28/01/2013 Newsnight

How are you going to pay for your old age? Final salary pension also

soon be history, savings are getting little return, if you are

16 or 60, do you have a plan? Is it to stay at your desk working

until you die? After today's news that companies are kiboshing final

salary pensions at a record rate, where should people save?

The old pension system worked because the value of shares

generally went up, and Government bonds generally delivered a decent

income. Now, that's no longer true. We are joined by four people who

might have some idea how to salvage our old age.

Also tonight, remember this? What happened in Iceland is completely

unacceptable, I have been in touch with their Prime Minister, I have

said this is effectively illegal. Today Britain lost its claim to get

�2.2 billion, given by us to depositors in Iceland's bust banks.

I will ask their Finance Minister how we can ever trust her.

Mali and French forces retake Timbuktu after a year in Islamist

hands. Apparently not in time to stop them burning a library housing

thousands of ancient manuscripts. Will the French find winning the

peace harder than capturing desert towns.

Welcome to Korea's demilitarised zone, the most dangerous border in

the world, and a nice spot for tourism and children's English

Good evening, who will look after us when we are old, how should we

look after ourselves? Last year 31% of called defined pension benefits

pension schemes, where the payout is related to your salary, closed,

according to the National Association of Pension Funds today.

With interest rates low, returns from bonds very low and the stock

market below its peak, most of us are struggling to provide provision.

Whether you are middle-aged and wondering about retiring, or young

and not worried about saving, is retirement slipping from our grasp.

In the golden age of the pension, this is how it used to work, you

plodded along, saving some of your wages, and putting them into stocks

and shares, that grew in value, like this, the graph of the FTSE.

There were ups and down, but never violent. Then things went violently

well, and then they went violently haywire. In the process, a lot of

people fell out of the system. And now, the golden age is gone.

Students bracing themselves for the transition to work will find

pension funds largely closed to them. Just 13% still open to new

joiners. These were figures released today. On today's figure,

a young person leaving university this year, and joining a private

company, has, maybe, a one in ten chance of joining that company's

pension scheme, and the reasons for that are economic uncertainty, and

the certainty of ageing. So this generation will have to

save on their own. Challenges for them, challenging for the whole

future structure of capitalism. an environment where we are living

long e any Government has to deal with that. Occupational pension

schemes are in decline as well. The things that we are all faced with,

ultimately we have to look at waiting longer for state benefits.

We have to look at possibly to working longer, or alternatively we

have to look at saving earlier. This month, the Government

signalled the introduction of a flat rate state pension, worth

�7,488 a year. To get anything above that, in the future, you will

have to save a lot. Just to earn the median wage of �21,000 a year,

at the age of 65, your savings would have to be worth �4 10,000,

to earn �42,000, the average wage of a train driver, would you need

more than a million. The earlier you save the better you get from

compound growth over many years, it is easy to focus on what you have

to wave save, that can be significant. The sooner you save

the better it will be in the long- term. What are you supposed to

save? Real wages have fallen in value, and where are you supposed

to put your savings? Once that was a no-brainer, the answer was shares,

or equities, as they are called. But not for this generation.

used to be very much the case that when you looked at the UK equity

market, you could think of it as something we held stake in via our

pensions. The pensions held huge amounts of blue chip equities, now

they don't, they hold overseas equities, hedge funds, and in the

main, Government bonds. The UK equity market is no longer really

owned by the UK population, that's a big shift.

For people in their 40s and 50s, there is a pension crisis of a

different type. Today's survey of pension funds found one third of

funds have closed contributions for existing members. Plus, the Bank of

England's decision to print money has lowered the interest payments

on Government bonds, to below inflation. So savers are actually

losing money by lending it to the Treasury. In the golden era of

company pension, the majority of a pension fund was invested in

company shares, and the rest in Government bonds, here and abroad.

