13/01/2013

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:00:40. > :00:43.Morning, folks. Welcome to the Sunday Politics. With just over a

:00:43. > :00:46.week to go until David Cameron's big speech on Europe, politicians

:00:46. > :00:56.and business leaders line up to warn him not to damage our

:00:56. > :00:56.

:00:56. > :00:59.relationship with the EU. Are they right? Should he listen?

:00:59. > :01:01.In a week when the Government has been busily marking it's own

:01:01. > :01:05.homework, we ask Communities Secretary Eric Pickles whether,

:01:05. > :01:07.when it comes to housing policy, it's a case of must try much harder.

:01:07. > :01:10.That's the Sunday Interview. And, as violent protests continue

:01:10. > :01:13.in Belfast over the decision to cut the number of days the Union flag

:01:13. > :01:16.flies above the City Hall, we'll debate the decision and the

:01:16. > :01:26.significance of the riots, as two politicians at the heart of the

:01:26. > :01:28.

:01:28. > :01:31.controversy go head to head. In London, 12 fire stations to go.

:01:31. > :01:41.I will be asking the fire commissioner whether we will be

:01:41. > :01:45.

:01:45. > :01:47.All that and the best and the brightest political panel in the

:01:47. > :01:51.business - Isobel Oakeshott, Janan Ganesh and Nick Watt with views,

:01:51. > :01:54.insight and gossip on the big stories of the day. They'll also be

:01:54. > :01:59.tweeting as fast as their little digits allow throughout the show.

:01:59. > :02:02.Now, Ed Miliband has had a busy weekend. Yesterday, he made a

:02:02. > :02:06.speech designed to draw a line under the New Labour years and move

:02:06. > :02:10.on. In it, he conceded the last government lost touch with voters,

:02:10. > :02:13.especially over issues like immigration. But he defended one of

:02:13. > :02:23.the remaining big beasts of the last government, Shadow Chancellor

:02:23. > :02:24.

:02:24. > :02:29.Ed Balls, when pushed by the BBC's You mentioned Ed Balls, does to

:02:29. > :02:37.scare middle-England a little? think he scares the Tories and

:02:37. > :02:40.David Cameron. We have said we were going to the next election as a

:02:40. > :02:46.team but I am not going to start measuring the curtains for Downing

:02:46. > :02:50.Street. He will be a member of the Cabinet? Yes, he is doing a great

:02:50. > :02:55.job and will continue doing a great job. Ed Miliband talking to James

:02:55. > :02:58.Landale on the Andrew Marr Show this morning. And I'd like to take

:02:58. > :03:05.this opportunity to wish Andrew a speedy recovery from all on here on

:03:05. > :03:10.the Sunday Politics after his stroke earlier this week.

:03:10. > :03:15.Did you buy his endorsement of Ed Balls? He didn't specifically say

:03:15. > :03:19.Ed Balls would be Shadow Chancellor on the day before the next election,

:03:19. > :03:26.but the reason he needs to offer assurance is that there has been a

:03:26. > :03:29.lot of speculation this week David Miliband my going to the Shadow

:03:29. > :03:34.Cabinet. David Miliband made a significant speech last week in

:03:34. > :03:38.which he made a very interesting argument on the economy that the

:03:39. > :03:43.Blairites are putting out - let's accept the amount of money in the

:03:43. > :03:48.pot, but have a debate about the priorities and how you spend that,

:03:48. > :03:52.and we would obviously prioritised the poor and the coalition would

:03:52. > :03:59.prioritise the rich. Whereas Ed Balls is criticising the government

:03:59. > :04:05.for sucking the demand out of the economy. The problem with Ed Balls

:04:05. > :04:10.is it brings up bad memories. they feel they are economically

:04:10. > :04:20.vindicated by what has happened over the last few years - Labour -

:04:20. > :04:20.

:04:20. > :04:25.and still have not made the same gains in the opinion polls. I think

:04:25. > :04:30.if they move him, it will not be this year, it will be closer to the

:04:30. > :04:34.election, and even then I'm not convinced it will happen. Would you

:04:34. > :04:39.want him on the backbenches? I don't think he will accept a

:04:39. > :04:44.middle-ranking shadow cabinet job, so there is a Geoffrey Howe problem

:04:44. > :04:48.for Ed Miliband. He is stuck with him whether he wants him or not.

:04:48. > :04:53.Yes, there was not a cast-iron guarantee. You learn to interpret

:04:53. > :04:57.every word, so it was not a cast- iron guarantee and I think that is

:04:57. > :05:06.because Ed Miliband would like his brother back, and perhaps only

:05:06. > :05:10.because his brother would only accept the shadow chancellor role.

:05:10. > :05:15.Now, the waiting is almost over. No, I'm not talking about David Bowie's

:05:15. > :05:18.new album. It's much more exciting than that, because in just over a

:05:18. > :05:21.week David Cameron will travel to the Netherlands to spell out, at

:05:21. > :05:24.last, where he sees Britain's future in Europe. He's expected to

:05:24. > :05:34.call for the repatriation of powers from Brussels in a deal to be

:05:34. > :05:38.

:05:38. > :05:42.endorsed by a referendum. Controversial stuff. This week, 10

:05:42. > :05:48.senior business figures including Richard Branson warned the

:05:48. > :05:52.government against marginalising the UK in Europe. They wrote, "we

:05:52. > :06:02.must be very careful not to call for wholesale renegotiation of our

:06:02. > :06:08.

:06:08. > :06:12.EU membership, which would almost They are not alone. The US

:06:12. > :06:16.Assistant Secretary for European Affairs told British reporters that

:06:16. > :06:20.America favours a strong British force in Brussels. Yesterday

:06:20. > :06:26.Michael Heseltine warned David Cameron against rushing into a

:06:26. > :06:30.referendum, describing his strategy as an unnecessary gamble. George

:06:30. > :06:39.Osborne has raised the spectre of British departure, telling German

:06:39. > :06:44.newspaper Die Welt, the EU must change. This morning it has been

:06:44. > :06:54.reported in the Observer that Ken Clarke is joining forces with Peter

:06:54. > :06:56.

:06:56. > :06:58.Mandelson to stress the benefits of remaining in the Union. I'm joined

:06:58. > :07:02.now by Martin Sorrell, CEO of WPP, the worlds biggest advertising

:07:02. > :07:07.company - and a signatory to the letter in the Financial Times on

:07:07. > :07:12.Wednesday. The EU is changing, the eurozone will get closer in fiscal

:07:12. > :07:17.terms and political terms, economic terms, we will not be part of that

:07:17. > :07:23.so we will have to renegotiate our relationship. There will be

:07:23. > :07:27.attempts to. From the point of view of business, if you look at things

:07:27. > :07:31.like the car industry, financial services industry, being part of

:07:31. > :07:37.what is the largest economic force in the world, it is better for us

:07:37. > :07:42.from a business point of view to be part of that so I would rather be

:07:42. > :07:46.inside the tent trying to renegotiate the things that you and

:07:46. > :07:50.I find oppressive, rather than be powerless to make the changes.

:07:50. > :07:57.you saying that David Cameron is right - he will have to do some

:07:57. > :08:01.renegotiation? Yes, but it is about how you try to go about it. If you

:08:01. > :08:05.grandstand, Showboat, the chances of being able to renegotiate

:08:05. > :08:09.anything fundamental will be difficult. Somebody raised the

:08:09. > :08:14.issue this morning in the papers about how John Major went about it

:08:15. > :08:18.in a quieter and more diplomatic way, and I think that is necessary

:08:18. > :08:28.because you bring out the opposition, you bring out the

:08:28. > :08:28.

:08:28. > :08:31.American reaction, the German reaction. Was George Osborne

:08:32. > :08:38.grandstanding when he raised the prospect of our departure? He said

:08:38. > :08:42.in order that we can remain in the European Union, the EU must change.

:08:42. > :08:47.That is negotiation again, trying to secure benefits and changes. It

:08:47. > :08:53.is a question of how you go about it. He is raising the prospect that

:08:53. > :08:57.we may not remain in the European Union. Speaking from our business's

:08:57. > :09:01.point of view, I don't think that will be helpful. This uncertainty

:09:01. > :09:07.has been raised and we have enough uncertainty in the world with the

:09:07. > :09:11.eurozone, the US fiscal deficit, the Middle East, China, we have

:09:11. > :09:16.enough uncertainty around the world without adding to it again. If you

:09:16. > :09:21.are thinking about it from the point of view of multinational

:09:21. > :09:25.businesses, were they will locate their plants, their people, their

:09:26. > :09:30.headquarters, it will put that increasingly at a level of

:09:31. > :09:36.uncertainty which will disadvantage the UK. You have previous on this -

:09:36. > :09:40.you signed a letter in 2003 saying we have to join the euro. You said

:09:40. > :09:45.if we didn't it would be damaging for British-based businesses,

:09:45. > :09:52.British employees and the British economy as a whole. We suggest you

:09:52. > :09:56.were wrong there. We still believe, certainly from a business point of

:09:56. > :10:00.view, from an economic point of view, and from the point of view of

:10:00. > :10:05.Britain in the future world, it would be better to be a significant

:10:06. > :10:09.part of Europe. He wanted us to join the euro, and you said it

:10:09. > :10:15.would damage business and the British economy. I would suggest to

:10:15. > :10:19.you that you were wrong, so why are you right now? We will have to see

:10:19. > :10:27.how it plays out. At that particular point in time, I

:10:27. > :10:30.wouldn't disagree with you. If we, the British people, attempt quite a

:10:30. > :10:35.fundamental renegotiation of our relationship with Europe, not

:10:35. > :10:45.attempting to get out, but a fundamental renegotiation, that

:10:45. > :10:45.

