
I'll give interviews at the scheduled time, thank you. | :18:49. | :18:55. | |
Some MPs take up slightly more subtle approaches, they want to | :18:55. | :18:57. | |
renegotiation the relationship with Europe, then put the question to | :18:57. | :19:01. | |
the people. People feel we get a lousy deal with Europe, some people | :19:01. | :19:05. | |
want to renegotiate the deal in a fundamental way, some people say | :19:05. | :19:11. | |
why bother, just get out. I'm happy to support a referendum, but I | :19:11. | :19:14. | |
would like our Government to engage in a renegotiation. It would be | :19:14. | :19:18. | |
better to say to the European partners, there are terms we would | :19:18. | :19:22. | |
consider saying, we would need the permission of the British people, | :19:22. | :19:28. | |
negotiate the terms and ask the people. By far those on the | :19:28. | :19:35. | |
backbenches believe the current environment provides the chance to | :19:35. | :19:40. | |
rewrite history, without the need of a vote. Talk of referendums is | :19:40. | :19:44. | |
premature, and a distraction from the important thing, what do we | :19:44. | :19:48. | |
want the European Union to do in the 21st century. We have to do the | :19:48. | :19:52. | |
heavy lifting and ask how do we take powers back in employment | :19:52. | :19:55. | |
policy, social policy, health and safety policy. What do we need to | :19:55. | :20:01. | |
do to get there. And, when we finally did catch up | :20:01. | :20:03. | |
with a more talkive Foreign Secretary, seemed to be suggesting | :20:04. | :20:08. | |
he was a prisoner of a coalition, longing to be free. | :20:08. | :20:14. | |
I do think the European Union has too much power. We set out in our | :20:14. | :20:17. | |
manifesto, if there had been an entirely Conservative Government, | :20:17. | :20:21. | |
some of the areas that the, the Prime Minister areas, in which we | :20:22. | :20:26. | |
believe it has - prime areas, in which we believe it has too much | :20:26. | :20:29. | |
power. I don't believe it is up to the European Union to set the | :20:29. | :20:33. | |
working hours of junior doctors in the hospital in my constituency. I | :20:34. | :20:35. | |
don't think that has anything interest there. | :20:35. | :20:39. | |
There may be no change at all when Britain's relationship with the EU, | :20:40. | :20:42. | |
the great fear of many Conservatives is the influence of | :20:42. | :20:46. | |
the Liberal Democrats will mean an opportunity for reform will be lost. | :20:46. | :20:49. | |
I think they are doing too much wagging of the dog f that's what | :20:49. | :20:54. | |
you mean. I think we ought to show a bit more leadership. And he had | :20:54. | :20:57. | |
this message for the Foreign Secretary. I would say to William, | :20:57. | :21:01. | |
listen to the views of the party. They elect us, they select us, they | :21:01. | :21:05. | |
support us. It's about time we listened to them a little more. | :21:05. | :21:08. | |
Chancellor wants to see greater stability in the eurozone, to help | :21:08. | :21:13. | |
the world economy. That, in turn, may also help quell demands from | :21:13. | :21:16. | |
party activist, for a more radical transformation in Britain's | :21:16. | :21:23. | |
relationship with the rest of the Philip Hammond is still here, we | :21:24. | :21:28. | |
have been joined by the Liberal Democrat MP, Don Foster, here in | :21:28. | :21:32. | |
Manchester, making a film for a programme called The Daily Politics, | :21:32. | :21:35. | |
and by David Davis, the former shadow Home Secretary, who has | :21:36. | :21:41. | |
edited a book out today, that sets out the future of Conservatism. | :21:41. | :21:44. | |
Philip Hammond, I know you have to go in a second or two. But quite | :21:44. | :21:47. | |
clearly the vast majority of your party want to have a referendum, | :21:47. | :21:51. | |
why can't they have it? Well, I think the pressing issue, at the | :21:51. | :21:56. | |
moment, is to stablise the situation in the eurozone. We do | :21:56. | :22:01. | |
50% of your trade with the EU, 40% of our trade with the eurozone, and | :22:01. | :22:05. | |
the immediate threat to Britain's prosperity and British jobs is from | :22:05. | :22:10. | |
the on going crisis in the eurozone. Let's focus on the big issues. | :22:11. | :22:15. | |
Nobody is saying let's have a referendum in the next few weeks, | :22:15. | :22:18. | |
nobody is suggesting it in that time frame. Why not promise them | :22:18. | :22:22. | |