As late as 2002, 61% of UK pensions were in shares, a third in bonds,

and everything else, including in cash, came to 6%. Now that has

pension money was in the stock market, 37% was in bonds, but 18%

is now in assets deemed to have a better chance of avoiding losses,

or wipouts. That is a mixture of gold, derivatives, based on

commodities, hedge funds, and property. If you have a final

salary pension, you generally have no problems at all, you have a

guaranteed pension that will rise with inflation until you die. This

is a wonderful thing. If you don't have a final salary pension you

bond markets will go and interest rates will go, and what annuity

rates will be. You have no choice but to keep saving and saving and

The old pension system worked because the value of shares

generally went up, and Government bonds generally delivered a decent

income. Now, that's no longer true, and it poses big problems, not just

for the pension system, but for the very shape of capitalism theself.

The caench is forcing people to spend -- the credit crunch is

forcing people to spend less and this at some point will have to

change. Some feel the collapse of permanent dent in our willingness

to spend. When you have doubt about your future income and how

on your consumption in your late 40s, early 50s, 60s, that is

Uncertainty is a great enemy of economic growth of every kind.

it comes to pension, the economics of uncertainty are what define the

future. Here we have Otto Thoresen, Adrian

Hartshorn, the partner at Mercer director general of Saga, and

former Government adviser on Financial Times. We will all shoot

salary pension of the average wage, �400,000 away in your working life.

For most people that seems impossible now? To start with it is

important to understand this other factor of the fact we are living

longer. Exactly. That is a really important positive aspect of what

is happening here. When Lord Turner did his review years ago, he said

the answer was partly working longer, partly saving more and

partly the state pension and what have to look at that at a package

are in your 40s or 50s, saving on should blow it, what is the point

of living to a poor old age? think if you look at it from the

other perspective, I have a 21- year-old son, I'm close to this.

The fact is, if you are 20 now p and you are looking out -- and you

are looking out 40, 50 years, we shouldn't be depressed over markets

to have a belief that with economic growth, and with markets going up,

that returns will come through again. I believe with economic

growth forecast in the next decade, Gillian Tett, if you are between

20-30 you will have to save an awful lot to give you any kind of

return when you are 65, 70? If you retire at 65 any more. The good

news is we are living longer. That is good. The other piece of good

the pensions crisis has been swept under the carpet, because it is a

to talk about it. Also, you know, these very, very low bond returns,

a real problem, the Government shoves all this money into the

economy, depresses interest rates, and so, in a sense, screws people

over both ways? I think what the Bank of England hasn't understood

is just how much our pensions system is underpinned by long-term

Government bond yields. By depressing long-term Government

bond yields, the Government has basically devalued everybody's

pensions and made it much more pensions. I think we need to get

away, in way, from the idea that we need re-think our whole

lifestyle. There is a whole new...We Can't guarantee new huge

growth in the next ten years or bond yields being better? It is not

just about saving. This is about our lives. Pensions are just one

aspect of how we are going to live in later life. You can have part-

time work. It is so complicated. People don't understand. Is part of

the problem branding. I can remember when you are 18 or 20 you

hear about the pensions and you challenges as a society we need to

term. We have seen the changes in just about the Government saying

they will increase the state proportion of people drawing the

it is more people drawing the state pension? And fewer and fewer people

paying taxs to provide those. Before we talk about solutions,

back to the insurers, you charge the development of fees over the

products that we sell into the work place now are historically low.

