06/07/2014

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:00:35. > :00:41.Up to a million public sector workers will strike this week.

:00:42. > :00:44.It's one of the biggest walk-outs since 2010.

:00:45. > :00:46.The country's top trade unionist Frances O'Grady and

:00:47. > :00:52.Tory Business Minister Matt Hancock go head-to-head.

:00:53. > :00:55.The Tour de France seems to have cheered him up - just as well

:00:56. > :00:59.for the Deputy Prime Minister hasn't got much else to smile about.

:01:00. > :01:01.Nick Clegg joins me live from Sheffield to discuss the

:01:02. > :01:08.Just over ten weeks until Scotland determines its future.

:01:09. > :01:11.The man leading the campaign AGAINST independence, Alistair Darling,

:01:12. > :01:19.joins me from Edinburgh. In the Midlands, with property

:01:20. > :01:35.And with me throughout the show, three top-flight political

:01:36. > :01:38.journalists always ahead of the peleton - Nick Watt,

:01:39. > :01:52.They'll be tweeting faster than Tour de France cyclists can pedal.

:01:53. > :01:54.The news is dominated this morning by stories swirling

:01:55. > :01:58.around allegations of an historic Westminster paedophile ring.

:01:59. > :02:00.Concern has grown because of the disappearance of a dossier

:02:01. > :02:02.handed over to the Home Office in 1983, along with over 100 official

:02:03. > :02:05.files related to it and possibly containing details of historic child

:02:06. > :02:10.Labour is calling for a public inquiry led by a child protection

:02:11. > :02:15.But speaking earlier on The Andrew Marr Show this morning

:02:16. > :02:20.the Education Secretary Michael Gove ruled that out.

:02:21. > :02:26.The most important thing that we need to do is ensure that the due

:02:27. > :02:30.process of law pursues those who may be guilty of individual crimes and

:02:31. > :02:34.we also learn lessons about what may or may not have gone wrong in the

:02:35. > :02:37.past, but it is also important to emphasise that many of the

:02:38. > :02:42.allegations that are being made are historic. And what we do now in

:02:43. > :02:47.order to keep children safer is better and stronger than was the

:02:48. > :02:50.case when 20 or 30 years ago. Without getting into a boring

:02:51. > :02:55.tit-for-tat, public inquiry, "yes" or "no"? No. Helen, can the

:02:56. > :03:00.Government go on resisting calls for a full-scale inquiry? It is very

:03:01. > :03:03.hard. There are cynical and non-cynical reasons for calling for

:03:04. > :03:07.an inquiry. The cynical one allows you to say I can't comment on this.

:03:08. > :03:12.The non-cynical is it manages to get people to air allegations in a way

:03:13. > :03:16.that is safe. What we saw at the Leveson Inquiry was helpful, people

:03:17. > :03:20.who felt they had been shut out from justice getting a chance to tell

:03:21. > :03:24.their side of the story. A public inquiry in this case is a good idea.

:03:25. > :03:28.Labour have called for a lot of public inquiries. A list was made in

:03:29. > :03:35.2012 of how many they called for. Not only Savile, but the West Coast

:03:36. > :03:37.Main Line and breast implants. On this particular issue, the people

:03:38. > :03:41.don't trust the politicians, they don't trust the police either

:03:42. > :03:46.because they may have been complicit in a cover-up. They may not trust

:03:47. > :03:50.the Home Office who we are told some of their officials were mentioned in

:03:51. > :03:54.the dossier? That is what David Cameron is hanging on to. This is a

:03:55. > :03:57.matter now because they are alleged criminal activity, it is for the

:03:58. > :04:03.police to investigate. In that big piece in the Sunday Times, Tim

:04:04. > :04:04.Shipman reports one of the people making the allegations lives in the

:04:05. > :04:07.United States making the allegations lives in the

:04:08. > :04:10.been out to the United States to interview him. The Prime Minister

:04:11. > :04:10.would say that is how serious the police are taking it. The problem

:04:11. > :04:17.for the Prime Minister - he police are taking it. The problem

:04:18. > :04:21.allergic to big public inquiry. His finest moment was his response to

:04:22. > :04:21.the Bloody Sunday inquiry shortly after he became Prime

:04:22. > :04:35.inrequest -- that inquiry took 12 years to report. The problem is the

:04:36. > :04:41.dossier has gone missing, the files have gone missing, more allegations

:04:42. > :04:43.keep coming out either directly or indirectly. It doesn't look like it

:04:44. > :04:51.is going to go away? The fact the dossiers are missing means it is

:04:52. > :04:55.inappropriate for the Home Office to be investigating this. There is

:04:56. > :04:55.inappropriate for the Home Office to a police investigation. If after

:04:56. > :05:03.that, there are questions unanswered which can only be answered by

:05:04. > :05:03.that, there are questions unanswered public inquiry, or which require

:05:04. > :05:06.resources that can only be commanded by a public inquiry, I could see the

:05:07. > :05:12.case for going down that road. I fear that sometimes in this country

:05:13. > :05:16.we invest almost supernatural powers in what a public inquiry can do. I

:05:17. > :05:20.wonder whether there is another example of a country that goes

:05:21. > :05:24.through this stale ritual every few years of a scandal emerging, the

:05:25. > :05:28.opposition calling for an inquiry, the Government saying no and then

:05:29. > :05:32.holding the line or giving in. I don't know what we think this

:05:33. > :05:37.inquiries can do. It comes back to your point, Helen, you should be

:05:38. > :05:42.careful what you call an inquiry on so it doesn't devalue the concept.

:05:43. > :05:44.On Thursday up to a million public sector workers - including teachers,

:05:45. > :05:46.firemen and council workers - will go on strike.

:05:47. > :05:49.Their unions have differing gripes but the fact they're all striking

:05:50. > :05:51.on the same day is designed to send a strong message to the government.

:05:52. > :05:53.As the economy picks up again they're demanding an end

:05:54. > :06:00.Growth has returned strongly to the UK economy

:06:01. > :06:03.and unemployment is at its lowest level for more than five years.

:06:04. > :06:05.So why is there still talk of austerity

:06:06. > :06:10.The deficit is coming down but much more slowly than the government

:06:11. > :06:18.And accumulated deficits - the national debt -

:06:19. > :06:26.The UK is now in hock to the tune of ?1.3 trillion - and rising.

:06:27. > :06:30.In fact, we're only 40% of the way through George Osborne's planned

:06:31. > :06:33.austerity, with the chancellor now saying he won't manage to balance

:06:34. > :06:39.Unions are now rebelling against tight pay controls.

:06:40. > :06:43.Since 2010, average public sector pay, which goes to about 1 in 5

:06:44. > :06:50.Over the same period, prices increased by 16% -

:06:51. > :06:53.meaning the average public sector worker saw their pay squeezed

:06:54. > :07:01.Going head-to-head on the public sector strikes and austerity -

:07:02. > :07:04.the general secretary of the TUC Frances O'Grady, and Conservative

:07:05. > :07:24.We have seen it, public sector pay squeezed by 9% under the Coalition

:07:25. > :07:29.Government. Isn't it time to take your foot off the brake a bit? I

:07:30. > :07:34.don't think it is the right time to let go of the public finances at

:07:35. > :07:38.all. We were always clear that this is what's called a structural

:07:39. > :07:43.deficit, it doesn't go away just because the growth is returning and

:07:44. > :07:47.the economy is coming back. We have protected and are protecting the

:07:48. > :07:54.lowest paid public sector workers who weren't part of the pay freeze

:07:55. > :07:59.and now pay going up by 1%. These are difficult decisions. We have had

:08:00. > :08:04.that discussion many times. They are necessary in order to keep that plan

:08:05. > :08:08.on track and as we can see in the wider economy, it is working.

:08:09. > :08:12.People's living standards will have to continue to fall if you are in

:08:13. > :08:16.the public sector? We need to keep public spending under control and

:08:17. > :08:20.pay restraint is one of the main ways of being able... The answer is

:08:21. > :08:23.yes? The answer is this is necessary. The answer is yes, this

:08:24. > :08:26.is necessary. It isn't because we want to. We have to. This strike

:08:27. > :08:30.isn't going to change the Government's mind, is it? It does

:08:31. > :08:33.seem like the Government isn't listening. We have had years... They

:08:34. > :08:37.are listening, they just don't agree. Ordinary people, including

:08:38. > :08:41.those in the public sector, are finding it really tough. What really

:08:42. > :08:46.sticks in the throat is the idea that money can be found to give tax

:08:47. > :08:52.cuts to billionaires, to millionaires and to big

:08:53. > :08:58.corporations. But it can't be found to help 500,000 workers in local

:08:59. > :09:00.government, dinner ladies, school meal workers, lollipop men and women

:09:01. > :09:04.who are earning less than the living wage. What do you say to that? We

:09:05. > :09:08.have protected those who are the least well-paid in the public

:09:09. > :09:12.sector. But this is about a long-term... How can you? Hold on.

