hello, i'm christian fraser. you're watching the context on bbc news. tens of thousands of uk farmers converge on westminster to protest against the government's controversial new rules, on inheritance tax. and that that is where we will resume. thousands of british farmers swapped green and pleasant pastures for a bitterly cold march on westminster today, moved to fury and despair by the changes to inheritance tax the chancellor introduced in the budget. the ministers insist there will be no u turn on that decision. which is interesting because the environment secretary steve reed appears to have done exactly that, having given farmers an assurance just a year ago there would be no changes.

the owner of the diddly squat farm has not truck with him, nor it seems with the bbc. for the sake of everyobody i here and for all of the farmers for the sake of everybody- here and for all of the farmers stuck at home paralysed - by a fog of despair over what has been foisted upon them, i beg of the government - to be big, to accept- that this was rushed through, it was not thought out and it is a mistake. i that is the big thing to do. admit it and back down! but it is notjust the farmers. three weeks on from the budget some of the biggest name on the high street, tesco, next, greggs among others, wrote to the chancellor today, warning that changes introduced in her budget would lead to inevitable job losses and higher prices. liz, do you remember in your political career a budget that was still making headlines

three weeks on? i was still making headlines three weeks on?— was still making headlines three weeks on? i was actually thinkin: three weeks on? i was actually thinking earlier _ three weeks on? i was actually thinking earlier on _ three weeks on? i was actually thinking earlier on that - three weeks on? i was actually thinking earlier on that labour| thinking earlier on that labour requests pleased a week after the budget it had not broken, it held together and actually this has been a slow fallout from the budget. it's not like george osborne of a few years back, it has taken a little while for the issues to cut through and for the anger felt around these issues to come out. the government will be more concerned today as i think about the letter from the large retailers from the supermarkets saying there will be job losses and the farmers, but the public are developing a sympathy with the farmers that should cause the farmers that should cause the labour government some concern. labour have put the policy out saying it is about closing and inheritance tax loophole which on the one hand is fair enough, but they have allowed people who are cash poor even if they are asset rich in lands, to feel victimised by it and to stir up a real outpouring of concern

across rural communities. obviously there must be some context, there is an enormous a black hole in the uk finances, public services to improve, difficulty for the government is for all of the extra taxation and borrowing, the growth forecast which with a dash elected to increase, are no higher than before. the irony, in america, they have just voted out the president who was delivering quarter on quarter, over2% who was delivering quarter on quarter, over 2% growth. who was delivering quarter on quarter, over2% growth. if who was delivering quarter on quarter, over 296 growth. if you want to add _ quarter, over 296 growth. if you want to add another _ quarter, over 296 growth. if you want to add another irony - quarter, over 296 growth. if you want to add another irony to i want to add another irony to this, — want to add another irony to this, the _ want to add another irony to this, the elected individual who— this, the elected individual who when he had max's tariffs will potentially bankrupt our agricultural economy. our rural firm _ agricultural economy. our rural firm -- — agricultural economy. our rural firm -- farm _ agricultural economy. our rural firm —— farm economy depends on exports _ firm —— farm economy depends on exports so — firm —— farm economy depends on exports so if — firm —— farm economy depends on exports so if we have tariffs, you — exports so if we have tariffs, you can _ exports so if we have tariffs, you can bet those foreign markets will dry up as well. here — markets will dry up as well. here ends globally there are real prices in the rural sector, _

real prices in the rural sector, there is urbanisation across— sector, there is urbanisation across the _ sector, there is urbanisation across the board and generational shifts and desire for work— generational shifts and desire for work that moves towards newer — for work that moves towards newer industries, technology, information economies and away from _ information economies and away from our— information economies and away from our culture. so how to maintain _ from our culture. so how to maintain and keep the lifestyle up maintain and keep the lifestyle up and — maintain and keep the lifestyle up and keep the production up is very— up and keep the production up is very complex. in the united states— is very complex. in the united states it — is very complex. in the united states it has required a lot of subsidies, something we discussed a moment ago. there is not _ discussed a moment ago. there is not a — discussed a moment ago. there is not a lot— discussed a moment ago. there is not a lot of government efficiency in the subsidies in the us— efficiency in the subsidies in the us that we provide to our farmers— the us that we provide to our farmers through farm eight and the farm — farmers through farm eight and the farm bill which is reauthorised every firm —— five years _ reauthorised every firm —— five years and _ reauthorised every firm —— five years and i_ reauthorised every firm —— five years and i can worry that weti— years and i can worry that we'll be _ years and i can worry that we'll be on the chopping block for the — we'll be on the chopping block for the budget folks but donald trump — for the budget folks but donald trump could keep it around and we could — trump could keep it around and we could seek exploding deficits as a result. it�*s deficits as a result. it's interesting _ deficits as a result. it's interesting how - deficits as a result. it�*s interesting how quickly the agricultural industry in the united states has come up talk about tariffs, so soon after the election, clearly it is a concern. if the answer to the

