26/02/2017 Sunday Politics North West


26/02/2017

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It's Sunday morning and this is the Sunday Politics.

:00:42.:00:47.

Theresa May still has plenty on her plate,

:00:48.:00:48.

not least a battle over Brexit in the Lords.

:00:49.:00:50.

But after Thursday's by-election win in Copeland,

:00:51.:00:52.

the Prime Minister looks stronger than ever.

:00:53.:00:53.

Jeremy Corbyn's Labour saw off Ukip in this week's other by-election,

:00:54.:00:56.

but losing to the Tories in a heartland seat leaves the party

:00:57.:00:59.

The leader of Scottish Labour joins me live.

:01:00.:01:09.

You look at what's happening last night in Sweden. Sweden!

:01:10.:01:14.

And Donald Trump may have been mocked for talking about the impact

:01:15.:01:17.

of migration on Sweden, but after riots in Stockholm this

:01:18.:01:20.

Should pension pots be paying for homes?

:01:21.:01:23.

Plus, a political storm in Lancashire -

:01:24.:01:24.

has party politics blown away their devolution deal?

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In London, will the rise in council tax in all but four local

:01:30.:01:32.

authorities be enough to alleviate the crisis in social care?

:01:33.:01:39.

And joining me for all of that, three journalists who I'm pleased

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to say have so far not been banned from the White House.

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I've tried banning them from this show repeatedly,

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but somehow they just keep getting past BBC security - it's Sam Coates,

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We have had two crucial by-elections, the results last

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Thursday night. It's now Sunday morning, where do they believe

:02:08.:02:12.

British politics? I think it leaves British politics looking as if it

:02:13.:02:16.

may go ahead without Ukip is a strong and robust force. It is

:02:17.:02:20.

difficult to see from where we are now how Ukip rebuilds into a

:02:21.:02:26.

credible vote winning operation. I think it looks unprofessional, the

:02:27.:02:31.

campaign they fought in Stoke was clearly winnable because the margin

:02:32.:02:35.

with which Labour held onto that seat was not an impressive one but

:02:36.:02:39.

they put forward arguably the wrong candidate, it was messy and it's

:02:40.:02:43.

hard to see where they go from here, particularly with the money problems

:02:44.:02:47.

they have and even Nigel Farage saying he's fed up of the party. If

:02:48.:02:53.

Isabel is right, if Ukip is no longer a major factor, you look at

:02:54.:02:59.

the state of Labour and the Lib Dems coming from a long way behind

:03:00.:03:04.

despite their local government by-election successes, Tories never

:03:05.:03:09.

more dominant. I think Theresa May is in a fascinating situation. She's

:03:10.:03:13.

the most powerful Prime Minister of modern times for now because she

:03:14.:03:19.

faces no confident, formidable opposition. Unlike Margaret Thatcher

:03:20.:03:23.

who in the 1980s, although she won landslides in the end, often looked

:03:24.:03:28.

like she was in trouble. She was inferred quite often in the build-up

:03:29.:03:34.

to the election. David Owen, Roy Jenkins, Shirley Williams. And quite

:03:35.:03:41.

often she was worried. At the moment Theresa May faces no formidable UK

:03:42.:03:46.

opposition. However, she is both strong and fragile because her

:03:47.:03:50.

agenda is Brexit, which I still think many have not got to grips

:03:51.:03:54.

with in terms of how complex and training and difficult it will be

:03:55.:03:59.

for her. Thatcher faced no equivalent to Brexit so she is both

:04:00.:04:05.

strong, formidably strong because of the wider UK political context, and

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very fragile. It is just when you think you have never been more

:04:10.:04:13.

dominant you are actually at the most dangerous, what can possibly go

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wrong? I think that the money of her MPs they haven't begun to think

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through the practicalities of Brexit and she does have a working majority

:04:22.:04:27.

of about 17 in the House of Commons so at any point she could be put

:04:28.:04:30.

under pressure from really opposition these days is done by the

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two wins inside the Conservative Party, either the 15 Europhiles or

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the bigger group of about 60 Brexiteers who have continued to

:04:42.:04:43.

operate as a united and disciplined force within the Conservative Party

:04:44.:04:48.

to get their agenda on the table. Either of those wings could be

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disappointed at any point in the next three and a half years and that

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would put her under pressure. I wouldn't completely rule out Ukip

:04:57.:05:02.

coming back. The reason Ukip lost in Stoke I think it's because at the

:05:03.:05:06.

moment Theresa May is delivering pretty much everything Ukip figures

:05:07.:05:12.

might want to see. We might find the phrase Brexit means Brexit quite

:05:13.:05:15.

anodyne but I think she is convincing people she will press

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ahead with their agenda and deliver the leave vote that people buy a

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slim majority voted for. Should that change, should there be talk of

:05:26.:05:29.

transition periods, shut the migration settlement not make people

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happy, then I think Ukip risks charging back up the centre ground

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and causing more problems in future. That could be a two year gap in

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which Ukip would have to survive. As I said, Ukip is on our agenda for

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today. Thursday was a big night

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for political obsessives like us, with not one but two

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significant by-elections, Ellie braved the wind and rain

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to bring you this report. The clouds had gathered,

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the winds blew at gale force. Was a change in the air, or just

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a weather system called Doris? Voters in Stoke-on-Trent

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were about to find out. It's here, a sports hall

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on a Thursday night that the country's media reckon

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is the true eye of the storm. Would Labour suffer a lightning

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strike to its very heart, or would the Ukip threat proved

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to be a damp squib? Everybody seems to think the result

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in Stoke-on-Trent would be close, just as they did 150-odd miles away

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in Copeland, where the Tories are counting on stealing another

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Labour heartland seat. Areas of high pressure in both

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places, and some strange sights. We knew this wasn't a normal

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by-election, and to prove it there is the rapper,

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Professor Green. Chart-toppers aside,

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winner of Stoke-on-Trent hit parade was announced first,

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where everyone was so excited the candidates didn't even make it

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onto the stage for the result. And I do hereby declare

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that the said Gareth Snell Nigel Farage has said that victory

:07:02.:07:04.

here in Stoke-on-Trent But Ukip's newish leader

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played down the defeat, insisting his party's

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time would come. Are you going to stand again

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as an MP or has this No doubt I will stand again,

:07:23.:07:28.

don't worry about that. The politics of hope beat

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the politics of fear. I think Ukip are the ones this

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weekend who have got But a few minutes later,

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it turned out Labour had Harrison, Trudy Lynn,

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the Conservative Party That was more than 2,000

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votes ahead of Labour. What has happened here tonight

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is a truly historic event. Labour were disappointed,

:08:04.:08:08.

but determined to be optimistic At a point when we're 15 to 18

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points behind in the polls... The Conservatives within 2000 votes

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I think is an incredible The morning after the night

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before, the losing parties were licking their wounds

:08:26.:08:30.

and their lips over breakfast. For years and years,

:08:31.:08:34.

Ukip was Nigel Farage, That has now changed,

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that era has gone. It's a new era, it is

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a second age for us. So that needs to be

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more fully embedded, it needs to be more defined,

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you know, and that will We have to continue to improve

:08:52.:08:54.

in seats where we have stood. As we have done here,

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we've improved on our 2015 result, that's what important,

:09:04.:09:05.

is that we are taking steps Can I be the first to come

:09:06.:09:08.

here today to congratulate you on being elected the new MP

:09:09.:09:13.

for Stoke on Trent Central. Jeremy Corbyn has just arrived

:09:14.:09:15.

in Stoke to welcome his newest MP. Not sure he's going to

:09:16.:09:19.

Copeland later though. Earlier in the day, the Labour

:09:20.:09:24.

leader had made clear he'd considered and discounted some

:09:25.:09:27.

theories about the party's Since you found out that you'd lost

:09:28.:09:29.

a seat to a governing party for the first time

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since the Falklands War, have you at any point this morning

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looked in the mirror and asked yourself this question -

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could the problem actually be me? In the end it was the Conservatives

:09:43.:09:47.

who came out on top. No governing party has made

:09:48.:09:54.

a gain at a by-election With the self-styled people's army

:09:55.:09:57.

of Ukip halted in Stoke, and Labour's wash-out

:09:58.:10:03.

here in Copeland... There's little chance of rain

:10:04.:10:07.

on Theresa May's parade. In the wake of that loss in

:10:08.:10:19.

Copeland, the Scottish Labour Party has been meeting for its spring

:10:20.:10:22.

conference in the Yesterday, deputy leader Tom Watson

:10:23.:10:24.

warned delegates that unless Labour took the by-election defeat

:10:25.:10:29.

seriously, the party's devastation in Scotland could be repeated

:10:30.:10:31.

south of the border. Well, I'm joined now

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by the leader of Scottish Labour, Even after your party had lost

:10:35.:10:50.

Copeland to the Tories and with Labour now trailing 16 points in the

:10:51.:10:53.

