:00:12. > :00:17.Turkey's grief turns to rage, can the Turkish Government's response to
:00:18. > :00:23.the terrible mining disaster get any worse. We will ask the chairman of
:00:24. > :00:32.Turkey's Committee on Foreign Relations. He took President Obama
:00:33. > :00:40.to the White House, David Axelrod has landed. If you put the glasses
:00:41. > :00:49.on, you should be able to see it in a few days. A success story with a
:00:50. > :00:57.lot of torque. Bond Lear villa for rent, hundreds ofms below surface
:00:58. > :01:07.for rent. One MasterChef says it is fabulous. I will be on Newsnight
:01:08. > :01:13.talking about growing underground. Good evening, the outrage at the
:01:14. > :01:17.Turk irk Prime Minister's handling of the worst mining disaster his
:01:18. > :01:23.country has ever seen, was only compounded today of an image that
:01:24. > :01:26.showed his political aide kicking a protestor during the protest of the
:01:27. > :01:32.visit to the mine yesterday. Thousands of people have felt
:01:33. > :01:37.teargas and water canon on cities across Turkey, in three days of
:01:38. > :01:41.morning for the dead. 284 so fashion and 150 still missing deep
:01:42. > :01:44.underground. The first funerals were held today amidst accusations that
:01:45. > :01:57.the privatisation of the mining sector has made working conditions
:01:58. > :02:02.more dangerous. This was twins, 32-year-old and working at the mine,
:02:03. > :02:07.on Wednesday they were buried together in the home town. Their's
:02:08. > :02:11.the first of many funerals up and down western Turkey, this is the
:02:12. > :02:15.country's worst mining disaster and the death toll keeps rising. With it
:02:16. > :02:22.a sense of outrage directed at pretty much anyone in authority.
:02:23. > :02:26.This was the scene in Soma when the Prime Minister, Recep Tayyip Erdogan
:02:27. > :02:33.came to pay his respects. His official c surrounded, battered,
:02:34. > :02:38.almost overwhelmed. And a walk about that seemed to go badly wrong. Video
:02:39. > :02:40.of the Prime Minister's defensive reaction has been published on
:02:41. > :02:47.newspaper websites. And so have these, pictures of a member of his
:02:48. > :02:51.staff kicking a protestor. Is this, people wonder, the authentic face of
:02:52. > :02:56.the Government's response. We must understand that the tragedy happened
:02:57. > :03:00.in a country that was already polarised enough, in a country where
:03:01. > :03:03.there was already a lot of anger and division. Both the people who
:03:04. > :03:07.support the party, and people who are against the party are more
:03:08. > :03:11.consolidated, if you will. And the gap between these two segments of
:03:12. > :03:17.the Turkish population is quite large now. The Prime Minister's
:03:18. > :03:21.first press conference after the disaster was less than impressive
:03:22. > :03:25.too. The pristine formal setting seemed a million miles from the soot
:03:26. > :03:28.and grief of Soma. The Prime Minister promised a thorough
:03:29. > :03:32.investigation, but then launched into a carefully-prepared catalogue
:03:33. > :03:40.of mine disasters throughout history, including England's worst
:03:41. > :03:45.at Oak's colliery near Barnsley in 1836. TRANSLATION: These kind of
:03:46. > :03:51.accidents happen continually, unfortunately. But anger about
:03:52. > :03:56.events in Soma has spread, this was a port city today, protests dealt
:03:57. > :03:59.with in familiar fashion by Turkey's heavy-handed police. There were
:04:00. > :04:03.demonstrations elsewhere and a nationwide strike by unions
:04:04. > :04:07.demanding better working conditions. Even before Tuesday's disaster,
:04:08. > :04:12.safety at the Soma mine had been questioned. Opposition MPs demanded
:04:13. > :04:18.an inquiry, and an effort rejected by the Prime Minister's own ruling
:04:19. > :04:26.party just last month. One of his allies was grilled on TV about why
:04:27. > :04:29.he dismissed the inquiry as trivial and petty. Is this a party and Prime
:04:30. > :04:34.Minister increasingly out-of-touch. I do believe his image has been
:04:35. > :04:38.tarnished, most alarmingly. The messages that he has been given, you
:04:39. > :04:42.know, recently, I find it very problematic. It sounds as if he
:04:43. > :04:46.cares mostly for the people who voted for him, but what about the
:04:47. > :04:50.other half of the Turkish population. I think as a result
:04:51. > :04:58.people feel distanced, belittled, and that increases the frustration
:04:59. > :05:02.and anger. So is this another moment, a repoet of last summer's
:05:03. > :05:11.burst of anger against an authoritarian Government. Not yet.
:05:12. > :05:18.The last protests was primarily missle class, university educated
:05:19. > :05:22.youth in Turkey, expressing their deep dissatisfaction of the type of
:05:23. > :05:28.governance by Recep Tayyip Erdogan. Where as Soma was a man made
:05:29. > :05:34.disaster, again and the level of protests has been much, much lower.
