tv BBC News at Ten BBC News March 8, 2017 10:00pm-10:31pm GMT
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tonight at ten: millions of self—employed workers will pay more tax after chancellor philip hammond's first budget. he's accused of breaking a conservative manifesto promise but he claims the budget is all about building a brighter future based on fairness. we embark on this next chapter of our history confident in our strengths and clear in our determination to build a stronger, fairer, better britain. it's the last budget before britain starts the formal process of leaving the eu. labour says it fails to address the crisis in public services. it demonstrates again the appalling priorities of this government. another year, tax breaks for the few, public service cuts for the many. but there will be an extra £2 billion for the social care system in england, spread over three years. we'll have detail and reaction from westminster and beyond. also tonight.
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in afghanistan, gunmen dressed as doctors killed at least 30 people at a hospital in kabul. in south sudan, the un warns of a genocide in the making and blames government forces and local militia. and, we talk to the former serviceman who's making history on the racecourse. coming up in sportsday: there's one match in the premier league as manchester city look to beat stoke at the etihad to go second in the table. good evening. the chancellor, philip hammond, has presented his first budget, promising to build a brighterfuture
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as the government prepares to start the formal process of leaving the european union. among the main news was an extra £2 billion to be spent on the social care system in england over the next three years. the chancellor was accused of breaking a conservative manifesto promise by increasing national insurance contributions for millions of self—employed people. and he offered some help forfirms in england facing higher business rates. we'll have details of the speech and we start with our political editor laura kuenssberg. number 11 fears rainy days. at this end of the street there are nerves there are more ahead. so there was no chance the chancellor would emerge to splash the cash. saving for a emerge to splash the cash. saving fora rainy emerge to splash the cash. saving for a rainy day, chancellor? coming out for his first day holding the box, less broad smile, more grin and bear it. grinning and bearing it?
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from the lonely journey, bear it. grinning and bearing it? from the lonelyjourney, to the roar of the commons bear pit. where his boss hardly looked worried about how he would perform. the right honourable mm. at his first and last spring budget, next time it will be in the autumn. 24 years ago, norman lamont also presented what was billed then as the last spring budget. ten weeks later he was sacked. so, wish me luck today. the country's finances less peaky than expected but as he knows, hardly in the clear. i report today on an economy that has continued to confound the commentators with robust growth, a labour market delivering record employment and a deficit down by over two thirds. as we start our negotiations to exit the european union, this budget ta kes forward
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the european union, this budget takes forward our plan to prepare britain for a brighter future. but no stop to cuts nor a sudden speeding up to clear the debt. some have argued that lower borrowing this year makes a case for more unfunded spending in the future. i disagree. we on this side will not saddle our children with ever increasing debt. but he did break with the plan and arguably broke his pa rty‘s manifesto promise, announcing a tax increase on more than two million of the self—employed. than two million of the self-employed. the difference in national insurance contributions is no longer justified by national insurance contributions is no longerjustified by the difference in benefit enentitlements. such different treatment of two people earning essentially the same undermines the fairness of our tax system. around 2.5 million people will have to pay more. the average loss £240 a year.
