12/01/2016 Scotland 2016

As BP cuts one in five North Sea jobs, does Aberdeen's oil and gas

More bad news as BP cuts 600 North Sea jobs.

Does this mark a tipping point for an industry already

BBC Scotland is promised more control over its budget

but the Scottish Culture Secretary wants to go further -

And more trouble for Police Scotland, the force that

broke the law, as Holyrood's justice committee go over its head to seek

answers from the officers who spied on journalists' sources.

The industry was braced for bad news but today's announcement by BP

600 jobs, that's one in five of the company's North Sea

workforce, will be out of a job, most of them by the end of the year.

The company blames toughening market conditions but says it's committed

With 65,000 jobs already gone, we'll consider the impact

on Aberdeen and the wider Scottish economy.

But first from Aberdeen here's Steven Duff.

Over the past 50 years, we have grown from an office of 15 people to

a regional employee base of over 4,000. BP is one of the big players

in the North Sea. It was there in the beginning. Executives insist it

will be there for the future. Today, workers in Aberdeen briefed on a new

round of job cuts in all 600 will lose their jobs by the end of next

year. BP would not speak publicly. The oil and industry body say they

are having to cut their cloth because of market conditions. It is

a personal shock for those involved. But it reflects the broad choice as

many companies are making across the sector in response to a dramatic

fall in oil price. The fall was great news if you're filling up but

not if you're a company like BP trying to make a profit or even

break even on a barrel of oil. The business of oil is political as well

as economic. It is important to note and work in BP's continued

commitment to the North Sea. BP has reiterated today its investment

plans, both in capital investment and operational investment in the

North Sea this year, and has said it sees a long-term future for its

business in the North Sea. We've got to continue to work with the

industry as the Chancellor has been doing to make the North Sea as

attractive as possible to carry on investment. BP will invest $4

billion this year in the North Sea. It insists it's very much part of

its long-term future plans. Just before we came on air,

Jake Malloy from the RMT union came If a major operator like BP is

shedding one in five of its small see staff, you must be pretty

concerned about the future of oil and gas. Seriously concerned. We

have been concerned for over a year now. This news is devastating news.

