:00:00. > :00:08.It's turning out to be the post that's impossible to fill.
:00:09. > :00:11.Dame Lowell Goddard has become the third head of the inquiry
:00:12. > :00:15.into child sexual abuse to step down.
:00:16. > :00:17.Faced with criticism over the time she's spent abroad
:00:18. > :00:20.since taking up her post, she offered her resignation this
:00:21. > :00:28.We'll try to work out what happens to the inquiry now
:00:29. > :00:31.and we'll ask why it's had such a faltering start.
:00:32. > :00:38.Also tonight, we didn't get the Brexit budget.
:00:39. > :00:42.But the Bank of England has given us a Brexit bundle,
:00:43. > :00:45.a package of measures to prop up the economy.
:00:46. > :00:51.We are living through a time of considerable uncertainty. One thing
:00:52. > :00:52.we can do is reduce the uncertainties over the issues over
:00:53. > :00:54.which we have controlled. Or was it a bit nutty
:00:55. > :00:58.for the Bank to look so rattled I'm sorry, Dave. I'm afraid I can't
:00:59. > :01:13.do that. What is the problem? And will artificial intelligence
:01:14. > :01:15.help usher in the brave new world It is by any standards a huge
:01:16. > :01:26.inquiry into an enormous topic. It was originally set
:01:27. > :01:28.up in 2014 by the then But it got into trouble
:01:29. > :01:34.before it got going, losing the first two people
:01:35. > :01:37.who were put in charge - both accused of having connections
:01:38. > :01:40.that made for conflicts Then it was put on a statutory
:01:41. > :01:47.footing last year, it was completely reconvened, and all seemed
:01:48. > :01:49.to be in place. Dame Lowell Goddard,
:01:50. > :01:52.brought in from New Zealand, She expected it to
:01:53. > :01:57.last several years. It was all moving slowly,
:01:58. > :02:01.and so it was not great PR to find Goddard had spent weeks back
:02:02. > :02:14.in Australasia on top The head of the official inquiry
:02:15. > :02:23.into past handling of child abuse has resigned. Dame Lowell Goddard, a
:02:24. > :02:26.New Zealander judge comment Dave noticed today that she will no
:02:27. > :02:30.longer chair being quest. Her successor will inherit a huge
:02:31. > :02:32.programme with 13 separate strands covering bodies from the Catholic
:02:33. > :02:55.Church through to Lambeth Council. The inquiry has had problems since
:02:56. > :03:00.July 2014 when the then Home Secretary announced it in response
:03:01. > :03:03.to a rash of abuse revelations. I can now tell the house that the
:03:04. > :03:09.government will establish an Indic went -- an independent inquiry panel
:03:10. > :03:13.of experts to consider whether public bodies and other non-state
:03:14. > :03:17.institutions have taken seriously their duty of care to protect
:03:18. > :03:22.children from sexual abuse. Theresa May's first choice to chair the
:03:23. > :03:28.inquiry in 2014 was Baroness Butler Sloss, a British judge. At her late
:03:29. > :03:32.brother had been Attorney General in the late 1980s and she might need to
:03:33. > :03:39.examine his work. After an outcry, she resigned. Then in September
:03:40. > :03:44.2014, Dame Fiona Woolf was appointed as chair, another lawyer. She
:03:45. > :03:48.resigned a month later for similar reasons when it emerged she was an
:03:49. > :03:59.acquaintance of Lord Brittan, whose conduct in the 1980s was also
:04:00. > :04:03.expected to be reviewed. So, Dame Lowell was appointed in 2015. In
:04:04. > :04:06.this country, as in other countries, public concern about institutional
:04:07. > :04:10.failure to protect children from sexual abuse has mounted with the
:04:11. > :04:16.growing realisation of the sheer scale of this problem. Dame Lowell
:04:17. > :04:20.faced criticism this week because she spent the equivalent of three
:04:21. > :04:25.months abroad and the inquiry has yet to hear a witness. I think the
:04:26. > :04:30.real problem emerged at the hearing last week. Not only did she have to
:04:31. > :04:34.postpone the hearing into the late Lord Jana for six months after she
:04:35. > :04:37.had been set -- she had said that she would be hearing evidence from
:04:38. > :04:41.witnesses, but she seemed completely thrown when counsel for
:04:42. > :04:45.Leicestershire police asked for a particular order banning publication
:04:46. > :04:51.of something that had been said, possibly an area of the hearing. The
:04:52. > :04:56.only assumption I can make is that she simply wasn't up to the job.