We're talking about 50 basis points a very charge. I'm with Ros on this,

about managing your debt, it is going to develop your life, and it

money from the industry? I think we need to get away from the industry

that the industry is going to solve the problem for us. We have to get

real about pensions, we haven't done. There is no magic money tree

that pensions will be daing -- to be more focus on financial

literacy. I'm strongly in favour of teaching financial literacy, along

with maths at school, right from the get-go. One of the problems

about this, which people don't often talk about. As people live

for a longer time, it is very tempt to go say everyone should simply

work a lot longer, that is wait the country like America. The reality

is, the people who live longer and are healthier, tend to be the

better off. The people who can do what you are saying, think about

society. We don't have a culture, salary pension, we don't have a

That is part of the problem, that is the air of unreality that has

been around for far too long. We expect somebody to provide a

pension for. Actually, from now on, and it should have been from quite

a while a you are on your own. Tough make a plan. The Government

we can argue about the age at which it will start to be paid. But there

want more than, that and most Is it a mix of trying to buy

property, put some gold away? have seen defined benefits scheme,

which essentially provide guarantee, we know guarantees cost money.

Equitable *Life got into trouble with a load of guarantees in the

products, and we know what happened to them. We know that providing

Equally defined contribution, which financial education, and really

quite sophisticated planning around those, ultimately it won't deliver,

because of the uncertainty around them. So we really need to think

somewhere in the middle space, around what's commonly being

determined as defined ambition. Something with a relatively low

level of guarantee. Restricted ambition this is? But some sort of

level of top up, which is not guaranteed, that allows people to

make some financial decisions. Sorry, you know, interest rates,

are they ever going to go up, go up evently but if you want to

understand why they may not go up fast. Look at Japan. I fully agree,

thing crystal clear, it would be foolhardy to put all your money

into Government bonds today. What is going on today is a form of what

economists call financial repression, the Government is

trying to pay off the national debt by essentially having a stealth tax

of them, then you are essentially going to lose money. It is very

worrying that the pension fund industry right now is dashing into

Government bonds. They are sold as the place to put your money in for

safety? They are supposed to be risk-free. And interest-free?

tend to draw the broad conclusions from aggregate data. It is not

aggregate data, it is a series of different sets of pension

arrangements. What should people do? I'm going back to the point I

was going to make earlier. It is easy to get tied up in discussing

aspects of investment returns, we should look at some of the very

positive things that have happened in the last five or ten years. We

have had some consistency in pension policy, we have had pretty

well consensus across parties about putting the pension reform agenda

in. That is a significant step forward. Millions of people are

going to be brought into pension saving over the next two to three

years. We had the announcement last week about the single-teir state

want. That is very positive I think. Thank you very much.

assets under anti-terror laws, bust. He maybe long gone, but the -

- he may be long gone, but the to be repaid the money he gave

The Treasury is still �2.2 billion out of pocket, but a ruling today

Are your savings not safe in a foreign bank?

Before the financial crisis Iceland was best known here for its geezer,

glaciers and Miss World victories. Then Iceland's banks went bust,

taking the country down with it in 2008. The collapse affected 230,000

UK deposors, whose savings in savings of �2.2 billion had to be

repaid bit Treasury here, which promptly demanded the money back

from Reykjavik, roughly half of that sum has been repaid already.

Today's European Free Trade Association court ruling, doesn't

affect the dozens of British local authorities, which also parked

almost �1 billion of council tax payers' money with Iceland savings

accounts. It means the Icelandic Government wasn't obliged to recur

the debts of privately-owned banks. Bjork k excited about it in a tweet.

