:00:25. > :00:26.Good afternoon. Britain has been Good afternoon. Britain has been
:00:26. > :00:29.Good afternoon. Britain has been stripped of its triple-A credit
:00:29. > :00:29.stripped of its triple-A credit stripped of its triple-A credit
:00:30. > :00:30.stripped of its triple-A credit rating for the first time in 35
:00:30. > :00:33.rating for the first time in 35 years. The international ratings
:00:33. > :00:34.years. The international ratings agency, Moody's, downgraded the
:00:34. > :00:35.agency, Moody's, downgraded the agency, Moody's, downgraded the
:00:35. > :00:36.status because it expects growth to status because it expects growth to
:00:36. > :00:38.status because it expects growth to remain sluggish for the next few
:00:38. > :00:39.remain sluggish for the next few remain sluggish for the next few
:00:39. > :00:40.years. Labour said it was a years. Labour said it was a
:00:40. > :00:42.years. Labour said it was a humiliating blow for the government,
:00:42. > :00:43.humiliating blow for the government, humiliating blow for the government,
:00:43. > :00:44.which showed their policies on which showed their policies on
:00:44. > :00:45.which showed their policies on working. But the Chancellor, George
:00:45. > :00:47.working. But the Chancellor, George working. But the Chancellor, George
:00:47. > :00:53.Osborne, said it strengthened his Osborne, said it strengthened his
:00:53. > :00:54.Osborne, said it strengthened his resolve to cut the budget deficit.
:00:54. > :00:54.resolve to cut the budget deficit. resolve to cut the budget deficit.
:00:54. > :00:56.resolve to cut the budget deficit. It's the change of just one letter
:00:56. > :00:57.It's the change of just one letter It's the change of just one letter
:00:57. > :01:00.It's the change of just one letter into a number. But it's a downgrade
:01:00. > :01:01.into a number. But it's a downgrade into a number. But it's a downgrade
:01:01. > :01:02.which George Osborne, even in 2009 which George Osborne, even in 2009
:01:02. > :01:04.which George Osborne, even in 2009 before he was in government, had
:01:04. > :01:05.before he was in government, had before he was in government, had
:01:05. > :01:06.before he was in government, had fought to avoid. One of the things
:01:06. > :01:07.fought to avoid. One of the things fought to avoid. One of the things
:01:07. > :01:09.fought to avoid. One of the things I'm very keen on doing is to
:01:09. > :01:11.I'm very keen on doing is to preserve Britain's international
:01:11. > :01:11.preserve Britain's international preserve Britain's international
:01:11. > :01:13.credit rating. It is absolutely credit rating. It is absolutely
:01:13. > :01:14.credit rating. It is absolutely essential we don't have the
:01:14. > :01:16.essential we don't have the essential we don't have the
:01:16. > :01:17.downgrade that hangs over the downgrade that hangs over the
:01:17. > :01:18.downgrade that hangs over the country. Fast-forward to 2013 and
:01:19. > :01:20.country. Fast-forward to 2013 and country. Fast-forward to 2013 and
:01:20. > :01:22.the ratings agency Moody's has the ratings agency Moody's has
:01:22. > :01:23.downgraded Britain's credit rating. downgraded Britain's credit rating.
:01:23. > :01:24.downgraded Britain's credit rating. downgraded Britain's credit rating.
:01:24. > :01:25.I think this is a stark reminder of I think this is a stark reminder of
:01:25. > :01:27.I think this is a stark reminder of the debt problems that Britain
:01:27. > :01:28.the debt problems that Britain the debt problems that Britain
:01:28. > :01:29.faces. And the clearest possible faces. And the clearest possible
:01:29. > :01:30.faces. And the clearest possible faces. And the clearest possible
:01:30. > :01:31.warning to anyone who thinks we can warning to anyone who thinks we can
:01:31. > :01:33.warning to anyone who thinks we can run away from dealing with those
:01:33. > :01:33.run away from dealing with those run away from dealing with those
:01:33. > :01:35.problems. Far from weakening our problems. Far from weakening our
:01:35. > :01:36.problems. Far from weakening our problems. Far from weakening our
:01:36. > :01:39.resolve to deal with the debt, we resolve to deal with the debt, we
:01:39. > :01:41.resolve to deal with the debt, we should redouble our resolve.
