14/06/2012 BBC News at Ten


14/06/2012

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Tonight at company ten: David Cameron in the spotlight for five

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hours at the Leveson Inquiry. I swear by Almighty God that the

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evidence I shall give... He admits he worked hard to win over the

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press, but he never traded policies in rurn for -- return for support.

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There was no overt deal for support, no covert deal, no nods and Wwnks.

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He is pressed to explain his friendship with Rebekah Brooks of

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News International and accepts that the press and politicians got too

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close. I think that the relationship has

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not been right. I think it has been too close as I

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explained in the, in my evidence. I think we need to try to get it on a

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better footing. The Prime Minister defended his

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decision to ask Jeremy Hunt, the culture secretary, to judge the bid

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for BSkyB. Also: The Chancellor is still -- is to lend �80 billion to

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the banks so that they can lend more to customers.

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A lack of credit is damaging businesses and costing jobs. The

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Government and the Bank of England have been working together to

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develop the right response. The Last Post... 30 years after the

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lin ration of the Falklands, a service of remembrance in Port

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Stanley. And what next for

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#? After his abrupt departure today from Tottenham Hotspur.

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In BBC London News: The first of the Olympic lanes appears in Surrey.

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Motorists say it is causing confusion. 100 days of peace, a

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:01:54.:02:00.

campaign by the parents of London's murdered teenagers.

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Good evening. David Cameron spent five hours

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today giving evidence to the Leveson Inquiry into press

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standards. He said it was nonsense to suggest he had traded policies

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in return for media backing, but he admitted that press and politicians

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had become too close and he was repeatedly questioned about his

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links with Rebekah Brooks, the former boss of News International.

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Our Political Editor has the story. The press and the Prime Minister...

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Forced to live together... Today, effectively on trial together.

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Today the nation's leader was invited to trade the comforts of

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Downing Street for five hours of cross-examination in the Royal

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Courts of Justice, where plain Mr Cameron spoke on oath.

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I swear by Almighty God, whereby the evidence I give is the truth,

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the whole truth and nothing but the truth.

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The truth in question, his relations with the Murdochs and

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Rebekah Brooks. His version of it to condemn what he called

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unjustified conspiracy theeris. There was no overt deal for support,

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no covert deal, no nods and Wwnks, there was a Conservative politician,

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me, trying to win over a newspaper s, trying to win over tradition,

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prop pirators but not trading policies for that support.

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The Prime Minister looked comfortable when defending his

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judgments, much, much less so when it came to the awkward details.

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Details like a text message sent by Rebekah Brooks to him on the eve of

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his party conference speech. , "I am so rooting for you tomorrow,

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not just as a personal friend but as professionally we are in this

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together. Speech of your life, yes, he can." That from the head line of

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a best-selling daily which switched from backing Labour to the Tories.

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Details of how he and his wife used to meet the newspaper boss who was

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their friend and newspaper in the country.

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And he called Samantha Cameron 'Lady Prime Minister'.

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When at your questions at weekends, did you see her every weekend or

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most weekends in the period of 2008/2009? Not every weekend.

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Most weekends? Hmm... The news soon travelled this that he had seen the

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boss of the News of the World, the Times and the Sunday Times a lot,

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but after lunch there was no information.

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Mrs Cameron keeps a better weekend diary record than I do. She reckons

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we did not see them more than on average once every six weeks, that

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is a better answer than I was able to give you earlier.

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Next, what check has he made before hiring Andy Coulson as the spin

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doctor? How did he know that the former editor of the News of the

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World didn't know about phone hacking that had happened at the

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paper? I remember clearly seeking that assurance and getting it, but

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as I say, there do seem to be some differences, but they may well be

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compatible in the way that I have suggested.

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Next, the decision to make the culture secretary, Jeremy Hunt and

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Murdoch cheerleader, responsible for their �8 billion bid for BSkyB.

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It was put to the Prime Minister it was a decision taken at speed with

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only hurried and incomplete legal advice.

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It was not some rushed, botched political decision. If anyone had

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told me that Jeremy Hunt couldn't do the job I wouldn't have given

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him the job. But the Prime Minister insisted he

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wanted to protect people like this, the family of the murdered teenager,

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Graeme McDowell. They needed a new system for regulating the press.

