17/12/2012 Inside Out Yorkshire and Lincolnshire


17/12/2012

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We reveal what went wrong for Comet. We find out why we could all be

:00:19.:00:24.

left out picking up the bill. In just destroyed a family business.

:00:24.:00:34.
:00:34.:00:35.

It seems far too easy for employers to say, you now in administration.

:00:35.:00:40.

Also, Hyde Council tour rustling up extra bands by increasing the price

:00:40.:00:48.

of everything from rat catching to cremation. It is a tax on the dead.

:00:48.:00:58.
:00:58.:01:01.

The Revenue isn't being reinvested in the crematorium service.

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After a soaking summer, Paul investigates it we all have to get

:01:05.:01:15.
:01:15.:01:26.

Tomorrow will see the Comet name disappear from our high street as

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the final stores close. The collapse of the retailer, which

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started in Hull, has left thousands of workers redundant and will leave

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the taxpayer with a multi-million- pound bill. We didn't all go so

:01:41.:01:51.
:01:51.:01:57.

It is one of the biggest retail casualties on the high streets.

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is not just our family who are suffering, it is 6500 people who

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are suffering. Tomorrow will see the final closing-down sales as the

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stores are embodied of stock. don't understand how we could have

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been making profits, but then told we had to close. What went wrong?

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Why did Comet feel leading a massive bill for the taxpayers? I

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have come to a halt to the old Business Centre for Comet. I wanted

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to know what happens to that great Yorkshire brands that started here

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:02:45.:02:48.

in Hull almost 80 years ago. Comet began life to cash in on a boom in

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wireless radio ownership set up by a man called George Hollingberry.

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Robb, why are we here in the middle this industrial area? In the 1930s,

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a couple but chaps got together and started to charge batteries for

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people. Everybody wanted a radio in the 1930s, but the National Grid

:03:04.:03:10.

wasn't very good. The equip the diversified, didn't they? They were

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great. Any opportunity that came along, be made the most of it.

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Hollingberry family are still entrepreneurs. Richard runs an

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organic farm. His grandfather set up Comet and his father ran its

:03:28.:03:33.

throughout the 1970s and into the 1980s. My father's idea was

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discounting and out of town shops. He took on a site out of town,

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bought Cloughton stacked high., was one of the first retailers to

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persuade shoppers to leave the High Street for the out-of-town stores.

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It was these discount warehouses that a Lord Alan Sugar described as

:03:58.:04:03.

changing the face of retail. Decades of innovation followed a

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Comet became a multi-million-pound business as part of the Kingfisher

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:04:16.:04:20.

retail group. Then the recession hit. Looking at these adverts from

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the 90s, it was a tough time for Comet, wasn't it? It was. It was a

:04:26.:04:32.

tough time for all retailers to the recession. What Comet field to do

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was learn from that experience. Towards the end of the 90s, many of

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their competitors had internet sites and Comet were late to that

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game. My dear thing people stop going into the shops? Why would you

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go into Comet if he could get a cheaper online? Comet seemed to

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have lost direction. And 2011 did Jane made losses of nearly Mac --

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up nearly �9 million and its owner wanted rid of the brand. Last year,

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and its warranty business were sold. They were sold for just �1 each.

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They were bought by a private investment company called OpCapita.

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This deal went through in February. It was a deal that was closely

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watched in this city and the monks but financial journalists. OpCapita

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had a history. It is not the first time that we have seen OpCapita do

:05:34.:05:44.
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this with the British brand. controversy was MFI a went into

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administration and it was OpCapita there were involved in this. Sure

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:06:03.:06:04.

enough, the structure of Comet was almost identical to MFI. OpCapita

:06:04.:06:14.
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picked the money for, -- the money for Comet into a parent company,

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Hailey Acquisitions. There was �50 million given by the previous

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owners, a �40 million loan and the money from the investors was 35

:06:24.:06:32.

million. OpCapita did not put the money directly into Comet. It put

:06:32.:06:42.
:06:42.:06:45.

it into Comet into a parent company and loan that money to Comet.

