:00:00. > :00:07.This is the week the heavy pounding really started
:00:08. > :00:13.Hugely controversially, the Bank of England itself has waded in,
:00:14. > :00:16.infuriating Brexit campaigners who are now calling
:00:17. > :00:42.Mark Carney, that governor, joins me for a rare live
:00:43. > :00:45.TV interview to defend what the Financial Times
:00:46. > :00:53.Andrea Leadsom, former Treasury minister, is the Leave
:00:54. > :01:05.She's worked in the City and she's sure the governor's wrong.
:01:06. > :01:09.There's another big story brewing this week.
:01:10. > :01:12.There are rising fears about a return of Irish Republican
:01:13. > :01:18.Arlene Foster is Northern Ireland's First Minister
:01:19. > :01:20.and has experienced terrorism at first hand.
:01:21. > :01:28.We'll ask her why the threat is back.
:01:29. > :01:30.She's not the only female leader on the show, however.
:01:31. > :01:33.All across Britain, people went a bit soppy
:01:34. > :01:35.for Birgitte, the fictional Danish Prime Minister in Borgen.
:01:36. > :01:37.I've been talking to the Statsminister herself
:01:38. > :01:43.We recently gave you some Bach at the end of the show.
:01:44. > :01:55.This week we've played safe and gone for some gentle Americana
:01:56. > :02:08.# So I guess we have to wonder what we might have been.
:02:09. > :02:10.All that and a great trio reviewing today's news stories.
:02:11. > :02:15.The broadcaster and columnist Julia Hartley-Brewer,
:02:16. > :02:18.the entrepreneur and former Number 10 adviser Rohan Silva
:02:19. > :02:21.and the editor-in-chief of Buzzfeed UK Janine Gibson.
:02:22. > :02:25.But first the news with Ben Thompson.
:02:26. > :02:32.Boris Johnson has said the EU has the same aim as Hitler -
:02:33. > :02:40.The Conservative MP and leading campaigner
:02:41. > :02:44.has told a Sunday newspaper that officials in Brussels
:02:45. > :02:46.are using different methods to the Nazi leader.
:02:47. > :02:49.But their goal is the same - to unite Europe under one authority.
:02:50. > :02:52.The Labour MP and Remain supporter Yvette Cooper has accused Mr
:02:53. > :02:57.David Cameron is planning what he calls more intensive
:02:58. > :02:59.action to help children in care in England, promising better support
:03:00. > :03:05.The new law would mean better regulation of social work
:03:06. > :03:08.and encourage the permanent adoption of children, even when it
:03:09. > :03:15.The moves will be outlined in the Queen's Speech on Wednesday.
:03:16. > :03:17.Police in Kosovo have arrested a former Roman Catholic priest
:03:18. > :03:21.sex abuse allegations. with historical child
:03:22. > :03:27.in connection with child sex offences allegedly carried out
:03:28. > :03:30.while he was Abbot of Ealing Abbey in West London in the 1990s.
:03:31. > :03:35.He's expected to be extradited to the UK.
:03:36. > :03:38.Ukraine has won the Eurovision Song Contest with a song
:03:39. > :03:40.about Joseph Stalin's deportation of the Tatar people
:03:41. > :03:46.The Ukrainian singer Jamala beat favourites Russia
:03:47. > :03:56.And Britain's Eurovision entry, Joe and Jake,
:03:57. > :04:01.I'll be back with the headlines just before ten o'clock.
:04:02. > :04:16.If you look at the front pages, it is really one story above all.
:04:17. > :04:22.Boris, the EU wants a superstate, as Hitler did. The Sunday Times, Dave
:04:23. > :04:27.fears Boris will be the next leader. And in the Sunday mail, Nigel Farage
:04:28. > :04:31.agrees, I will back Boris as Prime Minister. Lots and lots of Boris.
:04:32. > :04:36.And this is an interesting moment in the campaign, I think. It often
:04:37. > :04:39.happens during a referendum campaign. The moment when the
:04:40. > :04:43.establishment loses control of shaping the story. David Cameron is
:04:44. > :04:47.saying he will keep Boris and Michael Gove off the TV and not
:04:48. > :04:51.debate with them, and then he gets Nigel Farage who will be even more
:04:52. > :04:58.ferocious with him and so forth. Lots to talk about. Julia, starting
:04:59. > :05:04.with the Sunday Telegraph. Yes. Big columnist in the Daily Telegraph,
:05:05. > :05:08.Boris Johnson. He wants a superstate, like Hitler did. We find
:05:09. > :05:12.this extraordinary will stop it is being overplayed. He said the
:05:13. > :05:16.European Union are looking towards a federal superstate and various
:05:17. > :05:20.people have tried this. Napoleon, Hitler of course, everyone mentions
:05:21. > :05:26.him. But it is much more nuanced than the headlines. I am not
:05:27. > :05:30.normally one to say that Boris is nuanced, but he is carefully staying
:05:31. > :05:34.that the EU is not like Hitler. He is saying that again and again we
:05:35. > :05:38.try for a united Europe and it always ends in chaos. This plays
:05:39. > :05:42.into the idea that the Remain camp is saying we don't want uncertainty
:05:43. > :05:46.and if you are worried, vote for what you know, the EU. And the
:05:47. > :05:50.Brexit camp, which I am strongly in, is saying that is risk but actually
:05:51. > :06:03.it is the opposite. The risk is staying in.