:04:57. > :05:01.Dame Lowell, though, may not be that essential. The inquiry has four
:05:02. > :05:05.other panellists and a big staff. I personally wonder whether or not we
:05:06. > :05:11.actually need a chair. Maybe it is too much of a burden for one person.
:05:12. > :05:15.Everything is finally taking off. I don't think that we should be too
:05:16. > :05:20.distracted by the unfortunate departure of just one person. The
:05:21. > :05:24.inquiry continues but, two years in, it is still only getting started.
:05:25. > :05:31.With me are Raymond Stevenson, founder of Shirley Oaks Survivors
:05:32. > :05:33.Association and a survivor of abuse himself, and down
:05:34. > :05:35.the line, Tim Loughton, former Children's Minister.
:05:36. > :05:45.Good evening to you both. Raymond, what is your reaction to this?
:05:46. > :05:50.Waiting so long... Let me explain, I was physically abused. The 600
:05:51. > :05:54.people I represent, half of them were sexually abused, they are going
:05:55. > :05:59.to be let down in every way, shape or form. They going to be let down.
:06:00. > :06:03.Some of them went through this 30 years ago in investigations by the
:06:04. > :06:08.police. Some of them went through this with other investigations. They
:06:09. > :06:11.kind of really relied on this to be the last swansong, the last chance
:06:12. > :06:20.to really get justice. Were you happy with Lowell Goddard? We were
:06:21. > :06:24.unconvinced that this should be handled by one person. We felt there
:06:25. > :06:28.should be at least six people chairing the separate strands. But
:06:29. > :06:32.when we spoke to her and when we petitioned, we felt comfortable. But
:06:33. > :06:36.there was always something lurking in the background, clearly. We're
:06:37. > :06:41.not so worried about her taking the time off. Was she the right person
:06:42. > :06:46.for the job in the first place? OK. Tim, why do you think she had to go?
:06:47. > :06:51.Well, we don't know. I'm deeply disappointed that she has resigned
:06:52. > :06:55.this evening. It is third time unlucky, as you say, after some
:06:56. > :06:59.false starts. Theresa May has literally scoured the world to come
:07:00. > :07:03.up with Lowell Goddard from New Zealand. She had been in place for
:07:04. > :07:07.18 months. I met her several times and she was in front of the home
:07:08. > :07:10.affairs Select Committee and we wholeheartedly endorsed her
:07:11. > :07:15.appointed. She is deeply impressive and I know she is respected by the
:07:16. > :07:18.people working around her. It's very disappointing and quite baffling
:07:19. > :07:23.that she has chosen to go today and it's really important that this
:07:24. > :07:26.inquiry keeps going and the momentum is not lost. The important work it
:07:27. > :07:31.has already done and the more important work it is now prepared to
:07:32. > :07:36.do is in no way wasted and can now carry on. Can we just go through a
:07:37. > :07:39.couple of reasons people have suggested? Maybe she was
:07:40. > :07:44.inappropriate and needed to go. One is that she took 44 days on top of
:07:45. > :07:48.her Daniel Levy last year back working or doing other activities in
:07:49. > :07:54.Australia and New Zealand. Is that a problem? -- on top of her annual
:07:55. > :07:57.leave. We don't know the full details of that and a lot of that
:07:58. > :08:01.time it would appear it was spent in Australia where she was looking to
:08:02. > :08:05.learn the lessons from the Australian Royal commission into
:08:06. > :08:09.historic sets abuse -- historic child sets abuse which had been
:08:10. > :08:14.going for many years and was in some ways a precursor of the review that
:08:15. > :08:18.Theresa May set up back in 2014. I presume she has been doing some
:08:19. > :08:22.important work there. We've taken so long to get this inquiry, so many
:08:23. > :08:28.survivors of these ghastly historic sets abuse cases had their hopes
:08:29. > :08:32.pinning on at last getting to the bottom of the truth of what happened
