BBC On The Record - Broadcast: 07.05.00



==================================================================================== NB. THIS TRANSCRIPT WAS TYPED FROM A TRANSCRIPTION UNIT RECORDING AND NOT COPIED FROM AN ORIGINAL SCRIPT; BECAUSE OF THE POSSIBILITY OF MIS-HEARING AND THE DIFFICULTY, IN SOME CASES, OF IDENTIFYING INDIVIDUAL SPEAKERS, THE BBC CANNOT VOUCH FOR ITS ACCURACY ==================================================================================== ON THE RECORD RECORDED FROM TRANSMISSION: BBC ONE DATE: 07.05.00 ==================================================================================== JOHN HUMPHRYS: Good afternoon. There's been a breakthrough in Northern Ireland but will it satisfy the hardliners in the Ulster Unionists? I'll be talking to the leading opponent of the Good Friday agreement and to the chief negotiator for Sinn Fein. What has the government learned from its drubbing at the polls on Thursday? I'll be asking John Prescott why Labour's voters stayed at home and how is HE going to deal with Ken Livingstone. That's after the news read by GEORGE ALAGIAH. NEWS HUMPHRYS: The IRA statement yesterday raised real hope of a lasting peace and a new future for Northern Ireland. But there are still problems and I'll be talking to both Martin McGuinness of Sinn Fein and Jeffrey Donaldson of the Ulster Unionists, the man who's been most identified with the opposition to the Good Friday agreement. JOHN HUMPHRYS: But first ...where did all the Labour voters go on Thursday? Stayed at home, it seems rather than turn out to support the government they had put into power so enthusiastically a few years ago. Or, in the case of London, turned out to vote for Ken Livingstone rather than Frank Dobson. The question, rather, perhaps is why .. and what does Labour need to do to make sure they turn out for the big event when Tony Blair finally decides to call a General Election. Well that may partly depend on how the government deals with the new Mayor of London, Ken Livingstone. The Deputy Prime Minister John Prescott is with me. You have created a bit of a martyr in Mr Livingstone haven't you Mr Prescott and it was inevitable that he would be elected and you sort of made a rod for your own back haven't you? - not you personally you understand. JOHN PRESCOTT: Well we actually had a Labour candidate - Frank, a pretty decent guy and he was the man we put forward, he was the man who won the vote and we put our candidate forward. Ken broke all his promises and decided to run as an independent. He is now the Mayor of London and as the Mayor of London it is right for us to discuss with him how we improve things in London. HUMPHRYS: Not going to be easy for you though is it because there is a good deal of bad blood between you. PRESCOTT: Well I've listened to the interviews and again this morning with Ken Livingstone, he's a pretty practical man and I think the language changes from day to day and that's what makes for a certain amount of difficulties with dealing with Ken. But if you take the Underground as a quick example, in that case he is prepared to say that he will look for the best value for Londoners and he says he agrees with me, that's what I am intending to do so perhaps there are ways of finding agreements on these matters, recognising the commitments of government and his desire to see with us a better service in London. HUMPHRYS: Come on to the Underground in a bit more detail in a moment if we may but the sort of thing I had in mind was the kind of language that was used during the campaign. I know things get said in campaigns that can be fairly heated but I mean you did suggest on one occasion that he wasn't telling the truth, difficult stuff that to deal with later isn't it? PRESCOTT: Did I say he wasn't telling the truth? - you'd have to refer to the incident.. HUMPHRYS: You said Ken should stop telling lies when he was describing your policy on the Underground. PRESCOTT: He was describing it as privatisation, it's not privatisation, clearly there isn't an equity share here, it's owned by the public London authority, all the assets are returned to the London authority and I think to try and dress it up as privatisation or indeed to suggest that it would be less safe as he was tending to do or indeed that bond financing would solve those problems. I don't think he was putting the full case and in some case he was certainly putting what was not true. HUMPHRYS: But in terms of you having to deal with him, wouldn't it be better if he were back in the fold in the Labour Party, which he wants to do. He told me the morning he was elected that he wants to be back in the Labour Party, that's what he would like. PRESCOTT: Ken changes quite a bit doesn't he. I mean he expelled himself. He did it himself, he knows the rules in the Labour Party, if you stand against the official Labour candidate you will be expelled. That's happened to a number of people. As to whether they can apply, well we have rules there again. But at the moment he's the Mayor of London. Our job is to get on with him and see if we can improve the services in London, afterall we were the ones that have brought government back to London, we were the ones who proposed a Mayor in London in these circumstances. We want to get on with it, it's part of our decentralisation of decision making. I as a Secretary of State have certain powers in that as laid down under legislation agreed with Ken and he has certain powers as the Mayor and out of that we will have our discussion. HUMPHRYS: But what if he does apply. I mean if he put in a formal application tomorrow and said: let the past be the past, I want to rejoin the Labour Party, I want to be the Labour Mayor for London, what would your attitude be. PRESCOTT: My attitude, I wouldn't be accepting his application for membership if he applied tomorrow. I mean he's fought a campaign on his own manifesto, he rejected Labour's manifesto. Now I won't go into all the history of that which led to these complications but now the job is, as he has decided to be, to be an independent Mayor, he wants to negotiate to work with government, he's had his talk with the Prime Minister. He clearly will be wanting talks with me and I want to get down and deal with that. The whole business of whether he reapply for the Labour Party is one for our executive, or our conferences and others have left the Labour Party and have rejoined as you know.. HUMPHRYS: After five years, that's the statutory period. PRESCOTT: Well it's the rule of the period in the rule book at the present time. The executive always have extra powers in these matters.. HUMPHRYS: So it's not necessarily five years without time off for good behaviour is it. PRESCOTT: I think Ken decided to leave the Labour Party. It was his choice. I support Labour Party candidates, I support Labour manifestos, I get on with that job. Ken has rejected all that and for that sense he expelled himself from the Labour Party. HUMPHRYS: Alright. You're going to be meeting him, apparently this week to talk about the London Underground amongst other things. What's the point... PRESCOTT: I haven't had any application from Ken, but he's only just become Mayor to be fair and .... HUMPHRYS: I thought that was a done deal, you're not..it's not confirmed then? PRESCOTT: No, but I will meet him. HUMPHRYS: So if he says, I'd like to meet this week, you will say sure. PRESCOTT: Of course, I mean I am the Secretary of State responsible for a lot of local government in Britain and London is one of it now. I will certainly be meeting him yes. HUMPHRYS: But it's quite difficult to envisage that meeting in a way isn't it, to imagine what you will be talking about. I mean are you going to try to persuade him to accept your policy or are you going to be negotiating with him? Because clearly you have different views on what should happen