18/12/2016 The Andrew Marr Show


18/12/2016

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Well, what a year it's been for British politics -

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and the big division wasn't between the parties so much

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as over our European future, or lack of it.

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This week, we're in reflective mood, looking back at 2016 with a couple

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This time last year, one of these men was the all-powerful Chancellor,

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the other just a former Cabinet minister exiled to the back benches.

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Liam Fox joins us in his first TV interview since becoming Secretary

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And in his first TV interview since leaving the Cabinet,

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George Osborne reflects on the future of liberal Britain.

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On the sofa today, Labour's Angela Eagle,

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John Nicholson of the SNP, and UKIP's Suzanne Evans.

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We'll also hear from Doctor Who himself, Peter Capaldi,

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You know, sometimes I walk into a room and there'll

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be some kids there and they'll gasp.

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And as it's almost Christmas, we'll have a carol.

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Yes, the BBC Singers will be live, later.

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Before all that, here's the news, read today by Ben Thompson.

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Holders of public office, such as civil servants

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and council officials, will have to swear an oath of allegiance

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to British values in an attempt to tackle extremism.

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The Communities Secretary, Sajid Javid, says people can't play

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a positive role in public life unless they accept values such

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as democracy, equality and freedom of speech.

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The proposal follows a report that warns of growing ethnic

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The UN Security Council is to vote today on whether to send observers

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to the Syrian city of Aleppo, where thousands of civilians

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One charity has told the BBC that a deal has been reached to restart

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The process collapsed on Friday, leaving many stranded in freezing

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and dangerous conditions near the front lines.

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The former Ukip leader Nigel Farage has said he wants to be a "bridge"

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between Britain and the incoming Trump administration

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But Mr Farage told BBC Radio 4 that Downing Street didn't

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want to acknowledge him and claimed Cabinet ministers had been banned

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China is set to return an American underwater drone that its navy

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The US craft was captured in international waters on Thursday.

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The Pentagon said the drone was being used to carry

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out scientific research when it was taken.

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The US President-elect, Donald Trump, took to

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And if you didn't catch Strictly Come Dancing last night

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and don't want to know the result, look away now!

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The BBC's sports presenter Ore Oduba and his partner Joanne Clifton won

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the trophy in last night's final - beating fellow competitors Danny Mac

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Last night also marked Len Goodman's last appearance as a judge.

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As to the front pages, as usual, there is the Sunday express and

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relentlessly optimistic mood. Brexit fuels festive shopping extravaganza.

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The Mail on Sunday is talking about foreign aid being misspent. The big

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papers have the same thing on the front page, they all have Strictly

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and they all have the unions. In this case, a fight inside the main

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union about Len McCluskey's role in the Observer. And the Sunday

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Telegraph, pressure on Theresa May as unions run rampant, it says, and

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the picture of the Queen and the Prince of Wales and Strictly at the

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top. And the Sunday Times, rail union boss vows to topple Tories.

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There is that loyalty oath story that you saw in the news. The

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question is whether a loyalty oath about British values is itself a

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British value or not. But we're not going to start on the front pages,

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are we? We are going to start with Aleppo, which I think, John, user is

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the most important story in the papers today. It clearly is, given

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the unfolding tragedy of Aleppo. And here we have on page four and on to

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page five in the Observer a harrowing account of what it is like

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to be in Aleppo and it struck me, I think it struck us all, how

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extraordinary it is that as this unfolding tragedy happens in Aleppo,

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not a single newspaper has put Aleppo on its front pages and

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another of the papers have round-ups of the year, including editorial

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round-ups -- pictorial round-ups and this, for me, is the picture of the

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year in all the newspapers and magazines and it is the wee boy who

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was rescued by the white helmets, these heroic people who run towards

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the barrel bombs to rescue civilians. And he seems completely

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out of it, completely disoriented with no idea of who he is what's

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going on. And what is extraordinary is, you have a picture like this and

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you tweak it, which I did early in the year, you have all these trolls

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who say that it is staged, that the little boy is a CIA plant. It is

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extraordinary. There was a lot of Russian propaganda involved in the

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Aleppo story. False news. What struck me is the fact it is not on

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the front pages but I was struck by this piece in the Observer, which

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talks about the stampede now, almost, to get out of the city, for

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the evacuees to get out. We've heard so many horrors throughout the last

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months and years about Aleppo but this got me in tears this morning,

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the struggle to actually leave the city. People started to run like

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they were mad. They lost luggage, money, I heard more than one lost a

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child. I don't think any parent can read that without feeling that tug

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heartstrings about how desperate it is now that it is over, effectively,

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at least we hope so, but now that dreadful struggle to actually leave

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to safety. It is awful to see this going on on our watch. We've all

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read about these kinds of scenes in history and we have an international

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rules -based system at the UN and its been paralysed by Russian veto

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after Russian veto so what can we do to bring together the world

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community, so we can prevent the rule of the strongest always

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winning? We've got George Osborne coming later on. A speech in the

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House of Commons this week, saying we had chosen to be bystanders.

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There are no easy answers. What would we have done? Exactly. Theron

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easy answers. If you're going to have a rules -based international

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system, you have you have to have enforcement methods. But the

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alternative to that is much, much worse and it is the rule of the

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strongest. The last thing Syria needed was more bombing and the

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rethink by some people seems to be that we should have been engaged in

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military action and I'm not sure that was the answer. Let's moved

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back to the front pages, if we could. Angela, you've chosen the

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Sunday Telegraph story about the union is running rampant. Do you

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think they are? Lots of strikes over Christmas. I think there are a

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couple of difficult strikes going on. We know that the transport

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system is often close down over Christmas for engineering works. I

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think the issue with Southern is an ongoing one. The franchise was

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actually given back to Southern without a proper competition.