The implications could be very important for Iceland, Britain and

the rest of the EU. This is good news for everybody involved. For

Iceland it has been under considerable uncertainty because of

it, now it is lifted it can get on rebuilding its economy. This is

also a blessing in disguise for the have been obliged to provide

Government gauorns for bank deposits d guarantees, for bank

times. The then Prime Minister, Gordon Brown, oped a diplomatic

wound between London and Reykjavik, when he evoked anti-terror laws to

seize all Icelandic financial assets. What happened in Iceland is

completely unacceptable. I have been in touch with the Icelandic

Prime Minister, I I have said this is illegal action they have taken,

we are freezing the asset of Icelandic companies in the UK where

against the Icelandic authorities, wherever that is necessary to

recover the money. Being lumped in people twice rejected a plan to

repay Britain in separate referenda. Four years on and the new UK

Government is quite sanguine with today's ruling, which can't be

repealed, that is because it has received most of the money back

from the bank that used to cone i sap sld save, the message is

regulators and legislators weren't doing their job up to the 2008

financial crisis but they are now. Five years on and quite a few barn

doors have been bolted with regards to financial regulation. Deposited

law, but savers will think twice before putting large sums in

Icelandic banks. Good evening minister. You still

this morning, of course we welcome it in Iceland, because it takes a

lot of legal uncertainties and puts it aside. It is also very important

to state that the estate of the failed bank will continue to pay

out priority claims to the depositors and creditors. As they

lot of the money has already been paid off? They have been doing that.

But it is �2.2 billion left? There are about 50% of the priority

claims already paid out. The estate will continue to pay priority

claims. It is estimated that the priority claims can't be and will

be repaid in full. That is the good news for everybody. I know that the

Icelandic people felt very put upon by Gordon Brown when he evoked

these anti-terror law, was the British Government wrong to give

money back to British depositors in Icelandic banks without knowing if

it would get the money back? Like I said, the estate is, it is

able to pay back -- the estate will priority claims. How long do you

been able to pay out, or the estate has already paid out about 50%, so,

estimating that this can happen quite rapidly in the near future.

But this is possible because the Icelandic parliament implemented,

in October of 2008, an emergency this can happen now, and that's why

we are able to do this. Do you think that foreign investors should

deposit money in small countries? When this all happened the banks

were nine-times the size of just back off the economies of

small countries when they come to make deposits? Well, I think that

this a sad history, a sad story, very heavy and important learning

process for all of us. And all the regulatory framework that the

Icelandic Government has been implementing in the past four years

has all had the aim of and the goal that this could not happen again.

That is very, very important. I think that we were, our regulatory

framework was not strong enough, and this is something that we have

learned and we have changed. A lot of what you have done to stablise

bondholders sink and so forth, you could never have done, had you been

within the EU, and yet I understand EU? Well, we have a very, you could

say we have a very different situation than many other European

countries. We are a very small nation, with our other currency. We

are only 230,000 people. It is very difficult to manage the kuorn --

320,000 people. It was difficult to manage the currency once the bank

fell. We needed capital controls, otherwise things would have gotten

a lot, lot worse here in Iceland. I think that we have, the capital

controls, and the reasons why they a lot of understanding on that

situation. But it is our aim, and the past four years, in

strengthening our economy so that we can start lifting the capital

years. Hopefully we will not have capital controls for very long.