:06:04. > :06:08.He is saying that the EU as it is not an option. There is no status
:06:09. > :06:10.quo option. The only option is leaving or hurtling down on this
:06:11. > :06:12.train that takes us towards a federal superstate. Total political
:06:13. > :06:14.European Union. And the language becomes more and more extreme with
:06:15. > :06:22.the Prime Minister warning of World War three and now Boris is using the
:06:23. > :06:26.Hitler word, which will be picked up by the headlines of course. Now,
:06:27. > :06:35.Tories in meltdown as Boris plays at cool. A different tone in the Sunday
:06:36. > :06:39.Times. Yes, Boris being nuanced with a Cornish ice cream. The nation's
:06:40. > :06:44.press were forced to follow him on a bus to Cornwall this week so there
:06:45. > :06:50.are of lot of photographs of him with foodstuffs. And this is just a
:06:51. > :06:54.way into a massive spread, post-referendum party politics
:06:55. > :06:58.almost. Very irritating policy led debate. Just get straight back into
:06:59. > :07:04.Boris against Dave, with an ice cream. Put him on a zip wire and see
:07:05. > :07:09.who wins! You are doing Buzzfeed, which young people all use as their
:07:10. > :07:13.main news source. Many young people use it as their main news source
:07:14. > :07:18.these days. It is a different kind of news source. Lots of lists,
:07:19. > :07:22.Britain's favourite avocado, that kind of thing, but you have got to
:07:23. > :07:26.do the heavy policy stories as well. How do you sell something like
:07:27. > :07:31.European debate to younger less politicised users? Yes and we also
:07:32. > :07:36.do huge amounts of investigative journalism for people, as we call
:07:37. > :07:39.them. You asking me about young people and they tend to be very
:07:40. > :07:44.interested in things that are relevant to them. In a case of the
:07:45. > :07:47.referendum, we have been focusing on students who are being driven to
:07:48. > :07:51.register to vote but in the wrong place. They are being pushed through
:07:52. > :07:54.campaigns to register to vote in their university towns but when it
:07:55. > :07:58.comes to the referendum they will be in the wrong place, in Glastonbury,
:07:59. > :08:03.not where they have been registered. We are drawing attention to that and
:08:04. > :08:07.making people realise. Looking at face value at the newspaper
:08:08. > :08:10.headlines, not a great day for the Prime Minister who you used to serve
:08:11. > :08:14.but he can turn inside the papers and find something more cheerful,
:08:15. > :08:19.the opinion polls. That is right. The suggestion that the Remain
:08:20. > :08:23.campaign may be further ahead than people thought. The view in Number
:08:24. > :08:26.10 is that this will come down to turnout. The front page of the
:08:27. > :08:30.Observer, the Electoral Commission will be funding a ?2.4 million
:08:31. > :08:35.campaign to try and get more people to sign up to vote. 7.5 million
:08:36. > :08:43.people in the UK are not registered to vote in this coming referendum. A
:08:44. > :08:47.big spread inside the Observer with the focus particularly on young
:08:48. > :08:52.people. If you look at the last election, only about 43% of 18 to
:08:53. > :08:58.24-year-olds turned out to vote but over 78% of over 65s. The
:08:59. > :09:02.youngsters, if the Buzzfeed readers and others can turn out to vote, it
:09:03. > :09:09.will make a difference. This is the Jeremy Corbyn style of campaigning
:09:10. > :09:13.and how is that working so far? I think if young people do turn out to
:09:14. > :09:18.vote, it will probably make a difference. Youngsters are more
:09:19. > :09:21.likely to back Remain. I had some news from the Prime Minister who has
:09:22. > :09:26.been watching the programme and he said he did not warn about World War
:09:27. > :09:31.three. You misunderstood. He did. He knew perfectly well that is what the
:09:32. > :09:36.headlines would be. Are we carrying on with this story or shall we move
:09:37. > :09:40.on? There are other stories, extraordinarily. It is amazing.
:09:41. > :09:45.Fascinating. We have heard so much about schools in the last few weeks,
:09:46. > :09:49.exams, stress, the father who went to the High Court, and here we have
:09:50. > :09:55.a story about parents competing for places at the best schools. 200
:09:56. > :09:59.parents were caught cheating trying to get their children into good
:10:00. > :10:03.state schools. I salute those parents. It is wonderful parenting.
:10:04. > :10:06.It is crazy that you cannot send your kid to the local comprehensive
:10:07. > :10:10.and know that it is a good school. The fact that people have to pretend
:10:11. > :10:15.and lie about where they live to get their children into a good school is
:10:16. > :10:18.terrible. That if you are lucky enough to have your home where there
:10:19. > :10:25.is a decent state school, lucky you, but salt the other kids. Nobody
:10:26. > :10:29.should be put in this position. What about the other kind of fixing the
:10:30. > :10:34.system? This guy who has taken his kids out of school to go on holiday
:10:35. > :10:36.and have taken it to the High Court? Now anyone can take their children
:10:37. > :10:40.out of school to go on holiday. Observe. We brought these rules in
:10:41. > :10:46.to protect children and a stabbings he knows better than everyone else.
:10:47. > :10:53.It's children has very good regular attendance. Four weeks a year she
:10:54. > :10:58.lost. My daughter has only lost five days, all to illness. Parents that
:10:59. > :11:03.think the rules do not apply to them, that is worrying. Do the rest
:11:04. > :11:07.of you agree? I come from a long line of schoolteachers and people
:11:08. > :11:11.with proper jobs and people would be very worried about children losing
:11:12. > :11:16.any school at all. It is the one form of compulsion that people seem
:11:17. > :11:20.to be in favour. Now another huge political story, Eurovision. I can't
:11:21. > :11:25.believe it has taken this long. We all wanted to lead on that! It may
:11:26. > :11:29.be European referendum look like nothing. In the end Ukraine beat of
:11:30. > :11:37.Russia with a song that was all about troops pouring into somebody's
:11:38. > :11:48.hasn't killing their family. Let's have a little look at the sun.
:11:49. > :11:52.# They kill them all and say we are not guilty.
:11:53. > :12:01.# Not guilty. Not exactly uplifting, is it? Terrible song! Difficult not
:12:02. > :12:05.to laugh. I voted for Spain. The Daily Mail has managed to find the
:12:06. > :12:09.silver lining for Britain. We didn't do too well. Every song except one
:12:10. > :12:16.was sung in English, so at least we have that going for us. Wasn't there
:12:17. > :12:19.an Austrian song in French? We covered this extensively but one of
:12:20. > :12:25.the things we did was find this brilliant picture. This is great. I
:12:26. > :12:30.love this. Make Eurovision gay again because obviously that is in doubt.