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They've run a chronically bad service and part of having a good

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service and gaming lots of public subsidy, let's face it, surely ought

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to be to have reasonable industrial relations. If Labour was in power,

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do you think you would take Southern back into public ownership? Our

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policy was to take the franchises back into public ownership as they

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came due but the important thing at the moment is to have a decent

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service. People pay thousands of pounds for season tickets and prior

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to the industrial action, they've been left standing the trends that

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never turn up and it means they can't get to work. Let's remember

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that these companies are milking billions of pounds of subsidy for

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providing this kind of service. We're talking about people who are,

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by any standards, not very well paid. Let's talk about people who

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are very well-paid. I mentioned the aid story and you have chosen a

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spread inside. The scenes we've seen in Aleppo, people expect the foreign

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aid budget to be spent on people in need, particularly in times of

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emergency, but the Mail on Sunday has, for a long time, been running a

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campaign showing how foreign aid money, which is set at about ?1

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billion a month in the UK, has been utterly abused. I was very pleased

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to see that international development secretary Priti Patel

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has now been warning firms... She's put a freeze on certain aspects of

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the foreign aid budget and has been saying that there has been a

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top-level investigation launched into how taxpayer money is being

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spent and what payments and expenses are being taken by some of the fat

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cat charities who receive this aid money, and it is absolutely

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astonishing. One organisation was given ?10 million by DFID to tackle

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starvation and their executive was paid more than ?600,000 a year.

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Another, marry Stopes international, got ?1 million over two careers for

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their Chief Executive. Let's remember that foreign aid is a good

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thing and stops states failing. Nobody is saying it is not a good

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thing. It educates children, helps to deal with mothers giving birth in

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areas where that is tough. The strangest Christmas political story

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is the Christmas karaoke meltdown, as the Mail on Sunday describes it.

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It is surprising to see the male running an anti-Corbyn story but

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apparently there was a lovely Labour Party karaoke last night for Labour

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MPs. They started singing anti-Corbyn songs, which are...

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Things Can Only Get Better. I got a ticket for this event but I was too

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ill to go. But I can tell you there is always karaoke at the PLP

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Christmas do. It is where Ed Balls's talent for the limelight first

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became evident. But all I can say is, where Labour MPs gather and MPs

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and party members gather, Things Can Only Get Better is often so because

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it is our 1997 and then. You've had a terrible year in the Labour Party,

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2016... I think we will be glad when this year is over. I'm looking

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forward to New Year's Day. What about 2017, is going to get better?

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Diane Abbott last week said the polls would turn in the next 12

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months. Do you agree? They've begun to turn and we have to hope that we

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can begin to remake our appeal to the electric. It is no good denying

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that we've had a bad year but it is the same for social Democratic

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parties across Europe. We have to talk about how we can ensure that

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people who work burden a reasonable income so that all of the profit

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doesn't go to all those who own. -- earn a reasonable income. It is

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creating more unequal societies and that is not good for democracy. In

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terms of the big Brexit argument, is your expectation that once the

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details of what we are going to do as we leave the EU come to the House

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of Commons, things get much tougher for the Tories? I think they do. I

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think "Brexit means Brexit" is a holding pattern while the Tory

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aeroplanes look for somewhere to land. I think as soon as Theresa May

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starts to define what she means by that, her party splinters in all

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different directions. Looking back on 2016, John, a difficult year for

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the SNP because you had wanted to be part of the Brexit conversation with

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the rest of the EU all the way through and you've been, by and

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large, kept out by the Government. Is that going to change? You say

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that but I think one of the interesting things is just how

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different the reaction we get on the international stages from the way it

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was during the independence referendum. During the independence

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referendum, we were the bad boys he wanted to break up unitary state and

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the leaders made a very clear they did want to deal with us. That

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narrative has now changed. You are the ones that wanted to stay. We are

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the good Europeans who many European leaders want to report all --

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reward. 48% of the UK wanted to state it wasn't nearly so big a

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result and we've got to think about how to bring the country back

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together. I think I'm a good European as well, I just don't like

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the European Union. Ukip, officer, was part of the winning side in the

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referendum and that has been a big part of the story but it leaves the

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question, what's the point of Ukip now? You've done what you wanted. If

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I had ?1 for every time people say, "We've reached a peak Ukip," I would

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be a reach one -- rich woman. We just keep on getting better and

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better and we've got a new leader now and are looking to a particular

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target of people who don't recognise the Labour Party any more, good,

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decent, working class people in this country who don't see in Jeremy

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Corbyn the way forward for them under Labour. I think we've got a

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great future ahead. We have to wrap up in a moment but the political

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awards of the year in the Sunday Times for 2016... They are

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extraordinary, the political awards. Angela features in them, you'll be

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glad to see. There she is for the press conference. The politician of

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the year is Theresa May but one of the stories that is not mentioned in

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this, which we could perhaps mention, is the Jo Cox single, which

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politicians of all parties are supporting. Here we have it on the

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BBC website. All our friends and colleagues from MP for. It is a very

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good cause and the Rolling Stones have just announced that they are

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going to waive the royalties for the Jo Cox single. It is at 24 in the

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charts at the moment, so we wanted to be higher. Before we wrap, one of

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the pictures of the year, there is Nigel Farage and Trump and there is

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possibly the scariest picture of the year. All I can say is, we've got

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Nigel Farage and Trump. He's trying to become the independent

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ambassador, even though the Government have disowned him and he

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doesn't represent the country. He's stood for election seven times to

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Parliament and never succeeded. It's been almost Dickensian

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this week - a good, I don't suppose there's any chance

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of old-fashioned snow on the way? That would be too much

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to hope for, wouldn't it? Jay Wynne is in the BBC

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weather studio. Wind and rain will be more of an

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issue as we head into the Christmas weekend. At the moment we have got a

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lot of dense fog out there. It is slow on the major roads and there

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could be some delays at airports. For some that will linger well on

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into the afternoon. Elsewhere it will stay pretty great for most

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places. But the winds are light and it is dry for the vast majority.

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Single digits pretty much across the board. On the western side of

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Scotland the wind will be picking up and more persistent rain will drift

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towards the western isles. Overnight tonight the fog will be quite dense

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and it will be chilly as well. The chilly, Grace start to Monday and it

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will stay grey for most places. A bit of rain drifting in from the

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North Sea into the South East of England. It becomes more patchy as

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we get on into the afternoon in western Scotland. Still single

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figures for most places. The fog will be an issue over the next

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One of television's annual traditions is the Doctor

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Last week, Peter Capaldi came in to the studio to tell

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Sophie Raworth about this year's seasonal outing for the Time Lord.

