25/07/2014 Newsnight


News stories with Emily Maitlis. Including can Ed Miliband get past his image problem, George Osborne on the economy, Gaza and Google buy Twitch.

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Miliband. Well, look, you know and I know I'm not from central casting.


You can find people who are more square jawed, who look less like


Wallis. The Labour leader lays bare his image problem and admits he's


awkward on camera. Will the public agree with him. The slowest recovery


for 100 years or the day they declare the economy booming. Are you


better off than you were six years ago. We talk to the Chancellor,


George Osborne. I'm the first to say today is not the day where we say


job done, it is the day we resolve to do more, so yes, people feel


prosperity. We have our Newsnight proms in the studio.


Good evening, telling people you look like a cartoon character was


always going to be gamble. Reminding people of awkward photo moments can


go both ways too. What Ed Miliband did today was brave, confronting his


critics face on, he admitted PR was not battle he often won. He said he


hoped people looked for more than chisel good looks from a Prime


Minister, the public have learned to like Labour's policy but will they


love Ed, will voters come away refreshed by his honesty, or hear a


man who hasn't convinced him he's a leader.


Plenty of people have said it before, Ed Miliband doesn't always


look good in a photo. He can come across a bit awkward, a bit, well,


strange. The strange thing today was not that someone was saying this


again, but that person was none other than Ed Miliband himself. This


was billed as an important speech launching Labour's summer campaign,


Ed Miliband looked pretty uncomfortable as he waited to go on.


This was afterall a bold move to focus on his failings in an attempt


to neutralise them. I'm not from central casting, you can find people


who are more square-jawed. More chiselled, who look less like


Wallace! And I even believe, I even believe that you could probably find


people who look better eating a bacon sandwich! If you want the


politician from central casting it's just not me. It's the other guy.


This was, of course a dig at David Cameron, Labour has long sought to


cast him as the slick insubstantial PR guy. But in the process Ed


Miliband is guarnteeing that every newspaper, bulletin and blog will


show endless unflattering photos of him portrayed at Wallace, or going


head-to-head with bacon sandwich and losing. Or any number of shots in


which he doesn't look like everyone's idea of a world's


statesman in waiting. Leaders with low personal ratings are caught in a


Catch 22 situation, they can either pretend they don't exist and get on


with it, but that doesn't work. Because it becomes a permanent


theme. Or they try to address it. And in trying to address it today I


think Ed Miliband did it quite effectively by framing the debate


about leadership between seriousness, him, and the guy who is


good at photo opportunities but is quite hypocritical in his values,


Cameron. Mr Miliband clearly believes the rehashing of all these


odd-looking pictures, here is another one, is a price worth


paying, if, as he told me in answer to a question after the speech he


can change the way we think about politics and leadership. You know


David the honest feeling I have about this is thank goodness, let's


have this debate, it is not just about me, frankly, this has been a


long time coming, and if we don't have this debate now we will have to


have it at some point. Is politics really in touch with what people


want from our politics. Other politicians have tried to neutralise


image problems too by acknowledging them. Iain Duncan Smith knew he


couldn't compete with the volume generated by Tony Blair, instead he


tried to cast himself as something different. Do not underestimate the


determination of a quiet man. Gordon Brown feared comparisons with


Mr Blair and David Cameron, his response, not flash, just Gordon,


and incidentally not successful. Will it work for Ed Miliband? It


will appeal to some people. But the bigger problems is that most people


have already decided, they have decided some time ago. You have been


in leader of the opposition for four or five years, they are not just


suddenly going to say, he has told me to look at him differently, now I


will. Of the The problem was put by Ronald Regan succinctly, if you are


explaining, you are losing. No more photo opportunities like this one,


we shall see. Time is not on Ed Miliband's side, just a few short


months to convince voters to change their assessment of him and what a


Prime Minister should look like. Joining us now is Lucy Powell a


Labour shadow minister who ran Ed Miliband's 2010 leadership campaign.