governments problems is growth then clearly the answer is trade, more of it. the british prime minister stressed again today the importance of re—engaging with china. but as we said last night that always comes with problems. not long after his meeting with xi xinping, the foreign ministries of china and russia were bonding on the sidelines of the 620 and talking about further strengthening their ties. obviously that is the highly awkward part of the uk's china strategy. there is some reporting today that the government is looking again at the india trade deal. although one thing india will always want is access to the uk labour market. and that too is difficult given the governments commitment to reducing net migration. which, leaves us with the united states. so so here we are again. we have a trump presidency urging the uk not to look towards europe which we may talk about in a second,is which we may talk about in a second, is a trade deal even feasible?— second, is a trade deal even feasible? ., , , , feasible? one of the best parts about washington _ feasible? one of the best parts about washington is _ feasible? one of the best parts about washington is you - feasible? one of the best parts about washington is you can i about washington is you can always— about washington is you can always dust off old ideas if it seems — always dust off old ideas if it seems like they were thrown

irack— seems like they were thrown back and _ seems like they were thrown back and just been a bit ago. so let's— back and just been a bit ago. so let's talk about us and uk free — so let's talk about us and uk free trade area agreement. who knows — free trade area agreement. who knows i— free trade area agreement. who knows. i think donald trump, you witt— knows. i think donald trump, you will remember was a big champion of brexit and wanted to see — champion of brexit and wanted to see that happen and now we are seeing the results and clearly— are seeing the results and clearly the uk needs to have trade — clearly the uk needs to have trade partners and i would not be surprised if the incoming president decides he wants to rekindle — president decides he wants to rekindle the special relationship with another trade agreement. however, he does have— agreement. however, he does have other ones that are coming up have other ones that are coming up sooner— have other ones that are coming up sooner that are deep concerning related to mexico and canada. but it is always worth— and canada. but it is always worth a _ and canada. but it is always worth a shot.— and canada. but it is always worth a shot. boris did not get the deal, _ worth a shot. boris did not get the deal, i _ worth a shot. boris did not get the deal, i say _ worth a shot. boris did not get the deal, i say even _ worth a shot. boris did not get the deal, i say even boris - the deal, i say even boris because he is much closer to trump—vance starmer is. coordinated chicken, higher us drug prices, there is always an obstacle and it is a tough sell on the side. it obstacle and it is a tough sell on the side.— on the side. it definitely will be a tough _ on the side. it definitely will be a tough sell _ on the side. it definitely will be a tough sell on _ on the side. it definitely will be a tough sell on the side. |

on the side. it definitely will. be a tough sell on the side. if we go back to the farming issue, what the uk may be able to get a deal with trump, but it would start to undercut farming here, that is something the us will want and can the uk government agreed to a? keir starmer has an awkward position and it's interesting to see how it plays out, trying to befriend china and the bank of england governor settings to get closer to the eu in order to fix the uk's growth problem and trump is potentially not going to like either of those things when it comes to doing trade agreements with the us. so there is an intricate chess game to be played out here and we will have to see... the elephant _ we will have to see... the elephant in _ we will have to see... the elephant in the _ we will have to see... the elephant in the room - we will have to see... the elephant in the room is i we will have to see... the elephant in the room is brexit. the easiest deal here is in europe and i'm sure you are watching closely scratching their heads, wondering why he is not tiptoeing towards them when presumably for him that is easier deal. it when presumably for him that is easier deal-— easier deal. it is absolutely the easiest _ easier deal. it is absolutely the easiest deal. _ easier deal. it is absolutely the easiest deal. it - easier deal. it is absolutely the easiest deal. it will - easier deal. it is absolutely the easiest deal. it will notj the easiest deal. it will not be easy, but far easier than a

trump deal a massively boosting trade with china in the face of countries who will not be happy with that in the chinese relationship with russia. but thatis relationship with russia. but that is potentially hard at the there is no realisation that leaving the eu has had a negative impact on growth that we do need to rectify that and get closer to the eu and align more with the eu. every step closer to the eu leaves us starmer open to allegations of betrayal because he ultimately aligned himself with the brexit. in aligned himself with the brexit. . ., brexit. in reference to the secial brexit. in reference to the special relationship... - lord peter mandelson he who is hotly tipped to be the next us ambassador has tonight urged sir keir starmer to deploy the secret uk weapon nigel farage as a bridge between donald trump's incoming administration and the uk. on a podcast earlier this week lord mandelson said it was time his party ended its feud with elon musk. i think ithinki i think i would actually pay to