:08:33. > :08:37.over many, many decades, a lot of them had put their hopes in Lowell
:08:38. > :08:41.Goddard, so it is a shame that she has gone but for goodness sake,
:08:42. > :08:45.let's not keep beating up on those people who have been appointed to do
:08:46. > :08:51.a really complex and difficult job and one that needs to be done. I do
:08:52. > :08:54.know if you heard Joshua in Chris Kirk's package saying that to him it
:08:55. > :08:57.didn't look like she was up to the job, she did not appear to know
:08:58. > :09:03.enough about the British legal system. In your view, is there
:09:04. > :09:07.anything in that charge at all? Look at the media, the home affairs
:09:08. > :09:10.Select Committee, the Home Secretary, the survivors, everybody
:09:11. > :09:15.else poured over her CV and qualifications add info night when
:09:16. > :09:20.she was appointed 18 months ago. Everyone agreed that she was a good
:09:21. > :09:24.appointment and the big issue as to whether she might not be independent
:09:25. > :09:29.and might know some of the people who were being looked into was the
:09:30. > :09:33.key question. The fact that she came from New Zealand solved that one. I
:09:34. > :09:38.had no doubt she was up to the job. She was very impressive when I met
:09:39. > :09:46.her personally. We unanimously endorsed her. Let's not try to say
:09:47. > :09:50.she was never up to the job. We don't know exactly why she stood
:09:51. > :09:54.down but the inquiry needs to get on with its work now. Raymond, within
:09:55. > :09:58.five minutes of this I was hearing people say it's all part of a
:09:59. > :10:02.cover-up, they were Ash Nevill wanted this inquiry, it's all done
:10:03. > :10:06.to undermine the inquiry. Do you believe that? Do you believe there
:10:07. > :10:11.will be survivors who believe this is all about undermining the wiry?
:10:12. > :10:13.We have to tell you our position. We absolutely decided to carry out our
:10:14. > :10:16.own investigations because we were not convinced that this inquiry
:10:17. > :10:25.would actually happen. We made that very clear at the other inquiry but
:10:26. > :10:30.although we are participants we reserve the right to pull out. We
:10:31. > :10:34.think people have to start looking at the conspiracy theory. It's
:10:35. > :10:37.talked about as if it is pie in the sky that having examined some of the
:10:38. > :10:41.documents we have, we can understand why there is absolute evidence there
:10:42. > :10:45.is a cover-up. If people are not willing to talk about it, that's
:10:46. > :10:50.fine, but we're here today to say we believe it's consistent. Wrong
:10:51. > :10:54.person, wrong time, should never have been employed, someone needs to
:10:55. > :10:58.be responsible. This is three times. It doesn't feel like we're just
:10:59. > :11:02.unlucky any more. People need to be strong enough to say, is there
:11:03. > :11:06.something untoward going on here? You're shaking your head, I will let
:11:07. > :11:11.you answer that, but I also want to ask you are what has to be done to
:11:12. > :11:15.get this inquiry back on track? As briefly as you can, please. Well,
:11:16. > :11:19.OK, the momentum needs to keep going. As you heard in your report,
:11:20. > :11:24.the chairman is not the be all and end all, there are hundreds of
:11:25. > :11:28.people working for this inquiry, four other very distinguished panel
:11:29. > :11:32.members, a consultant panel of survivors, and academic consultant
:11:33. > :11:36.panel. Many people part of this inquiry. This needs to go on. The
:11:37. > :11:40.Home Secretary needs to look at other possible names to take on the
:11:41. > :11:46.head. The work of the inquiry went on with all the problems we were
:11:47. > :11:53.having over Baroness Butler Sloss and Fiona Woolf until Lowell Goddard
:11:54. > :11:58.was appointed as well. But to go back to the conspiracy theories, I
:11:59. > :12:03.and a stand, people who have had their stories pushed under the
:12:04. > :12:08.carpet for many years, survivors, may feel very cynical about this.
