a remainer, so if the eurosce ptics want but she is a remainer, so if the eurosceptics want a euroscepticst her. who are we left with, borisjohnson. that is a prospect that is the only thing stopping those tory leaders from ending her prime ministerial career. they are waiting to have somebody viable to replace her and they don't. between a rock and a hard place because the observer is saying that business would like her to rethink a hard brexit. what is she going to do. the observer is the cheerleader of the soft brexit. talking about no deal, no brexit immediately. if things go the way that angela merkel fears in europe over the next year or so, that may come to pass. mrs merkel is preoccupied with things like migration, the viability of the eurozone and italy above brexit. and her own election as well. that is less of a worry than it was. working in the continental press, it is amazing how the gap isn'tjust the channel, it is several atlantic ocea ns channel, it is several atlantic oceans between perceptions in europe. what is going on in brussels and london. ithink europe. what is goin

so you're a eurosceptic remoaner — how does that work out?!you, it's quite good to own them if you possibly can — i'm sure you do it from time to time. you're just trying to have it both ways, aren't you? you make an interesting point there about use of terminology. you see, i do respect the outcome of the referendum, and i nevertheless feel a sense of real concern that in this country, if you stand by your principles, if you question whether theresa may is making the right choices, and jeremy corbyn of course a factor in that, then you are dismissed as a saboteur or a remoaner. no, i accept the result... hold on, that's the fourth time you've said that. i would suggest to you that you don't accept the result, you are fighting tooth and nail to undo the result, aren't you? you don't accept the result. to give the british people the final say. andrew, let me make this point, let me make this point, and that is there something chilling about our democracy if people who think differently to the government are somehow silenced. i think it's right

the eurosceptic mps have warned any attempt to keep britain in the customs union and a single market leeway for the european court ofjustice will trigger an overnight coup. what is this? is this journalism? trigger an overnight coup. what is this? is thisjournalism? actually, it is pure comment. what it is, i‘m sorry, not being a card—carrying tory myself, this is a thoroughly divided party. i know that your party, rachel, is looking at the story that the big companies the observer is looking at that don‘t wa nt observer is looking at that don‘t want this hard brexit. the eu citizens living here, largely living and working in london, there are trading restrictions, financial services passport in, all of that. the unifying factor, both with the eurosceptic and people within the conservative party and with business, is that they want theresa may to listen. she hasn't been very good at that. she has her advisers should listens to but she keeps her cards close to her chest. whoever they are. they ask clearly still having an effect of her. it is that mentality of battling down the hatches

they are eurosceptic party and have been for decades.hing is how close the dup are to their voters, and that is because their voters, and that is because the reporters are very hardline eurosceptics. —— in their voters are hardline. that is one reason is the top very tough on this. it is a huge problem, the border. tom, the daily express is more confident. they have been optimistic about brexit throughout the period and see we wa nt throughout the period and see we want a deal that makes both sides strong. i go back to this point, europe is clear what makes europe strong, it is having a system that works together on common rules. and those common rules are at the basis of the european union. if you start to have on common rules, a different set of rules for each party, then it all set of rules for each party, then it a ll falls set of rules for each party, then it all falls apart. i had a conversation with the head of the swedish is in this lobby group and she said to me, it is very appealing, the idea of giving britain a special deal wh

it was already reeling from the migration and euro crises and the rise of eurosceptics, like france'sit feels really different here. there's a new eu self—confidence in the air. and why? well, a lid has been put on the migrant crisis, and we have seen the eurosceptics squashed the polls, notably in france. as for the shock of brexit, farfrom ripping the eu apart, it's given normally bickering european countries into each other‘s arms, forming a united front. for now at least. what about how the eu now views the uk? has to changed ? there has been utter astonishment since the general election at the disarray in the uk. and they believe this chaos in british politics makes a deal harder to reach. one of the best—known champions of brexit works right here in brussels. he dismisses all the negative talk. you can't be a self—governing nation if you're part of a european union. you can't control your borders or immigration numbers. so it's the biggest constitutional change in our country since the 17th century. it's that getting back control of our laws. but will we? at the close of day one