:12:31. > :12:33.I noticed several tweets last night claiming that the Ukraine victory
:12:34. > :12:38.was gay men in Europe sticking it to Russia. And that is not actually
:12:39. > :12:46.Donald Trump's had it just ought to be! This is brilliant. Make America
:12:47. > :12:51.a great British again. Brilliant. Up until the last vote, Australia were
:12:52. > :12:55.winning. There were some tweets going around. Leave the European
:12:56. > :12:58.Union. We can't even win the Eurovision Song Contest we are so
:12:59. > :13:06.rubbish! The whole of Europe can't win it! Before we finish, there is a
:13:07. > :13:10.proper old-fashioned story in the Sunday Times about Nelson Mandela,
:13:11. > :13:15.saying that the CIA tipped off the South African authorities before he
:13:16. > :13:19.was arrested. Truly fascinating story and journalism. 1962, Nelson
:13:20. > :13:26.Mandela on the run, how is he caught? A former CIA agent has
:13:27. > :13:32.claimed that it was the CIA that tipped him off, fearing Communist
:13:33. > :13:36.intrusion into South Africa. It was the CIA that handed him over, tipped
:13:37. > :13:41.off the authorities. If that is true, it really changes people's
:13:42. > :13:45.view of this historical moment. And America's relationship with South
:13:46. > :13:49.Africa drawing the Cold War. The outcome today will be very
:13:50. > :13:52.interesting between Pretoria and Washington, whether that is true or
:13:53. > :13:57.not. Back home with the BBC, you have chosen a story that says that
:13:58. > :14:02.the BBC said it is too Christian and must diversify. I feel for them. We
:14:03. > :14:22.have only just agreed the charter for the
:14:23. > :14:26.next 11 years and if we are going to start again already on the lobbying
:14:27. > :14:29.and the interest groups, then we will all lose the will to live so I
:14:30. > :14:32.would like to appeal to every possible interest group to just dial
:14:33. > :14:35.it down for a couple of years, and we will listen to your thoughts
:14:36. > :14:37.again about bias around 2018. OK? We started with the European debate
:14:38. > :14:39.story but we have not mention Sajid Javid. He describes himself as a
:14:40. > :14:42.Eurosceptic, the great enemy of the Euro, hostile to the European
:14:43. > :14:45.superstate, but he has changed his mind because of the single market
:14:46. > :14:49.issue which we have discussed endlessly on this show. I built it
:14:50. > :14:56.was very interesting from Sajid Javid, what he said on the Telegraph
:14:57. > :15:03.website. He says why he has come round to voting Remain and backing
:15:04. > :15:07.them, and he is signalling the next phase of the Remain campaign. This
:15:08. > :15:11.week we will see more business leaders coming out in favour of
:15:12. > :15:14.Remain so I think they will dial up to 11 the business argument. It has
:15:15. > :15:20.been there throughout, talking about the economic risks and benefits, but
:15:21. > :15:24.the voice of business, arguably, hasn't been as present as it might
:15:25. > :15:31.have been an Sajid Javid is signalling that is about to start.
:15:32. > :15:38.Julia, is that what you fear? Brexit is on the issue of migration and
:15:39. > :15:46.technical issues of sovereignty, but on the economy... On the economic
:15:47. > :15:52.side, Remain has been strong. But again, Sajid Javid is supporting
:15:53. > :15:56.Remain for his political career. Again, we know that big business
:15:57. > :16:05.loves the European Union because they can lobby the wrong body. Lots
:16:06. > :16:10.of small businesses have no business whatsoever with the European Union.
:16:11. > :16:17.In fairness, a lot of entrepreneurs are not engaging. It is striking I
:16:18. > :16:22.think that the Remain campaign have been very focused and I think pretty
:16:23. > :16:25.disciplined talking about economic risks and benefits. The Leave
:16:26. > :16:29.campaign strategically have worked through a number of different
:16:30. > :16:38.arguments on immigration, sovereignty, as well as the economy.
:16:39. > :16:41.Remain don't want to mention immigration, the extra people living
:16:42. > :16:45.in the country we didn't know about, best not to mention it!
:16:46. > :16:48.The security services warned last week that the threat
:16:49. > :16:50.to Great Britain from dissident Irish Republicans is at its highest
:16:51. > :16:53.After the recent elections in Northern Ireland,
:16:54. > :16:56.Arlene Foster has been returned to office as First Minister.
:16:57. > :16:58.In addition to heading up a power-sharing executive
:16:59. > :17:00.with Sinn Fein's Martin McGuinness, she's also emerged as Northern
:17:01. > :17:02.Ireland's most high-profile campaigner for the UK
:17:03. > :17:15.The First Minister joins me now from County Tyrone.
:17:16. > :17:21.We have had MI5 in effect warning the Irish republican terrorist
:17:22. > :17:27.threat is alive again for the mainland. In simple terms, why is
:17:28. > :17:33.this? Of course we have had that threat with us right through those
:17:34. > :17:36.20 years you were talking about and indeed as recently as March we had
:17:37. > :17:40.the murder of a prison officer so that threat has been very much
:17:41. > :17:46.present in Northern Ireland and we have had to deal with that. We were
:17:47. > :17:49.surprised to hear the threat had increased to substantial in terms of
:17:50. > :17:53.Great Britain, and for me that means we have to work even harder in terms
:17:54. > :17:58.of the administration instalment and to work hard in relation to our
:17:59. > :18:03.paramilitary strategy, the resources we have put in to deal with
:18:04. > :18:07.criminality and to work with our neighbours in the Republic of
:18:08. > :18:13.Ireland as well to make sure we eradicate this threat. He mentioned
:18:14. > :18:16.criminality, in the view of many people what happened was that the
:18:17. > :18:22.IRA put their guns away but then their revolt effectively a
:18:23. > :18:26.gangsterism that carried on for a while. Are we now saying that
:18:27. > :18:32.gangsterism has in itself mutated into a new form of Republican
:18:33. > :18:35.violence? I think the dissident republicans used the cover of
:18:36. > :18:41.republicanism to engage in criminality in many areas but they
:18:42. > :18:46.also seek to move us backwards and in Northern Ireland we need to make
:18:47. > :18:49.sure we continue to move forward and bring stability to Northern Ireland
:18:50. > :18:52.in a way they don't want to see happening because they don't accept
:18:53. > :18:59.Northern Ireland can be what it is today, and that is an open regional
:19:00. > :19:02.economy working hard in the UK. We need to continue our work instalment
:19:03. > :19:07.to reject what has happened from these people. You are very
:19:08. > :19:11.well-known in Northern Ireland. Some people don't know you quite so well
:19:12. > :19:20.from the other side of the water. You have of terrorism in the old
:19:21. > :19:26.days, what happened to you? My father was an IUC officer and the
:19:27. > :19:30.IRA came to murder him when I was just eight years old but thankfully
:19:31. > :19:37.he survived that attack in our home. Then I was 17 years old, when I was
:19:38. > :19:41.going to school, the boss I was travelling on was blown up by the
:19:42. > :19:44.IRA as well but thankfully no one was killed on that occasion. They
:19:45. > :19:48.were targeting the bus driver who was a part-time member of the
:19:49. > :19:53.security forces. I know very well what terrorism is all about, the
:19:54. > :19:59.fear it can bring to communities so that spurs me on to make sure we
:20:00. > :20:05.don't go back to those dark days. Now you face this new merged group
:20:06. > :20:09.which people call the new IRA. Is it a sophisticated group capable of