:01:41. > :01:42.should redouble our resolve. should redouble our resolve.
:01:42. > :01:42.reasons given for the downgrade reasons given for the downgrade
:01:42. > :01:45.reasons given for the downgrade include the economy taking longer
:01:45. > :01:46.include the economy taking longer include the economy taking longer
:01:46. > :01:47.to get back into shape and to get back into shape and
:01:47. > :01:49.to get back into shape and Britain's debts still being too
:01:49. > :01:52.Britain's debts still being too Britain's debts still being too
:01:52. > :01:52.Britain's debts still being too high. Its theory it could push up
:01:52. > :01:54.high. Its theory it could push up countries cost of borrowing,
:01:54. > :01:54.countries cost of borrowing, countries cost of borrowing,
:01:54. > :01:55.although many analysts say the although many analysts say the
:01:55. > :01:57.although many analysts say the financial sector had been expecting
:01:57. > :01:58.financial sector had been expecting financial sector had been expecting
:01:58. > :02:01.financial sector had been expecting it and had already factored it in.
:02:01. > :02:01.it and had already factored it in. it and had already factored it in.
:02:01. > :02:02.But politically it is embarrassing But politically it is embarrassing
:02:02. > :02:04.But politically it is embarrassing for the Chancellor. I always said
:02:04. > :02:05.for the Chancellor. I always said for the Chancellor. I always said
:02:05. > :02:05.to George Osborne, don't set your to George Osborne, don't set your
:02:06. > :02:07.to George Osborne, don't set your policy by the credit rating
:02:07. > :02:08.policy by the credit rating policy by the credit rating
:02:08. > :02:10.agencies. They've got things so agencies. They've got things so
:02:10. > :02:11.agencies. They've got things so agencies. They've got things so
:02:11. > :02:12.wrong in the past. But he said no, wrong in the past. But he said no,
:02:12. > :02:13.wrong in the past. But he said no, that is my number one imperative.
:02:13. > :02:15.that is my number one imperative. that is my number one imperative.
:02:15. > :02:16.that is my number one imperative. He said it would be humiliating to
:02:16. > :02:16.He said it would be humiliating to He said it would be humiliating to
:02:17. > :02:18.He said it would be humiliating to lose 888. He said if he had bigger
:02:18. > :02:19.lose 888. He said if he had bigger lose 888. He said if he had bigger
:02:19. > :02:21.lose 888. He said if he had bigger tax rise and spending cuts he would
:02:21. > :02:21.tax rise and spending cuts he would tax rise and spending cuts he would
:02:21. > :02:24.tax rise and spending cuts he would keep that rating. But he and his
:02:24. > :02:25.keep that rating. But he and his keep that rating. But he and his
:02:25. > :02:25.policy had failed. Next month policy had failed. Next month
:02:25. > :02:26.policy had failed. Next month George Osborne will come to
:02:26. > :02:28.George Osborne will come to George Osborne will come to
:02:28. > :02:29.Parliament to deliver his Budget. Parliament to deliver his Budget.
:02:29. > :02:29.Parliament to deliver his Budget. Parliament to deliver his Budget.