UK polls, you claim to have every faith that Jeremy Corbyn would

:10:54.:10:58.

absolutely win the general election. What evidence can you bring to

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support that? There is no doubt the result in Copeland was disappointing

:11:07.:11:08.

for the Labour Party and I think it's a collective feeling for

:11:09.:11:12.

everyone within the Labour Party and I want to do what I can to turn

:11:13.:11:15.

around the fortunes of our party. That's what I've committed to do

:11:16.:11:19.

while I have been the Scottish Labour leader. This two years ago we

:11:20.:11:25.

were down the mines so to speak in terms of losing the faith of working

:11:26.:11:29.

class communities across the country, but we listened very hard

:11:30.:11:33.

to the message voters are sending and responded to it. That's what I'm

:11:34.:11:37.

committed to doing in Scotland and that's what Jeremy Corbyn is

:11:38.:11:43.

committed to doing UK wide. The latest polls put Labour at 14% in

:11:44.:11:49.

Scotland, the Tories at ten points ahead of you in Scotland, even

:11:50.:11:55.

Theresa May is more popular than Jeremy Corbyn in Scotland. So I will

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try again - why are you so sure Jeremy Corbyn could win a general

:12:01.:12:05.

election? What I said when you are talking about Scotland is that I'm

:12:06.:12:08.

the leader of the Scottish Labour Party and I take responsibility for

:12:09.:12:13.

our policies here. Voters said very clearly after the Scottish

:12:14.:12:15.

Parliament election that they didn't have a clear enough sense of what we

:12:16.:12:19.

stood for so I have been advocating a very strong anti-austerity

:12:20.:12:23.

platform, coming up with ideas of how we can oppose the cuts and

:12:24.:12:27.

invest in our future. That is something Jeremy Corbyn also

:12:28.:12:31.

supports but I've also made it clear this weekend that we are opposed to

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a second independence referendum. I want to bring Scotland back together

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by focusing on the future and that's why I have been speaking about the

:12:42.:12:46.

federal solution for the UK. I know that Jeremy Corbyn shares that

:12:47.:12:49.

ambition because he is backing the plans for a people's Constitutional

:12:50.:12:53.

Convention. Yes, these are difficult times for the Scottish Labour Party

:12:54.:13:01.

and UK family, but I have a plan in place to turn things around. It will

:13:02.:13:06.

take time though. I'm still not sure why you are so sure the Labour party

:13:07.:13:11.

can win but let me come onto your plan. You want a UK wide

:13:12.:13:16.

Constitutional Convention and that lead to a new Federalist settlement.

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Is it the policy of the Labour Shadow Cabinet in Westminster to

:13:23.:13:28.

carve England into federal regions? What we support at a UK wide level

:13:29.:13:32.

is the people's constitutional convention. I have been careful to

:13:33.:13:36.

prescribe what I think is in the best interests of Scotland but not

:13:37.:13:39.

to dictate to other parts of the UK what is good for them, that's the

:13:40.:13:45.

point of the people's constitutional convention. You heard Tom Watson say

:13:46.:13:49.

there has to be a UK wide conversation about power, who has it

:13:50.:13:53.

and how it is exercised across England. England hasn't been part of

:13:54.:13:57.

this devolution story over the last 20 years, it is something that

:13:58.:14:02.

happened between Scotland and London or Wales and London. No wonder

:14:03.:14:07.

people in England feel disenfranchised from that. What

:14:08.:14:09.

evidence can you bring to show there is any appetite in England for an

:14:10.:14:16.

English federal solution to England, to carve England into federal

:14:17.:14:20.

regions? Have you spoken to John Prescott about this? He might tell

:14:21.:14:24.

you some of the difficulties. There's not even a debate about that

:14:25.:14:29.

here, Kezia Dugdale, it is fantasy. I speak to John Prescott regularly.

:14:30.:14:34.

What there is a debate about is the idea the world is changing so fast

:14:35.:14:38.

that globalisation is taking jobs away from communities in the

:14:39.:14:41.

north-east, that many working class communities feel left behind, that

:14:42.:14:46.

Westminster feels very far away and the politicians within it feel

:14:47.:14:49.

remote in part of the establishment. People are fed up with power being

:14:50.:14:53.

exercised somewhere else, that's where I think federalism comes in

:14:54.:14:56.

because it's about bringing power closer to people and in many ways

:14:57.:15:00.

it's forced on us because of Brexit. We know the United Kingdom is

:15:01.:15:09.

leaving the European Union so we have to talk about the repatriation

:15:10.:15:11.

of those powers from Brussels to Britain. I want many of those powers

:15:12.:15:14.

to go to the Scottish parliament but where should they go in the English

:15:15.:15:17.

context? It is not as things currently stand the policy of the

:15:18.:15:21.

English Labour Party to carve England into federal regions,

:15:22.:15:22.

correct? It is absolutely the policy of the

:15:23.:15:31.

UK Labour Party to support the people's Constitutional convention

:15:32.:15:36.

to examining these questions. I think it is really important. You're

:15:37.:15:40.

promising the Scottish people a federal solution, and you have not

:15:41.:15:44.

even squared your own party for a federal solution in England. That is

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not true. The UK Labour Party is united on this. I am going to

:15:50.:15:53.

Cardiff next month to meet with Carwyn Jones and various leaders.

:15:54.:15:58.

United on a federal solution? You know as well as I know it is not

:15:59.:16:02.

united on a federal solution. We will have a conversation about power

:16:03.:16:06.

in this country. It is not united on that

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issue? This is the direction of travel. It is what you heard

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yesterday from Sadiq Khan, from Tom Watson, when you hear from people

:16:35.:16:36.

like Nick Forbes who lead Newcastle City Council and Labour's Local

:16:37.:16:38.

Government Association. There is an appetite for talking about power.

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Talking is one thing. We need to have this conversation across the

:16:41.:16:43.

whole of the United Kingdom, to have a reformed United Kingdom. It is a

:16:44.:16:45.

conversation you're offering Scotland, not the policy. Let's come

:16:46.:16:47.

onto the labour made of London. He was in power for your conference. He

:16:48.:16:50.

wrote in the record yesterday, there is no difference between Scottish

:16:51.:16:52.

nationalism and racism. Would you like this opportunity to distance

:16:53.:16:56.

yourself from that absurd claim? I think that Sadiq Khan was very clear

:16:57.:17:00.

yesterday that he was not accusing the SNP of racism. What he was

:17:01.:17:05.

saying clearly is that nationalism by its very nature divides people

:17:06.:17:09.

and communities. That is what I said in my speech yesterday. I am fed up

:17:10.:17:14.

living in a divided and fractured country and society. Our politics is

:17:15.:17:18.

forcing is constantly to pick sides, whether you're a no, leave a remain,

:17:19.:17:24.

it brings out the worst in our politicians and politics. All the

:17:25.:17:27.

consensus we find in the grey areas is lost. That is why am standing

:17:28.:17:32.

under a banner that together we are stronger. We have to come up with

:17:33.:17:46.

ideas and focus on the future. That is why I agree with Sadiq Khan. He

:17:47.:17:51.

said quite clearly in the Daily Record yesterday, and that the last

:17:52.:17:53.

minute he adapted his speech to your conference yesterday, to try and

:17:54.:17:56.

reduce the impact, that there was no difference between Scottish

:17:57.:17:58.

nationalism and racism. Your colleague, and Sarwar, said that

:17:59.:18:02.

even after he had tried to introduce the caveats, all forms of

:18:03.:18:06.

nationalism rely on creating eyes and them. Let's call it for what it

:18:07.:18:14.

is. So you are implying that the Scottish Nationalists are racist.

:18:15.:18:18.

Would you care to distance yourself from that absurd claim? I utterly

:18:19.:18:22.

refute that that is what Sadiq Khan said. I would never suggest that the

:18:23.:18:28.

SNP are an inherently racist party. That does is a disservice. He did

:18:29.:18:33.

not see it. What he did say, however, is that nationalism is

:18:34.:18:37.

divisive. You know that better than anyone. I see your Twitter account.

:18:38.:18:42.

Regularly your attack for the job you do as a journalist. Politics in

:18:43.:18:47.

Scotland is divided on. I do not want to revisit that independence

:18:48.:18:53.

question again for that reason. As leader of the Labour Party, I want

:18:54.:18:55.

to bring our country back together, appeal to people who voted yes and

:18:56.:19:01.

no. That banner, together we are stronger, that is where the answers

:19:02.:19:05.

lie in defaulters can be found. If in response to the Mayor of London,

:19:06.:19:10.

your colleague says, let's call it out for what it is, what is he

:19:11.:19:14.

referring to if he is not implying that national symbol is racist? --

:19:15.:19:22.

and that nationalism is racist? He is saying that it leads to divisive

:19:23.:19:27.

politics. The Labour Party has always advocated that together we

:19:28.:19:30.

are stronger. Saying something is divisive is very different from

:19:31.:19:35.

saying something is racist. That is what the Mayor of London said. That

:19:36.:19:39.

is what your colleague was referring to. He did not. You would really

:19:40.:19:44.

struggle to quote that from the Mayor of London. He talked about

:19:45.:19:49.

being divided by race. What does that mean? I think he was very clear

:19:50.:19:55.

that he was talking about divided politics. There is an appetite the

:19:56.:19:59.

length and breadth of the country to end that divisive politics. That is

:20:00.:20:04.

what I stand for, focusing on the future, bringing people back

:20:05.:20:08.

together, concentrating on what the economy might look like in 20 years'

:20:09.:20:12.

time in coming up with ideas to tackle it today. Thank you for

:20:13.:20:13.

joining us. Thursday's win for Labour

:20:14.:20:15.

in Stoke-on-Trent Central gave some relief to Jeremy Corbyn,

:20:16.:20:17.

but for Ukip leader and defeated Stoke candidate Paul Nuttall

:20:18.:20:19.

there were no consolation prizes. I'm joined now by Mr Nuttall's

:20:20.:20:22.

principal political Welcome to the programme. Good

:20:23.:20:32.

morning. How long will Paul Nuttall survivors Ukip leader, days, weeks,

:20:33.:20:36.

months? You are in danger of not seeing the wood for the trees. Ukip

:20:37.:20:42.

was formed in 1993 with the express purpose, much mocked, of getting

:20:43.:20:46.

