Britain and Europe: For Richer or Poorer?

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0:00:02 > 0:00:05In three weeks, we all have to make a massive decision.

0:00:05 > 0:00:07Let's get out. Let's get out.

0:00:07 > 0:00:09Let's stop these faceless bureaucrats

0:00:09 > 0:00:10from telling us what to do.

0:00:10 > 0:00:13I say stay with what we've got, we're doing all right.

0:00:13 > 0:00:16Let's get on with it.

0:00:16 > 0:00:18But our choice about the European Union

0:00:18 > 0:00:20could be an economic gamble.

0:00:20 > 0:00:23I'm going to do each way on Sacred Trust.

0:00:23 > 0:00:25You're being asked to choose

0:00:25 > 0:00:28between a hypothetical universe outside the European Union,

0:00:28 > 0:00:33or staying in something that is already changing.

0:00:33 > 0:00:37The big names want to get you on their side.

0:00:37 > 0:00:38We are a great country.

0:00:38 > 0:00:42We can flourish if we stand on our own two feet.

0:00:42 > 0:00:45It will be the ordinary working people of this country

0:00:45 > 0:00:47who see their jobs threatened,

0:00:47 > 0:00:49who see the value of their family home go down,

0:00:49 > 0:00:51who see their wages hit.

0:00:53 > 0:00:57What should we make of all the warnings of trouble if we leave?

0:00:57 > 0:01:01I would be concerned about the immediate market consequences.

0:01:01 > 0:01:07Frankly, I would be concerned about the outcome for the British people.

0:01:07 > 0:01:10Businesses freeze up, confidence drains,

0:01:10 > 0:01:15uncertainty clouds over, and an economic shock shakes our nation.

0:01:15 > 0:01:18It's not going to happen. They're just talking bollocks.

0:01:20 > 0:01:23Could breaking away set Britain free?

0:01:25 > 0:01:27I'm really, really excited.

0:01:27 > 0:01:29You know, we're the fifth-biggest trading nation.

0:01:29 > 0:01:33Why can't we do this on our own?

0:01:35 > 0:01:38Let's say knickers to the pessimists!

0:01:38 > 0:01:42So if we leave, would we be richer or poorer?

0:02:04 > 0:02:07'The headlines this morning. Britain has voted for Brexit.

0:02:07 > 0:02:10'We're now going to go live to Downing Street

0:02:10 > 0:02:13'to hear from the Prime Minister, David Cameron.'

0:02:15 > 0:02:17- CAMERON:- 'Good morning.

0:02:17 > 0:02:20'The people have spoken, and it is a clear result.

0:02:24 > 0:02:27'Now the debate has been settled for a generation.

0:02:27 > 0:02:29'Perhaps for a lifetime.

0:02:32 > 0:02:36'It means pressure on the pound, it means jobs being lost.

0:02:36 > 0:02:40'It means mortgage rates might rise, it means businesses closing.

0:02:40 > 0:02:43'It means hard-working people losing their livelihood.'

0:02:53 > 0:02:57But, hang on, would it really be doom and disaster

0:02:57 > 0:02:58if we leave the EU?

0:03:01 > 0:03:03# Good morning

0:03:03 > 0:03:05# Good morning

0:03:05 > 0:03:07# We've talked the whole night through

0:03:07 > 0:03:08# Good morning

0:03:08 > 0:03:10# Good morning to you... #

0:03:10 > 0:03:11Morning.

0:03:11 > 0:03:14Or could it be a bright new dawn?

0:03:14 > 0:03:16# ..It's great to stay up late

0:03:16 > 0:03:17# Good morning

0:03:17 > 0:03:19# Good morning to you... #

0:03:19 > 0:03:21- BORIS JOHNSON:- 'Thanks to the referendum,

0:03:21 > 0:03:25'we find that a door has magically opened in our lives.

0:03:25 > 0:03:28'We can see the sunlit meadows beyond.'

0:03:28 > 0:03:30# ..Sunbeams will soon smile through

0:03:30 > 0:03:31# Good morning

0:03:31 > 0:03:33# Good morning to you

0:03:33 > 0:03:34# And you and you and you... #

0:03:34 > 0:03:37Of course, life is rarely that black and white.

0:03:37 > 0:03:43It's impossible to be as sure about all of this as the two sides claim.

0:03:43 > 0:03:48In reality, leaving the EU probably wouldn't be paradise or a disaster.

0:03:48 > 0:03:51But what we do know is that money talks.

0:03:51 > 0:03:54How we all make our living really matters

0:03:54 > 0:03:56when it comes to this decision.

0:04:05 > 0:04:08Politicians will do anything right now to grab your attention.

0:04:08 > 0:04:10Well, it's David Cameron calling.

0:04:10 > 0:04:13I'm calling from the Stronger In Campaign.

0:04:13 > 0:04:17And they're making big, bold claims about your cash.

0:04:18 > 0:04:23Leaving the EU is a one-way ticket to a poorer Britain.

0:04:23 > 0:04:27Great British companies like this could in fact do even better

0:04:27 > 0:04:32if we took back control of our economy and our democracy...

0:04:32 > 0:04:35There's been a barrage of so-called facts and figures,

0:04:35 > 0:04:37but can you believe them all?

0:04:37 > 0:04:40You know what they say about statistics!

0:04:42 > 0:04:45- Vote Leave.- Vote Leave. - Vote Leave.- Vote Leave.

0:04:46 > 0:04:49The Out Campaign keep pushing one figure

0:04:49 > 0:04:52that's been impossible to ignore.

0:04:52 > 0:04:55They've made it in steel...

0:04:57 > 0:04:59..put it on the side of their bus...

0:05:02 > 0:05:04..and even pretended to burn it.

0:05:08 > 0:05:13We can take back control of £350 million a week.

0:05:13 > 0:05:17But £350 million isn't quite the full story

0:05:17 > 0:05:19about what we send to Brussels.

0:05:19 > 0:05:22Some of the money never makes it in the first place

0:05:22 > 0:05:24because of what's called the rebate,

0:05:24 > 0:05:29and much of the rest of it is spent in the UK anyway.

0:05:29 > 0:05:34You're claiming that £350 million goes to Brussels every week

0:05:34 > 0:05:35and if we vote to leave,

0:05:35 > 0:05:38somehow we will be able to control all of that money.

0:05:38 > 0:05:40Now you know, saying again and again,

0:05:40 > 0:05:42"We just send £350 million to Brussels a week,"

0:05:42 > 0:05:44is not telling people the full story,

0:05:44 > 0:05:47- because much of that money comes back.- Well, I agree. I know.

0:05:47 > 0:05:51But I go into a long account of what I think the full story is.

0:05:51 > 0:05:54Actually, it's about 365 million all in,

0:05:54 > 0:05:58if you look at the recent ONS figures, I think.

0:05:58 > 0:06:02What that comprises is, as you know and I know, is the abatement

0:06:02 > 0:06:05and of course the money we get back in investment.

0:06:05 > 0:06:08So you've just admitted, Boris Johnson,

0:06:08 > 0:06:10that much of that money comes back,

0:06:10 > 0:06:12yet every day you're driving around the country with a bus

0:06:12 > 0:06:15that says on the side, posters all over the land saying,

0:06:15 > 0:06:17- "We send £350 million a week." - Yes, but, Laura... We do.

0:06:17 > 0:06:20You are asking people to make a momentous decision.

0:06:20 > 0:06:24Don't you owe it to them to be completely clear about the facts?

0:06:24 > 0:06:25Completely clear.

0:06:25 > 0:06:29Yes. I genuinely have been many, many times on this very point.

0:06:29 > 0:06:32The reason, I think, that it is legitimate

0:06:32 > 0:06:35to use the £350 million figure

0:06:35 > 0:06:39is because that is the sum that we do send to Brussels

0:06:39 > 0:06:42and over which we have no control, because after all,

0:06:42 > 0:06:47what happens is about half of that disappears, never to be seen again.

0:06:47 > 0:06:49Some of it goes to Greek tobacco farmers,

0:06:49 > 0:06:52some of it goes to support Spanish bullfighting or heaven knows what.

0:06:52 > 0:06:55We don't know what happens to it.

0:06:55 > 0:06:59The actual amount we send to Europe is somewhere between £250 million

0:06:59 > 0:07:03and £275 million a week, because we get a rebate back.

0:07:03 > 0:07:06Then, on top of that, we get additional money back to pay

0:07:06 > 0:07:09to farmers, to pay to poorer regions,

0:07:09 > 0:07:13so our net contribution after all of that is about £150 million a week.

0:07:17 > 0:07:18Good morning.

0:07:18 > 0:07:21But on the other side, the Remainers haven't shied away

0:07:21 > 0:07:25from using figures that could do with some explaining too.

0:07:25 > 0:07:30Britain would be poorer by £4,300 per household.

0:07:30 > 0:07:33This could cost families £4,300.

0:07:33 > 0:07:37That is £4,300 worse off every year.

0:07:37 > 0:07:42A bill paid year after year by the working people of Britain.

0:07:42 > 0:07:45You should know that statistic is a forecast.