:09:13. > :09:16.You have said you have protected them. This involves ordinary people,

:09:17. > :09:24.many watching this programme, they have had a 1% pay rise in some cases

:09:25. > :09:30.since 2010. The average gas bill is up 57%, electric bill up 22%, food

:09:31. > :09:36.costs up 16%, running a car 11%, in what way have you protected people

:09:37. > :09:41.from spending they have to make? Firstly, you read out the average

:09:42. > :09:44.increases in public sector pay. That has had the biggest impact at the

:09:45. > :09:49.top end and those at the bottom end have been best protected, as best we

:09:50. > :09:53.could. Of course, we have also taken two million people out of income tax

:09:54. > :09:57.and increased the income tax threshold which has a big positive

:09:58. > :10:01.impact. We have frozen and then cut fuel duty, which would have been 20

:10:02. > :10:05.pence higher. I wanted to take on this point about priorities. We have

:10:06. > :10:10.got to make sure that we get the economy going at the same time and

:10:11. > :10:16.we raised more money from those at the top than we did before 2010,

:10:17. > :10:20.partly because we have encouraged them to invest. And this is a really

:10:21. > :10:25.important balance of making sure we get the books back in order, we have

:10:26. > :10:30.stability for family finances and we get the economy going. Why not

:10:31. > :10:34.spread the living wage? We know you could pay for that pay increase

:10:35. > :10:37.itself if you spread the living wage through the private sector and

:10:38. > :10:44.guarantee... The living wage being above the minimum wage? Absolutely.

:10:45. > :10:52.?7.65 in the rest of the country, ?8.80 in London. What is the answer?

:10:53. > :10:59.I'm a fan of the minimum wage. But not for public sector workers. Being

:11:00. > :11:02.able to pay low-paid workers as much as possible within the constraints

:11:03. > :11:05.of the public finances is something I have pushed very hard. The

:11:06. > :11:10.evidence we can increase the minimum wage has to be balanced which the

:11:11. > :11:18.Low Pay Commission do with the impact on the number of jobs... Even

:11:19. > :11:23.after a pay freeze for quite a while among public sector workers, they

:11:24. > :11:32.are still paid 15% on average more than those in the private sector?

:11:33. > :11:36.That is not true. It is, according to the ONS figures. I read that

:11:37. > :11:40.report this morning. If you look at the whole package, what they are

:11:41. > :11:49.saying is public service workers are worse off. Average earnings in the

:11:50. > :11:55.public sector are ?16.28 an hour compared to ?14.16 private. You are

:11:56. > :11:58.comparing apples and pears. It's the kind of jobs and the size of the

:11:59. > :12:04.workplace that people work in. They are still overall on average better

:12:05. > :12:09.off? Lower paid workers tend to be better off because unions negotiate

:12:10. > :12:17.better deals for lower paid workers. They are more unionised in the pry

:12:18. > :12:22.private sector. The public sector is worse off. This is a political

:12:23. > :12:25.strike, isn't it? There is a whole disparate range of reasons. The

:12:26. > :12:30.strike is saying that you are against this Government, that is

:12:31. > :12:33.what this is about? I this I what firefighters, local government

:12:34. > :12:37.workers and health workers who are protesting, too, alongside teachers

:12:38. > :12:41.are saying is that this Government is not listening, it is out of

:12:42. > :12:45.touch, people can't carry on having cuts in their living standards

:12:46. > :12:50.depending on benefits. When will the public sector worker ever get a real

:12:51. > :12:56.increase in their pay under a Conservative Government? Well, we

:12:57. > :13:01.certainly hope to have the books balanced by 2018. Not before then?

:13:02. > :13:06.2018 is when we hope to be able to be in surplus. It is testament...

:13:07. > :13:15.So, no real pay increase for public sector workers before 2018?

:13:16. > :13:19.Interestingly, this isn't just about the Conservatives and the Lib Dems,

:13:20. > :13:23.the Labour Party leadership have said it is a test of their

:13:24. > :13:26.credibility that they support the squeeze on public sector pay. I look

:13:27. > :13:30.forward to them, they ought to come out and say very clearly that these

:13:31. > :13:33.strikes are wrong and they are against the strikes and stop taking

:13:34. > :13:38.union money. It is a democratic right. Hold on. They are - they

:13:39. > :13:47.think the policy of pay restraint is necessary. Alright. On this point

:13:48. > :13:52.about democracy... Ask yourself why so many ordinary decent public

:13:53. > :13:59.service workers are so fed up. They have seen so many billions of pounds

:14:00. > :14:10.wasted through outsourcing to organisations like G4 S. In Unite

:14:11. > :14:17.and UNISON the turnout in this vote was under 20%. Alright. OK. One

:14:18. > :14:20.final question... Hold on. You said millions and millions voted on

:14:21. > :14:25.this... I want to ask you this question. Is the story in the Mail

:14:26. > :14:30.on Sunday today that Mr Cameron's planning a big crackdown on the

:14:31. > :14:35.unions over balloting, is that true? Well, strikes like this... I know

:14:36. > :14:39.the cases, is it true you are going to dhang the law? Strikes like this

:14:40. > :14:43.make that argument stronger. The Conservative Party is in Government

:14:44. > :14:45.on the basis of 23% of the electorate... We have run out of

:14:46. > :14:49.time. Thank you very much. "Should Scotland be

:14:50. > :14:52.an independent country?" That's the question the people of

:14:53. > :14:54.Scotland will answer in a referendum If the polls are to be believed,

:14:55. > :14:58.the voters will answer "no". But in 2011 - ten weeks before

:14:59. > :15:00.the Holyrood elections - the polls told us that Labour was going to win

:15:01. > :15:02.and look what happened there - a Alistair Darling is leading

:15:03. > :15:25.the campaign against independnence. is one that puts the matter of

:15:26. > :15:31.independence to bed for a generation. In numerical terms, what

:15:32. > :15:36.would that be? We need a decisive result in September, I think we will

:15:37. > :15:40.get that provided we get our arguments across in the next couple

:15:41. > :15:46.of months. What would it be in figures? I am not going to put a

:15:47. > :15:52.number on it. People will look at it and say, OK, you have had two and a

:15:53. > :15:57.half years of debate and Scotland has now decided. The polls may be

:15:58. > :16:01.encouraging at the moment but I am not complacent, there is still a

:16:02. > :16:07.long way to go. Speculating... If you don't want to answer that, that

:16:08. > :16:13.is fair enough. Your side claims that a vote for independence is a

:16:14. > :16:18.vote for massive uncertainty but if it is a no vote there is lots of

:16:19. > :16:21.uncertainty too. All of the Westminster parties are promising

:16:22. > :16:28.devolution but there is no timetable, no certainty. Yes, there

:16:29. > :16:34.is. For the first time I can remember, all three parties are more

:16:35. > :16:41.or less on the same page in terms of additional powers, we already have

:16:42. > :16:45.powers in terms of policing and transport, now more powers are

:16:46. > :16:53.planned in relation to tax and welfare. But you are all saying

:16:54. > :16:56.different things. Between 2009 and 2012, the three parties have

:16:57. > :17:01.slightly different proposals but they came together and there was an

:17:02. > :17:09.agreed series of reforms in relation to tax which are now on the statute

:17:10. > :17:13.book. If you go back to the devolutionary settlement in 1998,

:17:14. > :17:18.people unified around a single proposition so there is history here

:17:19. > :17:21.and these three parties have delivered and they will deliver in

:17:22. > :17:28.the event of people saying we will stay part of the UK. If Scotland

:17:29. > :17:32.vote no to independence, when will Scotland get these extra powers? I

:17:33. > :17:37.would imagine that in the general election all three parties will have

:17:38. > :17:41.something in their manifesto and you would expect to see legislation in

:17:42. > :17:45.the session of Parliament that follows that. Imagining is not

:17:46. > :17:51.certainty. Because the three parties have said this is what they will do,

:17:52. > :17:56.and it is important having said that they stick to it. If you look in the

:17:57. > :18:03.past when the Nationalists said the same thing, when they cast doubt

:18:04. > :18:07.over what would happen in 2012, we delivered. The only party that

:18:08. > :18:11.walked out of both of these discussions were the Nationalists

:18:12. > :18:16.because they are not interested in more powers, they want a complete

:18:17. > :18:21.break. You cannot say that if Edinburgh gets more devolution that

:18:22. > :18:27.wouldn't mean fewer Scottish MPs in Westminster, can you? Nobody has any

:18:28. > :18:34.plans to reduce the number of MPs. If you step back from this moment,

:18:35. > :18:37.what people have been asked to do in September is to vote on the future

:18:38. > :18:43.of their country, Scotland, and whether we should be part of the UK.