:02:30. > :02:30.He will say he's carrying on with He will say he's carrying on with
:02:30. > :02:33.He will say he's carrying on with the same economic plan to bring
:02:33. > :02:34.the same economic plan to bring the same economic plan to bring
:02:34. > :02:35.down the deficit. But today's down the deficit. But today's
:02:35. > :02:36.down the deficit. But today's downgrade gives ammunition to his
:02:36. > :02:37.downgrade gives ammunition to his downgrade gives ammunition to his
:02:37. > :02:42.opponents who say the Chancellor opponents who say the Chancellor
:02:42. > :02:43.opponents who say the Chancellor has got it wrong. Our business
:02:43. > :02:44.has got it wrong. Our business has got it wrong. Our business
:02:44. > :02:46.has got it wrong. Our business reported joins me now. Do you think
:02:46. > :02:47.reported joins me now. Do you think reported joins me now. Do you think
:02:47. > :02:49.we should be concerned by this we should be concerned by this
:02:49. > :02:50.we should be concerned by this we should be concerned by this
:02:50. > :02:51.downgrade? On the face of it, not a downgrade? On the face of it, not a
:02:51. > :02:52.downgrade? On the face of it, not a downgrade? On the face of it, not a
:02:52. > :02:53.lot is going to really change. The lot is going to really change. The
:02:53. > :02:55.lot is going to really change. The markets have factored this in
:02:55. > :02:55.markets have factored this in markets have factored this in
:02:55. > :02:56.already, they were ahead of the already, they were ahead of the
:02:56. > :02:57.already, they were ahead of the already, they were ahead of the
:02:57. > :02:59.curve when it came to their view of curve when it came to their view of
:02:59. > :03:00.curve when it came to their view of curve when it came to their view of
:03:00. > :03:01.the state of the UK economy. What the state of the UK economy. What
:03:01. > :03:02.the state of the UK economy. What the state of the UK economy. What
:03:02. > :03:03.is interesting, just to put it into is interesting, just to put it into
:03:03. > :03:04.is interesting, just to put it into context, there are only two
:03:04. > :03:05.context, there are only two context, there are only two
:03:05. > :03:08.context, there are only two economies in the G7 that still have
:03:08. > :03:09.economies in the G7 that still have economies in the G7 that still have
:03:09. > :03:11.the triple-A rating intact. They the triple-A rating intact. They
:03:11. > :03:12.the triple-A rating intact. They are Germany and Canada. Last year
:03:12. > :03:12.are Germany and Canada. Last year are Germany and Canada. Last year
:03:13. > :03:14.are Germany and Canada. Last year we saw that the United States and
:03:14. > :03:15.we saw that the United States and we saw that the United States and
:03:15. > :03:16.France also had their it rating France also had their it rating
:03:16. > :03:17.France also had their it rating France also had their it rating
:03:17. > :03:18.downgraded in the same way the UK downgraded in the same way the UK
:03:19. > :03:19.downgraded in the same way the UK house. You would normally expect
:03:19. > :03:21.house. You would normally expect house. You would normally expect
:03:21. > :03:22.that the cost of borrowing would that the cost of borrowing would
:03:22. > :03:23.that the cost of borrowing would rise because investors feel it's
:03:23. > :03:24.rise because investors feel it's rise because investors feel it's
:03:24. > :03:25.rise because investors feel it's more risky to lend money to those
:03:25. > :03:26.more risky to lend money to those more risky to lend money to those
:03:26. > :03:27.governments. In that case it did governments. In that case it did
:03:27. > :03:28.governments. In that case it did not happen. It's also likely we
:03:28. > :03:30.not happen. It's also likely we not happen. It's also likely we
:03:30. > :03:31.not happen. It's also likely we will see the same here. What this
:03:32. > :03:32.will see the same here. What this will see the same here. What this
:03:32. > :03:33.will see the same here. What this will see the same here. What this
:03:33. > :03:34.does Anna -- and a line is the lack does Anna -- and a line is the lack
:03:34. > :03:35.does Anna -- and a line is the lack does Anna -- and a line is the lack
:03:35. > :03:35.of growth in the UK economy. It's of growth in the UK economy. It's
:03:36. > :03:36.of growth in the UK economy. It's of growth in the UK economy. It's
:03:36. > :03:38.very hard to see where any growth very hard to see where any growth
:03:38. > :03:40.will come from, particularly will come from, particularly
:03:40. > :03:40.will come from, particularly will come from, particularly
:03:40. > :03:42.because of the eurozone. It is our because of the eurozone. It is our
:03:42. > :03:43.because of the eurozone. It is our biggest trading partner, yet just
:03:43. > :03:44.biggest trading partner, yet just biggest trading partner, yet just
:03:44. > :03:46.this week we heard the economy this week we heard the economy
:03:46. > :03:47.this week we heard the economy this week we heard the economy
:03:47. > :03:48.there is shrinking by 0.3 % again. there is shrinking by 0.3 % again.