:12:09. > :12:14.But those of us who have called for this inquiry for many years and I
:12:15. > :12:17.note is a now as Prime Minister is absolutely determined that this
:12:18. > :12:21.inquiry will work and get to the bottom of what happened to so many
:12:22. > :12:27.people over so many years. Thank you both very much indeed.
:12:28. > :12:30.So, we keep saying it, we are in uncharted territory.
:12:31. > :12:33.But today we are in it even more than we were yesterday.
:12:34. > :12:34.Official interest rates at their lowest since 1694.
:12:35. > :12:37.And actually, they weren't this low even before 1694, it's just hard
:12:38. > :12:42.We didn't just get the first change in interest rates for
:12:43. > :12:44.over seven years today, it was a package of measures.
:12:45. > :12:46.More quantitative easing, a new corporate bond buying
:12:47. > :12:48.programme, and a new thing, the Term Funding Scheme,
:12:49. > :12:51.to make sure the banks pass on the lower rates.
:12:52. > :12:53.Now, nothing has seemed extraordinary this summer,
:12:54. > :12:55.but remember for the last few years, we have been hoping
:12:56. > :12:58.and expecting that financial normality might return.
:12:59. > :13:00.What we have instead is the next, deeper phase of abnormality.
:13:01. > :13:08.The Bank of England thinks Brexit is going to do long-term
:13:09. > :13:10.damage to the economy, which is nothing that
:13:11. > :13:14.But it also thinks Brexit has done some short-term damage to spending,
:13:15. > :13:15.which it can ameliorate with these measures.
:13:16. > :13:22.To explain it all, here's our business editor, Helen Thomas.
:13:23. > :13:31.The UK economy is taking a real battering. At least, that's the
:13:32. > :13:35.verdict from the Bank of England. After the vote to leave the European
:13:36. > :13:40.Union, growth and investment will be lower, the bank forecast.
:13:41. > :13:44.Unemployment will be higher, and, thanks to the weaker pound,
:13:45. > :13:49.inflation will rise to above its 2% target, squeezing household income
:13:50. > :13:56.through Mac. In response, a 4-part plan, bigger and broader than
:13:57. > :13:59.expected. The benchmark interest rate was cut from half two quarters
:14:00. > :14:04.of a percent, there is cheaper funding for banks to offset hit to
:14:05. > :14:09.their profits, more quantitative easing, with ?60 billion in
:14:10. > :14:15.purchases of UK Government bonds planned, and a new move. Purchases
:14:16. > :14:20.of ?10 billion of corporate bonds, another effort to lower the cost of
:14:21. > :14:25.borrowing for companies. In the Black Country, this business owner
:14:26. > :14:28.is staying upbeat. He has seen a big order from the US since the
:14:29. > :14:33.referendum, and that will mean new investment in machinery. We would
:14:34. > :14:39.have preferred to stay. We are staying. We have got to get to grips
:14:40. > :14:42.with that and be positive about how we deal with the issues that come
:14:43. > :14:48.up. But the broader picture is worrying. A sharp fall in the PMI
:14:49. > :14:52.index, a survey measure of activity across manufacturing, services and
:14:53. > :14:57.construction, clearly had the central bank rattled. Back in
:14:58. > :15:01.London, the bank's challenge was to calibrate its response, with even
:15:02. > :15:06.the short-term fallout from Brexit still uncertain and little hard
:15:07. > :15:09.economic data to go on. The move today smacked of overkill for this
:15:10. > :15:14.former member of the bank's rate-setting committee. Interest
:15:15. > :15:18.rates have been so low for so long, it really doesn't justify a further
:15:19. > :15:22.downward move in interest rates. It isn't going to have much impact, and
:15:23. > :15:28.there might be more negative effects for savers and for the pound than
:15:29. > :15:31.positive effects for borrowers. We don't have a lot of economic data
:15:32. > :15:34.about the position since the referendum, so I think it would be
:15:35. > :15:40.better to wait until the autumn before making any big judgments
:15:41. > :15:44.about monetary policy. As usual with exit, however, disagreement is never
:15:45. > :15:49.far away. If you look at every single piece of data that we have
:15:50. > :15:54.had since the 24th of June, it is pointing to a fairly abrupt slowdown
:15:55. > :15:57.in the British economy, possibly recession, some indicators like the
:15:58. > :16:02.PMI point at more than just a show of recession. If it routes to be too
:16:03. > :16:08.much, we will see later, but in my view, there was no debate about the
:16:09. > :16:11.need to come up with more than decent something, and they did.