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He reflected on how the role had transformed his own life and how

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Doctor Who has acquired an unexpected fan in the highest

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It's set in New York and features a real superhero.

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I think it is the first time we've ever seen the Doctor deal

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with somebody else who can save the planet.

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Superheroes nowadays seem to be rather dark characters,

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in films that end up in kind of CGI orgies of destruction.

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I think this hankers more back to the Christopher Reeve Superman

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kind of movies that were funny and ironic and witty.

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It does seem to have a lighter touch than some of the past episodes.

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Lucy Fletcher, reporter from the Daily Chronicle.

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No-one will believe that - this is America.

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Special agent Dan Dangerous from Scotland Yard, Scotland.

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I think the Christmas Day episode has a special role to fill.

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I think a lot of the time, a lot of people watch it who don't

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normally watch Doctor Who, so it becomes rather

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I think it provides a nostalgic reminder to people who, perhaps,

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don't watch the show but it's still around and it reminds

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them of their childhood, because there's still the Tardis

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and there's still monsters and there's still a mysterious man

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It's a tradition but it's quite a responsibility,

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You've even got the likes of the Prime Minister,

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who says she's really looking forward to seeing it.

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You've got plenty of famous fans, no doubt.

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That was quite a surprise, that she was so keen on it,

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so I hope she takes his message of tolerance and kindness

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You talk of responsibility and it is a huge responsibility

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playing the role that you are playing, isn't it,

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and you've been doing for three years now?

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I mean, I was in Doctor Who for all of 15 seconds, reading

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I couldn't believe the number of letters I got as a result.

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People saying, "You were in Doctor Who -

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Can you send me this, that and the other?"

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So to be the Doctor, I mean, the attention you must

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You know, it's a really unique position to be in.

:20:19.:20:25.

There are only 12 people who have played this role and you become

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the focus of the affection for the role and you stand

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on the shoulders of everybody else who ever played it.

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And they've done all the work, really, so I just turn up and look

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alarmed or be excited and blow up a Dalek here and there.

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It must be quite intrusive as well, though, because you must...

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You're so distinctive and you must get people coming up

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No, I don't mean that at all, I just mean very distinctive.

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But you must get people coming up to you the whole time and...

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I think it's something about the character.

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The Doctor is a good thing in the world.

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I think people feel a deep affection for whatever Doctor it was they grew

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up with and so you sort of are kind of like the Wizard

:21:20.:21:23.

Sometimes I'll walk into a room and there'll be some kids

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Can you imagine how lovely that is, to have such affection

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They just like to see you and for you to say hello

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There was a report I saw last year that said you literally had to move

:21:48.:21:56.

house because you had people on your doorstep.

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Well, I lived next to the park and the ice cream van used to park

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right outside my house and so there used to be a huge queue

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We moved just before my Doctor Whos came out but I knew it was going

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We moved just before my Doctor Whos came out but I knew it wasn't going

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My attitude about it is that I didn't want it to change my

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But in as much as my private life goes, it remains much the same.

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But when I go out into the world, I can't...

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You know, I don't want to escape the idea that I'm Doctor Who.

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So there will be a day when people don't come and say hello.

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The last time my next guest was here he was at the height

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of his powers as Chancellor ahead of the budget in March.

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The arch tactician except, of course, that he then came

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a terrible cropper as the British people ignored his blood-chilling

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warnings of economic apocalypse and voted to leave the EU.

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There's been, as you'd expect, a period of reflection,

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Is this a slightly different George Osborne done the George Osborne are

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used to talk to? Well, I am learning a lot. I do not want to trade on my

:23:28.:23:32.

experience of being Chancellor. I do not want to be 60 or 70 years of age

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talking about what I did when I was 40 years old, so I am trying to

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learn as much as possible about the world, get out of the inevitable

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panel you find yourself in when you are doing one of the top jobs in

:23:47.:23:50.

British politics, and try and understand what I got right, but

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also what I got wrong. Talking about what you got wrong, the referendum

:23:59.:24:03.

above all. You had all these bloodcurdling warnings, the

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punishment budget, the economic bomb under the economy, 800,000 jobs

:24:09.:24:11.

going in two years and people did not believe you listen to you. Why

:24:12.:24:17.

do you think that was? Of course people in the end chose by a small

:24:18.:24:22.

majority to leave the EU and I have to respect that and I have to accept

:24:23.:24:28.

the campaign we fought was the wrong campaign, it did not work, it did

:24:29.:24:32.

not persuade people. That is the purpose of a campaign. If anything

:24:33.:24:38.

maybe we lacked some of the authenticity, some of the optimism

:24:39.:24:45.

of the Leave campaign. We discovered there was not much out there in

:24:46.:24:49.

terms of support for European friendship and we ended up talking a

:24:50.:24:54.

lot about the economy. As Chancellor I was centre stage in that because

:24:55.:24:58.

of the economic risks we saw and others sought in leaving the EU. Was

:24:59.:25:04.

it a mistake? That is your characterisation. Other things that

:25:05.:25:10.

we might have wanted to talk about, like the fact it is good to get on

:25:11.:25:16.

with European neighbours, it is good to be part of a multilateral rules

:25:17.:25:22.

-based system, that it is good for Britain to shape world events, all

:25:23.:25:26.

those arguments, and I am not saying we cannot do them out of the EU, but

:25:27.:25:30.

they will be difficult, all those arguments were falling on deaf ears,

:25:31.:25:35.

so the economic argument came to the fore in the campaign. But I am the

:25:36.:25:39.

first to say it did not work and that is why I am here and I am not

:25:40.:25:45.

the Chancellor. It is reported in a book that when David Cameron said, I

:25:46.:25:50.

have got this great idea for a European referendum, you said, we

:25:51.:25:54.

will lose it and it will destroy the Tory party. Did you say that? I was

:25:55.:25:59.

not a great fan for having a referendum, but I am a team player

:26:00.:26:03.

and politics is at its most successful when you are a team. I

:26:04.:26:07.

can look back on a happy time in Downing Street because I worked very

:26:08.:26:12.

closely with people like David and others to achieve things and turn

:26:13.:26:25.

around this country. Once we were in the referendum I did everything I

:26:26.:26:28.

could to win it. I was not going to sit it out. It was an important

:26:29.:26:31.

enough issue about the future of the country.