:05:35. > :05:38.The Turkish President visited the mine today, showing rather more
:05:39. > :05:44.empathy than the Prime Minister 24-hours earlier. But emotions are
:05:45. > :05:49.still running high. The mine was privatised by this Government,
:05:50. > :05:53.people wonder if crony capitalism is partly to blame. They will be
:05:54. > :06:00.burying the dead for days, possibly weeks to come. Turkey's unenviable
:06:01. > :06:04.record on industrial safety has deteriorated even further. Could all
:06:05. > :06:10.this still come back to haunt the country's Prime Minister. We have a
:06:11. > :06:15.member of Recep Tayyip Erdogan's Government and chairman of Turkey's
:06:16. > :06:21.foreign affairs committee. He joins me from Istanbul. When the political
:06:22. > :06:26.opposition called for an inquiry into work place safety, they cited
:06:27. > :06:29.Soma as one of the offenders. Was it now a dreadful mistake for the
:06:30. > :06:41.Government to vote against the idea of that inquiry? Well, I think the
:06:42. > :06:45.picture should be seen in its own perspective. In the parliament work
:06:46. > :06:48.the sessions start with the opposition taking the floor and
:06:49. > :06:54.asking for investigations or formation of committees. And if we
:06:55. > :07:04.had really formed those committees we would have more than 500
:07:05. > :07:07.different investigations had. But you have a poor record on industrial
:07:08. > :07:16.safety, did you vote against the idea of having this inquiry? Well
:07:17. > :07:22.this inquiry was voted yes, the Government party rejected this. But
:07:23. > :07:30.it wasn't just because it was on the new measures on the mine industry's
:07:31. > :07:35.security. But normally we have really closed over 100 mines in the
:07:36. > :07:42.last few years, and this particular mine was investigated twice last
:07:43. > :07:49.year and it was investigated this March. Nothing wrong was found
:07:50. > :07:54.there. I think what the position was doing was perhaps correct, but it
:07:55. > :08:00.wasn't exactly to an investigation commission cturing. It was just to
:08:01. > :08:09.take the time of the parliament. Two things, these checks weren't carried
:08:10. > :08:13.out without warning. But secondly the company involved in the mine
:08:14. > :08:20.said in 2012, it boasted it had dropped the cost per tonne for
:08:21. > :08:27.extraction from the mine from $140 to just under $24. Didn't that set
:08:28. > :08:31.off alarm bells? That shouldn't be looked at like that. When you have
:08:32. > :08:38.privatisation, or if you are having a private sector working anywhere,
:08:39. > :08:44.the costs go really below the Government functioning of any
:08:45. > :08:49.institution. You can't say that because that. That is a radical
:08:50. > :08:54.drop? You can't say the security also went down. The security went
:08:55. > :09:00.down as well. You heard the dismay that Prime Minister Recep Tayyip
:09:01. > :09:04.Erdogan's speech about the disaster caused, particularly when he said
:09:05. > :09:08.these disasters were not quite common place, and cited disasters
:09:09. > :09:13.around the world, including one going back to 1860 in Britain. Has
:09:14. > :09:16.the Prime Minister misread not only the domestic mood but the
:09:17. > :09:20.international mood about the disaster? Well that I think, you
:09:21. > :09:25.should look at the picture correctly. The Prime Minister
:09:26. > :09:31.cancelled his visit to Albania, he was supposed to be there. He
:09:32. > :09:35.convened the ministerial council and declared the three days mourning. He
:09:36. > :09:38.sent the minister of energy there, the minister is there for three days
:09:39. > :09:44.now. Every minister relevant was there. He went there personal. Why
:09:45. > :09:47.did he have to make historical speeches about something that is
:09:48. > :09:53.very real and immediate to hundreds of families? Well it wasn't
:09:54. > :09:57.something historical. It was answering a question and he just
:09:58. > :10:05.gave some examples. That was all. But what he did was actually he
:10:06. > :10:10.wanted to comfort the people by going there. He has instructed an
:10:11. > :10:14.amount equal to the salary to be paid to the families of the lost
:10:15. > :10:20.miners. He ordered also an investigation. He said that if this
:10:21. > :10:26.investigation result proves that anybody is guilty he will not be, or
:10:27. > :10:31.she will not be tolerated. You said the Prime Minister went there to
:10:32. > :10:34.caress the people, what was his aide doing kicking a protestor then,
:10:35. > :10:40.kicking a member of the family. Should that aide be sacked now?