:16:12. > :16:16.There was a clear message from the Bank of England today, better to act
:16:17. > :16:20.early and go big than risk a more severe downturn as a result of the
:16:21. > :16:25.vote to leave the EU. But that leaves two big questions. First,
:16:26. > :16:30.what am I does the bank have left is the situation deteriorates from
:16:31. > :16:34.here? Mark Carney was pretty clear about ruling out negative interest
:16:35. > :16:38.rates. And second, what help might the bank get from Westminster when
:16:39. > :16:42.the new Chancellor of the Exchequer unveils his spending plans in the
:16:43. > :16:48.autumn? On the latter, a rare out work of consensus. The Bank of
:16:49. > :16:51.England emphasised that Brexit hits the overall potential of the UK
:16:52. > :16:57.economy in ways it just can't address. In the Midlands, too, the
:16:58. > :17:02.sense is that the next move. The politicians. I don't think the
:17:03. > :17:12.interest rate has got that much effect. We finance all our own
:17:13. > :17:15.development, so if you bring it down from a half of a percent to a
:17:16. > :17:27.quarter of a percent, not much impact. They can also commit to HS2,
:17:28. > :17:30.HS2 is not only an infrastructure facility, it is a great employment
:17:31. > :17:35.opportunity, and it is a good investment for the country. So, the
:17:36. > :17:39.other important announcement today. A pledge by Philip Hammond that he
:17:40. > :17:44.would take any necessary steps to support the economy. The Bank of
:17:45. > :17:49.England surpassed expectations with its package of measures. Perhaps the
:17:50. > :17:53.next significant milestone for the post Brexit economy is whether the
:17:54. > :17:54.Chancellor can do the same in the autumn.
:17:55. > :18:01.Helen Thomas there. I'm joined by Duncan Weldon, former
:18:02. > :18:07.economics editor of this programme, Brexit campaigner Daniel Hannan and
:18:08. > :18:16.Pfizer Shaheen, director of the think tank Class. Is Brexit turning
:18:17. > :18:21.out worse or better than you expected for the economy? I think
:18:22. > :18:27.most people were expecting some kind of short-term shock. Some of the
:18:28. > :18:32.numbers show what I would expect. Confidence, jitters, a lot of people
:18:33. > :18:37.were not expecting the Brexiteer vote, and how shallow that the dip
:18:38. > :18:39.is, and how long it lasts is all about policy, so it is important
:18:40. > :18:46.some action is taken. Duncan, do you agree? It is early
:18:47. > :18:57.days, but the evidence we have so far is pretty bad. Deep dives in
:18:58. > :19:01.consumer confidence, which is very important, business confidence has
:19:02. > :19:08.taken a hit. We don't have any hard numbers but everything so far makes
:19:09. > :19:11.me worried. Come on, Danny! All of that is surveys. What I thought was
:19:12. > :19:17.interesting was listening to the business owner in that clip, he said
:19:18. > :19:21.it is pessimistic, but my orders are up, people are investing more, if
:19:22. > :19:25.you look at what is actually happening rather than asking people
:19:26. > :19:28.how they feel when they watch all these gloomy reports. We have had a
:19:29. > :19:36.massive Glaxo Smith Kline investment, Tata saying that they
:19:37. > :19:41.won't necessarily pull out, Pinewood continuing, Wells Fargo spending
:19:42. > :19:52.money on EU European HQ in London, so there is no evidence of anything
:19:53. > :19:56.in the real world. But that is pretty firm data that we have got.