:26:32.:26:31.

I felt strongly about it though I was prepared to do what I did at the

:26:32.:26:36.

time, which was damaging my reputation with fellow conservatives

:26:37.:26:39.

who did not agree with me. What is the point of doing those jobs if you

:26:40.:26:42.

are not fighting for what you think is right? You also damage your

:26:43.:26:48.

reputation because what you said at the time was not true. We did not

:26:49.:26:52.

have the punishment budget, we have not lost all those jobs, in fact the

:26:53.:26:58.

economy is going quite well. Do you look forward and think Brexit is

:26:59.:27:03.

good for the economy? I hope predictions we made before the

:27:04.:27:06.

referendum turned out not to be true. I sweated blood to turn the

:27:07.:27:12.

British economy around. I am proud we got all these people into work

:27:13.:27:17.

and we made Britain the fastest growing economy in the West. But

:27:18.:27:23.

let's wait and see what happens. The pound fell sharply and we are not

:27:24.:27:26.

going to pretend any more that the pound in your pocket is not worth

:27:27.:27:32.

any less. Britain is Pura as a result. All of the forecasts,

:27:33.:27:37.

including the government's own independent forecast, showed the

:27:38.:27:41.

economy will next year. But what the future tells you at the moment and

:27:42.:27:45.

what financial markets tell you today is that every time they think

:27:46.:27:50.

Britain will have a less close relationship with our trading

:27:51.:27:53.

partners in Europe, every time there is a hint from the government like

:27:54.:27:59.

that, then the pound falls and the world is betting against Britain.

:28:00.:28:03.

Every time you have thoughtful contributions from members of the

:28:04.:28:06.

government saying we need some kind of drugs transition, we need to have

:28:07.:28:12.

something more than the world trade organisation, every time you hear

:28:13.:28:18.

something like that, the world bets on Britain. We are well placed to

:28:19.:28:24.

make a success of this century. We have got a great work for us, we

:28:25.:28:28.

have got entrepreneurial businesses. Let's make sure we have close

:28:29.:28:33.

trading relationships with our key neighbours outside the EU, but that

:28:34.:28:38.

does not mean we are leaving the trading arrangements that have

:28:39.:28:40.

sustained this country for centuries. You mention the fact it

:28:41.:28:47.

was a close result and the 48%. The question is what is the role of the

:28:48.:28:52.

48% in what happens now? Do they still have a voice in the way we

:28:53.:28:57.

leave the EU? Do you have views of how we should leave which might tend

:28:58.:29:03.

towards the soft side of the spectrum? We cannot go on thinking

:29:04.:29:09.

about the 48th and the 52. I was in the 48. We are part of 100%, the

:29:10.:29:14.

referendum has happened and we are leaving the EU. The question on the

:29:15.:29:20.

ballot paper was do you want to leave the EU? It was not about the

:29:21.:29:24.

new arrangement with the rest of the EU. I believe it is in Great

:29:25.:29:29.

Britain's national interest to have the closest possible relations with

:29:30.:29:33.

key partners of hours like the French, the Germans and the Dutch.

:29:34.:29:38.

Whether we like it or not they will remain our geographical neighbours

:29:39.:29:44.

for time immemorial. We cannot tell ourselves out into the middle of the

:29:45.:29:50.

Atlantic. Does that mean we should stay in the European economic area

:29:51.:29:51.

and the I think when we come to these key

:29:52.:29:59.

questions, there are a variety of arrangements we can have and other

:30:00.:30:04.

countries, from Switzerland to Norway to Turkey, have different

:30:05.:30:07.

relationships with the EU. We should do this on the basis of a

:30:08.:30:10.

hard-headed assessment of what is in our national and economic interests.

:30:11.:30:15.

So yes, it's true that the grass may be greener outside of those

:30:16.:30:21.

arrangements and we may be able to conduct new free-trade deals with

:30:22.:30:24.

Australia and the United States and so on, but that shouldn't come at a

:30:25.:30:29.

price of giving up the existing free-trade arrangements we have with

:30:30.:30:32.

Germany and France. You think we can keep those? That's where I would be

:30:33.:30:38.

starting from. You can't say that we are a beacon of free trade in the

:30:39.:30:41.

world and then the main thing you achieve is a huge act of

:30:42.:30:44.

protectionism, the biggest in British history. We have to

:30:45.:30:49.

understand that whilst... You know, I'm a massive fan of trade deals

:30:50.:30:54.

with Australia, I want to do trade deals with China, quite

:30:55.:30:57.

controversial in this country, and they will prove to be so, many of

:30:58.:31:01.

these trade deals when they come to Parliament, but there is no point

:31:02.:31:04.

saying you want all of that trade but you don't want to do the trade

:31:05.:31:07.

we already do with countries like Germany and France which are central

:31:08.:31:12.

trading partners to us. Do you think the House of Commons should be able

:31:13.:31:15.

to look at the detail of whatever deal we do as we leave the EU in

:31:16.:31:19.

time, in other words not at the last minute but before it is finally

:31:20.:31:23.

agreed? I have to say, personally I think it is all a bit of an odd

:31:24.:31:28.

debate. We live in a Parliamentary democracy. Theresa May is the prime

:31:29.:31:31.

minister because Conservative MPs, myself included in her case, chose

:31:32.:31:36.

her to be the Prime Minister and, of course, Parliament is going to have

:31:37.:31:39.

to be central to these discussions because our government comes out of

:31:40.:31:43.

parliament. That doesn't mean the executive shouldn't show a lead,

:31:44.:31:47.

that we don't expect and would like our government show that lead, and I

:31:48.:31:50.

think they can but, in the end, all of these things are going to be

:31:51.:31:53.

debated in Parliament, whether government likes it or not because,

:31:54.:31:58.

in our system, Parliament itself can insist on debating things next week,

:31:59.:32:02.

next month, next year. So we are going to get proper Brexit debate in

:32:03.:32:06.

the House of Commons in 2017? I think we are, in fact the Brexit

:32:07.:32:10.

debate has started in the House of Commons and are already proving that

:32:11.:32:13.

the numbers are Parliament do want to have a say in these things and

:32:14.:32:16.