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there are other changes to national insurance too. some tory backbenchers have cried foul, are furious at an attack on the tory tribe but the health secretary had reason perhaps to be pleased at what was coming. our social care system ca res was coming. our social care system cares for over a million people and i want to pay tribute to the hundreds of thousands of carers who work in it. but the system is clearly under pressure and this in turn puts pressure on our nhs. he will spend £2 billion of taxpayers' money on social care in england. £i billion available in the next 12 months. and there is a longer term review of how to pay to look after the elderly. after pleading to number 11 about changes to business rates, the chancellor accepted there had to be a stop to those facing the biggest hikes. the revaluation has undoubtedly raised some hard cases. especially for those businesses coming out of small business rates relief. £300 million will go to
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local councils to help small firms with business rate rises. none of them will face hikes of more than £50. there was extra cash for scotland, wales and northern ireland and for technical education in schools but with the seeds of a row about national insurance sown behind him the chancellor's final words may not be allowed to stand. we embark on this next chapter of our history confident in our strengths, and clear in our determination to build a stronger, fairer better britain. i commend this budget to the house. the opposition lead's visible anger didn't mean he took the government's arguments apart. this was a budget of utter complacency about the state of utter complacency about the state of our economy. when she took office the prime minister said if you are one of those families, if you just
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are managingl one of those families, if you just are managing i want to address you directly. this budget does not address them. it failed them. this budget has done nothing to tackle low pay, nothing to solve the state of emergency that persists with so many people demanding and needing health and social care now. others saw opportunity after only glance mentions of the biggest issue around town. there is 100 billion extra borrowing because the government has chose a hard brexit. you can't have a strong chose a hard brexit. you can't have a strong economy chose a hard brexit. you can't have a strong economy with a hard brexit. you can't have strong well funded nhs social care or education with a ha rd nhs social care or education with a hard brexit. the government has made wrong choices snoochlt it was an awful budget, it was the brexit budget that dare not speak its name, he barely mentioned brink. he has confirmed he is wedded to the welfare cut punishing the poorest and most vulnerable. an appalling budget. safety first? not quite, with the dispute over national insurance, no government wants accusations it hasn't kept its word. did you break your promise, prime
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minister? it's rare any chancellor and the next door neighbour escape budgets totally unscathed. laura kuenssberg, bbc news, westminster. in his first budget, mr hammond told mps that in the near term economic gret was expected to be higher and borrowing lower than forecast in november. but he said debt remained too high and the government's job was far from done. 0ur economics editor kamal ahmed is here with analysis of the latest figures. so, the chancellor stood up at 12.30 and he had some good news and some more difficult news. let's look at the growth figures first. last november, peak gloom for economists following the referendum, this was the growth forecast. just 1.4% this year, before slowing, climbing back to around 2% by 2020. today, better news, at least for this year, 2% growth for 2017. but then a dip as britain negotiates its way out
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of the european union, before recovering again back to 2%. well, the economy has had more momentum coming through 2016 and into the early months of this year than we expected back in the autumn, but we haven't changed our view about the total growth that the economy can sustain over the next five years. so if you have more good news at the beginning of the forecast, you have slightly weaker growth through the rest of it. that is also true for borrowing. last november, it was predicted the deficit, that's the difference between what a government spends and what it receives in taxes, would hit £68.2 billion, on the far left of the graph, before falling every year, to £21 billion, by 2022. now, just for some context, it costs about £100 billion to run the whole of the nhs for a year. again today, in the short—term, good news. borrowing this year will be better, at £51.7 billion, but the picture
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worsens next year before again borrowing falling to about the same amount in 2022. around the same amount that was predicted in november. remember, george osborne initially wanted to get us to a budget balance by now. then he took that out to 2020 and philip hammond now says he's 0k to wait until 2025. so we could end up with 15 years, 15 years of austerity to get where mr hammond wants to get. now, social care was the big spending commitment today and there were two tax rises to pay for it. a £2 billion tax rise over the next five years, paid by the self—employed in higher national insurance contributions and a £2.6 billion tax increase for business owners and investors who take what's called dividend income from the shares they own. now, one thing was left out