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Healey acquisitions will receive almost �50 million, but this is

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significantly less than what it is owed, some �145 million. A bigger

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financial mess than any of the workers expected. It is like a

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bereavement, really. I am probably angry more than anything. My family

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can see that I'm upset and getting snappy. When OpCapita took over, it

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pledged to run Comet as a going concern for 18 months. It said they

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had a definite turnaround plan. were told you would be focusing on

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profit alone. Entry was said manager at a store in Halifax and

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he thought things were looking up. All stores were hit in this targets,

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this cash margin target and we were been told we were breaking even. I

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receive my last paycheck today, and that received -- that had a bonus

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attached to it because of my face seals. Greenfield it is far too

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easy for companies to be put into administration. All those people

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are now seeking alternative employment and they shouldn't have

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too. It seems far too easy for employers to say, right, now we are

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:08:25.:08:26.

in administration. So why did, it - - so why did Comet end up in

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administration? It was performing on target. Comet was in a difficult

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part of the market and like-for- like sales were down. What OpCapita

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say went wrong is that when rumours emerged that Comet could be sold by

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them, the trade suppliers had tightened their terms. It meant

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that Comet could not call out and buy stock at a viable economic

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price. This meant that it wasn't were put in more money into Comet.

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Nobody from OpCapita it or Healey acquisitions wanted to do an

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interview. It in -- the did give us a statement, which include an

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apology to Comet workers. It goes on to highlight their efforts to

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revive the loss-making business including appointing a new highly

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experienced management team. Explains how, it -- it explains how

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Comet was unable to obtain credit on competitive terms. To trade at

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Christmas would have needed a very substantial further injection of

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capital and with no realistic prospect of obtaining it, the board

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had no option but to appoint administrators. The collapse of

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Comet will see the government picking up the bill for redundancy

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and could cost around �24 million. A solicitor representing the

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workers also believes they could be due additional compensation. We are

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advising them on their collective consultation rights. When more than

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20 redundancies are being made, they have the right to be consulted

:10:03.:10:09.

on. As far as we can tell, they have just been making the

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redundancies with no meaningful consultation. Honour contracts

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state you're meant to have a consultation period, 90 days notice.

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We haven't been given any of it. The administrators told us that

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sometimes decisions about redundancy have to be made quickly

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and, regrettably, it is not always possible to give advance notice to

:10:29.:10:34.

workers. If the tribunal finds in favour of the staff, it is likely

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this will again be compensation that comes from the public purse.

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As well as their money, many workers want the Government to

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investigate the collapse of the company. They want to know why the

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law allows investors to walk away while the taxpayer is left of that

:10:50.:11:00.
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Still to come, a very wet ball huts and finds out why we might all have

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to get used to as some are soaking. If things can get out of hand very

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quickly. Making the pennies go further is a

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challenge for all bus and it is no different for your local council.

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They have had millions slashed of their budget. They are trying to

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rustle up further cash which means higher charges for everything and

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it means that what you pay depends on where you live. Times are tough

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in the town halls across the North, as our local councils feel the

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financial squeeze. As cuts start to bite, they have to make sure that

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they are making money where ever they can.

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You probably already think that you are paying enough for you council

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services. I will find out who are charging the most and the least.

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This is where I pulled it through. I pulled it round here and it ended

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up on the steps. A few weeks ago, up all have had some unwelcome

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visitors - rats. They are coming down the past. Their running all

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over, under the leaves and everything. You're frightened to

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open the door. I'm frightened of children coming to the house.

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lack -- rats were looking for a new home. There was more unwelcome news

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when all have phoned the council to get help. They said there was a �20

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charge. I said I do not think we should be paying for that. North

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Tyneside council introduced the charge in April as part of its

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budget and hap offered to give all of advice on a rat problem. I think

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this is something different. This is dirty. It is not nice. Maybe all

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of should move. Northumberland, Hull, Doncaster and Staunton will

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all sort out your rat problem for free. If it is three for them off

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why shouldn't it be free for everyone? All but that -- becomes

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the first person to receive the this Certificate from Inside Out. A

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month that the ten councils in England facing the biggest cuts, he

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will find Burnley, Barrow and Preston. Local authorities say they

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have no choice but to hike up the charges. It seems no council

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service is off-limits. Even in times of austerity, you would think

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that at least one council service would be sacred. But it seems that

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the fees charged for burials and cremations might be about to rocket.