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We want to know that if an individual suffers press intrusion,

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has an inaccurate article written about them, has their life turned

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around in some way, all of these things that have happened, that it

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really is worthwhile going to a regulator, however established and

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that they will get a front-page apology and the newspaper properly

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brought to book. That is what does not happen.

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Agreeing how to do it has eluded pretty much every Government since

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the war. Lord Justice Leveson is a man even

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the Prime Minister stands up for. Nick, how satisfied would David

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Cameron be with the way that this turned out today? I was in court

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today, as he left he looked tense, I have to say. He did say thank you

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to the QC who asked him the questions, but he looked like he

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wanted to be out of there. I have no doubt he thinks he has put to

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bed the conspiracy theories and the decision to make Jeremy Hunt in

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charge of the BSkyB was taken as a official thought it a good idea and

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he had legal advice, but, it is a big but, he knows that the politics

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is about impressions and the impressions of those of us who sat

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in court for five hours was extraordinary vagueness. Asked to

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recall meetings with newspaper executives, he could not recall

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them again and again. Asked to explain the checks he made that

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Andy Coulson did not know about phone hacking, there was a dispute

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between the two men about what the evidence was, that was vague. Asked

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about the legal advice on Jeremy Hunt it was revealed it was a

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single mobile phone call to a government lawyer on holiday at the

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time. All of that may be forgotten but what not be though is this, a

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text message from Rebekah Brooks that says, "We are all in it

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together." That was a Conservative slogan, meant to say to the country,

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we are all in the -- in it together, to help with the economic crisis.

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Nick, thank you very much. The Bank of England has announce

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twod ambitious schemes to try to boost levels of growth and activity

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in the British economy. From next month �80 billion is made available

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to banks on condition that they pass it on to customers in the

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forms of business loans and mortgages. The other schemes

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starting as early as tomorrow make it is easier and cheaper for banks

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to borrow and ease their cash flow. The Chancellor gave details of the

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policies this evening in mansion House.

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Robert Peston is there. Every now and then the Chancellor's

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annual speech to bankers here at the majestic mansion House actually

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matters. Tonight with the British economy so weak and theow ez --

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eurozone crisis becoming more acute, well, it is one of those occasions.

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As it happens, the Chancellor and the Government of the Bank of

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England probably appeared to be responding to the criticisms that

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maybe they had not been doing enough to kick-start the economy.

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Tonight they came up with two potentially important initiatives.

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A grand City dinner in a time of recession again. The Chancellor and

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the governor of the Bank of England, still apparently working together,

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on their way to reassure the country's leading bankers and

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businesses that they have a plan to revive our anaemic economy.

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We are not powerless in the face of the eurozone debt storm. Together

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we can deploy new firepower, to defend our economy from the crisis

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on our doorstep. Funding for lending to the family, aspiring to

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own their own home and the business that wants to expand. The bank and

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the Treasury are working together on a funding for lending scheme.

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It would provide funding to banks for an extended period of several

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years at rates below the current matter rates and linked to the

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performance of banks in sustaining or expanding their lending to the

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UK non-financial sector during the present period of heightened

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uncertainty. There will be two schemes to

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provide cheaper loans to bank. One will involve the Bank of England

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lending bank as minimum of �5 billion a month to aassure them

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they will not run out of money even in the eurozone banking crisis gets

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worse. The second scheme will provide loans to banks for three to

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four years on the condition that the banks pass on the money in

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loans to households and businesses. The Bank of England will see it as

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a success if it leads to �80 billion of additional loans.

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Over the British economy is the long shadow cast by the financially

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stretched banks and the governments of the eurozone. For Spain the cost

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of borrowing for ten years rose today to the unaffordable level of

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7%. Days after it was promised a 100 billion Euro bail out.

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With the Greek election looming and fears that the result will prompt

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Greece to leave the Euro, the Chancellor was clear that the time

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for piecemeal solutions is over. One thing is for sure, if exit is

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the chosen route, then the eurozone must have a very good plan in place

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to prevent contagion. The worst case for everyone would be exit

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without a sufficiently ambitious response, but carrying on with the

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current uncertainty and instability is not much better.