0:07:45 > 0:07:49It's an educated guess for 15 years from now.

0:07:49 > 0:07:54That's quite a big number. Two things are important to be aware of.

0:07:54 > 0:07:58First, that's not £4,000 a year worse off than you are today,

0:07:58 > 0:08:01it's £4,000 worse off than you would be in the future.

0:08:01 > 0:08:05Secondly, there's significant uncertainty around it.

0:08:05 > 0:08:09When it comes to statistics, like the £4,300 number,

0:08:09 > 0:08:14can we just be clear - that is an educated guess. That is not a fact.

0:08:14 > 0:08:17So when you and the Prime Minister stand in front of banners, posters,

0:08:17 > 0:08:22that use that figure, that's a guess, not a cast-iron fact.

0:08:22 > 0:08:26If you take the £4,300 number, that's how much

0:08:26 > 0:08:30the country would be poorer per household if we left the EU.

0:08:30 > 0:08:34- That's a central estimate.- It's an estimate, that's exactly the point.

0:08:34 > 0:08:35It's a guess.

0:08:35 > 0:08:39No, it's based on solid economic research,

0:08:39 > 0:08:42it's backed up by what the IMF is telling us,

0:08:42 > 0:08:46the Institute of Fiscal Studies, you know, these are organisations

0:08:46 > 0:08:49that aren't in the control of the British Government.

0:08:49 > 0:08:52You're not really treating voters with that much respect, are you?

0:08:52 > 0:08:54These are educated guesses, but they are guesses.

0:08:54 > 0:08:57Well, I think the British people want as much information as possible

0:08:57 > 0:08:59before they make this huge decision.

0:08:59 > 0:09:02It's probably the biggest decision any of us will be asked to take

0:09:02 > 0:09:05as citizens of the United Kingdom in our lifetimes.

0:09:05 > 0:09:08They need to know that the Treasury forecasts show

0:09:08 > 0:09:09the country will be worse off,

0:09:09 > 0:09:11that almost everyone else's forecasts show

0:09:11 > 0:09:13the country will be worse off.

0:09:13 > 0:09:15The individual businesses have told us that they

0:09:15 > 0:09:19will either not take on new people or cancel investments

0:09:19 > 0:09:22if we leave the EU. Those are all facts.

0:09:27 > 0:09:29So be careful.

0:09:29 > 0:09:32Inevitably, the politicians are using the statistics

0:09:32 > 0:09:34that suit their side,

0:09:34 > 0:09:38but what about those who really know about the bottom line -

0:09:38 > 0:09:42the men and women who run the businesses that make up our economy

0:09:42 > 0:09:44and provide our jobs?

0:09:46 > 0:09:50Tucked away in Somerset is Wyke Farms dairy.

0:09:50 > 0:09:54The family have been making cheese here for 150 years.

0:09:54 > 0:09:57We're still using my grandmother's farmhouse Cheddar recipe.

0:09:57 > 0:10:01Cheese-making and farming is in the family's blood.

0:10:01 > 0:10:04- Smells nice.- Smells good.

0:10:04 > 0:10:05Smashing.

0:10:08 > 0:10:12But guess where this most tasty, most British product

0:10:12 > 0:10:14has found new fans?

0:10:15 > 0:10:17Europe is a very big customer for us.

0:10:17 > 0:10:21The French really like strong, mature Cheddars.

0:10:21 > 0:10:24They quite like to get sort of intimate with their food,

0:10:24 > 0:10:27so they like to try it on the delis and smell it and taste it.

0:10:27 > 0:10:29Then, if they like it,

0:10:29 > 0:10:31they'll buy it and they'll cook with it or they'll serve

0:10:31 > 0:10:35it on a cheeseboard, so it's really growing in popularity,

0:10:35 > 0:10:37English cheese in France.

0:10:40 > 0:10:43Beating the French at their own game

0:10:43 > 0:10:46has helped Richard to hire more staff.

0:10:49 > 0:10:53They've all got something to say about the European Union.

0:10:54 > 0:10:58I've been living with the EU all my life. I've had a good life.

0:10:58 > 0:11:02I don't see why we should break the status quo.

0:11:02 > 0:11:05My children, if they can carry on the same way as we have,

0:11:05 > 0:11:08then it's great. A lot of good things come out of the EU,

0:11:08 > 0:11:11so, yeah, I'd certainly vote to stay in.

0:11:11 > 0:11:15Possibly the power that we've got at the moment is being taken away,

0:11:15 > 0:11:18gradually being eroded over the years.

0:11:18 > 0:11:23I think, you know, going independent wouldn't necessarily be a bad thing.

0:11:23 > 0:11:28We know where we are. I think we're dealing with a known.

0:11:28 > 0:11:31If it's not broke, don't fix it. I don't think it's broken.

0:11:31 > 0:11:34It can perform better - by far it can perform better.

0:11:34 > 0:11:38I think we'll be better off, more stability for the future.

0:11:40 > 0:11:43We employ about 250 people in the region.

0:11:43 > 0:11:46Obviously, for me, the most important thing

0:11:46 > 0:11:48is keeping people's jobs safe

0:11:48 > 0:11:52and, you know, looking after the farmers in the region.

0:11:53 > 0:11:59And he puts much of their success down to being in the EU.

0:11:59 > 0:12:01The Single Market works for us

0:12:01 > 0:12:03and it is absolutely critical

0:12:03 > 0:12:08in terms of exporting products to multiple countries within the EU.

0:12:10 > 0:12:13The Single Market means Richard's cheese can go from Somerset

0:12:13 > 0:12:18to France's croque monsieurs virtually uninterrupted.

0:12:18 > 0:12:23Nearly half of all of Britain's exports go to the EU

0:12:23 > 0:12:27and don't meet any extra taxes or tariffs.

0:12:27 > 0:12:31When it works, it makes it easier for British companies

0:12:31 > 0:12:33to trade and create jobs.

0:12:36 > 0:12:39That was precisely the dream -

0:12:39 > 0:12:43a vast area where Europeans could trade freely.

0:12:43 > 0:12:46- REPORTER:- With communication between countries half a world apart

0:12:46 > 0:12:48nowadays no more than a matter of hours...

0:12:48 > 0:12:52Most experts believe it's helped, not hindered.

0:12:52 > 0:12:56The country is more prosperous since we joined the Common Market in 1973.

0:12:56 > 0:12:58No less than 80% of British industry

0:12:58 > 0:13:01believes the European free-trade area

0:13:01 > 0:13:04will bring home the bacon of increased prosperity.

0:13:04 > 0:13:09So what would happen if we left the EU and the Single Market?

0:13:09 > 0:13:11I believe that if we leave Europe,

0:13:11 > 0:13:14it'll be really bad for this business,

0:13:14 > 0:13:18and for me, to leave would present an unacceptable level of risk

0:13:18 > 0:13:21to those jobs, and businesses like ours,

0:13:21 > 0:13:25that are working in Europe and trying to grow within Europe.

0:13:35 > 0:13:38But in Kent, here's a very different kind of business.

0:13:41 > 0:13:44Russ Pullen runs the British Hovercraft Company...

0:13:47 > 0:13:50So, Christian, that can be in for trim on Monday.

0:13:50 > 0:13:53..working with his wife Emma.

0:13:53 > 0:13:55Are we going to have to change the mould with this?

0:13:55 > 0:13:58That'll need to have a bigger base plate at the bottom, isn't it?

0:14:00 > 0:14:05They've been in business for 20 years and employ 15 people...

0:14:07 > 0:14:10..and don't forget the dog, Pebbles.

0:14:10 > 0:14:12But they fall foul of a European directive,

0:14:12 > 0:14:16a rule that makes it hard to sell their hovercrafts

0:14:16 > 0:14:18in the European Union.

0:14:18 > 0:14:21There is nothing we can do to change the EU directives, unfortunately,

0:14:21 > 0:14:24so we constantly feel like we're bashing our heads against a brick wall.

0:14:24 > 0:14:27We've been told, "Give up, don't worry, do something else."

0:14:27 > 0:14:30For as long as we're in the Single Market,

0:14:30 > 0:14:33it's down to the EU to work out how we do business

0:14:33 > 0:14:35with the rest of the world.

0:14:35 > 0:14:37Exporting to growing countries

0:14:37 > 0:14:38is a massive problem for us.

0:14:38 > 0:14:41For instance, Brazil - we had a guy come over,

0:14:41 > 0:14:43a businessman from Brazil, wanting to buy

0:14:43 > 0:14:45a large number of hovercraft from us.

0:14:45 > 0:14:47Unfortunately, didn't go ahead with the deal

0:14:47 > 0:14:49because the duty rate was so high,

0:14:49 > 0:14:52so we lost a £50,000 deal with this guy,

0:14:52 > 0:14:54who wanted to buy five craft from us,

0:14:54 > 0:14:56because he would have had to pay an additional £50,000

0:14:56 > 0:14:58to take it into his country,

0:14:58 > 0:15:00because there hasn't been a trade deal agreed

0:15:00 > 0:15:02between the EU and Brazil yet.