We had anticipated a degree of attrition and some cuts, but 600 has

come as a serious, serious body blow. What is the impact in

Aberdeen? Is there any optimism left? No, I think optimism was lost

early last year when all the analysts predicted it was going to

be quite a significant period, looking at two years, but whilst the

optimism went, I don't think anybody was pessimistic to think that what

it we are seeing would transpire. And worrying times now, given the

news from BP today. What are you seeing in Aberdeen? What is the

effect on businesses and people living in Aberdeen? Well, I do think

it's really... Filtered through right down yet. We're seeing quite a

significant difference in people being able to park cars in the

street. There are some office blocks completely empty. But the knock-on

effect now with the likes of BP announcing this, you're going to see

hotels, taxis, bars and restaurants... It filters right out

through the entire economy. The supply industry is suffering. The

shipping side, helicopter traffic is affected. That will affect road

transportation and everything else. Although you say you are braced for

more job losses, it isn't just that, is it? Even the way people are being

employed now in order to cut costs is changing. Yes, we are seeing an

increase in the use of what the term ad hoc short term almost zero

contract hours, which we oppose at any time, it is a wrong way and

dangerous way to engage people in this industry. Now, the Scottish

government has set up a task force a year ago to deal with this. I

understand you are on the task force. Has it managed to save any

jobs? In a word, no. The objective of the task force was to try and

help people suffering as a consequence of the cuts. Ironically,

we thought we had bottomed out. And the previous chief executive of BP

actually sat on the group as well. The last meeting was in December. I

don't know whether he was aware of the extent of the cuts that were

coming with the company. But the task force were not aware of it, so

it came as a shock I suspect the chair of the task force, who has

done a very good job... As regards saving jobs, no, there's no way of

saving any jobs at all. Do you think there is more the government,

Scottish and Westminster, could be doing now to help out? I think

Westminster specifically needs to get a grip on things here because

this goes way beyond the issue of jobs. This is about security of

supply. It is about sustaining oil production from the North Sea at a

level which will prevent us importing, it'll prevent us going

into decommissioning, saving the taxpayer millions, and it'll prevent

cost fluctuations, and trying to get oil supply from different

jurisdictions. There is a big game to play and I don't think

Westminster at any stage in the last 30 years has actually taken any

great interest other than to siphon off as much money as quickly as they

possibly could at any given time. Thank you very much for joining us

this evening. Listening to that was The Herald's

business editor, Ian McConnell. Pretty gloomy stuff there from one

of the unions representing the people that are going to lose their

jobs. Is there any optimism? I think you're right, it is a gloomy picture

with lots of job losses. Today's announcement another manifestation

of that. I think in terms of room for optimism, you can look at some

of the big new developments that are coming on. They've invested a lot of

money already, and they've emphasise their commitment. These are projects

with long lifetimes. The oil price will fluctuate, it'll go in cycles

in that period. There are more mutual assets, some buyers, where

players are withdrawing from the sector, and people coming in, and

buying. We to maximise what is there, and the problem is that

becomes more and more difficult in a low oil price environment. What

about the skills lost at the moment? They will go elsewhere and find work

elsewhere, so will it be easy enough when things pick up to attract them

back? There is an issue around skills, being able to scale up when

hopefully, the need comes around to do so. The Scottish engineering

bodies highlighted the fact that a lot of people have come out of oil

and gas and got into other sectors of the engineering sector. Not so

long ago, the North Sea sector itself was struggling with skills.

So, there is undoubtedly an issue with that. Aberdeen has a great

skills base, particularly in the oil services side. The companies are

cutting edge around the world. So that would be a concern. What effect

is this having on the Scottish economy as a whole? I think the

second-quarter growth figures for Scotland showed marginal growth,

much less than what was fairly anaemic growth in the UK in all. The

third quarter Scottish figures are imminent. Economists will be

watching carefully to see whether that indicates it is a more

permanent effect. Oil and gas is important in these surveys. We have

heard that hotels restaurants and airports in Aberdeen, but there are

more increasing worries that it will spread to other sectors and other

parts of Scotland, as the chain effect continues. We all watch those

figures with interest tomorrow when they are published. Thank you for

coming in this evening. The Director General of the BBC,

Tony Hall, has promised "more power" for BBC Scotland to

control its future. Appearing before MSPs

at Holyrood this morning, he stressed he wanted to see

a vibrant BBC Scotland contributing But the Scottish government

is pushing for more. In a moment I'll be speaking

to the Scottish Culture Secretary, Fiona Hyslop, but first

this from our political Broadcasting is always politically

sensitive. In post-devolution post-referendum Scotland, that goes

double. Programmes for Scotland, like River City, means jobs. But how

about this? Waterloo Road, which was transferred from watched out

agreement, making it a Scottish show. Critics call that lift and

shift - programmes with little authentic bases in Scotland. Senior

managers admit that was an issue when they gave evidence at Holyrood

as part of a review of the BBC Charter. And Gordon MacDonald told

them Scotland still received less investment per head than Wales and

Northern Ireland. There is a shortfall of ?87 million spent in

Scotland. In 2014-15, the BBC licence raised ?333 million. TV,

radio and other output cost ?108.2 million. Programmes made for the

network cost ?82.3 million, leaving ?132.5 million contributing to other

UK programmes and services available for Scotland. The BBC managers were

questioned closely on the notion of new Scottish TV and radio channels.

The MSP Pramac were told those were early-stage options, later

overtaken. One of the options we were looking at, in terms of whether

they should be a second service on Radio Scotland, whether there was...

Whether there was a balance of advantage, how do we get to the

audiences, but I have to stress there were a number of options that

were on the table. The convener summed up the core concern. The

importance of BBC Scotland to the creative industries in Scotland, and

I want if you could outline your view on the idea that they should be

further devolution of the ABC to BBC Scotland. The directed general said

a review of commissioning could help Scottish owners make the network,

and a review of news would reflect the changing UK, and perhaps involve

a Scottish six, a TV programme was Scottish, UK, and global news. I

want the director for Scotland as for Wales to have more power to

decide the services that the people in Scotland want for Scotland. I

also want the director of Scotland to have a powerful voice in

determining what the BBC does as a whole. The Culture Secretary

welcomes those reviews but wanted to go further. I believe it is time for

BBC Scotland to be resourced, to be bold and creative for Scotland. The

Scottish government is proposing a federalised BBC that would allow BBC

Scotland to control decision-making within Scotland, and I stress

independent of government. There was very close questioning today but

potential consensus, too. I believe the committee wants to sound a

positive note urging the BBC to transfer more funding, commissioning

and decision-making to Scotland. It is likely the report will be

followed by a full Parliamentary debate urging the BBC to act.