one next year? In the long-term, what most people in this country | :22:22. | :22:25. | |
want to see is a rebalancing of our relationship with the European | :22:25. | :22:28. | |
Union. They want to see a guarantee that more powers will not be | :22:28. | :22:33. | |
transferred, we have given that guarantee. And they want to see, | :22:33. | :22:37. | |
eventually, repatriation of powers over areas like employment law, | :22:37. | :22:42. | |
social policy. Those are the things that actually matter. Completing | :22:42. | :22:46. | |
the single market, making sure that we can continue to benefit from | :22:46. | :22:49. | |
free trade with Europe is the key issue. Clearly it matters to large | :22:49. | :22:51. | |
numbers of your members, it even matters to the Liberal Democrats. | :22:51. | :22:56. | |
The Liberal Democrats at one point, recently, wanted a referendum on | :22:56. | :23:00. | |
membership of the euro, and the European Union. Your own | :23:00. | :23:04. | |
backbenchers want it, why are you flying in the face of all of them? | :23:04. | :23:09. | |
My own personal is the immediate pressing issue is to deal with the | :23:09. | :23:13. | |
challenges the economy faces. have said all that, it is not next | :23:13. | :23:16. | |
week. We have to see the eurozone stablising and progress on | :23:16. | :23:20. | |
completing the single market, so Britain can get the maximum | :23:20. | :23:25. | |
possible benefit from its membership of the EU. Let's focus | :23:25. | :23:29. | |
on those things that deliver practical benefit to people in this | :23:29. | :23:32. | |
country. Once we have focused on them. Then can they have a | :23:32. | :23:36. | |
referendum? Well, these things are for the future. I think we should | :23:36. | :23:40. | |
focus on the immediate challenges. Why are you so wriggley on it? | :23:40. | :23:44. | |
Because I think this is not the moment to be standing back and | :23:44. | :23:47. | |
looking at this very long-term. doesn't have to be this moment t | :23:47. | :23:51. | |
could be next year or the year after? I think we need to focus on | :23:51. | :23:55. | |
the real need for our own interest, to stablise what is going on in the | :23:55. | :24:02. | |
eurozone. Chaos in the eurozone will cost jobs in Britain. | :24:03. | :24:06. | |
Let's ask one or two members of the audience, how many of you, just a | :24:06. | :24:10. | |
show of hands, how many of you would like to a referendum in | :24:10. | :24:18. | |
Europe, in or out? What is that, you are impartial, you two tell us | :24:18. | :24:22. | |
you are on different sides of the face, I would say that is about 50- | :24:22. | :24:25. | |
50. It is not a representative audience at all, it is entirely | :24:25. | :24:29. | |
arbitary, because these people have nothing else to do at this time of | :24:29. | :24:34. | |
night! One of you who had your hand up, why is it that, do you think, | :24:34. | :24:38. | |
how long can they hold the line on not giving you a referendum? | :24:39. | :24:43. | |
wants a referendum, put your hand up again? You in the front row. | :24:43. | :24:51. | |
What do you feel about being denied the referendum? I really do believe | :24:51. | :24:54. | |
that we were promised a referendum, I believe. I think it would be | :24:54. | :24:58. | |
beneficial for the country to have it and then the question could be | :24:58. | :25:02. | |
put to rest. We would know one way or the other the will of the people. | :25:02. | :25:06. | |
Do you understand why you are not getting one? Not really, no. | :25:06. | :25:10. | |
Anyone else, who else wants a referendum, you in the front row? | :25:10. | :25:14. | |
think the French dumb is very important for the UK. I would also | :25:14. | :25:23. | |
like to say on referendums, a message to his High Excellency Alex | :25:23. | :25:28. | |
Salmond in Scotland, that this is the only referendum that really | :25:28. | :25:31. | |
matters. Right at the back there? think it is something that affects | :25:31. | :25:36. | |
every single person in the UK, we should be able to have a say on it. | :25:36. | :25:40. | |
Do you accept it is not a good time do it? Not now, but we could have | :25:40. | :25:44. | |
one in a few years, at least say it is a possibility, rather than not | :25:44. | :25:48. | |
answering the question at all. you unhappy not being given one? | :25:48. | :25:52. | |
One of the reasons I lost trust with Labour is we were promised it | :25:52. | :25:57. | |
and it was taken away. I really hope it doesn't happen again. | :25:57. | :26:01. | |