:10:45. > :10:49.would damage business and the economy? No, it leads to one

:10:49. > :10:55.certainty and postponement of decisions, the decisions made by

:10:55. > :11:03.people in terms of locating factories, when and where they're

:11:03. > :11:08.going to make their decisions are becoming increasingly uncertain. If

:11:08. > :11:12.you look at Lee levels of capital spending in the United States, the

:11:13. > :11:20.UK and Western Continent, given the general uncertainty we have, there

:11:20. > :11:25.has been significant delay. There has been a lack of investment, and

:11:25. > :11:28.the last time I looked America was not renegotiating... There are

:11:28. > :11:32.enough challenges without introducing more uncertainty.

:11:32. > :11:38.you give an example of a company that has said it is not coming

:11:38. > :11:42.until the uncertainty is over. can think of many examples. Just

:11:42. > :11:46.one would do. Without naming specific, there are several

:11:46. > :11:51.examples of companies that have postponed their decision.

:11:51. > :11:55.operate across the world as well as in Europe, if we had a more semi-

:11:55. > :12:00.detached relationship with Europe, why would it damage your business?

:12:00. > :12:10.It is about access to the market. You are saying that most people

:12:10. > :12:11.

:12:11. > :12:15.against the idea want us to end up as a Norwegian example. The

:12:15. > :12:24.Norwegians end up paying about 80% of what we pay for the privilege of

:12:24. > :12:31.being outside, the Swiss have been trying to negotiate trade deals for

:12:31. > :12:37.10 years. 25% of our business is in continental Europe... Can my

:12:37. > :12:45.finish? The last time I saw you lecture, you said that increasingly

:12:45. > :12:51.you -- European business was not growing fast and all of your growth

:12:51. > :12:56.was taking place outside of Europe. Europe has a West part, which is

:12:56. > :13:00.slower growth, and an eastern part. There is an interesting dynamic to

:13:00. > :13:04.what you are talking about. We were talking for the programme about

:13:04. > :13:08.whether a referendum will take place, putting that to one side for

:13:08. > :13:12.a minute, by the time this is sorted, western continental Europe

:13:12. > :13:17.will probably be coming in to a recovery phase. We would make the

:13:17. > :13:22.decision, if we chose to come out, to come out at precisely the wrong

:13:22. > :13:27.time because there will be a cyclical recovery. Will David

:13:27. > :13:32.Cameron be worried that important business people like Martin are

:13:32. > :13:36.speaking out like this now? fairly sure he is worried, and what

:13:36. > :13:41.we will see over the next few days and weeks will be a parallel

:13:41. > :13:44.operation. What we have seen in the last few days is quite an operation

:13:44. > :13:49.by a Europhile business groups and figures like yourself to put the

:13:49. > :13:53.case that you have. I know that Number 10 is concerned about this

:13:53. > :13:57.and we will see another operation where you get some moderate Euro-

:13:57. > :14:02.sceptic business figures who will come out and put the opposite case.

:14:02. > :14:06.Not had bangers, but a reasonable case for renegotiation. And you

:14:06. > :14:11.think there was a reasonable case. You would want the best possible

:14:11. > :14:17.terms. Anybody would want that. The question is what practically you

:14:17. > :14:23.can get, given the position, and the downside is, if we come out,

:14:23. > :14:27.that we will not have the exposure to this significant part of the

:14:27. > :14:30.world. I think David Cameron will like the fact you are making the

:14:30. > :14:34.case for Britain in the European Union because he doesn't want to

:14:34. > :14:39.leave. Isn't the challenge for you, the argument that you are making

:14:39. > :14:45.about factories pulling out of the European Union - out of the UK -

:14:45. > :14:49.are identical to the arguments that Britain in Europe put forward in

:14:49. > :14:53.1999 as to what would happen if we didn't join the euro. Those

:14:53. > :14:57.arguments were wrong and our decision not to go in was right.

:14:57. > :15:03.Shouldn't you say we got it really badly wrong 12 years ago, and then

:15:03. > :15:13.maybe people would listen to you now. They did say to Andrew that

:15:13. > :15:17.

:15:17. > :15:22.And the scares that you gave. You signed a letter. Looking at future

:15:22. > :15:26.economic history and development, we are already disadvantaged in

:15:26. > :15:30.relation to the growth markets of the world. One of the biggest

:15:30. > :15:39.opportunities that we have is to be part of the biggest - 450 million

:15:39. > :15:43.people, bigger than the United States, although it is not what --

:15:43. > :15:51.not one country, obviously... But we are trying to negotiate a free-

:15:51. > :15:55.trade zone. For me, the question is not whether you try to meet gauche

:15:55. > :16:00.-- whether you try to renegotiate, because he is doing that. It is all

:16:00. > :16:03.about the questions that you raise. I see no prospect of renegotiating

:16:03. > :16:09.anything fundamental to the central market, including employment

:16:09. > :16:12.legislation. Are you as sceptical as I am about the prospects for

:16:12. > :16:17.repatriation? I think it is very difficult. The people on the other

:16:17. > :16:22.side, the members of the club... It reminds me, in a perverse way, of

:16:22. > :16:27.the Turkish-EU situation. Many people said they wanted the Turks

:16:27. > :16:31.in, many people said they didn't, and the Turks got fed up and said,

:16:31. > :16:36.a plague on all your houses. I think on the other side, people

:16:37. > :16:41.will be saying, enough is enough. The biggest issue for us is the 17

:16:41. > :16:46.eurozone countries, as opposed to the 27, and the increasing

:16:47. > :16:51.influence of those 17. Did you not relocate your company anyway away

:16:51. > :16:55.from Britain, even before renegotiation came on the agenda?

:16:55. > :16:59.Job that was very unfair, that was because the previous government

:16:59. > :17:04.threatened to tax overseas profits. The coalition government legislated

:17:04. > :17:08.to remove that. Is this a better government for business than the

:17:08. > :17:12.last one? To their credit, this government, in the short term, have

:17:12. > :17:16.tried to make sure that Britain is open for business, in terms of

:17:16. > :17:20.corporation tax. We now have the current debate about appropriate

:17:20. > :17:30.levels for corporation tax.. you coming back to Britain? We came

:17:30. > :17:35.

:17:35. > :17:41.back. We actually came back. fully updated edition of the

:17:41. > :17:45.coalition agreement will be provided a new road map, or will

:17:45. > :17:48.it? It has been introspection time at Westminster. It has been a week

:17:48. > :17:54.of half-term reports, with the Government marking its own homework,

:17:54. > :17:59.department by department. It is clear there remains work to be done

:17:59. > :18:05.in the brief of Eric Pickles. Britain's housing crisis remains

:18:05. > :18:15.unsolved. This week, one of a Eric Pickles' junior ministers and

:18:15. > :18:16.

:18:16. > :18:23.Indeed, the 2011 census showed home ownership in England falling over

:18:23. > :18:29.the previous decade for the first time in 60 years, from 68% to 63%.

:18:29. > :18:36.Mr Pickles' solution is more new homes, but the think tank the

:18:36. > :18:42.posture exchange says... -- the policy exchange. His department is

:18:42. > :18:51.also responsible for community cohesion. In today's Sun on Sunday,

:18:51. > :18:58.Mr Pickles attacks at... But what preparations has the Government

:18:58. > :19:08.made for the potential influx of Romanian and Bulgarian immigrants?

:19:08. > :19:08.

:19:09. > :19:15.Eric Pickles joins me now for the Sunday Interview. Eric Pickles,

:19:15. > :19:20.welcome and to this, our first edition of Sunday politics for 2013.