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of the budget box today and that was any real mention of brexit, but that doesn't mean companies aren't worrying about it. businesses are feeling the weight of uncertainty very strongly. they would like to have seen more to shore up short—term confidence, particularly around business rates, but they will welcome the investment in some of the longer term areas, like skills and the recommitment to infrastructure investment. this was actually a pretty short budget, just 28 tax and spend measures this year, compared with 77 in 2016. but it was significant, big reviews are now in place on how we tax the new world of work and the self—employed and how we pay for social care. the chancellor's main tax change has proved controversial, even among conservative colleagues. his decision to increase national insurance contributions for millions of self—employed people appears to go against
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a conservative manifesto promise. he's going to raise more money by targeting the dividend payments of company directors and investors. our business editor, simonjack, reports on the impact of these measures. up up and down the country small businesses, the bedrock of the economy, got a surprise today when the chancellor launched a tax raid on the self—employed. being your own boss means you pay a lower rate of national insurance but today the chancellor announced that lower rate is going up to almost the same rate asa paid is going up to almost the same rate as a paid employee. that will cut into salon owner robert's take home pay but another type of national insurance is being abolished so lower earners like some of his stylists will be slightly better off. we have a number of self—employed stylists here and i am pleased for them if their costs are going down. but for me personally my bill is going to be several hundred pounds a year more. overall changes
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to national insurance for the self—employed will mean that those earning £12700, for example, will be £70 a year better off in 2019. someone earning £17,000 will be £20 worse off. and higher earnings making £51,000 will be £620 worse off. and philip hammond wasn't finished, he had more bad news for entry treners. company owners and shareholder can currently taxco—free, that is been slashed to £2,000. you are taking a lot of risk. you are assuming you are not going to get ill, maternity leave is hard, i have a one—year—old. as part of that risk you assume there's going to be benefits running a small business. as a country we are pushing growing the number of small businesses in the country so a tax like this just makes it harder. when something becomes popular, it doesn't take long for the taxman to
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notice. being your own boss is becoming incredibly popular. there's been an explosion in the number of self—employed people, who pay lower rates of national insurance than regular employees. some say today's raid is an attack on the kind of self—starting risk—taking entrepreneurs the economy needs. 0thers entrepreneurs the economy needs. others say it's high time the growing number of self—employed people paid the same rate of tax as everybody else. self-employment has been the biggest story in the jobs market in years. it accounts for nearly half of the employment growth since the down turn. the steps announced by the chancellor in today's budget are bold and are welcome in terms of moving towards closing the tax discrepancies between the self—employed and employees. the nature of employment is changing fast. the government is reviewing better ways to tax it. some will wonder if raising the burden on the growing army of the self—employed is the right place to start. simonjack, self—employed is the right place to start. simon jack, bbc self—employed is the right place to start. simonjack, bbc news. let's look at other
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measures in today's budget. there were no new announcements on tobacco, but increases announced previously mean that, from tonight, a price of a packet of cigarettes will go up by 35p. from monday, a pint of beer will go up 2p, a bottle of whisky by 36p and a bottle of wine by 10p. there'll be £100 million to fund more gps in accident & emergency departments in england next winter to ease the pressure. there'll be £270 million for science and innovation, which includes research into robots and driverless cars. there'll be £90 million for transport in the north of england and £23 million for the midlands to ease congestion on the roads. the scottish government will get an extra £350 million, wales an extra £200 million and there'll be an extra £120 million for northern ireland. as we mentioned, the chancellor announced an extra £2 billion for social care
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in england, admitting that the system was clearly under pressure. the money will be spent over the next three years. but there has been criticism that it's still not enough, given the scale of the problem. 0ur social affairs correspondent, alison holt, reports from nottinghamshire. 1, 2, 3. four times a day, care workers help 76—year—old avril smith with such things as washing, dressing and getting to the toilet at her nottinghamshire home. a stroke left her partially paralysed. this is what the extra £2 billion announced for social care will help pay for. mrs smith believes it's something the chancellor had to do. it's notjust me, people need it, it's people that really can't do nothing. so what would you say to the chancellor about this and making this a priority? get your hand in your pocket, stop being so tight. how would he like it if he was sat at home all day and can't move? for her husband, who cares for her the rest of the time, this council—funded support is also crucial. if i didn't get it for the last two or three years, i would have