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A time for decisions has come. In Italy tempers rise as the

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economy shrinks. Italy's borrowing costs rose too

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today to dangerous levels and with the Italian economy, and Italian

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banks so big and important if they get into serious difficulties, the

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Chancellor will need more than two new lending schemes to protect us

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from the after shocks. Well, I have managed to grab one of

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our leading bankers tonight to ask him whether the new initiatives

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will encourage his bank to lend more. He says that the problem is

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that businesses and households are so anxious that they don't want to

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borrow. So the Bank of England may give him all of this cheap money,

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but he is not persuaded that he will be able to get it out into the

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marketplace. That is something with the economy so weak that should

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trouble us. Back to you.

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Thank you very much, Robert Peston for us at the mansion House.

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Well, Angela Merkel, the German Chancellor has warned that her

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country's financial clout should not be overestimated by those who

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believe that German money can solve all problems. The German Government

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seems to rule out guaranteeing the debts of other eurozone countries.

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Stephanie Flanders has been finding Germans were willing to pay a high

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price to reunify the country often 1989. Now the world is telling them

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they must pay out again to prevent the eurozone from falling apart but

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today the Chancellor warned us not to expect too much. Her speech was

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to the German parliament but it was expressed to the outside world.

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TRANSLATION: We are convinced Europe is our destiny and future

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and if the euro fails, Europe fails, but we also know that Germany's

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strength is limited. What the markets would like Angela Merkel to

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say is that she and the other eurozone Government's stand behind

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each other's debts. The common version of that, euro bonds,

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Germany has ruled out but people were hoping that they were inching

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towards a temporary compromise. Today I found out they were taking

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that off the agenda as well. I spoke to Angela Merkel's deputy

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finance minister after her speech. Debt is a national responsibility

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question and I do not see any strategies where we socialise and

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redistribute the negative political decision made by some, who...

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the proposal by the German expert? It is a quiet outspoken

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constitutional arrangement that we are not allowed to do so. That no

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from Germany will be about as popular in many European capitals

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as Germany winning Euro 2012, but for all the griping about Greece,

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most Germans are still fans of the single European currency. People

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here know that Europe's strongest economy does have to do its bit.

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is the European Union. If you do not do that for the other countries,

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it might fall back to you and then we have a much bigger problem in

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Germany. I think the Germans, the really understand if they don't

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help the country, it could be difficult for the whole of Europe.

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The trouble is that Germany thinks it has already given a lot to

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rescuing the euro. The minister says we should stop panic thing

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about the markets and focus on that. It does not make any sense to

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question what we have achieved on a weekly basis and develop new

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concepts. What we need now is a calm political decision process.

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Angela Merkel says we should stop looking for a quick fix to the

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eurozone crisis. By now, I think people have but if Germany

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continues to say no, there might not be a solution at all.

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A British soldier from the 1st Battalion Grenadier Guards has been

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killed in an explosion in Afghanistan. The Ministry of

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Defence said the soldier, who has not been named, was part of a

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patrol to disrupt insurgent activity in the Helmand Province.

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His family has been told. A service of remembrance has taken

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place in Port Stanley to mark the 30th anniversary of the liberation

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of the Falkland Islands from Argentine forces. As veterans

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joined residents to remember those who lost their lives, the Argentine

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president was telling the United Nations that her country would

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never surrender its claim to sovereignty. From the Falklands,

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:16:58.:16:58.

Caroline Wyatt sent this report. Today the violence gathered to

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remember and give thanks. -- the islands. The Last Post was founded

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at the memorial. Falkland islanders stood with the veterans who stood

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by them when the islands were invaded by Argentina. All sorts

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here but with the men, friends of the comrades who never came home.

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The 255 British servicemen who gave their lives to insure the Falkland

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islanders' freedom. Many remember this moment 30 years ago today,

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when the British flag was raised after 74 days of occupation, but

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victory came at a price. For veterans, like Barry Avery, Boer

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War cast a long shadow. memories are always there. -- Boer

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War. Different people deal with things differently. It was good and

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bad. For the islanders, if sacrifices made will never be

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forgotten. Trudi McPhee helped to resupply British forces during the

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war regardless of the dangers but her gratitude is for the men who

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risked their lives for her liberty. I think of all the families, their

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loved ones have not returned... Yes. And for that we will always be

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grateful. But Argentina is still far from giving up its claim to

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these islands. Tonight the country's president, Cristina

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Kirchner, went in person to the UN to make her case for possession of

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what Argentina calls Las Malvinas. TRANSLATION: An issue that even

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goes beyond the national issue of Argentine sovereignty. Indeed, it

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goes beyond and becomes an affront to the world which we all dream of.