see peter mendelson in washington up against the trump administration. that could be quite the circus. is administration. that could be quite the circus.— quite the circus. is onto something _ quite the circus. is onto something there - quite the circus. is onto something there about| quite the circus. is onto - something there about having nigel— something there about having nigel farage camp out in mar—a—lago like elon musk, we are entering the realm of the absurd — are entering the realm of the absurd when it comes to how to navigate — absurd when it comes to how to navigate the incoming american administration. who did donald trump — administration. who did donald trump speak with last? they meet — trump speak with last? they meet -- _ trump speak with last? they meet -- it— trump speak with last? they meet —— it may be the person who— meet —— it may be the person who has— meet —— it may be the person who has the most influence. so getting — who has the most influence. so getting face time with donald trump — getting face time with donald trump is the way to win. but we are seeing — trump is the way to win. but we are seeing in one thing worth mentioning regarding our earlier— mentioning regarding our earlier conversation, we have not yet — earlier conversation, we have not yet seen the trump incoming administration, their team signed _ administration, their team signed any agreements with the biden— signed any agreements with the biden initiation to begin the transition process in an orderly— transition process in an orderly manner. why? because that would require ethics disclosures and conflicts of interest _ disclosures and conflicts of interest would have to be disclosed we have not seen any disclosures meaning there is no preparation on the grounds and

the agencies right after trump cosmic— the agencies right after trump cosmic incoming administration, they may— cosmic incoming administration, they may start from zero on january— they may start from zero on january 20. so how to lobby and engage — january 20. so how to lobby and engage get creative and i think this nigel farage idea is creative.— this nigel farage idea is creative. . �*, , creative. that's interesting. the word — creative. that's interesting. the word is _ creative. that's interesting. the word is that _ creative. that's interesting. the word is that there - creative. that's interesting. the word is that there are l creative. that's interesting. - the word is that there are some jitters around lord mandelson's appointment because highly effective of course, he was a very big figure in the previous labour government and served as a commissioner in brussels on trade, so he is certainly good at what he does, but he is also at what he does, but he is also a master of the dark arts. i think there is some concern within labour circles that he may overshadow things for them in washington. i may overshadow things for them in washington.— in washington. i think that is robabl in washington. i think that is probably a — in washington. i think that is probably a legitimate - in washington. i think that is i probably a legitimate concern. lord mandelson has a way of making headlines and he always does. david lammy, keir starmer will be concerned about that. does lord mandelson play a behind—the—scenes role that investors often do, is he quiet about it, is he subtle? he has

those diplomatic skills, but mandelson in washington is someone who the media will want to speak to. he will attract attention. so i think that is a legitimate concern for him. of course he is also run for a job in the uk as chancellor for the university of oxford so it's confusing which one he wants more. ., ., . ., more. oxford or washington, it's a nowjoel, i don't know how you see the next four years working out, but there are options. i present to you the village of ollolai on the italian island of sardinia very nice postcode. but in recent years a little down at heel. and they have spotted an oppportunity in the wake of the election. after decades of depopulation they are reaching out to dispirited democrats and offering up old, dilapidated houses in their village, for as little as a euro — that's just over a dollar. there is an escape, a sanctuary out there.

gallows humour is rich amongst democrats here.— gallows humour is rich amongst democrats here. dusting off old passports. _ democrats here. dusting off old passports. this _ democrats here. dusting off old passports, this is _ democrats here. dusting off old passports, this is a _ democrats here. dusting off old passports, this is a great - passports, this is a great idea, _ passports, this is a great idea, what a great option. it idea, what a great option. [it will idea, what a great option. will be idea, what a great option. it will be like reverse osmosis, all of those italians going the other way, all of those italians going the otherway, new all of those italians going the other way, new york will be empty. if other way, new york will be em . y ., other way, new york will be em . , ., ., other way, new york will be em . ., . ., empty. if you have wi-fi into cappuccino — empty. if you have wi-fi into cappuccino i _ empty. if you have wi-fi into cappuccino i think— empty. if you have wi-fi into cappuccino i think people - empty. if you have wi-fi into cappuccino i think people will be very— cappuccino i think people will be very happy, democrats, we are mobile these days. it is dark— are mobile these days. it is dark humour, but i think i also believe — dark humour, but i think i also believe there will be an exodus out of— believe there will be an exodus out of washington across the board — out of washington across the board from the democratic party in the _ board from the democratic party in the near— board from the democratic party in the nearterm board from the democratic party in the near term as well.- in the near term as well. fancy a holiday _ in the near term as well. fancy a holiday in _ in the near term as well. fancy a holiday in sardinia? - in the near term as well. fancy a holiday in sardinia? given - a holiday in sardinia? given the temperatures _ a holiday in sardinia? given the temperatures in - a holiday in sardinia? given i the temperatures in scotland tonight, definitely. i the temperatures in scotland tonight, definitely.— tonight, definitely. iwould take a house _ tonight, definitely. iwould take a house for _ tonight, definitely. iwould take a house for a - tonight, definitely. iwould take a house for a dollar. l tonight, definitely. iwould l take a house for a dollar. it's the upkeep, though. it's what the u