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been in my grave now, so it's vital that we get it. and of the money the chancellor has found, councils will get £1 billion in the coming financial year with the rest in the following two years to ease the pressures. with care companies struggling to recruit enough staff, they say the money must reach the front line. the staff will need to be paid a salary which represents the work they undertake in the community, travelling around, visiting people, like mr and mrs smith, day in, day out, sometimes three or four times a day, to give them the care they need. we need to be able to support that in terms of a proper living wage. in nottinghamshire, the county council spends about 45% of its budget on adult social care, so the minute the chancellor sat down after his speech, here they began doing their sums. these are our current savings plans... the council calculates they'll get another £7 million next year, but they currently have a shortfall
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in their care budget of £17 million. the labour leader, who wrote to the chancellor warning the system was in crisis after years of cuts, welcomes today's announcement cautiously. we've still got temporary money in the system and there still needs to be a longer term solution because one things for sure, we can not carry on the way we are treating this almost as crisis management. which one are you going to have... and with more younger adults with disabilities needing support, the demand for different types of care is also increasing. the government has promised there will be a green paper which looks at the funding of social care for the future. alison holt, bbc news, nottingham. 0ur political editor, laura kuenssberg, at westminster. for you, let us underline the themes of this budget? huw, budgets can
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com pletely of this budget? huw, budgets can completely change the atmosphere around here. let's be frank, today was not a vintage moment, but it was significant because this is the first budget with theresa may and philip hammond in charge. it was a mixture of short—term tweaks but a glimpse of what they would like to do in the future. there were promises in different areas of longer term solutions. broadly, the picture is still not very pretty. the cuts will go on. the documents today suggest that millions of people around the country, public sector works, people whose benefits have been frozen, are going to keep on feeling the pinch for quite some time to come. 0n the other side, well the debt doesn't miraculously somehow disappear any time soon. the overall back drop, of course of course with uncertainty of leaving the eu as well is pretty challenging. the government has ended up with a row tonight with some of their tory backbenchers very unhappy over this policy that will
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hike taxes for some of the self—employed. it's not quite clear at this stage how much damage that will do, but i think for some newspapers tomorrow it will get a ha rd newspapers tomorrow it will get a hard landing in the headlines. fleet street's reaction isn't all, downing street's reaction isn't all, downing street will be disappointed to find that tomorrow's front page of the sun will call this policy "spite van man" poking fun of the government's attitude theresa may says she wants to reach. philip hammond has a deserved reputation as a safe pair of hands. he hasn't escaped this first budget with a completely clean pairof first budget with a completely clean pair of heels. that said, i think it's unlikely at this stage today, his first budget, historic in that sense, will be looked back as a major, major moment. laura kuenssberg with her thoughts there on the budget. more details on our website.
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that's at bbc.co.uk/budget. all the details of the chancellor's announcements are there with updates and analysis from our editors and senior correspondents. take a look at the site there for us. let's turn to the day's other main stories. in afghanistan, the islamic state group has said it was responsible for an attack on a military hospital in the capital kabul. at least 30 people died when gunmen, dressed as doctors, stormed the building. army commandos took several hours to regain control after landing by helicopter on the roof, as our correspondent, james robbins, now tells us. smoke billows from afghanistan's largest military hospital, a small group of four or five is extremists have overwhelmed its defences and are using guns and grenades to attack both medical staff and patients. some are able to flee to window ledges, high above the ground. 0ne sends out a message "pray for us." it takes helicopters,
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laden with afghan special forces, to counter—attack and several hours of fighting to kill the jihadists. translation: i was in the operating theatre when a suicide bomber, wearing a white doctor's uniform, came in and opened fire on me. when he fired on me, i fell down on the ground. the attacker shot my colleague. somehow i escaped using the back exit. afghanistan's president said the attack on a hospital trampled human values.