:18:44. > :18:46.When I say part of the UK, full members of the UK with

:18:47. > :18:50.representation in the House of Commons and the institutions that

:18:51. > :18:57.affect our lives. This is a critically important vote. We want

:18:58. > :19:01.to see more decentralisation of power to Scotland, and to local

:19:02. > :19:06.authorities within Scotland, but we don't want a complete break with the

:19:07. > :19:11.uncertainties, the risks and the downright disadvantages that would

:19:12. > :19:21.throw Scotland's away if we were to make that break. The economic

:19:22. > :19:39.arguments are dominating people's thinking, the polls show, that is

:19:40. > :19:42.what is dominating at the moment. You cannot guarantee continued

:19:43. > :19:49.membership of the European Union given all the talk now about an

:19:50. > :19:54.in-out UK referendum. Firstly I don't think anyone has ever argued

:19:55. > :19:58.Scotland wouldn't get back in. The big question is the terms and

:19:59. > :20:02.conditions we would have to meet and we are applying to get into

:20:03. > :20:09.something that is established, it wouldn't be a negotiation. What we

:20:10. > :20:13.have said is there is no way Europe would let Scotland keep the rebate

:20:14. > :20:20.which Scotland has, there would be big questions over whether we have

:20:21. > :20:25.to join the euro, and other terms and conditions. The European Union

:20:26. > :20:30.does not act with any great speed, on average it takes eight and a half

:20:31. > :20:34.years to get into Europe. I don't want that uncertainty or the

:20:35. > :20:41.disadvantages that would come Scotland's away that come with

:20:42. > :20:47.losing clout in the European Union. The second point you asked me about

:20:48. > :20:51.is in relation to the UK's membership of the European Union,

:20:52. > :21:01.and if you look at polls, the majority of people still want to

:21:02. > :21:06.stay in the UK. Frankly, a lot of people on my side didn't make the

:21:07. > :21:12.argument against independence for a long time, we have been doing that

:21:13. > :21:18.over the last two and a half years and we are making progress and that

:21:19. > :21:21.is why I can say I think we will win provided we continue to get our

:21:22. > :21:26.arguments across. Similarly with the European Union, the case needs to be

:21:27. > :21:33.made because it is a powerful case. Isn't it true that the Nationalists

:21:34. > :21:41.win either way? They win if it is a yes vote, and they win if it is a no

:21:42. > :21:48.vote. They wanted devolution max so they win either way. There is a

:21:49. > :21:52.world of difference between devolution and further devolution

:21:53. > :21:58.where you remain part of the UK. There is a world of difference

:21:59. > :22:02.between that and making a break, where Scotland becomes a foreign

:22:03. > :22:07.country to the rest of the UK. You lose that security and those

:22:08. > :22:16.opportunities. You lose the same currency, the opportunity with

:22:17. > :22:21.pensions and so on. They are entitled to argue this case with

:22:22. > :22:27.passion, they want a break, but the two things are worlds apart. Gordon

:22:28. > :22:31.Brown said that the no campaign was too negative, have you adjusted to

:22:32. > :22:36.take that criticism into account? Ever since I launched this campaign

:22:37. > :22:42.over two years ago I said we would make a strong powerful case for

:22:43. > :22:48.remaining part of the UK. Look at our research, where we have had

:22:49. > :22:52.warnings from people to say that if we do well with research in Scotland

:22:53. > :22:58.we get more than our population share of the grand and we gain from

:22:59. > :23:03.that. There is a positive case but equally nobody will stop me from

:23:04. > :23:07.saying to the Nationalists, look at the assertions you make which are

:23:08. > :23:11.collapsing like skittles at the moment. Their assertions don't stand

:23:12. > :23:17.up. They assert that somehow milk and honey will be flowing. It is

:23:18. > :23:23.perfectly healthy within a referendum campaign to say that what

:23:24. > :23:39.you are saying simply isn't true. You have been negative, we all know

:23:40. > :23:48.about the so-called Cyber Nats book you compared Alex Salmond to the

:23:49. > :23:53.leader of North Korea. On! The context was that Alex Salmond was

:23:54. > :23:59.being asked why it was that UKIP had additional seat and he appeared to

:24:00. > :24:05.blame television being been doing from another country, from BBC South

:24:06. > :24:14.of the border. If you cannot have humour in a debate, heaven help us.

:24:15. > :24:18.I think it is important in this debate that people from outside

:24:19. > :24:23.politics should be allowed to have their say whatever side they are on

:24:24. > :24:28.because that will make for a far better, healthier debate. Nobody

:24:29. > :24:33.should be put in a state of fear and alarm by worrying about what will

:24:34. > :24:38.happen if they stand up. Despite the nastiness, more and more people are

:24:39. > :24:46.making a stand. We have run out of time. Thank you.

:24:47. > :24:54.I will be talking to the SNP's hippity leader, Nicola Sturgeon,

:24:55. > :24:58.next week on Sunday Politics. Scotland: For Richer or Poorer will

:24:59. > :25:03.be on BBC Two at 9pm tomorrow. Disastrous results in the European

:25:04. > :25:09.elections, it is fair to say the Lib Dems are down in the doldrums. In a

:25:10. > :25:18.moment I will be speaking to Nick Clegg, but first Emily has been

:25:19. > :25:33.asking what Lib Dems would say to the Prime -- Deputy Prime Minister

:25:34. > :25:37.on Call Clegg. Our phone in this week is the challenges facing the

:25:38. > :25:41.Liberal Democrats. They are rock bottom in the polls and have dire

:25:42. > :25:46.results in the local and European elections so what can the party do

:25:47. > :25:51.to turn things around? Get in touch, we are going straight to line

:25:52. > :25:57.one and Gareth. How much is a problem of that loss of local

:25:58. > :26:01.support? It is a massive problem because those are the building

:26:02. > :26:07.blocks of our success. The councillors who gets the case work

:26:08. > :26:13.done are also the people who go out and deliver the leaflets and knock

:26:14. > :26:18.on doors. Interesting, and it is not just local support the party has

:26:19. > :26:22.lost, is it? In the next general election there are some big-name

:26:23. > :26:31.Liberal Democrat MPs standing down like Malcolm Bruce and Ming

:26:32. > :26:37.Campbell, how much of a problem will that be? That is a real challenge

:26:38. > :26:42.and we have some of our brightest and best reaching an age of maturity

:26:43. > :26:47.at the same moment so that is quite an additional test in what will be a

:26:48. > :26:52.difficult election anyway. So how does the party need to position

:26:53. > :26:58.itself to win back support? Let's go to Chris online free, has the party

:26:59. > :27:07.got its strategy right? There is always a danger of appearing to be a

:27:08. > :27:10.party that merely dilutes Labour or dilutes the Conservatives. We have a

:27:11. > :27:15.of is serious, positive messages and we need to get those across in the

:27:16. > :27:20.next election because if we don't people will vote for the Tories.

:27:21. > :27:26.Nick, what do you think of the party's message at the moment? I

:27:27. > :27:32.have had a look at early draft of our manifesto and there is some good

:27:33. > :27:37.stuff in there but the authors are probably too interested in what may

:27:38. > :27:41.think we have achieved in the last five years and not really focusing

:27:42. > :28:10.on what the voters will want to be hearing about the next five years.

:28:11. > :28:14.Perhaps they should get out more and test some of these messages on the

:28:15. > :28:17.doorstep. So you want to see the top ranks of the party on the doorstep.