:19:57. > :19:59.But if you look at even what the bank itself, what the Bank of
:20:00. > :20:04.England was saying just in May in the run-up to the vote, Mark Carney
:20:05. > :20:08.said we would be in a technical recession, now he is saying growth
:20:09. > :20:12.of 0.6%, but the direction is witty good as far as his upward revision
:20:13. > :20:19.of forecast. Forecasts are going down! The three-year forecast at the
:20:20. > :20:22.end of the three years, the forecast is now for an economy that is 3%
:20:23. > :20:30.smaller than it would have been back in May. That is about 40 billion a
:20:31. > :20:37.year of lost income, and is that better or worse than you would have
:20:38. > :20:40.thought? As recently as May of this year, the Treasury was saying that
:20:41. > :20:46.the economy would shrink between 3.6 and 6%, a recession, not slower
:20:47. > :20:49.growth. The governor of the Bank of England said we would be in
:20:50. > :21:01.technical recession, or at least there was a strong risk. So already
:21:02. > :21:05.there sounding more optimistic. Let's just be clear that there is
:21:06. > :21:09.clearly going to be a slowdown here. This will impact on people's lives,
:21:10. > :21:14.and what we do about it now is the most important thing to focus on.
:21:15. > :21:17.That is a very good point. One argument is that monetary policy is
:21:18. > :21:19.irrelevant to the kind of uncertainty, if companies stop
:21:20. > :21:24.investing because they don't know whether they will have trade
:21:25. > :21:28.arrangements that are investment favourable, there is no point in
:21:29. > :21:33.trying to induce them to make that investment with a cut in interest
:21:34. > :21:39.rates. To sounded Dickensian, you are pushing on a string. Credit
:21:40. > :21:42.supply can't make credit demand. The bank is doing everything it can in
:21:43. > :21:47.the short run, I am not sure it will be enough, and I don't think the
:21:48. > :21:52.bank thinks will be enough. The bank says, we are doing all of this, and
:21:53. > :21:55.the economy is still going to slow, unemployment will still increase,
:21:56. > :21:58.that is a pretty clear signal that the Chancellor needs to do
:21:59. > :22:05.something. And Faiza, cutting interest rates, we basically have
:22:06. > :22:09.interest rates as low as they can practically go. This is another
:22:10. > :22:13.historic low. It might make a bit of difference in terms of money in
:22:14. > :22:16.pockets for some of those in particular on tracker mortgages,
:22:17. > :22:20.that will be offset by inflation of course. There are broader measures
:22:21. > :22:26.we should be thinking about when we think about today's announcement,
:22:27. > :22:30.essentially before Brexit we had problems in the economy, problems
:22:31. > :22:34.with debt build-up, the private sector level, and we have to think
:22:35. > :22:39.also about how these measures will make inequality better or worse.
:22:40. > :22:45.Theresa May has set out this agenda is important, and today's measures
:22:46. > :22:51.around quantitative easing make Wealth inequality worse, they make
:22:52. > :22:57.the rich richer, and that is problematic. Daniel Hannan, some
:22:58. > :23:00.people say the bank panicked or might have caused panic by making it
:23:01. > :23:05.look as if you need to throw the kitchen sink at this. I agree with
:23:06. > :23:11.that. I agree with Duncan, that a quarter percent cut in interest
:23:12. > :23:16.rates, I think they were too low already, and too low for too long.
