05/07/2016 Reporting Scotland


05/07/2016

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Scotland's business and political leaders have been holding

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talks about the aftermath of the EU referendum.

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The underlying economy is beginning to show more signs of stress.

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Our Business and Economy Editor, Douglas Fraser, has more.

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Yes, the economy was already slowing up before the referendum. Since the

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Brexit, the warning signs have been flashing more. A poll of British

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Business Today suggested pessimism about the economy has gone from a

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quarter of those taking part to nearly half. After the initial shock

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11 days ago stock markets made up some ground, but some sectors have

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not including banks and house builders. The pound continued to

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weaken today having fallen over 10%. That should help exporters.

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weaken today having fallen over 10%. Uncertainty about what happens next

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in politics is undermining confidence in the economy.

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Today Aviva and MMG joined this Edinburgh financial giant

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with a halt to trading in their UK property fund, fearing that

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investors would rush to withdraw their stakes

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destabilising funds for continuing customers.

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Following the referendum result, the company said market conditions

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Hopes of selling the Government stakes in Scotland's big banks have

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been pushed back by the prospect of slower growth and lower earnings.

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This will be a setback, let's be quite honest.

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I think at least a couple of years will be pushed back because of it,

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but markets turn around and go positive as they do as quickly

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That was the background for meetings today between business

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The First Minister heard concerns from the main industry bodies.

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I think there's a number of areas that government could be looking at,

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to make Scotland a more attractive and competitive place to do

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business, particularly around tax cuts, around APD,

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around infrastructure projects and making sure that infrastructure

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economically and physically, to help do business.

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Half a mile away trade bodies were out lobbying the UK Government.

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How do we approach international trade deals quest what do we need

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to renegotiate those deals or can we put in place mechanisms that

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allow the benefits we already have two be secure going forward?

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We need a clear message today to government around making sure

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we have the best possible access to the single market,

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as well as making sure the trade deals we have are kept in place.

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The Scotland Secretary voted last month to remain

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He says we told you that this would happen.

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I very much hope that we won't have a recession situation,

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but we obviously are going to have a period of uncertainty,

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a period where people will not be keen to invest in projects that may

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have been going ahead in this period.

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That is why is important to bring as much certainty in a shorter

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But I'm not dismissing the challenge of doing that.

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Wel, the Governor of the Bank of England Mark Carney spoke out

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for a third time in recent days reassuring us that he is taking

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measures to ease lending conditions for banks.

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But he was also warning of the Brexit effect spreading

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to the housing market and to foreign investment.

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Well, some foreign investors continue to be big spenders here,

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this one on golf courses, but Donald Trump's political

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breakthrough in America means further uncertainties ahead

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Douglas Fraser there with that report.

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Meanwhile, the First Minister Nicola Sturgeon has renewed her call

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for all EU citizens, resident in the UK, to be given

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She was speaking after talks with diplomats from EU

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Here's our political correspondent Glenn Campbell.

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Tourists come from near and far to see the First Minister's

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Most only catch a glimpse from the outside, but today's

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visitors included diplomats representing all corners of Europe,

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invited to share their concerns following the Brexit vote.

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We are getting a lot of phone calls from people

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who could become Belgians because they want to drop

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the British citizenship into the Belgian one.

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There is panic among Europeans not knowing what will happen next White

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18 consuls attended talks with the First Minister who stressed

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that hasn't yet been any change to the status of EU

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These are concerns that are being communicated to us.

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I am very keen to get a message across that we value

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As well as appealing to the UK Government, to give all EU

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citizens already living here the right to remain,

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the First Minister is also exploring options to maintain

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Scotland's links with the EU, even if the rest of the UK is coming

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out, and she's made clear those options include a possible second

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Diplomats tend to use diplomatic language about independence,

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Any question of independence for Scotland is an internal matter

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for the UK and we would make no comment on that.

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However, it is clear that were Scotland to be independent,

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One consul general couldn't resist the temptation.

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Best to wait and see what happens, he said.

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Liam Fox has been eliminated from the race to be the next

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Conservative leader and Prime Minister.

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Dr Fox, who was born in East Kilbride, finished last

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Home Secretary Theresa May topped the ballot followed by energy

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Michael Gove, the Edinburgh-born Justice Secretary,

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Stephen Crabb, the Inverness-born work and Pensions Secretary,

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A survivors' group says, it's lost confidence in the Scottish

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It follows the resignation of chairwoman Susan O'Brien

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who stepped down after the Deputy First Minister began formal

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But John Swinney has denied undue interference and insisted

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the Government was trying to ensure costs associated

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From 1964 to 1974, Helen Holland was abused at home in Kilmarnock run

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From 1964 to 1974, Helen Holland was abused at a home in Kilmarnock

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run by the Catholic order of the Sisters of Nazareth.

