>> this is "bbc world news." funding for this presentation is made possible by the freeman foundation of new york, stowe, vermont, and honolulu. newman's own foundation. the john d. and catherine t. macarthur foundation. and union bank. >> union bank has put its financial strength to work for a wide range of companies, from small businesses to major corporations. what can we do for you?

>> and now, "bbc world news." >> the u.s. cut tens of thousands military jobs as it tries to save $80 billion. british and canadian ambassadors are expelled from ivory coast. britain says the move is invalid. despite calls to per bonuses, britain's banks are set to pay out billions of pounds to their staff. welcome to "bbc news," broadcasting to our viewers on pbs and around the globe. coming up for you later, england triumphs in sydney. they win the fifth cricket test against australia, taking the series 3-1. a los angeles hearing decides whether michael jackson's dr should be tried for involuntary manslaughter.

hello. robert gates says he wants to make cuts of nearly $80 billion in the military budget over the next five years. it is the biggest reduction since the attacks of september 11. he says cuts will bring the dire financial situation under control and stop the pentagon's culture of endless money. we report from washington. >> u.s. military may be involved in two conflicts abroad, but at home, they're forced to face an economic reality. the defense secretary robert gates today announced the biggest spending cuts since the attacks of 9/11. >> my hope and expectation is as a result of these changes over time, what had been a culture of them less money where cost was really a consideration will become a culture of savings and restraint. >> he proposes a $78 billion cut

over five years. troop levels will shrink by 6%. some of the most expensive military hardware will be cancelled. ironically, funding for wars in iraq and afghanistan at a price tag of $1 trillion and rising will not be cut. mr. gates chose to find savings elsewhere. defense cuts in the past have often angered members of congress. some constituents rely on the military industry for jobs. this year, things might be different. >> what you will see with the republican majority in congress, helped in large member by the tea parties, who are fiscal hawks, you will probably see a little bit of complaining about certain cuts in programs and specific constituencies or district, but by and large, congress will go along with the secretary. >> it is not often that american secretaries of defense announced

budget cuts. robert gates was keen to reassure washington's allies the united states is not shrinking from its international responsibilities. two enemies, this was a warning. american military power is not on the decline. bbc news, washington. >> ivory coast incumbent leader laurent gbagbo is expelling the british and canadian investors. officials said the action was being taken as a reciprocal measures. britain said it did not accept the move was valid. gbagbo refuse to step down despite alassane ouattara gaining international recognition as november's presidential election winner. >> the reassurance of body armor. a daily precaution for u.n. troops on patrol in ivory coast. more than 200 lives here have been lost since the election. the mission is to soothe

tensions. let us solve our problems ourselves, she says. such defiance is becoming a theme of supporters of laurent gbagbo, a man the international community says lost the election. france and the united nations tried to impose on us a president we did not elect. they also wanted to intimidate us, ordering laurent gbagbo to step down. this is the land of the u.n. says should be in the presidential palace. alassane ouattara is widely seen as having won the election, but for now, he is holed up in a hotel, reliant on u.n. protection. diplomatic efforts to help him by neighboring countries in the west african bloc have so far failed. now, he has suggested a military

solution. >> if they do send in the special forces with the objective of removing mr. gbagbo, he will not be removed. >> gbagbo is doggedly hanging on to power. the diplomatic spat with britain and canada is unlikely to worry him. for now, the un troops have not been tested too much. if there is a military intervention by the international allies, seeking peace could suddenly get much harder. bbc news. >> banks are likely to award billions of pounds in bonuses again despite weeks of talks with british government ministers. the coalition agreement between the liberal democrats and conservatives said measures would be introduced to tackle what were described as unacceptable bank bonuses. robert has this exclusive

report. >> the city of london and big banks. vital to the british economy. ministers have been talking to bank treats about whether they are doing enough to support the recovery. and, whether they pay their top people too much. agreement has yet been reached. i've learned that chancellor george osborn recognizes he cannot prevent billions of pounds in bonuses being paid out by the banks, which only two years ago were rescued from collapse by hundreds of billions of pounds in loans and investments from us, the taxpayers. investment banking has been a less profitable business for many banks in 2010 than in 2009. bonuses were expected to decline in any case. royal bank of scotland may pay near 1 billion pounds and the bonuses compared to last year's 1.3 billion pounds. barclays may reward 5.5 billion pounds in salaries and bonuses

when the results of the of the first nine months of last year indicated it would be paying out to global employees of its investment bank. even if bonuses are cut, investment bankers won't necessarily be worse off because many of them have enjoyed of rising salaries between 20% and 40%. >> at a time when most people are suffering a squeeze in income, not everyone thinks bankers should be squeezed. >> employees pay a lot of income tax. banks historically pay a lot of corporate tax. right now, there having a lot of losses. that will take time to come back. we could lose a massive amount of revenue to the treasury. we all suffer for that. >> as to when the bonuses are paid, some want a new tax on them. >> we're calling for a tax on bonuses to support the country's charitable sector. we think there's a direct link

between the banking collapse and the social consequences, and the threatened social catastrophe that faces charities and the people they support. >> years the prime minister visiting a smaller business, one of many vital to the u.k. poser recover. banks say they can mimic criticism of bank bonuses by pledging to provide more and cheaper credit to smaller businesses in general. the way the city and banks pay bonuses is changing as a result of new regulation. bankers will receive most of their spoils and shares of -- in shares rather than cash and will not be able to get their hands on the money for years. the total size of many bonuses is still bigger than most of us earn in a lifetime. >> that was our business editor of reporting. it has been reported that security levels at airports and other transport hubs in britain have been increased. officials have not commented.