Britain out of the European Union. Under the brilliant leadership of

:20:47.:20:50.

Nigel Farage, we were crucial in forcing a vacuous Prime Minister to

:20:51.:20:54.

make a referendum promise he did not want to give. With our friends in

:20:55.:21:00.

Fort leave and other organisations. Mac we know that. Get to the answer.

:21:01.:21:06.

We helped to win that referendum. The iteration of Ukip at the moment

:21:07.:21:11.

that we're in, the primary purpose, we are the guard dog of Brexit.

:21:12.:21:16.

Viewed through that prism, the Stoke by-election was a brilliant success.

:21:17.:21:21.

A brilliant success? We had the Tory candidate that had pumped out

:21:22.:21:26.

publicity for Remain, for Cameron Bradley, preaching the gospel of

:21:27.:21:30.

Brexit. We had a Labour candidate and we know what he really felt

:21:31.:21:35.

about Brexit, preaching the Gospel according to Brexit. You lost. Well

:21:36.:21:37.

the by-election was going on, we had the Labour Party in the House of

:21:38.:21:54.

Commons pass the idea of trickling Article 50 by a landslide. Are

:21:55.:21:56.

passionate thing, the thing that 35,000 Ukip members care about the

:21:57.:21:58.

most, it is an extraordinary achievement. I am very proud. What

:21:59.:22:01.

would you have described as victory as? If we could have got Paul

:22:02.:22:03.

Nuttall into the House of Commons, that would have been a fantastic

:22:04.:22:07.

cherry on the top. Losing was an extraordinary achievement? Many Ukip

:22:08.:22:13.

supporters the Stoke was winnable, but Paul Nuttall's campaign was

:22:14.:22:19.

marred by controversy, Tory voters refuse to vote tactically for Ukip

:22:20.:22:26.

to beat Labour, his campaign, Mr Nuttall is to blame for not winning

:22:27.:22:30.

what was a winnable seat? I do not see that at all. This is

:22:31.:22:34.

counterintuitive, but Jeremy Corbyn did do one thing that made it more

:22:35.:22:39.

difficult for us to win. Fantasy. That was to take Labour into a

:22:40.:22:44.

Brexit position formerly. Just over 50 Labour MPs had voted against

:22:45.:22:50.

triggering Article 50. In political terms, we have intimidated the

:22:51.:22:53.

Labour Party into backing Brexit. How much good is it doing you? It

:22:54.:22:56.

comes to the heart of the problem your party faces.

:22:57.:23:13.

You're struggling to win Tory Eurosceptic voters. For the moment,

:23:14.:23:15.

they seem happy with Theresa May. Stoke shows you're not winning

:23:16.:23:17.

Labour Brexit voters either. If you cannot get the solution Tolisso

:23:18.:23:19.

labour, where does your Broad come from? In terms of the by-election,

:23:20.:23:22.

it came very early for Paul. I'm talking about the future. We have a

:23:23.:23:25.

future agenda, and ideological argument with Jeremy Corbyn's Labour

:23:26.:23:29.

Party, which is wedded to the notion of global citizenship and does not

:23:30.:23:34.

recognise the nation state. We know he spent Christmas sitting around

:23:35.:23:38.

campfires with Mexican Marxist dreaming of global government. We

:23:39.:23:42.

believe in the nation state. We believe that the patriotic working

:23:43.:23:45.

class vote will be receptive to that. Your Broad went down by 9% in

:23:46.:23:51.

Cortland. In Copeland we were squeezed. In Stoke, we were unable

:23:52.:23:56.

to squeeze the Tories, who are on a high. Our agenda is that social

:23:57.:24:02.

solidarity is important but we arrange it in this country by nation

:24:03.:24:06.

and community. We want an immigration system that is not only

:24:07.:24:11.

reducing... We know what you want. I do not think people do. You had a

:24:12.:24:15.

whole by-election to tell people and they did not vote for you and. When

:24:16.:24:20.

Nigel Farage said it was fundamental that you were winner in Stoke, he

:24:21.:24:25.

was wrong? Nigel chooses his own words. I would not rewrite them. It

:24:26.:24:33.

would be a massive advantage to Ukip to have a leader in the House of

:24:34.:24:36.

Commons in time to reply to the budget, Prime Minister's questions

:24:37.:24:39.

and all of that. But we have taken the strategic view that we will

:24:40.:24:42.

fight the Labour Party for the working class vote. It is also true

:24:43.:24:47.

that the Conservatives will make a pitch for the working class vote

:24:48.:24:51.

might as well. All three parties have certain advantages and

:24:52.:24:55.

disadvantages. As part of that page, Nigel Farage said that your leader,

:24:56.:25:00.

Paul Nuttall, should have taken a clear, by which I assume he meant

:25:01.:25:04.

tough, line on immigration. Do you agree? He took a tough line on

:25:05.:25:10.

immigration. He developed that idea at our party conference in the

:25:11.:25:14.

spring. Nigel Farage did not think so? Nigel Farage made his speech

:25:15.:25:18.

before Paul Nuttall made his speech. He said this in the aftermath of the

:25:19.:25:24.

result. Once we have freedom to control and Borders, Paul wants to

:25:25.:25:31.

set up an immigration system that includes an aptitude test, do you

:25:32.:25:34.

have skills that the British economy needs, but also, and attitudes test,

:25:35.:25:40.

do you subscribe to core British values such as gender equality and

:25:41.:25:45.

freedom of expression? We will be making these arguments. It is

:25:46.:25:49.

certainly true that Paul's campaign was thrown off course by,

:25:50.:25:53.

particularly something that we knew the Labour Party had been preparing

:25:54.:25:59.

to run, the smear on the untruths, the implications about Hillsborough.

:26:00.:26:02.

If you knew you should have anticipated it. Alan Banks, he helps

:26:03.:26:08.

to bankroll your party, he said that Mr Nuttall needs to toss out the

:26:09.:26:13.

Tory cabal in Europe, by which he means Douglas Carswell, Neil

:26:14.:26:16.

Hamilton. Should they be stripped of their membership? Of course not. As

:26:17.:26:22.

far as I knew, Alan Banks was a member of the Conservative Party

:26:23.:26:25.

formally. I do not know who this Tory cabal is supposed to be. He

:26:26.:26:30.

says that your party is more like a jumble sale than a political party.

:26:31.:26:34.

He says that the party should make him chairman or they will work. What

:26:35.:26:40.

do you see to that? He has made that statement several times over many

:26:41.:26:43.

months, including if you do not throw out your only MP. Douglas

:26:44.:26:48.

Carswell has managed to win twice under Ukip colours. Should Tibi

:26:49.:26:52.

chairman? I think we have an excellent young chairman at the

:26:53.:26:59.

moment. He is doing a good job. The idea that Leave.EU was as smooth

:27:00.:27:04.

running brilliant machine, that does not sit with the facts as I

:27:05.:27:07.

understand them. Suzanne Evans says it would be no great loss for Ukip

:27:08.:27:11.

if Mr Banks walked out, severed his ties and took his money elsewhere.

:27:12.:27:17.

Is she right. I am always happy people who want to give money and

:27:18.:27:20.

support your party want to stay in the party. The best donors donate

:27:21.:27:25.

and do not seek to dictate. If they are experts in certain fields,

:27:26.:27:29.

people should listen to their views but to have a daughter telling the

:27:30.:27:32.

party leader who should be party chairman, that is a nonstarter. You

:27:33.:27:38.

have described your existing party chairman is excellent. He said it

:27:39.:27:43.

could be 20 years before Ukip wins by-election. Is he being too

:27:44.:27:48.

optimistic? There is a general election coming up in the years'

:27:49.:27:52.

time. We will be aiming to win seats in that. Before that, we will be the

:27:53.:27:57.

guard dog for Brexit, to make sure this extraordinary achievement of a

:27:58.:28:02.

little party... You are guard dog without a kennel, you cannot get

:28:03.:28:06.

seat? We're keeping the big establishment parties to do the will

:28:07.:28:10.

of the people. If we achieve nothing else at all, that will be a

:28:11.:28:14.

magnificent achievement. Thank you very much.

:28:15.:28:15.

Sweden isn't somewhere we talk about often

:28:16.:28:17.

should because this week it was pulled into

:28:18.:28:21.

the global spotlight, thanks

:28:22.:28:21.

Last weekend, Mr Trump was mocked for referring to an incident that

:28:22.:28:31.

had occurred last night in Sweden as a result of the country's open

:28:32.:28:34.