Government is going to have to listen to Parliament. To do that, do

:32:17.:32:20.

you think we need to see a proper plan from the Government before

:32:21.:32:24.

Article 50? The Government have no promise that plan, partly because of

:32:25.:32:28.

Parliamentary pressure, and what you need is that realistic assessment.

:32:29.:32:31.

Let's take the example of a customs union. If we leave the customs

:32:32.:32:35.

union, we can do our own trade deals, that's the argument, so let's

:32:36.:32:39.

do an assessment of how much those trade deals bring, how realistic is

:32:40.:32:42.

it that we can pass them through Parliament, for example, in return

:32:43.:32:47.

for what we blues from leaving the customs union. I want to see those

:32:48.:32:53.

assessments. I'm very open-minded about what the best arrangements are

:32:54.:32:56.

for Britain. I'm a passionate believer in free trade, free markets

:32:57.:33:02.

and access to a global trading system, but let's stopped having

:33:03.:33:09.

assertion and in 2017 start getting into a real debate about the numbers

:33:10.:33:14.

and arrangements that best suit Britain because Parliament is about

:33:15.:33:17.

peoples jobs, the factories, the services that people provide in this

:33:18.:33:24.

country. On the services, as Chancellor of the Exchequer, you saw

:33:25.:33:27.

the tax revenue that came in from the City and the service sector. How

:33:28.:33:31.

worried are you about the future of the City post Brexit? Well, it is

:33:32.:33:38.

not just the City. In Britain's ten largest cities, financial services

:33:39.:33:41.

is the biggest employer and two thirds of all jobs in financial

:33:42.:33:45.

services are outside London. It is massively important to our country

:33:46.:33:48.

and you already have, for example, Lloyd's of London for the first time

:33:49.:33:52.

in its 300 year history saying it is going to have a European operation.

:33:53.:33:55.

You have my successor, excellent Chancellor in Philip Hammond, being

:33:56.:34:01.

told that Japanese banks are concerned. The decisions we take

:34:02.:34:06.

about our financial services operations will have a material

:34:07.:34:08.

effect on this country and by thing we can do a deal where we are the

:34:09.:34:12.

financial services centre of Europe because in my view, the jobs will

:34:13.:34:17.

not simply go to Dublin or Frankfurt, they are much more

:34:18.:34:20.

likely, in my view, to go to New York if we get this wrong. If we

:34:21.:34:24.

have to compromise, for instance on free movement of people, to get that

:34:25.:34:29.

deal, is that worth doing? I would not go into this negotiation

:34:30.:34:33.

necessarily drawing redlines. I would say, we are leaving the EU,

:34:34.:34:38.

that is the only red line I would draw, let's go in and get the best

:34:39.:34:42.

deals are people in Britain, address people's concerns about immigration,

:34:43.:34:45.

which I think are around the fact the people come here and don't work

:34:46.:34:49.

or assimilate into our society. Sajid Javid has a plan today in that

:34:50.:34:55.

respect it up people see that the board is an secure and there are

:34:56.:34:57.

migrants jumping out of lorries at Calais and Dover and so on. There

:34:58.:35:01.

are concerns about immigration which can be addressed but let us not

:35:02.:35:06.

throw out the baby with the bath water and let's not lose the massive

:35:07.:35:09.

contribution that immigrants have made over many centuries and

:35:10.:35:12.

continue to make to Britain's prosperity and society. You've

:35:13.:35:17.

talked candidly about making mistakes in office and how it is

:35:18.:35:20.

different to row back from something you've said. Surely the tens of

:35:21.:35:23.

thousands promise on migration is the single one of those? I think in

:35:24.:35:27.

the end, setting a target we were unable to hit obviously damaged us

:35:28.:35:32.

in the referendum because we didn't really have an answer on programmes

:35:33.:35:36.

like this too, you set this target - how are you going to achieve it,

:35:37.:35:41.

because you've tried all the other levers you've pulled? The problem

:35:42.:35:46.

with any target is, within it are all sorts of different types of

:35:47.:35:51.

migrants. There are people who are coming permanently, for reasons, for

:35:52.:35:54.

example, to be with their family but may not make an economic

:35:55.:35:58.

contribution to the country, and they're coming to be with us for the

:35:59.:36:01.

rest of their lives. There are also students who turn up, our only there

:36:02.:36:06.

for three or four years, and education is one of our biggest

:36:07.:36:10.

exports. It is one of the biggest exports in the world and creates

:36:11.:36:13.

links around the world of affection to Britain. Should they be counted

:36:14.:36:18.

in the figures? When I was the Chancellor, I thought it was not

:36:19.:36:21.

sensible to include them in the figures but that's got to be a

:36:22.:36:25.

collective decision. Two very quick once. Once we get this deal,

:36:26.:36:29.

whatever kind of deal we get, do you think it should be put to the

:36:30.:36:33.

country in a second referendum? Well, the first referendum... No is

:36:34.:36:39.

the answer? The first referendum was enough for me. One question about

:36:40.:36:44.

you yourself. I guess your lowest moment was being booed at the

:36:45.:36:47.

Paralympic Games. Did that really hurt? Well, it hurt partly because

:36:48.:36:51.

my children were in the audience at the time but it made me think again

:36:52.:36:55.

as Chancellor that you can't just hunker down in your bunker. You have

:36:56.:36:59.

to go out there and understand the country you are trying to govern and

:37:00.:37:03.

that's what I'm trying to do now, whether with the northern powerhouse

:37:04.:37:06.

work I'm doing, when I'm travelling to these cities to understand why

:37:07.:37:10.

people feel the systems don't work for them, trying to understand how

:37:11.:37:15.

the politics in our country is shifting, and when you are

:37:16.:37:18.