0:15:02 > 0:15:05That's one of five countries I can think of off the top of my head

0:15:05 > 0:15:07that I've had inquiries from that I can't deal with.

0:15:07 > 0:15:10We're the fifth-biggest trading nation.

0:15:10 > 0:15:14Why can't we do this on our own?

0:15:14 > 0:15:17I don't understand - we've been brilliant for so many years

0:15:17 > 0:15:20and we had an exporting empire that spanned the globe.

0:15:20 > 0:15:22I want to be able to sell to Australia easier,

0:15:22 > 0:15:24I want to be able to sell to America easier,

0:15:24 > 0:15:27I want to be able to sell to these countries that I can do,

0:15:27 > 0:15:30and what we produce here is hand built, British made,

0:15:30 > 0:15:33and people really respect the British quality.

0:15:33 > 0:15:35Pebbles! Heel!

0:15:35 > 0:15:39Most of the workers here are right behind the boss.

0:15:39 > 0:15:41Let's get out. Let's get out.

0:15:41 > 0:15:42Let's stop these faceless bureaucrats

0:15:42 > 0:15:44from telling us what to do.

0:15:44 > 0:15:47Let's make our own laws and get on with life and be happy with it.

0:15:47 > 0:15:49We never voted for anybody,

0:15:49 > 0:15:52so let's stick with the people we vote for to make our laws

0:15:52 > 0:15:54and have done with it.

0:15:54 > 0:15:57It all seems to be about how it's good for big business

0:15:57 > 0:15:59and not the individual, so how does it affect me?

0:15:59 > 0:16:01That's what I want to know.

0:16:01 > 0:16:05We've got to take control. We've got to take our country back.

0:16:05 > 0:16:07I'm so proud of my country. I genuinely am.

0:16:07 > 0:16:09I get really emotional about this

0:16:09 > 0:16:14because I don't want to see us as just a puppet state of the EU,

0:16:14 > 0:16:16and that's what we're becoming.

0:16:16 > 0:16:19So, two businesses, two very different views

0:16:19 > 0:16:23of how the EU does - or doesn't - work.

0:16:23 > 0:16:26It's a tiny taste of the big arguments.

0:16:31 > 0:16:34It's the biggest decision for a generation.

0:16:34 > 0:16:37Does the EU help our economy...

0:16:39 > 0:16:40..or not?

0:16:42 > 0:16:45Our economy would take a hit if we leave.

0:16:45 > 0:16:47If the economy takes a hit, tax revenues take a hit,

0:16:47 > 0:16:49and if tax revenues take a hit,

0:16:49 > 0:16:53you've got less money to spend on the things that we need.

0:16:56 > 0:16:57For Britain, voting to leave

0:16:57 > 0:17:01will be a galvanising, liberating, empowering moment

0:17:01 > 0:17:02of patriotic renewal.

0:17:06 > 0:17:10The Single Market brings extraordinary economic benefits

0:17:10 > 0:17:11to the United Kingdom.

0:17:11 > 0:17:14Let's say knickers to the pessimists...

0:17:26 > 0:17:31This is about who we want to be, not just how we pay our way.

0:17:31 > 0:17:35Sometimes, it's like the grey suits of the Establishment

0:17:35 > 0:17:37are warning us we'd go broke if we leave,

0:17:37 > 0:17:40and on the other side, rebels with a cause

0:17:40 > 0:17:43just promise it would all be fine.

0:17:43 > 0:17:47At the heart of this battle is a big question -

0:17:47 > 0:17:52how would we trade with the rest of the EU if we leave?

0:17:52 > 0:17:55And no-one's more worried about that

0:17:55 > 0:17:58than what is, once more, one of our biggest industries.

0:18:03 > 0:18:07Once upon a time, British cars were loved all over the world.

0:18:08 > 0:18:11The Mini. Cheap on petrol - boop-boop!

0:18:11 > 0:18:13British made - boop-boop-boop!

0:18:16 > 0:18:19Yet by the '70s, it was a disaster -

0:18:19 > 0:18:21strikes, bailouts,

0:18:21 > 0:18:25and some motors, frankly, best forgotten.

0:18:32 > 0:18:35But people who support our membership of the EU

0:18:35 > 0:18:39say it's been a big part of bringing this trade back to life.

0:18:41 > 0:18:43I worked in the UK car industry.

0:18:43 > 0:18:46I saw its decline, and I've been part -

0:18:46 > 0:18:50a small part, admittedly - of its continuing success.

0:18:50 > 0:18:53I want to see that continue.

0:18:53 > 0:18:57Ian Robertson is the Brit who sits on the board of BMW,

0:18:57 > 0:19:01one of the foreign giants behind a revival that sees the industry

0:19:01 > 0:19:07produce 1.5 million cars a year and employs 800,000 people.

0:19:07 > 0:19:10He fears if we're not part of the EU,

0:19:10 > 0:19:14trade barriers and costs could pile up.

0:19:14 > 0:19:18In the situation where the UK was not in the EU,

0:19:18 > 0:19:19then there could -

0:19:19 > 0:19:22and I stress "could", because this is all hypothetical -

0:19:22 > 0:19:25there could be tariffs put in place which would make

0:19:25 > 0:19:27competitiveness more difficult.

0:19:27 > 0:19:30And as a result, you know, in our operations here,

0:19:30 > 0:19:34we'd have to work very, very hard to try and avoid the risk

0:19:34 > 0:19:36of having more cost that, ultimately,

0:19:36 > 0:19:38gets passed on to a consumer.

0:19:38 > 0:19:40So cars could become more expensive,

0:19:40 > 0:19:44because you might have to pay more to do business.

0:19:44 > 0:19:46That could be one of the outcomes and, of course,

0:19:46 > 0:19:49in our business, it's a very competitive industry.

0:19:49 > 0:19:52Isn't the reality businesses on mainland Europe

0:19:52 > 0:19:55would be banging down the doors of European politicians,

0:19:55 > 0:19:57saying, "We want to sell to the UK"?

0:19:57 > 0:19:59They don't want to lose their markets here, either.

0:19:59 > 0:20:01I think you make a valid point,

0:20:01 > 0:20:04but it would take 28 member states to agree

0:20:04 > 0:20:07and, even in the most optimistic scenario,

0:20:07 > 0:20:09that would take several years.

0:20:16 > 0:20:18MARKET TRADERS CALL

0:20:18 > 0:20:21Talking about tariffs and trade barriers

0:20:21 > 0:20:23might sound a bit academic,

0:20:23 > 0:20:27but it really does make a difference to the pound in your pocket.

0:20:30 > 0:20:33Do you think, if we leave the EU, would we be better off or worse off?

0:20:33 > 0:20:35What's your opinion?

0:20:35 > 0:20:37- That is the million-dollar question, isn't it?- It is.

0:20:37 > 0:20:39Yeah, might be poorer, to begin with,

0:20:39 > 0:20:41but I think it'll work out in the long run.

0:20:41 > 0:20:44We were doing all right before we joined the EU.

0:20:44 > 0:20:49If leaving the EU made it harder to sell British goods

0:20:49 > 0:20:53to the rest of Europe, we all might pay a price.

0:20:53 > 0:20:55All sorts of people are saying,

0:20:55 > 0:20:57"There could be significant trade barriers."

0:20:57 > 0:20:59Now, can you be straight with people

0:20:59 > 0:21:02and say, despite your faith in Britain's ability to trade,

0:21:02 > 0:21:05you can't guarantee any of it, can you?

0:21:05 > 0:21:10Well, of course, no-one can prophesy or guarantee the future

0:21:10 > 0:21:13and I think it's got to be vanishingly unlikely

0:21:13 > 0:21:15that the EU would want to discriminate

0:21:15 > 0:21:18against British products and services,

0:21:18 > 0:21:21given the massive balance in their favour

0:21:21 > 0:21:25at the moment, in trade - probably about £80 billion.

0:21:25 > 0:21:28Why would they do it? It doesn't make any sense.

0:21:28 > 0:21:32Well, I don't understand why any European country

0:21:32 > 0:21:36would give to Britain a better deal than they give to themselves.

0:21:36 > 0:21:41Why would they allow Britain to trade freely with Europe,

0:21:41 > 0:21:44and all the jobs that that brings, if, at the same time,

0:21:44 > 0:21:47we're not paying into the European Union budget

0:21:47 > 0:21:49and accepting the free movement of people?

0:21:49 > 0:21:51They couldn't possibly do that. That defies logic,

0:21:51 > 0:21:54and you've heard very clearly from all these governments

0:21:54 > 0:21:56that that wouldn't be the case.

0:21:56 > 0:21:59So you can't have the benefits of being in the EU

0:21:59 > 0:22:01without any of the costs,

0:22:01 > 0:22:03and I think that's an unreal argument,

0:22:03 > 0:22:04from the other side.

0:22:06 > 0:22:08We're all just trying to figure it out.

0:22:10 > 0:22:13I say stay with what we've got, we're doing all right,

0:22:13 > 0:22:15and let's get on with it.

0:22:15 > 0:22:19They'll still want to shop with us. They'll still want to buy off us.