:23:17. > :23:23.You don't look old enough, but you will remember what it was like just
:23:24. > :23:26.after we left the ERM, Norman Lamont was crucified for saying he could
:23:27. > :23:31.detect signs of recovery because people were so unsettled by the
:23:32. > :23:34.change. Actually, looking back, we can see it was the best thing to
:23:35. > :23:40.happen. Now we have countries from Australia to Uruguay queueing up to
:23:41. > :23:43.do trade deals with us, we are well out of the problems now overtaking
:23:44. > :23:48.the eurozone, ten years from now, people will say we should have done
:23:49. > :23:53.it sooner. Do you agree? Possibly if we make the right decisions now. We
:23:54. > :23:57.have to make the best of Brexit, certainly, but trade deals done
:23:58. > :24:03.quickly tend to be bad, so we need to take time. We need to discuss if
:24:04. > :24:07.we will stay in the common market or not, and what happens going forward,
:24:08. > :24:12.and that will affect confidence. I do think possibly this could be an
:24:13. > :24:16.area of isolation as well, so we have to be very careful, and I am
:24:17. > :24:19.worried that the Bank of England were the first to come up with a
:24:20. > :24:23.plan, and we haven't heard from the Government yet on their plan, and I
:24:24. > :24:26.am keen to hear that. I think your point about labour is interesting,
:24:27. > :24:33.one thing that would be a good confidence boosting measure is to
:24:34. > :24:41.say in sensitive industries, financial services, fighters --
:24:42. > :24:45.pharmaceuticals, we will make it easier for them to trade worldwide
:24:46. > :24:50.and steal a march on the US. Andrea Leadsom says that there will
:24:51. > :24:56.not be in economic impact of Brexit. She has surely been disproved? The
:24:57. > :25:00.problem is that throughout the campaign, not just remain
:25:01. > :25:03.campaigners but the governor of the Bank of England, the Chancellor of
:25:04. > :25:08.the Exchequer, they were talking about bombs under the economy. You
:25:09. > :25:14.cannot scare business leaders by saying bad things in newspapers. If
:25:15. > :25:17.you are broad and you read that George Osborne, Chancellor of the
:25:18. > :25:20.Exchequer, says we will have an emergency Budget, emergency tax
:25:21. > :25:22.rises, that is bound to have some impact. We have to leave it there,
:25:23. > :25:27.thank you all very much indeed. You've heard the phrase,
:25:28. > :25:31.you know that it means you can But there's more to it
:25:32. > :25:34.than that, surely? Well, one of Britain's most
:25:35. > :25:37.prominent businesspeople has the job at IBM, as head of the Internet
:25:38. > :25:40.of Things business unit there, or the Watson Internet of Things,
:25:41. > :25:42.Watson being IBM's artificial Harriet Green took over
:25:43. > :25:46.there at the end of last year after running the travel company
:25:47. > :25:47.Thomas Cook. She helped turn that company round,
:25:48. > :25:50.although was embroiled in the controversy over
:25:51. > :25:51.its unsympathetic reaction to the tragic death of two children
:25:52. > :26:04.on one of its holidays. A very good evening to you. Let's
:26:05. > :26:09.start on the Internet of things, that is your new patch. I guess he
:26:10. > :26:13.will want to understand what it is, but there is no point in giving us
:26:14. > :26:16.an abstract definition, give us an example of something exciting other
:26:17. > :26:21.than being able to turn on your heating rightly. Of course. If you
:26:22. > :26:26.look at all of the data being collected by sensors, it throws out
:26:27. > :26:33.amazing amounts of information, structured, unstructured. Green
:26:34. > :26:37.Horizons in China, helping to see the patterns, to analyse the
:26:38. > :26:42.correlation is, they are able to help reduce pollutants. One of my
:26:43. > :26:49.favourite little start-ups here in the UK, Bluebell, which is a bell on
:26:50. > :26:55.a bike which gathers data from other cyclists about what is happening in
:26:56. > :26:57.the Street, crowd sourced information through the Watson
:26:58. > :27:01.Internet of things, they actually use that, to be able to make their
:27:02. > :27:07.travel on the bicycle is safer and better. So some things are already
:27:08. > :27:13.happening? How does the Internet of things reduce pollution? All of the
:27:14. > :27:18.information, whether it comes from the weather satellites, from
:27:19. > :27:25.Government information, plus social media, Watson, with its amazing
:27:26. > :27:28.capabilities to reason, to correlate these patterns and then to
:27:29. > :27:34.communicate in natural language to give insight so that the Chinese
