22/04/2014 Newsnight Scotland


22/04/2014

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parents. They say was the NUT has put a fight on pensions and pay,

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they are not winning them. They ask who exactly are they representing?

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On Newsnight Scotland tonight: The former Chancellor and Prime Minister

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Gordon Brown says a vote for independence would be bad news for

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your pension. The Yes campaign say his analysis is

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economically illiterate. There are clearly two sides of this argument,

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at least. We'll hear from SNP and Labour.

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Also tonight, did you see the documentary about women's attitudes

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to the referendum? We'll try to make sense of some more of that puzzle.

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Good evening. If you search online for "Gordon Brown" and "pensions"

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you get plenty of his arguments that independence would be bad for your

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state pension. Online, you'll also find material casting back to his

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early years as Chancellor and the so-called pension raid - the

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increase of the tax take on private sector pension funds. But today's

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intervention, on behalf of Better Together, was about the future not

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the past. Huw Williams' report contains some flash photography.

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Gordon Brown went to the University of Glasgow to contrast to views of

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Scotland's future, the nationalist vision or his own of four

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independent -- interdependent nations.

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Over the last years, we have achieved something that no other

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group of nations has achieved by working together. We have

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co-operated in such a way that we have guarantee it fundamental rights

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to everybody and we have narrowed the differences between the income

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levels of Scots and English people and Welsh and Northern Irish people.

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This is because we Scots made a decision that we would abandoned our

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separate funding for the health care system and we would work for UK

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intervention to establish economic and social rights.

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He listed what he called the positive benefits of the union,

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health care funding, social and cultural ties and pensions.

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As a result of our tax credit system, ?700 million is paid out as

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tax credits in Scotland, ?1 billion is paid out in disability benefits.

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As a result of these changes, the total benefit to Scotland that is

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greater than any population, that we could be given, is more for

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pensioners. That figure will rise, because the proportion of the

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working age population of Scotland will not grow as fast as England in

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future, but the number of pensions are growing fast. In the next few

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years, it will be 700 million pounds. That is a benefit of being

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part of the union. He quoted statistics from the

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Department for Work and Pensions, saying that Scotland pays 8% of the

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cost of UK National Insurance, that gets 9% of the benefits. He said

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that the rest of the UK underwrites Scotland's's public sector pensions

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Bill. And he said that administration and IT costs to set

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up a separate benefit system here could be around ?1 billion.

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In reply, the SNP said that Gordon Brown destroyed the value of

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pensions was in office, to the cost of ?100 billion. They said that

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social protection costs take a lower percentage of tax revenue, making

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pensions more affordable. And they said, an independent Scotland could

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set up a commission to set the right retirement age for people here.

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I think Gordon is making a false comparison. He is drawing a false

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analogy between what we spend on pensions and UK National Insurance.

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The cost of pensions come from general taxation, not just national

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insurer and is. We know that Scotland pay in 9.5%, and the point

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that we have 8.8% of pension costs means that we know that pensions are

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affordable. Workers across Scotland have already

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protested against pension train -- changes, but advocates say that we

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would be better off than the rest of the UK.

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Pensions can be afforded in Scotland, this has been

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independently confirmed. I think generally in Scotland, people in

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Scotland will look at the record of Scotland of looking after people,

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and think that an independent Scottish parliament is a better deal

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for looking after Scotland's older people than anything possible under

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the Westminster system. The former Prime Minister's

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contribution was already making headlines this morning. Although the

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English decisions suggested that millions of pensions south of the

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border already facing a future on less than the minimum wage, which

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was perhaps not the message he wanted us to hear.

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I'm joined now from Aberdeen by SNP MP Eilidh Whiteford, who speaks on

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work and pensions, and from Edinburgh by Labour Finance

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Spokesman Iain Gray MSP. Good evening. First of all, Eilidh

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Whiteford, what do you think of this intervention by Gordon Brown? Do you

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think that he will put people off voting for independence? You are

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saying today that he was economically illiterate.

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Today we saw scaremongering. The idea that we pay for pensions out of

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oil and gas revenues is ridiculous. The starting point of the debate has

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to be that the UK's rate on pensions is a very poor, it is one of the

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lowest in Europe, with a large gap between earnings and pensions. So

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letters not pretend that pensions are good at the moment, but letters

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look at how to face the future. -- let us look.