with the Underground. PRESCOTT: With the Underground it's quite clear and I've agreed a public private partnership. We have legislation before Parliament that has now been passed which has said that's what..how we will do it. Ken voted for it, both in the Committee and in the Commons and I have to get on with that public private partnership deal for the Underground. Of course what I have said and I notice that Ken is now saying well he would like to see the best value for Londoners and that's of course what motivates me and I have to have a public comparative to show that this public private partnership is the best way of raising finance and the best value for Londoners. I have always had to do that, that's always been my view and I see that Ken now says that he will judge it when it comes to that time on best value. Fine. HUMPHRYS: So would you make concessions yourself. I mean if he says look I'll give a bit here, would you say well I'll give a bit there. PRESCOTT: What do you mean, the concessions on the public private partnership? - no the criteria will be, we have decided to go, we are in the midst of negotiations, we are selecting out the ones that will be doing the improvement of the investment in the infrastructure and we will conclude that agreement. I have to meet the criteria of best value. There will be a lot of people examining that and I have to justify that and there's no reason and nor am I required to, to come to different agreements with Ken about it. And anyway can you imagine the set of negotiations if I were to say all of a sudden, I'm going to meet Ken and talk about the negotiations and whether he agrees or not agree, negotiations would completely vanish and then there would be further delay in the Underground while he was sorted out, who had the right to make the decision about the contract. Now that would mean we would be going into another three or four years before you could get anything done on the Tube. I am not prepared to do that. What is best for London is to get the investment and the long term investment. One of the problems with the Underground it's been plagued by political differences between government's and Treasury rules and now it could be presumably be between different Mayors. What we want is long term solutions to these difficult problems and that's what I am about to implement. HUMPHRYS: Now the trouble with that attitude though is that you could have two or three or four years of legal delays couldn't you because Mr Livingstone was saying this morning that he might have to take it to a judge. Well once you get the law involved in these matters God know where it's going to end. PRESCOTT: Yeah, yeah. But I mean I think he said that to us about the levy that was on the utilities to pay for the unemployment programmes. I mean people will make.... HUMPHRYS: ...he wasn't in... PRESCOTT: What I am carrying out is what Parliament is agreed: what is our policy, what I put through on legislation and that's what I am required to do. I mean I'll let Ken go and make all his legal advice, I mean it might be difficult that he has got to give these answers at this moment because he's got to make some adjustment. I don't know, it's up to Ken. What's clear about me is that I have an obligation to bring in the public private partnership, to prove best value and if I do that we'll get on with the contracts. HUMPHRYS: So, if he takes it to court you'll fight him in the courts? PRESCOTT: Well I mean.... all sorts of people threaten to take me to court - local authorities about land deals and God knows what. That's a constant threat, constantly made. I can't divert my energies. If as long as I meet the requirement of bringing in a public/private partnership it is of best value and I'll get on with the job. HUMPHRYS; But you could take the view couldn't you that an awful lot of people voted for Ken Livingstone, more than have ever voted for any democratically elected politician in the land ever and they voted for him on the basis of his manifesto and they knew perfectly well what he wanted to do with the London Underground so if you were a true democrat perhaps you'd have to say ' well, that's what the people want.' Maybe you should take a different view. PRESCOTT: Everybody was clearly of the understanding and I made it clear right at the beginning, this is the way we will finance the Underground...... HUMPHRYS: .....and they voted against you...... PRESCOTT: ....and we have separated the Underground from the control of the Mayor until these contracts are agreed, there can be no doubt about that. Ken understands that and that's exactly what I'm proposing to do. As for mandates, Ken may have ...... begin with his thirty odd per cent for his mandate in the first tranche of voting. There are what...? Nine Tories and nine Labour in the Assembly? They've all got their different manifestos - the Greens as well. He has to come to an agreement with the Assembly but that's the whole nature of coalition politics we're about to see here in London. I'm not a great fan of it myself I'm bound to say but that is the nature of the politics that Ken Livingstone will have to deal with as Mayor. I have given you the government's position - that's what we intend to do and I want to see that Underground improved. For too long it's been plagued by political indecision, by various governments over a long period of time, particularly the last one. I'm getting on with the job because Londoners want me to get on with the job. HUMPHRYS: You're not a fan of coalition governments as you say, you're not exactly a huge fan of any sort of proportional representation. What you've done with creating mayors, we've seen it now with Ken Livingstone as you say is you've got this whole business of setting up these mayors for big cities is you've created another big rod for your own backs in government haven't you? PRESCOTT: Well we're giving choice to people and we'll see whether people actually by the referendum and the proposals we have or individual proposals whether they want a mayor in these different cities, I'll wait and see. It's controversial in all the areas frankly. It's true I'm not a great fan of it but we have given the choice, it's part of our decentralised framework and I think that's important. We're modernising an awful lot of local government with legislation we've put through now. One of those options is they can have an elected mayor but I hear many differing views about whether they want them or not or whether they're influenced by this London election. I'll wait and see but we have given the choice to the people yes. HUMPHRYS: But it is causing problems within your own party isn't it? PRESCOTT: In what way John? I mean there is some honest discussion, some want an elected mayor some do not, I don't think it's a major problem for us but it's a matter of debate that's going on about it. HUMPHRYS: But doesn't that depend on how you go about it? I mean the problem that you've had in London is that the party's, under Tony Blair, the party's centralising tendencies have come to the fore haven't they? You're going to have to stop that aren't you? PRESCOTT: Well when you say the centralising tendencies I understand what you mean by it but a lot of decentralisation has been going on in the party as well as the actual government structure. We have more people now deciding policy than has ever been before. Before it was just the National Executive and that's a considerable change. In our, what we call twenty-first century party changes we're looking at a number of voting systems, the complaints that people have against the existing system so we are constantly in the process of change, we are a party of change, very much to the long term, making the changes that are necessary, modernising our own party as well as indeed the government structure. HUMPHRYS: But you got it wrong. Everyone gets it wrong from time to time. Tony Blair....... PRESCOTT: I don't think.... I mean actually Tony's actually said himself that perhaps he thought that decision wasn't as good as what it should have been....... HUMPHRYS: Well he apologised for Wales didn't he? I mean specifically. He did so in an interview with me only a few weeks ago and he said 'yeah, perhaps we should have walked away from it'. PRESCOTT: I think he meant for what happened in Wales rather than Wales itself..... (laughter) HUMPHRYS: As a Welshman I'd have to agree with that........ Should you perhaps have apologised for what's happened in London to the people of London? PRESCOTT; No I don't think so. Not for one moment. I mean basically we did have an electoral process there with regard to the Mayor which was the electoral college and Frank was chosen under that position. Under the electoral system we had a candidate, I don't think we have to apologise for that. If people have got doubts about the electoral system and think that's not a good way of doing it, and there's lots of views expressed about that, then there is a situation in the party that we can actually make the changes if they so wish. Take the European elections which were the change a break, if you like, from the member in the constituency. None of our constituency party didn't like it. A lot of them didn't turn up because they didn't feel they had a connection and we are now looking at the rules and how they apply. It will still be proportional representation because that is required under the European legislation but there's no reason why we can't find a system where the members of parliament have a direct connection to a European constituency basis. The curious thing is that some of the MPs are already doing that now, formulating their own, so we are looking at that. So in all these areas we're quite prepared and indeed it's in our constitution that if people don't like it they can seek to change it whether it's the electoral college for the election of leaders, one member one vote or the Euro elections and a lot of that is going on at the moment. HUMPHRYS: So clearly what they didn't like was stitching things up through the sort of electoral college that you had to favour your own choice - that'll have to stop won't it? You won't do that again will you? PRESCOTT: Well I think part of the problem is what you mean by 'stitch up'. I mean if you're saying that in a federal structure John, it's a very important point, where the trade unions have a third of the votes and the constituencies have a third and the Members of Parliament. There are people who said that the Member of Parliament vote is far too high as a proportional third for the amounts of Members of Parliament. There are people who have been critical about whether it's the trade unions. HUMPHRYS: Well specifically about whether the trade unions should have balloted their members. Tony Blair told us that it was exactly the same system that elected you and him as leader and Deputy Leader of the party and of course it wasn't was it..... PRESCOTT: Yes it was...... HUMPHRYS: Well no it wasn't because they didn't have to vote...... PRESCOTT: But let just say why I think it was, and then you can make a judgement about it because I think there was some misunderstanding about that. The principle was the same but there was one difference in a way, there was a certain amount of voluntarism in that. It was required of the trade unions perhaps to ballot their members, right? They voluntarily agreed that and then we went on to change the rules in our deputy leadership thing. In this one because we then, the executive decided to have this electoral college we appealed to the trade unions to actually do that, to have a vote among their members. One or two said (INTERRUPTION) well one or two, no, well let me come to that point, it's not written to the rule as such for the election of a mayor, because this was a new precedent in this sense, but in this case they were not prepared to work voluntarily on it. They said that, no, it's too expensive, we don't want to do it that way, we've got our consultative councils. Now I've no doubt that even now there will be people saying: Look if we have our leaders elected and you have to vote on union members then it should be for this kind of system if that's what we're going to use for future mayoral elections. But all these are under discussion...... HUMPHRYS Oh right. PRESCOTT: .. and consultation in the party in the Twenty-First Century. HUMPHRYS: Ah so,..... PRESCOTT: The document we have out which comes to a conclusion I think in July. HUMPHRYS: Right. So you personally wouldn't like to see that same system used again would you? PRESCOTT: Well, I've always felt that I think there should be an elections and members - you mean the electoral college for the mayor? HUMPHRYS: The sort of electoral college we had ... PRESCOTT: Well I don't think that helped us. I think a lot of people misunderstood it. I don't think it was helpful to any of the constituent parties whether it was the trade unions or the mayor, and there's no doubt that those discussions will go on as to whether this is an appropriate way of doing it. HUMPHRYS: And your advice will be... PRESCOTT: What we did, we had it for leaders whether it was in Wales. Scotland or the National Party, and Tony and myself. Mayors was a new area and the executive took the decision to apply this balance between the trade unions, MPs etc, and there's been some controversy about that, but those matters can change, but it requires you to get an agreement and go to the party conference to change it. HUMPHRYS: But your view would be that you shouldn't have the same system applying in future that resulted in Frank Dobson for instance being elected... PRESCOTT: I think there are differences between electing a mayor and electing a leader of a party for in deeds you see in Scotland and in Wales I certainly do defend the electoral college. I think it allows for the difference constituent parts of the Labour Party. When I hear some of the trade unions saying for example that we'd like to move to just one member one vote, I've got a pretty strong view about one member one vote, but in the leadership, within the framework (INTERRUPTION), yes, but within the framework, so you should still have the one member vote if electing, and that applies to trade unions, but basically we have - that should be true for the leaders, I don't think it's a system as best used for mayor, so the trade unions should say to themselves, do they feel they need to be involved in the election, in the electoral college way for mayors. It's local government frankly, it's decentralised, and I'm not convinced that the case is made. HUMPHRYS: Right, and clearly it didn't help you this time around with the .... PRESCOTT: No, I think a lot of people had a lot of controversy about it John, HUMPHRYS: And the problem, the reason for that is because you were seen, the party was seen rightly or wrongly to be a bit arrogant, to be a bit control-freakish and all that sort of thing. Do you accept that that was one of the reasons why the voters didn't turn out for you the way you would have hoped that they might? PRESCOTT: It might have been because I think there are a number of reasons why they perhaps didn't turn out. I mean most of all I think is because they felt we weren't delivering, I've heard that constantly from people. They misunderstood some of the policies, for example the seventy-five p for the pension. Most pensioners said, look that's all I'm getting a week, but if you actually see what was given in total resources and the cold weather payments and put that into a weekly payment you've got a higher figure, but they didn't see it that way. HUMPHRYS: Well, they didn't want it that way, they wanted an increase in their basic pension. PRESCOTT: It is a very important point John. Most of our people on the doorstep, when they explained it to them and then they understood they didn't pay tax on it, but if we'd have given it them totally on the weekly payment they would have paid tax on it, or it would affect other benefits, so to that extent whilst I can rationally show you how they're better off the real point is what is the perception of people on the door. Now that is a lesson for us, how do you best get across what is motivated by a desire to help the real poorest in the pensioners and the huge scale of resources we have put into the pensions, when they go to pick it up and they pick up the pension book and it says seventy-five-p you and I know precisely what discussions will go on about that. Now that's a lesson for us to learn. These elections have said to the Labour Party: Look, we wanted you to deliver, we believed in your programme, - in a way they hadn't believed in any political programme before because they gave us such an overwhelming support and we have to show that we're delivering on that. I would say to them though John, it is a five year programme that we talk about here that they expect us to deliver on and you know I've always waved my card at you. HUMPHRYS: Oh yes.... PRESCOTT: And we have delivered on nearly three-quarters of that, but at the end of the period we have to show that we're delivering, and at the moment there was another factor I think affected the elections. You know, that the first two years we decided to accept the previous government's arrangements on public expenditure, because we wanted to sort out the public expenditure programme, and we've done that now, but it meant you didn't get much gains in the two years, and people now say you're in three years, where's the delivery, whereas most of the resources we're now pouring into the public services are only just beginning to materialise, so now we have to get that over to people. HUMPHRYS: So you couldn't for instance, to return to the pensions thing for a second, you couldn't go into another election given that the circumstances were similar and inflation was much the same with another seventy-five or eighty-five pence increase. I mean that wouldn't be.... PRESCOTT: Well, Gordon's already said hasn't he that he will actually be putting more onto the basic pension, he's talking about two or three pounds, that he would do it that way. That would be on top of what we've done for cold weather payments and the minimum income guarantee. So we will be able to show.... HUMPHRYS: I didn't think he'd actually made that a commitment? PRESCOTT: Well, he said - well he has to make his public statement, but he has said in the House of Commons and in other places that he wants to do it in that area next time. Let us wait and see, but I think that is a lesson that we would learn, and when the electorate are saying to us, particularly the pensioners I don't like it this way, our governments have got to try and deliver programmes that they like it being delivered to them, and it's alright us being intellectually convinced that this is the best way to do it for the poorest pensioner if the people on the doorsteps of the pensioners don't believe that that's benefiting them. For example, if you set a hundred-and-fifty pounds on cold weather payments, sure that's a hundred pound more than there was there before, they say: Ah, but that's for cold weather payments, that's nothing to do with my pension, and really we have to take that into account. Governments are elected by those people, not by a kind of scoreboard as to whether it was intellectually right, that we should do it, a, b, c, d. That's what we learnt from this lesson, to get the judgements right. HUMPHRYS: So on that basis perhaps it was a mistake to stick to the Tory spending plans for as long as you did, two years. PRESCOTT: Well, I don't think so, but then we have to convince them of that. I mean we have made, Gordon Brown has made a radical transformation in public finances and said we'll begin to get the benefits once we've done the two years. We fought the election on that. One interesting example is, we've spent four thousand billion pounds less, - four billion pounds less now on interest payments than was paid under the great debts that we incurred from the Tories. That was transferred to health and education. Now we'll begin to see some of the pay back if you like, having transformed that, get stability into the economy and do what I've done with public/private partnerships, releasing twenty billion pounds raised by the private sector whether it in the NATS, the underground or the Channel-Tunnel Rail Link, taking that pressure off the public expenditure, so we can find more money for health and for education, and as for the twenty billion pounds on the mobile phones,..... HUMPHRYS: Ah yes. PRESCOTT: Every paper I see has spent it, whether it's into the Midlands area, whether it's into health whether it's education.. You know John, one thing about Labour, in its period of office nobody was ever in doubt we could spend money. The real problem was whether we could raise it, and do it in a much more stable way. We have introduced and Gordon Brown has greater stability in the economy. It is producing greater amounts of resources and they will be benefited in our public services, and greater growth in the economy. HUMPHRYS: But your problem has been hasn't it, that the perception has been that you've consistently talked big and delivered relatively small. As you say there were expectations built up, but maybe there was a bit of spinning going on.. PRESCOTT: I think there is a problem there John. I mean when we announced those big amounts of money going into health and education, it was in the second year. Well in the second year we knew that there wouldn't be spending in the two years because we'd made those agreements and I think people rather thought it was going to come immediately when you announced it even though we were saying it's...Gordon spelt out all these years. So I think we are a little bit ahead of time and raised those expectations. I think that was a concern. But the broader principle is this, we have taken the view it's the long term we have to deal with and what we have to do here is get some of the decisions right, getting stability back into the economy, getting a fundamental reform of the public finances so to get the benefits at a later stage. We have taken long term not short term decisions, that's what I am doing on the Underground, taking the long term investments which will benefit us rather than the problems that come from short term. HUMPHRYS: In a sense I wonder whether you have learned the lesson because you've talked now about putting billions and billions of pounds in the National Health Service, one wonders how many times the spin doctors or whoever it happens to be will tell us how many times that money is going to be spent. PRESCOTT: You know sixty-four billion pounds going into the Health Service, everybody is agreed, nobody has seen those resources going into the Health Service before and it's a very interesting point because if you'd try and raise that kind of money over the next three or four years which we have now committed ourselves to do to put into the Health Service then in those circumstances we have to find the money and one very interesting point is that we have had to learn like everyone else, Health Service and Education will increasingly take a greater proportion of the GDP than just assuming you put the same amount of money in, even keeping up with inflation that is the nature of what has happened and that is why I have been very strong about fighting for public private partnerships. Controversially in our party I have had to argue my case for them but if I can raise money from a private sector in public private partnerships