And Phil Collins of the Times, Tony Blair's former speech writer. As


David was saying it is a license for every broadcaster to run 100 bad


photos of Ed Miliband, do you think it will change anything Phil? I


doubt there are many people who haven't made up their mind about Ed


Miliband. I also think that it is never true that anyone who has an


image problem doesn't have a real problem underneath it I think the


idea that you can separate an image problem from an actual problem is an


illusion. The image is a convinced form of reality. What the image is


telling you is something genuine about the way people think. People


are not idiots, they don't fall for an image that is entirely false. So


when you get things like the bacon sandwich, it is not that anyone


thinks eating bacon sandwiches a test of political virility, they are


thinking this is a visual metaphor for significant thought already,


which is I don't regard this man as prime ministerial? Why? Not because


of the bacon sandwich, but the test that the Labour Party has to pass on


running the nation, in particular the economy. There was the Regan


phrase, if you are explaining you are losing, which in essence is what


Phil said, if you have to come on to a stage and say you are not very


good as a PR man, you have lost them already? The bulk of the speech was


talking about the positive things he brings to the table I think they are


the things that fundamentally are the things that people want to see


in a Prime Minister. You know what is it that we're actually asking for


from a Prime Minister? Do we want somebody who gets up every morning


thinking what can I do today to help Labour win the election and to


change the country or do we want somebody who will get up in the


morning and worry what they will look like in a contrived photo


opportunity situation that day? So I think what Ed offers, which is a big


vision, which is good policies about really fundamentally changing this


country so people who work two jobs don't have to go down to a foodbank


every day to get their meals. Or are we worried about how we eat a bacon


sandwich, which is ridiculous. You ran Ed Miliband's campaign, this was


what four years ago now, we are coming up to an election in May, did


you realise, did you ever spy that this might be a problem. That he is


now admitting, we're putting it out in the open, did you see that? This


is not different from what we have always known about Ed and what he


has said about himself. He is by his own admission that is a guy that is


more interested in policy, principle and conviction. When you are taking


on Phil's point there, that is what the public actually say about Ed,


they think he is a man of principle and man of conviction. They think he


is a man who has good policies and the right ideas. What about


authenticity, do they believe in him. Why does he become Labour


leader and then feel the urge to get married the next month? I don't


think it is true, Lucy, I think that nobody who supported Ed Miliband


would have thought that four years on he would have to make this


speech. If you remember at the time the thing about his leadership bid,


he was someone who could connect directly with the people. That is


turned out not to be true. I don't disagree what you said about the


substantive questions, the question is whether he can be the messenger


for the messages. I think it is clear that he clearly cannot. I


disagree, there are two reasons why I backed Ed Miliband to be leader


the Labour Party and so many other people did, firstly, I think he


understood better than any of the other contenders at the time about


the fundamental change we needed to see in our economy and politics in


this country which, I think other people thought we could just have


one more go, one more heave of the same with a new cast. When you look


at the policies and the poll, the policies do well, the leader does


not. Don't you feel you backed the wrong horse? I I absolutely do not,


I'm incredibly proud of what Ed has done over the last four years, I


know I will make extremely good Prime Minister. The issues he's


talking about are the issues that I get on the doorstep, they are the


issues people are interested in. Honestly are we really going to


decide who is the Prime Minister of this country on the basis of whether


you stand awkwardly when you are at a nursery or whether you are eating


a bacon sandwich. That is the question that is on tonight? Nobody


is thinking of it like that. It is unfortunate to say the least that he


made this speech on the day which the economy recovered to the size it


has since the 2008 crash. What the visual representations of his


weakness tell us is people don't think Labour can be trusted with the


economy. There are two weaknesses the Labour Party have had since Ed


became leader, one is the question of leadership and the second


economic competence. They are totally linked, this speech was an


attempt to separate the two, as if you can have leadership over there,


as if it is leadership not about anything in particular, it is


leadership about the economy. Labour is miles behind on the economy.


Until he does a second speech which is a me cull a on the economy, there


is no way this can have an impact. He's trying to separate it, did you


ever write Tony Blair a speech that put weaknesses on the table that


said, here you are. Yes, you do it all the time. I completely


understand the imperative behind the speech, I don't think it was a bad


speech in that sense, it was the right thing to do. What were the


weaknesses you laid bare for Tony Blair? There were loads of them,


they were ages ago and often economic. That is the one that is


what we are talking about tonight. Are you saying that a good speech


means you get away with it and people don't talk about it? A good


speech always confronts the weakness. It always cites the


opposing case. Like what? And puts it very strongly. Labour, you go


back to the beginning of Blair's time, Labour were considered to be


extremely weak on the economy, between them Blair and Brown


entirely neutralised that objection. On crime Labour did the same thing.