:20:10. > :20:17.planting bombs, does it have access to weaponry? They are groups that
:20:18. > :20:23.have got capability, they have shown that by the murder in March this
:20:24. > :20:27.year. They tend to work with booby traps and things like that but it is
:20:28. > :20:30.alarming to hear that the threat level has increased in Great Britain
:20:31. > :20:34.and obviously we will want to keep an eye on that and monitor that
:20:35. > :20:41.situation and work with the security services in the UK but also in the
:20:42. > :20:47.Republic of Ireland as well. The tea shop has suggested that the UK
:20:48. > :20:51.leaving the EU could harm relations between northern and southern island
:20:52. > :20:59.and could indeed endanger the peace process in some way are you worried
:21:00. > :21:06.about that? No, because the peace process is built between the
:21:07. > :21:10.communities in Northern Ireland, the relationship between ourselves and
:21:11. > :21:14.our closest neighbour the Republic of Ireland, and the UK, so it's not
:21:15. > :21:18.based in terms of the European Union and I cannot understand why anyone
:21:19. > :21:22.would make those sorts of remarks. That was disappointing to see
:21:23. > :21:26.William Hague makes similar remarks last week in the Daily Telegraph. I
:21:27. > :21:29.couldn't understand where he was coming from because the peace
:21:30. > :21:33.process and what we are trying to achieve in Northern Ireland is not
:21:34. > :21:39.waste on the European Union in any way. I suppose one of the great
:21:40. > :21:45.symbols of the peace process was the border barriers coming down. It has
:21:46. > :21:49.been said on this programme by Nigel Lawson that if we leave and we are
:21:50. > :22:09.no longer part of the EU, those barriers would have to come off
:22:10. > :22:13.again. What are they? -- would very? We recognise that the Republic of
:22:14. > :22:18.Ireland is our closest neighbour and may benefit greatly in terms of
:22:19. > :22:22.trade with the UK, Great Britain is their biggest export destination,
:22:23. > :22:26.and so we will still have to work through all of that and we will do
:22:27. > :22:31.if we come to a situation where we decide to leave. It will become part
:22:32. > :22:35.of the negotiations. The big intervention in the debate this week
:22:36. > :22:38.was the governor of the Bank of England, Mark Carney. Were you
:22:39. > :22:46.surprised or offended by what he said? I was surprised given his
:22:47. > :22:50.independent role. Being a former economy minister here in Northern
:22:51. > :22:54.Ireland, one of the things that alarms me is the overreaching
:22:55. > :22:59.bureaucracy of the European Union. I think we could benefit greatly if we
:23:00. > :23:03.left the European Union. We would be free of that bureaucracy and for a
:23:04. > :23:09.small region such as ourselves, the key elements of growing our economy
:23:10. > :23:14.is to have speed and flexibility. Frankly we have neither of those in
:23:15. > :23:17.the European Union. We want to have a good, strong regional economy
:23:18. > :23:23.within the UK and we believe the best way to have a global outlook is
:23:24. > :23:25.to leave the European Union. Very clear. Thank you for joining us this
:23:26. > :23:26.morning. One thing that's going to happen
:23:27. > :23:29.later on today is the weather. If you want more detail, I suggest
:23:30. > :23:38.you listen to Darren Bett. It is already happening. It should
:23:39. > :23:49.be a good day for most today. We start with the weather watchers'
:23:50. > :23:55.pictures. Blue skies in Cambridge, we will keep the cloud in Scotland.
:23:56. > :23:59.After a chilly start temperatures are rising quickly, and as
:24:00. > :24:05.temperatures rise so we will see a bit more club developing. Cooler in
:24:06. > :24:12.the central belt, and a light wind down the east coast. Mixed fortunes
:24:13. > :24:17.as we head into the evening and overnight we will hang on to more
:24:18. > :24:20.cloud in Scotland, down the eastern side of England, may be squeezing
:24:21. > :24:29.out the old rogue shower but generally dry. It could turn chilly
:24:30. > :24:34.in the countryside. This is where we have the best of the early sunshine.
:24:35. > :24:38.Make the most of it because as temperatures rise, so cloud will
:24:39. > :24:44.develop. But today is going to be again... One or two showers but dry.
:24:45. > :24:50.However, as we head into next week things will change. It looks more
:24:51. > :24:58.unsettled with sunshine at times but wind and rain too. At least it won't
:24:59. > :25:00.be as cold at night. Is there any more secure job than a British
:25:01. > :25:03.weather forecaster? Now, whenever I talk to anti-EU
:25:04. > :25:06.Tories about the effect of leaving on the City and indeed the wider
:25:07. > :25:09.economy, they always say to me She worked in the City
:25:10. > :25:18.and she was City On these matters she's probably
:25:19. > :25:28.the leading voice of Vote Leave. Was Mark Carney right to intervene?
:25:29. > :25:32.After all the Bank of England has responsibility in the economy. If we
:25:33. > :25:40.left and there was a downturn, would we point and say why didn't you tell
:25:41. > :25:44.us? No, it was an incredibly dangerous intervention. The core job
:25:45. > :25:48.of the Bank of England is to ensure financial stability, so to get
:25:49. > :25:53.involved with purely speculative what might households and businesses
:25:54. > :25:59.do, that is not in their remake. They are not there to promote
:26:00. > :26:07.financial instability and that is what they have done. Do you think he
:26:08. > :26:16.has made Brexit more likely? Totally. A central bank should just
:26:17. > :26:20.say we have the tools, and if he doesn't think he has the tools he
:26:21. > :26:24.should be talking to the Chancellor. He has come up with some nonsense,
:26:25. > :26:28.purely speculative stuff on what might happen if we leave and only
:26:29. > :26:34.looking on the downside. Almost everybody seems to agree there would
:26:35. > :26:44.be some kind of jolt to business, even Boris Johnson has said, and in
:26:45. > :26:49.a on his job to warn us? Let's be clear the governor signs off on
:26:50. > :26:53.these things. This is only looking at what doom scenario might be. It
:26:54. > :26:59.doesn't take into account the certain fact that we will have a ?10
:27:00. > :27:04.billion per year independence dividend, straightaway as soon as we
:27:05. > :27:07.leave the EU. That is a vast sum of money, it is all of the five-year
:27:08. > :27:13.dividend the head of the NHS is looking for to keep the NHS on the
:27:14. > :27:18.road. It doesn't take into account the impact of people now being able
:27:19. > :27:24.to resist uncontrollable immigration, the impact on public
:27:25. > :27:30.services of remaining. It doesn't take into account so many issues. We
:27:31. > :27:33.think the monetary policy committee did discuss these things but the
:27:34. > :27:37.full minutes will stay private for six years. Do you think after this
:27:38. > :27:42.intervention we should see those minutes published in full? I would
:27:43. > :27:46.think the processes will remain intact but I suspect the Governor
:27:47. > :27:51.will be significantly regretting getting involved in politics,
:27:52. > :27:55.destabilising the market in the exact opposite to the way he should
:27:56. > :28:00.do, and I'm quite sure he will be wishing he hadn't done it. When it
:28:01. > :28:07.comes to economic risk, some people will say it has also been Christine
:28:08. > :28:11.Lagarde, the IMF, President Obama, a whole series of substantial voices
:28:12. > :28:17.independent of British politics who have been saying the same thing.