I can deal with the essential principle of health - that treatment should be based upon need and not your ability to pay and in a modern economy that is quite an expensive proposition. HUMPHRYS: Somewhere else where you have been highly controversial is with NATS - National Air Traffic Service - the Air Controller people. Now you've got the vote coming up this week and you have an awful lot of opposition to you from people who say, including..many of your own backbenchers who say this is not what we put a Labour government in power to do. Particularly since you'd said when you were in opposition we are not going to do it. PRESCOTT: Well that's interesting John because during the election I think you asked...some of the questions, if you expect the public expenditure probe, if you accept the Tory one what you do about NATS because the amount of money from... HUMPHRYS: You do what you said you were going to do - our air is not for sale.. PRESCOTT: No we didn't, please... HUMPHRYS: ...that's what you said at the.. PRESCOTT: ...your memory's a bit slight... HUMPHRYS: ..my memory is spot on, I can remember Mr Smith saying it at the Party Conference... PRESCOTT: ..no, no, please, please John you are usually fairer than that. He did say that at the conference during the election when we accepted the .... HUMPHRYS: oh indeed during the campaign itself.. PRESCOTT: ..that's what I am talking about. And we said we accepted it, so they said and you people said does that mean you accept the privatisation because the money from the sale was going to be fed into that two years, we said no we'll do a public private partnership, so we said it at the election, my job then therefore was to get on with that job and of course it's controversial and all these public private partnerships are different horses for different courses. On the Underground it's not private capital, they borrow, the assets come back, it's owned by the people of London and on the Channel Tunnel Link it's a different system. On the NATS one it wants a billion pounds. Now the billion pounds can be raised in the revenue way, what we have got to make sure it's a safe system, I am changing the safety structure in NATS more than what the Select Committee asked for, I'm taking safety away... HUMPHRYS: The Select Committee say it's the worst of all possible options. PRESCOTT: Yeah I think I've pointed out four hours discussion on what we were doing is hardly the way of actually describing an option. But let me just give you the facts, they asked me to transfer the safety onto a separate body and away from the operator, I've not only done that I've actually after discussions with Trade Unions about these matters, listening to their fears, they've not necessarily endorsed that, they're in opposition to it, I understand that but we have improved the safety so the hours are controlled, the skills are controlled, the inspectors, all that way it is a gold plated safety system. Secondly, I want to have the opportunity to reduce some of the inefficiencies that have occurred in there. You know it's five years behind time, two or three hundred million pounds over budget. A public private partnership would sharpen that up. Thirdly, you know Europe has got something in our global airlines, everybody gets together in global alliances now in the global economy. There is something like forty-five air traffic controls in Europe, it would be reduced to five or six. I want to see Britain to the fore, like BAA yesterday announcing they are taking over the American airport system to do a better system, to grow, to get more value for it. I have got government control, I have got directors on, I have got greater accountability, there's share distribution. This is a great opportunity, public private partnerships provides money and it is indeed a cornerstone of this government's policy. HUMPHRYS: Just look at the broader picture for the last minute or so that we have got left. You've acknowledged that you have got somethings wrong over the past few years. A lot of people perceive it as being that there's been too much spinning and not enough delivery - in part yourself. Now we read this morning that there's going to be a Cabinet reshuffle and that Peter Mandelson is going to be brought back to London so that he can be put in charge of the whole campaign.. PRESCOTT: Look John, every time at this time of the year we get the whole stories about reshuffles. I mean the press get out their little computers and say what do we do at this year.. we start talking about reshuffles right whatever the Prime Minister says. Firstly, let me put the facts, we have agreed that in the strategy of the election, Gordon Brown, Peter Mandelson will be playing an important part. Both play major contributions in our election strategy, that was announced months ago, over twelve months ago. Now, when the election comes is up to the Prime Minister and we have to make sure we are in good shape and have got the electorate in a mind to want to support us, clearly we take into account what has happened in these elections. But as for reshuffles, that's a matter for the Prime Minister. But you know as well as I do, it will go on and on, everybody speculating and everybody wondering, but that's the nature of the political system we live in. It's the way the journalists just move from one story to the next depending on the season. HUMPHRYS: So you welcome Mr Mandelson back with open arms. PRESCOTT: I welcome back anyone who helps Labour return and Peter Mandelson made a major contribution last time, he'll make one this time and that's sort all part. I'll be on my bus going around 'Vote Labour' and with my ticket saying 'we delivered...we delivered'. HUMPHRYS: John Prescott, thank you very much indeed. JOHN HUMPHRYS: At the start of last week things were looking very bleak indeed in Northern Ireland. Today there are grounds for real hope. The IRA has gone further than ever before in promising to begin the process which MAY lead to disarmament. We still don't know whether that's going to be enough to meet the demands of those Ulster Unionists who rejected the Good Friday agreement. I'll be talking to one of their leading figures and to Sinn Fein after this report from Robin Aitken. ROBIN AITKEN: When on Thursday Bertie Ahern and Tony Blair arrived at Hillsborough there was a fair degree of cynicism in the air. The two premiers said they'd come to revive an ailing peace process; many in the media pack believed Mr Blair was conveniently absenting himself from London on Labour's black day at the polls. But the cynics were wrong. Yesterday's statement from the IRA is clearly a significant advance with the potential to open a new chapter in the peace process. BAIRBRE DE BRUIN AM: I am optimistic. I think that there's a very good chance. I welcome this development. I hope others will also welcome it. I think there's an extremely good chance. Obviously we've been down this road before and therefore there is this small part, I think in everyone, from whatever political persuasion they are that says we raised our hopes before, let's not raise them too much, but my view would be that notwithstanding that tiny core in all of us, I am very, very optimistic. DAVID ERVINE I think that whilst we have come a long way we have but a short distance to travel now to complete the course. And I advocate that we get on with it and I know that the two premiers advocate the same. AITKEN: But the week had started on a much grimmer note. On Tuesday the Gardai, the Irish police force, resumed their search for the "disappeared" - victims murdered by the IRA and buried in concealed graves. On this remote bog in County Monaghan they were looking for the body of a seventeen year old abducted and murdered by the IRA twenty-five years ago. The ghosts of Northern Ireland's bloody past were not, it seemed about to