we are going to get the money back, but can we trust you? Like I said,

been paying out to priority claims, and the estate of the failed bank

will continue to do so. Even though this ruling was like it was this

morning. But I think the main and the best thing about the ruling

this morning is that now this uncertainty is out of the way, and

we can move on and leave this sad Thank you very much for joining us

tonight. The French-led offensive in Mali

has succeeded in dislodging Islamist rebels from the northern

town and fabled town of Timbuktu. After a year in control they have

left many of the holy shrines and monuments smashed to pieces. As

they pulled out, they have apparently set fire to a library,

the Ahmed Baba Institute, which contains thousands of priceless

documents stating back to the 13th sent treatment one of the greatest

likeies of Islamic manuscripts in the world. We will talk about that

in a moment. First of all from Mali. Can you tell us the latest from

Timbuktu? Well, yes. As you say, we understand from malian official

was set ablaze four days ago by Islamist rebels, as they began to

flee from the town, ahead of the French advance. The institute

contains about 20,000 manuscripts, dating from the golden age of

Timbuktu as a great centre of Islamic learning, manuscripts about

science, learning and history, all housed in this brand-new research

institute, funded by the South African Government. Precisely

intended to preserve those manuscripts for posterity. They are

not the only manuscripts in Tim but tu, there are several hundred

thousand in private collections as well. This was the main single

damage was done. But we understand there has been considerable damage,

there has been considerable losses there. Let's talk now about the

advance of the French and the malian Government. Do you think

that -- Malian Government. Do you think the Islamist rebels are

fainting back, what will be the town in the north still in the

hands of the rebels. We expect now that the French will probably

retake that in the next few days. What President Hollande has said,

military intervention in Mali will be over. The French will retire to

their bases, after that they will have a support and training role

for Malian and other west African troops, who will be expected to

complete the conquest of the north, and then hold the territory. The

big question is how difficult a job will that be. Where exactly are

have the rebels now gone. Will they guerrilla war of the kind we have

seen for decades in this part of intelligence believes is some of

these Islamist leaders have already gone to the mountains, where there

is a well-established cave complex in the far north of Mali. We have

heard from Malian military sources that they believe some of the

rebels are now hiding in Timbuktu and other towns, and they pose a

into the north, and refugees return, we will see a lot of people being

accused of being infiltrators and talk about developments in Mali, we

have a Tuareg sociologist, Sufiah Yusof, Noman Benotman, a former

Libyan Jihadi, now of the counter extremist, Quilliam Foundation, and

Ian Bremmer, President of the Eurasia Group, we will talk about

the library in a moment. First of all, Dr Yusof, do you think, when

you hear it said that there may be a regrouping, and there maybe

further activities by the Islamists, what is your view of what is

happening at the moment? I think that this is the first step.

Probably the Islamists will melt a. Will they come back, as he said?

they have their opportunities, and the means, perhaps. If they can't

do that, perhaps they will resort to other things, dirty terrorism in

cities and things like that. Wherever they find easy targets.

Ian Bremmer, just on the basis of what Dr Yusof says, do you think

the French might be embroiled for be? It is clear that Hollande

easier battle at the beginning, he had to walk that back today. He

said today the French are wing so far. I remember when President Bush

said mission accomplished in Afghanistan, it didn't go well for

them. 60% of French supported it at the beginning, I bet if you took a

poll that will still be already going down. They will be there in

six months time. My colleague is of biding their time or urban

insurgency, or waiting to see attacks against French civilians in

Mali or closer to home, it could be France. There are a lot of folks

object of global war on terror was the US, today it is France. This

you heard it said there that there is some idea that the groups are

disappeared to the mountains, but some are still local? Some of them,

of course, I agree what was said from Timbuktu, it is well known the

tactics by all the Salafi Jihadists, I would rather say that rather than

Islamists. They want different things? Yes, there is two main

largest guerrilla warfare in the about them, the war is against them,

the other one more dangerous, a very low level urban guerrilla

warfare. What do the Tuaregs want? They want good governance. Under

this Malian Government? Under this Malian Government, they have never

been generally seperatist, I don't think so. Of course there was this

declaration of independence, but it was more, I think, sort of part of

a bargaining strategy. So the Tuareg, and the other groups are

not aligned in terms of their talking about. There is all sorts

of different sub-Al-Qaeda groups, and different conversations about

who else is out there? Al-Qaeda is not the same thing as the Tuareg.

No, of course not. The other people, the inhabitants of the northern

part of Mali, there are Arabs, there are all of them, what they

want is basically a good governance. They want good governance, and they

are not getting it, where do the Americans stand on this? It seems

very clear that Barack Obama is not on for any for moreen adventures?

It is very clear, the -- Foreign adventures? It is clear the United

States is providing refuelling and transport, we are picking up French

soldier, bringing them to Mali and going back. We are OK with that. We

have 60,000 plus dead in Syria and no appetite for that. President

Obama's inAugustation speech is focusing on nation-building at home.

We are reducing adventure in the Middle East not increasing it.

Let's move on to talk about what we think has happened, this burning of

that there are hundreds of hands, the building of the

collection was going on day by day, how important was the collection?