:28:18. > :28:22.There is this big ganging up on the poor British voter, but these people
:28:23. > :28:26.who are very rich and successful, they don't see the poor British
:28:27. > :28:30.voter who is trying to get a decent primary school place, trying to get
:28:31. > :28:36.a doctors appointment, they are the people living with the consequences
:28:37. > :28:43.of being a part of this EU bureaucracy. You yourself used the
:28:44. > :28:48.same list of institutions, Obama, Christine Lagarde, Mark Carney, when
:28:49. > :28:55.you were defending the Government's record so why are you not listening
:28:56. > :29:01.to them now? That is not the case. I have a quote. The IMF have got it
:29:02. > :29:06.wrong with regard to the UK economy. They said we should not sort out our
:29:07. > :29:18.public sector debt problem and now they have it in their words.
:29:19. > :29:21.Perusing the importance to Cathy Jamieson, you said, perhaps you
:29:22. > :29:27.would like to hear the views of Christine Lagarde who runs the IMF.
:29:28. > :29:32.You said the same thing about Obama and Mark Carney. When it suits you,
:29:33. > :29:35.you grow these people in evidence because they are bigger authorities
:29:36. > :29:40.and when it doesn't suit you, you say they are ganging up on the
:29:41. > :29:44.British voter. That was in the context we IMF had had to eat their
:29:45. > :29:50.words for getting their forecast wrong. Economic forecasting is to a
:29:51. > :29:56.large extent on art and not a science. It is crystal ball gazing.
:29:57. > :30:00.Maybe Mark Carney would like to say how many times the Bank of England
:30:01. > :30:06.has got their forecast spot on, it is not very many. These people also
:30:07. > :30:12.we should join the euro, the world would implode if we didn't. It is
:30:13. > :30:15.the most successful financial services Centre in the world and we
:30:16. > :30:21.didn't join the euro, and aren't we glad we didn't.
:30:22. > :30:26.Sajid Javid has written interestingly in the papers today.
:30:27. > :30:30.He describes himself as a Eurosceptic, against the Euro and so
:30:31. > :30:39.on, but the thing that has changed her mind and made him a Leave
:30:40. > :30:43.voter... Remain! Well spotted! When he looked at the effect of the
:30:44. > :30:45.single market on the service economy, he found that a huge
:30:46. > :30:51.proportion of our exports depend upon it, and he was determined this
:30:52. > :30:54.was the right thing to do. Of the other countries that the EU has
:30:55. > :31:03.negotiated a deal with, not one has full access into the single market.
:31:04. > :31:06.In truth, its UK exports to the EU have flat lined to slightly going
:31:07. > :31:12.backwards in recent years. The EU has been notoriously bad at trading
:31:13. > :31:17.services within the EU, not because there are tariffs in trading terms,
:31:18. > :31:25.but because there are non- trade tariffs. They put up barriers. In
:31:26. > :31:28.fact, the UK has done incredibly badly in terms of EU trading
:31:29. > :31:37.services. Where the EU has done that is in goods. 70% is in goods. UK has
:31:38. > :31:44.missed badly. It is not true to say that we will be worse off without
:31:45. > :31:48.access to the EU trading market. Exports of ?226 billion, nearly half
:31:49. > :31:52.of which goes to Europe, but of the trade agreements that the EU has had
:31:53. > :31:56.more than 50 countries, not one gives service industries the same
:31:57. > :32:02.level of guaranteed access as the single market. Not one. He's not
:32:03. > :32:05.wrong about that, is he? It is much more complicated than that. The huge
:32:06. > :32:10.proportion of that is financial services. Let's be clear, the UK is
:32:11. > :32:12.a world's biggest financial services centre. Nowhere in Europe even comes
:32:13. > :32:27.close. We compete with New York, Singapore
:32:28. > :32:30.and Hong Kong. That will not change. The EU needs UK financial services.
:32:31. > :32:32.This is not a case of saying we will not deal with you any more. They
:32:33. > :32:34.desperately need us. The UK accounts for 40% of the EU's whole-cell
:32:35. > :32:37.financial services and they will not risk losing that. Coming back to the
:32:38. > :32:41.single market, it is of considerable value to many UK companies and
:32:42. > :32:43.consumers and leaving would cause at least some business uncertainty
:32:44. > :32:47.while embroiling the government for several years in a fiddly process of
:32:48. > :32:52.negotiating new arrangements, diverting energy from the real
:32:53. > :32:57.issues. That is Boris Johnson. Do you agree with that? No. The point
:32:58. > :33:01.is that we have no tariffs between us and the EU. We have spent 43
:33:02. > :33:03.years aligning our goods and services with them, so negotiating
:33:04. > :33:22.the free trade arrangement will be as easy as we want it to be.
:33:23. > :33:24.It is not as if we are India where the history and culture and straight
:33:25. > :33:27.terms are very different. They are completely aligned. You think a fast
:33:28. > :33:29.and easy negotiation? Totally. You know the City so well. Lots of these
:33:30. > :33:32.banks, JP Morgan, Morgan Stanley, Goldman Sachs, they say very clearly
:33:33. > :33:34.that if we vote to leave, they will have to move their headquarters out
:33:35. > :33:41.of London and into Frankfurt or Paris. One of the bosses said to me
:33:42. > :33:46.that was the only choice they had. Complete rubbish, Andrew. Why? The
:33:47. > :33:51.UK trade more dollars than in the United States. UK is a massive
:33:52. > :34:00.global financial services centre. One tiny bit of Canary Wharf is
:34:01. > :34:05.bigger than the entire private -- Frankfurt district. We have more in
:34:06. > :34:07.Edinburgh, Aberdeen, even Bournemouth or Northampton. This is
:34:08. > :34:13.a vast industry. It is not going anywhere. The German stock exchange
:34:14. > :34:16.will be based in London. Hong Kong and Shanghai banking corporation, a
:34:17. > :34:20.huge bag, they have just done a study on why to be and they will
:34:21. > :34:26.stay in London. We have got to follow the money and stop listening
:34:27. > :34:30.to what people are saying about it. A story about Conservative election
:34:31. > :34:36.fraud in various by-elections, that has been bubbling along and it is
:34:37. > :34:40.becoming louder and louder. Eight police forces are now investigating.