:03:48. > :03:49.there is shrinking by 0.3 % again. there is shrinking by 0.3 % again.
:03:49. > :03:50.With such a bleak outlook for our With such a bleak outlook for our
:03:50. > :03:51.With such a bleak outlook for our With such a bleak outlook for our
:03:51. > :03:52.trading partner, here in the UK it trading partner, here in the UK it
:03:52. > :03:55.trading partner, here in the UK it is difficult to see whether growth
:03:55. > :03:57.is difficult to see whether growth is difficult to see whether growth
:03:57. > :03:58.is difficult to see whether growth will come from. The UKIP MEP has
:03:58. > :03:59.will come from. The UKIP MEP has will come from. The UKIP MEP has
:03:59. > :04:00.announced she is defecting to the announced she is defecting to the
:04:00. > :04:01.announced she is defecting to the Conservative Party. She said she
:04:01. > :04:02.Conservative Party. She said she Conservative Party. She said she
:04:02. > :04:04.was leaving UKIP because the party was leaving UKIP because the party
:04:04. > :04:05.was leaving UKIP because the party leader, Nigel Farage, treated any
:04:05. > :04:07.leader, Nigel Farage, treated any leader, Nigel Farage, treated any
:04:07. > :04:09.views other than his own with views other than his own with
:04:09. > :04:10.views other than his own with contempt. She also praised David
:04:10. > :04:11.contempt. She also praised David contempt. She also praised David
:04:11. > :04:13.Cameron's plans to hold a Cameron's plans to hold a
:04:13. > :04:15.referendum on EU membership. referendum on EU membership.
:04:15. > :04:17.referendum on EU membership. Michael Baros responded by calling
:04:17. > :04:19.Michael Baros responded by calling her an impossible woman.
:04:19. > :04:20.her an impossible woman. her an impossible woman.
:04:20. > :04:21.Authorities have confirmed that six Authorities have confirmed that six
:04:21. > :04:22.underground storage tanks are underground storage tanks are
:04:22. > :04:24.underground storage tanks are underground storage tanks are
:04:24. > :04:25.looking at a nuclear site in the US looking at a nuclear site in the US
:04:25. > :04:28.looking at a nuclear site in the US state of Washington. The governor
:04:28. > :04:30.state of Washington. The governor state of Washington. The governor
:04:30. > :04:31.they described the situation as they described the situation as
:04:31. > :04:32.they described the situation as disturbing news. But insists there
:04:32. > :04:34.disturbing news. But insists there disturbing news. But insists there
:04:34. > :04:35.disturbing news. But insists there is no risk to human health. The
:04:35. > :04:36.is no risk to human health. The is no risk to human health. The
:04:36. > :04:37.site has nearly 200 ageing site has nearly 200 ageing
:04:37. > :04:38.site has nearly 200 ageing containers that hold millions of
:04:38. > :04:40.containers that hold millions of containers that hold millions of
:04:40. > :04:42.litres of radioactive waste from litres of radioactive waste from
:04:42. > :04:43.plutonium production for nuclear plutonium production for nuclear
:04:43. > :04:44.plutonium production for nuclear weapons. Oscar Pistorius has spent
:04:44. > :04:45.weapons. Oscar Pistorius has spent weapons. Oscar Pistorius has spent
:04:45. > :04:46.weapons. Oscar Pistorius has spent his first full day out of custody
:04:46. > :04:47.his first full day out of custody his first full day out of custody
:04:47. > :04:49.since being granted bail. The since being granted bail. The
:04:49. > :04:50.Paralympian faces murder charges Paralympian faces murder charges
:04:50. > :04:52.Paralympian faces murder charges over the shooting of his girlfriend,
:04:52. > :04:53.over the shooting of his girlfriend, over the shooting of his girlfriend,
:04:53. > :04:54.Reeva Steenkamp, who he claims he Reeva Steenkamp, who he claims he
:04:54. > :04:55.Reeva Steenkamp, who he claims he killed by mistake in the belief
:04:55. > :04:56.killed by mistake in the belief killed by mistake in the belief
:04:56. > :04:57.killed by mistake in the belief that she was an intruder. He will
:04:57. > :05:00.that she was an intruder. He will that she was an intruder. He will
:05:00. > :05:01.that she was an intruder. He will be tried later this year. It is
:05:01. > :05:02.be tried later this year. It is be tried later this year. It is
:05:02. > :05:03.part of his bail conditions that part of his bail conditions that
:05:03. > :05:05.part of his bail conditions that Oscar Pistorius lives not in his
:05:05. > :05:06.Oscar Pistorius lives not in his Oscar Pistorius lives not in his
:05:07. > :05:08.Oscar Pistorius lives not in his own home but at his uncle's house.