At the moment Labour is extremely weak on the economy of economic


competence, and you cannot have a speech about leadership which,


doesn't go straight to economic competence. This speech tried to


separate those two things. I don't think it did. And Ed Balls were was


the cabinet, Ed Balls was making mass plastacine figures at a school?


The fundamental debate in this country is about the economy, who is


sharing and benefitting in the proceeds of growth in the figure


West see today, is it a few at the top who are doing very nicely out of


this recovery, or is it ordinary people like I represent. It is not


ordinary people I represent, who have two incomes coming into the


household and can't afford to buy a school uniform for their kids. Or


who have a job and it is not a route out of poverty. Ed Miliband is


addressing these big issues, and I think that is something we want to


see in a Prime Minister. Not someone who is worried getting up in the


morning, and worrying about how they can contriumph a situation to make


them -- -- contrive a situation. Ronald Regan brought up the question


of how much better off are people when they wake up. The Chancellor's


figures say the economy is back to where it was in two OK 008, some


would say better. But there are stagnating wages and an on going


struggle about the deficit. How would you answer the Regan question


and how solid are the economics underneath. We interviewed the


Chancellor in Newcastle. GDP, the overall size of the economy


grew by zero. 8% in the most recent quarter, it is up three. 1% in the


last year, and yesterday the IMF forecast that this year the UK would


grow faster than any other advanced economy. The big news is that the


economy is finally returned to its prerecession peak. But the sector


level is a different story. Services passed the peak in 2013, but


construction and production are well below six years ago. While the


nation's income is back to its previous size, that is not yet the


case for individual incomes. That is simply because the money is spread


around a much larger population than it was six years ago. And compared


to the periods immediately after the 1980s and 1990s' recession, this


recovery has been historically slow. Why has it taken our economy so long


to return to where it was in 2008? Thanks to the hard work of the


British people we have reached a major milestone in our long-term


economic plan, but I'm the first to say that the job is isn't done. That


a great recession has had a huge impact on the United Kingdom, and


let us resolve not to repeat the mistakes of the past but go on


working to plan that is delivering greater economic security for


people, that is delivering a brighter future for all. If we look


at the public sector finance figures which came out earlier this week, we


see income tax receipts were up by less than 3% in the last year. But


stamp duty receipts were up more than ho %, 40 -- 40%, does that tell


us about the nature of the recovery? Jobs are created all over the


country. In the north-east of England we had the fastest rate of


job creation than any part of the country. 5,000 jobs, that is


economic security for families. Of -- 65,000 jobs. That is economic


security for families. The economy will grow and we can take a


realistic assessment of what the country can afford and the deficit


comes down. At the heart of the economic plan is restoring


confidence in the UK, creating jobs and growing our economy, but of


course there is much more to do. That fact that income tax is growing


so slowly, stamp duty associated with the housing market is growing


so quickly, it tells us something, it tells us that people's income


growth has been weak, but the housing market is up 20% in London,


10% nationwide, is this the kind of recovery we wanted? What I'm


passionate about is people having economic security, people who didn't


have jobs having jobs. That is what the recovery is delivering. But


Britain has got to earn its way in the future. We have to export more,


we have to invest more. We have to make sure that the business like


where I was yesterday in Stockton, that business, a small manufacturing


business is able to sell its wares all over the world. That is what I'm


working on. That is the long-term economic plan. As you said lots of


people in work, record numbers in employment, that is very, very good


news, but you know the downside has been productivity, output per hour,


how productive people have is weak since 2008, that is a big


medium-term challenge when you talk about the long-term plan. What are


you going to do about productivity? I agree with you, productivity is a


long-term plan, I would rather have the productivity challenge than the


long-term unemployment like in the past. In the end the country can


only be productive if we are improving skills and education, and


we are delivering that with reforms. If at the same time the economic


infrastructure of the country is being improved, cities like here in


Newcastle should be part of a northern powerhouse where we bring


real transport connections for the future here. So these are all the


things we can do to improve our productivity. But for me this is


further evidence of why we have to go on working through the plan.