:19:20. > :19:23.Very nice to be here. The planning minister in your own department

:19:23. > :19:33.declared this week that the housing shortage was the greatest social

:19:33. > :19:37.injustice being faced by this country, do you agree? Well, we

:19:37. > :19:41.inherited this situation. You cannot get housing away from such a

:19:41. > :19:46.low level very quickly. But the signs are encouraging. But is it

:19:47. > :19:51.the greatest social injustice ever faced by this country, it was your

:19:51. > :19:54.minister who said that? reference are was making to the

:19:54. > :20:01.Policy Exchange was regard to the claim about the lowest levels since

:20:01. > :20:08.the 1920s. It is a great injustice, among other ones. So, it is not the

:20:08. > :20:12.greatest? No. The Future Homes commission says we need about

:20:12. > :20:16.300,000 new homes every year - do you agree with that? We certainly

:20:16. > :20:20.need to increase the amount of building. We are about 11% up on

:20:21. > :20:26.what we were at last year. We are doing a number of schemes, of which

:20:26. > :20:30.I am sure we will be able to go through in detail. We are

:20:31. > :20:37.increasing the availability of land, we are helping with regard to

:20:37. > :20:41.equity shares. But fundamentally, when you went for your mortgage,

:20:41. > :20:46.when you were young man, or when I did so, the kind of deals which

:20:46. > :20:50.were available to us are not available now. Let's look at the

:20:50. > :20:53.record, because it is early days, but there are some figures. Let us

:20:53. > :20:59.accept for the sake of his interview that the last government

:20:59. > :21:03.had a poor housebuilding record. In the last year of Labour, there were

:21:03. > :21:08.116,000 new houses completed. In the most recent annual figure we

:21:08. > :21:16.have for your government, it is only 117,000, an increase of less

:21:16. > :21:22.than 1%. York Wheel on track to get slightly more than 132,000.

:21:22. > :21:26.these are your government figures up to September of last year. From

:21:26. > :21:31.your own department. Houses completed. We have not had any more

:21:31. > :21:37.published that I have seen... we have issued some figures to

:21:37. > :21:43.suggest that we are on track for something between 132,000 and

:21:43. > :21:49.133,000. That is more than 11% up. These are completions, the official

:21:49. > :21:55.figures, as I say. I would suggest to you that when you look at

:21:55. > :22:05.housing starts, it is going to get worse again. Look at these figures.

:22:05. > :22:12.These are housing starts in England. So far this year, or almost to the

:22:12. > :22:17.end of last year, just 98,000. we are 11% up on what we were the

:22:17. > :22:22.year before. No, you are down on the year before. I don't think your

:22:22. > :22:28.figures are correct, I'm afraid. These figures have been researched

:22:29. > :22:32.and I have checked them myself. am delighted about that. They are

:22:32. > :22:37.official government figures from the ONS, showing quite clearly that

:22:37. > :22:43.the number of housing starts is in decline. What I am saying to you

:22:43. > :22:52.very clearly is that on last year, we are 11% up. I think taking

:22:52. > :22:55.quarterly figures is not necessarily terribly helpful. I am

:22:56. > :23:00.not for one moment painting a position to say everything is rosy,

:23:00. > :23:05.but what I am saying is that in terms of the combination of new by,

:23:05. > :23:11.together with first buy, releasing more public land for housebuilding,

:23:11. > :23:16.with these measures, we can show some small - maybe you want to

:23:16. > :23:22.dismiss it as insignificant - but I think there is progress. But these

:23:22. > :23:26.figures show that in the year to September, there were only 98,000

:23:26. > :23:33.new starts, so are you telling me that in this year, you will

:23:33. > :23:38.complete more houses than the year just finished? I am saying that we

:23:38. > :23:45.are 11% up on the previous year. So, the short answer to that question

:23:45. > :23:48.is yes. You will build more houses in 2013 then you did in 2012?

:23:48. > :23:53.You have spent a lot of time going over the figures. I have spent a

:23:53. > :24:00.lot of time. I am not going to come into its prestigious show like this

:24:00. > :24:03.and not know what I am talking and not know what I am talking

:24:03. > :24:11.about. Well, the Policy Exchange, an intellectual out rider for the

:24:11. > :24:15.Cameron project, says this... the point that I made at the start

:24:15. > :24:22.was that we started with the lowest level of house building since the

:24:22. > :24:27.1920s. That was our base. And it has now got lower. What I have just

:24:27. > :24:32.politely pointed out is that we have actually produced more houses,

:24:32. > :24:36.rather, the building industry has, than the latter two years of Labour.

:24:36. > :24:41.Of course, that was from the immediate aftermath of the

:24:41. > :24:47.financial crash. Labour's record, which I accept is not great, in the

:24:47. > :24:55.year 2002, it was 144,000. The following year, 155,000. The next

:24:55. > :24:58.year, 169,000, and continuing to go up after that. You are nowhere near

:24:58. > :25:00.any of these figures, and even these figures were not great.

:25:00. > :25:05.these figures were not great. will take some time to get to these

:25:05. > :25:08.figures, which as you rightly say, are not great. The housing market

:25:08. > :25:13.is a largely dysfunctional market. It is not delivering the numbers

:25:13. > :25:19.that we want. That is why we have made a number of reforms on the

:25:19. > :25:23.supply of housing. I have just gone through one or two of the

:25:23. > :25:29.initiatives, but at least we have been able to make sure that young

:25:29. > :25:34.people can now get on the ladder, at least for new-build. How many

:25:34. > :25:41.houses do you hope to build this year? I think the figure should be

:25:41. > :25:49.somewhere in the region of between 132,000 and 133,000, and that is in

:25:49. > :25:59.no way adequate in terms of the numbers. I am talking about this

:25:59. > :26:03.year. I am asking you about 2013, not 2012. I would... We should...

:26:03. > :26:09.We have signed contracts, just dealing purely with social houses,

:26:09. > :26:16.to deliver 170,000 social houses over that period. I am simply

:26:16. > :26:23.asking about this year, 2013. answer to that is a figure greater

:26:23. > :26:25.than 133,000. It is starting to rise. Given that we have abandoned

:26:25. > :26:29.national targets which did not deliver, and given that we are

:26:29. > :26:33.looking towards local growth, and given that we have introduced all

:26:33. > :26:36.of these reforms with regard to planning, and given that we have

:26:36. > :26:46.further plans to enable people to be able to take out mortgages, all

:26:46. > :26:48.

:26:48. > :26:52.of these things kind of have a bit of a lag. Do you accept that the

:26:52. > :26:55.housing shortage, which is pretty dramatic and likely to get worse,

:26:55. > :26:59.is one reason why people find it very hard to get on the housing

:26:59. > :27:06.ladder, because houses are too expensive? Houses are very

:27:06. > :27:10.expensive, and if the rest of consumer products had risen at the

:27:10. > :27:14.same rate as house prices, then we would be in a great deal of

:27:14. > :27:22.difficulty. Do you know how much a chicken would have cost if it had

:27:22. > :27:30.gone up by the same rate over the last 30 years? �47. Do you think

:27:30. > :27:34.house prices are too high? It is one thing which is purely market-

:27:34. > :27:43.driven. It is controlled by the supply, and the supply is

:27:43. > :27:47.inadequate. It is related to land as well. Let me move on to another

:27:47. > :27:51.issue, because it affects housing. Much of the extra demand which we

:27:51. > :27:56.have seen has come from record immigration. Now, that could

:27:56. > :27:59.intensify, despite government efforts. In one year's time, 29

:27:59. > :28:03.million Romanians and Bulgarians will be free to come and live and

:28:03. > :28:06.work in the UK. As the Home Office giving you any estimate of how many

:28:06. > :28:12.are actually expected to come in the next couple of years? To be

:28:12. > :28:17.honest, I don't think anybody entirely knows the number that will

:28:17. > :28:21.come from Bulgaria and from Romania. So, have you had a guesstimate from

:28:21. > :28:26.the Home Office? I have had no discussions with the Home Office

:28:26. > :28:29.with regard to the numbers. So, if you have no idea of the numbers,

:28:29. > :28:34.which is what you have said, does that mean you have not been able to

:28:34. > :28:43.do any preliminary work on what their housing needs might be?

:28:43. > :28:50.know of a number of borrowers that have an average number, so I would

:28:50. > :28:56.expect to see an influx in the east of London, which would be the

:28:56. > :29:00.predominant area. Have you done any preliminary work on the

:29:00. > :29:04.implications for our housing demand as a result of this? I do not know

:29:04. > :29:09.what the boroughs are doing. Have you done any? Yes, we have done

:29:09. > :29:13.some. And what is the consequence, how many are you planning for them?

:29:13. > :29:19.That is not something which I think would be helpful, to go through the

:29:19. > :29:22.numbers for that, just yet. Why? Because I think you would have to

:29:22. > :29:28.have a degree of confidence, in terms of the numbers, before I

:29:28. > :29:33.would publicly say. One of the reasons I have asked for fresh

:29:33. > :29:37.information is to make sure that before I make a public statement

:29:37. > :29:41.with regard to this, that I am confident on the numbers. So, like

:29:41. > :29:45.2004, when the then government told us only about 15,000 people would

:29:45. > :29:55.come from Poland and that fear and so on, and it turned out to be

:29:55. > :29:58.