:34:41. > :34:43.Is this very serious now for the Conservatives? It is quite clear
:34:44. > :34:48.that the Conservatives had battle buses, as did the other parties, and
:34:49. > :34:53.they made those expenses claims according to the national campaign
:34:54. > :34:57.rules. The allegations are only against the Conservatives, as I
:34:58. > :35:01.understand it. I think you are right but the Conservative Party does not
:35:02. > :35:04.believe any rules have been broken and so this bubble is on the
:35:05. > :35:08.genuinely in all conscience there is no believe that anything has been
:35:09. > :35:09.done that is against the rules. Andrea Leadsom, thank you for
:35:10. > :35:11.joining us today. Of all the Nordic TV dramas,
:35:12. > :35:14.Borgen was the most unlikely hit. But it had as its lead the luminous
:35:15. > :35:20.Sidse Babett Knudsen. Before Denmark even had a female
:35:21. > :35:23.Prime Minister, she made the machinations of a coalition
:35:24. > :35:25.government seem really interesting Now she's hit Hollywood,
:35:26. > :35:33.starring alongside Tom Hanks. A Hologram For The King
:35:34. > :35:39.sees her playing an expat in Saudi Arabia helping Hanks cope
:35:40. > :35:41.with his mid-life burn-out Actually I feel like
:35:42. > :35:47.a pane of glass that I figured I'd be executed
:35:48. > :35:58.at customs. Sometimes, yes, but you know Wi-Fi
:35:59. > :36:07.is the least of our That's what you tell
:36:08. > :36:16.anyone who asks. Just have a little taste
:36:17. > :36:19.when you get back to the hotel. I'm pretty sure it will
:36:20. > :36:22.shatter your glass. You kind of represent
:36:23. > :36:25.Western decadence in There's the wild party
:36:26. > :36:30.at the Danish embassy, there's the passing of the whiskey,
:36:31. > :36:33.you're a certain kind of westerner. Certain kind of westerner,
:36:34. > :36:35.certain kind of ex-pat as well, Yeah, really in nowhere's land,
:36:36. > :36:47.and just trying to stay alive I thought of that, of it
:36:48. > :36:53.being somewhere with different But it's also a film about Western
:36:54. > :37:00.and Eastern culture clash. Again, I'm very interested
:37:01. > :37:03.in the way that, when you are making the film, you experience any
:37:04. > :37:06.of that culture clash. It always surprises me when I leave
:37:07. > :37:08.Denmark and go somewhere else Men and women equality,
:37:09. > :37:15.we're just so used to it. It's a wake-up call again -
:37:16. > :37:22.no, it isn't like that. And even the woman concierge
:37:23. > :37:25.or whatever will, you know, I was travelling business class
:37:26. > :37:29.and I was a business There was this guy coming
:37:30. > :37:36.in behind me and she just We live in a time when there's been
:37:37. > :38:05.lots and lots of huge mistakes or errors by big money and big
:38:06. > :38:09.politics in the West. We've had those wars,
:38:10. > :38:12.we've have the financial crash, and I wonder if there's now
:38:13. > :38:16.a kind of western fantasy of mother coming and looking
:38:17. > :38:22.after everybody properly. A kind of liberal, maternal
:38:23. > :38:24.figure who takes power and sorts it all out,
:38:25. > :38:26.and that's perhaps partly why Borgen has
:38:27. > :38:29.been so successful. After you'd made Borgen,
:38:30. > :38:55.there was indeed a female Prime Minister in Denmark,
:38:56. > :38:58.and a lot of the politics of Denmark that followed
:38:59. > :39:00.that seemed to be almost Well, a lot of the events
:39:01. > :39:04.were life imitating art. I don't know, I mean Adam Price
:39:05. > :39:12.might have had a crystal ball. I don't know how it happened,
:39:13. > :39:16.but it was, we did end up having so many even scandals that we had
:39:17. > :39:20.already shot happening in the real Maybe we saw that more
:39:21. > :39:28.in her private life but I think it balanced out
:39:29. > :39:31.as an almost real human being. You have been working
:39:32. > :39:34.on big Hollywood films. How different an experience is that
:39:35. > :39:38.from doing a TV Is your life changing very
:39:39. > :39:44.dramatically because of that? When I was playing Birgitte,
:39:45. > :39:47.I was an actress of course, but I was so much in
:39:48. > :39:49.talking with the writers and following the research,
:39:50. > :39:52.and it was... I felt I was part of
:39:53. > :39:54.the team telling the story. I feel very lucky because I love
:39:55. > :40:06.going from one thing and doing I've just been doing
:40:07. > :40:10.a lot of that lately. I have done so many things
:40:11. > :40:17.for the first time, This new world that you live
:40:18. > :40:25.in takes you away It is so lovely to love
:40:26. > :40:29.your country from afar. When you have it from afar,
:40:30. > :40:31.when you represent I don't miss it but I'm
:40:32. > :40:39.home now, that's nice. Lovely to talk to you,
:40:40. > :40:41.thanks so much. Polls suggest that the governor
:40:42. > :40:50.of the Bank of England could have more influence on undecided voters
:40:51. > :40:56.than any of the leading politicians on either side in
:40:57. > :40:58.the great EU debate. But he's walked into the lion's den,
:40:59. > :41:01.with his warnings that a vote to leave the EU could lead
:41:02. > :41:04.to another recession. Hysterical, over the top
:41:05. > :41:08.and undignified was the response from the Out campaign,
:41:09. > :41:11.with one Tory MP demanding his Notably unresigned, Mr Carney
:41:12. > :41:22.is with me now. You look very dapper and cool that a
:41:23. > :41:27.huge torrent has been poured over your heads since he took this
:41:28. > :41:31.decision. Andrea Leadsom has said it was a very dangerous thing to do. So
:41:32. > :41:37.why in short did you feel that you had the right and possibly the duty
:41:38. > :41:40.to wade into a British political argument? The first thing to say is
:41:41. > :41:44.thank you for having me on. I understand there is a lot of passion
:41:45. > :41:48.on all sides of this debate. Central banking is not a passionate
:41:49. > :41:52.business. It is subjective, analytical, evidence based, and the
:41:53. > :41:57.judgments we take, and I emphasise the word we, these judgments taken
:41:58. > :41:59.by independent committees, nine members the Monetary Policy
:42:00. > :42:05.Committee, those judgments are carefully considered. Those
:42:06. > :42:10.judgments only reflect our remit is, our mandates, the issues we have to
:42:11. > :42:18.deliver. We have to deliver the inflation target. You looked at
:42:19. > :42:21.sovereignty. The issues around the referendum are much broader than the
:42:22. > :42:26.issues concerning the Bank of England. When the Monetary Policy
:42:27. > :42:30.Committee looked at the most recent forecast, its most recent decision,
:42:31. > :42:35.and crucially its most recent letter to the Chancellor about bringing
:42:36. > :42:39.inflation back to target, we have got to talk about the trade-off
:42:40. > :42:44.between inflation and growth. And that trade-off could be very
:42:45. > :42:50.different in a scenario if the UK were to remain in the European Union
:42:51. > :42:55.versus one if it were to leave. Sure. You are not a naive observer
:42:56. > :42:59.of the scene. You have linked yourself very closely to the