0:22:19 > 0:22:21We'll still want to buy off them.

0:22:21 > 0:22:24They need our money, we need their money,

0:22:24 > 0:22:26so it'll still be the same.

0:22:26 > 0:22:28I've not made up my mind.

0:22:28 > 0:22:31I'm still asking for divine inspiration.

0:22:34 > 0:22:38The Remain camp might not have been able to call on God -

0:22:38 > 0:22:39at least, not yet -

0:22:39 > 0:22:44but they have had support from some friends in pretty high places.

0:22:49 > 0:22:51A casual visit from the American President...

0:22:51 > 0:22:57If one of our best friends is in an organisation

0:22:57 > 0:23:00that enhances their influence and enhances their power

0:23:00 > 0:23:04and enhances their economy, then I want them to stay in it.

0:23:04 > 0:23:08..serious tones from the Governor of the Bank of England...

0:23:08 > 0:23:11The recent behaviour of the foreign exchange market suggests that,

0:23:11 > 0:23:13were the UK to vote to leave the EU,

0:23:13 > 0:23:17sterling's exchange rate would fall further, perhaps sharply.

0:23:17 > 0:23:19..and then Christine Lagarde,

0:23:19 > 0:23:23the head of the International Monetary Fund.

0:23:23 > 0:23:26If Britain chooses to leave the EU,

0:23:26 > 0:23:29what do you think the consequences would be for the economy?

0:23:29 > 0:23:34Well, if you assume that growth is most likely going to be down,

0:23:34 > 0:23:38it means less jobs, less income,

0:23:38 > 0:23:39higher prices.

0:23:39 > 0:23:43That's the sort of immediate consequences that people

0:23:43 > 0:23:46will perceive in the rather short term.

0:23:48 > 0:23:52So that's why we're saying that it's going to be negative.

0:23:52 > 0:23:54Now, how long it will be negative

0:23:54 > 0:23:57will be a factor of the negotiations.

0:23:58 > 0:24:01The longer the negotiations,

0:24:01 > 0:24:03the more negative the impact will be.

0:24:03 > 0:24:06Are you meaning two years, five years, ten years,

0:24:06 > 0:24:08when it might really hurt families?

0:24:08 > 0:24:11I think the hurting would come pretty soon,

0:24:11 > 0:24:14but when I'm talking about a protracted period of time,

0:24:14 > 0:24:18I'm talking about the time it will take to negotiate

0:24:18 > 0:24:20those agreements with the rest of the world.

0:24:20 > 0:24:23You're making a very strong warning today,

0:24:23 > 0:24:25but the IMF's forecasts have been wrong before -

0:24:25 > 0:24:27they've been wrong about other countries.

0:24:27 > 0:24:30They've been wrong about what would happen in this country.

0:24:30 > 0:24:31Why should people listen now?

0:24:31 > 0:24:34First of all, everybody makes mistakes.

0:24:34 > 0:24:37Second, we have probably got it right

0:24:37 > 0:24:40much more often than we have got it wrong.

0:24:40 > 0:24:45In the case of the negative consequences of Brexit,

0:24:45 > 0:24:46if we were wrong,

0:24:46 > 0:24:50there would be a vast majority of economists around

0:24:50 > 0:24:51that would be wrong, too,

0:24:51 > 0:24:55and when I look at all the assessments around...

0:24:56 > 0:24:59..I don't see any positive. I see a lot of negative.

0:25:05 > 0:25:07Hi, how are you doing, all right?

0:25:07 > 0:25:09Very nice to see you again.

0:25:09 > 0:25:11But like in many pubs across the country,

0:25:11 > 0:25:14the landlord here is having none of it.

0:25:15 > 0:25:18I wasn't planning on having one till this evening.

0:25:18 > 0:25:22Are the Bank of England, much of the big business world,

0:25:22 > 0:25:26the Treasury, the International Monetary Fund,

0:25:26 > 0:25:28are they all just plain wrong?

0:25:28 > 0:25:30They're just talking bollocks.

0:25:30 > 0:25:31SHE LAUGHS

0:25:31 > 0:25:34We had the same thing with the euro, you have to remember,

0:25:34 > 0:25:38where the great and the good were very much in favour of it.

0:25:38 > 0:25:40Did they understand it? No.

0:25:40 > 0:25:44Were they right? No. Are they right now? No.

0:25:44 > 0:25:48Tim Martin's not exactly your typical landlord.

0:25:48 > 0:25:52He built up Wetherspoon's pub chain from scratch.

0:25:52 > 0:25:55Now it turns over more than £1 billion a year

0:25:55 > 0:25:58and has 35,000 staff.

0:25:58 > 0:26:04He's given 200 grand of his own cash to the Vote Leave campaign.

0:26:04 > 0:26:09How can you be sure that Britain out of the EU

0:26:09 > 0:26:11would be able to keep access

0:26:11 > 0:26:13to the rest of the European Union to trade with?

0:26:13 > 0:26:16Because one of the things they don't teach you

0:26:16 > 0:26:21at Harvard Business School comes into play - common sense.

0:26:21 > 0:26:26We buy a lot more from Europe than we sell to Europe.

0:26:26 > 0:26:28I know, from running a business,

0:26:28 > 0:26:32that that means that we can do a hell of a good deal.

0:26:32 > 0:26:37But if, by any chance, we can't buy BMWs from Germany

0:26:37 > 0:26:40because, on a point of principle,

0:26:40 > 0:26:43they don't want to sell to one of their biggest customers,

0:26:43 > 0:26:45we'll just have to buy a Lexus from Japan,

0:26:45 > 0:26:47or a Volvo from Sweden.

0:26:47 > 0:26:49I drive one myself, it's very good.

0:26:49 > 0:26:55But common sense, as you suggest, is not the same as a guarantee

0:26:55 > 0:26:59that our important trading relationships

0:26:59 > 0:27:01would still be in place.

0:27:01 > 0:27:04You can't guarantee that, can you?

0:27:04 > 0:27:08We can guarantee within an independent Britain that we

0:27:08 > 0:27:09can make our own laws.

0:27:09 > 0:27:11That's a guarantee.

0:27:11 > 0:27:14With Europe, with laws being made that we have no or very

0:27:14 > 0:27:19little control over, that's the danger.

0:27:19 > 0:27:23Do his regulars think he's right, though?

0:27:23 > 0:27:26My view is, always, it's best to be on the inside,

0:27:26 > 0:27:29trying to influence things, than it is to be outside and be able

0:27:29 > 0:27:33to look at it and say, "I wish we could still have some say."

0:27:33 > 0:27:35So, I'm very believing - the devil you know,

0:27:35 > 0:27:38and I'm definitely a staying in person.

0:27:38 > 0:27:40I think we'd be better off without.

0:27:40 > 0:27:43I think we're strong enough to sustain ourselves,

0:27:43 > 0:27:46without having to worry about other countries

0:27:46 > 0:27:49and bailing Greece out or helping out these people.

0:27:49 > 0:27:52We're fine now. We're fully functional on our own.

0:27:59 > 0:28:03And that's the instinct that could take us out.

0:28:03 > 0:28:06Britain on her own, great again,

0:28:06 > 0:28:10escaping a failing European Union that's simply had its day.

0:28:10 > 0:28:14So could leaving be the start of something big?

0:28:22 > 0:28:26So why couldn't we just leave and be free, rediscover some of our

0:28:26 > 0:28:31buccaneering trading traditions and head out into the big, wide world?

0:28:31 > 0:28:35Those campaigning to leave say if we've got the guts to go,

0:28:35 > 0:28:38Britain could get its mojo back.

0:28:41 > 0:28:45This is the launch of a campaign for freedom.

0:28:45 > 0:28:48And it's a chance for us to believe in ourselves.

0:28:48 > 0:28:51Our country has tremendous, untapped potential,

0:28:51 > 0:28:53which independence would unleash.

0:28:55 > 0:28:59For some British entrepreneurs, leaving the EU would mean

0:28:59 > 0:29:03saying goodbye to hassle and hello to new prosperity.

0:29:04 > 0:29:08Instead of looking at the fear of, oh, we can't do a change, or we're

0:29:08 > 0:29:11going to be little Englanders - no, we're going to be Great Britainers.

0:29:11 > 0:29:14We will be Great Britain with all of the world.

0:29:14 > 0:29:16That could be the east or the west, the north and the south,

0:29:16 > 0:29:18the whole lot.

0:29:19 > 0:29:24Pete Chadha deals in data. His IT business in Surrey has 30 staff.

0:29:24 > 0:29:29He reckons EU rules just can't keep up with his business,

0:29:29 > 0:29:31that's changing all the time.

0:29:33 > 0:29:37There is a proposed new directive in my area, on data protection,

0:29:37 > 0:29:42which will affect £15 billion of extra burden on the UK economy,

0:29:42 > 0:29:46as said by Deloitte, not by me, that's a Deloitte prediction.

0:29:46 > 0:29:49I think, outside of the EU, we'll be free of the red tape

0:29:49 > 0:29:51and smaller businesses can be more agile

0:29:51 > 0:29:53without the burden of thinking,

0:29:53 > 0:29:55"Oh, what does Brussels want us to do next?"