Things like productivity, things like the imbalance in our economy,


things like the fact that our education system continues to need


to improve. These are all future challenges. Looks at the IMF


forecast yesterday, excellent news for the upgrades for the UK, but in


general global growth was revised down by the IMF, and big downward


revision, a lot of challenges in the world economy, Russia, Ukraine,


southern Europe, could this blow us off course? I thought the IMF


forecasts were revealing, because it said Britain was growing faster than


any other major western economy. That is due to the long-term plan we


are pursuing. But also, as you point out, in the rest of the world,


unfortunately, the economy is not as strong as we would hope. On the


continent of Europe, in the eurozone it is weak. That is a challenge for


the UK. We are an open and global economy. What it says do me is we


need to redouble our links with the Chinas, the Indias of this world, so


that we export more to the faster-growing parts of our economy.


In the world. That is what I'm determined to do, I was in India a


few weeks ago. That is how you deal with the challenge of a slower of


growing Europe. You said this week that the economic should be bearing


economic pain by imposing sanctions on Russia, how much pain should he


be prepared to bear? The situation in the Ukraine is troubling not just


for the people of Ukraine but the whole international community and


the UK. There is an economic cost from sanctions, I won't pretend


otherwise. You have to consider the economic cost of allowing a


situation where international borders are ignored. Where


commercial airlines and innocent people are shot out of the sky. That


is a much greater economic risk for the UK. We will act with our


European partners and American partners to impose sanctions where


they are necessary, to make sure that Russia complies with the norms


of international law. At this point in the Gaza crisis


even a 12-hour cease-fire has to be hard fought. As we came on air a


senior Israeli had told the BBC they were considering one day's truce


starting tomorrow, Hamas has ly agreed, we are reading that in the


last few minutes. John Kerry is pushing for seven days, an ambition


that seems elusive given the events of the last 18 days, on the day of


rage the death toll continued to rise, more in Gaza and the West


Bank. As Ramadan draws to a close, France will have a meeting to seek


peace. Turkey may hold the role that Egypt once held as mediators. John


Kerry said he still hoped for a seven-day humanitarian truce for


next week's Eid festival, but there was terminology to work through.


More than 800 Palestinians, mostly civilians and 36 Israelis have died


since the start of the conflict 18 days ago.