:10:41. > :10:45.Well, look, the Prime Minister didn't kick anybody. I said his
:10:46. > :10:48.aide, his aide? That is an individual issue, somebody from his
:10:49. > :10:51.staff did that, but he also made a statement that he was deeply
:10:52. > :10:58.saddened that he couldn't control himself. Should he be sacked? In the
:10:59. > :11:02.provocations. You should take that as a young person who lost his
:11:03. > :11:07.nerves. You cannot attach this to the Prime Minister at all. I would
:11:08. > :11:11.just like to ask you, you are a senior politician. He went there to
:11:12. > :11:15.find a solution to the problem, if somebody from his staff... I have to
:11:16. > :11:18.press the point, to be absolutely clear, you are a very senior
:11:19. > :11:25.politician, it is the Prime Minister's aide, this isn't some
:11:26. > :11:30.ingenue, when an image of him kicking a protestor or a member of a
:11:31. > :11:33.bereaved family and you think this is an action of an individual that
:11:34. > :11:37.perhaps was inexperienced, surely the least the Prime Minister should
:11:38. > :11:41.be doing is censoring that and saying that aide should be
:11:42. > :11:49.dismissed? Well, you haven't seen the end of the story yet. We are in
:11:50. > :11:55.a very difficult moment. The worst disaster happened, funerals are
:11:56. > :12:00.taking place we are still looking after the people mission. Under
:12:01. > :12:04.these circumstances I think we shou, everybody should wait for a few days
:12:05. > :12:08.in order to see what measures are being taken or if a Prime Minister's
:12:09. > :12:15.aide is dismissed or not. I think looking at the picture today from
:12:16. > :12:20.that perspective is wrong. We are really suffering, everybody is very
:12:21. > :12:25.sad and we're trying to go into the mind, trying to find the missing
:12:26. > :12:31.miners alive or dead and at this point I think looking to the
:12:32. > :12:35.particular case of a aide of the Prime Minister is wrong. Thank you
:12:36. > :12:39.very much. All the measures will be taken and the investigation will be
:12:40. > :12:47.on and if there is anything missing in this security of the mines in
:12:48. > :12:51.Turkey, new additional measures will be taken. I think looking at the
:12:52. > :12:56.perspective from one person kicking another is wrong. We are really
:12:57. > :13:01.suffering from a worst mine disaster. The population is very
:13:02. > :13:05.sad, families are very sad, and the Government is announcing it will
:13:06. > :13:09.take all the measures necessary. Thank you very much, I'm affray we
:13:10. > :13:14.have to stop you there. We have run out of time. Ed Miliband welcomed
:13:15. > :13:19.his star signing to his Shadow Cabinet meeting today. David
:13:20. > :13:24.Axelrod, the man credited with putting President Obama in the White
:13:25. > :13:27.House jetted in for two days of intensive meetings as polls have
:13:28. > :13:31.questioned Ed Miliband's leadership by putting the Conservatives ahead
:13:32. > :13:36.for the first time in more than two years. They were having dinner
:13:37. > :13:42.tonight, so perhaps they are sitting with whiskeys working out what
:13:43. > :13:51.material Axelrod has to work with. If only it were this ey to pull off
:13:52. > :13:55.an Obama-style victory, a few striking colours but Ed Miliband is
:13:56. > :14:03.finding change isn't always a simple message to spell. Step forward the
:14:04. > :14:08.newest member of Team Miliband, David Axelrod, meeting the cabinet
:14:09. > :14:12.today, he was President Obama's strategist. Labour insiders are
:14:13. > :14:16.saying this isn't a Labour makeover, you don't get someone of his calibre
:14:17. > :14:20.saying this isn't a Labour makeover, to tell you what tie to wear, said
:14:21. > :14:23.one, although they were wearing the same colour time. It is about
:14:24. > :14:31.helping Labour frame and communicate its message. He can frame messages,
:14:32. > :14:35.soundbites, speeches, the way Ed Miliband sound and looks. Now there
:14:36. > :14:42.is nothing there that the Labour Party couldn't work out for itself.
:14:43. > :14:50.But never underestimate the power of an expensive outsider to make things
:14:51. > :14:55.happen. If we look at all voting intention polls since 2010, it
:14:56. > :15:00.appears that Labour's lead has waxed and waned, indeed two polls this
:15:01. > :15:08.week gave the Conservatives a slight lead. Not perhaps where Labour needs
:15:09. > :15:15.to be a year out from an election. What can David Axelrod do, I met him
:15:16. > :15:17.in New Hampshire at 2008 at the start of Barack Obama's first
:15:18. > :15:23.presidential campaign. Then he had an even bigger hill to climb, with
:15:24. > :15:28.Obama 20 points behind in the national poll One state at a time,
:15:29. > :15:33.we said when we were 30 points behind national polls we said it
:15:34. > :15:38.starts in Iowa. Then the candidate was largely unknown to the American
:15:39. > :15:44.people a year before polling day. The task was to introduce him in the
:15:45. > :15:49.most positive and exciting day. Way. For Ed Miliband to get here as Prime
:15:50. > :15:52.Minister, it looks harder. He has already been Labour leader for
:15:53. > :15:57.three-and-a-half years. Before that he was in the cabinet, so many
:15:58. > :16:05.British voters have already formed an opinion as to who he is and what
:16:06. > :16:09.he stands for. If the polls are accurate, that opinion isn't
:16:10. > :16:14.favourable. Just 19% of voters see him as the best Prime Minister, as
:16:15. > :16:18.opposed to 36% for David Cameron and 5% for Nick Clegg. That is actually
:16:19. > :16:21.a worst position for Ed Miliband than he was when he first became
:16:22. > :16:27.Labour leader. Ed Miliband comes across to millions of voters as a
:16:28. > :16:33.very bright, very argumentative, undergraduate. We doesn't have the
:16:34. > :16:39.gravitas, he doesn't look like he's serious number, a man with gravitas
:16:40. > :16:43.who can run the country. What he has to do in his speeches at prime
:16:44. > :16:48.ministers' questions and interviews, is to be less argumentative and more
:16:49. > :16:53.magisterial so he sounds as if he's in the job already. Labour's best
:16:54. > :16:58.period, according to the polls, started after the budget in March
:16:59. > :17:02.2012. A series of coalition tax announcements on caravans, hot food
:17:03. > :17:06.and charities that rapidly unravelled helped matters
:17:07. > :17:16.considerably. Even people within Downing Street are calling it an
:17:17. > :17:20.omnishambles budget. But if we look at a graph for polling on the
:17:21. > :17:26.economy, since the last election, Labour has been consistently behind
:17:27. > :17:32.since early 201, and now that -- 2013, now that gap seems to be
:17:33. > :17:37.widening. He predistribution says we can't allow ourselves to be stuck...