:28:18. > :28:22.Gareth online one also wants to make a point about the manifesto. There

:28:23. > :28:27.is clearly a problem somewhere near the top and there are some people

:28:28. > :28:30.who seem to be obsessed with power for power's sake, and happy with a

:28:31. > :28:35.timid offer but the Liberal Democrats want to change things. We

:28:36. > :28:40.are running out of time so let's try to squeeze one more call in. What

:28:41. > :28:45.are your thoughts on the long-term future of the party? I think serious

:28:46. > :28:50.long-term danger is that the party could be relegated to the fringes of

:28:51. > :28:54.the UK and no longer being a national party. We have gone back

:28:55. > :28:57.decades if that happens because for many years we have been represented

:28:58. > :29:00.in every part of the country at some level and we have got to rescue

:29:01. > :29:04.ourselves from that. Some interesting views but we are going

:29:05. > :29:09.to have to wait until the general election next year to find out how

:29:10. > :29:14.well the Lib Dems face up to these challenges. Thanks for listening, we

:29:15. > :29:16.are going to finish with an old classic now.

:29:17. > :29:19.# I'm sorry, I'm sorry... #. Nick Clegg, welcome to the

:29:20. > :29:23.programme. I want to come onto your situation in a minute but as you

:29:24. > :29:26.will have seen in the papers, there is mounting concern over and

:29:27. > :29:28.historic Westminster paedophile ring, and files relating to it

:29:29. > :29:32.mysteriously disappearing. Why are you against a full public enquiry

:29:33. > :29:41.into this? I wouldn't rule anything out. I think we should do anything

:29:42. > :29:57.it takes to uncover this and achieve justice.

:29:58. > :30:02.delivered, even all these many years later. How do you do it? There is an

:30:03. > :30:06.inquiry in the Home Office about what's happened to these documents,

:30:07. > :30:09.serious questions need to be asked about what happened in the Home

:30:10. > :30:13.Office and those questions need to be answered. There are inquiries in

:30:14. > :30:18.the BBC, in the NHS and most importantly of all the police are

:30:19. > :30:23.looking into the places where this abuse was alleged to have taken

:30:24. > :30:29.place. All I would say is, let's make sure that justice is delivered,

:30:30. > :30:34.truth is uncovered and I think that the way to do that, as we have seen,

:30:35. > :30:37.is by allowing the police to get on with their work. You say that, but

:30:38. > :30:42.there are only seven police involved in this inquiry. There are 195

:30:43. > :30:45.involved in the hacking investigations. We can both agree

:30:46. > :30:51.that child abuse is more important and serious than hacking. The Home

:30:52. > :30:54.Office, there are reports that Home Office officials may have been

:30:55. > :31:00.mentioned in the dossier, people don't trust people to investigate

:31:01. > :31:04.themselves, Mr Clegg? No, I accept that we need to make sure that - and

:31:05. > :31:07.the police need to make sure that the police investigations are

:31:08. > :31:13.thorough, well resourced. I can't think of anything more horrendous, I

:31:14. > :31:16.can't, than powerful people organising themselves and worse

:31:17. > :31:20.still, this is what is alleged, covering up for each other to abuse

:31:21. > :31:24.the most vulnerable people in society's care - children. But at

:31:25. > :31:30.the end of the day, the only way you can get people in the dock, the only

:31:31. > :31:32.way you can get people charged, is by allowing the prosecuting

:31:33. > :31:38.authorities and the police to do their job. I have an open mind about

:31:39. > :31:42.what other inquiries take place. A number of other inquiries are taking

:31:43. > :31:45.place. I assume any additional inquiries wouldn't be able to second

:31:46. > :31:49.guess or look into the matters which the police are looking into already.

:31:50. > :31:51.All I would say is that people who have information, who want to

:31:52. > :31:55.provide information which they think is relevant to this, please get in

:31:56. > :32:00.touch with the police. Alright. Let's come on to our own inquiry

:32:01. > :32:04.into the state of the Lib Dems. You have attempted to distance yourself

:32:05. > :32:08.and the party from the Tories, but still stay in Government - it is

:32:09. > :32:14.called aggressive differentiation. Why isn't it working? It's not

:32:15. > :32:19.called aggressive differentiation. It is called "coalition". It is two

:32:20. > :32:22.parties who retain different identities, different values, have

:32:23. > :32:26.different aspirations for the future. But during this Parliament

:32:27. > :32:30.have come together because we were facing a unique national emergency

:32:31. > :32:34.back in 2010, the economy was teetering on the edge of a

:32:35. > :32:37.precipice. I'm immensely proud, notwithstanding our political

:32:38. > :32:40.challenges, which are real, I'm immensely proud that the Liberal

:32:41. > :32:43.Democrats, we stepped up to the plate, held our nerve and without

:32:44. > :32:46.the Liberal Democrats, there wouldn't now be that economic

:32:47. > :32:49.recovery which is helping many people across the country. Why

:32:50. > :32:57.aren't you getting any credit for it? Well, we won't get credit if we

:32:58. > :33:01.spend all our time staring at our navals. If it wasn't for the Liberal

:33:02. > :33:06.Democrats, there wouldn't be more jobs now available to people. They

:33:07. > :33:14.don't believe you, they are giving the Tories the credit for the

:33:15. > :33:18.recovery? Well, you might assert that, we will assert and I will

:33:19. > :33:23.shout it from the rooftops that if we had not created the stability by

:33:24. > :33:26.forming this Coalition Government and then hard-wired into the

:33:27. > :33:30.Government's plans, not only the gory job of fixing the public

:33:31. > :33:32.finances, but doing so much more fairly than would have been the

:33:33. > :33:36.case, if the Conservatives had been in Government on their own, they

:33:37. > :33:41.wouldn't have delivered these tax cuts. They wouldn't have delivered

:33:42. > :33:48.the triple lock guarantee for pensions or the pupil premium. OK.

:33:49. > :33:53.Why are you 8% in the polls? Well, because I think where we get our

:33:54. > :34:03.message across - and I am here in my own constituency - this is a

:34:04. > :34:08.constituency where I am a campaigning MP - we can dispel a lot

:34:09. > :34:12.of the information and say we have done a decent thing by going into

:34:13. > :34:16.Government and we have delivered big changes, big reforms which you can

:34:17. > :34:22.touch and see in your school, in your pensions, in your taxes and

:34:23. > :34:27.then people do support us and, in our areas of strength, we were

:34:28. > :34:29.winning against both the Conservative and Labour parties. It

:34:30. > :34:33.is a big effort. Of course, there are lots of people from both left

:34:34. > :34:37.and right who want to shout us down and want to vilify our role in

:34:38. > :34:42.Government. What we also need to do - and Nick Harvey was quite right -

:34:43. > :34:47.having been proud of our record of delivery, we also need to set out in

:34:48. > :34:53.our manifesto as we are and as we will our promise of more, of more

:34:54. > :35:01.support in schools. So why is it then... Why is it then that a Lib

:35:02. > :35:05.Dem MP in our own film says you are in danger of no longer becoming a

:35:06. > :35:11.National Party. That could be the Clegg legacy, you cease to be a

:35:12. > :35:15.National Party? I'm a practical man. I believe passionately in what we

:35:16. > :35:19.have done in politics. I am so proud of my party. I don't spend that much

:35:20. > :35:22.time speculating that the end might be nigh. There is no point in doing

:35:23. > :35:28.that. Let's get out there, which is what I do in my own constituency, in

:35:29. > :35:31.challenges circumstances and say we are proud of what we have done, we

:35:32. > :35:34.have done a good thing for the country, we have delivered more

:35:35. > :35:38.Liberal Democrat policies than the party has ever dreamed delivering

:35:39. > :35:43.before. We have a programme of change, of reform, of liberal

:35:44. > :35:46.reform, which is very exciting. Just over the last few weeks, I have been

:35:47. > :35:51.setting out our plans to provide more help to carers, to make sure

:35:52. > :35:55.teachers in every classroom are properly qualified, that all kids in

:35:56. > :36:01.school are being taught a proper core curriculum. That parts company

:36:02. > :36:04.from the ideological rigidities with which the Conservatives deal with

:36:05. > :36:09.education policy. Those are thing which speak to many of the values

:36:10. > :36:15.that people who support us... Alright. When Mike Storey gets out

:36:16. > :36:23.and about, he told this programme two weeks' ago that he finds that

:36:24. > :36:27.you "are toxic on the doorstep". Look, as everybody knows, being the

:36:28. > :36:30.leader of a party, which for the first time in its history goes into

:36:31. > :36:35.Government, which is already a controversial thing to do because

:36:36. > :36:39.you are governing with our enemies, the Conservatives, and on top of

:36:40. > :36:43.that, doing all the difficult and unpopular things to fix the broken

:36:44. > :36:46.economy which was left to us by Labour, of course as leader of that

:36:47. > :36:50.party I get a lot of incoming fire from right and left. The right say

:36:51. > :36:53.that I'm stopping the Conservatives doing what they want. There is a

:36:54. > :36:58.good reason for that. They didn't win the election. The left say that

:36:59. > :37:02.somehow we have lost our soul when we haven't. That happens day in, day

:37:03. > :37:07.out. Of course that will have some effect. My answer to that is not to

:37:08. > :37:15.buckle to those criticisms, those misplaced Chris -- criticisms from

:37:16. > :37:21.left and right, but to stand up proudly. Is it your intention to

:37:22. > :37:26.fight the next election against an in-out referendum on Europe? Yes.