be shaken off. The legacy of the violence seemed to have wrecked the prospects of the new Northern Ireland Executive. It began work in December but was suspended in February because the IRA had failed to decommission its weapons. The leaderships of both the Sinn Fein and the Ulster Unionists had invested heavily in the Good Friday Agreement. After the executive's suspension both seemed weakened. DE BRUIN: For every time that we have engaged in bringing our people forward in taking our views out and discussing them with our membership in trying to persuade the wider republican community that this is the way forward and that we have had a slap in the face, we have lost some of that credibility. It can be rebuilt obviously and it has a strong basis, but I don't think that you can endlessly go and stretch your political constituency and take the kind of leadership moves that we have done as political leaders, if you don't see the fruits of that. AITKEN: David Trimble survived a leadership challenge but the result revealed deep divisions in his party - forty three per cent voted against him and it seemed he might be unable to overcome growing opposition to the Good Friday Agreement. Yesterday's statement from the IRA might be the lifeline he needs to reassert himself. TOMMY McKEARNEY: We have a strange case where the political future of both Trimble and Gerry Adams is closely intertwined. In some ways I think it is obvious that Sinn Fein would much prefer to deal with Trimble than the ultra right-wing of unionism. Sinn Fein has based its position on a restoration of the executive. Without an executive the Sinn Fein programme is very difficult to affect. Without Trimble there is absolutely no chance that the right wing of unionism will deal in any meaningful sense with Sinn Fein. DAVID McCLARTY: I see great parallels. David Trimble does has his difficulties within the Ulster Unionist Party but I believe those difficulties pale into insignificance compared to the difficulties that Gerry Adams has within Sinn Fein. And I believe that if he is determined to stand up to the rejectionists within Sinn Fein, then he is showing a great deal of courage. AITKEN: On Friday, Sinn Fein's leadership was seeking common ground with the Taoiseach Bertie Ahern. Gerry Adams seems to have got what he needs from the IRA. Now the Ulster Unionist leader has to sell that deal to the doubters within the Ulster Unionist Council - his party's sovereign body - who have always demanded actual weaponry to be handed over as a prerequisite for Sinn Fein in government..... MCCLARTY: We do have rejectionists, that's plain for all to see that we have rejectionists. But I believe that within the Ulster Unionist Council, who will ultimately make the decision whether to accept whatever proposal is on the table, I believe that David has a majority support within the Ulster unionist Council and if there is certainty this time that decommissioning is going to happen then I believe they will accept that. AITKEN: ` Yesterday David Trimble was still sounding a note of caution but his chances of winning his internal party critics round must have been improved greatly by these latest developments. And if he does get agreement to go back into the executive with Sinn Fein that is not an irrevocable decision. JOHN BRUTON: One must recognise that the Unionists under the Belfast Agreement if they are not satisfied at any stage in the future with progress in regard to demilitarisation or decommissioning or any issue have the power to collapse the executive. So also do the SDLP on the nationalist side. So it isn't too difficult therefore to go back in on the basis that you have got some fundamental commitments and you are awaiting full delivery of the implications of those commitments. AITKEN The streets of Northern Ireland have become accustomed to a kind of peace; the Royal Ulster Constabulary can afford to be a little more relaxed these days. But the future of the RUC is itself meshed in controversy ; the loss of its name and the distinctive cap badge have become a rallying point for opponents of the Good Friday Agreement.. But though that debate's highly charged it's likely to become submerged in the search for a wider political settlement.. MCKEARNEY: I think unionism will have to take on board the fact that they will not see a huge scale decommissioning. On the other hand the republican community, the republican leadership will have to take on board the fears of the unionist and the demands of the unionist leadership that there is a clear commitment that the war is over. AITKEN: ` The gardai have given themselves three weeks to try to find the bodies of the disappeared and bring some solace to their families. The goal Northern Ireland's politicians have set themselves - a peaceful settlement of a generations old blood feud - has at times seemed almost impossible. But this weekend is one of those occasional moments of hope which intermittently illuminate the political landscape. HUMPHRYS: ` Robin Aitken reporting there. JOHN HUMPHRYS: Well Martin McGuinness, Sinn Fein's Chief Negotiator is in our Derry studio. Mr McGuinness, the Ulster Unionist Party as you'll know, is saying that it's good, or some in that party are saying that it's good as far as it goes but they want a lot of clarification. As far as your understanding is concerned, is it the IRA statement, that is a take it or leave it or is there now scope for real negotiation based on it. MARTIN McGUINNESS: Well I think the first thing to be said is that the IRA statement is a very powerful development and one which gives all politicians on all sides, particularly those who are pro-agreement a very real opportunity to press on to implement an agreement which should have been implemented some two years ago. Now obviously over the course of recent weeks much work has been done to try and bring about a situation where the impasse can be broken and of course involved in those meetings were the British Prime Minister Tony Blair, the Taoiseach, ourselves and Sinn Fein and of course others. Now I think in relation to whatever difficulties or problems that the Unionists might have, and I'm very heartened by the response that I have heard from at least those Unionists who are prepared to be positive and constructive about how we handle this particular situation that we're in. I think that whatever difficulties and problems are there can effectively be ironed out successfully. HUMPHRYS: So there is room for negotiation - that's the nub of it? McGUINNESS: Well what I'm saying is that I believe that we have cracked the nut and I don't believe that there are any outstanding difficulties in relation to where we've arrived at and how we've contrived the situation which permits all of us to effectively proceed in a harmonious way to raise up the issues of equality of justice, of policing, of demilitarisation, of the Irish language and many other aspects of the Agreement which have effectively for the last two years been lost in this nonsensical debate that has gone on and dominated the political agenda for the last two years. HUMPHRYS: Well you may believe that but clearly very many people, including David Trimble, do not accept that the nut has been cracked. There are cracks appearing perhaps but the nut hasn't actually been cracked yet and there are clearly a lot of worries that they have, one of them obviously has to do with this notion of inspecting IRA arms dumps and they wonder how they can be sure what happens to those arms between inspections, or maybe they'll be inspected three times a week or something, but if they're inspected once a week or once a month what happens to the arms dumps in between? These are crucial areas aren't they? I mean that is a problem itself isn't it? McGUINNESS: Well I actually don't believe that it is a problem. I think that the fact that there