:05:08. > :05:08.own home but at his uncle's house. own home but at his uncle's house.
:05:08. > :05:10.The private security guards are The private security guards are
:05:10. > :05:10.The private security guards are The private security guards are
:05:10. > :05:12.there to try to keep the media there to try to keep the media
:05:12. > :05:13.there to try to keep the media under control. There's been no sign
:05:13. > :05:15.under control. There's been no sign under control. There's been no sign
:05:15. > :05:18.of Mr Pistorius himself, but this of Mr Pistorius himself, but this
:05:18. > :05:19.of Mr Pistorius himself, but this morning parole officers arrived. Mr
:05:19. > :05:20.morning parole officers arrived. Mr morning parole officers arrived. Mr
:05:20. > :05:22.morning parole officers arrived. Mr Pistorius' bail has been set at 1
:05:22. > :05:23.Pistorius' bail has been set at 1 Pistorius' bail has been set at 1
:05:23. > :05:24.million rand, about �74,000. He's million rand, about �74,000. He's
:05:24. > :05:26.million rand, about �74,000. He's had to surrender his passport and
:05:26. > :05:27.had to surrender his passport and had to surrender his passport and
:05:27. > :05:28.any firearms. He's banned from any firearms. He's banned from
:05:28. > :05:29.any firearms. He's banned from taking any drugs or alcohol and
:05:29. > :05:30.taking any drugs or alcohol and taking any drugs or alcohol and
:05:30. > :05:32.must report to a police station must report to a police station
:05:32. > :05:33.must report to a police station twice a week. The headlines are
:05:33. > :05:34.twice a week. The headlines are twice a week. The headlines are
:05:34. > :05:35.still full of the Pistorius story still full of the Pistorius story
:05:35. > :05:35.still full of the Pistorius story still full of the Pistorius story
:05:35. > :05:38.and the nation is divided over the and the nation is divided over the
:05:38. > :05:41.and the nation is divided over the and the nation is divided over the
:05:41. > :05:42.decision to give him bail. I was so decision to give him bail. I was so
:05:42. > :05:43.decision to give him bail. I was so disappointed. This is saying to us
:05:44. > :05:45.disappointed. This is saying to us disappointed. This is saying to us
:05:45. > :05:48.disappointed. This is saying to us to say that people can just shoot
:05:48. > :05:49.to say that people can just shoot to say that people can just shoot
:05:49. > :05:52.to say that people can just shoot and be given bail. Can we hold this
:05:52. > :05:52.and be given bail. Can we hold this and be given bail. Can we hold this
:05:52. > :05:54.and be given bail. Can we hold this guy here? That's all that is being
:05:54. > :05:54.guy here? That's all that is being guy here? That's all that is being
:05:54. > :05:56.guy here? That's all that is being decided not. I don't think he is a
:05:56. > :05:58.decided not. I don't think he is a decided not. I don't think he is a
:05:58. > :05:59.flight risk. He's a national figure flight risk. He's a national figure
:05:59. > :06:01.flight risk. He's a national figure who is well-known. That's all there
:06:01. > :06:02.who is well-known. That's all there who is well-known. That's all there
:06:02. > :06:03.who is well-known. That's all there is to it. The prosecution and the
:06:03. > :06:04.is to it. The prosecution and the is to it. The prosecution and the