:17:38. > :17:47.Ed Miliband has introduced new language into the debate, like
:17:48. > :17:57."predistribution", Mr Axelrod's job is to refine these. Labour needs to
:17:58. > :18:01.have a critque of this the largeage, like the kind you would have in work
:18:02. > :18:05.or the supermarket that says this is what's wrong with the economy, these
:18:06. > :18:08.people have all of the money and power in society and it needs to be
:18:09. > :18:12.shared more equally. And getting that kind of message out I think is
:18:13. > :18:16.one that is popular and speaks to what Labour is good at and what the
:18:17. > :18:20.Conservatives aren't. Any honest election guru will admit there is a
:18:21. > :18:25.limit to what any election guru can do, they can shape and polish, frame
:18:26. > :18:28.and label. The people around Ed Miliband say they have the ideas and
:18:29. > :18:36.the message, all they are looking for is a bit of help in getting them
:18:37. > :18:39.across. Joining me now is Ed Miliband's biographer and political
:18:40. > :18:46.editor for the Huffington Post UK. Phil Collins a former Tony Blair
:18:47. > :18:56.speechwriter, and Lorraine Candy the Editor in Chief of Elle. The subject
:18:57. > :19:01.tonight is Ed Miliband. Does he need to make a new political narrative
:19:02. > :19:04.for him? A bit of both. This question of image, Ed Miliband's
:19:05. > :19:09.makeover that Phil's paper was talking about today, clearly
:19:10. > :19:14.undeniably he has an image problem. We shouldn't exaggerate it, there
:19:15. > :19:21.was talk of gravitas and looking primesal. The best way to look --
:19:22. > :19:25.prime ministerial. There is always that talk the best way to be prime
:19:26. > :19:31.ministerial is to be Prime Minister! We in the media are obsessed with
:19:32. > :19:35.the leader, if you look at the academic evidence who study this,
:19:36. > :19:38.they say people don't vote on the basis of leaders, we don't have this
:19:39. > :19:42.presidential system. Journalists love debating it but it doesn't
:19:43. > :19:45.affect the outcome of the next election. There he is behind on
:19:46. > :19:48.polling on the economy, and he thought he would breakthrough on
:19:49. > :19:53.cost of living, he was punting that and he still hasn't managed to make
:19:54. > :19:58.narrative out of that, that has been stopped dead in its tracks? We don't
:19:59. > :20:02.want to be distracted by the image part of it. It is not the most
:20:03. > :20:06.important part, it is what it is. He came out in one poll as being very
:20:07. > :20:09.honest, the public said they felt he was honest. I would think that is a
:20:10. > :20:13.positive thing for someone talking to the public about cost of living.
:20:14. > :20:16.You want honesty around that. What he looks like and wears is
:20:17. > :20:23.incredibly important, but it is not the only thing. Nobody ever has an
:20:24. > :20:28.image problem that doesn't have a problem beneath T I'm a big fan of
:20:29. > :20:31.Ed Miliband, I think he's very good at getting the message out. The
:20:32. > :20:35.message is the problem. It is not that he is unable to articulate what
:20:36. > :20:39.he thinks, he's been very clear about his analysis of capitalism, a
:20:40. > :20:44.series of retail policies that are re clear. You think him standing at
:20:45. > :20:48.a podium talking about redistribution is getting across
:20:49. > :20:53.well. That is an important message about distribution of wealth. Energy
:20:54. > :20:56.prices. He made the weather on energy and then he fell away. He
:20:57. > :21:00.couldn't carry it through, why is that? The reason for that, he has a
:21:01. > :21:03.series of things that are in themselves popular adding up to
:21:04. > :21:07.something that is proving not to be popular. The reason is he's not a
:21:08. > :21:10.credible messenger for that story. Would you have said the same about
:21:11. > :21:14.Margaret Thatcher? At the moment he's an underdog and people tend to,
:21:15. > :21:17.it is a long time before the election in terms of politics and
:21:18. > :21:21.voting and actual three what women think, and I keep being told what
:21:22. > :21:24.women think over the next year is really, really important. How does
:21:25. > :21:30.he, does he appeal to women actually? I think of all of them
:21:31. > :21:34.he's possibly, possibly could be the most appealing, but we don't know
:21:35. > :21:37.about the women around him. His wife is incredibly intelligent,
:21:38. > :21:43.incredibly likeable, we don't know that much, but if a woman like that
:21:44. > :21:46.loves a man like then the package I need to know more about as a
:21:47. > :21:53.possible voter. The package was not just about Obama but about Michelle,
:21:54. > :21:58.and the same about Samantha Cameron? His brand and image, right at the
:21:59. > :22:02.beginning, their family and her was incredibly important. If you look at
:22:03. > :22:09.the pictures of Ed Miliband with his family in a more relaxed way, with
:22:10. > :22:12.his great v-neck sweater. We don't see enough and that is important.