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One of the worst places could be Merseyside. Here, at the dead need

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to be dead rich. The problem is that it should be a service to the

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bereaved from the council. It is not a commercial business. This

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Merseyside undertaker is severely unimpressed with plans to hike up

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commission fees from a �600 to �750. I believe in some ways that it is a

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tax on the dead. The Revenue is not being reinvested in the cemeteries

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and crematoriums, it is going into the council's black hole. What

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should they do instead? I think they can make cuts elsewhere. I do

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not think that to Max knifes the revenue from one particular service

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is the right way to go. Do not just take money because you can.

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fact is that we have to try and make savings. We have to make

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increases in charges and that is one of the many charges that has

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been increased. What about other areas? In Cumbria, they are

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proposing up to 15 % rise in fees. The cheapest is a Cheshire West and

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Chester, St Helens and Durham. These are financially the best

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places to die. I am afraid you are getting an Inside Out hard times

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award. In these hard times, if you thought you could save a few

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pennies by growing your own, I am afraid not. And at the moment, for

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a plot this size, we would pay �24 down as rent and that is going to

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be going up to �65, about a 170 % increase. I appreciate the have to

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do some saving, but that is a phenomenal rise. Sheffield council

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disputes this calculation and says that Government cuts and protecting

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other services has forced it to raise these. It is an easy way for

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the council to raise money. Sunderland is a good place to live

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as it has one of the cheapest allotments in the north for just

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around �10. But in at Bury and regions size plot will set you back

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well over �100. Phil reluctantly accepts the insight it hard times

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ought. So we are being hit in the pocket and some people think

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councils should be looking hard at their peril before they put up

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their charges. We're talking about middle managers being paid up to

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�60,000 a year or more and they need to cut back on that sort of

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bureaucracy. No one wants to see people made redundant for the sake

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of it but at the same town councils are not employment exchanges. They

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have to cut their cloth to suit their needs. I another way councils

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are looking to raise cash is through sponsorship. Leeds City

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Council of this sponsorship on their payslips. For �3,000 plus VAT

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you can average-sized your wares on roundabouts. You can sponsor a

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flowerbed in Lancaster's. In Newcastle, you can get your company

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name on a litter bin. Our councils are us stuck for cash but they

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could be sitting on assets like this temple to convenience. It is a

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public toilet in the -- public toilet that is up for sale. Six

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potential buyers have been sniffing around, including one who would

:17:25.:17:29.

like to turn it into a bar. A whole array of goods are up for sale by

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our councils. Newcastle's state carriage. �80,000. �12,000 worth of

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old books sold by Manchester City Council on eat it. Up for sale,

:17:45.:17:52.

Eden council's Mansion House, yours for one. Will -- �1.1 billion. This

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it wedding venue is for sale by Wakefield Council. There is no

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doubt that there are tough times and choices ahead for local

:18:03.:18:08.

authorities. The difference in charges is stark. Why? And is it

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fair? It is not unfair. Local authorities have their own

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priorities and their own way of making their own budget. They also

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have their own contexts in which to make those decisions. Each has to

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cut its cloth accordingly. If people feel it is unfair in there

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are various ways they can participate and have their say,

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like the ballot-box Orok citizens' panels. Balancing books as

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certainly going to be tough for Northern councils. Some will say

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that they must make money for the can. As we cannot use will be get

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air services from, it is no wonder that we looked enviously at those

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in neighbouring areas who may be peeing a whole lot less. -- peeing

:18:59.:19:04.

at less. You do not need me to tell you that

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there is something strange going on with the weather. This year we had

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a drought and then one of the wettest summers on record. Paul

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Hodgson has discovered that there is increasing evidence that

:19:17.:19:22.

miserable summers could become the norm.

:19:22.:19:27.