0:29:55 > 0:29:58We'll form new relationships with Europe itself, but around the world,

0:29:58 > 0:30:02with India, with China, with countries in Africa,

0:30:02 > 0:30:05with the States and Canada. We can do it all in this country.

0:30:07 > 0:30:11And the boss of one of Britain's most iconic brands feels

0:30:11 > 0:30:13exactly the same.

0:30:15 > 0:30:18Tate & Lyle Sugars have been refining by the Thames

0:30:18 > 0:30:21for more than 130 years.

0:30:25 > 0:30:28But our membership of the EU costs them dear.

0:30:31 > 0:30:35For most ships that bring their raw cane sugar to the

0:30:35 > 0:30:40dock from outside the EU, they have to pay a handsome fee.

0:30:40 > 0:30:43The EU is the biggest drag on our business's competitiveness

0:30:43 > 0:30:45because of the way it regulates us.

0:30:45 > 0:30:49The last boat that was here, we paid around 3.5 million euros

0:30:49 > 0:30:53on import tariffs to the European Union to bring that sugar in.

0:30:53 > 0:30:57In contrast, our competitors, the beet sugar producers in Europe,

0:30:57 > 0:31:00get around 160 million euros a year in subsidy.

0:31:00 > 0:31:03It's almost as if we send the money to Brussels

0:31:03 > 0:31:06and they redistribute it to subsidise our competitors.

0:31:06 > 0:31:08Britain is a member of the EU.

0:31:08 > 0:31:11We can, in theory, make a difference to those decisions.

0:31:11 > 0:31:12We can get our way,

0:31:12 > 0:31:15we can persuade other people to see our point of view.

0:31:15 > 0:31:1812 years ago, before I started working in the cane sugar industry,

0:31:18 > 0:31:21that's what I thought, but what you realise is that

0:31:21 > 0:31:25if your issue is in the minority in Europe, you can never win.

0:31:25 > 0:31:28So, for instance, there are 19 countries in Europe that grow

0:31:28 > 0:31:31beet sugar and only really two or three that produce cane sugar.

0:31:31 > 0:31:35So every time any type of British government has gone to

0:31:35 > 0:31:38fight our corner in Brussels, no matter how hard they try,

0:31:38 > 0:31:42they always lose, because the numbers are against them.

0:31:42 > 0:31:45That's fine for British sugar beet producers in other

0:31:45 > 0:31:47parts of the country,

0:31:47 > 0:31:51but Tate & Lyle thinks it might risk the whole refinery's future.

0:31:51 > 0:31:54I'm really worried for the jobs and the livelihoods

0:31:54 > 0:31:57and the families of the 850 people that work here in this plant.

0:31:57 > 0:32:00We need Europe to see that this is unfair

0:32:00 > 0:32:03and to do something about it before we get to that point.

0:32:03 > 0:32:06What would you say to people who might suggest that you're

0:32:06 > 0:32:09just complaining about the rule that hits your business,

0:32:09 > 0:32:12and basically everybody's got to deal with that kind of red tape,

0:32:12 > 0:32:13that's just how the world is?

0:32:13 > 0:32:16What I'd say to that is that I accept this is a very

0:32:16 > 0:32:20specific piece of regulation that affects us and the 850 people here

0:32:20 > 0:32:24in a very specific way, but it's really important that people hear

0:32:24 > 0:32:28examples of regulation like this from Europe, good and bad, so that

0:32:28 > 0:32:32they know what to do when they go to the ballot box on June 23rd.

0:32:32 > 0:32:35I'm not naive. I know that people in the UK aren't going to

0:32:35 > 0:32:38vote on the Tate & Lyle Sugars question, but I do think it's

0:32:38 > 0:32:42really important people hear specific examples like this.

0:32:45 > 0:32:49Brussels' rules and regulations clearly cost Tate & Lyle dear...

0:32:51 > 0:32:55..but is it fair to say Brussels' bureaucrats hold the whole

0:32:55 > 0:32:56economy back?

0:32:59 > 0:33:03Justin King ran the supermarket Sainsbury's for a decade.

0:33:03 > 0:33:07I think quite a lot is laid at the door of Europe which isn't

0:33:07 > 0:33:10really their fault, and much of the regulation

0:33:10 > 0:33:13and so-called red tape is necessary.

0:33:13 > 0:33:15Why should we fight against regulation that makes

0:33:15 > 0:33:18products that we make and sell safer?

0:33:18 > 0:33:20That's something that Europe does a lot about.

0:33:20 > 0:33:24If you look at my own history in food, the packaging regulation

0:33:24 > 0:33:28and how the ingredients of food and allergens are communicated.

0:33:28 > 0:33:31That's all European regulation.

0:33:31 > 0:33:34I really struggle to see that that's bad news for consumers.

0:33:34 > 0:33:40So I think this idea that, uniquely, Europe does bad regulation

0:33:40 > 0:33:43and that Westminster would do good regulation,

0:33:43 > 0:33:46well, there's no evidence to support that, in my view.

0:33:46 > 0:33:53And one man's pernickety rule is another political opportunity.

0:33:53 > 0:33:56It is absurd that we are told that you cannot sell

0:33:56 > 0:34:00bananas in bunches of more than two or three bananas.

0:34:00 > 0:34:04You cannot sell bananas with abnormal curvature of the fingers.

0:34:04 > 0:34:05Why should they tell us...

0:34:05 > 0:34:09Why should they tell us how powerful our vacuum cleaners should be?

0:34:14 > 0:34:16Can I have this very big bunch, please?

0:34:18 > 0:34:20Lovely. Thank you.

0:34:20 > 0:34:22As you'll know if you've done the weekly shop

0:34:22 > 0:34:24at any time in living memory,

0:34:24 > 0:34:27you can buy very big bunches of bananas,

0:34:27 > 0:34:29but the reason... Thank you.

0:34:29 > 0:34:33..these have become an unlikely political symbol in this whole scrap

0:34:33 > 0:34:37is that there are regulations about bananas for wholesalers

0:34:37 > 0:34:41and they are exactly the kind of rule and regulation

0:34:41 > 0:34:45that the out campaign would love to get rid of.

0:34:45 > 0:34:48The UK, at the moment, inside the EU,

0:34:48 > 0:34:52is one of the least regulated economies in the world.

0:34:52 > 0:34:54I know that there are some areas, some sectors

0:34:54 > 0:34:57in which EU regulation can be burdensome

0:34:57 > 0:35:01but, overall, the UK is a relatively low regulation economy

0:35:01 > 0:35:03and I think it's inevitable that, if the UK wants

0:35:03 > 0:35:07to have close trade relations with the EU, which we surely would,

0:35:07 > 0:35:11then we still have to accept a substantial amount of EU regulation

0:35:11 > 0:35:14in the same way that Norway and Switzerland,

0:35:14 > 0:35:16other countries that do quite a lot of trade with the EU,

0:35:16 > 0:35:18continue to do so.

0:35:18 > 0:35:21So I don't really see this future for the UK

0:35:21 > 0:35:24as a much less regulated economy than it is now.

0:35:24 > 0:35:26That would be a hard one to manage.

0:35:26 > 0:35:28Godspeed, John Glenn.

0:35:34 > 0:35:37And some of the biggest businesses in the world

0:35:37 > 0:35:41say the EU does the opposite of hold them back.

0:35:41 > 0:35:43It's about freedom.

0:35:43 > 0:35:45Pardon the gag -

0:35:45 > 0:35:49freedom to boldly go where none have gone before.

0:35:49 > 0:35:51Welcome to Mars.

0:35:57 > 0:36:00Well, OK, it's actually a warehouse in Stevenage, in Hertfordshire,

0:36:00 > 0:36:04but this is Bruno, the ExoMars planetary rover,

0:36:04 > 0:36:08designed to hunt for signs of life on Mars.

0:36:08 > 0:36:09It's been made by Airbus,

0:36:09 > 0:36:14a company that's based in France but that has 15,000 staff in the UK,

0:36:14 > 0:36:19and right in the middle of all of this is one big question -

0:36:19 > 0:36:23would these kinds of investments still come to the UK

0:36:23 > 0:36:25if we left the European Union?

0:36:32 > 0:36:35Airbus builds almost everything that can fly,

0:36:35 > 0:36:38from mighty A380s

0:36:38 > 0:36:39to satellites,

0:36:39 > 0:36:42and they're so worried about leaving the EU

0:36:42 > 0:36:47they wrote individual letters to all of their staff to say so.

0:36:47 > 0:36:50Our large aircraft, they're built all around the world

0:36:50 > 0:36:53and they're all brought together in Toulouse,

0:36:53 > 0:36:56and the EU really helps us to do that

0:36:56 > 0:36:59in a seamless way throughout Europe

0:36:59 > 0:37:02and so anything which detracts from that is bad news.

0:37:02 > 0:37:06And how worried would you be, or how worried are you, about the business

0:37:06 > 0:37:07if we leave the EU?