Critics were quick to point out that no such incident had occurred

:28:35.:28:38.

and Mr Trump later clarified on Twitter and he was talking

:28:39.:28:40.

about a report he had watched on Fox News.

:28:41.:28:44.

But as if to prove he was onto something,

:28:45.:28:46.

next day a riot broke out in a Stockholm suburb

:28:47.:28:48.

with a large migrant population, following unrest in such areas

:28:49.:28:51.

So what has been Sweden's experience of migration?

:28:52.:29:01.

In 2015, a record 162,000 people claimed asylum there, the second

:29:02.:29:03.

That number dropped to 29,000 in 2016 after the country introduced

:29:04.:29:10.

border restrictions and stopped offering permanent

:29:11.:29:12.

Tensions have risen, along with claims of links to crime,

:29:13.:29:20.

although official statistics do not provide evidence of a refugee driven

:29:21.:29:22.

Nigel Farage defended Mr Trump, claiming this week that migrants

:29:23.:29:31.

have led to a dramatic rise in sexual offences.

:29:32.:29:34.

Although the country does have the highest reported

:29:35.:29:36.

rate of rape in Europe, Swedish authorities say recent rises

:29:37.:29:38.

were due to changes to how rape and sex crimes are recorded.

:29:39.:29:43.

Aside from the issue of crime, Sweden has struggled

:29:44.:29:46.

Levels of inequality between natives and migrants when it comes

:29:47.:29:51.

Unemployment rates are three times higher for foreign-born workers

:29:52.:29:55.

We're joined now by Laila Naraghi, she's a Swedish MP from the

:29:56.:30:07.

governing Social Democratic Party, and by the author and

:30:08.:30:10.

The Swedish political establishment was outraged by Mr Trump's remarks,

:30:11.:30:25.

pointing to a riot that hadn't taken place, then a few nights later

:30:26.:30:30.

serious riots did break out in a largely migrant suburb of Stockholm

:30:31.:30:34.

so he wasn't far out, was he? I think he was far out because he is

:30:35.:30:39.

misleading the public with how he uses these statistics. I think it is

:30:40.:30:44.

important to remember that the violence has decreased in Sweden for

:30:45.:30:48.

the past 20 years and research shows there is no evidence that indicate

:30:49.:30:51.

that immigration leads to crime and so I think it is far out. The social

:30:52.:31:00.

unrest in these different areas is not because of their ethical

:31:01.:31:04.

backgrounds of these people living there but more about social economic

:31:05.:31:10.

reasons. OK, no evidence migrants are responsible for any kind of

:31:11.:31:14.

crime? This story reminds me after what happened to the Charlie Hebdo

:31:15.:31:22.

attacks in Paris when also a Fox News commentator said something that

:31:23.:31:27.

was outlandish about Paris and the Mayor of Paris threatened to sue Fox

:31:28.:31:31.

News, saying you are making our city look bad. It's a bit like that

:31:32.:31:35.

because the truth on this lies between Donald Trump on the Swedish

:31:36.:31:40.

authorities on this. Sweden and Swedish government is very reluctant

:31:41.:31:46.

to admit any downsides of its own migration policy and particularly

:31:47.:31:49.

the migration it hard in 2015 but there are very obvious downsides

:31:50.:31:55.

because Sweden is not a country that needs a non-skilled labour force

:31:56.:32:01.

which doesn't speak Swedish. What was raised as the matter of

:32:02.:32:06.

evidence, what is the evidence? First of all if I can say so the

:32:07.:32:10.

rape statistics in Sweden that have been cited are familiar with the

:32:11.:32:13.

rape statistics across other countries that have seen similar

:32:14.:32:18.

forms of migration. Danish authorities and the Norwegian

:32:19.:32:22.

authorities have recorded a similar thing. It is not done by ethnicity

:32:23.:32:27.

so we don't know. And this is part of the problem. It is again a lot of

:32:28.:32:33.

lies and rumours going about. When it is about for example rape, it is

:32:34.:32:39.

difficult to compare the statistics because in Sweden for example many

:32:40.:32:44.

crimes that in other countries are labelled as bodily harm or assault

:32:45.:32:49.

are in Sweden labelled as rape. Also how it is counted because if a woman

:32:50.:32:54.

goes to the police and reports that her husband or boyfriend has raped

:32:55.:33:02.

her, and done it every night for one year, in Sweden that is counted as

:33:03.:33:07.

365 offences. Something is going wrong, I look at the recent news

:33:08.:33:12.

from Sweden. Six Afghan child refugees committed suicide in the

:33:13.:33:15.

last six months, unemployment among recent migrants now five times

:33:16.:33:21.

higher than among non-migrants. We have seen gang violence in Malmo

:33:22.:33:27.

where a British child was killed by a grenade, rioting in Stockholm.

:33:28.:33:31.

Police in Sweden say there are 53 areas of the country where it is now

:33:32.:33:35.

dangerous to patrol. Something has gone wrong. Let me get back to what

:33:36.:33:42.

I think is the core of this debate if I may and that is the right for

:33:43.:33:47.

people fleeing war and political persecution to seek asylum, that is

:33:48.:33:51.

a human right. In Sweden we don't think we can do everything, but we

:33:52.:33:56.

want to live up to our obligation, every country has an obligation to

:33:57.:34:00.

receive asylum seekers. But you have changed your policy on that because

:34:01.:34:05.

having taken 163,001 year alone, you have then closed your borders, I

:34:06.:34:09.

think very wisely, closed the border which means 10,000 people per day at

:34:10.:34:15.

one point were walking from Denmark in to Malmo, you rightly changed

:34:16.:34:19.

that so he realised whatever ones aspirations in terms of asylum, it

:34:20.:34:23.

sometimes meets reality and Sweden is meeting the reality of this.

:34:24.:34:30.

Let's respond to that. We are not naive, we know we cannot do

:34:31.:34:33.

everything but we want to try to do our share as we think other

:34:34.:34:37.

countries also need to do their share. But let me say that, if you

:34:38.:34:41.

look at what the World Economic Forum is saying about our country

:34:42.:34:44.

they show we are in the top of many rankings, the best country to live

:34:45.:34:49.

in, to age in, to have children in, to start into -- to start

:34:50.:34:57.

enterprise. Why have you not been so good at integrating migrants? The

:34:58.:35:04.

unemployment rate is five times higher among migrants than

:35:05.:35:08.

non-migrants and that's the highest ratio of any country in the EU and

:35:09.:35:13.

the OECD, why have you not been able to integrate the people you have

:35:14.:35:18.

brought in for humanitarian reasons? I'm sure there are things we can do

:35:19.:35:23.

much better of course but if you look for example at the immigration

:35:24.:35:26.

that came in the 90s from the Balkans, they are well integrated

:35:27.:35:31.

and contributing to our society. They are starting enterprises and

:35:32.:35:33.

working in different fields of society, and they help our country.

:35:34.:35:42.

Why have they not got jobs, the migrants that have come in? It takes

:35:43.:35:48.

time. In the 90s we managed it and I'm sure we can do it again. Can I

:35:49.:35:53.

put this into some context, it is clear Sweden has got problems as a

:35:54.:35:57.

result of the number of migrants that come in, whether it is as bad

:35:58.:36:02.

as Mr Trump and others make out is another matter, but perhaps I can

:36:03.:36:05.

put it into context. Malmo, which has been at the centre of many of

:36:06.:36:10.

these migrant problems, its homicide rate is three per hundred thousand.

:36:11.:36:17.

Chicago, 28 per 100,000. It may have problems but they are not huge. No,

:36:18.:36:23.

they are pretty huge and I think they will grow. The Balkan refugees

:36:24.:36:28.

into Sweden in the 90s did bring a lot of problems and Sweden did for

:36:29.:36:32.

the first time see serious ethnic gang rivalries. There was an upsurge

:36:33.:36:36.

in gang-related violence that has gone on since. The situation in

:36:37.:36:42.

Malmo in particular is exaggerated by some people, there's no doubt

:36:43.:36:46.

about that, I have been there many times and it is undoubtedly

:36:47.:36:49.

exaggerated by some, it is also vastly unpersuaded by the Swedish

:36:50.:36:55.

authorities. -- understated. In 2010, one in ten Jews in Malmo

:36:56.:37:05.

registered some form of attack on them. It got so bad that in 2010

:37:06.:37:15.

people offered to escort Jews... You have had a good say and I have got

:37:16.:37:19.

to be fair here, what do you say to that, Laila Naraghi? There are

:37:20.:37:25.

people trying to frame our country in a certain way to push their own

:37:26.:37:29.

agenda. I regret that President Trump is trying to slander our

:37:30.:37:36.

country. But what about the specific point on Malmo? If you speak to

:37:37.:37:39.

people in Malmo and also to different congregations, they say

:37:40.:37:44.

they are working together with the authorities to improve this. I say

:37:45.:37:48.

again, there are a lot of people trying to spread rumours and lies.

:37:49.:37:53.