Don Foster, you campaigned on the promise of a referendum, didn't | :26:01. | :26:07. | |
you? Yeah. And they haven't got it? Well, what we said and what I still | :26:07. | :26:12. | |
believe is we should have a referendum when there is any | :26:12. | :26:14. | |
significant change in the relationship between this country | :26:15. | :26:19. | |
and the rest of Europe. I also believe that referendum shouldn't | :26:19. | :26:22. | |
just be about whether people accept the change, but it should be the | :26:22. | :26:25. | |
opportunity to have a straight forward, in-out referendum, which | :26:25. | :26:30. | |
very many people in this country do want to have, and very many people | :26:30. | :26:33. | |
who are particularly younger people, have never had an opportunity to | :26:33. | :26:37. | |
have a say in that particular issue. So when we have a change, in the | :26:38. | :26:42. | |
relationship, that is the time to have it. Just for the avoidance of | :26:42. | :26:46. | |
doubt who among you feel there ought to be a referendum? I would | :26:46. | :26:52. | |
vote definitely for. More power to Europe? It is not, no, no, come on, | :26:52. | :26:59. | |
Jeremy. You are trying to wind everybody up. Philip has already | :26:59. | :27:03. | |
given us the figures. 50% of our trade is with the European Union. | :27:03. | :27:09. | |
That is no reason to let them run our lives? �200 billion worth of | :27:09. | :27:14. | |
trade. 3.5 million jobs in this country are dependant on our | :27:14. | :27:17. | |
relationship with the European Union. Do you think it is | :27:17. | :27:22. | |
legitimate to deny people a referendum indefinitely? | :27:22. | :27:26. | |
indefinitely. We will have in the next coming years huge | :27:26. | :27:30. | |
transformations in the eurozone. The euro corrections will be | :27:30. | :27:35. | |
enormous, whether we will see a more federal or fiscal Europe is | :27:35. | :27:39. | |
coming. It is fair to say to people, what sort of relationship will you | :27:39. | :27:45. | |
have, I'm not as Euro-sceptic as my friend her, not necessarily in-out, | :27:45. | :27:49. | |
do you want a trading relationship or political relationship. That is | :27:49. | :27:54. | |
a fair thing to put to them. Euro-sceptic is David Cameron, he | :27:54. | :27:58. | |
has used the words himself, is he sceptical about Europe? He is | :27:58. | :28:01. | |
sceptical, I have known him 20 years and throughout that time he | :28:01. | :28:06. | |
has been Euro-sceptic. But he is in a coalition, he has to be leader | :28:06. | :28:12. | |
and diplomat at the same time. he imprisoned by people like Don | :28:12. | :28:15. | |
Foster? Imprisoned it a little strong, he's shackled to them! | :28:15. | :28:20. | |
David Cameron knows, not only the trade benefit, but he also knows we | :28:20. | :28:24. | |
can't tackle things like pollution problems, international crime, all | :28:24. | :28:27. | |
those sorts of issues, we need to work together. Some people will say | :28:27. | :28:31. | |
the way we are doing it needs to be reconfigured. I would accept that's | :28:31. | :28:34. | |
why we have to have further discussions. Put him right? | :28:34. | :28:39. | |
Illusion problems, sure, there are international pollution problems we | :28:39. | :28:42. | |
need treaties over. International crime, I don't think there is much | :28:42. | :28:47. | |
use out of Europe on international crime. Most of the effects of the | :28:47. | :28:51. | |
European Arrest Warrant have been to have miscarriages of justice and | :28:51. | :28:55. | |
use up police time unnessly there are lots of other areas - | :28:55. | :28:58. | |
unnecessarily. There are lots of other areas I don't think Europe | :28:58. | :29:03. | |
should have a say. Why should they dictate how long a junior doctor | :29:03. | :29:06. | |
works, what has that to do with Brussels? That is surely why many | :29:06. | :29:09. | |
people want a discussion about the nature of the relationship, then if | :29:09. | :29:14. | |
it changes, that is when you have the referendum. You certainly don't | :29:14. | :29:18. | |
do it now? We're not talking tomorrow, in the next couple of | :29:18. | :29:21. | |
years. Let's sort out the current crisis we have got, that is the | :29:21. | :29:26. | |
most important thing. If you had your way we would have been in the | :29:26. | :29:30. | |
euro, wouldn't we? We said we would have gone in if the conditions were | :29:30. | :29:35. | |