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He says that Scotland to pay 8% of UK National Insurance but receive 9%

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of the benefit. You have to look at the overall act, and not just take

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one component out of it. Obviously, Scotland is in a better economic

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position than the rest of the UK at the moment, getting less than we pay

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out. Pensions are more affordable in Scotland, because we are paying a

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lower proportion on social protection as a whole. That does not

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solve the entire pensions situation, because we do have

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challenges, but my argument would be that it is better that we find

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solutions and we would be better doing that for ourselves and taking

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that forward through the Scottish parliament were we can make

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decisions for our own interest. Letters speak to Iain Gray. We have

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been seeing the UK's record of pensions there and it is interesting

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to see Gordon Brown's intervention in this debate, with his actions in

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1999, accused of breaking thousands of pensions with the tax that he

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devised. The is he right to say this?

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He lifted a million pensioners out of poverty. Scottish pensioners know

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what Gordon Brown did for them. He is absolutely the right person to

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make this argument and it is an argument that he has made before.

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The way pensions work, those that work and pay in and learn more pay

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more, and that allows us to pay out something that allows a decent

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standard of living. In retirement, that is more secure and it works

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better if it is spread over a bigger pot, ?60 million rather than ?5

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million. The difference today is that he has brought forward the

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figures to talk about that. Unlike the figures that Eilidh Whiteford

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just quoted to you, the figures are different so the ones that she gave

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you. The Scottish Government's most recent figures showed that Scotland

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pay 9.1%, more than our fair share, but we get 9.3%. Every independent

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look at Scotland's financial situation if we became independent

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says that the fiscal deficit would mean public cuts in spending.

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He says that your figures are out of date. If you look at the figures for

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the past five years, Scotland has paid 9.5% of the revenue compared to

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the population percentage. If you look at that as a pattern over the

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last 30 years, you will see that Scotland's contribution has

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outperformed the UK in every single one of the last 30 years. This is a

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discussion about Scotland's future and whether or not letting

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Westminster doing nothing to tackle our demographic issues is OK, or

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whether we should make the decisions ourselves in Edinburgh.

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Letters to -- we should discuss these demographic issues. Gordon

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Brown was saying that the ageing population and the falling working

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population was significant. You seem to be putting that aside.

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The Office for National Statistics suggests that that gap is actually

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very small. It considers it quite a marginal difference in the longer

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term. Pretending that we cannot do anything about that is wrong,

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because the challenge is to improve our productivity and improve our

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economic strength, because that is really, at the end of the day, what

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makes our pensions and other aspects of affordable.

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Iain Gray, on that aspect, Gordon Brown was talking about

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demographics, but the report quoted says that demographic change is not

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a significant point in arguing about economics and independence.

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They have to would omit that this is a significant problem going forward

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for Scotland. -- they have to admit. Scotland is ageing faster and the

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proportion of older, retired people to working people is going to get

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worse. The white paper solution is that, from somewhere, simply because

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of independence, we will suddenly have many more working age people

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working in Scotland. A calculation has been done this week that

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suggests that far from being marginal, in order to achieve this,

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you may need as many as 1 million new workers in the workforce by the

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middle of this century. That is far from marginal or stop the white

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paper is silent on where these people will appear from. This is

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like the Kevin Costner film, build it and they will come.

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The challenge is a challenge for every country. But it is more

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significant for us. It is 1%, it is hardly a huge problem. We can only

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tackle this by improving our economy.

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Gordon Brown was talking about the sharing of our resources and picking

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out the five key aspects of the United Kingdom that he was

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promoting. He was saying at the SNP conference that you are really

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trying to appeal to the Labour voters. That is not the universal

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benefits, the health, that is a Labour issue. That will be hard for

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you to get across in independence? Labour seem to be saying different

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things north and south of the border. In Scotland is they say that

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we need the rest of the UK to have a health service, but he is selling of

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-- he is saying that it is different, I am appalled about what

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is happening in England and I do not want that to happen in Scotland. We

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need to protect the services and the best way to do that is to make

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decisions in our own interest. The wider point is that he was

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saying that he was ending the Charente and joining Better

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Together. -- ending the debate and joining Better Together. There seem

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like a lot of challenges together -- today.