:37:27. > :37:31.Unless there is major treaty change? Our position hasn't waivered, it

:37:32. > :37:34.won't waiver, we are not going to flip-flop on the issue of the

:37:35. > :37:38.referendum like the Conservatives did. We want an in-out referendum.

:37:39. > :37:41.With ve legislated for the trigger when that will happen, when in u

:37:42. > :37:46.powers are transferred to the European Union. That is what we have

:37:47. > :37:52.said for years. We legislated for that... So no change? No change.

:37:53. > :37:55.Alright. We are expecting a reshuffle shortly. Will you keep

:37:56. > :38:02.Vince Cable as Business Secretary to the election? I'm immensely proud of

:38:03. > :38:08.what Vince has done. Yes, I intend to make sure that Vince continues to

:38:09. > :38:12.serve in the Government in his present capacity Look what he has

:38:13. > :38:15.done on apprenticeships, he's done more than many people for many years

:38:16. > :38:18.to make sure we build-up manufacturing, the north here, not

:38:19. > :38:24.just the south. I'm proud of what he's done. We have talked about some

:38:25. > :38:29.heavy things. We know you have got into kickboxing. Is there any danger

:38:30. > :38:34.of you becoming a mammal - you know what I mean - a middle-aged man in

:38:35. > :38:44.Lycra! Will the Tour de France influence you? Absolutely no risk of

:38:45. > :38:49.that whatsoever having seen the Tour de France start yesterday near

:38:50. > :38:54.Leeds. I have the yellow Yorkshire sign on my pullover. I will see them

:38:55. > :38:58.later whisk through my constituency. I will not try to emulate them. I'm

:38:59. > :39:02.sure that is to the relief of a grateful nation. Thank you.

:39:03. > :39:05.It's just gone 11.35, you're watching the Sunday Politics.

:39:06. > :39:09.We say goodbye to viewers in Scotland who leave us now

:39:10. > :39:11.for Sunday Politics Scotland. Coming up here in 20 minutes,

:39:12. > :39:19.the Week Ahead. First

:39:20. > :40:41.We need urgent action to tackle this housing shortage. People are being

:40:42. > :40:47.priced out, those on low incomes but also on Middle England 's.

:40:48. > :40:50.A precise example of a failing market crying out for the

:40:51. > :40:56.intervention of a future Labour Government. We have many schemes to

:40:57. > :41:02.help people buy their own home. This is a volatile market where supply

:41:03. > :41:09.has fallen back massively. That happened in 2008. The market went

:41:10. > :41:13.from boom to massive bust, and this Government is rebuilding once again.

:41:14. > :41:16.1920s. OK. To be continued ` we've set the

:41:17. > :41:19.scene there, because the big idea behind the Housing Federation's

:41:20. > :41:21.campaign is that house building here is failing to keep pace with

:41:22. > :41:24.population growth, while wages are lagging ever further behind housing

:41:25. > :41:27.costs. The average deposit for anyone hoping to buy here is now

:41:28. > :41:30.more than ?30,000. And last year only around 9,000 homes were built

:41:31. > :41:33.here, that's one of the lowest totals in any English region. Our

:41:34. > :41:36.BBC Shropshire political reporter Joanne Gallacher, has been talking

:41:37. > :41:37.to some of the people hardest hit when supply and demand go their

:41:38. > :41:47.separate ways. Lizz Wright can't afford to get on

:41:48. > :41:49.the property ladder, so after months of renting she's moved her family in

:41:50. > :42:03.with her mum and dad in Birmingham. It is difficult after living on your

:42:04. > :42:08.own and obviously having children, but we thought long and hard and

:42:09. > :42:12.thought a year would fly by. Hopefully we could have got the

:42:13. > :42:17.deposit. In recent years has prices have

:42:18. > :42:23.risen by 56% in the West Midlands. Three bedroomed houses in the Kings

:42:24. > :42:27.Heath area can cost up to a quarter of a quarter of ?1 million. With two

:42:28. > :42:32.children under three, it has been difficult to say for a deposit.

:42:33. > :42:38.We saved as much as possible but didn't seem to be getting anywhere.

:42:39. > :42:44.We were dipping into the savings with birthdays and Christmas is.

:42:45. > :42:49.Part of the problem is a shortage of new homes. That is something they

:42:50. > :42:55.are addressing at Telford in Shropshire where the local authority

:42:56. > :42:58.is keen to expand. The past year saw nearly 900 homes built in the

:42:59. > :43:05.borough. Building houses gives more

:43:06. > :43:12.incomplete counsel for its Budget `` income to the council. And I think

:43:13. > :43:16.it is important for the country, we need growth points that drive the

:43:17. > :43:21.British economy forward. But getting on the property ladder

:43:22. > :43:26.is not cheap. The average deposit needed is in `` is around ?35,000,

:43:27. > :43:31.the average house costs around ?173,000.

:43:32. > :43:37.Building new homes might seem the simple solution to the problem, but

:43:38. > :43:40.finding the land to put them on is often difficult and controversial.

:43:41. > :43:45.One MP whose constituency is next to Telford has objectives ``

:43:46. > :43:49.objections. I am concerned about the urban

:43:50. > :43:55.sprawl, and that there may be secret plans for the council to want a

:43:56. > :44:00.city. If they want city status I think there needs to be a public

:44:01. > :44:02.consultation. What we don't need is city status through the back door

:44:03. > :44:09.which means bulldozing over greenfield sites.

:44:10. > :44:10.For this family, the drive for more affordable homes cannot come soon

:44:11. > :44:14.enough. with her mum and dad in Birmingham.

:44:15. > :44:17.Joanne Gallacher there, on what certainly looks, Mark, like a very

:44:18. > :44:20.vicious vicious circle where you've got a housing crisis which is

:44:21. > :44:23.driving prices and rentals up, which in turn is making the housing crisis

:44:24. > :44:28.worse, and people like Lizz there are sort of absolutely stuck.

:44:29. > :44:34.We do understand people are finding it difficult, so it is a pity that

:44:35. > :44:39.your film crew were not able to come over to rugby were my constituents

:44:40. > :44:47.have just bought their very first house using the Government's Help to

:44:48. > :44:51.Buy scheme. I met them at the weekend, and they could buy with a

:44:52. > :45:01.5% deposit, which meant only saving ?9,000. Their first home cost

:45:02. > :45:06.?160,000 on a Brownfield site. But in the first nine months only 17,000

:45:07. > :45:14.homes were purchased in this way, which is welcome, but it is a drop

:45:15. > :45:19.in the bucket. 55% of the people who are taking up Help to Buy our

:45:20. > :45:25.first`time buyers, and we have 108 people in rugby who have benefited.

:45:26. > :45:30.In Wolverhampton there are 100s to people have benefited. There is a

:45:31. > :45:35.scheme here which is helping young people to achieve their dream of

:45:36. > :45:39.getting their own home. It is making a dent on the problem.

:45:40. > :45:45.Successive governments of difficult political colours have had different

:45:46. > :45:53.schemes, but help to build `` helped needs to be much `` matched by a

:45:54. > :45:59.help to build. There is a market where there is problems with land

:46:00. > :46:03.supply but also dominance of the big house`builders. We have urged the

:46:04. > :46:07.Government to make sure that the smaller house`builders are helped by

:46:08. > :46:11.into the market. We have encouraged a guarantee that for small builders

:46:12. > :46:21.`` because we are seeing a shortage in supply. Very small numbers being

:46:22. > :46:23.built. 450,000 new homes were built in the past four years. If you talk

:46:24. > :46:29.to builders right now they are operating flat out. There are

:46:30. > :46:36.shortages of material because in 2008 many production companies came

:46:37. > :46:50.into difficulties. One of the things we have done is modified applying ``

:46:51. > :46:55.planning system so that it is incumbent on local authorities ``

:46:56. > :46:59.communities can determine where development takes places. `` takes

:47:00. > :47:05.place. Your constituency is not 1 million

:47:06. > :47:14.miles from Telford. How would you feel about enlarging Telford? Tough

:47:15. > :47:19.it is a very successful new town which was started some decades ago.