:22:13. > :22:18.That is the family argument where the woman stands behind the arm? It
:22:19. > :22:24.is about how you sell yourself, we live in a TV age of three main media
:22:25. > :22:28.advisers all ex-politicians. Margaret Thatcher in 1979 was a
:22:29. > :22:32.substantive figure, she came to office and made radical changes, she
:22:33. > :22:36.was seen as shrill and weird, she trailed Jim Callaghan by 22 points
:22:37. > :22:41.in the polls on the personal approval ratings on the eve of the
:22:42. > :22:46.election she won on in a landslide. John Major won by more votes in
:22:47. > :22:50.history and he wasn't a charismatic man. The idea that Ed Miliband can
:22:51. > :22:54.sell himself on the notion much family, given how he won the Labour
:22:55. > :22:58.leadership election is a total fantasy. That is interesting, I
:22:59. > :23:03.wonder if you think that lingers? Of course it lingers, of course it
:23:04. > :23:08.does, people don't know a great deal about it. And people aren't going to
:23:09. > :23:12.vote for him. I don't think you are sell him on the notion of family,
:23:13. > :23:15.that is not what he's going to be talking about, his policies aren't
:23:16. > :23:20.just the notion of family, it is an element of it. I'm saying as a man
:23:21. > :23:23.who is possibly going under a rebrand with someone else in charge
:23:24. > :23:27.it would be good to know more about him personally and see a relaxed
:23:28. > :23:31.side to get the message across. Do we live in a less political age,
:23:32. > :23:37.more presidential p you talk about the TV debates? I think we live in a
:23:38. > :23:40.much more visual age, women and younger voters do everything
:23:41. > :23:45.visually. Even if you are eight or nine you can change and filter your
:23:46. > :23:49.image that you put out on Facebook and other media. We are used to
:23:50. > :23:54.people changing their images, we are distrustful because we can do it
:23:55. > :23:59.ourselves. You need to be aof that. How do they make a trustworthy
:24:00. > :24:03.image? They need to make him feel more relaxed. He's a very
:24:04. > :24:08.intelligent man. I don't want to go to the pub with a man running the
:24:09. > :24:11.country, I want someone really clever running the country. He's
:24:12. > :24:14.very relaxed and good under pressure, a good performer, there
:24:15. > :24:17.have been times when he has performed very well. Maybe it is
:24:18. > :24:21.right there are times when his language was too complex. But he's
:24:22. > :24:26.starting to distill a story. We have to think is this the correct story,
:24:27. > :24:30.why is it he doesn't have the credibility, why are his ratings as
:24:31. > :24:37.a potential Prime Minister so low. Does David Axelrod align him to the
:24:38. > :24:43.Obama story. He has been saying the democrats and Labour have different
:24:44. > :24:49.issues by share a common goal and this will be a big and important
:24:50. > :24:53.election. Is he right? I agree I think the issue is not just about
:24:54. > :25:01.growth, it is about who get the growth. We have seen a report is the
:25:02. > :25:06.increases in tax share. We talk about Barack Obama, and who he issed
:25:07. > :25:12.leading on the economy. -- who is leading on the economy, he was
:25:13. > :25:17.behind in the polls against Mitt Romney about leading the economy. He
:25:18. > :25:21.did a heresy, he shifted to the left and started talking about inequality
:25:22. > :25:25.and tax rises and it worked. Here you have it it was said there that
:25:26. > :25:29.you bring in somebody who costs an awful lot of money and think that
:25:30. > :25:33.will work, do you think he can make the difference between propelling Ed
:25:34. > :25:35.Miliband to Downing Street or not? I think it is very interesting the
:25:36. > :25:40.point you made about bringing an outsider in, bringing somebody who
:25:41. > :25:44.thinks about it in a totally different way. Obama is a different
:25:45. > :25:49.things, if I talk about female voters there is not a woman in the
:25:50. > :25:53.country who wouldn't want to go to dinner with Barack Obama, I'm not
:25:54. > :25:57.sure about planed at the moment. Someone coming in from the -- Ed
:25:58. > :26:03.Miliband at the moment. Someone coming in from the outside, as a
:26:04. > :26:07.voter, it can make a twist. He's far too good to think he can do what he
:26:08. > :26:10.did for Barack Obama to Ed Miliband. That is partly because it is not
:26:11. > :26:14.America, and partly when Labour is so far behind on the economy, it is
:26:15. > :26:24.the 11th hour, it is too late to change it. Too late? Tony Blair was
:26:25. > :26:29.22 points behind John Major in the 1997 election and won the election
:26:30. > :26:33.that was on economy. Pfizer has brought concerns about
:26:34. > :26:37.takeovers for British business, some are worried about a long-term threat
:26:38. > :26:45.to Britain's science base and manufacturing sector. Kraft Food's
:26:46. > :26:49.takeover of Cadbury was followed by a closing factory and job losses,
:26:50. > :26:59.despite promises. Can overseas ownership be good for British
:27:00. > :27:05.business, some with the best marks. Over the last couple of weeks you
:27:06. > :27:09.would be forgiven for thinking that foreign takeovers of British firms
:27:10. > :27:13.are something to fear. But do overseas owners kill jobs? Not
:27:14. > :27:17.always. Damage our skill base? Not necessarily. Are they bad for
:27:18. > :27:25.long-term investment? Not everywhere. Immediate the modern,
:27:26. > :27:30.not so British car industry. Britain benefits massively from being open
:27:31. > :27:35.to investment. Nissan is now producing more cars than the whole
:27:36. > :27:38.of Italy. Since the recession motor manufacturing has been one of the
:27:39. > :27:44.bright spots of the UK economy. Investment is up, exports are up,
:27:45. > :27:48.and employment is up. So why have foreign takeovers here worked out so
:27:49. > :27:58.well. And what lessons can other parts of the economy learn from its
:27:59. > :28:03.success. Nowadays there are six big car manufacturers in the UK, all of
:28:04. > :28:10.them foreign owned. Back in the 1970s, the British car industry was
:28:11. > :28:13.mostly still, well, British. But car production was falling. It only
:28:14. > :28:17.began to rise again from the mid-1980s. With the opening of
:28:18. > :28:23.Japanese and other foreign-owned plants. The global recession hit
:28:24. > :28:27.demand for cars especially hard, now though it is on the up and expected
:28:28. > :28:39.to hit a record level by 017. And about 80% of these cars will go
:28:40. > :28:43.abroad. The industry was once the go-to example of Britain's status as
:28:44. > :28:47.an economic failure. Plaged by difficult trade unions, chronic
:28:48. > :28:53.underestimate, and widespread inefficiency. It didn't help that
:28:54. > :28:59.Britain generally made rubbish cars to boot. You have had some bad
:29:00. > :29:04.experiences with the British cars. The bottom dropped out of the Ford
:29:05. > :29:08.after nine months. Have you tried British cars? I had a Jag before
:29:09. > :29:14.that and Fords, it was the usual trip down to the garage every
:29:15. > :29:18.fortnight. You mate remember the Triumph TR-7, a typical British car
:29:19. > :29:22.from the 1970s, a commercial failure like a lot of those cars. Now things
:29:23. > :29:26.are very different. Smart Government policy is helping the industry to
:29:27. > :29:29.grow, with things like training and research and development. Back in
:29:30. > :29:34.the 1970s policy was very different. It was about cobbling firms
:29:35. > :29:40.together, bailing out losers and in the end the Government owned a huge
:29:41. > :29:44.chunk of the STLI. -- industry, we all know how well that turned out.