:18:51.:18:55.

Falkland islanders were at the UN as well trip up that claim, sending

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a firm message that they are determined to remain British -- to

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refute that claim. The people of the eye lens remain profoundly

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grateful to the men who came from 8,000 miles away to insure their

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freedom, and even as the Argentine President States have claimed a

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game to these islands, the people here remain proudly and defiantly

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British. Coming up on tonight's programme: A

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stand-off in Cairo. The political crisis deepens ahead of this

:19:27.:19:37.
:19:37.:19:37.

weekend's presidential elections. The way child poverty is measured

:19:37.:19:41.

in the UK is to be redefined by the government as part of a new

:19:41.:19:47.

approach to addressing the problem. Ministers want to replace the

:19:47.:19:49.

current measure, based on family income, with broader criteria

:19:49.:19:55.

including parents' employment. Our home editor has the details.

:19:55.:20:01.

Are these children Paul? What decides is not whether they have

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enough to eat and a roof over their head but how their family's income

:20:06.:20:12.

compares with middle earners, the concept of poverty that currently

:20:12.:20:16.

underpins official measures. But for these children, it simply means

:20:16.:20:21.

mum and dad relying on vouchers from Barnardo's. They provide us

:20:21.:20:25.

with non-perishable food which is great, because you can guarantee

:20:25.:20:30.

that you can make meals out of it. The current definition of child

:20:30.:20:33.

poverty is based on children who live in a family with a weekly

:20:33.:20:41.

income is less than 60% of the middle income in the UK. In 2010

:20:41.:20:49.

that was �259 a week. Last year it fell to �251 a week. Any child in a

:20:49.:20:53.

household with an income between those two is technically no longer

:20:53.:21:01.

poor, but of course they are not a penny richer. The result is that

:21:01.:21:05.

300,000 people have been lifted out of poverty even the British incomes

:21:05.:21:09.

are falling. Iain Duncan-Smith believes that is perverse and today

:21:09.:21:15.

announced plans to redefine poverty. He will consult on how to widen the

:21:15.:21:19.

criteria. This government is committed to eradicating child

:21:19.:21:25.

poverty. We want to tackle it at its source, with it be welfare

:21:25.:21:31.

addiction, debt, education favour you, or dysfunctional family

:21:31.:21:37.

breakdown. -- education failure. The idea of relative poverty came

:21:37.:21:44.

out of campaigns in the 1960s. take these up... It took decades

:21:44.:21:49.

for the concept to win political acceptance across the spectrum.

:21:49.:21:52.

Pete Townshend founded the Child Poverty Action Group, arguing that

:21:52.:21:56.

income is lower than the average exclude people from wider society

:21:56.:22:01.

and the charity is anxious that his legacy may be squandered. We have

:22:01.:22:04.

been campaigning for decades for this and we finally got the Child

:22:04.:22:08.

Poverty Act, with the support of the whole sector. This could be a

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real moment to use things. There is the opportunity of a generation and

:22:13.:22:19.

if we lose it, we will probably not get it back. Few would argue that

:22:19.:22:24.

the relative poverty measure does have -- does not have witnesses,

:22:24.:22:29.

but the fee is reigniting the debate about what being poor is

:22:29.:22:35.

were fatally undermine Britain's statutory commitment to eradicate

:22:35.:22:38.

poverty. There is more political turmoil in

:22:38.:22:42.

Egypt on the eve of the country's presidential election. Egypt's

:22:42.:22:44.

supreme constitutional court has ruled that the parliamentary

:22:44.:22:48.

elections held last year were illegitimate and should be re-run.

:22:48.:22:51.

The court also ruled that the former prime minister Ahmed Shafiq

:22:51.:22:54.

is eligible to stand in this weekend's presidential election.

:22:54.:23:00.

Rupert Wingfield-Hayes reports from Cairo.

:23:00.:23:06.

Found with the military, they shout. Revolution! The young

:23:06.:23:10.

revolutionaries are back on Tahrir Square tonight, enraged by the

:23:10.:23:14.