:47:20. > :47:23.`` Telford. They have continued to build new homes for people but keep

:47:24. > :47:29.green spaces in between those different developments. We have only

:47:30. > :47:36.built on 9% of land in England, we have the land for significant

:47:37. > :47:40.numbers of homes, and housing starts are falling off according to

:47:41. > :47:43.documents seen this week from the Government's own department. What we

:47:44. > :47:48.need is determination by Government, leadership by Government and for the

:47:49. > :47:54.house`builders to really step up to the mark both big and small

:47:55. > :48:00.house`builders. Labour has broached an idea of a cap

:48:01. > :48:03.on rent increases in the private sector. David Cameron said you were

:48:04. > :48:11.on record as saying this was not going to work. I am against

:48:12. > :48:14.introducing 1970s rent control. We are suggesting that families and

:48:15. > :48:20.couples and people now settled in the private rented sector, renting

:48:21. > :48:24.from a private landlord, should have three`year tenancies, and at the end

:48:25. > :48:30.of the first and second year they would be a cap on the increase of

:48:31. > :48:35.those rounds. That is a metaphor agreement between and tenants. We

:48:36. > :48:42.have a new area `` era of buy to let landlords. It doesn't need

:48:43. > :48:49.legislation. Families don't have that peace of mind at the start of

:48:50. > :48:53.their tenancy. The private rented sector is providing a useful role

:48:54. > :48:57.for people who want to be mobile and those wanting to get into owner

:48:58. > :49:01.occupation. It is not fit for purpose, I am afraid.

:49:02. > :49:05.are sort of absolutely stuck. All right, well, clearly I think we

:49:06. > :49:08.could go on all afternoon with this ? for the moment, thank you very

:49:09. > :49:10.much indeed. Well, a weekend of commemorative events is marking the

:49:11. > :49:13.100th anniversary of the death of the man widely regarded as the

:49:14. > :49:15.father of local government. Joseph Chamberlain turned Birmingham City

:49:16. > :49:18.Council into such a powerful presence that he left a lasting

:49:19. > :49:21.impression to this day. But is local government now about to undergo an

:49:22. > :49:23.equally fundamental upheaval? Next year, councils must make savings

:49:24. > :49:26.equivalent to 12.5% off their budgets because of a ?5.8 billion

:49:27. > :49:29.funding gap. Well, it's against this background that the leader of Dudley

:49:30. > :49:32.Council, David Sparks, takes over as the Chairman of the Local Government

:49:33. > :49:34.Association which speaks for 400 councils across England and Wales.

:49:35. > :49:36.Well, when I joined him in the council house I began by suggesting

:49:37. > :49:56.he was picking up a poisoned Chalice.

:49:57. > :50:01.We are in a very difficult period for local Government, but there is

:50:02. > :50:06.an opportunity with the General Election to influence all of the

:50:07. > :50:08.parties' manifestoes. You have said local authorities should stop

:50:09. > :50:15.moaning from the sidelines and work together on what sounds like a

:50:16. > :50:18.pretty radical shake`up of local Government finance including maybe

:50:19. > :50:23.hanging onto the proceeds of the local business rate. Is this

:50:24. > :50:27.achievable given the track record of successive governments in holding

:50:28. > :50:29.onto the power and money centrally? We don't need their current degree

:50:30. > :50:37.of centralisation. And we are of centralisation. And we are

:50:38. > :50:44.producing a group went for whatever Government is formed after 2015. ``

:50:45. > :50:48.a blueprint. We can argue that greater devolution than to local

:50:49. > :50:52.authorities is a more economic and efficient way of delivering public

:50:53. > :50:57.services. As the first Labour chairman of the LGA for ten years,

:50:58. > :51:03.are you saying to me that as a Labour chairman you will be as

:51:04. > :51:06.assiduous on behalf of issues raised by Conservative councils as you will

:51:07. > :51:13.with those raised by the Labour counterparts? Absolutely. Where we

:51:14. > :51:20.need to change is that the LGA needs to be far more astute in using the

:51:21. > :51:26.group leaders, the different parties, given that we are a hard

:51:27. > :51:32.organisation, to pursue party aims. `` hon. So that we cannot being ``

:51:33. > :51:37.be accused of just having a consensus around the lowest common

:51:38. > :51:44.denominator. There is talk at the moment about the wider city region

:51:45. > :51:46.to mention, thinking for example of Greater Birmingham. Where do you

:51:47. > :51:54.stand on this point from the tooth partly of Dudley and also from the

:51:55. > :51:59.LGA's position? In the West Midlands if we don't have an organisation

:52:00. > :52:03.similar to greater Manchester, we will suffer internationally because

:52:04. > :52:08.we are in global competition. Clearly individual local authorities

:52:09. > :52:13.cannot deliver all of those services within their boundaries any more. In

:52:14. > :52:20.the Black Country, the boundaries are ridiculous. My own ward is

:52:21. > :52:33.indistinguishable from Cradley Heath. In years to come when people

:52:34. > :52:37.look back on your chairmanship, what do you want your defining themes,

:52:38. > :52:43.your legacy, to be seen as? I would have hoped that by the time I step

:52:44. > :52:48.down, the role of local Government will once again be entrenched in the

:52:49. > :52:52.Constitution of the country. But people will realise that local

:52:53. > :52:58.Government is not a branch of central Government, but it exists in

:52:59. > :53:03.its own right. I would hope that we will be a viable organisation on our

:53:04. > :53:13.own, like we used to be, but not determined `` to `` it is the case

:53:14. > :53:21.that in effect local councils are still operating on a 19th century

:53:22. > :53:23.model. We are now in the 21st century, everything has changed, and

:53:24. > :53:29.we need to change. I wonder what Joseph Chamberlain

:53:30. > :53:35.would think? David Sparks takes over just as over 1 million public sector

:53:36. > :53:39.workers prepared to go on strike on Thursday, so he is right in at the

:53:40. > :53:43.deep end. The LGA say they're disappointed about the strike. You

:53:44. > :53:49.disappointed? I would urge both parties to get back round the table,

:53:50. > :53:53.it is not fair on families with children, the children are not going

:53:54. > :53:58.to be going to school as a result of these strikes this week coming, and

:53:59. > :54:01.it will be tough for everybody involved. I would rather the

:54:02. > :54:07.Government and trade unions can avoid the strike. With the main

:54:08. > :54:10.public sector unions all lining up together, are getting towards the

:54:11. > :54:18.time for beer and sandwiches at under ten? I don't think these trade

:54:19. > :54:24.unions should be striking, there is much more negotiation that can be

:54:25. > :54:29.done. People rely on these services. They strike should be a matter of

:54:30. > :54:33.complete and at a last resort. I do not get any feeling that

:54:34. > :54:40.negotiations have been taken as far as they can be. We have had some

:54:41. > :54:43.difficult years, but there has been massive restraint across all of the

:54:44. > :54:49.public sector. I think people need to be patient and we need to get our

:54:50. > :54:53.economy growing again, then we will be able to have the revenue and

:54:54. > :54:57.income to affect the kind of increases people might like to have.

:54:58. > :55:00.If Labour come in, you will not be able to walk away from the restraint

:55:01. > :55:04.that goes with austerity because you will still have the devastating

:55:05. > :55:11.destruction `` deficit reduction strategies. What is disappointing

:55:12. > :55:15.about what has happened to local Government under this Government is

:55:16. > :55:18.that although David Cameron before the last General Election said local

:55:19. > :55:24.Government was the most efficient part of the public sector, he went

:55:25. > :55:26.on to subject local Government to the biggest cuts in the public

:55:27. > :55:31.sector, and what seems to be happening is that this Tory led

:55:32. > :55:35.Government is saying to local Government, only do what you need to

:55:36. > :55:40.do, and David Sparkes and his predecessor have both said there are

:55:41. > :55:43.some councils which will not be viable given the scale of the cuts

:55:44. > :55:50.they are being subjected to. He is obviously in terms of a

:55:51. > :55:54.radical reform agenda for local Government seeing the General

:55:55. > :55:59.Election as an opportunity of working his way into the manifestoes

:56:00. > :56:04.of your parties in terms of the structures and a revamp of local

:56:05. > :56:11.Government. We all want to see local Government work better, but we will

:56:12. > :56:16.not have a top`down reorganisation with regional assemblies. People did

:56:17. > :56:20.not want that, and we have allowed those local authorities who want to

:56:21. > :56:24.work together to get together and work together. A great example is