:29:45. > :29:48.There are three reasons why the UK is so attractive to the sector,
:29:49. > :29:52.firstly, a high-quality, flexible Labour force, which has a long track
:29:53. > :29:56.record now of successfully building quality product d. Secondly our
:29:57. > :30:00.manufacturing processes are now globaling adopted. And they aredly,
:30:01. > :30:03.interestingly, I think the relationship between Government and
:30:04. > :30:08.the industry, through the automotive council means that we have a forum,
:30:09. > :30:15.where the industry specific issues can be tackled stragically, so we
:30:16. > :30:21.have a pathway together. The British car industry employs nearly 130,000
:30:22. > :30:25.people, it generates over ?10 billion a year for the economy.
:30:26. > :30:29.Foreign ownership in the sector has brought better management technique,
:30:30. > :30:32.exposure to international competition, and often global
:30:33. > :30:36.economies of scale. These foreign-owned firms aren't just
:30:37. > :30:43.producing more here, they are also carrying out high-tech research.
:30:44. > :30:50.What are we looking at here? This is our 3-D version of the Evoke. At
:30:51. > :30:55.Jaguar Land Rover's R centre in Warwickshire, they have built a
:30:56. > :31:03.vertical actual reality cave to test proto-types. If you put on the
:31:04. > :31:08.glasses, it allows you get right inside the data. You can put your
:31:09. > :31:12.head inside the engine with these 3-D glasses. Centres like this,
:31:13. > :31:16.mixed with the research is putting us on an even footing with the
:31:17. > :31:22.German manufacturers. In some respects we are slightly ahead. We
:31:23. > :31:27.are using clever techniques in the virtual world that enables us to be
:31:28. > :31:31.ahead. Both in terms of materials and development process...
:31:32. > :31:36.Everything seems to be going well for the car industry. Some are
:31:37. > :31:40.worried about the nuts and bolts. It is no sir about the number of shiny
:31:41. > :31:47.cars across the line, it is about the number of British components
:31:48. > :31:51.under the bonnet. The problem is -- bonet, the cars in the 1970s were
:31:52. > :31:56.100% British and the percentage is lower. If you correct for the
:31:57. > :32:00.important content we will still only be producing something like
:32:01. > :32:05.two-thirds the value of output that we produced in the 19p 0s, and rob
:32:06. > :32:12.-- 1970s, and probably significantly less than in the late 1990s. For a
:32:13. > :32:17.long time we imported more cars into Britain an exported abroad. Recently
:32:18. > :32:21.the value of the cars we sell overseas has matched the value of
:32:22. > :32:25.the cars we buy in. This doesn't tell the whole story. A lot of the
:32:26. > :32:30.components in British-built cars come in from abroad. Add in all
:32:31. > :32:39.that, as shown on the red line, and the motor industry as a whole is
:32:40. > :32:44.still a big importer. Only around 40% of the parts in a British-made
:32:45. > :32:50.car are from the domestic supply chain. In Germany and France that
:32:51. > :32:55.figure is nearer 06. Closing this gap could at ?3 billion to the UK
:32:56. > :32:58.economy. Foreign ownership can be controversial. While we may again
:32:59. > :33:06.investment, jobs and expertise, profits, accountability and decision
:33:07. > :33:10.making can flow abroad. There is rightly public interest in where the
:33:11. > :33:17.ultimate ownership of UK businesses rests. I don't think it is simple to
:33:18. > :33:20.give a yes or no answer about whether or not foreign ownership is
:33:21. > :33:24.good for the UK. It is about having a long-term plan and driving through
:33:25. > :33:27.successful investment, and securing growth in overseas market. The
:33:28. > :33:31.British car industry is doing well, because firms have invested in
:33:32. > :33:35.research and development, innovation and their work force. Most of those
:33:36. > :33:41.firms also happen to be foreign-owned. In other sectors,
:33:42. > :33:46.overseas takeovers have been associated with asset stripping and
:33:47. > :33:50.chasing a quick buck. The real divide isn't between British and
:33:51. > :33:53.foreign ownership, but between those seeking long-term value and those
:33:54. > :34:01.only interested in short-term profits. UK car manufacturers all
:34:02. > :34:05.would love to be aiming for the long-term value. And today the
:34:06. > :34:14.industry is becoming a world beater. The 1970s feel like a very long time
:34:15. > :34:19.ago. Joining me now is an economist dubbed one of the top world thinkers
:34:20. > :34:25.by Prospect Magazine, and the editor of City AM. First of all, would the
:34:26. > :34:29.evidence of the car industry be one that actually if it hadn't been for
:34:30. > :34:34.foreign investment saving the day we wouldn't have car industry at all?