it is understood security threat levels in some areas have, up from substantial too severe. gordon gave this assessment of the new alert. >> there is no intelligence of an imminent attack. this is more precautionary than anything else. but there were intelligence of a plot under way, or there was a threat to these locations tomorrow, the threat level would go up to the highest level, critical. that is not happening today. these threat levels do change quite often. normally, the changes happen after the public eye and officials do not comment on them. we can see -- we can expect to see a larger police presence starting tomorrow. >> nearly 5000 farms in germany have been closed down by the agriculture ministry following a scare of a dioxin contamination. this is in the northwest of the country. the governments of the closures

were a precautionary measure after pigs and chickens had been contaminated with dioxin when it was being made. two government employees in the u.s. have been injured after opening parcels that gave off smoke and the smell of sulfur. packages were opened in maryland in state buildings around 30 kilometers apart. police are investigating a third suspicious package at the government office in baltimore. in cricket, england has taken three australian wickets on the last day of the final test in sydney to claim a three-one ashes victory. after 40-minute rain delay, the australian started meeting 151 runs to avoid their third inning defeat. in the first hour of play, england made the inevitable break through. swann claimed a wicket with 43 runs. james anderson got just seven runs. the australians did provide some

resistance. when the final with the outcome england concluded a series with the win. our sports news correspondent is that the center of celebrations in sydney. >> i am with the barmy army. being human players will go back to the dressing room now. -- the england players will go back to the dressing room now. i am carried along by anders. he held it on his side as he walked along the crowds. people were able to touch it as he did a victory lap. the fans have memories that will last a lifetime. i am talking to a number of them here. they're saying this is the best day of their lives. if you are a cricket fan and you've been watching your team for the last one before years or so, this is the best day of the quarter of the century.

>> what else has been said about it? >> to be honest, i have no idea. i could not hear a word. it has been so noisy out there. i will get to hear from him properly. he was generous in victory. the truth of the matter is, they have been playing an australian team that has under-performed. england has been dominant through the whole series. even on the last day, there was a challenge for a while. they got the final three wickets. they simply have not managed to do what they promise to do with the start of the series. that was giving a really tight contest. apart from that, it has been england's series. >> this is "bbc news." still ahead, having a good time.

a british cruise ship docks in cuba, the first in six years. president obama's special envoy has told the bbc he believes independence referendum in southern sudan will take place successfully. operations in the north and south had pledged not to destabilize each other. >> the exodus continues. only people from southern sudan are eligible for the referendum on whether a proposal biggest country should split in two. almost four million people who registered to take part already live in the south. there are thousands of people arriving daily from the north. >> an estimated 143,000 southerners have left northern sudan since the end of october and are continuing to arrive in the sovereign states at about a rate of 2000 people per day.

>> mandela refugee camp. tens of thousands of southerners living in poor conditions here, having fled to the north during the two-decades-long civil war. even before the referendum to place, some feared for their safety after the vote. >> they will harass us after the secession. this government says one thing and does something else. i am sure there will be harassment against southerners living in the north. that is why many voluntarily returned to the south. >> the week-long referendum as part of the deal that ended the conflict. most people think the outcome will be independent for the south. least 60% of registered voters must take part for the referendum to be valid. with no literacy levels and little history of voting, this may be more difficult to achieve. bbc news.

>> british airways said bad weather has cost of around 50 million pounds. you are watching "bbc news." the u.s. has announced it is cutting 47,000 military jobs in a bid to save money and tackle the nation's deficit. british and canadian ambassadors have been expelled from ivory coast. britain dismisses the government's orders as invalid. christians in egypt have been attending christmas eve mass in the shadow of last weekend's attack on a church in alexandria in which 23 people died. there has been a huge security presence with cars banned from outside churches. our correspondent in cairo has been visiting some of the masses. >> at the cop the cathedral,

they celebrated christmas eve mass as they have done for centuries. the leader of them lead the conversation in the traditional ceremony. he was joined by government figures and religious leaders, christian and muslim. >> my dearest sons and brothers, i congratulate you on christ's birthday. i pray to god on your behalf that you live a wholly and blessed life. and, that your faith in god remains strong and unshippable. >> south side, worshipers went through rigorous security checks. streets were closed to traffic. in alexandria, the police were out in force to protect the church that was the subject of last weekend's attacks. muslims cannot express their solidarity with the christian community.