:29:58. > :30:03.750,000, this could be another In fairness to Michael Howard, he

:30:03. > :30:10.cut the figures are almost exactly right. I am reluctant to give a

:30:10. > :30:15.figure until I am confident. Let's talk about the ball park. One Tory

:30:16. > :30:23.MP said let's make the assumption that they cover the same rate as

:30:23. > :30:25.they did from Poland and lot fear, he said then we are talking about

:30:25. > :30:32.another 300,000 Romanians and Bulgarians - is that a reasonable

:30:33. > :30:37.assumption? No, I don't think so. A why not? Because I need to be sure

:30:37. > :30:42.about the figures before I make a public pronouncement. That has not

:30:42. > :30:47.changed in the last two minutes. let's be honest - do you have any

:30:47. > :30:52.idea how many Romanians and Bulgarians will come? I have been

:30:52. > :31:00.given a figure, I'm not confident on the figure, and until I am

:31:00. > :31:05.confident I will not quote it. you give a ballpark figure? Perhaps

:31:05. > :31:09.I wasn't very clear, so let me be clear, I have seen figures, I

:31:09. > :31:13.wasn't confident with those figures, I asked for a further explanation

:31:13. > :31:18.and when I have got that and when I feel confident about the figures,

:31:18. > :31:25.then I will talk about the figures. Does the figure you have been given

:31:25. > :31:32.worry you? When I am confident about the figures, I will express

:31:32. > :31:37.my confidence or worries. But do you accept that this could present

:31:37. > :31:44.another major increase in housing demand in a country where there has

:31:44. > :31:49.already a major housing shortage? Given that we have got a housing

:31:49. > :31:54.shortage, any influx from Romania and Bulgaria is going to cause

:31:54. > :31:59.problems and it is going to cause problems not just in terms of the

:31:59. > :32:03.housing market but also on social housing markets, but one of the

:32:04. > :32:08.reasons why I am not repaired to start the scare story going is that

:32:08. > :32:13.I think we need to be reasonably confident about the figures.

:32:13. > :32:17.appreciate I am not looking for a scare story, I was looking for the

:32:17. > :32:22.scale of the problem. Let me finish with a question - when you're lost

:32:22. > :32:28.on this programme in September I asked when you were going to stop

:32:28. > :32:35.councils fining people for putting their bins out on the wrong day.

:32:35. > :32:38.You said watch this space, an announcement is due very soon.

:32:38. > :32:46.Given the unreasonable nature of these charges, we are actually

:32:46. > :32:53.going to legislate. When? If in the next session. Some time this year?

:32:53. > :33:00.If yes. There will get rid of fining for putting your rubbish bin

:33:00. > :33:07.out on the wrong day? Yes, if you put the wrong yoghurt pot into the

:33:07. > :33:12.wrong rubbish bin, it is ludicrous to find people, and ludicrous to

:33:12. > :33:18.find a woman who is just a few yards out of her driveway, but if

:33:18. > :33:22.people scatter there litter about that is unreasonable. Anyway, no

:33:23. > :33:30.finding for putting your rubbish bin out on the wrong day?

:33:30. > :33:33.Absolutely. A Eric Pickles, thank you.

:33:33. > :33:35.Now, violence continued in Belfast last night, with 29 police officers

:33:35. > :33:38.injured in riots following the latest protest at the City

:33:38. > :33:40.Council's decision to restrict the flying of the Union flag. Northern

:33:40. > :33:43.Ireland Secretary Theresa Villiers has called for restraint this

:33:43. > :33:45.morning and warned that the protests are damaging Northern

:33:45. > :33:47.Ireland's economic prospects. So what lies behind them and how

:33:47. > :33:57.representative are they of the views of Belfast's protestant

:33:57. > :34:00.

:34:00. > :34:05.community? Giles Dilnot has been to the city to find out. Stones, fire

:34:05. > :34:12.bombs and fireworks thrown in rioting in Belfast. Young

:34:12. > :34:16.Protestants waving flags over the loss of a flag. Police with water

:34:16. > :34:21.cannon this has masked men and lasers. Explosive tensions we

:34:21. > :34:26.thought were in the past. Whilst all that is true, and this is where

:34:26. > :34:31.it has been happening, you are in the part of the UK were politically

:34:31. > :34:35.nothing is exactly what it says on the tin. It is not all of Belfast,

:34:35. > :34:40.not every Protestant, not just about the flag. There are layers

:34:40. > :34:45.and layers to this. The focus is Belfast City Hall, not short of

:34:45. > :34:53.British symbolism, and what flag flies above it. That issue was

:34:53. > :35:00.brought up by Republicans who wanted no flag or two flags.

:35:00. > :35:03.Unionists wanted their flag flown daily as it had been. Pushed hard

:35:03. > :35:10.to back the Unionist side, the Alliance Party responded with a

:35:10. > :35:15.compromise to both - the Union flag only, flown only on designated days.

:35:15. > :35:19.The irony is that for 12 years that has been the agreed policy at

:35:19. > :35:25.Stormont, and there has not been one word of complaint from any of

:35:25. > :35:35.the Unionist parties in 12 years. Part of the difficulty around this

:35:35. > :35:39.is that some politicians have stirred up sectarian fears for

:35:39. > :35:44.party political reasons. A small section of Northern Ireland's

:35:44. > :35:49.Protestant community saw it as an attack on their cultural identity

:35:49. > :35:53.in the midst of austerity. Whenever you go to a disadvantaged area and

:35:53. > :35:57.people think their identity has been taken away from them, the flag

:35:57. > :36:02.becomes more important because they don't have any stake in society,

:36:02. > :36:07.and that is the problem. Police suspect the hand of old loyalist

:36:07. > :36:17.hard men in the protests. Those behind them say it is more about a

:36:17. > :36:18.

:36:19. > :36:23.grassroots generational reaction, as critical but own -- of its own

:36:23. > :36:33.politicians. The to like putting Palestine in charge of Israel, it

:36:33. > :36:35.

:36:35. > :36:40.just doesn't add up. Now the DUP are telling people it is OK, it has

:36:40. > :36:45.changed. Belfast has changed. Once viewed from a distance, the

:36:45. > :36:50.sectarian divide mystified, now the majority of the city feels the same.

:36:50. > :36:55.In the market the trouble doesn't past the smelling test -

:36:55. > :37:05.consultation 10 minutes away is more likely about the price of fish

:37:05. > :37:06.

:37:06. > :37:12.The majority of people want to provide for their families. This is

:37:12. > :37:17.definitely affecting shops and businesses in Belfast. Take

:37:17. > :37:27.yourself home. For many, what they want to fly got is the political

:37:27. > :37:29.and economic cost to squabbling over symbols.

:37:29. > :37:32.And Alliance MP Naomi Long and Edwin Poots, Northern Ireland's

:37:32. > :37:42.Health Minister, and a member of the Democratic Unionist Party joins

:37:42. > :37:43.

:37:43. > :37:48.Now that you have seen the reaction to your decision, do you accept

:37:48. > :37:53.that by reducing the number of days the flag flies, it has just been

:37:53. > :37:58.deeply upsetting and provocative to half your city? I don't accept that

:37:58. > :38:02.and I don't accept the threat of violence and intimidation should in

:38:02. > :38:08.any way alter the democratic process. We had a very difficult

:38:08. > :38:11.decision to take in City Hall. My party colleagues took legal advice

:38:11. > :38:16.and the quality advice given to them by the council. They looked

:38:16. > :38:23.carefully at the situation that happened in other councils, such as

:38:23. > :38:28.Lisbon City Council, so we looked at the evidence and our councillors

:38:28. > :38:33.believed this was the right thing to do in what is a shared city with

:38:33. > :38:37.a Dover's view. It reflects that Belfast is within the UK, it

:38:37. > :38:41.respects the flag in the way the book we are encouraged to do by the

:38:41. > :38:46.College of Arms, and it reflects the fact there are many people who

:38:46. > :38:52.have a stake in the City and share that allegiance. One to is your

:38:52. > :38:59.reaction to that? I did vote against the flags policy in Lisbon

:38:59. > :39:05.back in 2002, but the truth is... I didn't interrupt you. She has got

:39:05. > :39:09.it wrong on this issue, and not just the few 1000 people are

:39:09. > :39:16.protesting, but hundreds of thousands of people are angry at

:39:16. > :39:20.this decision. The national flag can't be flown on the building 95%

:39:20. > :39:25.of the time. The Alliance Party need to realise that going back to

:39:25. > :39:31.the majority rule in this instance them lining up with Sinn Fein, that

:39:31. > :39:41.that type of majority rule does not work and instalment it is much

:39:41. > :39:42.