right, they were not right. That is what we said, that was the facts, | :29:35. | :29:38. | |
come on. How much of the audience are | :29:39. | :29:43. | |
persuaded by the protestations of Mr Foster here, his good intentions | :29:43. | :29:51. | |
on the euro? None of you believe him? Why don't you believe him, he | :29:51. | :29:59. | |
seems a trustworthy chap? Well there we are. | :29:59. | :30:04. | |
Do you feel, David Davis, that what you could do in Government on | :30:04. | :30:07. | |
Europe is actually circumscribed by the fact that the Liberal Democrats | :30:07. | :30:12. | |
are in Government with you? course it is, that's, a coalition. | :30:12. | :30:16. | |
Do you resent that? No, I approve of the coalition. It is better than | :30:16. | :30:19. | |
the alternative, if you wanted Gordon Brown sitting here. | :30:19. | :30:24. | |
APPLAUSE The simple truth is. We found | :30:24. | :30:29. | |
something the audience aproves of! The simple truth is there are | :30:29. | :30:32. | |
compromises on both sides. There are things the liberals are having | :30:32. | :30:37. | |
to do I'm sure they don't like. We have to compromise with them. If | :30:37. | :30:41. | |
this was a Tory-only Government, we would be much more robust on Europe, | :30:41. | :30:46. | |
and rightly so. We will talk about some of this in a moment or two, | :30:46. | :30:52. | |
who can forget Theresa May, now Home Secretary, talking about how | :30:52. | :30:55. | |
many people thought of the Tories as the nasty party. They are not | :30:56. | :30:59. | |
being nasty any longer about their coalition partners, the Liberal | :30:59. | :31:03. | |
Democrats, as you have seen, the people they were calling feckless | :31:03. | :31:06. | |
and unfit for Government only 18 months ago. That is in contrast to | :31:06. | :31:09. | |
the talk at the Liberal Democrats own conference, where they spent | :31:09. | :31:13. | |
much 6 their time talking about how left of their own devices, | :31:13. | :31:18. | |
Conservatives would be sending small children up chimneys. Liberal | :31:18. | :31:21. | |
Democrat ministers are the guarantors of fairness in a | :31:21. | :31:25. | |
Government that would be an absolute nightmare without them. | :31:25. | :31:31. | |
warning to the Conservative right here, we need no Tea Party tendency | :31:31. | :31:35. | |
in Britain. In Government, yes, it means | :31:35. | :31:39. | |
sometimes we have to be a bit awkward. As our coalition partners | :31:39. | :31:44. | |
are finding out on a daily basis. Nick Clegg stuck with our | :31:44. | :31:49. | |
agreements all the same. And we should always have the generosity | :31:49. | :31:52. | |
of spirit to recognise the contribution he makes to turning | :31:52. | :32:01. | |
this country around. Unfortunately, unlike today, in | :32:01. | :32:04. | |
their long battle, our predecessors did not always have the good | :32:04. | :32:10. | |
fortune of being supported by the liberals. Well, Don Foster and | :32:10. | :32:14. | |
David Davis are still with us, why are you so ungracious? I don't | :32:14. | :32:18. | |
think we are. There was some jokes. These people gave you your first | :32:18. | :32:22. | |
chance in Government for 70 years, and all we saw at the Liberal | :32:22. | :32:26. | |
Democrats conference was a lot of people being beastly about the | :32:26. | :32:29. | |
Conservatives? Two things I would say, the first thing I would say, I | :32:29. | :32:32. | |
don't think we were being beastly. I told some jokes at the conference | :32:32. | :32:35. | |
about Tories, but I also told them about Liberal Democrats. There were | :32:35. | :32:41. | |
more about the Liberal Democrats. An equality of beastliness! | :32:41. | :32:44. | |
second thing is, the Tory Party didn't give us our opportunity to | :32:44. | :32:51. | |
be in Government, the public decided that no one party should be | :32:51. | :32:54. | |
in overall control of this party. We looked as a possible deal with | :32:54. | :32:58. | |
the Labour Party, that didn't work, they didn't want it any way. For | :32:58. | :33:01. | |
the sake of the country we came together. As David Davis | :33:01. | :33:05. | |
acknowledges, and the vast majority of the people at the conference | :33:05. | :33:07. | |
have acknowledged, that the two parties coming together has been in | :33:07. | :33:11. | |
the public interest, it is actually working. Both parties are having to | :33:11. | :33:14. | |
make compromises. Look at the problem we had over tuition fees, | :33:14. | :33:19. | |