It has been another of record- breaking year. The wettest summer

:19:27.:19:31.

for a century and a distressing time for many. Now climate

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scientists in Yorkshire are investigating whether something

:19:35.:19:39.

significant is underway and are focusing their attention on what is

:19:39.:19:43.

happening high above us. The jet stream is of a been of a really

:19:43.:19:46.

strong winds high up and the atmosphere and has formed because

:19:46.:19:50.

of the temperature contrast between the cold towards the Arctic and the

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warmth towards the equator. The Jetstream decides what kind of

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weather we have in Yorkshire and Lincolnshire. It is to the north

:19:59.:20:03.

was weather will be warm and settles but if it is to the south

:20:03.:20:06.

of us it will be cold and wet. That is what happened this summer,

:20:06.:20:13.

bringing us more extreme weather. All our houses were flooded. A lot

:20:13.:20:17.

of people at the time were left with their businesses and their

:20:17.:20:21.

homes and liveable. It didn't matter very where he would be

:20:21.:20:25.

affected. For the Calder Valley in West Yorkshire is no stranger to

:20:25.:20:30.

flooding. This summer at locals were left reeling as one month's

:20:30.:20:36.

worth of rain fell in at day. and mud meant stock at this

:20:36.:20:46.

furniture store was ruined. June was the wettest on record. The

:20:46.:20:51.

rainfall was intense and fell in a short space of time. You can see,

:20:51.:20:56.

looking at the ballet, it is very steep with sides sloping up.

:20:56.:21:00.

Rainfall gathers and flows quickly down to the River Calder in the

:21:00.:21:04.

bottom. You can visualise how things would get out of hand

:21:04.:21:10.

quickly. Even living high on the hillside offered no protection. The

:21:10.:21:14.

use are the steps that have flowed down and it flowed for an hour and

:21:14.:21:21.

a half or so. This is how high the what Therese. We all saw the

:21:21.:21:26.

pictures on television. What was it like? It was scary. You realise you

:21:26.:21:31.

cannot stop it. You start thinking other stuff that is going to get

:21:31.:21:36.

damaged. There is nothing you can do. We just had to wait for it to

:21:36.:21:43.

end. It was the eerie and soul- destroying and for the first couple

:21:43.:21:46.

of days you were living on adrenalin because there are lots of

:21:46.:21:56.
:21:56.:21:58.

stuff happening but then it hits you. And down the valley, is this

:21:58.:22:03.

man Stewart also felt the full force of nature. Can you describe

:22:03.:22:09.

to us what the weather was like? had about 48 hours of rain and then

:22:09.:22:13.

at about 11 o'clock there was a cloudburst in the airier and the

:22:13.:22:17.

river got up to about a foot below the height of the wall, which is

:22:17.:22:22.

normal, but once the cloudburst started in Rosewell of the wall

:22:22.:22:27.

here for the first time in 30 years. The with the enclosed a rogue banks

:22:27.:22:31.

unable to cope, water poured into the furniture factory costing

:22:31.:22:37.

millions of pounds worth of damage. Describe what you saw? Disaster. We

:22:37.:22:45.

had about 12 inches of water in this area. All the sewing machines

:22:45.:22:50.

were damaged. The whole heart of the couple's two factory is a

:22:50.:22:53.

sewing room and we cannot do anything without sewing machines.

:22:53.:22:58.

That was a disaster. The company is now back on its feet and taking

:22:58.:23:05.

steps to build a high wall to stop the river flooding again. And it is

:23:05.:23:10.

not only the Calder Valley that suffered. The summer floods in Hull

:23:10.:23:16.

and Sheffield in 2007 caused chaos and widespread damage. For those

:23:16.:23:20.

who gather Sheffield's daily whether it Statistics, these events

:23:20.:23:24.

appear to show something significant is happening. It is one

:23:24.:23:30.

of the longest data sets in the whole country. 130 years but.

:23:30.:23:35.

seems some things do not change in Sheffield. Continuous rain! You

:23:35.:23:40.

have something interesting there. This letter contains our coldest

:23:40.:23:49.

ever recorded temperature. The 8th February in 19 -- 1885, it was 5.8

:23:49.:23:58.

degrees Fahrenheit, that is minus 14.6 degrees Celsius. Sir you look

:23:58.:24:03.

through their records and it is obvious we have had extremes

:24:03.:24:07.

throughout the period. Have you noticed anything of interest in the

:24:07.:24:12.

last few years. Absolutely, specifically with rainfall. We have

:24:12.:24:15.

noticed that we are getting more of those cloudburst events where you

:24:15.:24:22.

are recording up to 70 ml of rainfall in a single day. If you

:24:22.:24:26.

look back over the record that we have here as a whole, we perhaps

:24:26.:24:31.

got to were three of those events prior to 1970, and then in the last

:24:31.:24:36.

ten years we have had my be four or five of these events. There does

:24:36.:24:41.

seem to be a change. Flash floods are nothing new. But are they

:24:41.:24:45.

happening because of the weather 2000 miles away in green and?