:39:42. > :39:46.better for everyone. I want to show you a leaflet, it is in the colours

:39:46. > :39:50.of the Alliance Party and it shows this picture of the flag

:39:51. > :40:00.disappearing and it changes the alliance slogan which has always

:40:00. > :40:08.been "a shared future" Into "a shared future for whom". I think

:40:08. > :40:12.you and other members distributed 40,000 of these leaflets, you have

:40:12. > :40:21.really played your part to stir this up, haven't you? I have not

:40:21. > :40:27.played any part. He your party has. I think the Alliance Party have

:40:27. > :40:30.stirred this up by removing the national flag and I don't see,

:40:30. > :40:39.whenever I travel to other parts of the UK, I see the national flag

:40:39. > :40:49.flying with didn't -- with dignity. It was a wrong decision to remove

:40:49. > :40:50.

:40:50. > :40:54.it and it has been detrimental to Northern Ireland and the community.

:40:54. > :41:00.Up was there really that much pressure to get rid of this flag on

:41:00. > :41:03.most days of the year? There are a couple of things Edwin has said the

:41:03. > :41:07.need to be addressed and the reality is that in Lisbon City

:41:07. > :41:12.Council were Edwin was a member, unionists took the flag down, then

:41:12. > :41:16.put it back up under pressure, and then finally had to remove it. He

:41:17. > :41:21.was present when the decision was taken to fly the flag on designated

:41:21. > :41:26.days in line with the equality advice given to the council. I am

:41:26. > :41:30.happy to defend that position. In terms of my colleagues, I am not a

:41:30. > :41:34.member of Belfast City Council so the DUP have to answer why they

:41:34. > :41:39.targeted me in this hateful campaign, in an inflammatory

:41:39. > :41:43.leaflets which spoke of tearing down the flag. They have stirred

:41:43. > :41:47.tensions rather than trying to address the issue of how we express

:41:48. > :41:52.sorrow identity in a shared society. With respect to how the flag is

:41:52. > :41:57.flown across the rest of the UK, many councils use the designated

:41:57. > :42:03.days policy. It is recommended, so the idea that it is anti-British is

:42:03. > :42:12.nonsense. There is sensitivity around this issue... I want to

:42:12. > :42:21.bring Edwyn back in. Why did you target Naomi? She is an alliance

:42:21. > :42:30.Party member. Her office is the centre of activity for Alliance in

:42:30. > :42:36.Belfast. That was the office that people could easily relate to women

:42:36. > :42:44.came to making their protest known. Let's get away from this, the cause

:42:44. > :42:50.of the issue is the removal of the flag. It only brings Belfast City

:42:50. > :42:54.Hall into line with the rest of the province. Stormont Parliament

:42:54. > :43:00.already has a similar arrangement to it, some town councils have a

:43:00. > :43:06.similar arrangement. It brings it into line with the amount of days

:43:06. > :43:10.you fly the flag. A doesn't bring it into line with the rest of

:43:10. > :43:13.Northern Ireland. The status quo was working and that has been

:43:13. > :43:18.damaged and we can see the consequences of it. Leaving aside

:43:18. > :43:22.the people engaging in violence on the street, and that is to be

:43:22. > :43:25.condemned, we need to reflect their hundreds of thousands of people

:43:25. > :43:35.across Northern Ireland who have been greatly offended by this

:43:35. > :43:37.

:43:37. > :43:39.particular decision. Am afraid we are going to have to leave it there.

:43:39. > :43:42.It's approaching quarter to 12. You're watching the Sunday Politics.

:43:42. > :43:45.Coming up in just over twenty minutes, I'll be looking at the

:43:45. > :43:55.week ahead with our political panel. Until then, the Sunday Politics

:43:55. > :44:00.

:44:00. > :44:05.Hello and welcome. Coming up later - a dozen fire stations to close,

:44:05. > :44:13.500 firefighters to be lost. What effect of that have on the safety

:44:13. > :44:19.of Londoners? Joining us today the Conservative MP Mary McLeod, and

:44:19. > :44:24.Meg Hillier, Hackney and Shoreditch for Labour. First this week, a

:44:24. > :44:31.recipe for reform? Proposals to change the face of the capital's

:44:31. > :44:36.police force have been unveiled. The strands to them, the closure of

:44:36. > :44:39.some stations and dismantling the safe neighbourhood teams in

:44:39. > :44:49.electoral districts in the capital in favour of a more centralised

:44:49. > :44:49.

:44:49. > :44:55.It is Bobby's, not buildings, that a rest on burglars. That's the

:44:55. > :45:01.mantra. Over the next couple of years, the Met will sell off 200

:45:01. > :45:06.buildings, including New Scotland Yard. In addition, more than 1,100

:45:06. > :45:10.supervisor and management positions will go. Over the same period, the

:45:10. > :45:15.target is to cut crime by 20%, whilst increasing public confidence

:45:15. > :45:24.in the police by the same figure. The Met is trying to use the Post

:45:24. > :45:32.Office to replace some police counters. However, will Londoners

:45:32. > :45:42.be convinced by such major changes? Well, is Meg Hillier convinced?

:45:42. > :45:46.

:45:46. > :45:53.am not happy about any reduction in police officers. On stations, in my

:45:53. > :45:59.area... I am less concerned generally about those, because

:45:59. > :46:03.frankly, it is difficult to contact the police at the moment, however

:46:03. > :46:07.you try to do it. They have really got to up their game on contact

:46:07. > :46:10.with the public altogether. If this cuts programme does not deliver

:46:10. > :46:14.better contact with the police, we need to be on top of them about

:46:14. > :46:18.that. It is not about the numbers of stations, it is about that

:46:18. > :46:25.contact. You can queue for half an hour at the police station and then

:46:25. > :46:29.not get a great service, and I think it is abysmal. Uni good

:46:29. > :46:37.access on the telephone, and you need good police stations as well.

:46:37. > :46:42.Frankly, Stoke Newington police station, in my local area, is a

:46:42. > :46:47.terrible service at the moment. You go in and you queue for ages. It is

:46:47. > :46:50.not a good way to do is things like passing on intelligence. Having

:46:50. > :46:54.locally-based offices could work well, as long as they are there

:46:54. > :46:58.when they are supposed to be. As long as you can contact the police

:46:58. > :47:02.24 hours a day, seven days a week, in an emergency, or indeed just to

:47:02. > :47:09.pass on information. That is where we need better quality of service.

:47:09. > :47:13.Can you defend these proposals? First of all, on numbers, there are

:47:13. > :47:22.more police officers now in London than we had under Ken Livingstone

:47:22. > :47:28.as mayor. We have had this debate again and again. The numbers will

:47:28. > :47:32.be lower in the boroughs from 2010 onwards. There will be more police

:47:32. > :47:36.officers in London in 2015 than there were under Ken Livingstone.

:47:36. > :47:40.That is true. In terms of these proposals, the key thing about

:47:40. > :47:44.cutting crime, and crime in London has gone down, therefore, what I

:47:44. > :47:49.want is to get police officers out on the streets, visible, not in

:47:49. > :47:53.buildings. Yes, people need to be a good contact the police. That's why

:47:53. > :48:01.things like the 101 number are going to be really important.

:48:01. > :48:06.trying to move this forward, so, you would be happy to see some of

:48:06. > :48:13.these buildings going, but what people do not know yet if any,

:48:13. > :48:18.where will this new access be? well, they will be finalising these

:48:18. > :48:22.proposals on that at the moment. But in principle, if that is what

:48:22. > :48:29.you're asking, then we have to look at getting more police out on the

:48:29. > :48:34.streets. That's what the public want. You have had these models of

:48:34. > :48:40.six uniformed officers in your constituency, electoral districts,

:48:40. > :48:44.all 6 assigned, but that has been reduced to two in each area - will

:48:44. > :48:49.at continue to give reassurance? think there is reassurance, with

:48:49. > :48:52.increasing numbers of visible officers. I think the public liked

:48:52. > :48:56.to have some form of police presence, that they know they can

:48:56. > :49:01.go somewhere, and it is finding appropriate ones in each borough to

:49:02. > :49:05.make it happen in London. But let's look at the results. This is all

:49:05. > :49:10.about making sure we are cutting crime. That's the measure that I

:49:10. > :49:14.will use. It is true, that is a measure we will all be using. One

:49:14. > :49:18.of the real benefits of having neighbourhood based police is

:49:18. > :49:21.having a friendly face for people to pass on little bit of

:49:21. > :49:26.intelligence. It makes it feel like everybody working together against

:49:26. > :49:30.crime, rather than having a distant, remote place to report these things.

:49:30. > :49:37.I am very concerned already about the quality of access to police.

:49:37. > :49:42.And I think that these cuts could mask that. In terms of that

:49:42. > :49:45.relationship, one important aspect... We should stress that

:49:45. > :49:49.there will be more consultation, and final proposals have not yet

:49:49. > :49:54.been put forward. What about the Fire Service? It has to find cuts

:49:54. > :49:58.of about �45 million over the next two years. 12 stations will be

:49:58. > :50:01.closed, the fleet of fire engines will be reduced and more than 500

:50:01. > :50:11.firefighters will go. In a moment, the Fire Commissioner will be

:50:11. > :50:14.