Your situation is very like the situation we had in Britain when we

:37:54.:37:58.

have these situations in Rotherham and elsewhere. 1400 girls were raped

:37:59.:38:02.

in Rotherham before police even admitted it was going on. That

:38:03.:38:07.

happened in Britain in the last decade, a similar phenomenon. An

:38:08.:38:10.

upsurge in particularly sexual and other forms of violence and then

:38:11.:38:14.

total denial by an entire political class is now something that is

:38:15.:38:19.

happening in Sweden. I see it in Swedish authorities and the denial

:38:20.:38:22.

that comes up and the desire to laugh and dismiss Trump but he's not

:38:23.:38:27.

answer nothing and that's a painful thing for any society to want to

:38:28.:38:34.

admit to. There are number of Swedes who think the establishment is

:38:35.:38:41.

covering up the true statistics, that you don't break crime down by

:38:42.:38:46.

ethnic crimes, people are suspicious of the centre-left and centre-right

:38:47.:38:51.

parties now in Sweden. There is no denial and no cover-up. This is what

:38:52.:38:55.

I'm speaking about when I say people are trying to frame it in a certain

:38:56.:38:59.

way. The social unrest is not because of the ethnical background

:39:00.:39:03.

of the people living there but rather because of different

:39:04.:39:07.

socioeconomics conditions. There is no research that shows

:39:08.:39:12.

immigration... But you don't do the research into it. Swedish

:39:13.:39:15.

authorities deliberately ensure you cannot carry out such research and

:39:16.:39:19.

after the attacks in Cologne in 2015 it was the first time then that the

:39:20.:39:23.

Swedish authorities and press admitted that similar sexual

:39:24.:39:27.

molestation have been going on for years in Sweden. Is it right to

:39:28.:39:34.

think, given the problem is maybe not as bad as many people make out

:39:35.:39:39.

but clearly problems, given these problems, is the age of mass asylum

:39:40.:39:44.

seeking for Sweden over? You have cut the numbers by 80% coming in

:39:45.:39:49.

last year compared with 2015, is it over while you concentrate on

:39:50.:39:53.

getting right the people that you have there already? We want to do

:39:54.:39:58.

our share, we have done a lot and now we are concentrating of course

:39:59.:40:01.

on integration and making sure people get a job, and also

:40:02.:40:14.

on big welfare investments because it's important to remember that for

:40:15.:40:18.

eight years Sweden were governed by a government that prioritised big

:40:19.:40:20.

tax cuts instead of investment in welfare. It may just not work. I am

:40:21.:40:24.

grateful to you both, we have to leave it there.

:40:25.:40:25.

It's coming up to 11:40am, you're watching the Sunday Politics.

:40:26.:40:27.

We say goodbye to viewers in Scotland, who leave us now

:40:28.:40:30.

the Week Ahead, when we'll be asking if the Government is facing defeat

:40:31.:40:35.

will they lose out to their north west neighbours

:40:36.:40:52.

if a devolution deal's blown away?

:40:53.:40:54.

I don't want them to be able to stride up to the front door

:40:55.:40:57.

at Downing Street and sort of carve up the northern powerhouse

:40:58.:41:00.

Safe and sound here in the studio - for now, at least -

:41:01.:41:06.

are powerhouses of Lancashire's political scene.

:41:07.:41:07.

Lindsay Hoyle is the Labour MP for Chorley,

:41:08.:41:09.

and also known as the Deputy Speaker of the House of Commons.

:41:10.:41:12.

And Peter Gibson is the Conservative Leader of Wyre Council.

:41:13.:41:15.

And we start with reaction to the two by-elections this week.

:41:16.:41:22.

An historic win for the Conservatives in Copeland,

:41:23.:41:24.

where Labour had held sway for more than 80 years.

:41:25.:41:28.

But Labour did see off the challenge of the UKIP leader,

:41:29.:41:31.

and our very own North West MEP, Paul Nuttall, to hang on to Stoke.

:41:32.:41:37.

Two seats just outside our patch but there was a Greater Manchester MP

:41:38.:41:40.

running the losing Labour campaign in Cumbria.

:41:41.:41:43.

and then the Labour MP in the neighbouring constituency.

:41:44.:41:49.

We had two years and two leadership contests,

:41:50.:41:53.

and the Labour Party talking to the Labour Party and nobody else.

:41:54.:41:56.

Part of the challenge now is that we start talking

:41:57.:41:59.

to the people and reconnecting with the voters.

:42:00.:42:02.

Just because the Labour Party has been in existence for the last

:42:03.:42:06.

100 years does not mean it has a God-given right to continue

:42:07.:42:10.

existing, and the way we are going, we are facing an historic wipe-out.

:42:11.:42:19.

Copeland was a disaster for the Labour Party.

:42:20.:42:22.

It wasn't our best night but, in fairness,

:42:23.:42:24.

what you've got to say is that it was a draw, wasn't it?

:42:25.:42:27.

Well, we've managed to hold Stoke, but we lost in Copeland.

:42:28.:42:31.

So what we've got to do is revoked on why we can win in one part

:42:32.:42:35.

What I would say is it's already come out...

:42:36.:42:38.

But Copeland is a seat that's been held for 80 years

:42:39.:42:41.

I think you'll find Stoke's even longer, so take nothing away

:42:42.:42:45.

from the fact that what I'm going to come round to say

:42:46.:42:48.

is the message worked in Stoke, but obviously

:42:49.:42:50.

Did it work, or did Paul Nuttall throw it away

:42:51.:42:57.

What I would say is that the Conservatives were late coming

:42:58.:43:01.

to the table and I think that in the end Labour came

:43:02.:43:04.

Look, it was a bigger majority in Stoke than

:43:05.:43:07.

Looking at Copeland, you want a good honest answer.

:43:08.:43:10.

You cannot have a party that is divided.

:43:11.:43:13.

But Copeland is where the message on the NHS didn't come through.

:43:14.:43:16.

This is comfy territory for the Labour leader,

:43:17.:43:18.

and yet it didn't work on the doorstep.

:43:19.:43:19.

What I would say is that I'm quite shocked that you can

:43:20.:43:22.

The fact is that people will have to go to Carlisle.

:43:23.:43:26.

The sheer distance in journey, I would have thought

:43:27.:43:28.

In the end, the people of Copeland...

:43:29.:43:32.

What it does say is that the party has got to re-engage,

:43:33.:43:39.

it's got to have a clear message that people can vote for.

:43:40.:43:41.

Andrew Gwynne, one of our best campaigners, people who know

:43:42.:43:44.

the area, what they were doing was campaigning and

:43:45.:43:46.

The bottom line was, they were not going to vote Labour.

:43:47.:43:50.

Seven years of austerity, Peter, and still the Conservatives won

:43:51.:43:59.

You must have been surprised yourself.

:44:00.:44:02.

Let's not think it is 10,000, or Wigan or something.

:44:03.:44:08.

I was really pleased with the result.

:44:09.:44:10.

We had a great local candidate who fought on local issues.

:44:11.:44:14.

Lindsay talks about Cat Smith, she said, and she is quoted

:44:15.:44:16.

as saying, it was a great result for Labour.

:44:17.:44:19.

How can you lose a seat that has been there for 30 years...

:44:20.:44:22.

Sorry, since the 1930s with Labour, and you're talking

:44:23.:44:32.

about a Government in a mid-term election who have actually taken

:44:33.:44:35.

And no doubt, this battle for the Labour Party will rage on,

:44:36.:44:45.

but there's another bubbling to the surface in Lancashire.

:44:46.:44:47.

Councils in Greater Manchester and Merseyside, with Halton,

:44:48.:44:49.

have joined forces to form combined authorities.

:44:50.:44:52.

That means they're given more money and more powers.

:44:53.:44:55.

But Lancashire's 15 councils are divided.

:44:56.:44:58.

Peter Gibson's Wyre decided not to sign up,

:44:59.:45:01.

They came from China, from Switzerland, to a shiny

:45:02.:45:19.

conference on the mystical northern powerhouse.

:45:20.:45:21.

That's that thing that's nudging Northerners together in the hope

:45:22.:45:23.

It even lead to all but one of Lancashire's 15 councils

:45:24.:45:27.

of mixed colours to make one bid for devolution.

:45:28.:45:32.

The difference it's made is that leaders from all walks of life

:45:33.:45:35.

are now speaking to each other, and genuinely working on behalf

:45:36.:45:38.

Which, to be honest, hasn't happened an awful lot

:45:39.:45:41.

But, by Wednesday, were the wheels coming off?

:45:42.:45:50.

Fylde Council looked set to join Wyre in withdrawing

:45:51.:45:52.

So much for Lancashire's spirit of harmony!

:45:53.:45:57.

We have got councils drawn together with totally different outlooks,

:45:58.:46:02.

totally different political outlooks,

:46:03.:46:03.

And we can't see that one size fits all will solve any more for us

:46:04.:46:08.

Then rumours that Ribble Valley were dithering on devolution.

:46:09.:46:16.

That is the third Conservative council

:46:17.:46:17.

Especially with rumours that the Labour leader of Blackpool

:46:18.:46:23.

That's enough to make our hackles rise slightly, and it is likely that

:46:24.:46:33.

any mayor will not be of the same political persuasion as our council.

:46:34.:46:36.

By Thursday, the storm had truly hit.

:46:37.:46:39.