It is hard to estimate how many documents were damaged and how many

are still in good shape. Of course historically it is just such a rich

heritage, a treasure. If it disappears, it would be such a

disaster, actually. Much of it is about the flowering of Malian

cultural life around Timbuktu in the 14th and 15th centuries, we

haven't had a huge cache of documents like that before?

really, if these documents we lose this documentation. When it

the rebels would burn it? Because Look, first of all, I think I still

have a of doubt if they really burned all of it. Because I know

they have something with some specific documents or manuscripts,

it has to do with sufficientism, they have a strong ideolgical

Sufism. Sufi documents have already been destroyed? They think it is

they are leaving the down, it is a religious duty. Do you think they

still have a lot of doubt about what kind of damage. It has not

lot of conflicting reports. If it is true, Dr Youssouf, how

cultural heritage to have lost this material? I think it would be a

very sad thing. But what I would like to say about this, is Malians,

ought to take advantage of their culture while it is there. And not

wait until it is not there to capitalise on it. To get everything

they can get out of it. Because once it is not there, then it is a

problem. I think it is not enough to have manuscripts in a place like

the Ahmed Baba Institute. What is more important, it is like having

pieces in a museum, what is more important is promoting the cultural

heritage, and helping people be aware of that heritage. Helping

them to incorporate it in their own intelligence.

Thank you very much. The US and Japan today agreed to work closely

with South Korea to dissuade North Korea from carrying out what is

called a nuclear test of a higher level. However, the north Korean

news agency announced that forcing the country to give up the right to

satellite launch is a little short of pressurising it to abandon its

sovereignty. So South Korea remains constantly alert to attack, and the

rare attempt at defection. Newsnight was given extraordinary

access to the closed border area, frozen in time since the end of the

Korean War. Every day, for 6 years, someone has

patrolled the world's last Cold War frontier. Today it is Lieutenant

Yoo Hak-joo, a baby-faced 24-year- old, a love of long distance

running and a girlfriend who worries back home. The South Korean

army unit he leads are known as Flying Dragons, the small stprech

of border they defend, -- stretch of the border they defend is bleak

and the facilities rudimentry, and the temperatures today below minus

20. Twice a day the Lieutenant and his men walk the Armistice Line

drawn by the United Nations 20 years a checking for any signs of

disturbance in South Korea's perimeter fence. This is where the

two sides in the Korean War stood when the fighting stopped. South

Korea and the US on this side, North Korea and China on the other.

Not much has changed here since. The old enemy, North Korea, begins

just over a mill away, across a buffer zone, packed with land mines.

And, on the southern side, telephones, rigged up moing the

mines for stray defectors -- rigged up among the mines for stray

defectors to call across, the army wouldn't say when they last called.

The food isn't bad, one of the conscriptss is a trainee chef.

Every man has not chosen to be here, in Japan you serve two years

national service. The Government has talked about bringing it down.

But with the birth rate declining some are worried it will leave the

country vulnerable. Some already know what vulnerable is all about.

TRANSLATION: It is less about hierarchy more about brotherhood,

we eat, sleep and lead together. It is high-stress but I lead my men to

do our duty. Any hesitation could lead to my family, the Korean

people and my friends to be in danger. We need to be ready to

defend this position with everything we have got. We need to

be mentally prepared. For the soldiers here, two 2kms away, North

Korea can seem especially threatening. This frontier is

scattered with old battles, and the last military conflict between the

north and the south was two years ago. In his new year's address this

year, the north Korean leader talked about ending confrontation

with the south. And with South Korea, China and Japan, all

starting this year with new leaders, many people are hoping there's a

chance for a political this aw. Since then -- thaw. Since then

north crowia has defied the UN and announced it will launch long-range

rockets and carry out a third nuclear test. The live fire

exercises aren't for show. One young recruit told me he gets most

scared at night listening to gunfire from the north. Scared

perhaps that this could happen again. Just a few miles away from

the Lieutenant's stretch of the boarder, lies Gloster Hill, where

British servicemen, fighting with their American allies 60 years ago,

watched their regiment overrun by the Chinese army. There weren't

many left alive to remember it. They kept coming. When they came

they did come, and in great numbers. You know. When we were on Gloster

Hill, all you could see was the hills covered in them, like ants.