:56:25. > :56:29.the local enterprise partnerships. Coventry City in the middle of

:56:30. > :56:30.Warwickshire, and we have two authorities coming together and

:56:31. > :56:35.working in the best interests of all working in the best interests of all

:56:36. > :56:40.the residents of that area, able to drive forward economic growth. Let

:56:41. > :56:42.us let authorities work together in the best interests of their

:56:43. > :56:49.residence rather than governments saying we know best. Is it time for

:56:50. > :57:02.something like Greater Birmingham, a city region? Speaking as a black

:57:03. > :57:08.country MP. I don't feel part of Greater Birmingham, but I agree with

:57:09. > :57:10.Mark that I would like to see a greater number of local authorities

:57:11. > :57:16.in specific areas working more closely together. Great and is is an

:57:17. > :57:26.example where there is real collaboration. Brush Mike `` greater

:57:27. > :57:31.Manchester. Greater Manchester shows it can be done. Let us hope the

:57:32. > :57:32.authorities in and around Birmingham and the Black Country can get

:57:33. > :57:48.together. he was picking up a poisoned

:57:49. > :57:51.Well, let's catch up now with some of the other political developments

:57:52. > :57:55.making the news here over the past week. Our roundup in 60 seconds is

:57:56. > :57:56.brought to us today by BBC Coventry and Warwickshire's Drivetime

:57:57. > :57:59.presenter, Phil Upton. It's Coventry City Council 1,

:58:00. > :58:02.Coventry City Football Club 0, after a judge ruled it was legal for the

:58:03. > :58:04.authority to loan ?14 million of public money to the owners of the

:58:05. > :58:07.Ricoh Arena. The sale of the NEC Group is moving

:58:08. > :58:10.closer, with strong interest reported from potential bidders.

:58:11. > :58:12.Birmingham City Council put it up for sale in March.

:58:13. > :58:14.A campaign's begun to delay elections for a new West Midlands

:58:15. > :58:17.police and crime commissioner until September. The sudden death of Bob

:58:18. > :58:21.Jones prompted a flood of tributes. The most important thing for him was

:58:22. > :58:24.being the voice of the community ? not his voice, he said "My voice is

:58:25. > :58:31.not important, it's what the people want." And that's public service.

:58:32. > :58:34.Telford and Wrekin Council wants to borrow ?120 million to help

:58:35. > :58:37.Donnington's bid to become the main supply base for the armed forces.

:58:38. > :58:40.And primary schools in Coventry could be left out of pocket, by the

:58:41. > :58:43.new free school meal policy. The Government's given the council

:58:44. > :58:56.nearly ?1 million to pay for it, but they say the cost is ?2 million.

:58:57. > :59:01.We have since heard that campaign for a delay to the Police

:59:02. > :59:06.Commissioner by`election has failed. It will take place on Thursday 21st

:59:07. > :59:14.August. There does have to be an issue around the timing in terms of

:59:15. > :59:19.turnout during August, but also the question of sensitivity so soon

:59:20. > :59:24.after Bob Jones's death. Bob Jones was not only a colleague but a dear

:59:25. > :59:29.friend, and I think it is disrespectful that a couple of

:59:30. > :59:32.people have urged the rest of the region to rush into this. People in

:59:33. > :59:38.Wolverhampton are still reeling from what has happened. He was a

:59:39. > :59:43.councillor for decades, he dedicated his life to public service. His wife

:59:44. > :59:47.and family feel it has been disrespectful that there has been

:59:48. > :59:51.this rush by these two individuals to bring forward the by`election. I

:59:52. > :59:56.think it is incredibly disrespectful. On the question of

:59:57. > :00:02.turnout, the danger from your Government's want of you is it is

:00:03. > :00:05.bound to be seen as a referendum on the success or failure of Police and

:00:06. > :00:14.Crime Commissioners. `` point of view. Turnout will be low. There

:00:15. > :00:19.should be some deferral. I noticed in the tributes that

:00:20. > :00:22.adjectives like kind, intelligent and unassuming where some of the

:00:23. > :00:28.adjectives applied. Not usually the kind of urging lives applied to

:00:29. > :00:34.party politicians. I didn't know Bob, he I know he was an excellent

:00:35. > :00:41.Police and Crime Commissioner and I'm sure he will sorely missed. He

:00:42. > :00:46.was incredibly warm and generous, and he always wanted to do the right

:00:47. > :00:51.thing. He was wanted to serve the community in which he lived. I hope

:00:52. > :00:55.we can remember him for the good things he did. I really regret the

:00:56. > :01:00.that this has happened, and that even before his funeral, even before

:01:01. > :01:04.we have had a chance to take in what happened, it was a very sudden,

:01:05. > :01:10.tragic death and a loss to all of us.

:01:11. > :01:15.If we can turn to free school meals, the Liberal Democrats pushed

:01:16. > :01:19.for this one in Coventry. Do you think your Coalition partner has got

:01:20. > :01:24.that from? George Osborne made sure funds were available. If Coventry

:01:25. > :01:30.don't think they are getting enough money, it's as like their local MPs

:01:31. > :01:35.need to be telling them what is needed. `` telling the Treasury. I

:01:36. > :01:43.would like to see covered to make the case.

:01:44. > :01:47.`` Coventry. Finally from me, the redistribution

:01:48. > :01:52.of wealth. You may remember Hereford's Conservative MP Colin for

:01:53. > :01:57.it in our programme two weeks ago because Herefordshire, Coventry and

:01:58. > :02:02.Stoke councils have all become embroiled in the finances of the

:02:03. > :02:05.local football clubs. Now, the Labour MP for Birmingham Hall Green

:02:06. > :02:08.has tabled a Commons motion demanding that Premier League's

:02:09. > :02:11.television money should be spread more evenly throughout food. That

:02:12. > :02:15.may even progress in London was being made

:02:16. > :02:17.before that started. I wish we had longer for that. It is all over to

:02:18. > :02:21.you. What will Thursday's mass

:02:22. > :02:23.public sector strike achieve? Has David Cameron's anti-Juncker

:02:24. > :02:25.attacks clawed back support And is Alan Johnson really thinking

:02:26. > :02:48.about challenging Ed Miliband We will start with the strikes, Matt

:02:49. > :02:53.Hancock was hardline in the head-to-head that he did with the

:02:54. > :02:57.TUC. I guess that the Tory internal polling and focus groups must be

:02:58. > :03:01.telling them that there are votes in taking a tough line? There is that

:03:02. > :03:08.and there is the fact that they are now much more confident on any

:03:09. > :03:15.economic policy two or three years ago. They shied away from it because

:03:16. > :03:19.the economy was shrinking, there was still a danger that public sector

:03:20. > :03:24.job losses would lead to higher unemployment overall. Now, the

:03:25. > :03:29.economy is growing, they have a good story to sell about employment so

:03:30. > :03:33.they are much more bolshy and brazen than they were two or three years

:03:34. > :03:38.ago. They know that it always causes problems for Labour. Labour is

:03:39. > :03:43.naturally sympathetic to the public sector workers, pay being squeezed,

:03:44. > :03:48.they are striking to make an issue of it. And yet they can't quite come

:03:49. > :03:53.out and give the unions 100% Labour support? Exactly. You saw Tristram

:03:54. > :03:56.Hunt on the Marr Show this morning squirming to support the idea of

:03:57. > :03:59.strikes, but not this particular strike. It was always the question

:04:00. > :04:03.that gets asked to Labour - who funds you? That is a real problem.