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She now staffs a helpline for survivors of care abuse.

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Helen views current developments with concern.

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The survivors who have participated so far have done

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so with the assurance that this is independent of the government.

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So if they're now finding out it is not on the government

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are having involvement where they shouldn't be,

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then there are major trust issues in relation to that as well.

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Speaking on Radio Scotland, Deputy First Minister said

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the Government was required to ensure value for money

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and questioned the use of QCs to take witness statements

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But he firmly denied putting cash and control ahead

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I want to assure survivors today and I will work to do it

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for the foreseeable future that the inquiry will be free

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to take all of the evidence, to look into all of the issues it

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needs to look into without fear or favour and to make

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sure it does that job properly and comprehensively.

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In addition to Susan O'Brien, Cambridge Professor Michael Lamb

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resigned last week also citing government interference.

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That leaves Glen Houston, a social care expert

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from Northern Ireland as the only remaining panel member for now.

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A Government spokeswoman said today that officials had been instructed

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already to identify replacements for Ms O'Brien and Professor Lamb.

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She also insisted that evidence gathered so far

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for the inquiry would stand and that public hearings planned

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This Scottish head of a national children's charity says it is vital

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Clearly, until the inquiry is fully staffed again then victims will be

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concerned, and I think it's important the Government acts

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swiftly to set the inquiry on a sound footing.

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Victims will seek those reassurances and more when they meet

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the Deputy First Minister to see what happens next.

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Tennis, and Andy Murray says he can't afford to think

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about the later stages at Wimbledon or he'll get distracted

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He faces the world number 12 Jo Wilfrid Tsonga of France

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A memorial to the longest match of all time, 1768 in the fifth

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Last night they finished after 9pm at 13-13 in the fifth.

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Surely we're not in for another epic.

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In fact only another four games were required as Murray and Suarez

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Yeah, concentrate hard on the next match.

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It's going to be tough regardless of who we play.

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But it is going to be a tough match for them as well.

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I think we're both really excited about it.

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Little brother is just as excited for him tomorrow a quarter-final

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against Jo Wilfred Tsonga of France with no thought spared for the big

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names like Novak Djokovic who've already been knocked out.

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Those results that have happened don't affect me yet.

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It's different coming up against someone different to Novak.

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Tsonga will be tough in the next round as well.

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It is worth concentrating on those matches.

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If you get distracted at this level, it can cost you.

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The Davis Cup won't be a distraction, it's after Wimbledon

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and both Murray brothers are in the team for the tie

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Andy says he will wait until after he's done in SW19

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Well, time now to get the weather forecast for tonight

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Good evening. It has been unsettled and no real change this week. Why?

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The jet stream, it steers weather systems our way and its position is

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fairly flat, it is static. It is not moving north or south. So day after

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day, we will see weather system after weather system, showers, rain,

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breezy at times. Remember that it is also the dividing line between the

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warm air to the south generally and cooler air to the north. We are on

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the cusp so it is not a complete write off, but yes, changeable. We

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have seen heavy showers around today, but tonight it is dry. Some

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clear skies, chilly in the countryside. Tomorrow morning, it is

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a bright, sunny start for most. A fairly pleasant start to Wednesday.

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Here are the temperatures at 8am. Around about 11 or 12 Celsius. Light

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winds and a fairly decent start to the day. Perhaps one or two light

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showers around the north-east coast and the far north, but really, it is

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a dry morning. But then change as we head through the course of

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Wednesday. We will start to see cloud thickening in the west as the

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weather front arrives bringing rain across the Hebrides in towards

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Argyll. Across the UK as a hole, well for most of England and Wales,

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it is dry and bright. Some cloud, yes, but also sunshine. But that wet

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weather edging in across Scotland and indeed Northern Ireland. The

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further east and south-east that you are, the warmer it will be. For us

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here in Scotland, 15 to 17 Celsius, but as the rain arrives feeling

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cool. A soggy night overnight to Thursday,

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but it clears through smartly. So by Thursday morning, yes, still wet

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weather for Shetland and the far north, but for many, a dry day.

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Looking across the UK as a whole on Thursday, you'll notice there is

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this trailing weather front producing outbreaks of rain for

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North Wales and Anglesey and towards Cumbria as well, but the Midlands

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southwards generally drier and for us here in Scotland decent spells of

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sunshine and temperatures of 21 Celsius. That's the forecast.

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Our next update is during Breakfast at 6.25am tomorrow morning,

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but from everyone on the late team, here in Glasgow, and around

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