:34:35. > :34:38.In the case of car industry that is true. But you have to recognise that
:34:39. > :34:42.it is well established empirical evidence that other things being
:34:43. > :34:47.equal, foreign companies will do fewer or higher value added
:34:48. > :34:52.activities in the host economies like the UK in the case of the car
:34:53. > :34:56.industry. We have to bite the bullet, if we want foreign
:34:57. > :35:01.investment we have to accept we are branch factories and not have the
:35:02. > :35:07.main engine here? That is what I meant. I have no problem if you say
:35:08. > :35:12.well we are going to be second fiddle, but we will be a good second
:35:13. > :35:17.fiddle, then it is fine. But very often that debates get very
:35:18. > :35:22.ideolgical. As with Pfizer AstraZeneca? Some people talk as if
:35:23. > :35:26.danger is all that matters, and others say it doesn't matter at all,
:35:27. > :35:30.but it is somewhere inbetween. The Government wants the balance to
:35:31. > :35:34.change and to have more either indigenous investment here rather
:35:35. > :35:39.than foreign investment, and more development here changing
:35:40. > :35:45.conditions. They have set up as well as the automated councils, bringing
:35:46. > :35:50.all sorts of industries together, Aerospace, life science, to develop
:35:51. > :35:53.a base standard for things like apprenticeships or conditions, good
:35:54. > :35:58.idea? I think largely these things are a waste of time. Of course you
:35:59. > :36:05.have to develop apprenticeships and create the environment for growth,
:36:06. > :36:09.you have to have great universities producing great scientist. I don't
:36:10. > :36:15.buy the industrial policies, I don't think they work, I don't think the
:36:16. > :36:22.own ership of the company mattering at all. I have seen lots of
:36:23. > :36:27.companies dominated by that. I don't think they are branch offices or
:36:28. > :36:31.back offices, they are creating very good high-paying jobs, they
:36:32. > :36:33.contribute hugely to this country. I don't think we should be
:36:34. > :36:38.nationalistic in any way whatsoever. You both seem to take the same view
:36:39. > :36:43.in this that we shouldn't be hung up about the headquarters being here,
:36:44. > :36:48.or the research and development, we in a sense should kind of be the
:36:49. > :36:52.worker bees and brings people in for whatever it is, Aerospace and
:36:53. > :36:59.shipbuilding programmes. We don't have the expertise on that? We
:37:00. > :37:04.should have that, London has more highly value-added jobs in Europe. A
:37:05. > :37:07.lot of the people who do the jobs and paid very well are working for
:37:08. > :37:15.overseas companies. I don't think it matters. Is There isn't any sense of
:37:16. > :37:18.a red flag when someone like Pfizer comes, even if they strip out and
:37:19. > :37:24.take advantage of taxation, if in the end there is more development at
:37:25. > :37:27.AstraZeneca... In the face of Pfizer there is the track record of the
:37:28. > :37:33.company taking over smaller companies, shutting down their
:37:34. > :37:40.research facilities. Even at the moment the combined, when the two
:37:41. > :37:45.companies merge the share of AstraZeneca will be about 30-40%,
:37:46. > :37:49.depending on whether you are looking at employment or direct revenue and
:37:50. > :37:55.so on. Pfizer is proposing to do only 20% of research in Britain, so
:37:56. > :38:02.that's a clear sign that indicates to Pfizer that they are going to be
:38:03. > :38:08.the second fiddle. It is a case by days basis. AstraZeneca has
:38:09. > :38:11.announced a bunch of job cuts, they have reduced their work force, the
:38:12. > :38:15.companies are no different. The global companies are completely
:38:16. > :38:21.global, they couldn't careless where they are based? Location matters.
:38:22. > :38:27.You agree with you? You node a great university, AstraZeneca gets taken
:38:28. > :38:37.over and Pfizer takes a research centre, away from Cambridge,
:38:38. > :38:45.Cambridge will beless less likely to help. Sometimes has OK to play
:38:46. > :38:51.second fiddle, but it is not OK to play second fiddle in something like
:38:52. > :38:54.a pharmacompany, where the interintellectual property won't be
:38:55. > :38:58.part of our economy? It is about your goal and your judgment of the
:38:59. > :39:06.pet tenancies of the two different companies. As it toad in the 197 OK
:39:07. > :39:12.0s, they were not able to generate that kind of research without
:39:13. > :39:18.investigation. You have AstraZeneca, it is half Swedish. But it has a
:39:19. > :39:22.deep root in the research that scientists and the community are
:39:23. > :39:29.doing. It has a lot of links with universities. It is that route that
:39:30. > :39:33.you need to try to preserve. I don't accept this assumption, global
:39:34. > :39:36.companies are that are not head quartered can employ lots of
:39:37. > :39:40.scientists and do lots of research, I don't think it matters, if you are
:39:41. > :39:44.a modern, global firm you can go away and think the reasons are best,
:39:45. > :39:49.if there is a lot of highly educated people and good tax system, you will
:39:50. > :39:53.locate activities there. If you don't think it is a good place to
:39:54. > :40:00.base you won't be based there. I don't think nationalism enters it,
:40:01. > :40:02.and we shouldn't be and discriminate these companies.