You would look around there, they were on that hill, that hill, keep

looking around. That was it. He this just kept coming. These days,

it is Korean soldiers who stand eyeball-to-eyeball at the border's

only Joint Security Area. North and south, 24-hours a day, guarding the

line of control inside the UN compound. The list of rules for

visitors here reflects just how tense relations have remained, no

pointing, no shouting, and until recently, no blue jeans.

It has been so long, though, that the uneasy truce has become almost

good money to visit a piece of the of South Korea's top tourist sites,

even with visiting Chinese. There are gift shops, message boards, and

statues to take your photo with. only one school to choose from. And

the English lessons, given by real American soldiers are perhaps the

biggest draw. But, this is still the frontline,

in an unresolved conflict between a heavily-armed communist state, and

its capitalist arch enemy. One in Asia could change very quickly.

One man, who knows what it is like to eyeball your brother enemy each

day is Taishou, now a financial an -- Taishou it a, now a financial an

cyst, he was, two years ago, one of the soldiers guarding the blue huts

along the line of control. It was so tense at the frontier, he said

he never slept very well, everyone between the two lines every day.

One day when I was patrolling, one guard from North Korea called my

name. I was so surprised the first time, but I felt this feeling of

friendship, they actually called my name. We are the same Koreans, we

When we lock at their mouths, they They swear at us. Do you mouth bad

recorded in there, we have no chance to contact them in person or

in facial expressions, that is not Metropilis is 30 miles from the

frontline, one reason why the US army has its main military base

here, on a slice of prime real estate, bang in the middle of the

capital. The razor wire against the neon of Seoul's party district.

There are 28,000 American troops still based here, in the next

couple of years, half those bases, including most of this one, will

close, and the troops will move to is where they are moving to. The

town of Pyeongtaek, 06 miles south, 60 miles south, they will be out of

this new location gives them more military, just on the other side of

this sea here, many people are bond whaerg the future will look like?

-- wondering what the future will look like? Construction has already

rebalancing of troops in Asia. 60% of the forces could be based here.

China is building up its Navy too, with aircraft carriers and

submarines. There could be two superpowers in the area. Some local

families are wary of their new neighbours. There has been solar

panels and new jobs, but some say it is not enough to make up to make

up for having US soldiers on their doorstep. This man is raising

awareness of what the new base could mean. TRANSLATION:

rational has changed. It used to be north, now it is fighting wars

America wants to fight. This location is ideal for the US. They

to face off with China. America says its rebalance something not

about China, but safeguarding regional peace, as it has done for

decades. But trip wires exist. Like the one guarded by the

Lieutenant and his Flying Dragons. Beijing and Washington and -- feel

differently about how to defend against North Korea. A sobering

thought for the night patrols collecting ammunition. If this Cold

War relic ever turns hot again, this handful of conscriptss will be

facing a different kind of battle to the one their grandfather's --

grand fathers' fought. That's all we have time for now. We will be

we have time for now. We will be back tomorrow, goodbye.

and start to blow the rain back up from the channel across the whole

of the UK, turning wetter in possibly turning more drizzley

towards the south. Still heavy bursts of rain for northern England

is damp and drizzley. Some dryer rain to come across the south west

of England. An amber rain warning in Devon, and also across South

Wales. Over the hills 50mms, two inches of rain in 24 hours on

The rain clearing away from Northern Ireland in the afternoon,

it may get late sunshine out things go down hill. Early sunshine

but wet and windy through the afternoon. Some of the rain will be

heavy, particularly over the hills. Look how mild it is and how it

changes on Wednesday. Brighter, yes, but sunshine and some showers, and