>> first of all, i commiserate. secondly, we are one country as muslims and christians. what has happened is not muslim against christian, but terrorism against egypt. >> memories are still vivid here of the bomb that tore through the church, throwing the new year in -- during the new year's celebrations last weekend. >> the whole church shock. glass was falling from windows. there were lots of people injured. i went outside and saw lots of bodies. it was then that i found my wife and my daughter lying dead in the industry -- district. >> christians have protested about the lack of protection they believe they have been given. there are growing tensions between muslim and christian communities in egypt, fueled by poor economic conditions and lack of faith in the political system. tonight, the egyptian government made bigger steps to prevent violence and christians expressed their gratitude. there are still deep fears about

whether this is the start of a new chapter for egypt. bbc news, cairo. >> a paramedic who was called to michael jackson's home on the way he died has been giving evidence in los angeles. he told the hearing he saw the singers dr. conrad marie retrieving drugs from his bedroom. michael jackson was a family was at the hearing, which was examining dr. murray's role that night to see if he should face a trial. i was told more about what the paramedics said. >> he was one of the first people on the scene after the emergency call was placed. he described efforts being made to try to revive michael jackson. he was seeing dr. conrad murray picking up three containers of a local anesthetic, a painkiller, from the floor of the room of michael jackson's bedroom. he said he was surprised because

the doctor had previously told him he had not given michael jackson any drugs. he also said the doctor had told him that michael jackson collapsed about one minute before he made the emergency calls. that does not tally with what another paramedic said in describing michael jackson's condition when they got there, which was as if he was turning blue, which indicates that he was dead for possibly 20 minutes. >> the jackson family are there. presumably, the doctors there. is there any reaction in court in the hearing between them? >> there is very little, if any, interaction between them. dr. murray is sitting on the left. michael jackson's family is on the right. i have not seen them look over directly at the doctor. certainly, reaction to the testimony. you can tell this is a difficult time for his mother, katherine

jackson. during some of the more detailed evidence about the moment when michael jackson died, you could see her dabbing a tear or two from rise. dr. murray does not seem to have any outward reaction. he tends to spend most of the time sitting next to his lawyers, looking at his notebook and scribbling. >> when is the judge expected to announce at the trial will go ahead? >> it might be two or three weeks. we were told at the beginning of this week to expect something like 20 or 30 witnesses. we have had less than 10 so far. those are just witnesses from the prosecution. the defense has some as well. a couple of weeks. as you say, the judge will decide whether he considers there is enough evidence to put this to a full trial in front of a jury. >> the fire service in berlin has declared a state of emergency after freezing rain

covered the city in ice. in other parts of germany, police are appealing to the public not to go out unless absolutely necessary. in the east of the country, even vehicles with no change were not able to drive through the ice and snow. german chancellor angela merkel 's embattled coalition ally has defended the record of three democrats in a defiant speech. germany's foreign minister and vice chancellor told the party conference that the country needed a strong leader at the time when the party had sunk to 4% in opinion polls. >> this is the man angela merkel leans on. he is the foreign minister. perhaps more importantly, he leads the minority party in the government. if that fails, the government fails. he is under pressure. his standing in the polls as low. that of his party is even lower. down from 15% in 2009 to around

about 4% now. he came to the new year's conference of the democrats to make a fighting speech. he did not address calls for him to relinquish the leadership. instead, it was a general defense of the government's record. his message was, we liberals will fight. i will fight because germany has pared better than with a left-wing majority. at the moment, the parties of the left collectively do have a higher poll standing ban mrs. merkel's party along with the democrat. no one speech will turn bad opinion poll numbers around. an improving economy might. germinate -- german economic growth is forecast to be healthy this year. at the moment, the political wind is fiercely against the foreign minister.

there are nine regional elections coming up this year. his party is so low in the polls, it might not get any representation at all in some of the state parliament. the government has a string of big tests ahead. steven evans, bbc news, berlin. >> the british-owned cruise ship has arrived in the cuban capital havana, the first in years to dock on the communist island. it is seen as a sign that european cruise companies are starting to return to the island. visits from european cruise ships and dwindled after fidel castro criticized the business for leaving rubbish but little income. from havana, michael reports. >> cruising the caribbean. every winter, tens of thousands of tourists island-hop on these luxury floating hotels. for several years now, cuba has been virtually out of bounds.

this is the first british liner to visit here in least five years. under the u.s. trade embargo, and the vessel who traveled to cuba cannot enter american ports for six months. this ship is not allowed to pick up passengers in miami. european ships sailing out of barbados or the bahamas used to come here regularly. these visits all but dried out after cuba's former leader fidel castro decided he did not approve of the business. he said cruise liners like these left rubbish and empty cans, but generated little income. now it seems there will come again. -- they are welcome again. over the past few months, norwegian and spanish miners have returned, but with 1500 passengers, this is by far the largest cruise ship ever to have been in havana. they may not be spending money on hotel rooms and restaurants.

they are still providing a major boost to the local tourist industry. >> very good. everybody is very happy because -- >> why did you pick this particular one? >> something different. it is just something different than anything we have ever been to, really. >> we have never seen this before. we wanted to do it before it will change a spirit >> the cubans have managed to persuade the cruise liners to return. the really big challenge now is to get the u.s. to lift its travel ban on american tourists visiting the island. bbc news, havana. >> the obama administration has announced plans of deep cuts in u.s. defense spending. for more, go to the bbcebsite.

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