:27:35. > :27:39.government can take action much more quickly on changes in pollutants,
:27:40. > :27:45.where they are coming from, etc. In fact a 20% reduction in the last
:27:46. > :27:47.quarter. One is the world by the potential, but at the same time one
:27:48. > :27:54.wonders whether human beings at the end of it have the capacity to
:27:55. > :27:57.manage this enormous data-flows, we know there is loads of data washing
:27:58. > :28:04.over as that isn't captured, that isn't manageable in any way. Is this
:28:05. > :28:11.going to be the downfall? In the case of having a Watson capability,
:28:12. > :28:17.this cognitive capability that can help analyse this massive amount of
:28:18. > :28:22.data, learn about oncology, Watson has learned oncology, and if you
:28:23. > :28:27.take a country like India with 1 billion people and a thousand
:28:28. > :28:31.oncologists, to have Watson helping to prevent deaths from cancer, using
:28:32. > :28:36.these capabilities, it is real life stuff. Let's talk a little about
:28:37. > :28:39.Brexit because we were talking about it with our chums here, on the
:28:40. > :28:43.conversation didn't finish before you had to come to you. What is your
:28:44. > :28:51.take on the effect it has had on our economy? I think we are where we
:28:52. > :28:57.are. And I think Faiza said it, it is actually what actions we take, so
:28:58. > :29:05.if we take the technical sector in the UK, which implies 1.5 million
:29:06. > :29:11.people, ?161 billion of revenue, 500,000 software developers, this is
:29:12. > :29:16.our opportunity together to be much more agile, to be creating new
:29:17. > :29:26.start-ups. I think business has an important role to help create jobs
:29:27. > :29:32.and drive innovation forwards. There are people who say businesses and
:29:33. > :29:35.fat cats, businesses like yourself, partly to explain public
:29:36. > :29:39.disenchantment with an economic system, and a lot of the Brexit vote
:29:40. > :29:44.was a change in the kind of capitalism that you represent... ?
:29:45. > :29:48.That may well be the case, and what is important now is that business in
:29:49. > :29:53.its role to help generate jobs, to help create environments where
:29:54. > :30:02.innovation flows, we have seen recently, things are acquired by
:30:03. > :30:10.Softbank... And that is a good thing? I think Arm and Softbank are
:30:11. > :30:13.both part of IBM, they both use the Internet of things, and they have
:30:14. > :30:18.made commitments to continue investing in Cambridge and to
:30:19. > :30:22.continue to expand the impact of the Internet of things on people's
:30:23. > :30:26.lives. I should ask you how you reflect back on your Thomas Cook
:30:27. > :30:32.days, because the company did improve enormously under you, it did
:30:33. > :30:35.have this enormous problem, the death of two children, it occurred
:30:36. > :30:39.way before you were involved in the company at all, but the handling of
:30:40. > :30:43.it was so botched, everyone acknowledges that. What do you think
:30:44. > :30:51.when you look back at your time there? I think the role to make
:30:52. > :30:55.Thomas Cook well so that it could employ the thousands of people that
:30:56. > :31:01.it employed, could support the customers that it had, really to
:31:02. > :31:05.transform the business so that it could survive was very important,
:31:06. > :31:10.and of course with the tragedy that had occurred, making sure that the
:31:11. > :31:16.health and safety approaches that we had, that this type of tragedy
:31:17. > :31:21.should never happen again. And if you look at the way that technology,
:31:22. > :31:26.all of this work to make sure that the monitoring of situations that
:31:27. > :31:30.occurred don't have to occur again is a very common theme through this.
:31:31. > :31:35.I should say, we will continue this discussion.
:31:36. > :31:37.You can send your questions to Harriet
:31:38. > :31:40.in a Facebook Live chat as soon as we come off air
:31:41. > :31:52.We will continue talking to Harriet with your questions. But that is
:31:53. > :32:09.all. Hello. Friday is not looking bad at
:32:10. > :32:15.all across most of the UK, sunshine pretty much from the word go. A bit
:32:16. > :32:19.of cloud developing during the day, maybe a few showers across Northern
:32:20. > :32:25.Ireland and Scotland. But on balance is it is a fine day. You can see a
:32:26. > :32:30.couple of showers across Northern Ireland, only light and fleeting,
:32:31. > :32:36.not lasting long at all. 16, 17 in the lowlands of Scotland. The great
:32:37. > :32:39.thing about Friday is the winds will be light, so in any sunshine it
:32:40. > :32:41.really will feel very pleasant