:50:14. > :50:20.telling us all about the possible impact. But first, this report. The

:50:20. > :50:25.Fire Service as we know it best, tackling blazes across London. But

:50:25. > :50:32.it is also vital for its disaster, terrorism and search and rescue

:50:32. > :50:37.response. Now, in the spot like is this Fire Service itself. -- now in

:50:37. > :50:41.the spotlight is the Fire Service itself. The London force needs to

:50:41. > :50:46.cut �45 million over the next two years. Deeper cuts had been

:50:46. > :50:50.expected, and the Brigade has already been making headway,

:50:50. > :50:58.finding �11 million ore ready for this year. Now, the Fire Service

:50:58. > :51:05.has found another �30 million for the following financial year. It is

:51:05. > :51:15.the fire stations themselves which are for the chop. Another 12 have

:51:15. > :51:20.been earmarked for closure... A total of 18 fire engines are to be

:51:20. > :51:24.cut, and the Brigade is set to lose more than 500 firefighters. The

:51:24. > :51:29.fire brigade says response times will not be affected. In some areas,

:51:29. > :51:32.it will even improve, they say, as the remaining fire engines will be

:51:32. > :51:38.redistributed. There are still concerns that these cuts will have

:51:38. > :51:41.an impact. Anybody who knows anything about fire knows that the

:51:41. > :51:45.human body, the brain, cannot survive for more than a few minutes

:51:45. > :51:49.in a smoke-filled environment. If your local fire station closes, and

:51:49. > :51:53.you have to rely on a fire station much further afield, there is every

:51:53. > :51:56.chance you will be at much greater risk. Unquestionably we will see a

:51:56. > :52:01.higher number of deaths and injuries as a result of this.

:52:01. > :52:08.the past decade, the number of fires in London on a daily basis

:52:08. > :52:16.has halved, from around 150 to 75. With the capital set to lose 12

:52:16. > :52:21.fire stations and 18 engines, could his record be at stake? Joining me

:52:21. > :52:29.now is the Fire Commissioner, Ron Dobson. In your time, how many fire

:52:29. > :52:35.stations have you seen close? memory, there were five in 1998,

:52:35. > :52:40.and one in 2007. So that's six in 15 years. Within a couple of years,

:52:40. > :52:47.you're going to close 12... important thing to remember,

:52:47. > :52:50.firstly, is that during the last 10 years, we have seen the number of

:52:51. > :52:55.fires reducing by more than a third. The number of incidents we have

:52:55. > :53:01.attended has also been reduced by a third. So, significant changes in

:53:01. > :53:06.the risks we face. We have got an attendance target of six minutes

:53:06. > :53:09.across the whole of London. There are some areas of London this and

:53:09. > :53:12.we do not achieve that, but this plan will actually bring more

:53:12. > :53:18.boroughs within that target standard. We can come on to those

:53:18. > :53:22.targets in a minute, a possible improvement, even, in those figures.

:53:22. > :53:26.We we can alter that. But in terms of the closures, if over these 10

:53:26. > :53:32.years, and we know we have got this downward trend, but why has it

:53:32. > :53:35.taken you so long to make the savings, you must have been

:53:35. > :53:42.incredibly bloated? We review the arrangements every three years. We

:53:42. > :53:47.have made some other changes. you are able to get rid of 12

:53:47. > :53:51.stations in two years, what have you been doing the? We have reduced

:53:51. > :53:54.the number of fires, we have been using the resources that we have

:53:54. > :54:02.got to educate the public. We have now got to the point where we think

:54:02. > :54:12.we can reduce it. If you have reduced it so far, and now you lose

:54:12. > :54:13.

:54:13. > :54:20.that number, then presumably... would say the reduction but we have

:54:20. > :54:24.seen will continue. Numbers will continue to come down, the public

:54:24. > :54:28.will continue to be educated. The standards across the whole of

:54:28. > :54:36.London will be maintained. How can you achieve this holy grail,

:54:36. > :54:43.improving things, with fewer people? We have got targets of six

:54:43. > :54:47.minutes for the first response, and eight minutes for the second.

:54:48. > :54:53.on your targets. Those are nationwide... No, those are London

:54:53. > :54:58.targets. Every fire authority sets its own targets. We have the best

:54:58. > :55:02.standards in the country. We are the quickest to get a fire engine

:55:02. > :55:07.out anywhere in the country.. But the response times will not be as

:55:07. > :55:13.good, because you will not have so many engines and stations... At the

:55:13. > :55:23.moment, we have more fire stations in the centre of London. What we

:55:23. > :55:24.

:55:25. > :55:29.are now doing is redistributing the cover to get an even level of cover.

:55:29. > :55:36.But in central London, the fire engines will still not get there so

:55:36. > :55:41.quickly, albeit they may stay within the targets? Any change will

:55:41. > :55:44.be measured in terms of seconds, rather than anything else. But we

:55:44. > :55:52.know that seconds can make the difference. It does not take very

:55:52. > :55:56.long for people to die in fires. it does not. We are achieving our

:55:56. > :56:05.targets in most boroughs. But in many areas, we are doing even

:56:05. > :56:11.better than that. One extra borough will be brought into the six-minute

:56:11. > :56:19.target, so that 32 out of 33 will get a second appliance within eight

:56:19. > :56:24.minutes. Be in my constituency, one station is going, in the

:56:24. > :56:31.neighbouring constituency, Bow is also going. Also Clerkenwell. And

:56:31. > :56:34.my area is growing in population. My concern is that getting rid of

:56:34. > :56:39.12 fire stations, all at once, because of the cuts, let's be clear,

:56:39. > :56:43.is not actually planning for the future growth of places in London.

:56:43. > :56:52.But the number of fires is going down? Let's hope that still

:56:52. > :56:55.continues. The preventive work is a good thing. In my area, when we

:56:55. > :57:00.have a higher incidence than average of fires, we still need a

:57:00. > :57:04.lot of that as well. You can be honest your constituents - we do

:57:04. > :57:09.not need these fire stations, yes, we want firefighters offering

:57:09. > :57:14.safety advice, but we do not need nearly as many engines or buildings.

:57:14. > :57:18.In west London, there is little changed, in terms of the proposals,

:57:18. > :57:25.and this is only a consultation, remember. So, I do not lose any

:57:25. > :57:28.stations. It is a consultation, but there is not much choice. But I

:57:28. > :57:35.think you need to look at this across the city as a whole. It is

:57:35. > :57:39.about saving lives. It sounds like we have had good results on that.

:57:39. > :57:44.But across London, the population is transient, people move around,

:57:44. > :57:48.so I think it makes sense to do this review every three years. I

:57:48. > :57:52.would encourage the public to respond to this consultation, where

:57:52. > :57:57.they have worries, and then hopefully we will get a result that

:57:57. > :58:03.makes sense. Once you have got rid of these for a stations, those

:58:04. > :58:09.sites will have gone forever. thing I want to ask you before you

:58:09. > :58:12.go - I have heard recently, someone at City Hall, suggesting that if

:58:12. > :58:17.you're closing these fire stations, they might be used for new schools,

:58:17. > :58:24.is that a discussion you have had with anybody? No, it is just

:58:24. > :58:28.rumours. In terms of the way we reduce fire deaths and injuries,

:58:28. > :58:33.this is a broad consultation, including lots of other things

:58:33. > :58:36.within the London safety plan. Actually, safety from fire and fire

:58:36. > :58:42.deaths is not about having a fire station and every corner. It is

:58:42. > :58:45.about educating people. -- on every corner. There is no evidence that

:58:45. > :58:49.population growth in London actually increases the risk of fire.

:58:49. > :58:53.Thank you very much indeed. Now, how to find affordable care for

:58:53. > :58:56.your children, so you can combine it better with your work?