Chancellor of the Exchequer you take difficult decisions and have to live

:37:19.:37:22.

with them and people judge you by them, but sometimes those moments to

:37:23.:37:27.

help change you for the better. And you want to, as it were, relaunch

:37:28.:37:30.

yourself and you are very welcome here but you are on the wrong show

:37:31.:37:34.

and I wonder whether the makers of Strictly have been in touch. This is

:37:35.:37:38.

one thing where Ed Balls is definitely better than meet it up I

:37:39.:37:42.

watched it last night with my daughter... Have you been asked to

:37:43.:37:48.

go on? I'm sure I have but I have turned it down! I think it is a

:37:49.:37:54.

brilliant piece of television and it is a great success story and well

:37:55.:37:58.

done, or a. Thank you very much indeed.

:37:59.:38:00.

2016 is a year where that over-used word "extraordinary" feels

:38:01.:38:02.

appropriate, so before we talk to our next guest, let's remember

:38:03.:38:05.

some of the political and cultural moments that kept us going on Sunday

:38:06.:38:08.

mornings during 2016, with a little help from some

:38:09.:38:10.

of our musical guests over the last twelve months.

:38:11.:38:15.

We awoke to the news on a Monday morning that he had died

:38:16.:38:27.

and it was a very sad day, a very eerie day.

:38:28.:38:29.

He had managed to turn his final chapter into art.

:38:30.:38:31.

It's not easy, it's painful to resign.

:38:32.:38:41.

I don't want to resign, but I'm resigning because I think

:38:42.:38:44.

If you lose the referendum, do you stay as Prime Minister?

:38:45.:38:49.

The renegotiation is now complete after exhaustive work travelling

:38:50.:39:00.

right across Europe, meeting every single

:39:01.:39:03.

People are beginning to put two fingers up to the political past.

:39:04.:39:10.

The opportunities for people living here in the UK

:39:11.:39:13.

will be more secure, will be better, if we are

:39:14.:39:15.

It's not the Boris Johnson show, it's the Andrew Marr show.

:39:16.:39:22.

A huge torrent of verbal audio has poured on your head

:39:23.:39:27.

The governor will be significantly regretting getting

:39:28.:39:30.

I don't think the UK will be able to stop Turkey joining.

:39:31.:39:37.

There is no possibility of Turkey joining in the near future.

:39:38.:39:40.

The NHS is about as safe with them as a pet hamster would be

:39:41.:39:44.

You kind of want it thematically all in the stew.

:39:45.:39:55.

I've just been doing a lot of that lately.

:39:56.:39:58.

# Tell me if there's something I should say.

:39:59.:40:02.

Do you ever look at your agent and say can you bring me someone

:40:03.:40:05.

who is gentle and motherly and slightly herbivorous?

:40:06.:40:07.

Are you going to be happy with Donald Trump

:40:08.:40:15.

# When your heart is broken down, down, down.

:40:16.:40:30.

Jo was this unbelievable bundle of energy and joy and enthusiasm

:40:31.:40:44.

and she would never rest in peace when she was alive and she would not

:40:45.:40:48.

We can now say the decision taken in 1975 by the country to join

:40:49.:40:55.

You're jumping several steps ahead of me.

:40:56.:41:06.

I'm a young gazelle, that's what I do.

:41:07.:41:11.

This morning it does look as if a full-scale coup

:41:12.:41:17.

against the Labour leader is under way.

:41:18.:41:18.

He's a good and decent man but he's not a leader

:41:19.:41:24.

Well, Hilary confirmed to me in a phone call that he had indeed

:41:25.:41:31.

been collecting signatures for some days.

:41:32.:41:34.

The purpose of being engaged in politics is to secure democratic

:41:35.:41:37.

Let me just say this to Labour Party supporters,

:41:38.:41:46.

Labour members, members of the Parliamentary Labour Party,

:41:47.:41:49.

Project smear, Tories battle to stop Boris, Tories at war.

:41:50.:41:59.

You brought down David Cameron then you brought down Boris Johnson.

:42:00.:42:02.

Some people are saying you are a kind of political serial

:42:03.:42:05.

If you turn to that camera and say something sinister,

:42:06.:42:10.

Well, as I said earlier, there are all sorts of people

:42:11.:42:15.

who will say disobliging things about me.

:42:16.:42:17.

# And after all that's been said and done...

:42:18.:42:23.

That line between public and private life is almost nonexistent any more.

:42:24.:42:30.

Obesity costs more globally than all conflict on the planet.

:42:31.:42:34.

You were the favourite to win, there seems to be no medical problem

:42:35.:42:44.

Yeah, I really struggle in that period.

:42:45.:42:48.

June and July is the worst period for that.

:42:49.:42:51.

# One more night, one more night till the morning...

:42:52.:42:53.

Another Sunday and a new Prime Minister.

:42:54.:42:56.

# One more night, one more night till the day.

:42:57.:42:58.

I'm not going to pretend that it's all going to be plain sailing.

:42:59.:43:01.

We will trigger before the end of March next year.

:43:02.:43:04.

Terrible things were said on all sides, people said

:43:05.:43:09.

They certainly did, I've got a list of them.

:43:10.:43:13.

You've only got half an hour on the programme.

:43:14.:43:16.

All politicians are the same, you hate to say that was

:43:17.:43:22.

a mistake and we get a degraded political discord.

:43:23.:43:25.

It is easy to sit on the sofa and pretend there are no difficult

:43:26.:43:32.

But not on the backs of these people.

:43:33.:43:35.

I'm the person who saw the elephant in the room which was there

:43:36.:43:40.

You should actually be my biggest fan because I've just created legal

:43:41.:43:44.

certainty so that Theresa May can now, rather than appealing, go ahead

:43:45.:43:46.

TRANSLATION: Marine Le Pen being elected French president.

:43:47.:44:03.

Let's turn around and look forward now.

:44:04.:44:12.

If you're confused about the shape of things to come after we leave

:44:13.:44:15.

the EU, my next guest is here to help clear things up.

:44:16.:44:18.

I'm joined by the International Trade Secretary, Liam Fox.

:44:19.:44:24.

