08/12/2011 Dragon's Eye


08/12/2011

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Is a deal to save the euro-zone top of our politicians's Christmas

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Good evening. All eyes are on Brussels this evening as European

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leaders try to work out a plan to solve the debt crisis crippling the

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Eurozone. The Prime Minister says he'll defend British interests in

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those discussions - but for many of his backbenchers that means drawing

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powers back to the UK. So will David Cameron be able to strike a

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balance between the Eurosceptics at home and playing a part in avoiding

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economic meltdown across Europe? If you would have predicted all of

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this last year, they would probably have thrown you out of the cross-

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party. A single currency on the brink, the government of Greece and

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Italy collapsing, and the debt crisis threatening to spiral out of

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control, shaking the foundations of the world economy. No shortage of

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people keen to point out just how bleak everything looks. The crisis

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in the euro-zone is having a chilling effect... Help them

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resolve this issue... No one who looks at the current position could

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deny that it is extraordinarily serious. So in this enormous all in

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Brussels, the latest attempt to try and sort out the mass is getting

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under way. The phrase make or break his used often when it comes to

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European summit. Perhaps this one deserves the description more than

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most. Tonight, Europe's political big beasts arrived to discuss new

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budgetary rules drawn up by Germany and France, that would impose

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penalties for countries that overspend. That proposal, according

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to some, represents a fundamental shift in European politics. Inter-

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governmental decisions are being taken once again by France and

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Germany, and that is a problem for those who are... People who believe

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in the Community method, which is all 27. For two countries to be

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making the decisions are 17 is not appropriate. Other sense that the

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from the euro-zone crisis has caused a political shift elsewhere.

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At Westminster, in the shadow of Parliament, the statue commemorates

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the siege of the French port of Calais in the 12th century by King

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Edward the third. The Prime Minister must have felt under siege

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from his own backbenchers yesterday. No taxation without representation.

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It is the bastion of freedom. EU summit is a defining moment, a

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once-in-a-lifetime opportunity. Will the promise to seize the

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moment? Will the Prime Minister do Britain proud on Friday, and show

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some bulldog spirit in Brussels? The Euro-sceptics on the right have

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been re-energised, and that, to say the least, could prove

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uncomfortable for Mr Cameron at the helm but his coalition. But a Tory

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MP more sympathetic to the European cause senses a more general shift.

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It may well be that we are starting to see a repositioning in politics

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in which escapes isn't moves to be more of a mainstream concept. --

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scepticism. As one who has been sceptical -- positive about our

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membership of the European Union, I am worried about that. But I think

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people in Wales need to be reminded regularly about how important

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markets in Europe are. There has been a shift because of the

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difficulties of the euro-zone has experienced. We have all got

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reservations of one kind or another. I think many of us did make

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criticisms of the way the was put together 10 years ago or more. --

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the euro-zone. What is important is we don't try and put the clock back

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but deal with the problems we are faced with. At least one Labour

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politician was either -- eager to nail his pro-European views to the

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mast yesterday. The Welsh government is unashamedly pro-

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European, and I fully support measures to improve the stability

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of the euro-zone. It is clearly in everyone's interest. I urged member

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states to show regard for the common European good while standing

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firm for disciplined financial management. He was speaking at a

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conference held in Cardiff Bay to discuss the impact the euro-zone a

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crisis is having on Wales. It is not a pretty picture. We want to

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make sure that Welsh businesses have export markets to export to,

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and we depend on Europe for a lot of our goods, so it is a two-way

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trade, a lot of our imports come from Europe. The price of that will

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be affected if the crisis continues, so it is a everybody's interest for

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the whole thing to be stabilised. It is in the interest of Welsh

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distances that the eurozone is a success. Back here, there are few

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signs of the Christmas spirit, but I don't think there will be much

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appetite among the political leaders tonight to share in festive

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cheer. With the EU struggling to deal with the biggest crisis in its

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history, nobody expects the economic forecasts to improve

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anywhere, anytime soon. That was Owain Clarke from Brussels.

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Well, joining us now from our Aberystwyth studio is Sir Emyr

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Jones Parry - a former senior diplomat who has worked right at

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the very heart of UK relations with the European Union. Good evening.