:58:56. > :59:01.Barnardo's has released a report calling on Hubble to make work pay

:59:01. > :59:04.for low-income parents in particular, by increasing the hours

:59:04. > :59:09.of free child care and the number of people who will benefit under

:59:09. > :59:12.the future universal credit. -- calling on the Government. At the

:59:12. > :59:18.moment it says too many are caught in a poverty trap. London has the

:59:18. > :59:24.highest childcare cost in the country, with it costing around �5

:59:24. > :59:30.an hour for a nursery place in London. Some parents even find

:59:30. > :59:37.themselves out of pocket by working. On average nursery places cost 24%

:59:37. > :59:41.more than elsewhere in Britain. the moment, everybody gets 15 hours

:59:42. > :59:48.of free child care. If the family decides to work 24 hours, they will

:59:48. > :59:54.be more than �7 a week worse off. If they then want to increase hours

:59:54. > :59:58.to 35 hours of work, they will be a massive �15 worse off. Double it is

:59:58. > :00:02.not just London's high childcare costs which make it difficult for

:00:02. > :00:06.working mothers and fathers... Those problems are magnified in

:00:06. > :00:10.London because of the way the transport system works, the high

:00:10. > :00:17.costs of transport, as well as the fact that a lot of jobs, especially

:00:17. > :00:21.jobs at the minimum wage, require you to work unusual hours. But one

:00:21. > :00:26.London council, Camden, has bucked the trend, this week announcing it

:00:26. > :00:30.will increase the statutory number of hours from 15 to 25. Critics of

:00:30. > :00:35.the system say poor parents in the capital are this incentivised from

:00:35. > :00:40.working, so are some parents in London destined to be labelled as

:00:40. > :00:46.shirkers? -- disincentivised. What needs to happen here? We want to

:00:46. > :00:50.try to help families where we can, which is why we are looking at the

:00:50. > :00:54.proposals to make a difference and turn things around. Do you like the

:00:54. > :01:00.idea of a potential tax break, which has been mooted? But then we

:01:00. > :01:06.read in a newspaper that it has been delayed, talk of this �2,000

:01:06. > :01:10.tax relief...? I think it is worth looking at. Today, I had an event

:01:10. > :01:16.in Chiswick for women, looking to turn them into entrepreneurs, many

:01:16. > :01:19.of them with children. In London, we have fewer women as a percentage

:01:19. > :01:23.working than anywhere else in the country. I think that is a huge

:01:23. > :01:29.amount of talent that we want to engage with. We want to do that,

:01:29. > :01:35.but how? If and when the universal credit system is introduced, there

:01:35. > :01:40.will not be that incentive to work, to do that extra bit, because the

:01:40. > :01:44.cost of childcare will nullify it. That's why we are saying, let's

:01:44. > :01:49.looked separately at child care, to say, what can we do to make sure

:01:49. > :01:56.that we are supporting women getting back into the workplace?

:01:56. > :02:04.That is why we are looking at proposals in terms of looking at

:02:04. > :02:10.how you support getting two-year- olds care... The coalition has

:02:10. > :02:15.introduced the guaranteed statutory 15 hours for two-year-olds...

:02:15. > :02:20.That's for the most vulnerable ones, yes. But what we are talking about

:02:20. > :02:27.here is working parents. Friendly, 15 hours a week for the most

:02:27. > :02:35.vulnerable two-year-olds is not going to help working parents. The

:02:35. > :02:39.15 hours is not enough to work. This is because they cannot always

:02:39. > :02:44.buy on top, it is complex. Let the clear, we need to be bold about

:02:44. > :02:47.this. The Government's response has been shambolic. We have had these

:02:47. > :02:57.leaks to the Sunday papers. We hear that there are still arguments

:02:57. > :03:00.

:03:00. > :03:06.going on. We need to see... If you let me finish. Why are we having

:03:06. > :03:11.this issue now? The last Labour government introduced Sure Start

:03:11. > :03:17.centres, they introduced extra free hours, and I am not going to sit

:03:17. > :03:21.here and say... Why on earth are you now having an issue with what

:03:21. > :03:24.we are trying to do? We all need to be bolder, across the political

:03:25. > :03:28.divide, and say that child care is an investment, particularly for

:03:28. > :03:38.working mothers, because the tax that they will pay, the career

:03:38. > :03:50.

:03:50. > :03:57.opportunities they will have, as Let's stop arguing about that one

:03:57. > :04:03.and argue about something else in a moment, but he was a round up in 60

:04:03. > :04:07.seconds. The South London health care trust should be broken up

:04:07. > :04:12.according to its specialist the administrator. It has run up debts

:04:12. > :04:22.of 50 million. Jeremy Hunt will make a decision on the strapped

:04:22. > :04:27.

:04:27. > :04:35.trust -- cash strapped trust in February. The Mayor's Fund charity

:04:35. > :04:41.has announced it will put 600 and for the capital's most deprived

:04:41. > :04:47.children. It was discovered children have been passing out in

:04:47. > :04:52.lessons because of hunger. A New Year and a new start for Ray

:04:52. > :04:59.Lewis, former deputy mayor, returning in a paid role to re-

:04:59. > :05:09.grade the mentor scheme. He left in 2000 date after questions over

:05:09. > :05:10.

:05:10. > :05:20.financial irregularities. Ray Lewis back, is that right?

:05:20. > :05:21.

:05:21. > :05:28.don't think it is a good thing. I can't understand how he can be

:05:28. > :05:32.earning �20,000 for one day's work a week. It is good the mayor once

:05:32. > :05:38.more mentoring, but there are plenty of other people who can do

:05:38. > :05:43.it. Why go back to somebody who has not delivered? Mary McLeod, he left

:05:43. > :05:48.and design because of concerns from the Church of England which the

:05:48. > :05:52.mayor does not seem to have addressed, but he asked him back.

:05:52. > :05:58.Not thing has been proven, and dial as think people are innocent until

:05:58. > :06:03.proven guilty. Not criminally of course. No nothing has been proven

:06:03. > :06:08.so we should take it at face value and he denies these allegations but

:06:08. > :06:14.I do believe British value in terms of the rules of law, people are

:06:14. > :06:21.innocent until proven guilty. you have expected the mayor to do a

:06:21. > :06:24.full investigation into it? The two small up to the Church of England.

:06:24. > :06:32.They passed their concerns to the mayor but it is not immediately

:06:32. > :06:36.clear... The mayor has decided that he thinks Ray is doing a good job

:06:36. > :06:41.and he wants to offer him this position. Let's be clear about this

:06:41. > :06:51.- mentoring for young people in London is critical and role models

:06:51. > :06:57.

:06:57. > :07:00.are important. I agree on that. Andrew, back to you. In a moment

:07:00. > :07:04.we'll look ahead to the big stories that will dominate politics next

:07:04. > :07:06.week with our political panel, but first the news at noon with Chris

:07:06. > :07:09.Rogers. The First Minister of Northern Ireland Peter Robinson has

:07:09. > :07:14.said the only way to stop the recent violence there is through

:07:14. > :07:16.political dialogue. He was speaking after 29 police officers were

:07:17. > :07:20.injured in the latest violence linked to a decision to restrict

:07:20. > :07:26.the flying of the Union flag at Belfast City Hall.

:07:26. > :07:30.The debris left behind after a dangerous night. Calm has returned

:07:30. > :07:35.to this part of east Belfast but the severe violence here has been a

:07:35. > :07:38.setback to the people working to end the trouble. It is almost six

:07:38. > :07:42.weeks since Belfast City Council voted to restrict the flying of the

:07:42. > :07:48.Union flag, sparking a dispute which has brought loyalists on to

:07:48. > :07:53.the street. The First Minister says violence will achieve nothing.

:07:53. > :07:56.flag is not going to go up because somebody throws a petrol bomb at a

:07:56. > :08:01.policeman. The only way forward is through the political process and

:08:01. > :08:05.we are trying to encourage people to engage in that, and bring

:08:05. > :08:09.forward channels so we can talk to people on the ground. He hoped

:08:09. > :08:13.those initiatives will find a way to stop this sort of trouble.

:08:13. > :08:19.Yesterday 29 police officers were injured, their highest casualty

:08:19. > :08:24.figure since the dispute started. Rioting broke out when loyalists

:08:24. > :08:29.walked past the nationalist area. Both sides were involved in clashes,

:08:29. > :08:33.then loyalists attacked the police with petrol bombs and stones. This

:08:33. > :08:38.week senior politicians from Belfast, Dublin and London will

:08:38. > :08:42.hold a meeting to discuss the recent trouble. The people involved

:08:42. > :08:47.believe the situation can be resolved but hopes take a hit with

:08:47. > :08:51.every night of disruption and destruction.

:08:51. > :08:56.Na year-old British girl has been shot dead while on holiday in

:08:56. > :09:03.Jamaica. Imani Green from Balham in south London was in a shop when a

:09:03. > :09:08.gunman opened fire. Several models were also injured in the attack.

:09:08. > :09:15.The court in Egypt has ordered a retrial for the country's former

:09:15. > :09:20.President Hosni Mubarak. He was overthrown in 2011 and imprisoned

:09:20. > :09:24.for failing to prevent the deaths of hundreds of demonstrators during

:09:24. > :09:31.the revolt that forced him from power. Our correspondent is in

:09:31. > :09:36.Cairo. Does this come as a surprise? Not exactly because Hosni

:09:36. > :09:40.Mubarak's lawyers have been pushing hard for this appeal, but it is not

:09:40. > :09:44.just an appeal against the life sentence that he received, but

:09:44. > :09:48.against the entire conviction and so it will be a full retrial. As

:09:48. > :09:54.one lawyer said to me, what happened before those extraordinary

:09:54. > :10:01.scenes of Hosni Mubarak appearing behind a cage in a court room, they

:10:01. > :10:04.appear for nothing now, and that has shocked the relatives of the

:10:04. > :10:08.victims of 850 or so protesters that were killed, they feel he

:10:08. > :10:14.should have got a death sentence and found guilty on the more

:10:14. > :10:18.serious charges of ordering the killings. This could backfire

:10:18. > :10:22.because he will face those charges again, but there is finally a

:10:22. > :10:25.question about his health and whether he is in no condition to

:10:25. > :10:30.face retrial because as well as the other complications he has had in

:10:30. > :10:34.terms of his health, a couple of weeks ago he slipped in prison and

:10:34. > :10:41.he is not in prison any more, he is in a military hospital because he

:10:41. > :10:46.broke his ribs. There are questions about whether he can face a retrial.