0:37:07 > 0:37:10It will certainly be... It's certainly harder to do business

0:37:10 > 0:37:12when you're crossing the EU boundary.

0:37:12 > 0:37:15We benefit from that free movement of labour,

0:37:15 > 0:37:17of goods, of capital, of ideas

0:37:17 > 0:37:20by being able to work together inside the EU.

0:37:20 > 0:37:22As soon as you go outside of the EU,

0:37:22 > 0:37:25then, by definition, there's going to be changes to that

0:37:25 > 0:37:27and that will affect our future decisions.

0:37:27 > 0:37:29So, to really spell it out, you are clear

0:37:29 > 0:37:33that leaving the EU could see jobs go from the UK

0:37:33 > 0:37:34to other parts of the world?

0:37:34 > 0:37:37Well, next time there's a big decision,

0:37:37 > 0:37:40we really have to have that investment

0:37:40 > 0:37:43and without that investment, the jobs go elsewhere.

0:37:49 > 0:37:54Britain's membership of the EU is one but far from the only reason

0:37:54 > 0:37:58that investors want to spend their cash here.

0:37:58 > 0:38:01Brits are good at some pretty clever stuff,

0:38:01 > 0:38:04our language, our time zone, the people,

0:38:04 > 0:38:08it's a pretty nice place to do business,

0:38:08 > 0:38:12but even some of those who want us to leave the EU

0:38:12 > 0:38:16acknowledge it could be pretty bumpy to begin with.

0:38:18 > 0:38:20There's absolutely no doubt that Brexit

0:38:20 > 0:38:23is positive for the economy, for jobs and investment

0:38:23 > 0:38:26but there's always the possibility, given what's been said,

0:38:26 > 0:38:28that there could be some near-term uncertainty.

0:38:28 > 0:38:31The best way to think of that is a Nike swoosh

0:38:31 > 0:38:34in the sense there might be some uncertainty where confident is hit,

0:38:34 > 0:38:36it doesn't mean jobs are lost,

0:38:36 > 0:38:38and that's the sort of downward part of the swoosh.

0:38:38 > 0:38:40Before then, confidence returns,

0:38:40 > 0:38:44people see that Britain is better able to position itself globally

0:38:44 > 0:38:47and the economy picks up the further ahead one looks.

0:38:49 > 0:38:52But here's one big catch -

0:38:52 > 0:38:56what we make and sell matters,

0:38:56 > 0:38:59but what we do and sell matters even more.

0:38:59 > 0:39:04Services like banking, accountancy, advertising,

0:39:04 > 0:39:07that's where the country really makes its money.

0:39:07 > 0:39:10They're more than three-quarters of the economy

0:39:10 > 0:39:12and if we leave the EU,

0:39:12 > 0:39:16selling to the rest of the market could be tricky.

0:39:18 > 0:39:22Come with me to one of the City's greatest institutions

0:39:22 > 0:39:25and one of its most famous buildings.

0:39:25 > 0:39:30This lot have been trading for more than 300 years.

0:39:32 > 0:39:34This is Lloyd's of London,

0:39:34 > 0:39:39where brokers offered risks for underwriters to insure,

0:39:39 > 0:39:41and these men, members of Lloyd's,

0:39:41 > 0:39:44are still brokers and underwriters.

0:39:48 > 0:39:51Lloyd's are in the risk business

0:39:51 > 0:39:57and they fear, if we leave, the odds for the economy don't look good.

0:39:57 > 0:40:01The continental European insurance market is really important

0:40:01 > 0:40:03and as a whole trading block,

0:40:03 > 0:40:07it actually makes up the world's largest insurance market.

0:40:07 > 0:40:11It provides us one regulatory regime where we can easily do business

0:40:11 > 0:40:14in all of the other European countries.

0:40:14 > 0:40:16So you're saying, at the moment,

0:40:16 > 0:40:18you have one set of rules and regulations

0:40:18 > 0:40:20and, if we left the EU,

0:40:20 > 0:40:23- there might be 27 more sets of rules and regulations.- Yes.

0:40:23 > 0:40:26So, if the UK were to leave the EU, for Lloyd's,

0:40:26 > 0:40:30we would have to individually negotiate with each country

0:40:30 > 0:40:32how we could trade in that country.

0:40:32 > 0:40:36That means there could be numerous different types of regimes

0:40:36 > 0:40:38we have to operate in,

0:40:38 > 0:40:40different regulations we have to comply with,

0:40:40 > 0:40:43different standards we have to comply with.

0:40:43 > 0:40:45A very costly way of doing business.

0:40:45 > 0:40:48Is it, though, something that's an inconvenience for a few years

0:40:48 > 0:40:50or a fundamental threat to your business?

0:40:50 > 0:40:53A potential departure from the EU

0:40:53 > 0:40:56is a fundamental threat to the Lloyd's market.

0:40:56 > 0:41:00We're in the risk business so we're obviously making contingency plans

0:41:00 > 0:41:02should there be a vote to leave,

0:41:02 > 0:41:06but it is a serious risk to our business right now.

0:41:09 > 0:41:12Many of the City's big names believe we'd be crazy

0:41:12 > 0:41:14to take the risk of leaving the EU,

0:41:14 > 0:41:17from HSBC to Goldman Sachs.

0:41:18 > 0:41:23But there are some who refuse to join the herd.

0:41:23 > 0:41:25There's absolutely no doubt

0:41:25 > 0:41:28that London will remain the financial centre of Europe.

0:41:28 > 0:41:33London's competition is no longer Frankfurt, Paris or Amsterdam,

0:41:33 > 0:41:35as it used to be in the past.

0:41:35 > 0:41:38London's competition is New York, Singapore, Hong Kong.

0:41:38 > 0:41:42London and the City needs to position itself globally.

0:41:45 > 0:41:48But if the majority view in the City is right,

0:41:48 > 0:41:51earnings would shrink if we left the EU.

0:41:51 > 0:41:55You might be happy to say goodbye to a few bankers

0:41:55 > 0:41:59but, if it happened, the whole country would be worse off.

0:41:59 > 0:42:01At the moment,

0:42:01 > 0:42:04the UK is the business and financial services centre of Europe

0:42:04 > 0:42:08and that has spread prosperity throughout the UK.

0:42:08 > 0:42:10It's not just the people who work in that industry,

0:42:10 > 0:42:12but it's the spending which they do.

0:42:12 > 0:42:14The spending in shops, the spending in restaurants,

0:42:14 > 0:42:16the houses which they buy

0:42:16 > 0:42:18that spreads incomes and jobs across the UK

0:42:18 > 0:42:22and if that industry shrinks, and I think it would if the UK leaves EU,

0:42:22 > 0:42:25then the economy as a whole would be weaker,

0:42:25 > 0:42:27not just those who work in that industry

0:42:27 > 0:42:30but quite widely across the UK.

0:42:35 > 0:42:36Business isn't the only thing

0:42:36 > 0:42:39that can move freely around the EU, though.

0:42:39 > 0:42:41So can people.

0:42:41 > 0:42:44Under what's called the free movement of labour,

0:42:44 > 0:42:47we can work anywhere we want in the union

0:42:47 > 0:42:53and people from all the other 27 countries can do the same here,

0:42:53 > 0:42:54and they have...

0:42:54 > 0:42:55in huge numbers.

0:42:58 > 0:43:01In his Somerset dairy packing plant,

0:43:01 > 0:43:05around one in eight of Richard Clothier's workforce are immigrants,

0:43:05 > 0:43:08many from Eastern Europe.

0:43:08 > 0:43:11I worry because I've been in here, like, 12 years

0:43:11 > 0:43:15so I'm a citizen of the UK but I haven't got a British passport

0:43:15 > 0:43:17so I don't know what's going to happen.

0:43:17 > 0:43:20If the UK will step out of the EU,

0:43:20 > 0:43:22it could be worse for people like me, myself.

0:43:22 > 0:43:24So, yeah, I do worry about it.

0:43:24 > 0:43:29It depends what's going to happen to people like me.

0:43:29 > 0:43:30You're talking about operations

0:43:30 > 0:43:34that have to run 24 hours a day, seven days a week,

0:43:34 > 0:43:38and when you've got very low levels of population in rural areas,

0:43:38 > 0:43:41it's very difficult to find people that want to work

0:43:41 > 0:43:45outside of nine to five, five days of the week.

0:43:45 > 0:43:47So, without migrant workers, you know,

0:43:47 > 0:43:50the lines would stop, unfortunately.

0:43:53 > 0:43:55At their hovercraft firm,

0:43:55 > 0:44:00Emma and Russ Pullen also employ a couple of Eastern Europeans,

0:44:00 > 0:44:02but Emma would much rather see Brits in work.

0:44:02 > 0:44:06I'm hoping, and we all hope, that, coming out of the EU,

0:44:06 > 0:44:08we can spend more money on apprenticeships

0:44:08 > 0:44:10and get more people that are out there

0:44:10 > 0:44:12into the jobs where they're needed.

0:44:12 > 0:44:14Let's see if we can train our own workforce up

0:44:14 > 0:44:16to get back into roles that we can fill.