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but the inability of his security forces to protect such an obvious target raises fresh doubts about the ability of a fragile, often corrupt government to prevail against the extremists of the taliban and is. now that isis is on the road to defeat in iraq, in syria, you've got to ask yourself — where are these guys going to go? where are these fighters, these terrorists, going to go? unfortunately, afghanistan, as long as it remains unstable like this, is highly attractive to groups like isis for relocation. which all makes afghanistan look more vulnerable than ever. no wonder america's top general there has been urging the despatch of thousands more international troops as military trainers to try to stop the rot. james robbins, bbc news. a brief look at some of the day's other news. in wolverhampton, a man has stabbed his sister to death before killing himself. west midlands police used stun grenades to break into the flat this morning. another woman, believed to be the mother of the two, is in hospital in a critical condition. suffolk police say they are confident the body of the missing raf airman, corrie mckeague, will be found in a landfill site. the 23—year—old vanished on a night out in bury st
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edmonds last september. he was last seen when a refuse lorry was in the area. police have started a search of the site. "extremely concerned" about a security breach that led to wikileaks publishing cia documents. that's how president donald trump is feeling, according to his white house spokesman. sean spicer said at a news briefing that the trump administration intends to be tough on those who leak information. a maltese rock formation, featured in the tv series game of thrones, has collapsed into the sea. the arch, known as the azure window, was weakened by storms. south sudan is edging closer to genocide, according to the united nations. they accuse government forces and militia of carrying out ethnically—motivated attacks on civilians while using the current civil war as something of a smokescreen. but the government of south sudan denies that the country is experiencing ethnic cleansing. 0ur africa correspondent,
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alistair leithead, reports now from the town of yei. crying the grief of a mother. the death of a son. she'd travelled through the night when she'd heard what happened. isaac's body was found dumped in the river, his ankles tied, a metal wire tight around his neck. translation: my son was fishing and saw the body. i don't know who did it or why they did it. does this happen a lot? translation: it happens. government forces are in charge of yei town. the civil war recently spread to this part of the country where different ethnic groups peacefully lived side by side. we're just a short drive from the centre of yei town,
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but this is pretty much the limit of where the army forces are prepared to go on foot because the rebels control areas just up the road. houses and buildings in this deserted neighbourhood have been burned. the soldiers blame wildfires or accidents. it's our mandate to make sure civilians are safe. it might be the rule, but it's not the reality, or at least not the reality we heard from those who would talk, we're protected their identities. this man's sister was assaulted by three soldiers. who raped her? the soldier. government soldiers, yeah. she's sure that they're government soldiers? yeah. is this happening a lot in yei? yeah, it is a lot. another witness described 10 young men being dragged out of their family homes, chained together and then shot one by one. this woman was attacked in her house by soldiers in uniform.
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he took this iron, he started to beat me. he beat me here. it was painful. he was going to beat me on my head, but i put my hands like that. even though both sides in this war have been implicated in atrocities, these allegations were all against government forces. "there's no killing or raping", said the senior commander, "any soldier who does is arrested. "the only people we fight are the rebels", he said. "this is when the killing occurs. the survivors then claim civilians were killed by the army, but we don't kill our own civilians in our own country. " so there were no renegade troops? no troops, not a single case? no. but still people are leaving yei. in eight months, half a million people have fled the country rather than live here under the army.
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everywhere you go in this area it's the same, villages that have been abandoned. people have closed up and taken what they can with them. hundreds of thousands of people have crossed from here into uganda. others in the bush because of the fighting. everywhere, village after village. and there's a deeply disturbing ethnic element underlying the deaths, that people are being killed because of their ethnicity. that's why the un has warned this could end in genocide. alastair leithead, bbc news, yei, south sudan. football, and barcelona have pulled off a stunning result in the champions league, beating paris st—germain 6—1 at home. barcelona now progress to the semi—finals after winning 6—5 on aggregate. 0lly foster watched the action. neymar, messi and suarez,
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barcelona's mott neymar, messi and suarez, ba rcelona's mott motto neymar, messi and suarez, barcelona's mott motto is — more than a barcelona's mott motto is — more thana club, barcelona's mott motto is — more than a club, no club had overturned such a deficit. suarez heard crossed line, just. it was a match about the finest of margins and the referee's sometimes debatable judgment. should that a penalty? messi scored a third, one more to level the tie or one for more psg, a crackerfrom cavani that should have put the tie to bed. an away goal that left barcelona needing three. #12450urly there wasn't time. then neymar did that. then neymar converted another suspect penalty. sergi stayed on side, swamped by his team—mates. that was more than just a bowl. barcelona are more than just a club. 0llie foster, bbc news.
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the amateurjockey, guy disney, was the first amputee to ride a winner at a british racecourse and on friday he'll return to sandown for the first race since his victory last month. disney is a former serviceman who competes wearing a prosthetic leg. 0ur sports correspondent, andy swiss, has been to meet him. it's not me trying to say — look at me ride, missing a leg. i'm actually a very selfish person. i do this sport because i love it, i want to win. a journey like no other. guy disney was an army captain in afghanistan when, in 2009, he lost his lower right leg in a grenade attack. his hopes of being a jumpjockey seemed over, but disney was allowed to compete wearing his prosthetic leg, a first in british racing and last month, at sandown, he rode into history. commentator: hats off for captain guy disney, he's
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