are agreed third parties in the shape of the former Finnish President and Cyril Ramaposa of the ANC. Clearly these are people with a huge international reputation. Cyril Ramaposa was very much at the heart of the South African negotiations, was a very successful negotiator and I think that obviously it is my view that these people are of the highest calibre and the fact that they're involved or will be involved in this process I think certainly should allay the fears and concerns that Unionists may have. HUMPHRYS: So I mean if they were to say, for instance, and who knows what they will say but if they were to say 'we want to inspect them or have somebody inspect them on our behalf every day of the week' then that wouldn't, as far as you understand it, cause a problem? McGUINNESS: Well I mean that's a matter for the IRA to work out with the third parties and of course the third parties will be reporting to the International Decommissioning Commission under General De Chastelaine. So I actually don't think that we should waste time dealing with nuts and bolts of all of this. I think that... let's focus on the reality that the IRA have made a very powerful contribution that will cause obviously great difficulties for Republicans and I think that what I would want to do at this time is pay tribute to the leadership of the IRA and to IRA volunteers all over Ireland who are yet again showing themselves willing to enhance the peace process and I think that Unionists need to sit back and consider and reflect very much on the words used by the IRA in their statement and I think you know there has been a huge welcome for those words, I think that people believe that these words do give confidence to the Unionist people, to Unionist political leaders who are progressive and give us all a real opportunity to press on and implement the Good Friday Agreement. HUMPHRYS: What they said in that statement was that there would be a confidence building measure to give reassurance that the weapons remain secure within a matter of weeks. Now is that going to happen, do you believe, before the setting up again of the Executive and the Assembly? McGUINNESS: Well I don't know what time span is on that. I do believe that it will happen and that it will happen over the course of the next couple of weeks. I don't really think it's that important to tell you the truth.. HUMPHRYS: ...not essential that it happens, that the executive gets set up.. the Assembly gets set up before, not essential from your perspective? McGUINNESS: I don't think so. I think the fact that the IRA have said in a public statement that they are prepared to facilitate this within weeks I think you know we can take for certain because the only statements that they've made in the past they've always fulfilled what they've said. So that's not a difficulty for me. I don't believe it's a difficulty for David Trimble or for Tony Blair either. I think our focus needs to be on the fact that there is now a powerful development. What we obviously want to see from our point of view and the Nationalist Republican community is you now the commitments that have been made by the British government in the course of recent days fulfilled in the coming days and I hope that they will be announcements from the British government which will deal with and tackle the whole issue of equality of justice, of human rights, the Irish language, the need for demilitarisation and of course the need for the Patten Report to be implemented in full. HUMPHRYS: One question that David Trimble has raised, he raised it again this morning is - 'Is this, the IRA statement and all it contains, is it a gesture, the beginning of a process, or is it just a token gesture, is it something really important that you now move on from here towards decommissioning, proper decommissioning or is it simply a gesture'? McGUINNESS: I think it's absolutely huge. I think it's massive........ HUMPHRYS: ....the beginning of that process.. McGUINNESS: Pardon? HUMPHRYS: ..the beginning of that process of decommissioning. McGUINNESS: Well from our perspective as you know, and you and I have talked about this on many occasions over the course of recent years, the Sinn Fein project from the very beginning was to remove injustice, was to remove the causes of conflict and was to remove all of the guns from Irish politics so we are trying to do that in a very determined way and many parties to that process have contributions to make. I think from our perspective in Sinn Fein we have been at the coal face of trying to resolve these difficulties and I think that the announcement this week by the IRA has been an absolutely huge and mighty step forward. HUMPHRYS: But that is it is it? That is what we now have to understand is going to happen as opposed to decommissioning, handing over or destroying of weapons, this notion that they are buried in some arms dumps, that they will be left there to rust and rot away - that is it is it as far as you can see it? McGUINNESS: Well in relation to all of that and I don't want to go into the details of all the points which you raised I think in fact what we need to get to is a situation where all of these matters can be left to John De Chastelaine and his international commission, left to Cyril Ramaposa and the Finnish President and to the armed groups and I think from our perspective what we have to do as politicians is obviously deal with that issue but it's my view and I think that there is much agreement about it, what we have to do in relation to being successful in removing all of the guns from Irish politics is that we actually to put up a political project. Now what is this political project? A political project from the beginning is about power sharing in the North, is about those Unionists who say they're for the Good Friday Agreement, who do want Catholics about the place getting into government with Republicans and Nationalists. It's about those rejectionist Unionists who are out there who are trying to destroy all of the work of the last number of years being told very firmly by the British Prime Minister and Pro-Agreement unionists that they are not going to win. It's about setting up a power sharing executive, an All Ireland Ministerial Council, all Ireland implementation bodies. It's about ending division in the North. I want to stretch out the hand of friendship to David Trimble. I want to work with David Trimble. It's about ending division on the Island of Ireland. I think when you consider the new economic age that we're moving into it makes eminent sense for all of us to work together to end divisions on this island once and for all. HUMPHRYS: But to what extent does what was promised yesterday and the sorts of things you've been talking about to what extent do they depend on reciprocal gestures from the British government? McGUINNESS: Well over the course of the last number of days the British government have outlined along with the Irish government the steps which must be taken not just by others within the process but by themselves and of course the British government is addressing at this moment in time, I hope they will do it satisfactorily, the issue of demilitarisation, the issue of equality, the issue of justice, the issue of human rights, the issue of the Irish language and these are all huge issues that need to be dealt with because one thing that is absolutely certain, and this is a message for the rejectionist Unionists out there - Sinn Fein isn't going to go away. Sinn Fein is becoming bigger. Sinn Fein is becoming stronger and the people that we represent have a very real confidence that Nationalists have never had before in the North of Ireland as a result of the efforts that have been made by people like Gerry Adams and by John Hume and by the fact that we are involved in a process which they see can bring great change