Here now to explain exactly what she means by empowering

and resourcing BBC Scotland is Culture Secretary Fiona Hyslop.

Why do you want a BBC Scotland to have a federal structure's what

difference would it make? How would it improve broadcasting? We know

from the BBC's order research Scottish audiences are saying they

don't not see the BBC reflecting themselves as much as they could do

and it is a major criticisms in relation to the news. That aside

what we want to see is a greater economic impact so BBC Scotland can

contribute to the creative industries in Scotland. There was a

lot of agreement today. I agree we should have more power for Scotland.

For a whole lot about building an online channel and certainly we need

more platforms for Scottish productions. Decision-making and

commissioning that currently takes place in London or Manchester should

be moved in part to Scotland. We say there should be by the whole

structure, others say it is about decentralisation. BBC Scotland house

to play catch up to devolution in the first place but it is an

important opportunity to help build companies, creativity and economic

impact not just what BBC employees, Ed important as it is, but for other

industries in Scotland. That is not what we're getting at the moment

from BBC but we can build on that going forward. There was a dispute

over figures. You said the BBC only spends ?35 million on local output

in Scotland while the BBC said it is more than ?100 million. Do you

accept that figure? The enquiry has now brought out these figures and I

think that is very helpful. The managing director of finance for the

UK BBC agreed with our figure of 35 million for an off the line original

creative content for television. They agreed with our figure. What I

do want... But it was 100 million, not 35 million. She said, in the

official report that she agreed with our figures of 35 million. She

talked about 74 million and terms of costs. That is overheads, outside

broadcast right, not original content. I was very pleased we got

an admission and in agreement from the BBC that 4300 ?23 million of

licence fee payment from Scotland small amount is spent original

content. It should be Scottish jobs and the long-term. You would like to

see all that ?323 million raised in Scotland spent Scotland? Indeed. How

much would you spend on network programmes that people you love like

Doctor Who, strictly come dancing. Of course we can get these shores as

other countries do. How much would that cost? Bear in mind, the

managing director of finance for the BBC says there is a bit 200 million

of that 323 million is supporting the BBC network. Let's look at the

economic and creative impact. There is a consensus across Scotland

around this. All the events we have been hosting. The committee chaired

by a Conservative MSP agrees with this assessment. For what we provide

we should be getting better quality in terms of the sustainable and

creative content. Question Time is a very important short for the BBC but

I don't think it's a lot Scotland. Is there any evidence of a Scottish

audience wants to see a radically different programming? Apart from

news and current affairs? Less than 50% of people in Scotland are

satisfied with news and current affairs. I was encouraged and I

think Tony Hall was listening and has been listening but we need to

trust their decision making and commissioning and editorial control,

moving in that direction I think we can work with him to move them even

further. Thanks for coming in. Now, more controversy

for Police Scotland. Holyrood's justice committee says it

will bypass them and directly invite four police officers

to give evidence. The officers were named

by a Deputy Chief Constable during an investigation into police

spying on journalists' sources. But the force has blocked

the officers from explaining As Huw Williams reports,

the issue emerged because of leaks claiming were flaws

in a murder investigation. Another justice committee meeting

and another senior policeman giving evidence. But not the four officers

MSPs want to question. Can I express the disappointment of this committee

that the four opposite the invited to come before us today we are

prevented from doing so and pull the Scotland would not pass the

invitation to those officers. The officers were named by Police

Scotland at a hearing before Christmas. It's worth reminding

ourselves that Emma Caldwell was murdered nearly 11 years ago but not

one has been convicted. Last April the Sunday mail ran a story naming a

suspect in highlighting what it said were shortcomings with the police

investigation. Weeks later the Lord Advocate asked for more resources

for the murder enquiry. We know the police broke the law try to find out

where reporters were getting their information from without getting

authorisation from a judge. The paper's editor said officers should

instead focus on problems with the initial murder enquiry. Journalists

are very protective of our sources and concerned when we discover

please have spent time and resources trying to discover sources. --

police have spent time. This is ultimately about the death of a

young woman ten years ago and the need to find justice for heart and

her family. Today concerned about police priorities were aired in

Parliament. Rather than back to look at the investigation, the emphasis

then moved on to looking at the source, rather than taking the job

mean a point that there may have been something not quite right or

something that could have been improved on with the original

investigation. It is not mutually exclusive. What we're doing is both.