0:44:16 > 0:44:20At the same time, we're not going to go open the door on the 24th

0:44:20 > 0:44:23and kick everyone out across the Channel.

0:44:23 > 0:44:27But even Christian from Poland, who's made Kent his home,

0:44:27 > 0:44:30wants out of the EU.

0:44:30 > 0:44:32We should leave united Europe

0:44:32 > 0:44:36just because there's too much immigration and not legal

0:44:36 > 0:44:39and I think it's enough, to be honest.

0:44:39 > 0:44:42I mean, as an immigrant, as well.

0:44:42 > 0:44:46So, if we allow to take more people in UK,

0:44:46 > 0:44:49we're going to be in big trouble, to be honest.

0:44:54 > 0:44:56In the big picture,

0:44:56 > 0:45:00most experts believe immigration has been good for the economy,

0:45:00 > 0:45:04but there is some evidence that it's held wages down

0:45:04 > 0:45:06for some of the lowest paid

0:45:06 > 0:45:09and, broadly, the less well-off you are,

0:45:09 > 0:45:12the more likely you are to want to leave.

0:45:12 > 0:45:15With immigration at the front of many voters' minds,

0:45:15 > 0:45:18the Leave campaign wants you to see this

0:45:18 > 0:45:21as a fight between haves and have-nots.

0:45:21 > 0:45:23They claim the EU's been good for fat cats

0:45:23 > 0:45:26but has left many people behind.

0:45:26 > 0:45:29Win that argument and, when it comes to the vote,

0:45:29 > 0:45:31all bets are off.

0:45:31 > 0:45:33You've characterised this as a battle

0:45:33 > 0:45:36between the elites and the ordinary man.

0:45:36 > 0:45:38You're part of the elite, though, aren't you?

0:45:38 > 0:45:41It is, in a sense, a struggle

0:45:41 > 0:45:46between people who want to take back control

0:45:46 > 0:45:47and a small group of people

0:45:47 > 0:45:51who do very well out of the current system

0:45:51 > 0:45:52and who are able...

0:45:52 > 0:45:56And who know Christine Lagarde and can go mwah-mwah with her on...

0:45:56 > 0:45:58you know, at Davos or whatever it happens to be.

0:45:58 > 0:46:02Of course they're going to be in favour of the system,

0:46:02 > 0:46:04but there are plenty of people

0:46:04 > 0:46:07who want to see proper democratic control,

0:46:07 > 0:46:10who want the democracy of their country restored,

0:46:10 > 0:46:14and feel it's weird that it is simply being given away

0:46:14 > 0:46:16for no particular gain.

0:46:16 > 0:46:19Boris Johnson told us it's a struggle between the ordinary man

0:46:19 > 0:46:22and people who go to Davos and know Christine Lagarde,

0:46:22 > 0:46:25who greet her saying mwah-mwah, kissing on both cheeks.

0:46:25 > 0:46:28Well, look, as I say, the people who are the Leave campaigners

0:46:28 > 0:46:32are not going to be the people who pay the economic price if we leave.

0:46:32 > 0:46:35It will be the ordinary working people of this country

0:46:35 > 0:46:37who see their jobs threatened,

0:46:37 > 0:46:39who see the value of their family home go down,

0:46:39 > 0:46:40who see their wages hit,

0:46:40 > 0:46:44who don't have the certainty of living in a country

0:46:44 > 0:46:45that's trading with the world.

0:46:45 > 0:46:47They are the people who are going to pay the price,

0:46:47 > 0:46:49the working people of Britain,

0:46:49 > 0:46:51if we vote to leave and the economy suffers.

0:46:51 > 0:46:54There is some evidence some people's wages have suffered

0:46:54 > 0:46:56as a result of immigration.

0:46:56 > 0:46:58Aren't they entitled to be a bit fed up about that?

0:46:58 > 0:47:01Well, of course, when it comes to immigration,

0:47:01 > 0:47:04there are very understandable concerns that people have

0:47:04 > 0:47:07and that's why we want to have immigration controls

0:47:07 > 0:47:09so you can't just come to this country

0:47:09 > 0:47:10and get welfare payments and the like,

0:47:10 > 0:47:13you have to put in before you get out,

0:47:13 > 0:47:16but you don't control immigration by wrecking the economy.

0:47:16 > 0:47:19I mean, that would be a crazy approach to take.

0:47:21 > 0:47:25And in the last week, David Cameron and George Osborne

0:47:25 > 0:47:29have gone to DEFCON 1 with their warnings of the economic shock

0:47:29 > 0:47:32we'd face if we choose to go.

0:47:32 > 0:47:35The shock to our economy after leaving Europe

0:47:35 > 0:47:38would tip the country into recession.

0:47:38 > 0:47:44House prices would be hit by at least 10% and as much as 18%.

0:47:44 > 0:47:48The stakes couldn't be higher. The risks couldn't be greater.

0:47:48 > 0:47:51It would be a DIY recession.

0:47:51 > 0:47:56Across Britain, as many as 820,000 jobs could be lost.

0:47:56 > 0:47:59It is the self-destruct option.

0:47:59 > 0:48:01If you believed it would be a catastrophe,

0:48:01 > 0:48:04surely it was terribly irresponsible,

0:48:04 > 0:48:06if it really would hit people as badly as you suggest,

0:48:06 > 0:48:08to offer this vote in the first place.

0:48:08 > 0:48:12It's not irresponsible to ask the British people for their opinion.

0:48:12 > 0:48:14It's not irresponsible to trust the people

0:48:14 > 0:48:16with the future of this country

0:48:16 > 0:48:20and I think the British people will take a mature and sensible judgment

0:48:20 > 0:48:23that we are better off remaining in this reformed European Union,

0:48:23 > 0:48:25that we don't want to take a leap in the dark,

0:48:25 > 0:48:28that we don't want all the uncertainty and the risk

0:48:28 > 0:48:31and the economic cost that would come from leaving the EU.

0:48:31 > 0:48:34Donnez-moi un break, as we say in Brussels.

0:48:34 > 0:48:38Here we are now with the most extraordinary avalanche

0:48:38 > 0:48:43of scaremongering, a sort of Himalayan snow job of statistics

0:48:43 > 0:48:45about how things are going to go wrong.

0:48:45 > 0:48:47If that's what you think,

0:48:47 > 0:48:49how will you be able to trust your colleagues in future?

0:48:49 > 0:48:52Look, I think we've got to be very clear what's going on here, Laura.

0:48:52 > 0:48:56They are obviously determined to try to win this referendum

0:48:56 > 0:48:58by one means or another.

0:48:58 > 0:49:01And I think that the means they have chosen,

0:49:01 > 0:49:04because the focus groups and the polling seem to indicate that

0:49:04 > 0:49:08that's the most productive line of attack, is to escalate the risk.

0:49:11 > 0:49:14And not so long ago, the Prime Minister

0:49:14 > 0:49:17was rather more relaxed about it all.

0:49:17 > 0:49:19Now, I'm not saying for one moment

0:49:19 > 0:49:21that Britain couldn't survive

0:49:21 > 0:49:22outside the European Union.

0:49:22 > 0:49:25Of course we could. We are a great country.

0:49:25 > 0:49:28The question is whether we'd be more successful in than out.

0:49:28 > 0:49:32Whether being in the European Union adds to our economic security

0:49:32 > 0:49:34or detracts from it.

0:49:34 > 0:49:36Ultimately, it will be the judgment of the British people

0:49:36 > 0:49:38in the referendum I promised.

0:49:38 > 0:49:42The politicians disagree on the risks and the statistics.

0:49:42 > 0:49:44They always do.

0:49:44 > 0:49:49But the balance of evidence from the economists and number-crunchers

0:49:49 > 0:49:54does suggest that leaving the EU would cost the British economy.

0:49:54 > 0:49:56In the longer run,

0:49:56 > 0:49:58we will be a bit worse off than we otherwise would be.

0:49:58 > 0:50:00Now, we're a rich country,

0:50:00 > 0:50:04we can afford to grow a bit more slowly than we otherwise would.

0:50:04 > 0:50:08Most forecasts don't expect there to be a very big

0:50:08 > 0:50:11and very prolonged recession, this is something that's survivable.

0:50:11 > 0:50:14This is something that's not disastrous.

0:50:14 > 0:50:16But it is something that I think's important to take into account

0:50:16 > 0:50:20when making the choice about our future in the EU

0:50:20 > 0:50:23and whether that cost is worth the benefits

0:50:23 > 0:50:25that might accrue in other parts of the debate.

0:50:31 > 0:50:34With it all so uncertain, the way you choose to vote

0:50:34 > 0:50:38might depend on how you feel about taking a risk.

0:50:38 > 0:50:39What would you like?

0:50:39 > 0:50:43Right, OK. Well, I like the sound of Sacred Trust.

0:50:43 > 0:50:47'Whichever way we go, it could be a bit of a gamble.'

0:50:47 > 0:50:49Do you think it's a risk?

0:50:49 > 0:50:52Well, nobody knows one way or the other, do they?

0:50:52 > 0:50:55You pays your money, you takes your choice.