Doris reflecting Lancashire's darkest fears - losing out

:46:40.:46:41.

In May of this year, both Greater Manchester

:46:42.:46:48.

and Merseyside will have elected mayors with powerful mandates.

:46:49.:46:50.

I don't want them to be able to stride up to the front door

:46:51.:46:53.

at Downing Street and sort of carve up the northern powerhouse

:46:54.:46:56.

Lancashire's got to have a seat at the table,

:46:57.:47:02.

There are certainly a few lessons to be learned.

:47:03.:47:06.

The Government says there is space in the northern powerhouse for areas

:47:07.:47:09.

The question is whether they would rather focus on their own bricks

:47:10.:47:13.

and mortar, which have already been laid.

:47:14.:47:20.

Peter, if Fylde to pull which is look like they will,

:47:21.:47:23.

the deal is dead, they going to have to start from scratch.

:47:24.:47:26.

That means more economic reviews, another public consultation.

:47:27.:47:28.

Is there the appetite to go through all of that again?

:47:29.:47:31.

There wasn't a proper consultation anyway.

:47:32.:47:36.

It was something like 0.013% response to the county's proposals

:47:37.:47:45.

proposals for a combined authority in Lancashire.

:47:46.:47:50.

Fylde will pull out, the ruling party has said unanimously...

:47:51.:47:57.

Are you still certain that it's the right thing?

:47:58.:47:59.

I was at that northern powerhouse conference,

:48:00.:48:01.

and there were delegates there from China, from mainland

:48:02.:48:03.

Europe, talking about how they know now what Merseyside is.

:48:04.:48:05.

They know what Greater Manchester is.

:48:06.:48:07.

And they are investing for that reason.

:48:08.:48:09.

Is it losing out on this whole northern powerhouse thing by not

:48:10.:48:13.

I've had two meetings with Chinese consortiums,

:48:14.:48:20.

to do with putting together a power station in Thornton,

:48:21.:48:27.

Lindsay, is it time to accept that Lancashire is 15 voices

:48:28.:48:39.

It's a bit like the election result, you've got to have a united front.

:48:40.:48:50.

At the moment, we haven't got a united front.

:48:51.:48:52.

We got to come up with something that will make sure that

:48:53.:48:55.

We talk about the northern powerhouse,

:48:56.:48:58.

We've got to make sure that we're not the northern poorhouse

:48:59.:49:03.

in all this, because we are not united.

:49:04.:49:05.

We've got to put the case for Lancashire.

:49:06.:49:08.

We got to tell people we are at one, we believe in creating jobs,

:49:09.:49:18.

we believe in the future of Lancashire.

:49:19.:49:19.

Why do you want to work in a clogged-up city

:49:20.:49:22.

Your mayor goes up and knocks on the door of Whitehall and says,

:49:23.:49:27.

"I'm Mr Lancashire or Mrs Lancashire,

:49:28.:49:29.

The bottom line is, if we don't accept change,

:49:30.:49:34.

because it's not what I want, it's what the Government wants.

:49:35.:49:36.

So what's the solution if the squabbling continues?

:49:37.:49:38.

Their own report says that they won't exist after two

:49:39.:49:41.

years because of the financial Budget, we've got

:49:42.:49:43.

It's about finding the right solution for

:49:44.:49:45.

I think what we'll find is we will have a forced

:49:46.:49:52.

marriage by government, where we will do

:49:53.:49:53.

So surely we are better off creating our own marriages,

:49:54.:49:57.

and let's take Lancashire forward by working together,

:49:58.:49:59.

but in the best interests of the people we represent.

:50:00.:50:01.

But the bottom line is that there would have been a large investment

:50:02.:50:04.

coming to Lancashire, had the devolution

:50:05.:50:06.

Because of you, arguably, that's not happening.

:50:07.:50:08.

Well, that's not exactly true, and I agree with Lindsay that

:50:09.:50:11.

there's not going to be a fantastic investment in like a sure.

:50:12.:50:18.

What they don't seem to understand is that any investment that comes

:50:19.:50:22.

into Lancashire comes as not an unconditional grant.

:50:23.:50:25.

The Government will say, you have got to invest in this

:50:26.:50:35.

and invest in that, invest in the other...

:50:36.:50:37.

Do you dispute that the basic philosophy that you work better

:50:38.:50:39.

and stronger as one voice, rather than 15 separate ones?

:50:40.:50:42.

What I'm saying is it's one voice, isn't it?

:50:43.:50:47.

We have got a Chinese consortium coming into Wyre, we've got

:50:48.:50:50.

One is a ?300 million investment, the other is an ?800 million

:50:51.:50:57.

So I think we've got a fantastic opportunity there.

:50:58.:51:03.

And at the conference in Manchester that I mentioned earlier, I asked

:51:04.:51:07.

the Northern Powerhouse Minister, Andrew Percy, if devolution

:51:08.:51:09.

For us to agree devolution in a statutory test site, it must be

:51:10.:51:20.

The moment you start carving up bits,

:51:21.:51:23.

But these are local decisions to be taken by local leaders.

:51:24.:51:27.

If they choose not to progress in a particular way,

:51:28.:51:30.

If of the 15 councils, three drop out,

:51:31.:51:44.

I don't know what the position will be, but it has to be across an area,

:51:45.:51:48.

a functional economic area, and one which makes

:51:49.:51:50.

the administration of functions and powers more efficient.

:51:51.:51:52.

So once you start carving up bits, that makes that more difficult.

:51:53.:51:55.

What it is is an initiative, getting people to collaborate

:51:56.:52:00.

more within the North, with the aim of bridging

:52:01.:52:05.

that decades-long gap between the northern economy

:52:06.:52:06.

In essence, it is really how we make full potential of the North.

:52:07.:52:12.

There is a definite consensus here that the key to unlocking

:52:13.:52:15.

Northern powerhouse rail, this west to east, east to west connection.

:52:16.:52:29.

I think you want it, I can tell you want it.

:52:30.:52:32.

What I can't tell is if Chris Grayling once it

:52:33.:52:34.

The business case has to stack up and all the rest of it to attract...

:52:35.:52:42.

Well, we set up Transport for the North, given them a lot

:52:43.:52:47.

of public money to go away and look at all of this.

:52:48.:52:50.

Regardless of what the final decision is on HS3...

:52:51.:52:52.

Of course, we haven't made announcements in terms

:52:53.:52:57.

of the funding long-term, because we got to wait

:52:58.:52:59.

It would be wrong of us to just press ahead without people doing

:53:00.:53:04.

It's something that we've asked Transport for the North to look at,

:53:05.:53:11.

and we've all been very positive about that.

:53:12.:53:13.

Regardless of that, you have billions of pounds of investment

:53:14.:53:17.

going on improving that East-West connectivity anyway.

:53:18.:53:18.

The new rail franchise is bringing some of that in.

:53:19.:53:21.

So we are really clear, we want to address this East-West issue

:53:22.:53:24.

as the Cabinet keep doing, apparently.

:53:25.:53:28.

We talk about this northern powerhouse rail going from west

:53:29.:53:30.

to east or east to west, as he insisted, would that benefit

:53:31.:53:33.

Lancashire, or is that just another way that you will get left behind?

:53:34.:53:36.

The problem is it is about joining the two financial centres

:53:37.:53:39.

What we're saying is, what about Preston?

:53:40.:53:41.

What about the M65, that goes into a car park?

:53:42.:53:45.

You know, basically all that does, it must be the best

:53:46.:53:48.

superstore, Bounday Mill - it's got three lane

:53:49.:53:50.

What I'm saying is, it's about all the links, isn't it?

:53:51.:53:53.

We need a new railway east to west, or west to east.

:53:54.:53:56.

We also need the M65 to go through Leeds.

:53:57.:54:04.

We've got to give East Lancashire new purpose, drive the motorway

:54:05.:54:07.

through, rejuvenate that part of Lancashire.

:54:08.:54:12.

You know, it's not about me saying it should be all about me.

:54:13.:54:15.

It's about looking at Lancashire as a whole.

:54:16.:54:19.

We've been left out, and of course the minister is going to talk

:54:20.:54:22.

We want to talk about joining the counties in a different way.

:54:23.:54:26.

Peter, do you not think, if Leeds grows, if Manchester grows,

:54:27.:54:30.

if the biggest city conurbations grow, we do become

:54:31.:54:32.

this one northern hub, and Lancashire by proxy benefits?

:54:33.:54:34.

I think in terms of whether it be Manchester,

:54:35.:54:38.

whether it be Liverpool, Leeds, I think they are

:54:39.:54:40.

They are metropolitan areas, and they are not

:54:41.:54:43.

Lancashire has an upper tier authority, LCC,

:54:44.:54:47.

which I think both of us have our doubts about.

:54:48.:54:56.

So I think we need to look at it that way.

:54:57.:55:01.

When the Government recently told us to "get Britain building,"

:55:02.:55:07.

the response from some was, "we will - but show us the money."

:55:08.:55:10.

Among the Government's proposals were plans to attract major

:55:11.:55:12.

institutional investors - things like pension providers -

:55:13.:55:14.

But it appears one of our public pension pots is already doing

:55:15.:55:22.

just that and they have plenty of cash to play with,

:55:23.:55:25.