Palestinian leaders called for day of rage, in protest at the death of


civilians. Fighting continued throughout the day in Gaza and in


the West Bank. Hamas is yet to respond to the proposed cease-fire,


but its leaders have already said the group won't agree to a deal


without an end to Israel's blockade. In a statement tonight Israel's


Defence Minister said the country may soon broaden its ground


operation there. The efforts to broker a lasting cease-fire have


been complicated by the recent breakdown of the national unity


Government of Fatah and Hamas. Fatah's commission for international


relations join us from Ramallah. There is a small window for


optimisim, but do you look at Hamas and its position of strength and


think that their tactics appear to be working better? Let me state I'm


relieved for the 12 hours n our situation that would mean saving the


lives of tens and hundreds, primarily children. The UN


statistics today showed every hour we lose a Palestinian child because


of the Israeli bombardment and the guided missiles, so in these 12


hours we would have saved 12 Palestinian children. As for the


long-term prospects for this, let me also state three crucial facts right


from the beginning. First this is not Israel's war against Hamas. This


is really Israel's war against the Palestinian people. It did not start


in Gaza but in the West Bank, and after that incident which still has


so many question marks next to it, the disappearance of the three


settlers. The second fact, this is not about really a truce here or a


truce there. Israel started and imposed this war on us in our


entirety, and lastly this is not about rockets it is about


occupation, it is about the denial of basic rights. And therefore to


put things into perspective, not to be lost in the details is important


for the discussion, please go ahead. Absolutely, I just want to look at


the role that Hamas is playing, they seem to be completely dominating


negotiations at the moment, and I wonder whether you think you are


moving towards the Hamas line now? No, I don't think the calculation is


such. This is not a rivalry between Fatah and Hamas, both Fatah and


Hamas are targeted, the Israeli missiles that come from the most


sophisticated army and the most sophisticated air force does not


really distinguish between this Hamas family or that Hamas or Fatah


family. They wipe out entire families and some of them or even


most of them are civilians non-Hamas and non-Fatah, some of them are


Fatah, all of us on the occupied terrorists realise this is


Netenyahu's onslaught on us, first it was Netenyahu's coup d'etat


against our national unity Government which was only struck a


few days before the Hebron incident. It was his attempt... The division,


from the outside world, people have looked at Fatah and said you can


negotiate better with Israel without Hamas being part of the


negotiations. Do you see yourself as more compromised now, you have to


move towards Hamas if you want solidarity for the Palestinian


people. You have to move towards Israel if you want peace? Emily your


question is the main point here is the Hamas-Fatah relationship, there


is no Hamas rockets in the West Bank and yet the Israeli army have reeked


havoc here in the last four or five weeks. Five Palestinians were


murdered today, an Israeli settler decided to spray those leaving the


mosque. There is no rockets in the West Bank, the only difference is in


the West Bank we have a sweeping colonisation, and theft of land


right in fronted of the cameras, this is not about Hamas. Thank you,


your point very well made. Thank you very much for joining us, we have


just run out of time. If you want to know what twitch ask


a 14-year-old. The gaming site is on the verge of being bought by Google


for $14 billion, it makes no sense until you realise the site has 45


million dedicated gamers and more traffic than Amazon. It allows


others to watch others playing games. Why would you want to? This


is going well out of control. Who would want to watch teenagers just


clicking away, playing their video games all night. Good pass, just you


know so good. It turns out that number runs into millions. Twitch is


a service that lets gamers broadcast what is on their screen, live to


huge audiences around the world. Now Google is rumoured to be snapping it


up for a billion dollars. One of its largest-ever deals. Google already


owns YouTube and advertising on video, on-line on YouTube is already


a big business. It is just seeing that Twitch is growing like a weed


in the on-line video space. But cracking something that it has not


done before, which is this live streaming, it really wants a slice


of that pie to expand the YouTube business. It all might sound like a


silly amount of money, but the other numbers linked to Twitch are just as


impressive. Last year the site attracted 45 million viewers every


month. Making it by far the largest of its type. At one point it


accounted for 43% of all live streaming across the entire


internet. YouTube, by comparison, makes up just zero. 5%. But there is


another statistic that makes it incredibly attractive to


advertisers, more than 60% of its young viewers watch for more than 20


hours a week. The kind of number that would make a middle-aged


television executive weep. If you said ten years ago that people would


be literally watching live as someone else played a video game,


and that would be an enormous video business, no-one would have believed


you. And yet it is enormous in Asia, that is why you haven't heard about


it much in the west. But it is part of a much wider global trend. Kids


today don't watch traditional television in the way they used to.


They are watching video games, like their real sports. Crazy stuff at


the University of Effort. But the success of Twitch tells us something


about how the media landscape is changing. The rise of streaming


sites has made stars of young video bloggers like JJ from Watford. I


thought I would be a bit more real this time. He has more than eight


million regular subscribers, making his work incredibly influential,


he's a big user of sites like Twitch. TV is boring, you can't


choose what you want to watch, you just see what you want to watch.


With the Internet you are able to pick what you want to watch. Choose


and you are able to choose what you want to watch at a certain time. But


Twitch doesn't just let gamers broadcast their video its be also


the leader in competitive gaming, a semiprofessional spectator sport


which is offering prize pools bigger than major golf tournaments. A World


Championship event was held in Seattle, boasting a prize pool


reaching more than $10 million. We love it, obviously in Asia they love


it like insane. That's why they are able to have e-sports events and


sell out arenas and have dollar 11 million prize spots. It is insane.


In way the purchase of Twitch is not gamble on the future. For millions


of young teenagers and gamers around the world, this is a major part of


their daily lives. Let me take you through tomorrow's papers before we


go. The times has a new missile threat.


That's all for tonight. We leave you with ruby Hughes, the celebrated


soprano performing at the Royal Albert Hall on Sunday. Though


performs the lullaby Nana. ?CLEAR


She performs Nana in Spanish) Another warm night ahead, but the


heat will ebb away this weekend. The mist low cloud in eastern areas


burning off quickly. Most of England and Wales having a dry, warm day.


Something a


Can Ed Miliband get past his image problem? George Osborne on the economy. Gaza. Google buy Twitch.

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