or the problem we are facing with the issue of for instance, police | :33:19. | :33:22. | |
commissioners, which we are not particularly happy with, and we are | :33:22. | :33:25. | |
accepting it as part of the deal. Both parties have made compromises | :33:25. | :33:29. | |
for the sake of the country. Apart from keeping Gordon Brown out of | :33:29. | :33:32. | |
Government what have the Liberal Democrats given you? Well, the | :33:32. | :33:40. | |
votes to stay in Government! Look, there are...What Has the presence | :33:40. | :33:44. | |
in Government given you? Some of it has been a liberal tendency. Sadly, | :33:44. | :33:47. | |
I say they haven't been strong enough in some of their liberal | :33:48. | :33:53. | |
tendencies. Sometimes I'm the most liberal person on the Tory benches. | :33:53. | :33:57. | |
Crikey! The simple truth is we all have to make compromises. What you | :33:57. | :34:00. | |
are seeing in the liberal conference is fear, fear of | :34:00. | :34:03. | |
political extinction. Fear of what's been happening to them in | :34:03. | :34:06. | |
local Government elections. They want to distance themselves and | :34:06. | :34:10. | |
create a political difference. That is what's going on there. I'm | :34:10. | :34:14. | |
afraid I wise crack on occasions that the liberals have the best | :34:14. | :34:18. | |
seats on the aircraft but no parachutes. That is it, they feel | :34:18. | :34:21. | |
trapped sometimes. You see people like people like Tim Farron being | :34:21. | :34:24. | |
rude about Tories. It is no surprise, we can take it, we don't | :34:24. | :34:28. | |
need to be rude back. We need a proper debate about what the | :34:28. | :34:33. | |
coalition should be doing. I would be interested to hear from the | :34:33. | :34:36. | |
audience here. What do you think the Lib Dems, leaving aside the | :34:36. | :34:38. | |
possibility of a Labour Government or continued Labour Government, | :34:38. | :34:42. | |
that aside, what has the presence of Liberal Democrats in a coalition | :34:42. | :34:49. | |
Government given you guys? Can anybody think of it? Somebody has | :34:49. | :34:53. | |
shouted not much. Can anybody think of anything positive? One hand gone | :34:53. | :34:57. | |
up there, in the green shirt? they have done what they said. In | :34:57. | :35:01. | |
the national interest hef come together with us, to help - they | :35:01. | :35:06. | |
have come together with us, to form a Government, we have been able to | :35:06. | :35:10. | |
put forward many of our manifesto commitments that we wouldn't have | :35:10. | :35:13. | |
done in a minority Government. I'm pleased about that. Some of the tax | :35:13. | :35:18. | |
policies aren't too bad, taking people earning less than �10,000 | :35:18. | :35:21. | |
out of the tax system completely is very effective, something we should | :35:21. | :35:26. | |
have thought of ourselves. What do you think you could have done if | :35:26. | :35:30. | |
you had an unfettered, free hand, anybody with any suggestions. What | :35:30. | :35:33. | |
about the Human Rights Act, for example? They have stuck you with | :35:33. | :35:43. | |
:35:43. | :35:44. | ||
that? You're all happy about that? Right at the back? I think one | :35:44. | :35:48. | |
issue that troubles me is the renewable agenda coming from the | :35:48. | :35:50. | |
Liberal Democrats is not necessarily economically viable, | :35:50. | :35:54. | |
that was something George Osborne raised today. Our renewable agenda | :35:54. | :35:58. | |
is important, we must get it right, but not to the detriment of | :35:58. | :36:02. | |
economic benefit of the country. We can't go bankrupt because we must | :36:02. | :36:06. | |
have wind turbines, we wouldn't have that if we didn't have | :36:06. | :36:12. | |
liberals in the department. other points? This point that, take | :36:12. | :36:17. | |
the green agenda there, and George Osborne said today that we were | :36:17. | :36:20. | |
promising, David Cameron was promising we would be the most | :36:20. | :36:23. | |
green Government in Europe. George Osborne says this is nuts, we will | :36:23. | :36:26. | |
go at the pace of every other country in Europe, are you days | :36:26. | :36:31. | |
poifrpbted by that as a Liberal Democrat? - disappointed by that as | :36:31. | :36:37. | |
a Liberal Democrat? I am glaed you raised that. I think everybody has | :36:37. | :36:40. | |
to come together to take action. Some of the things the coalition | :36:40. | :36:43. | |