We know there's a housing shortage and we're told that tens

:55:26.:55:32.

of thousands of new homes are needed in the north west every year.

:55:33.:55:35.

But where are the funds to pay for them going to come from?

:55:36.:55:39.

This rented house in Gorton in Manchester was built using money

:55:40.:55:42.

from the Greater Manchester public sector pension fund.

:55:43.:55:46.

It's one of 240 that were part of a pilot to establish

:55:47.:55:50.

whether affordable housing could be a worthwhile investment.

:55:51.:55:54.

We didn't want to rent extortionate Lee high prices

:55:55.:55:57.

in Manchester city centre, we wanted somewhere

:55:58.:55:59.

that was close enough to commute into for the weekends,

:56:00.:56:01.

or whenever we needed to go in there.

:56:02.:56:05.

They were completed 18 months ago,

:56:06.:56:06.

with half for sale and half for rent.

:56:07.:56:08.

The homes sold out quickly while the landlord managing

:56:09.:56:13.

the rented properties had no problems filling them.

:56:14.:56:15.

We had tenants lined up to occupy the properties

:56:16.:56:21.

as soon as they became available, really.

:56:22.:56:23.

Under the model for the initial developments, including

:56:24.:56:25.

this one in Wythenshawe, Greater Manchester

:56:26.:56:27.

councils to give them patches of land at no initial cost.

:56:28.:56:33.

In return, they'll be helped to meet the need for new houses

:56:34.:56:36.

and they'll receive income from council tax.

:56:37.:56:39.

The pension fund is hoping to build a further 750 homes

:56:40.:56:42.

It really gives us a good return, and a safe return,

:56:43.:56:56.

That's exactly what pension funds are

:56:57.:56:59.

I know that other pension funds are looking at the

:57:00.:57:05.

Greater Manchester model, because they are

:57:06.:57:07.

seeing the success of the model.

:57:08.:57:12.

Yes, it is creating money for the Greater Manchester pension fund

:57:13.:57:15.

but more importantly, it's creating new affordable homes for people to

:57:16.:57:18.

live in in Greater Manchester and the north-west.

:57:19.:57:20.

The Greater Manchester pension pot is worth ?21 billion

:57:21.:57:22.

and it's looking to pool its money with that of the pension funds

:57:23.:57:25.

Between them, they're worth ?42 billion.

:57:26.:57:28.

The intention is to double the amount they currently put

:57:29.:57:32.

into infrastructure, which includes house building,

:57:33.:57:34.

and that could see a further ?3 billion

:57:35.:57:37.

Pensions are portfolio of investments.

:57:38.:57:40.

Some of them are in high risk my returns.

:57:41.:57:51.

Investment housing can return more than a bond can, a couple of

:57:52.:57:55.

So it's a perfectly valid part of that mix.

:57:56.:58:00.

This site in North Manchester is among those earmarked

:58:01.:58:02.

for the next phase of developments, with a prediction that sites

:58:03.:58:05.

The pension funds building 1,000 houses won't solve

:58:06.:58:08.

the housing crisis but it could be the start of them playing

:58:09.:58:11.

an increasing role in building the region's future.

:58:12.:58:12.

So that's one way of addressing the housing crisis.

:58:13.:58:16.

In Lancashire, it was said in 2009 there were almost 40,000

:58:17.:58:19.

Would you be happy for social housing to be built in Wyre?

:58:20.:58:32.

We have an arrangement in Wyre, where when a planning

:58:33.:58:34.

application comes in, we have 30% which it

:58:35.:58:37.

Is that not part of the reason you resisted devolution?

:58:38.:58:42.

So, in theory, 30% will be social housing,

:58:43.:58:48.

Developers build houses, we do not build houses.

:58:49.:58:57.

What happens is if the 30% is not viable on a site,

:58:58.:59:01.

then we look at that with the developer and see

:59:02.:59:08.

We have been talking housing now for decades,

:59:09.:59:12.

We have still got tens of thousands of people...

:59:13.:59:18.

The reality is, we've got to encourage local

:59:19.:59:20.

They used to build good quality houses, they were great landlords,

:59:21.:59:26.

and the tenant understood where they were standing

:59:27.:59:28.

What if every council leader says, "I just don't want to"?

:59:29.:59:33.

If we said to Peter, look, you've got some council owned land,

:59:34.:59:36.

here is government money, would you build some houses?

:59:37.:59:38.

When the Government offer me money, I will take a different view on it.

:59:39.:59:49.

Are you not concerned that you have an ageing population?

:59:50.:59:54.

Are you not concerned that young people will not be able to afford

:59:55.:59:57.

I think part of the problem with the housing situation

:59:58.:00:03.

is that the Government look at the south-east and London

:00:04.:00:13.

and think that's going to be the same situation throughout

:00:14.:00:15.

In the north-west, we don't have that problem.

:00:16.:00:18.

We used to have something called a regional spatial strategy.

:00:19.:00:28.

but it is an issue in other parts of Lancashire.

:00:29.:00:35.

With a roundup of what else has been going on this week,

:00:36.:00:39.

A man from Manchester blew himself up in a suicide attack in Mosul.

:00:40.:00:45.

Jamal al-Harith - originally known as Ronald Fiddler -

:00:46.:00:48.

had been paid compensation by the Government

:00:49.:00:52.

after his release from Guantanamo Bay.

:00:53.:00:55.

It shows that the red flagging of people who have

:00:56.:00:58.

terrorist connections is not as robust as it should be.

:00:59.:01:01.

Concerns over car-making at Ellesmere Port -

:01:02.:01:06.

Peugeot wants to buy Vauxhall and one of its UK plants could go.

:01:07.:01:11.

The Prime Minister is to hold talks with Peugeot's Chief Exec.

:01:12.:01:15.

There'll be a Manx Tax on sugary drinks

:01:16.:01:18.

Tynwald is also asking for suggestions on how to cut

:01:19.:01:22.

28,000 drivers have been fined for using a new bus lane

:01:23.:01:28.

Lancashire County Council says the signs are clear,

:01:29.:01:33.

And Barrow's getting ?25 million to build

:01:34.:01:38.

the new Dreadnought-class nuclear submarines.

:01:39.:01:46.

Before we go, Lindsay, I just want to ask you,

:01:47.:01:48.

as Deputy Speaker of the House, you have to go through all

:01:49.:01:51.

Obviously, it has been very interesting.

:01:52.:01:57.

Every morning, we've gone in and sat down,

:01:58.:02:03.

gone through all of the amendments that will be dealt with on the floor

:02:04.:02:06.

of the House, that's my job as Chairman of Ways and Means.

:02:07.:02:09.

So it's been really interesting, but it's been a tough time.

:02:10.:02:12.

What it's trying to do is make sure that everybody gets a voice,

:02:13.:02:15.

so not everybody can have everything they want.

:02:16.:02:17.

As long as they get something, that is what I've tried to do,

:02:18.:02:20.

make sure that nobody felt they were left out.

:02:21.:02:22.

It's a very important issue for everybody,

:02:23.:02:24.

and I wanted everybody to have a say, at least

:02:25.:02:26.

have a vote, and hopefully try and keep them semi-pleased.

:02:27.:02:29.

Of course, part of that was that we did have a little dispute.

:02:30.:02:32.

There were one or two incidents on the way.

:02:33.:02:34.

Of course, we've got the Great Reform Bill,

:02:35.:02:37.

that's going to take a lot of time up in the near future,

:02:38.:02:41.

We don't know how long will be dealing with that.

:02:42.:02:45.

It certainly felt like everybody had a say, everybody managed

:02:46.:02:47.

Do you think we got the next Speaker of the House here, Peter?

:02:48.:02:51.

What you didn't mention is that Lindsay also

:02:52.:02:56.

chairs the Budget speech, which he does fantastically well,

:02:57.:02:59.

So if Speaker Bercow does stand down next year,

:03:00.:03:04.

like he promised to do, then this is the guy

:03:05.:03:08.

This is the guy I would be voting for.

:03:09.:03:12.

Obviously, like everything, let's wait and see what happens.

:03:13.:03:20.

We will keep our eyes closely on that.

:03:21.:03:27.

That's it from us - my thanks to Peter Gibson and Lindsay Hoyle.

:03:28.:03:30.

Angela Eagle will be among the guests next week.

:03:31.:03:33.

Now I'll hand you back to Andrew in London.

:03:34.:03:38.

Welcome back. Article 50, which triggers the beginning of Britain

:03:39.:03:58.

leaving the European Union and start negotiations, is winding its way

:03:59.:04:02.

through the Lords in this coming week. Tarzan has made an

:04:03.:04:06.

intervention, let's just see the headline from the Mail on Sunday.

:04:07.:04:13.

Lord Heseltine, Michael Heseltine, my fightback starts here, he is

:04:14.:04:17.

going to defy Theresa May. I divide one Prime Minister over the poll

:04:18.:04:21.

tax, I'm ready to defy this one in the Lords over Brexit. There we go,

:04:22.:04:25.

that's going to happen this week. We will see how far he gets. I don't

:04:26.:04:31.

think he will get very far, I don't think Loyalist Tory MPs and

:04:32.:04:35.