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The fundamental things that have driven his politics all his life is

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that by sharing the resources, those who can pay in more, those who need

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it are able to receive protection through pensions or benefits. That

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is at the core of everything that Gordon Brown has done in politics.

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It is at the core of Labour Party politics. It is a positive argument

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that the United Kingdom. With the protection of being part of that

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bigger shared resources than we really can have the best of both

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worlds. That is the principle he was talking about today. When he talks

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about it, he will be heard. Now, if you were watching this

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channel two hours ago, you will have seen Jackie Bird's documentary about

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the way women are seeing the referendum. There is some polling

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evidence that female voters are less likely to vote yes than men. Or

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perhaps they just spend more time coming to a decision. Either way,

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campaigners recognise the potential game-changing significance. In case

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you missed it, here is a wee flavour of the documentary.

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Here is your classic female archetype. Women planning one of the

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biggest days of their lives. Who is more likely to be thinking about

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future choices than someone preparing to get married? It is the

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staff of the Better Together campaign's dreams, hundreds of women

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planning for a union. But this had nothing to do with politics until we

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turned up. I have made up my mind. I am against. I have not made a

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decision. I am quite worried about the decision. Have male relatives

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made up their mind? I think they have. Most women don't usually flock

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to Tom thumping public meetings. The first task for the campaigners is to

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round up enough women to inspire them. I am off to a village tucked

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away on the coal peninsulas in Argyll. -- Cowall. We believe I yes

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vote offers the best hope for our future generations. Let's take the

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leap of faith and trust that what we will get in the long run will be

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good. I know everything on television is scaremongering because

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most of the major banks and things probably would not have the money to

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relocate to London as they could not afford the rent down there. Despite

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the undoubted passions for the Women for Independence grip, tensions

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prevail. Could the gender difference be to do with the way we think? It

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seems that the cognitive differences between how male and female brains

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work are less important than learning to read or each. So if

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there is a different approach between men and women, it doesn't

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come from nature but from nurture, it is something we learn.

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My two guests are still here, the SNP's Eilidh Whiteford and Labour's

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Iain Gray. We were hearing that women are six or 7% less likely to

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support independence than men? I am speaking to women and men on the

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doorstep and at public meetings. It is important we don't stereotype

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women in this. There are as many reasons for not having made up their

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mind yet for men and women. I would not want to put a stereotype on

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this. At the same time, I think there are issues affecting women

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more than men, as they tend to be more represented in low-paid

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workers. So the minimum wage would be one example. They are all to

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aware of the money they have really lost out on over the last five years

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when it has not kept pace with inflation. Do you think women are

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being stereotyped in this debate? I think that can happen. There clearly

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is something going on as it would appear there is a difference in

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voting intentions in these polls. Whether that persists or prevails by

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September, we don't know. I broadly agree that we cannot assume that all

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women are going to decide the same things. One of the mistakes that

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political strategists sometimes make is that women are only interested in

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what they deem to be women's issues. Saw an offer on childcare

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would make up for jobs and the economy. That is certainly the

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stereotype and that has to be avoided. But I don't really know.

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There seems to be some difference here in the way that men and women

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are going to vote. I am not sure anyone knows why that is for sure.

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It seems to be natural, not nature and it is something that women learn

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about? I didn't see the documentary tonight, so I am a little in the

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dark as to what was said in that. Women have a lot to gain from a Yes

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Scotland full. -- vote. With more cuts on the way, women should be

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looking very closely at this. We were talking about pensions

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before... Sorry, we have to leave it there.

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Now a quick look at tomorrow's front pages.

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That's all from me tonight. I'll be back tomorrow. Goodnight.

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More showers around as we go through the rest of the week. Any showers

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this evening will buy a through the night. By morning, south-west

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England and Wales will be covered with this rainband. More sunshine in

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Northern Ireland. Some intense downpours over Northern Ireland in

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the evening. Low cloud towards the north-east of Scotland. Much of the

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eastern side

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