31/07/2011

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:00:23. > :00:26.Good afternoon. President Obama has held more talks with Democrat and

:00:26. > :00:30.Republican leaders in Congress as part of last ditch effort to break

:00:30. > :00:34.the deadlock in the US debt crisis. There are two days before the

:00:34. > :00:39.deadline runs out for reaching an agreement that will allow the

:00:39. > :00:43.American government to continue paying its Bach -- paying its bills.

:00:43. > :00:48.Democrats and Republicans can't agree on how to tackle America's

:00:48. > :00:53.spending habits. Their rival plans share common goals but the

:00:53. > :00:58.Democrats favour one that bankrolls America until 2013. There are some

:00:58. > :01:03.signs a compromise may be on the cards. I am glad to see this move

:01:03. > :01:06.towards co-operation and compromise, I hope it bears fruit. I am

:01:06. > :01:10.confident that a final agreement which will adopt a long-term

:01:11. > :01:15.approach rather than the short-term band-aid will move forward.

:01:15. > :01:18.That has been the sticking point the House want to see. It want to

:01:18. > :01:23.see a much smaller rise in the debt, a plan which would allow Congress

:01:23. > :01:28.to address the same issue again in six months. Both parties accuse

:01:28. > :01:33.each other of failing to compromise, but amid the acrimony they are

:01:33. > :01:37.increasingly desperate to reach an agreement. I think we all know that

:01:37. > :01:42.if the President decides to reach an agreement with us, the Democrats,

:01:42. > :01:46.most of them, will fall in line. He is the leader of the Democratic

:01:46. > :01:50.Party, the President of the country. He needs to indicate what he will

:01:50. > :01:53.sign. We are in those discussions now.

:01:53. > :01:58.After another week of political soap opera, Republicans and

:01:58. > :02:02.Democrats are still deadlocked. Both sides are now turning to

:02:02. > :02:08.President Obama in the hope he can find a solution before the US

:02:08. > :02:12.Treasury runs out of cash. Human rights groups say at least 45

:02:12. > :02:17.have been killed in Syria after government forces launched an

:02:17. > :02:20.attack on the city of Hama. Residents say there has been heavy

:02:20. > :02:24.gunfire after tanks entered the city at dawn, overrunning

:02:24. > :02:28.roadblocks. Hama has been one of the main centres of recent anti-

:02:28. > :02:32.government demonstrations. Labour has accused the Government

:02:32. > :02:35.of shifting NHS funding in England from poorer areas towards richer

:02:35. > :02:39.parts of the country, saying changes to the way funding is

:02:39. > :02:44.calculated means areas with poor health rates would be given less

:02:44. > :02:47.consideration when money is at -- allocated. The Government has

:02:47. > :02:52.rejected the accusations and says NHS funding has increased across

:02:52. > :02:56.the whole country. The NHS is changing, so is its

:02:57. > :03:02.funding formula. The man in charge, Health Secretary Andrew Lansley,

:03:02. > :03:05.who was forced to rethink some of his reforms recently, is under fire

:03:05. > :03:09.again. Labour accused him of harming the poor to help the rich.

:03:09. > :03:14.Using figures calculated by public health bodies in Manchester, Labour

:03:14. > :03:18.is a poorer parts of England - not just Manchester but also Liverpool

:03:18. > :03:24.and Tower Hamlets in East London - will lose out when health spending

:03:24. > :03:28.is reallocated, but richer areas will benefit. The Government is not

:03:28. > :03:32.taking into account health inequalities as it used to in

:03:32. > :03:36.allocating money. Inevitably if you don't take health inequalities into

:03:36. > :03:40.account sufficiently, poorer areas lose money.

:03:40. > :03:45.Mr Lansley dismisses the figures as misleading and says Labour's policy

:03:45. > :03:50.of targeting funding at more deprived areas did not work. Under

:03:50. > :03:54.Labour, money was being allocated, in theory, to deal with health

:03:54. > :03:59.inequalities, but none of it was spent on that. The Government says

:03:59. > :04:04.NHS funding is going up in real terms. The less well-off area of

:04:04. > :04:09.Tower Hamlets will see a funding increase of 2.7%, very similar to

:04:09. > :04:12.the rise in the better off area of Surrey, which will receive 2.6%.

:04:13. > :04:17.The Health Secretary says the new formula will help tackle

:04:17. > :04:21.inequalities. We will take the public health budget and allocated

:04:21. > :04:26.to local authorities who will be able to use it to tackle issues

:04:26. > :04:29.like obesity, smoking and alcohol abuse. Labour believe the