Government has announced that came from Liberal Democrats, for | :36:43. | :36:47. | |
instance the green deal, insulating far more homes, afterall, our homes | :36:48. | :36:52. | |
give off more energy, waste more energy, than in Scandinavia. The | :36:52. | :36:57. | |
temperatures are much lower in Scandinavia. We will create 100,000 | :36:57. | :37:01. | |
jobs to get our homes insulated. Nobody would disagree with that. | :37:01. | :37:06. | |
Very few people would disagree with the world's first, the Green | :37:06. | :37:12. | |
Investment Bank, that will actually have �3 billion to invest in | :37:12. | :37:17. | |
British industries, creating renewable technologies, produce | :37:17. | :37:21. | |
turbines in some ports that are no longer building ships. I suspect | :37:21. | :37:26. | |
very few people disagree with that. That has told you! It is | :37:26. | :37:29. | |
interesting looking at this audience, they don't seem to me to | :37:29. | :37:33. | |
have profound. There are some significant policy differences, but | :37:33. | :37:37. | |
there is not a profound agravation at the presence of a restraining | :37:37. | :37:41. | |
influence on Government, on both sides. The same was true at the | :37:41. | :37:44. | |
Liberal Democrat Conference, they were rather proud of the fact they | :37:44. | :37:48. | |
stopped you guys, as I said, sending children up chimneys? | :37:48. | :37:52. | |
was in our manifesto, wasn't it. every manifesto, I believe! | :37:52. | :37:57. | |
Something has changed in politics, hasn't it, do you get that sense? | :37:57. | :38:01. | |
little bit. Let me be fair Tory the Liberal Democrats than he was | :38:01. | :38:05. | |
initially. One area where they have actually been, I think, quite brave, | :38:05. | :38:09. | |
given their own history, is on the whole question of the cuts agenda. | :38:09. | :38:14. | |
The Chief Secretary last been a Lib Dem. That's quite an interesting | :38:14. | :38:18. | |
position. You're the man in charge of all the cuts, is a Lib Dem. So | :38:18. | :38:23. | |
there has been some interesting things. Also, of course, I had a | :38:23. | :38:26. | |
Conservatives with David Cameron day after the election, before the | :38:26. | :38:31. | |
negotiations started, I said to him, there are two areas where there are | :38:31. | :38:36. | |
clear overlaps, one is the liberty agenda, and one is the green agenda. | :38:36. | :38:41. | |
I don't particularly agree with the green agenda, but there were | :38:41. | :38:45. | |
obvious overlaps. It is less unfom for the table than you might think. | :38:45. | :38:48. | |
But at the end of the day there are lots of things we would rather do | :38:48. | :38:53. | |
in a different way. The tax agenda would be different with a Tory-only | :38:53. | :38:57. | |
Government. The European agenda would be different with a Tory-only | :38:57. | :38:59. | |
Government. Maybe some of the balance of decisions over the cuts | :38:59. | :39:03. | |
agenda would be different. Maybe we would have more emphasis on defence | :39:03. | :39:07. | |
and so on than we had before. There is a whole set of areas where there | :39:07. | :39:12. | |
are differences, none of them are deal-breakers. Not one of them is a | :39:12. | :39:15. | |
deal-breaker. During his speech, the Chancellor | :39:15. | :39:23. | |
talked about something called FRAPH fen, it is a brilliant discover - | :39:23. | :39:29. | |
graphene, it is a brilliant thing, it conducts electricity brilliantly. | :39:29. | :39:35. | |
It was discovered by a couple of scientists in Manchester using | :39:35. | :39:40. | |
sticky tape, and they won a Nobel Peace Prize. The Chancellor said | :39:40. | :39:45. | |
whatever we turn it into, it is a British project. To get a feel for | :39:45. | :39:50. | |
what graphene could mean, think Stone Age, Iron Age, silicone age. | :39:50. | :39:56. | |
Scientists think the next stage could be the graphene age, it is | :39:56. | :40:01. | |
that remarkable. Its elagance is in its simplicity, graphite, just like | :40:01. | :40:07. | |
the middle of a pencil, but shaved into layers a single at tomorrow | :40:07. | :40:12. | |
thick, with at tomorrows arranged in Hexagons, once in inch-thick | :40:12. | :40:16. | |
sheets it takes on exciting properties, hence the tag of | :40:16. | :40:20. | |
miracle material. It is uniquely strong and conductive. It might be | :40:20. | :40:24. | |
tweakable to produce a vast range of products, a bit like plastic, or | :40:24. | :40:30. | |