0:50:55 > 0:50:58- All right, I'm going to do each way on Sacred Trust.- Each way.

0:50:58 > 0:51:00- Yeah.- 250 each way, he's sixth.

0:51:09 > 0:51:13'The Remain side want you to think coming out is an almighty gamble...'

0:51:15 > 0:51:18- TANNOY:- Outside line, Sacred Trust...

0:51:19 > 0:51:21Come on!

0:51:21 > 0:51:26'..a gamble with your job, your mortgage, your future.'

0:51:26 > 0:51:27Oh!

0:51:29 > 0:51:30Nearly, nearly.

0:51:34 > 0:51:37'But what if staying in the EU was a gamble, too?'

0:51:43 > 0:51:45The EU is in trouble.

0:51:47 > 0:51:51Some believe its economic problems are so fundamental,

0:51:51 > 0:51:53the euro may yet collapse.

0:51:53 > 0:51:55Hi, good afternoon.

0:51:55 > 0:51:58Well, we've got some important work to do today and tomorrow

0:51:58 > 0:51:59and it's going to be hard.

0:52:02 > 0:52:04Part of the plan to keep the currency together is

0:52:04 > 0:52:07tighter common controls on their economies -

0:52:07 > 0:52:10moving closer together, not further apart.

0:52:13 > 0:52:17We're not in the euro, but we can't escape its effects.

0:52:18 > 0:52:21The EU is moving in fundamentally the wrong direction.

0:52:21 > 0:52:24As you know, the euro is in dire trouble.

0:52:24 > 0:52:26They're trying to prop it up.

0:52:26 > 0:52:29What's happening in Greece is by no means solved.

0:52:29 > 0:52:31The Italian banks are basically bust.

0:52:31 > 0:52:33They're going to have to go forward with measures

0:52:33 > 0:52:35to lock Europe together ever tighter.

0:52:35 > 0:52:38It's been clear that we can't get out from under

0:52:38 > 0:52:40the consequences of that.

0:52:40 > 0:52:43They are going to want to create a fiscal union

0:52:43 > 0:52:47in which the Single Market institutions would be used,

0:52:47 > 0:52:50Britain could not escape and could not escape paying for it.

0:52:50 > 0:52:54Do you accept there are some risks of staying in the EU?

0:52:54 > 0:52:55No, I don't.

0:52:55 > 0:52:57I think Britain has the best of both worlds.

0:52:57 > 0:53:00We're in the Single Market, that's the crucial free-trade zone

0:53:00 > 0:53:03that supports a lot of jobs in Britain.

0:53:03 > 0:53:06But we are not in the euro single currency.

0:53:06 > 0:53:09We're not in the single border area that have caused these problems

0:53:09 > 0:53:10on the continent of Europe.

0:53:10 > 0:53:14It's a complete illusion to think that we would somehow

0:53:14 > 0:53:16protect ourselves by cutting ourselves off

0:53:16 > 0:53:18from the continent of Europe.

0:53:18 > 0:53:21A huge amount of our jobs and prosperity depends on that.

0:53:21 > 0:53:23I'd rather do what Britain has always done,

0:53:23 > 0:53:25which is get stuck in, fight our corner,

0:53:25 > 0:53:27win our arguments, win our battles.

0:53:27 > 0:53:30We should have self-confidence in our country's ability to shape

0:53:30 > 0:53:32the world and shape our continent,

0:53:32 > 0:53:34rather than pulling up the drawbridge.

0:53:34 > 0:53:37That's always been a disaster for Britain when we've done that

0:53:37 > 0:53:39in the past, and we shouldn't do it in the future.

0:53:41 > 0:53:43Are you willing to take a punt on leaving?

0:53:43 > 0:53:45I'm very much like that.

0:53:45 > 0:53:48It's a hard decision to make. It's been really tough.

0:53:48 > 0:53:50Why do you think it's difficult?

0:53:50 > 0:53:52Because you get so many scare stories from each side

0:53:52 > 0:53:57and it's a decision, if you get it wrong, both sides say

0:53:57 > 0:54:00the implications if you get it wrong are huge.

0:54:02 > 0:54:04What's difficult about this decision,

0:54:04 > 0:54:06that we have to be honest about,

0:54:06 > 0:54:09is that it is all a bit of a gamble.

0:54:09 > 0:54:12You're being asked to choose between a hypothetical universe

0:54:12 > 0:54:15outside the European Union

0:54:15 > 0:54:19or staying in something that is already changing.

0:54:19 > 0:54:23There is a lot that no politician and no expert can tell you.

0:54:23 > 0:54:26There's a lot that we just don't know.

0:54:32 > 0:54:37So without certainty, you're left with a choice between two visions...

0:54:38 > 0:54:41..of how we might win or lose.

0:54:42 > 0:54:45Well, if we vote to leave the EU, the country will be poorer

0:54:45 > 0:54:48and the families in the country will be poorer.

0:54:48 > 0:54:51In the short term, we'd tip into recession

0:54:51 > 0:54:54and half a million jobs or more would be lost.

0:54:54 > 0:54:56And in the longer term,

0:54:56 > 0:54:59families would be worse off because we'd be trading less and

0:54:59 > 0:55:02doing less business with the rest of the world, and the overwhelming

0:55:02 > 0:55:06consensus is that Britain would be worse off if we left the EU.

0:55:06 > 0:55:09I think we'd be richer, I think we'd be more prosperous,

0:55:09 > 0:55:11we'd be a more dynamic economy.

0:55:11 > 0:55:14And there's all sorts of ways in which the EU holds us back.

0:55:14 > 0:55:16And it would be a massive opportunity for us

0:55:16 > 0:55:19to reorientate Britain.

0:55:19 > 0:55:22I think it's almost inevitable that in the near term,

0:55:22 > 0:55:27the first two, three years or so, that the UK would be poorer.

0:55:27 > 0:55:30The economy would be weaker if we leave the EU.

0:55:30 > 0:55:32But if you look ahead ten, 20 or 30 years,

0:55:32 > 0:55:36it would depend much more on what policies the UK puts in place,

0:55:36 > 0:55:39either inside the EU or if we're outside the EU.

0:55:39 > 0:55:43It's quite possible for the UK economy to prosper outside the EU

0:55:43 > 0:55:45if we manage our affairs well.

0:55:49 > 0:55:50In just over three weeks,

0:55:50 > 0:55:54we'll wake up and the choice will have been made.

0:55:54 > 0:55:57Our decision will shape not just our own futures,

0:55:57 > 0:56:00but our children's and grandchildren's, too.

0:56:00 > 0:56:05If you wake up on June 24th and we've voted to leave the EU,

0:56:05 > 0:56:07what will you feel?

0:56:07 > 0:56:09I'll feel good.

0:56:09 > 0:56:14I'd quote Norman Lamont from leaving the exchange rate mechanism in 1992,

0:56:14 > 0:56:16"I'll be singing in the bath."

0:56:16 > 0:56:19- What will you sing? - Well, La Marseillaise?

0:56:23 > 0:56:27If we vote to leave, and I hear it on the radio in the morning,

0:56:27 > 0:56:32my gut reaction will be, you know, a bit of fear, uncertainty

0:56:32 > 0:56:34and quite worried, to be honest.

0:56:38 > 0:56:41On the 24th, I hope I wake up with a really big headache

0:56:41 > 0:56:44and I hope that we are having... You know, there should be

0:56:44 > 0:56:47parties on the streets because it's our independence day.

0:56:49 > 0:56:54Personally, independent from any, you know, economic analysis

0:56:54 > 0:56:57and financial consequences, I would be sad.

0:57:00 > 0:57:03How would you celebrate?

0:57:03 > 0:57:08With some...some produce from our friends and partners

0:57:08 > 0:57:10- over the Channel.- French Champagne?

0:57:10 > 0:57:14Probably. Which will be just as cheap as it is now.

0:57:14 > 0:57:16Obviously I'd be very disappointed

0:57:16 > 0:57:20and very anxious about what the country faced,

0:57:20 > 0:57:22the enormous uncertainty which would, of course,

0:57:22 > 0:57:26would hit within hours of us voting to leave the EU.

0:57:26 > 0:57:30And, unfortunately, there will be a heavy price to be paid for that.

0:57:35 > 0:57:39Any election is asking you to take a punt about the future.

0:57:39 > 0:57:43In this campaign, claims of disaster or opportunity,

0:57:43 > 0:57:45well, they're punts, too.

0:57:45 > 0:57:51Guesses made by very smart people, but guesses nonetheless.

0:57:51 > 0:57:55It's true most of the evidence suggests we'd be worse off

0:57:55 > 0:57:58in the short term if we choose to leave.

0:57:58 > 0:58:01But when it comes to the years and decades ahead,

0:58:01 > 0:58:03it's much harder to predict.

0:58:03 > 0:58:08How we earn our living as a country is important, of course,

0:58:08 > 0:58:11but it's up to all of us to mull that over

0:58:11 > 0:58:14with the other parts of being in the European club.

0:58:14 > 0:58:18Not just whether we're richer or poorer,

0:58:18 > 0:58:21but who we are and who's in charge.