A year ago I had you on this show and you were going to campaign to

:44:25.:44:31.

leave the EU and you were clear about what that meant. You said no

:44:32.:44:36.

more paying money into the EU, control of immigration and no

:44:37.:44:40.

involvement in the customs union. Is that still your view? We have to

:44:41.:44:46.

take back our own abilities to make our own laws and get control over

:44:47.:44:51.

migration and determine what was good for Britain instead of having

:44:52.:44:59.

our policy set elsewhere, and to have control of our money. Those

:45:00.:45:08.

three messages resonated. I watched George Osborne said there should be

:45:09.:45:14.

no lines. Do you agree with that? He said there should be negotiation,

:45:15.:45:20.

but the public have made it clear they do not want to see uncontrolled

:45:21.:45:25.

migration and they do not want to see as being controlled by the

:45:26.:45:31.

European Court. We have to listen to what was an instruction from the

:45:32.:45:38.

voters. If we want control over migration, we cannot be inside the

:45:39.:45:40.

European Union. What about the customs union? One of the things

:45:41.:45:46.

about the Theresa May government is it is very methodical in its

:45:47.:45:51.

approach. What we have decided is we all come to these arguments from the

:45:52.:45:55.

referendum campaign with different views, but we have decided to look

:45:56.:46:00.

at the data. We need to have a fact -based decision said George Osborne

:46:01.:46:05.

and I agree with that. Does that mean staying inside the customs

:46:06.:46:10.

union? I want to put this in a non-confrontational way. If we stay

:46:11.:46:16.

inside the customs union we can do international trade deals that your

:46:17.:46:19.

department was set up to create and there is no point in Liam Fox. There

:46:20.:46:25.

are limitations on what we can do in terms of tariff setting which would

:46:26.:46:29.

limit what kind of deals you would do. That is correct. But we want to

:46:30.:46:35.

look at all the different things. It is not hard Brexit and soft Brexit

:46:36.:46:40.

as if it was a soft boiled egg, there are different gradations.

:46:41.:46:47.

Before we make final decisions, we have to look at the costs. It is

:46:48.:46:53.

interesting to hear Liam Fox talking about the possibility of hybrid

:46:54.:46:56.

arrangements because you have always been the arch free trader in terms

:46:57.:47:01.

of government ministers. You want to go out into the world and create

:47:02.:47:05.

free trade deals, but inside the customs union we cannot. Liam Fox

:47:06.:47:11.

accepts that is a possibility. The government will come to a view on

:47:12.:47:15.

this once we looked at all the issues. We cannot go for a quick

:47:16.:47:20.

result, we have to get the right result. Whatever result we come to,

:47:21.:47:24.

we have to put in front of the British people the reasoning for

:47:25.:47:29.

coming to that result. You are open to the possibility of staying inside

:47:30.:47:34.

the customs union? I will argue my case inside Cabinet rather than on

:47:35.:47:38.

the TV. You have always been outspoken about this. I remain as

:47:39.:47:44.

George Osborne said an instinctive free trader. In the global economy

:47:45.:47:49.

at the moment the rate of growth of trade is slowing down and it is

:47:50.:47:54.

slowing down below global GDP. We have to have a more open global

:47:55.:47:57.

trading environment and at the moment the only place where people

:47:58.:48:02.

are talking about imposing impediments to trade and investment

:48:03.:48:06.

that do not exist at the moment is the European Union and that does not

:48:07.:48:11.

make sense. In September you talked optimistically about the joys of

:48:12.:48:17.

being out of the EU and in the World Trade Organisation environment. Do

:48:18.:48:21.

you accept that would mean tariffs between our farmers and our

:48:22.:48:25.

businesses and the EU as it exists? Quite substantial ones. That would

:48:26.:48:31.

depend on the choices we make. It is important to have continuity in our

:48:32.:48:36.

trade. It makes no sense to pose tariffs across the European

:48:37.:48:41.

continent. To lose advantage would it be to have tariffs against French

:48:42.:48:45.

goods. It does not help the farmers or our businesses. You said you were

:48:46.:48:50.

in favour of continuity. There has been a lot of talk about

:48:51.:48:54.

transitional arrangements so we avoid the cliff edge between being

:48:55.:48:59.

in the EU and outside the EU. Are you also in favour of transitional

:49:00.:49:05.

arrangements? It depends what the arrangements we come to with the

:49:06.:49:08.

European Union and the timescale we implement it and there are many

:49:09.:49:12.

variables within that. People are saying every day this could happen

:49:13.:49:16.

and this might happen until we get a clear plan. But you have to look at

:49:17.:49:24.

the business we have, nationally and internationally and the impact it

:49:25.:49:29.

will have on International trade to minimise disruption on that. But you

:49:30.:49:32.

cannot buy back into so much of the European Union which is what some

:49:33.:49:39.

people have told us to do. You have got a strange job because you are

:49:40.:49:43.

talking to people in the world about what might happen after we leave the

:49:44.:49:47.

EU, but you cannot yet say what situation we will be in. Do you have

:49:48.:49:52.

any basic assumptions about the state we will be in as we leave the

:49:53.:49:56.

EU which will inform conversations you have with the Australians and

:49:57.:50:01.

the Americans and the Koreans? First of all we have to get Britain's

:50:02.:50:06.

exporters up. We had a successful trip with the Prime Minister India

:50:07.:50:12.

where we got billions worth of orders. We have got direct

:50:13.:50:16.

investment into Britain and also British investment elsewhere so we

:50:17.:50:21.

can help mature other markets which then become an opportunity for us.

:50:22.:50:26.

On the trade policy element we have got the Brexit discussions which

:50:27.:50:30.

will have an impact elsewhere. But there are other issues about how you

:50:31.:50:35.

liberalise global trade. In particular it is not just tariffs

:50:36.:50:39.

that are the problem. It is nontariff barriers that we should be

:50:40.:50:44.

talking about liberalising. We should be thinking about it more

:50:45.:50:47.

because it is one of the best ways of taking people out of global

:50:48.:50:54.

poverty. You can have conversations about nontariff barriers, but you

:50:55.:50:58.

cannot have conversations about Peter trade deals until you leave

:50:59.:51:02.

the EU? We are not allowed to negotiate trade deals until we

:51:03.:51:07.

leave, but it is rational to have discussions about trade

:51:08.:51:12.

liberalisation in general. You can prepare a lot of ground work. Does

:51:13.:51:16.

that mean on the day we leave the EU you could be ready to sign

:51:17.:51:19.

free-trade deals between America and others? The first thing we want to

:51:20.:51:25.