even added to plastic to create new kinds of touch screen technologies, | :40:30. | :40:33. | |
that avoid scarce rare earth elements. The real excitement is | :40:33. | :40:39. | |
the potential to bring us truly fast computing, faster, cheaper, | :40:39. | :40:43. | |
smaller electronic devices, that are also thinner and flexible. | :40:43. | :40:47. | |
Roll-up wearable computers and smartphones, perhaps rb. So much | :40:47. | :40:52. | |
buzz in a field less than ten years old is rare. Some scientists warn | :40:52. | :40:56. | |
this is all just so much potential so far, with products at least five | :40:56. | :41:02. | |
years away. They don't want to promise more than they can deliver. | :41:02. | :41:07. | |
Here it is, the substance that will save the national economy, behold, | :41:07. | :41:11. | |
a single crystal of graphene, surrounded by various bits of | :41:11. | :41:17. | |
graphite. This single crystal is as big as it gets, it is worth about | :41:17. | :41:21. | |
�10,000. We are only borrowing from the nice people at graphene | :41:21. | :41:24. | |
industries. There is some challenges to scale it up into | :41:24. | :41:28. | |
aircraft wings and the like. Two people who know very little indeed | :41:28. | :41:36. | |
about graphene, but are interested in the politicians who marvel at it, | :41:36. | :41:40. | |
are Kevin McGuire and Fraser Nelson. Were you impressed by George | :41:40. | :41:44. | |
Osborne's speech? He didn't have a lot to say and no plan. I have | :41:44. | :41:48. | |
never been to North Korea, I have an idea what it is like. The | :41:48. | :41:53. | |
enforced loyalty there. I think it is voluntary loyalty? Oh yeah. I | :41:53. | :41:56. | |
think in this bubble there is a smugness. We have had more people | :41:56. | :42:01. | |
outside protesting than we have had actually people in this conference. | :42:01. | :42:11. | |
I don't think that is true, is it? There is 30-odd,000 people - | :42:11. | :42:15. | |
30,000-odd people protesting and then you have this here. I thought | :42:15. | :42:20. | |
that would stir them up? Not effectively. Were you impressed | :42:20. | :42:26. | |
by it, it strikes me as being a dull thing? He normally likes | :42:26. | :42:31. | |
pyrotechniques, he's saving these ones for November, I'm sure it will | :42:31. | :42:36. | |
be a dazzling display. Delivery was pretty good, he baffled everybody | :42:36. | :42:42. | |
with his strange credit easing plan that he has got. But there is some | :42:42. | :42:51. | |
uplands at the end of it, a little zipididoda. It was not one that you | :42:51. | :42:55. | |
will remember. People will wake up tomorrow and think, Amanda Knox is | :42:55. | :42:59. | |
free. What about the credit easing, what is that all about? Basically a | :42:59. | :43:02. | |
rather, Government likes to print money. This is a way of doing it. | :43:02. | :43:07. | |
So you can go to small businesses and in a way where they can borrow | :43:07. | :43:12. | |
where they can't from banks A year ago he and David Cameron said | :43:12. | :43:17. | |
Britain was out of the danger zone. It was their equivalent of no more | :43:17. | :43:20. | |
boom and bust. It is clearly not happening, the economy has slipped | :43:20. | :43:27. | |
back, 0.% of growth in the last 10 months, he's blaming the eurozone. | :43:27. | :43:31. | |
I remember Gordon Brown blaiming the Americans, and they would sneer | :43:31. | :43:37. | |
and say it is not the case. Now he's using the same trick, blaming | :43:37. | :43:42. | |
people abroad rather than taking the responsibility himself. Did you | :43:42. | :43:45. | |
detect any qualitative difference between credit easing and some of | :43:45. | :43:51. | |
the wheezes Gordon Brown used to get up to? Those wheezes he used to | :43:51. | :43:57. | |
call desperate, now he's adopting them himself. We have state | :43:57. | :44:01. | |
controlled banks, get them lending, don't get something on the back of | :44:02. | :44:06. | |
it that nobody understands and won't help small businesses. After | :44:06. | :44:09. | |
listening to Philip Hammond I'm not sure about that. Fraser Nelson, did | :44:09. | :44:16. | |
you feel it was a Tory policy? Credit easing? Yes. It is something | :44:16. | :44:19. | |
Gordon Brown could have come up with, because it involves concealed | :44:19. | :44:25. | |
debt. You do think if Gordon Brown was watching, he would be thinking, | :44:25. | :44:29. | |
why didn't he come up with that. I can't say I'm wild about it. If you | :44:29. | :44:32. | |