:06:04. > :06:06.is to it. The prosecution and the defence will now spend the next few
:06:06. > :06:07.defence will now spend the next few defence will now spend the next few
:06:07. > :06:08.months preparing their cases. Oscar months preparing their cases. Oscar
:06:08. > :06:10.months preparing their cases. Oscar Pistorius says he shot his
:06:10. > :06:12.Pistorius says he shot his girlfriend, Reeva Steenkamp, by
:06:12. > :06:13.girlfriend, Reeva Steenkamp, by girlfriend, Reeva Steenkamp, by
:06:13. > :06:14.mistake, thinking she was an mistake, thinking she was an
:06:14. > :06:16.mistake, thinking she was an intruder. The police say it was
:06:16. > :06:17.intruder. The police say it was premeditated murder. Mr Pistorius
:06:17. > :06:20.premeditated murder. Mr Pistorius premeditated murder. Mr Pistorius
:06:20. > :06:21.premeditated murder. Mr Pistorius is due back in court in June. A
:06:21. > :06:22.is due back in court in June. A is due back in court in June. A
:06:22. > :06:24.mural by the graffiti artist Banksy mural by the graffiti artist Banksy
:06:24. > :06:25.mural by the graffiti artist Banksy mural by the graffiti artist Banksy
:06:25. > :06:26.that was taken from the wall of a that was taken from the wall of a
:06:26. > :06:28.that was taken from the wall of a shop in north London could fetch
:06:28. > :06:29.shop in north London could fetch shop in north London could fetch
:06:29. > :06:31.more than �450,000 when it is more than �450,000 when it is
:06:31. > :06:33.more than �450,000 when it is auctioned today in Miami. The image
:06:33. > :06:35.auctioned today in Miami. The image auctioned today in Miami. The image
:06:35. > :06:37.of slave-labour depicts a young boy of slave-labour depicts a young boy
:06:37. > :06:38.of slave-labour depicts a young boy hunched over a sewing machine,
:06:38. > :06:39.hunched over a sewing machine, hunched over a sewing machine,
:06:39. > :06:41.making Union Jack bunting. It making Union Jack bunting. It
:06:41. > :06:42.disappeared in mysterious disappeared in mysterious
:06:42. > :06:44.circumstances. England have beaten circumstances. England have beaten
:06:44. > :06:45.circumstances. England have beaten circumstances. England have beaten
:06:45. > :06:46.New Zealand by five wickets in the New Zealand by five wickets in the
:06:46. > :06:47.third one-day international in third one-day international in
:06:47. > :06:49.third one-day international in third one-day international in
:06:49. > :06:49.Auckland, to seal a 2-1 series win. Auckland, to seal a 2-1 series win.
:06:49. > :06:51.Auckland, to seal a 2-1 series win. Stephen been led the attack,
:06:51. > :06:52.Stephen been led the attack, Stephen been led the attack,
:06:53. > :06:54.claiming three wickets for 27 runs. claiming three wickets for 27 runs.
:06:54. > :06:55.claiming three wickets for 27 runs. claiming three wickets for 27 runs.
:06:55. > :06:57.He removed both openers to set a He removed both openers to set a
:06:57. > :06:59.He removed both openers to set a trend for the match. The tourists
:06:59. > :07:00.trend for the match. The tourists trend for the match. The tourists
:07:00. > :07:01.trend for the match. The tourists dismissed the Kiwis for 185 and one
:07:01. > :07:01.dismissed the Kiwis for 185 and one dismissed the Kiwis for 185 and one
:07:01. > :07:03.dismissed the Kiwis for 185 and one that 75 balls to spare. Their first