:43:00. > :43:03.Chancellor, George Osborne, and the Treasury view, and yet you are
:43:04. > :43:07.supposed to be independent. We are absolutely independent. It is an
:43:08. > :43:12.independent committee. We are not linked to the bigger questions about
:43:13. > :43:19.the longer-term economic impact of being in or out. What we are doing
:43:20. > :43:24.is identifying risks around Leave and we are taking steps as an
:43:25. > :43:29.institution to mitigate those risks. There are risks both ways and yet
:43:30. > :43:34.you focused only on the Leave risks. That is not true. Our central
:43:35. > :43:37.forecast is for Remain. We always take government policy. That is the
:43:38. > :43:42.standard approach of the Bank of England and our forecast is for
:43:43. > :43:45.that. We go in great detail into the risks around that. We will come onto
:43:46. > :43:50.that and I'm glad you have said that. Lord Lamont, former
:43:51. > :43:53.Chancellor, can't be dismissed, he talks about the daily avalanche of
:43:54. > :43:57.institutional propaganda and he says it is becoming ludicrous and
:43:58. > :44:09.pitiful. Imported institutions are being politicised, and I
:44:10. > :44:13.think is talking about the Bank of England here, and they are used to
:44:14. > :44:16.make bloodcurdling forecasts and the governor should be careful who does
:44:17. > :44:18.not cause a crisis. That is fair enough. We have learned in the
:44:19. > :44:21.United Kingdom from past mistakes. High variable inflation, the debacle
:44:22. > :44:25.of the ERM exit. The lesson from that was to adopt inflation
:44:26. > :44:31.targeting, Bolivia executed by my predecessor. The lesson of the
:44:32. > :44:34.financial crisis was to give an institution responsibility for
:44:35. > :44:38.identifying risk, not to cross your fingers and hope that risk would go
:44:39. > :44:42.away and everything would be all right on the night, but to identify
:44:43. > :44:47.the issues, come straight with the British people about them, and to
:44:48. > :44:52.take steps to mitigate them. What brings those two approaches
:44:53. > :44:55.together, the two big lessons of the last quarter-century, is
:44:56. > :44:59.transparency. We don't just have a responsibility to the British people
:45:00. > :45:14.to be fair and not pop up after a vote and
:45:15. > :45:19.say, by the way, this is what we thought at the time. But we also
:45:20. > :45:21.have a responsibility to explain risk and take steps. Because by
:45:22. > :45:23.explaining them, by explaining what we would do to mitigate them, we
:45:24. > :45:26.reduce them, and that is the key point. Ignoring a risk is not to
:45:27. > :45:28.reduce it. If transparency is so important and presumably you discuss
:45:29. > :45:30.all of this in the committee, why not publish the minutes? They are
:45:31. > :45:39.kept secret for eight years. poetry we publish the minutes on
:45:40. > :45:46.Thursday, they are detailed to the letter, detailed in the report.
:45:47. > :45:53.Central banking has changed in the last 25 years. This is part of the
:45:54. > :45:56.change. You will get, you are right, in eight years, the verbal
:45:57. > :46:02.transcript of what is actually said, not 25 years... But they won't be
:46:03. > :46:07.very different from the minutes we can see now. Absolutely not and I
:46:08. > :46:14.hope to still be around, still be alive. You can crosscheck. All of
:46:15. > :46:20.the analysis behind those judgments will also be published. Jacob
:46:21. > :46:25.Rees-Mogg, a Tory MP, called on you to resign as a result of this. When
:46:26. > :46:30.you saw the headlines and you saw the reaction, was there a moment
:46:31. > :46:36.when you thought you had overstepped the mark? Absolutely not. Central
:46:37. > :46:42.banks are independent in very specific areas for a reason. It is
:46:43. > :46:46.precisely not to bend to political pressure from any side and to make
:46:47. > :46:51.clear objective judgments and then explain them, and we have a duty. If
:46:52. > :46:57.we are taking a judgment as a committee and changing policy
:46:58. > :47:00.because of it. We are putting billions of pounds in liquidity
:47:01. > :47:05.facilities, getting banks to raise capital against these types of
:47:06. > :47:11.risks. If we are potentially going to alter the path of interest rates
:47:12. > :47:16.because of certain things, we have a duty to explain that to the British
:47:17. > :47:22.people and to Parliament. And can I go back to one of your earlier point
:47:23. > :47:27.about daily avalanche, no, the bank's comments on these issues have
:47:28. > :47:32.been in the context of testimony to the House of Lords, testimony to the
:47:33. > :47:38.Commons committees, and inflation 's report and Associated Press
:47:39. > :47:43.conferences around those reports. Turning to the actual state of the
:47:44. > :47:46.economy, if you look at the OBR, one of the points they make is that
:47:47. > :47:51.Britons have never been more overborrowed for longer than we are
:47:52. > :47:55.now, I think ?58 billion of borrowing net by British households
:47:56. > :48:00.at the moment, going up to ?68 billion by the end of the decade.
:48:01. > :48:06.That must be a serious threat to the economy which is still not growing
:48:07. > :48:11.very fast. We should look at the expansion as a whole. This has been
:48:12. > :48:14.the strongest growing economy until recently in the G7. Secondly, in
:48:15. > :48:19.terms of the borrowing position of British households, relative to
:48:20. > :48:25.their incomes, British households have worked hard and pay down debts.
:48:26. > :48:33.It has gone down from 160% of income down to 135%. That has now tailed
:48:34. > :48:38.off. We are still quite heavily borrowed. This is based on a world
:48:39. > :48:41.where we don't really have interest rates any more so presumably the
:48:42. > :48:46.worry is that when you have to put interest rates back up again,
:48:47. > :48:52.assuming we stay inside the EU, we could face a raft of repossessions,
:48:53. > :48:57.people in terrible trouble as they were in the 1980s. Are we heading
:48:58. > :49:02.towards something like that now because of overborrowing? I lived
:49:03. > :49:08.here at that time and I remember it well. The levels of uncertainty then
:49:09. > :49:14.are the same as the levels of uncertainty in the economy today. In
:49:15. > :49:20.terms of borrowing and the ability to pay back, one of the things we
:49:21. > :49:25.have done as the Bank of England is to say to banks and building
:49:26. > :49:30.societies, when someone takes out a loan, test them against interest
:49:31. > :49:36.rate where they could go three percentage points higher than where
:49:37. > :49:43.they are today. The big increase in borrowing now has been for car
:49:44. > :49:48.purchases and there have been much more lease contracts for cars. It is
:49:49. > :49:54.without question something we are watching. If you have to put up
:49:55. > :49:58.interest rates, we can talk about Brexit, if we leave the EU and the
:49:59. > :50:02.pound falls and there is an inflationary pressure and you have
:50:03. > :50:08.to put up interest rates, what happens to the overborrowed British
:50:09. > :50:13.public? What history shows is that the British public pays their debts.