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The summit has been described as do or die by many, is that how you see

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it? It is a very important summit. There have been lots of artificial

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deadlines, but there really is an urgent need to reassure the markets,

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to stabilise the markets, to give some indication that when the next

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set of bonds become due for repayment in Greece, and others

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come up in other countries, that repayments will be made, and that

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above all, new investment will be made at reasonable rates. That is

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the challenge, and what we have got in this summit is a chance in the

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short term -- short-term to send that message, but also, through the

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proposed changes to fiscal rules governing the euro-zone, to try and

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demonstrate to the markets that there is a fundamental wished to

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tackle the basic problems. And the basic problems are technically

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difficult. How can be tested is the south, how can you cope with those

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problems -- how competitive is the South? It is a big, big technical

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challenge and a political challenge. Huge issues, as you say, much has

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been made up of the balloting at facing David Cameron with the Euro-

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sceptics on the Conservative backbenches. And also, needing to

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play a part in come up with some of the solutions to this. How do you

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think he should or will play it? think he will stand up for British

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interests. But it is politically difficult for everyone to stop

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France and Germany have come up with proposals, the rest will be

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pleased but a bit irritated at two countries are dictated. --

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dictating. France wants the Germans to support bonds and the European

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Central Bank to do more financing, Germany wants tighter fiscal rules,

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which France doesn't want. Then for the Prime Minister, he has been

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criticising, rightly, the lack of action, but that when the river him

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is he could be put in the position where he is the person abstracting

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action by the rest. Do you think of a domestic situation in the UK and

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the political pressures on him it will hold him back from playing a

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constructive role in these sessions? I am sure he will be as

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constructive as he can be, given that we are not one of the 17 in

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the euro-zone. But he has a legitimate point of view that

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whatever is put in place, it shouldn't affect the fairness, the

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integrity of the single market, it shouldn't disadvantage London and

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the financial institutions. Those should be defended strongly. At the

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same time, he has to contribute to the settlement, but that will be

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most important but the 17th. were at the Foreign Office at the

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time of the Maastricht treaty, those discussions, any lessons from

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that period for David Cameron now? I think at the time, John Major was

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quite right to obtain the opt-out for Britain to stop he did that,

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and I am sure the Prime Minister tonight and tomorrow at will ensure

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we are not been brought in something which neither the

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government nor Parliament will want us to be part of, nor will we want

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to be disadvantaged by the action of others. But we have a keen

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interest in seeing this situation stabilised, getting the market's

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return towards normality, because our interests are very much at

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stake, all the trade we have with the rest of the European Union, it

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is brattle for British interests. thank you.

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It's the final week of business in the Assembly before Christmas and

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the First Minister has wrapped things up today with an end of term

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press conference. Earlier I spoke to Carwyn Jones and asked him is

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he's satisfied with his Government's achievements over the

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past year. Absolutely. We have provided a lot of packages of

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support the economy, started to introduce new laws, after the

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powers that the people of Wales granted us in May, and we have made

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sure that we have fought Wales's corner, particularly the UK

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government's acceptance of the need to look at the way Wales is funded.

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As the Conservatives have pointed out, you have only tabled one piece

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of legislation in that time, is that a satisfactory? They cannot

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have it both ways. They have complained they wanted us to

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produce white papers and send them out to consultation, then make sure

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we drafted new bills, they cannot say on the one hand that things are

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slow, because they themselves wanted to have this system, to make

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sure the appropriate level of scrutiny was in place. We have

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started work on a number of new bills. You will be familiar with

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the criticisms from the opposition parties, they have talked about you

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being complacent, there has been our lack of leadership, there has

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been avoiding. Are you concerned these labels make stick? When other

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parties have a go at you personally, it shows they are afraid of you. We

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have shown the way in terms of new ideas for Wales, we had the best

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manifesto, the best ideas in terms of legislation, and we are moving

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forward with those. Those attacks don't impress me, I know full well

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but they are worried. They say it isn't a personal attack, but the

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policies you put forward have shown that you are complacent rather than

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you as an individual, maybe. If you look at the Conservative point of

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view, they would say we are complacent because we're not doing

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what they are doing in England. When it comes to Plaid Cymru, there

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were no ideas for new laws at all in their manifesto. We have put

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forward ideas that are ambitious for Wales and will provide some

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sense of optimism given the economic gloom that pervades the UK.

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You have talked about the economic situation, which is dominating

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everything, we have unemployment in Wales and 9%, youth unemployment at

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over 22%. Looking ahead to next year, how bad you think things will

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get here in Wales? It is difficult to see an improvement. We are doing

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what we can, we have as seen -- scheme that will put 4000 young

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people into training, we have �55 million available for small

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businesses to help them through the difficulties, we have put capital

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project support of over �130 million to make sure that new

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buildings are built, which will create jobs in the building sector

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as well. We have made sure that �1.4 billion is going into building

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new schools. These things will all help people in getting new skills

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in the future, but also create jobs. The opposition parties have

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emphasised that you're ready to blame the UK government for the

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economic woes of Wales. Do you take responsibility for the economic

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condition of Wales's to UK government does bear responsibility.