think banks are bad at lending money, you wait until Government | :44:32. | :44:37. | |
does it. I have a feeling this will not be the great silver bullet. | :44:37. | :44:43. | |
What about the party as a whole, from what we see here? Huge morale. | :44:43. | :44:51. | |
They are pretty happy. I would say. I don't know quit - quite what you | :44:52. | :44:56. | |
expected. Look at that, they are whistling while they work. These | :44:56. | :45:00. | |
were the guys who fought for the Conservative manifesto and seeing | :45:00. | :45:03. | |
pretty much all of it delivered by a coalition Government. Looked a | :45:03. | :45:13. | |
ral kal school reform and welfare reform. - radical school reform and | :45:13. | :45:18. | |
health reform. They pay to come here. Not here, it was free. Look | :45:18. | :45:22. | |
at that, Conservative, it doesn't mention t they have eradicated the | :45:22. | :45:25. | |
party. You go round on the fringe and you will find a lot of | :45:25. | :45:29. | |
complaints, you mentioned them, the Human Rights Act, about Europe. | :45:29. | :45:34. | |
Both of which Nick Clegg has David Cameron in a headlock and won't let | :45:34. | :45:36. | |
him go. There you hear complaints about why aren't we getting tax | :45:36. | :45:40. | |
cuts now to get the economy going. They don't want increased | :45:40. | :45:46. | |
investment in public service bes, they want - public services, they | :45:46. | :45:54. | |
want tax cuts and they want them no now. Grieve grove grieve is against | :45:54. | :45:57. | |
abortion and Human Rights Act, the Conservatives were having these | :45:57. | :46:02. | |
arguments before coalition. They have rediscovered the trick of | :46:02. | :46:06. | |
loyalty. Loyalty was the party's secret weapon? It has come back. | :46:06. | :46:12. | |
There isn't that much to get really angry about. Hang on. Fraser, look | :46:12. | :46:16. | |
at what's happening to the economy, look at what's happening to | :46:16. | :46:20. | |
unemployment, public services, look what's happening to living | :46:20. | :46:24. | |
standards. Before you start blaming it on Labour's structural deficit, | :46:24. | :46:27. | |
remember that David Cameron and George Osborne were committed to | :46:27. | :46:31. | |
Labour's spending up to 2010. It was only the global financial | :46:31. | :46:35. | |
collapse that sent that haywire. will continue this argument | :46:35. | :46:42. | |
tomorrow, I think. Thank you very tonight. We will have an audience | :46:42. | :46:46. | |
of Tory women to see if the party can recover its support from that | :46:46. | :46:50. | |
part of the country at large, and I will be speaking to Boris Johnson. | :46:50. | :46:57. | |
will be speaking to Boris Johnson. Until then, goodnight. | :46:57. | :47:01. | |
Hello, the weather is on the change. Through the rest of this week it | :47:01. | :47:05. | |
will feel much more like autumn should feel. We start the day with | :47:05. | :47:09. | |
dry weather but a lot of cloud. Limited brightness, the best across | :47:09. | :47:13. | |
the more eastern parts of the UK. Temperatures will be as much as 10 | :47:13. | :47:15. | |
degrees lower than they have been. You notice the difference out there. | :47:15. | :47:22. | |
A reasonable sort of day, it has to be said A small chance of a shower, | :47:22. | :47:26. | |
generally dry, breezy, rather cloudy, but brightness from time to | :47:26. | :47:31. | |
time. Across the more western parts of England and Wales cloud, thicker | :47:31. | :47:35. | |
here, dampness for parts of Cornwall and western parts of Wales. | :47:35. | :47:39. | |
To the east of the hills a better chance it will stay essentially dry. | :47:39. | :47:43. | |
For Northern Ireland a fairly cloudy scene, but again, mostly dry. | :47:43. | :47:47. | |
Some showers across the northern coastal areas and some more | :47:47. | :47:51. | |
meaningful showers peppering western Scotland on a stiff breeze. | :47:51. | :47:55. | |
Further east we will see brighter spells. For the next few days it is | :47:55. | :47:58. | |
topsy turvy, that's for sure, wet and windy weather in northern | :47:58. | :48:02. | |
western areas on Wednesday. Strong winds and potentially heavy rain. | :48:02. | :48:06. | |
Further south, essentially we will see outbreaks of rain. The first | :48:06. | :48:09. | |
significant rain many places have seen for quite a while. On | :48:09. | :48:15. | |
Wednesday it is a story of rain initially across the north and west, | :48:15. | :48:18. |