There has been a lengthy exchange of letters between the comedy and

Police Scotland, while the ward a white billboard, before officers to

explain what happened and why. -- the four officers to explain what

happened. We have taken legal advice on it and give individuals here at

the heart of our response in terms of serious organised crime and

serious criminality. Obviously their names have already been published

but what we don't want to have is the identity is out there so people

know who they are and then addresses and the risks are two reasons.

Despite that the committee seems determined to hear from the four. We

have decided to issue an invitation personally to each of the officers.

They obviously do not have to accept and we will not compel them but

should they wish to, accompanied by a member of the staff association

and put forward their side of the story. The investigation into Police

Scotland's culture and processes continues but there is something

even more important than that. I hope justice is eventually delivered

for the victim and the family. It appears both Scotland were more

interested in who have been talking to journalists are investigating why

they did not investigate the murder properly.

Joining me now to talk about this and some of today's other news

are Cat Boyd, whose standing for the RISE political alliance

at the Scottish Elections and Andy MacIver, PR guru and former

director of communications for the Scottish Conservatives.

Welcome to you both. Let's start with that story, full stop, what do

you think of the police's priorities? It is very worrying, but

let's be honest, it is the latest in a long line of scandals for Police

Scotland which I think is a direct consequence of centralisation of the

police force. We have a armed police on the streets, stop and search of

children, death in custody and now this. The truth of the matter is

this will continue until there is reform of Police Scotland. I really

hope our politicians will break up to the fact this will continue

unless something changes. What about over a six-year? Does this not you

have built your confidence? -- what about oversight? Cap is right to

mention the other issues are likely Scotland but I think this is the

most serious one as it indicates something potentially more sinister.

This is a clear piece of legislation they have breached, it is so obvious

what the intention is that you can't spy on journalists and it is such a

basic tenet of a free media and free press that you cannot do this. It is

a black and white issue and I think it is quite worrying they have

crossed that line because the legislation was extremely clear and

it is difficult to see how you can swallow an explanation that they

just made a mistake, which is effectively what they said today.

How the chemistry do think the posting of Scotland will be an the

elections in May? I think it is huge. We have seen the replacement

of Stephen APPLAUSE House and another officer who comes

from the Met background. -- Stephen house. I think this is an

issue that really matters to people and I can see any reform. It brings

up the age old question of who watches the watchers? At the police

are supposed to be watching Society and who watches the police? We have

seen today in Parliament a senior police officer has taken the place

of four officers who have broken the law. If it was URI who had committed

a crime we would be expected to stand there. -- you or I. If the

Scottish Government Scottish parliament can't get answers from

the police but how do the families of Emma Caldwell get answers? It is

a real concern for the majority of people will stop someone else who

MSPs was looking for answers from was Tory hole. They said in light of

increased devolution it was time to make changes. -- Pawnee halt. Andy,

-- Pawnee hole. How do the rebuild trust in Scotland? Wrigley to

separate the wheat post-referendum and pre-referendum environment. The

has been going about for a while and what we have to accept, in my view,

is we should start from the point of understanding most people in

Scotland get their news from the BBC so we are very narrow in that sense.

Most other countries have a wider variety of news sources. And very in

favour of hyper localisation of broadcasting. STV Edinburgh and

Glasgow have been good initiatives. I'm not convinced the BBC is the

best and be able to deliver local news. I think the delivery of local

news for example through BBC .co .uk has had a negative impact on local

press. I do think you will get a different political viewpoint. My

own viewpoint is that for as long as we're part of the UK, and that may

be a long time not, I think it is reasonable to have national, UK and

international news delivered throughout the UK and Scottish news

delivered as it is right now. It is not a big deal for me, personally.

Where is the money coming from? The BBC had an ex ?750 million worth of

cuts. I am massively in favour of a public broadcaster but I don't think

the BBC is beyond reform. I am glad we're talking about the Scottish

news at six. There was also discussion of the potential online

for Scotland. It has its pros and cons. There is the opportunity for

BBC Scotland to do something like Netflix which is producing bribing

documentaries. We are too narrow in whom we get, use from. We need a

public broadcaster who can question Scottish politics and institutions.

We have relieved that. That's it for tonight. I'm back tomorrow night see

you then.