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I'm not saying that we sit back and do nothing, of course not, we have

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shown that does not happen with all we have done and all the money we

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have put in over the course of the last month particularly. But I

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don't think the UK government's proposals to cut the pay of public

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sector workers in Wales simply because they live in Wales is

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something I can let go without You talk about regional pay. What

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are your proposals on that? The Chancellor says this could happen

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in the short to medium term? I do not accept that people who live in

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Wales should be paid less for doing the same job as people in the south

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of England. That is absolutely wrong. It is absolutely immoral. I

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will fight it tooth and nail. All that would do is reduce the amount

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of money going into people's pockets in Wales. That is wrong.

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The forecasts are pretty gloomy in terms of the economy. What can the

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Welsh Government offered to lift people's spirits? Selling Wales is

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what we're going to do. I had been to China. I will be going to India

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and the United States next year. We have people who are ambitious, who

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want to move forward, people with the right skills. It is important

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we do that. This is where the investment money is at the moment.

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We have good relations with China that I think will bear fruit.

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final question, just about the allegations of malpractice against

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a couple of exams board examiners, it must be disappointing to see

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these allegations made against a Welsh body? Yes. I am aware of the

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allegations. The Education Minister has asked for an investigation.

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They must be a thorough investigation so we know what has

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happened. - there must be. Now, when it comes to education, Carwyn

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Jones' government has pledged to drive up standards - and Ministers

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say ranking schools in five performance bands is part of the

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answer. Today secondary schools found out in which band they've

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been placed. I asked Philip Dixon, Director of the Association of

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Teachers and Lecturers Cymru, whether they accept this isn't

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about naming and shaming schools but about improvement. The

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Education Minister is clear about this. It is not about naming and

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shaming schools. It is about improvement. Do you accept that?

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That is his intention and that is to be welcomed. What we have seen

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today is the naming of schools. There seems to be very little in

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the way of support. That is a real concern. When you talk about

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supporter, do you mean financial support? I would hope they would be

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some financial support. That seems to be ruled out. There is other

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support. Supporting teachers in class, supporting headteachers etc.

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None of that seems to be getting to the front line. They have promised

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four regional boards that will work on improvement in schools. That

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will surely answer your concerns? That will be next year. They will

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start around about September. There is almost a gap of the year between

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the naming and the support. What schools will want from tomorrow is

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the support. Our you opposed to banding schools? This idea was

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originally about giving extra support to schools. And number in

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the profession welcomed it. The crude ranking we have seen in

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England with the rankings does not work. We have to see more support

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in the system. That is not there. Schools have to be accountable.

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Schools want to be accountable. But you have to have intelligent

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accountability. I am not quite sure that letting them dangle before

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Christmas without a supporter is right. What about the incentives

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this provides? The fact they can move up? That is how the league

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tables in England were supposed to work. They did not. My worry is

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those who find themselves in the bottom band will find themselves

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completely demoralised. I do not think you can expose people and say,

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now improve your cells. Often they will need outside support. If a

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child is not very good at maths, it would help them to know the other

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scores of other children, because often children can help each other.

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What we have here, I am afraid, is that the scores have been published

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and these child, as it were, has been left bereft. You talk about

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accountability. What about the role of parents? It is important, isn't

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it, that they have an idea of how local schools are performing?

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Quite often parents make judgments on a variety of indicators. I think

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we have seen some perverse consequences today. There is a

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school in the First Minister's constituency which finds itself in

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band five. These things are not marrying up properly. Some parents

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will be puzzled by the information today. Thank you for joining me.

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The festive season is upon us, and we all recall Dickens tale of the

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ghosts of Christmases past, present and yet to come. Well, never ones

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to miss out on a good yarn, Dragon's Eye asked the Western

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Mail's very own Ebenezer Scrooge, Matt Withers, for his take on

:19:57.:20:07.
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what's been, what's gone and what's If 2011 was the worst of times,

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2012 could be even worse. This year saw the UK Government withdraw much

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of its funding. There was so-so and rest on the streets of London. --

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social unrest. What would dickens had made a bit? He described credit

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as when a person who cannot pay asking another person who can pay,

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guarantee that he can. In Wales, 2012 will be a tale of governments

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:21:14.:21:14.

in O2 macro cities, Cardiff and London. -- two cities. The

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Conservatives and Liberal Democrat bedfellows led by Cameron and Clerc,

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will find the fingers pointed at them increasingly by the Labour

:21:25.:21:30.

administration in Wales. The Times of austerity have already begun

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with a Wells budget cut for the first time. -- Welsh. A cry of

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please sir, can we have some more, is unlikely to be smiled upon. It

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will be the first full year of our National Assembly having law making

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powers. People have great expectations. With the public purse

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strings so tight, the laws will resemble more an Old curiosity Shop.

:22:03.:22:07.