to their lives. So you know we are no longer John going to be treated like second class citizens in our own country and we now need people from the British end of things in the shape of the British Prime Minister and pro-agreement Unionists to publicly agree with us that we are no longer to be treated like second class citizens and Tony Blair and Peter Mandelson have made remarks about that in the course of the last week or so. So things are changing. We are moving forward, hopefully to new times and there is a real opportunity now for politicians, Unionists, Loyalist, Nationalist and Republican to build a new future for all our people, I think we're going to get there. HUMPHRYS: Martin McGuinness, thank you very much indeed. JOHN HUMPHRYS: And let's now turn to a senior Ulster Unionist, Jeffrey Donaldson. Mr Donaldson, you are one of those rejectionists, as at least as described there by Martin McGuinness, are you persuaded by what he just had to say? JEFFREY DONALDSON: Well I found the term rejectionist insulting to be quite honest with you. I've worked for democracy in Northern Ireland and against terrorism for the last twenty years. I want to see peace and progress in Northern Ireland but it has to be real peace and therefore I don't regard myself as a rejectionist. In fact the people who have rejected democracy for the last thirty years were the IRA. HUMPHRYS: But do you accept this proposal, this statement that was put forward by the IRA as being a significant step forward, that's really the question isn't it. DONALDSON: The real question is the one that you were trying to get an answer to from Martin McGuinness unsuccessfully and that is, is this the beginning of a process of actual decommissioning of IRA weapons. Now that is the key question and when you look at the statement from the IRA yesterday all that they are offering at the moment is to open up some of their arms dumps for inspection by two independent persons from the International community. They have made no proposal whatsoever to decommission their weapons and bear in mind that we do have legislation in place, the Northern Ireland Arms Decommissioning Act 1997 that provides for decommissioning and sets out two options: one, is that the paramilitaries including the IRA can destroy their own weapons under the supervision of General de Chastelaine and his independent commission. The other option is for them to transfer the arms to General de Chastelaine who will then destroy them. Now there are no proposals from the IRA in this statement to do either of those things and therefore what we need to do and what David Trimble asked this morning is is this the beginning of a process leading to complete disarmament because it's disarmament that we need to see if the threat of violence is to be removed. HUMPHRYS: But surely it is something to build on and some people in your own party would be perhaps surprised that you appear to be rejecting it more or less out of hand. DONALDSON: Well I am sorry that is not what I have said. What I have said is what we need to know is that this is a real move which is going to bring amount disarmament... HUMPHRYS: Do you see this as a step towards that. That's really what I am trying to get at. Are you saying that statement is at least important in the sense that it can help us now to move forward. Do you see it in that light? DONALDSON: We don't know that because Martin McGuinness and Sinn Fein IRA won't answer that question. Martin McGuinness failed to answer the question that you asked him on that very point. So we don't know whether this is the end of it and I have to say based on what I have heard so far I suspect that this the end. Martin McGuinness said in the interview just now that this ....that the nut had been cracked. Well does that mean that all the IRA are ever going to do is periodically permit two people from the International community to inspect some of their arms dumps to confirm that they are still there because the problem with that is that the IRA retain possession of those arms, they have full access to those arms and the threat posed by those arms remains and the question I think that ought to be asked of the IRA is if you believe in peace and if you want peace then why are you holding on to the arms. After all the Republican movement when it entered this process signed up to the Mitchell principles of democracy and non-violence and one of those principles is a commitment to the total disarmament of all paramilitary groups and what we have got in this statement isn't disarmament. HUMPHRYS: So, nothing short of them handing over physically handing over or perhaps destroying weapons would persuade you when you have your council meeting of the Ulster Unionist Party in a fortnight's time, nothing short of that would persuade you to say let us support this and go back to doing business with Sinn Fein? DONALDSON: John, that's not my position. That's actually the position and the policy of the party. The policy of the party is that we need disarmament, in fact complete disarmament by the twenty-second of May this month. Now the government has unilaterally set aside the deadline that was set out in the agreement, and what we need to see is disarmament, that's the party's policy, it's not my policy, it's the policy of the party. HUMPHRYS: So therefore David Trimble your leader should have rejected it out of hand effectively, and .... DONALDSON: David Trimble has himself this morning said that there are key questions that we need answers to. I've outlined some of those questions just now to you and includes perhaps the most important question of all, is this leading to disarmament? Are we going to get actual disarmament by the IRA? That's what we need to know. HUMPHRYS: But he saw it as being grounds for optimism. At least that was certainly the way I read his interview this morning and indeed yesterday. DONALDSON: Yes, but we need to know the answers to the key questions from the IRA. Is this the end of the process for them, do they regard what they offered yesterday, access to some of their arms dumps as being the end, or what do they mean by putting guns beyond use, what does that actually mean? Those are questions that we need answers to if people are to have the confidence. We are being asked to put Martin McGuinness and Bairbre De Bruin the two Sinn Fein ministers back into government Between them as Minister of Education and Minister of Health they will be responsible for almost half the budget, half the public expenditure in Northern Ireland. Now those are very important positions and we need to know that all the ministers in our government are committed to exclusively peaceful means. We need to know that they don't have a private army with all their arms retained at their beck and call, and we need therefore the answers to clear questions. HUMPHRYS: In just a very few words, are you prepared to split the Ulster Unionist Party over this issue. Just a few words, we only have a few seconds left. DONALDSON: Well, I don't think it's a question of splits. We will obviously have to look at this. We need answers to questions that need to be posed to the IRA and then we will meet to discuss and vote on this matter. All that I'm saying is that in terms of our present policy where we're looking for disarmament that's what the parties were committed to in the agreement, and what the IRA offer at the moment doesn't represent disarmament. HUMPHRYS: Jeffrey Donaldson, thank you very much indeed. DONALDSON Thank you. HUMPHRYS: And that's it for this week. Until the same time next week, Good Afternoon. 23 FoLdEd
NB. This transcript was typed from a transcription unit recording and not copied from an original script. Because of the possibility of mis-hearing and the difficulty, in some cases, of identifying individual speakers, the BBC cannot vouch for its accuracy.