:10:46. > :10:53.That sold for now. There will be a full round up at 6 o'clock. Now,

:10:53. > :10:59.back to Andrew. So, politics is up and running

:10:59. > :11:01.again in 2013 and what's dominating? Well, coalition, Europe

:11:01. > :11:11.and maybe a Clegg fightback. Some things never change. All will

:11:11. > :11:15.

:11:15. > :11:18.Let's start with the interview with Eric Pickles, particularly on this

:11:18. > :11:23.business of whether there is any official estimates of how many

:11:23. > :11:27.Romanians and Bulgarians will come here in the year when they have the

:11:27. > :11:32.right and privileges of European membership. I think he began by

:11:33. > :11:37.saying he didn't have a figure, but then he said he did but he wouldn't

:11:37. > :11:42.tell me. It is fascinating but I don't think his position is

:11:42. > :11:48.sustainable. He said he was not confident in his figures so I

:11:48. > :11:51.interpret that as either the figures he has seen are either on

:11:51. > :11:57.realistically lope in which case the government will be slated for

:11:57. > :12:01.them, or they are terrifyingly high, in which case they also have a

:12:01. > :12:06.political problem. My colleagues in the daily papers will be scurrying

:12:06. > :12:11.around trying to get hold of the figures. The everybody remembers

:12:11. > :12:18.when it was the turn of Poland and other eastern European countries to

:12:18. > :12:23.have full membership rights, Andrew said only about 15,000 people would

:12:23. > :12:28.come, and about three-quarters of a million came. My view is that the

:12:28. > :12:32.influx of people was not a disaster, what was a disaster politically was

:12:32. > :12:36.the underestimation because it made the government seemed incompetent.

:12:36. > :12:46.It is understandable Eric Pickles would not want to make that mistake

:12:46. > :12:47.

:12:47. > :12:51.again. My question is is this figure subject to a Freedom of

:12:51. > :12:55.Information request? He began by telling me he had not had an

:12:55. > :12:59.official estimate from the Home Office, but then said the Home

:12:59. > :13:04.Office had told him nothing, then said he did have this figure. He

:13:04. > :13:08.could not have a figure unless the Home Office provided him with at

:13:08. > :13:12.least a variety of projections. That's right. Ed Miliband was

:13:12. > :13:19.saying this morning that David Cameron is in danger of sleep

:13:19. > :13:22.walking out of the European Union. He slowed me feel Eric Pickles was

:13:22. > :13:27.sleepwalking into his interview with the you. The challenge he

:13:27. > :13:32.faces is that the challenge of implementing Margaret Thatcher's

:13:32. > :13:42.vision for the enlargement of the European Union to include former

:13:42. > :13:45.

:13:45. > :13:51.members of the Warsaw pact. We did not put in seven year transitional

:13:51. > :13:56.arrangements, as we did with Poland and Hungary. To put it politely, I

:13:57. > :14:04.remember going to Bulgaria before they came in in 2007 and thinking

:14:04. > :14:11.are these people really ready? For example, you see motorcars driving

:14:11. > :14:17.the streets with police markings, and that happens because when they

:14:17. > :14:21.confiscate cars from gangsters they can turn them into police motor

:14:21. > :14:24.cars. They are geographically significant countries, very

:14:25. > :14:29.important for the trafficking of people coming into the European

:14:29. > :14:38.Union, better to have them in than out but you have a big challenge.

:14:38. > :14:45.We will see what the newspapers make of them. The Sunday Times had

:14:45. > :14:50.a story today from the guru, Steve Hilton, now out in California but

:14:50. > :14:55.used to be a key figure in Downing Street. He exposes impotent number

:14:55. > :15:02.turn. He is quite devastating, isn't he? Should we link the timing

:15:02. > :15:08.of this to Mr Hayward's appearance in the Commons last week we could

:15:08. > :15:13.not his finest hour? To be fair, I don't think Steve controlled the

:15:13. > :15:19.timing. The mean a student slipped it to you? I couldn't possibly

:15:19. > :15:24.comment. For those in the Westminster village, we neo- he

:15:24. > :15:30.became frustrated with his inability to push through the

:15:30. > :15:34.radical things he wanted to do. -- we know he became frustrated. He

:15:34. > :15:41.wants to be radical in the face of a stifling Whitehall machine and

:15:41. > :15:45.Brussels as well, and I think David Cameron must miss him. We are at a

:15:45. > :15:55.stage where the Tories need radical ideas. Every government needs a

:15:55. > :15:57.

:15:57. > :16:01.maverick. He is just not there. This is the interesting thing about

:16:01. > :16:06.the story. We know that Steve Hilton feels this way but it is not

:16:06. > :16:10.an opinion confined to him. There are Tory backbenchers and people in

:16:10. > :16:15.Downing Street who are continually frustrated with the ease at which

:16:15. > :16:23.the civil service prevails on public service reform. I want to

:16:23. > :16:26.move on to radio disc jockey. Damian McBride has just written

:16:26. > :16:31.this morning saying where is the government grid? When David Cameron

:16:31. > :16:35.came in he said he wanted fewer special advisers, one-time saying

:16:35. > :16:39.what is the policy on criminal justice? They didn't know because

:16:39. > :16:49.they didn't have proper advisers. They have increased that and they

:16:49. > :16:53.

:16:53. > :16:58.have a new policy unit but it is Nick Clegg will be doing an

:16:58. > :17:03.interview on a London radio station. But in this day and age, everybody

:17:03. > :17:06.can listen to it. He got away with the first week, but there will be

:17:06. > :17:12.some weeks when things will happen that he will just not want to talk

:17:12. > :17:21.about... Exactly, and he is also prone to various rhetorical quirks

:17:21. > :17:26.which people pick up on, like an over-reliance on cliches. Also,

:17:26. > :17:30.getting confused between debt and deficit. Doing it once, and doing

:17:30. > :17:35.it like that, is one thing, but doing it consistently is another.

:17:35. > :17:38.And even if he avoid catastrophe, I don't think he will achieve what he

:17:38. > :17:43.ultimately wants, which is it resurrection of his political

:17:43. > :17:46.popularity in the country. I do not think he has much to lose. You say

:17:46. > :17:53.it was a great success this week, and his people seemed quite happy

:17:53. > :17:57.with it. The slight problem I have is, I cannot get that image of him

:17:57. > :18:01.in that thing out of his head. He has nothing to lose. His popularity

:18:01. > :18:11.is at an all-time low, and he is quite good in those forums. He is

:18:11. > :18:15.very chatty. Week, the political commentators, we have been selling

:18:15. > :18:25.Nick Clegg for a long time - would a judicious investor may be by one

:18:25. > :18:27.

:18:27. > :18:31.at the moment?! I think indeed, he is in such a low place, the only

:18:31. > :18:35.way is up. But I think on LBC, he is much more confident. He came

:18:35. > :18:38.back after the summer, saying, I am going to differentiate myself from

:18:38. > :18:41.the Conservatives, I am not going to be afraid, I am going to say

:18:41. > :18:44.what I think. And you will see that tomorrow, when Liberal Democrat

:18:44. > :18:47.appears in the House of Lords will vote with Labour to try to defer

:18:47. > :18:51.the shrinking of the House of Commons until after the next

:18:51. > :18:54.election. The Tories are furious, there is nothing they can do, and

:18:54. > :18:58.the Liberal Democrats do need to differentiate themselves, and that

:18:58. > :19:01.is a prime example. Being on a London radio station in the morning

:19:01. > :19:05.will not change his political history, but it could be part of an

:19:05. > :19:11.overall attempt at a fight back. am of the view that nothing can

:19:11. > :19:17.change his level of popularity in the country. Isabell Oakeshott is

:19:17. > :19:25.right that he has little to lose, but the amount he has to gain is

:19:25. > :19:29.also up for question. Are we still selling, or buying? I think he will

:19:29. > :19:35.be pushed out in the end, but there is the possibility that he could be

:19:35. > :19:45.pushed out and become a national treasure. But remember, he will not

:19:45. > :19:45.

:19:45. > :19:49.be wearing that incredible hulk onesy. Well, I had no idea what one

:19:49. > :19:54.of those wars, but I do now. It is amazing what you can learn here in

:19:54. > :19:58.there was Mr village. That is all for now. We will all be back at the