Brexiteers are quaking in their boots at the prospect of a rebellion

:04:36.:04:40.

led by Michael Heseltine. I sense that many Tory MPs are already

:04:41.:04:45.

moving on to the next question about Brexit, and the discussion over how

:04:46.:04:49.

much it will cost us to come out. The fact they are already debating

:04:50.:04:55.

that suggests to me they feel things will go fairly smoothly in terms of

:04:56.:05:00.

the legislation. When I spoke to the Labour leader in the Lords last week

:05:01.:05:05.

on the daily politics, she said she was going to push hard for the kind

:05:06.:05:08.

of amendments Lord has all-time is talking about and they would bring

:05:09.:05:17.

that back to the Commons. But if the Commons pinged it back to the Lords

:05:18.:05:20.

with the amendments taken out, she made it clear that was the end of

:05:21.:05:27.

it. Is that right? That's about right. This is probably really a

:05:28.:05:32.

large destruction. There will be to micro issues that come up in the

:05:33.:05:37.

Lords, one is on the future of EU nationals, that could be voted on as

:05:38.:05:42.

soon as this Wednesday, and then the main vote in the Lords on a week on

:05:43.:05:46.

Tuesday, when there is this question of what sort of vote will MPs and

:05:47.:05:50.

peers get at the end of the Brexit process and that is what has

:05:51.:05:54.

all-time is talking about. He wants to make sure there are guarantees in

:05:55.:05:59.

place. The kind of things peers are looking for are pretty moderate and

:06:00.:06:03.

the Government have hinted they could deliver on both of them

:06:04.:06:09.

already. But they are still not prepared... Amber Rudd said they

:06:10.:06:13.

were not prepared... They may say yes we are going to do that but they

:06:14.:06:17.

won't allow whatever that is to be enshrined in the legislation. The

:06:18.:06:22.

question is whether we think this is dancing on the head of a pin. The

:06:23.:06:26.

Government have already promised something in the House of Commons,

:06:27.:06:29.

but will they write it down, I don't think that's the biggest problem in

:06:30.:06:34.

the world. In a sense this is a great magicians trick by Theresa May

:06:35.:06:37.

because it is not the most important thing. The most important thing in

:06:38.:06:44.

Brexit is going on in those committees behind closed doors when

:06:45.:06:46.

they are trying to work out what the next migration system is for Britain

:06:47.:06:50.

and there are some interesting, indeed toxic proposals, but at the

:06:51.:06:54.

moment Downing Street are happy to let us talk about the constitutional

:06:55.:06:58.

propriety of what MPs are doing over the next eight days. It seems to me

:06:59.:07:05.

the irony is that if we had a second chamber that can claim some kind of

:07:06.:07:09.

democratic legitimacy, which the one we have cannot, it would be able to

:07:10.:07:14.

cause the Government more trouble on this, it would be more robust.

:07:15.:07:18.

Absolutely. I saw the interview we did with the Labour Leader of the

:07:19.:07:26.

Lords, they are very conscious, of the fact they are not elected and

:07:27.:07:31.

have limited powers. She was clear to you they would not impede the

:07:32.:07:34.

timetable for triggering Article 50 so we might get a bit of theatre,

:07:35.:07:39.

Michael Heseltine might deliver a brilliant speech. It is interesting

:07:40.:07:45.

that Euroscepticism gun under Margaret Thatcher in the Tory party

:07:46.:07:50.

but two offer senior ministers Ken Clarke and Michael Heseltine are the

:07:51.:07:54.

most prominent opponents now but they will change nothing at this

:07:55.:07:58.

point. She will have the space to trigger Article 50 within her

:07:59.:08:03.

timetable. Let's move on. Let me show you a picture tweeted by Nigel

:08:04.:08:05.

Farage. That is Nigel Farage and a small

:08:06.:08:15.

group of people having dinner, and within that small group of people is

:08:16.:08:19.

the president of the United States, and it was taken in the last couple

:08:20.:08:24.

of days. This would suggest that if he can command that amount of the

:08:25.:08:30.

President's time in a small group of people, then he's actually rather

:08:31.:08:34.

close to the president. Make no mistake about it, Nigel Farage is

:08:35.:08:39.

now to and fro Washington more regularly than perhaps he is here.

:08:40.:08:46.

Hopefully that LBC programme is recorded over in the state. He's not

:08:47.:08:52.

only close to the president but to a series of people within the

:08:53.:08:55.

administration. That relationship there is a remarkable one and one to

:08:56.:09:00.

keep an eye on. Will the main government be tempted to tap into

:09:01.:09:04.

that relationship at any time or is it just seething with anger? You can

:09:05.:09:11.

feel a ripple of discontentment over this. We are in the middle of

:09:12.:09:17.

negotiating the state visit and the sort of pomp and circumstance and

:09:18.:09:21.

what kind of greeting Britain should give Donald Trump when he comes over

:09:22.:09:25.

later in the year. There is a great deal of neurotic thought going into

:09:26.:09:29.

what that should look like, but one of the most interesting things about

:09:30.:09:32.

our relationship with Donald Trump is that there is a nervousness among

:09:33.:09:36.

some Cabinet ministers that we are being seen to go too far, too fast

:09:37.:09:40.

with the prospect of a trade deal. Even amongst some Brexiteer cabinet

:09:41.:09:44.

ministers, they worry we won't get a very good trade deal with the US and

:09:45.:09:49.

we are tolerably placing a lot of stalled by it. When we see the kind

:09:50.:09:53.

of deal they want to pitch with us there might be some pulling back and

:09:54.:10:02.

that could be an awkward moment in terms of our relationship, and no

:10:03.:10:04.

doubt Nigel at that term -- at that point will accuse the UK of doing

:10:05.:10:10.

the dirty on Donald Trump. If there was a deal, would they get it

:10:11.:10:18.

through the House of Commons? Nigel Farage is having dinner with the

:10:19.:10:22.

president, not bad as a kind of lifestyle but he's politically

:10:23.:10:26.

rootless, he won't be an MEP much longer so if you look at where is

:10:27.:10:29.

his political base to build on this great time he's having, there is

:10:30.:10:34.

one. Given that there is one I think he's just having a great time and it

:10:35.:10:37.

isn't much more significant than that. No? There's a lot to be said

:10:38.:10:47.

for having a great time. You are having a great time. Let's just

:10:48.:10:56.

look, because of the dominance of the Government we kind of it nor

:10:57.:11:01.

there are problems piling up, only what, ten days with the Budget to

:11:02.:11:06.

go, piling up for Mrs May and her government. The business rates which

:11:07.:11:12.

has alarmed a lot of Tories, this disability cuts which are really a

:11:13.:11:16.

serious problem for the Government, and the desperate need for more

:11:17.:11:20.

money for social care. There are other issues, there are problems

:11:21.:11:25.

there and they involve spending money. Absolutely and some people

:11:26.:11:29.

argue Theresa May has only one Monday and that is to deliver Brexit

:11:30.:11:33.

but it is impossible as a Prime Minister to ignore everything else.

:11:34.:11:40.

And she doesn't want to either. The bubbling issue of social care and

:11:41.:11:43.

the NHS is the biggest single problem for her in the weeks and

:11:44.:11:48.

months ahead, she has got to come up with something. And Mr Hammond will

:11:49.:11:51.

have to loosen his belt a little bit. I think he will in relation to

:11:52.:11:57.

the NHS, he didn't mention it in the Autumn Statement, which was

:11:58.:12:00.

remarkable, and he cannot get away with not mentioning it this time. If

:12:01.:12:04.

he mentions it, it has to be in a positive context in some way or

:12:05.:12:08.

another and it is one example of many. She is both strong because she

:12:09.:12:11.

is so far ahead in the opinion polls, but this in tray is one of

:12:12.:12:16.

the most daunting a Prime Minister has faced in recent times I think.

:12:17.:12:22.

Here is what will happen on Budget day, money will be more money,

:12:23.:12:28.

magically found down the back of the Treasury sofa. The projections are

:12:29.:12:34.

that he has wiggle room of about 12 billion. But look at the bills,

:12:35.:12:38.

rebels involved in business rates suggest the Chancellor will have to

:12:39.:12:43.

throw up ?2 billion at that problem. 3.7 billion is the potential cost of

:12:44.:12:47.

this judgment about disability benefits. The Government will try to

:12:48.:12:51.

find different ways of satisfying it but who knows. It will not popular.

:12:52.:12:57.

I'm not sure they will throw money at the NHS, they want an interim

:12:58.:13:00.

settlement on social care which will alleviate pressure on the NHS but

:13:01.:13:04.

they feel... That's another couple of billion by the way. They feel in

:13:05.:13:11.

the Treasury that the NHS has not delivered on what Simon Stevens

:13:12.:13:16.

promised them. But here is the bigger problem for Philip Hammond,

:13:17.:13:21.

he has two This year and he thinks the second one in the autumn is more

:13:22.:13:24.

important because that is when people will feel the cost living

:13:25.:13:26.

squeeze. The Daily Politics is back at noon

:13:27.:13:28.

on BBC Two tomorrow. We'll be back here at

:13:29.:13:32.

the same time next week. Remember - if it's Sunday,

:13:33.:13:34.

it's the Sunday Politics.

:13:35.:13:41.

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