do is maintain the continuity of agreements we have. We have 35

:51:26.:51:30.

free-trade agreements with other countries. We want to maintain the

:51:31.:51:34.

stability of those and market access. We have had some good

:51:35.:51:38.

discussions with South Korea in London a couple of days ago. It is

:51:39.:51:44.

important to stress we want the European Union to be successful, we

:51:45.:51:49.

want it to be a strong trading and economic and security partner for

:51:50.:51:55.

the United Kingdom. If we can come to an agreement that minimises any

:51:56.:52:00.

trade barriers, it is good for the people of Europe. It is worth

:52:01.:52:04.

pointing out because there has been a lot of talk about people's in and

:52:05.:52:10.

how far you go and when you get restrictions on trade it hurts the

:52:11.:52:15.

poorest the most. We have got to ensure they are not the victims of

:52:16.:52:22.

politics. When you launched the Vote Leave Campaign, you are sure we

:52:23.:52:26.

should not be paying money into the EU after we leave. Is that still

:52:27.:52:32.

your vision? There might be things outside the European Union. ?5

:52:33.:52:40.

billion a year that Mark Carney was talking about. I would expect things

:52:41.:52:47.

to continue through the Dutch and the French and the German elections

:52:48.:52:51.

and my job is to help us prepare for what happens once we have left the

:52:52.:52:56.

European Union itself. Do you think once Article 50 is triggered it is

:52:57.:53:04.

revoke a bull? Once we get there is not a matter of legality, it is a

:53:05.:53:12.

matter of democracy. As we get into 2017I hope the people accept the

:53:13.:53:16.

public have given us an instruction. We said we would ask the public to

:53:17.:53:21.

tell us what to do about the European Union. When people try to

:53:22.:53:26.

undermine the result I say, what do they not understand about democracy,

:53:27.:53:32.

referendum or binary? People did not vote on the deal you will eventually

:53:33.:53:37.

get. That is hugely important and it is important that House of Commond

:53:38.:53:41.

have a proper chance to vote on the detail of any deal that you do. The

:53:42.:53:46.

House of commons will have endless opportunities to debate on these

:53:47.:53:51.

issues. We have a debate coming up quite soon. There will be ongoing

:53:52.:53:58.

scrutiny. Including a vote? The public voted to leave the European

:53:59.:54:02.

Union. Constitutionally it is the job of the government to carry out

:54:03.:54:07.

the public's instruction and it is Parliament's job to scrutinise. And

:54:08.:54:12.

to vote on that. The public did not vote as to if we should be in the

:54:13.:54:18.

customs union and other issues. You can have a referendum on all those

:54:19.:54:23.

things, but the public were clear, we were to leave the union as it is

:54:24.:54:28.

now and no going back on that. Of all the leading Tories you are the

:54:29.:54:32.

closest to the Americans and the Republican party and you now have

:54:33.:54:35.

Nigel Farage offering himself as a bridge. He says that people like you

:54:36.:54:41.

have to them not to speak to him. That is pretty petty. We have had

:54:42.:54:48.

long-standing understanding things about how we deal with an incoming

:54:49.:54:54.

administration in this country. We have a full diplomatic team that was

:54:55.:54:57.

close to both the Hillary Clinton and the Donald Trump team is

:54:58.:55:01.

preparing for the relationship we would have. They are working on that

:55:02.:55:06.

at the moment. The administration is not the only part of the American

:55:07.:55:10.

government and we have strong links with Congress. We need to work on

:55:11.:55:14.

all of those. We do not need anything that is an adjunct to what

:55:15.:55:19.

the government has done successfully in the past. If Nigel Farage has

:55:20.:55:23.

this good relationship, and he clearly does, and he is offering

:55:24.:55:29.

himself as a go-between, is it small-minded to turn him down? We

:55:30.:55:33.

have got a perfectly good ambassador at the moment and the last time I

:55:34.:55:37.

looked there was no vacancy. And do you have a good relationship with

:55:38.:55:42.

the administration? I have not met Donald Trump. I know the likely

:55:43.:55:48.

Defence Secretary in the US and there are strong links and we will

:55:49.:55:52.

want to pursue those and we want to ensure our trading and economic

:55:53.:55:56.

relationship with the United States, our single biggest economic partner,

:55:57.:56:02.

will be fruitful in the future. If in 2017 you take these details to

:56:03.:56:06.

MPs and you lose important votes, should you go back to the country

:56:07.:56:12.

for a Brexit referendum next year? The last thing we require is

:56:13.:56:17.

political uncertainty. We will have elections in the Netherlands and

:56:18.:56:21.

France and Germany and that is quite enough for 2017.

:56:22.:56:25.

Andrew Neil with the Sunday Politics.

:56:26.:56:30.

He'll be speaking to the former Conservative MP Stephen Dorrell

:56:31.:56:32.

who's calling for a second EU referendum, the Australian High

:56:33.:56:35.

Commissioner, Alexander Downer, on the opportunities of Brexit,

:56:36.:56:37.

and he'll be asking John Sauven of Greepeace if the air we breath

:56:38.:56:40.

is really "disgusting, dangerous and deadly".

:56:41.:56:42.

We'll be back on the 8th of January at the usual time of nine o'clock.

:56:43.:56:55.

For now, as promised, some jolly music.

:56:56.:56:57.

This Thursday morning on Radio 3 the BBC Singers will be performing

:56:58.:57:00.

the winning carol from Radio 3's Breakfast Christmas

:57:01.:57:02.

In the meantime, they're here with something a little more

:57:03.:57:06.

traditional to close the show in a festive mood.

:57:07.:57:09.

# Ding dong! Merrily on high in heav'n the bells are ringing

:57:10.:57:14.

# Ding dong! Verily the sky is riv'n with angels singing

:57:15.:57:18.

# E'en so here below, below, let steeple bells be swungen

:57:19.:57:45.

# And i-o, i-o, i-o, by priest and people sungen

:57:46.:57:50.

# Pray you, dutifully prime your matin chime, ye ringers

:57:51.:58:17.

# May you beautifully rhyme your evetime song, ye singers

:58:18.:58:22.

You are charged with the murder of Mrs Emily French.

:58:23.:59:05.

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