:40:03. > :40:06.By the standard of the overheated property market in central London it
:40:07. > :40:15.is almost a snip, a secret Government bunker, room for up to
:40:16. > :40:21.?8,000. Up now. The air raid shelter hundreds of feet under ground is in
:40:22. > :40:27.need of innovation, clearing and fixing the leaks, but you don't need
:40:28. > :40:44.to to far from the travel. If you don't live in the capital,
:40:45. > :40:50.you may not know Londoners are enchanted by the tube, and like to
:40:51. > :40:56.tell one another about stories about it. It is said to be a create
:40:57. > :41:00.Labyrinth, like King Soloman's mines. Deeper even than the
:41:01. > :41:10.underground lines, and it is somewhere here in south London.
:41:11. > :41:28.People twelve a parade of fast food restaurants and a nondescript door.
:41:29. > :41:34.It goes forever doesn't it? It does. Each tunnel is 1 thousand feet long.
:41:35. > :41:42.100-feet beneath the pavement, this is one of eight level deep shelters.
:41:43. > :41:51.There are 1,900 bunk beds, each one numbered. Wanted a downwardly mobile
:41:52. > :41:56.tenant. Finale Holness and his colleagues are letting this bunker.
:41:57. > :42:01.Excavated in the Second World War and held up to 8,000 people a night
:42:02. > :42:10.as Hitler's bombs fell on the city. What are we going into now, another
:42:11. > :42:14.room? Any prospective occupying would have to get up and down 178
:42:15. > :42:24.stairs, the lift is out of action at the moment. And not mind a certain
:42:25. > :42:28.solitude. What is that? A Northern line train. About 50 feet above us
:42:29. > :42:35.we have the Northern line running. On time? Absolutely! It is like
:42:36. > :42:42.being in the hull of a submarine. The narrow head space, the rivets,
:42:43. > :42:47.and from time to time the rumble of a great leviathan overhead, actually
:42:48. > :42:51.a Northern line tube. There is a constant temperature of about 16
:42:52. > :42:59.degrees centigrade down here. It is dry, on the whole, and there is a
:43:00. > :43:06.kind of woody, chalky smell. Hard to imagine 8,000 souls packed in
:43:07. > :43:10.together in fear of their lives. If the bunker looks suspiciously
:43:11. > :43:14.tunnel-like, no wonder. There was once a plan to link the shelters to
:43:15. > :43:24.form a magma-scraping Metro system, once a plan to link the shelters to
:43:25. > :43:31.a forerunner of CrossRail. However arrivals from the West Indies found
:43:32. > :43:45.themselves here before finding themselves in Brixton to develop the
:43:46. > :43:53.heartland of black London. No you haven't slumped on the remote and
:43:54. > :43:58.tuned to MasterChef by accident. Michelle Roux Junior has joined
:43:59. > :44:03.forces with market gardeners growing veg in another of the deep level
:44:04. > :44:09.shelters. I thought they were barking mad, growing in a disused
:44:10. > :44:15.tunnel that is an air raid shelter. I thought it was crazy until I
:44:16. > :44:20.visited the site. It is awe-inspiring, it is disused space
:44:21. > :44:24.that would be mothballed and not used. That in itself was fantastic,
:44:25. > :44:30.it is a closed environment as W it is a constant temperature which is
:44:31. > :44:38.ideal for growing. He's planning a new signature platter. I think I
:44:39. > :44:52.will have to create a dish and call it "Le Petit salad vegetarian
:44:53. > :44:59.surterrain". What is it? Mixed leaf salad of vegtables underground.
:45:00. > :45:04.Sounds better in French. What about the other tunnels, one is full of TV
:45:05. > :45:10.shows and film? There are various film Di Canios for big releases like
:45:11. > :45:15.spider man 3, to 1970s game shows of golden shots, and even older films
:45:16. > :45:21.than that. Did you find the Newsnight archive anywhere? I
:45:22. > :45:26.didn't, no. Dozens, literally dozens of people would be interested in
:45:27. > :45:33.that. A bit wet here? It is not sewage!
:45:34. > :45:39.Still making your mind up. Clapham south bunker is close to great
:45:40. > :45:45.leisure amenities? You can exit on to Clapham column. I would like to
:45:46. > :45:51.do that. We can do that for you, I would like to ping out and frighten
:45:52. > :45:55.a dog walker. As with the property market generally, the thing about
:45:56. > :46:08.air raid shelters is you have to know when to get in and when to get
:46:09. > :46:16.out. Today over a decade on from the worst terrorist attack in a major
:46:17. > :46:21.city, there was a memorial museum opened on the site. Every victim has
:46:22. > :46:25.been remembered. We leave you with the images from the day, and singing
:46:26. > :46:29.from the children's choir that performed at the Opening Ceremony,
:46:30. > :46:41.good night. # There's a time for us
:46:42. > :46:47.# Some day a time for us # Time together
:46:48. > :46:55.# With time to spend # Time to learn
:46:56. > :47:00.# Time to care # Some day
:47:01. > :47:05.# Some where # We'll find a new way
:47:06. > :47:15.A fine warm sunny day on Thursday, and there's plenty more where that
:47:16. > :47:18.came from, right from the word go on Friday, a lot of sunshine for a lot
:47:19. > :47:21.of us, and if anything the temperatures will be a degree or so
:47:22. > :47:22.warmer, they