:50:14. > :50:16.The challenge and the thing we are trying to manage to the medium term
:50:17. > :50:22.is to ensure that not too many of the British public are overborrowed
:50:23. > :50:30.because that will make the downturn that much more severe. We would take
:50:31. > :50:34.a judgment, whether it is Remain, Leave, some other shop happens to
:50:35. > :50:39.the economy, we will take a judgment about interest rates, taking into
:50:40. > :50:48.account the borrowing position of households but also inflationary
:50:49. > :50:55.pressures. They are in the horizon of to to three years. Can I be
:50:56. > :50:59.clear, this is about a short-term shock, you are not trying to make
:51:00. > :51:07.judgments about whether the British economy would be stronger or less
:51:08. > :51:10.strong in or out of the EU. You are right, that's a judgment we are
:51:11. > :51:18.capable of making but we will not make because it is not our mandate
:51:19. > :51:28.to make. You used lots of code and woulds in your report. Similarly, if
:51:29. > :51:30.we leave the EU and because of less regulation and new trade deals with
:51:31. > :51:36.other countries we could be better off as an economy. You are trying to
:51:37. > :51:41.get me to contradict what I just said which is to make a judgment
:51:42. > :51:44.about the long-term prospects, which again is a judgment we are capable
:51:45. > :51:50.of making but it is not in our mandate so we won't and I won't.
:51:51. > :51:56.What we have to make a judgment about is that near term, two to
:51:57. > :52:02.three years out. It is good, short, Ward, but there are number of
:52:03. > :52:06.indicators that back those points. To be clear, what you fear happening
:52:07. > :52:14.is the pound falling in value and as a result of that inflation, growth
:52:15. > :52:18.slowing, and the possibility of a technical recession. People who
:52:19. > :52:25.don't know what a technical recession is, it might not sound too
:52:26. > :52:32.bad, what would it feel like? The technical definition of a technical
:52:33. > :52:36.recession is just that, it is two quarters of flat or negative growth
:52:37. > :52:42.so it doesn't necessarily have the broader connotations. What our
:52:43. > :52:46.judgment is as a risk is that growth will be materially slower and
:52:47. > :52:52.inflation notably higher in the event of a Leave. That means fewer
:52:53. > :52:59.jobs, lower wages, businesses going out of business. It can have those
:53:00. > :53:04.consequences. We need to make a judgment, and the key point to get
:53:05. > :53:12.across in advance is to market and to others that you have conflicting
:53:13. > :53:16.voices. You have upward pressure on inflation, you have downward
:53:17. > :53:20.pressure potentially from people deferring some consumption or
:53:21. > :53:24.investment because of uncertainty, and you also as a consequence of
:53:25. > :53:30.that have less productivity in the economy for a period of time, in
:53:31. > :53:38.part because of that lower investment. It is something we would
:53:39. > :53:43.all notice of course. Yes. We know it in advance, we make it as clear
:53:44. > :53:47.as possible in advance how we might react to that, and that gets more of
:53:48. > :53:51.the work done and less of the surprise in markets and other
:53:52. > :53:56.places. This is the difference between denial and transparency.
:53:57. > :54:01.Your critics also say the bank has not been very good at forecasting
:54:02. > :54:09.over the last period, you have said interest rate would go up and
:54:10. > :54:12.employment would hit 7%. Just to be clear, we wouldn't even begin to
:54:13. > :54:17.think about raising interest rates until unemployment got to 7% and
:54:18. > :54:23.then we would take stock. The reason we said that as we felt there was
:54:24. > :54:28.more supply capacity in the economy, it had more potential. We were
:54:29. > :54:33.right. Let me make an important point, the big goals in terms of did
:54:34. > :54:41.this economy have more supply and potential, absolutely. We get the
:54:42. > :54:46.big calls right. You want to quibble about decimal places with the
:54:47. > :54:49.strongest recovery in the G7? Is it possible we will see negative
:54:50. > :54:56.interest rates in this country, paying the banks to hold our money?
:54:57. > :55:01.It is highly unlikely. We have space for any eventuality in normal
:55:02. > :55:05.interest rate policy. What we are focused on is returning to
:55:06. > :55:06.normality. Rank you for joining us today.
:55:07. > :55:26.Now over to Ben for the news headlines.
:55:27. > :55:29.The Governor of the Bank of England has defended his decision
:55:30. > :55:32.to intervene in the debate about the Uk's membership of the EU,
:55:33. > :55:34.by warning that a vote to leave could cause a recession.
:55:35. > :55:36.There have been calls for Mark Carney's resignation.
:55:37. > :55:38.But he told this programme that he and the Bank
:55:39. > :55:40.were 'absolutely independent' from politics:
:55:41. > :55:44.The lesson must identify the issues, comes straight with the British
:55:45. > :55:46.people about them, and take steps to mitigate them.
:55:47. > :55:50.A leading campaigner for the UK to leave the EU said Mr Carney's
:55:51. > :55:52.intervention was incredibly dangerous.
:55:53. > :55:58.The Energy Minister, Andrea Leadsom, accused him of destabilising
:55:59. > :56:00.financial markets with pure speculation and nonsense
:56:01. > :56:08.The next news on BBC One is at one o'clock.
:56:09. > :56:14.On the Sunday Politics in an hour, Andrew Neil will be talking
:56:15. > :56:33.to the former Cabinet minister Iain Duncan Smith.
:56:34. > :56:35.Join me again next week when Eddie Izzard will be
:56:36. > :56:38.here to tell us how he's hoping to win young people over
:56:39. > :56:42.And Game of Thrones star, Kit Harington, will be here too.
:56:43. > :56:44.For now, we leave you with Teddy Thompson and Kelly Jones,
:56:45. > :56:47.with a song from their new album - "Never Knew
:56:48. > :56:53.# We've been friends for a long, long time
:56:54. > :57:26.# Life is full of little windows that open now and then
:57:27. > :57:38.# So I guess we are left to wonder what we might have been
:57:39. > :58:19.# Life is full of little windows that open now and then
:58:20. > :58:33.# So I guess we are left to wonder what we might have been
:58:34. > :58:38.# Look and see if it's a better thing