:04:04. > :04:06.The bit that gets me is they trail this ef are I time there is a --

:04:07. > :04:13.every time there is a strike, this idea of cutting it to ballots and

:04:14. > :04:17.local election turnout was a third. Boris Johnson was elected Mayor of

:04:18. > :04:23.London with 38% turnout. We need to talk about-turnout across our

:04:24. > :04:28.democracy. That is an easy rebuttal for Labour to make. Matt Hancock was

:04:29. > :04:33.hardline about changing the strike law. When you asked him the

:04:34. > :04:36.question, if you are not going to stabilise the public finances till

:04:37. > :04:41.2018, does this mean the pay freeze or no real term pay increase in the

:04:42. > :04:48.public sector will increase till 2018, h e was inner vous on that

:04:49. > :04:52.one. -- he was nervous on that one. This strike is different to those

:04:53. > :04:55.strikes that took place in 2010. At that time, the TUC and the Labour

:04:56. > :05:01.Leadership thought there was going to be a great movement out there,

:05:02. > :05:06.not a kind of 1926 movement, but a great movement out there. This time

:05:07. > :05:12.round, I think the climate is different. Ed Miliband talking about

:05:13. > :05:16.wage increases being outstripped by inflation and people not seeing the

:05:17. > :05:24.recovery coming through into their pay packets. Slightly more tricky

:05:25. > :05:28.territory for the Tories. If The Labour machine cannot make something

:05:29. > :05:35.out of Matt Hancock telling this programme there will be no increase

:05:36. > :05:38.in pay for workers in the public sector till 2018, they have a

:05:39. > :05:41.problem? They do have a problem. They have to say always that they

:05:42. > :05:46.would not just turn the money taps on. That is the dance that you are

:05:47. > :05:49.locked in all the time. Can we all agree that Alan Johnson is not going

:05:50. > :05:58.to stand against Ed Miliband this side of the election? Some

:05:59. > :06:03.politicians are cynical enough. I don't think Alan Johnson is one. Do

:06:04. > :06:07.we agree? There is nothing in it for Labour and certainly not for Alan

:06:08. > :06:12.Johnson. No way. It is the last thing he would want to do. There are

:06:13. > :06:15.some desperate members going around trying to find a stalking horse.

:06:16. > :06:20.Alan Johnson will not be their man. He has more important things to do

:06:21. > :06:25.on a Thursday night on BBC One! Isn't it something about the febrile

:06:26. > :06:30.state of the Labour Party that Labour, some Labour backbenchers or

:06:31. > :06:35.in the Shadow Cabinet, can float the idea of this nonsense? If there was

:06:36. > :06:38.a time to do it, maybe it was in the middle of the Parliament. With ten

:06:39. > :06:42.months left, you are stuck with the leader you chose in 2010. I remember

:06:43. > :06:50.them failing to understand this in January of 2010 when there was that

:06:51. > :07:02.last push against Gordon Brown. Five months before an election, they were

:07:03. > :07:06.trying to do something. The deputy Leader of the Labour Party had

:07:07. > :07:13.something to do with it. There is deep unease about Ed Miliband. There

:07:14. > :07:17.are problems but Alan Johnson is not the man. I think there is no chance

:07:18. > :07:20.of it! If the most recent polls are to be

:07:21. > :07:23.believed, David Cameron appears to have enjoyed a 'Juncker bounce' -

:07:24. > :07:26.clawing back some support from UKIP after he very publicly opposed the

:07:27. > :07:29.appointment of Jean-Claude Juncker to the post of EU Commission

:07:30. > :07:32.president. Last week Nigel Farage took his newly enlarged UKIP

:07:33. > :07:35.contingent to Strasbourg for the first session

:07:36. > :07:55.of the new European Parliament. These two gentlemen have nothing to

:07:56. > :07:59.say today. It was the usual dull, looking back to a model invented 50

:08:00. > :08:03.years ago and we are the ones that want democracy, we are the ones that

:08:04. > :08:08.want nation state, we are the ones that want a global future for our

:08:09. > :08:15.countries, not to be trapped inside this museum. Thank you. I can see we

:08:16. > :08:22.will be covering more of the European Parliament at last!

:08:23. > :08:24.It's rumoured he's likely to stand in the next general election in the

:08:25. > :08:27.Kent constituency of Thanet South, currently held by the Conservatives.

:08:28. > :08:29.Last week the Conservatives selected their candidate for the seat -

:08:30. > :08:31.Craig McKinlay - a former deputy leader of UKIP.

:08:32. > :08:42.Did you get the short straw, you have got a seat that Nigel Farage is

:08:43. > :08:48.probably going to fight? Not in the slightest. It is a seat that I know

:08:49. > :08:51.well. It is a seat that there's obvious euro scepticism there and my

:08:52. > :08:56.qualities are right for that seat. UKIP got some very good... What are

:08:57. > :09:01.your qualities? Deep-seated conservatism, I was a founder of

:09:02. > :09:07.UKIP, I wrote the script back in 1992. My heart is Conservative

:09:08. > :09:13.values. They are best put out to the public by me in South Thanet. It

:09:14. > :09:18.would be ridiculous if Nigel chose that seat. We need a building block

:09:19. > :09:20.of people like myself to form a Government if we are going to have

:09:21. > :09:24.that referendum that is long overdue. I don't think he's got the

:09:25. > :09:29.luxury of losing somebody who is very similar in views to him. He

:09:30. > :09:34.would be best look looking elsewhere. You wouldn't like him to

:09:35. > :09:38.stand in your seat, would you? It would seem to make very little

:09:39. > :09:41.sense. People would say what is UKIP all about if it's fighting people

:09:42. > :09:45.who have got a similar view to them? We do need to build a majority

:09:46. > :09:49.Government for the Conservatives next year because only us are

:09:50. > :09:54.offering that clear in-out referendum. I want to be one of

:09:55. > :09:59.those building blocks that is part of that renegotiation that we will

:10:00. > :10:04.put to public in a referendum. Sounds to me like if the choice is

:10:05. > :10:13.between you and Nigel Farage next May in Thanet South, it is Tweedle

:10:14. > :10:17.Dum and Tweedle Dee? Not at all. The danger to this country is another

:10:18. > :10:21.Labour Government. That is one of the main reasons that I left UKIP in

:10:22. > :10:25.2005 because that last five years of the Labour Government was the most

:10:26. > :10:29.dangerous to the fundamentals of Britain that we have ever seen. I'm

:10:30. > :10:40.happy with the Conservatives. I have full Conservative values. I am a

:10:41. > :10:49.Euro-sceptic. Thank you for joining us. The Westminster bubble yet

:10:50. > :10:55.again, which has a herd mentality, a bubble with a herd mentality, it got

:10:56. > :11:01.it wrong yet again. Mr Cameron's isolated, he is useless at

:11:02. > :11:05.diplomacy, all of which may be true, but the British people liked it and

:11:06. > :11:09.his backbenchers liked it? True. Although some of us would say it is

:11:10. > :11:13.possible... You are speaking for the bubble? I'm speaking for my segment

:11:14. > :11:25.of the bubble. Some of us argued that he got it wrong diplomatically

:11:26. > :11:30.and it would be wrong politically. It will be the passage of time. We

:11:31. > :11:37.saw UKIP decline between the 2004 European elections and the 2005

:11:38. > :11:40.General. You would expect something similar to happen this time round.

:11:41. > :11:44.The question is how far low do they fall? They are still registering

:11:45. > :11:49.12-15% in the opinion polls. They are. When Mr Cameron wielded his

:11:50. > :11:53.veto which again the Westminster bubble said it's terrible, it is

:11:54. > :11:58.embarrassing, he overtook Labour in the polls for a while doing that.

:11:59. > :12:03.He's had a Juncker bounce. If you were a strategist, would you not

:12:04. > :12:12.conclude the more Euro-sceptic I am, the better it is for me in the

:12:13. > :12:18.polls? In the short-term, yes. This is the short-term thinking we are

:12:19. > :12:22.supposed to despise. The electricion is very clever for a different --

:12:23. > :12:27.the selection is very clever for a different reason. It is this

:12:28. > :12:30.anti-London feeling in Thanet South. He is a councillor, he grew up in

:12:31. > :12:33.the constituency. He is a chartered accountant. He is somebody who can

:12:34. > :12:37.be seen to be a champion of local people. If they had parachuted in a

:12:38. > :12:41.special adviser, they would be in real trouble. He wants to get out...

:12:42. > :12:45.This is the third representative of the bubble? He wants to get out of

:12:46. > :12:49.the European Union which David Cameron doesn't want to do. It was

:12:50. > :12:53.interesting for that statement to MPs on Monday, there were mild

:12:54. > :12:59.Euro-sceptics who said, "I can't take this." The Speaker said can the

:13:00. > :13:04.baying mob, the Conservative MPs, quieten down, please. Ben Bradshaw,

:13:05. > :13:10.the former Minister made it, he said, "I'm reminded when the leader

:13:11. > :13:16.of the Labour Party before Harold Wilson made that famous Euro-sceptic

:13:17. > :13:20.speech and Mrs Gaitskell said darling, the wrong people are

:13:21. > :13:23.cheering." That is the challenge. Thank you, bubbles!

:13:24. > :13:27.The Daily Politics is back at its usual Noon time every day

:13:28. > :13:33.And I'll be back here on BBC One next Sunday at 11pm for the last

:13:34. > :13:38.Sunday Politics of the summer - I'll be talking to Scotland's Deputy

:13:39. > :13:45.Remember, if it's Sunday, it's the Sunday Politics.