Supreme Court's decision to dissolve Egypt's first democratic

:23:14.:23:19.

parliament. The end of the Egyptian revolution. Our dreams now become

:23:19.:23:28.

dead. You can see the anger and the passion on the faces of the young

:23:28.:23:33.

people here. These are the same people who fought to bring down the

:23:33.:23:37.

Hosni Mubarak regime 18 months ago in this same square. Tonight they

:23:37.:23:41.

believe that the military who supported him for so long are

:23:41.:23:46.

trying to steal their revolution. Not all Egyptians are unhappy

:23:47.:23:52.

though. Across town, an equally passionate crowd is suing barmaids

:23:52.:23:58.

Rafique. One year ago, this alive was in disgrace -- Ahmed Shafik.

:23:58.:24:04.

Now he could be on the verge of being proclaimed Egypt's president,

:24:04.:24:08.

an extraordinary turnaround for the old regime. The last year has been

:24:08.:24:12.

about creating a perception of instability that was somewhat

:24:12.:24:16.

greater than the reality on the ground, creating a perception that

:24:16.:24:20.

things were spinning out of control to drive them into the arms of the

:24:20.:24:24.

stability candidate. The question is how well the Muslim Brotherhood

:24:24.:24:31.

reactor. Until today, it controlled Egypt's parliament. Its

:24:31.:24:35.

presidential candidate could still win but to do so, the Muslim

:24:35.:24:38.

Brotherhood must translate anger on the streets today into support for

:24:38.:24:46.

its candidate at the ballot box on Saturday.

:24:47.:24:49.

Harry Redknapp says he enjoyed every minute of his three and a

:24:50.:24:53.

half years as manager of Tottenham Hotspur. He was speaking after the

:24:54.:24:56.

club confirmed his exit, despite Spurs finishing fourth in the

:24:56.:25:01.

Premier League last season. Mr Redknapp had made it known that he

:25:01.:25:04.

wanted to go into the new season on a new three-year deal, but the club

:25:04.:25:10.

was not prepared to make that offer, as James Pearce reports.

:25:10.:25:14.

For good times and bad, there has always been one constant for Harry

:25:14.:25:18.

Redknapp. Happy to give an interview through a car window.

:25:18.:25:25.

Good morning! Difficult 24 hours. What has

:25:25.:25:29.

happened from your perspective. What has happened is obviously I

:25:29.:25:32.

met with the chairman and the club decided to move in a different

:25:32.:25:38.

direction with the manager and that is their decision. I have had four

:25:38.:25:41.

fantastic years at Tottenham, I loved every minute of it. When

:25:41.:25:48.

Harry Redknapp took over at Spurs, he turned a team that was then

:25:48.:25:52.

bottom-of-the-table into a regular top-five finishes, but there were

:25:52.:25:56.

distractions. In February he was found not guilty of tax evasion,

:25:56.:26:01.

after a trial that he described as a nightmare, and there was some bad

:26:01.:26:06.

luck. Last month, Chelsea's Champions' League victory cost

:26:06.:26:09.

Tottenham a place in next season's competition but it was the FA

:26:09.:26:13.

decision to overlook him for the England manager's job that heard

:26:13.:26:20.

him the most. I was very sad. I texted him this afternoon but I do

:26:20.:26:23.

not expect him to reply because I imagine he will be snowed under

:26:23.:26:29.

with sympathetic messages. I am disappointed for him. It is a

:26:29.:26:33.

spectacular reserves fall of fortune for a man who looked to be

:26:33.:26:39.

on the brink of one job that he had always craved -- reversal of

:26:39.:26:42.

fortune. As it turned out, the destruction caused by the England

:26:42.:26:47.

speculation has probably caused a part of his downfall. Perhaps buzz

:26:47.:26:50.

decided Harry Redknapp was not sufficiently committed to their

:26:50.:26:57.

cause -- perhaps Spurs. A recent meeting to discuss a contract

:26:57.:27:02.

extension ended in a contract termination. There seems to have

:27:02.:27:05.

been a breakdown in communication and they cannot agree the terms and

:27:05.:27:09.

it is pretty surprising that Harry is leaving the club on such a

:27:09.:27:14.

position of having got such great success over four years. When Harry

:27:14.:27:18.

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