Mogg cycle lanes, less the tattooing of young people, and

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local authorities being made to share chief executives. A new

:22:11.:22:21.
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commission will look at the fiscal powers of Wales. While everyone, or

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at least most of us will feel the pain, politics will continue as

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usual. Labour will continue to muddle through in an assembly which

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could become a bleak House. Plaid Cymru, looking for a new leader,

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and the Liberal Democrats, could be on hand to joined their gang. Could

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a deal with the opposition see the assembly visited by a minister of

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Christmas past, Peter Hain? 2012 will be all about the economy. With

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less money around, governments will increasingly resemble Scrooge as

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budgets shrink and spending retracts. It is a situation which

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Dickens himself would have struggled to recognise more than

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140 years after his death. Merry Christmas one and all? Bar humbug.

:23:21.:23:24.

Thanks to Matt 'Scrooge' Withers from the Western Mail. Joining me

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now is Conservative MP Glyn Davies, Liberal Democrat Assembly Member

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Peter Black, the Labour MP Kevin Brennan, and Plaid Cymru Assembly

:23:29.:23:39.
:23:39.:23:43.

Member Jocelyn Davies. A pretty bleak picture painted there. Your

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Conservative backbenchers are not showing much good Lil -- goodwill

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towards cheerleaders on the European issue. Where you stand?

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have got a top issue. David Cameron is in Europe at the Mohmand and

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hopefully he will protect Britain's interest. That is what I expect him

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to do. -- at the moment. It is politics. There was no harm in it.

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Kevin Brennan, the Labour MPs smell blood here? -- do Labour MPs?

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was telling yesterday when Ed Miliband put David Cameron on the

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spot, just how much he waffled. It is a case of the return of the

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dinosaurs in terms of the Eurosceptics in Westminster. They

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are queuing up to get some red meat going on Europe. It is a fault line

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within the Conservative Party and within the coalition. It Liberal-

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Democrats traditionally have taken a different view. -- the Liberal

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Democrat. Nick Clegg seemed to be staring into a vacant space

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yesterday during Prime Minister's Questions. You have just done a

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deal with Labour on the budget here. Is that party politically motivated

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ahead of the local elections? was about making sure we have

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stability for public services, making sure we got at key Liberal

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Democrat manifesto pledge delivered, more money for every school in

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Wales. The Prime reservation was stability, making sure we got the

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budget through. Get some extra money to schools to help the

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poorest people. I should imagine the Eagles you may get in the local

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elections was probably am more of a motivation. -- I should imagine

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that the boast you may get. I am quite enjoying being in opposition.

:25:50.:25:54.

Yes, of course, this time last year we were in Government. I am very

:25:54.:25:59.

proud to be in a Government that delivered the referendum. I think

:25:59.:26:03.

we have settled quite well back into opposition. And of course

:26:03.:26:08.

Labour was not able to offer us what we wanted in order to support

:26:08.:26:12.

them on the Budget. We have supported them on the budget in the

:26:12.:26:16.

past. When we have been able to get what we want. But the key issue in

:26:16.:26:24.

the coming months is the leadership. His independence going to be the

:26:24.:26:29.

dividing line? I do not know if that will be the case. Everybody

:26:29.:26:35.

has their own views. We have three very good candidates. I will be

:26:35.:26:43.

supporting Eddie Jones. We have got a Simon Thomas and Pywell and

:26:43.:26:53.

Thomas. They have all got different views. -- Dai Llewellyn. Glyn

:26:53.:26:59.

Davies, obviously it has been at the year for the new Conservative

:26:59.:27:04.

leader in the assembly. He has maybe liven up First Minister's

:27:04.:27:11.

Questions. Is the first ministerial material? Of course. He has liven

:27:11.:27:14.

up proceedings in the assembly. I think he has done incredibly well.

:27:14.:27:19.

He is coming to London next week to meet but David Cameron and all of

:27:19.:27:23.

the MPs. I have been organising that. He is turning out to be a

:27:23.:27:30.

very good leader. Defying some of the people who decried him. Has he

:27:30.:27:39.

got Carwyn Jones on the Ron? I do not think so. Carwyn Jones is a

:27:39.:27:43.

very significantly able operator. One thing I disagree with Jocelyne

:27:43.:27:48.

about is about being in opposition. I could never settle with being in

:27:48.:27:53.

opposition. It is a terrible place to be. Having an election for a

:27:53.:27:59.

leader in opposition is like having an election for the mayor of the

:27:59.:28:06.

Mont Caines. You might as well give up. One year in power is worth a

:28:06.:28:13.

1000 years in opposition. It is not inevitable but you have to accept

:28:13.:28:18.

that sometimes that is what happens. Make the best of the role you have

:28:18.:28:25.

an opposition. It used to it. would never get used to it. I think

:28:25.:28:29.

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