:24:45.:24:50.

Recent summers have been warmer, drier and sunnier. We would

:24:50.:24:53.

normally expect parts of the massive price cut is all in summer,

:24:53.:24:57.

but this year there has been a record melt and for those who have

:24:57.:25:02.

regular visitors to green land, like this polar explorer, the

:25:02.:25:07.

change has been obvious. So that put loss of ice, or what does that

:25:07.:25:13.

mean on the ground here? I have been working on the west coast on

:25:13.:25:17.

this science project. When I went in a few years ago with Mike bits

:25:17.:25:22.

on, I got out their helicopter to walk three kilometres out onto the

:25:22.:25:26.

ice cap and I got there and there was so much water that I had to get

:25:26.:25:30.

back in their helicopter, flew back and bought fishing waders so that I

:25:30.:25:35.

could weed out to have a metre of water to Messiaen's site.

:25:35.:25:42.

Everywhere I go there is more water, more rock and a lot less ice.

:25:42.:25:45.

climate scientists now believe that what is happening thousands of

:25:45.:25:50.

miles away is having an impact on a weather. A loss of sea ice and more

:25:50.:25:55.

heat over the Arctic appears to have weakened the speed and pattern

:25:55.:26:00.

of the Jetstream, making it meander. It has meant more at low pressure

:26:00.:26:05.

over Britain and more unsettled summer weather. I know only too

:26:05.:26:09.

well the long-range forecasting is the most difficult part of my job.

:26:09.:26:14.

But I am about to meet someone who thinks he has made a breakthrough.

:26:14.:26:18.

Dr Edward Hanna is a jet stream expert and his team has studied its

:26:18.:26:22.

movement your last six years, a period that has coincided with our

:26:22.:26:27.

summer washouts. We have noticed a striking change in the last six

:26:27.:26:32.

years. You can see that in the last six years, but circulation has been

:26:32.:26:38.

much more wavy and meandering, compared with the average for the

:26:38.:26:42.

longer period of the last 30 years, of which is in the middle there.

:26:42.:26:46.

Which should mean weather patterns are the become entrenched and last

:26:46.:26:52.

for longer. So if you have a theory is correct and that scientists are

:26:52.:26:55.

correct, what are the implications for a summer's across Yorkshire and

:26:55.:27:01.

Lincolnshire? We might get more of these colder, wetter summers, but

:27:01.:27:06.

there is going to be more variation in weather conditions the

:27:06.:27:10.

experience. I think we're going to have to get used to a lot of cold,

:27:10.:27:17.

wet weather. More research at Sheffield is underway, but their

:27:17.:27:20.

work suggests that although there will be the occasional scorching

:27:20.:27:25.

summer, we should get ready for more of the same. And with what a

:27:25.:27:30.

lot crops and higher food prices, we are all likely to feel the pinch.

:27:30.:27:35.

Back in the Calder Valley, sandbags have become a way of life. But what

:27:35.:27:43.

about the future? Historians know that in the Calder Valley, we have

:27:43.:27:48.

had these sort of floods for the last two when the cheers. This one

:27:48.:27:51.

has been extreme and possibly there has been nothing like it in the

:27:52.:27:56.

last 50 years, but we cannot take the chance. We do not what this to

:27:56.:28:05.

happen again. Are we could have years of this to come. How does

:28:05.:28:10.

that make you feel? It needs to be raced up the agenda so that all the

:28:10.:28:20.
:28:20.:28:23.

agencies that can work together see it as a higher priority. That is

:28:23.:28:29.

all for tonight. Paul Hodgson will be back with a special programme

:28:29.:28:36.

about this year's wild weather on Sunday 30th December. Have a merry

:28:36.:28:44.

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