the eurosceptics are determined to keep the motto of brexit meaning brexit.believe there should be another contest to avoid another circus. normally hear in the shadow of parliament it would be teeming with cabinet ministers tripping over themselves to hail of wonderful general election victory, or if things didn't go quite as planned saying they are disappointed and how they hope to govern in the national interest. this afternoon i can't really see any cabinet ministers. i've been speaking to ministers and they say they are profoundly disappointed with the election result and they are furious and blaming theresa may and the very small circle of advisers. particular anger has been aimed at theresa may's gatekeepers fiona heal and nick timothy. do you think she might need to have a rethink of how she i’u ns need to have a rethink of how she runs things, the inner circle?|j think runs things, the inner circle?” think the cabinet will demand a rethink. i think they will say we have to do things differently around here, you have to widen the circle of the blue ad

like jacob rees—mogg, on the one side, who is a eurosceptic, and there are many of them, and then theref them, and then there are others like anna zoo bridge, who is a remain out, who will take a much more pragmatic view. —— anna soubry. will take a much more pragmatic view. -- anna soubry. traders are looking on the one hand at the possibility of a softer brexit now, so possibility of a softer brexit now, so the fall in the pound is muted a bit, but it starts to go sharply again when they think that she has lost all her strength. she has got all but anti— euro feeling in her own party. then you have got the dup as well and what they want from brexit. you mentioned the pound sterling, let's remind ourselves, it is at sterling, let's remind ourselves, it isata sterling, let's remind ourselves, it is at a seven month low against the euro. it is at an eight—week low against the us dollar. it isn't good. let's quickly look at the other story in the ft, russian police cracking down on protesters following the arrest of alexei navalny. vladimir putin tightening his grip again. alexei navalny,

they don't like the eu and theirmps, the eurosceptics.will result in a lot of contortions over the months ahead. i imagine you will get a bit of a break this summer. we will see. thank you both. the white house has confirmed that donald trump will meet the russian president vladimir putin next week on the sidelines of the g20 summit in germany. no agenda has yet been set for what will be their first face—to—face meeting. the american president has been widely criticised today, including from within his own party, for an outspoken attack on twitter against a female journalist. we can get more now from our senior north america reporter anthony zurcher, who joins us now from washington. firstly, on the sidelines of the 620, firstly, on the sidelines of the g20, they are spoilt for choice over what they could discuss. syria will definitely be a topic, and the so—called islamic state. sarah huckabee sanders, the deputy press secretary of the white house, was asked whether donald trump and the americans will bring up russian meddling in the us

will the very eurosceptic tories in the parliament still dominate the talks?ame time, you might think the easiest things go wrong, which is show compassion. i was there, i spent the last three days actually near the tower, and i was there on thursday morning when she arrived, and i told the people that the prime minister was here and they said, where was she, we did not see her, why didn't she come to see us? she went again on friday to try to do it better, and it completely went wrong. her argument being that she met firefighters and emergency services. it is the easiest thing for such professional people in downing street, in terms of pr, to stage a visit. what's your reading of that? the criticism throughout the election campaign, and then there was this, by all accounts, very strong performance in front of her own party, we call it the 1922 committee, the committee of backbench conservative mps, mps were coming out of that meeting saying, my goodness, if she'd behaved that well during the election campaign, we would not be in this position. they were reall

the eurosceptic and conservative party seem to be stronger in terms of the other conservatives in theexit as well, so can the tories maintain that hartline when brexit talks again? >> it is quite interesting. the dup, some of the quotes from the leaders in that party suggests a hard brexit is not good for anybody, but domestically, some of the and doointments in the new suggest theresa may is trying to solidify her position in the party and has reappointed michael gove, so there is a disconnect between the two, but we ultimately think the voice of the people does suggest that people did not vote for a hard when they voted for the weerendum, so we do think will meet in the middle somewhere. it may not be perfectly in the middle, but it will be away from the edges, and that is essentially where the market was pricing and looking ahead of the elections. even if it is a small shift away from that hard cliffs edge, this improvement, so that is what we are expecting, and that should be a support for sterling. we are also quite negative on the u.s. dollar. that is another function of our pos

was the line from david davis, the brexit secretary, and that is the view of lots of hardline euroscepticsthe things that was the result of the general election, theresa may had held it to try to put the divisions of the eu referendum behind anyone and get the country united, the opposite has happened, it has reopened the debate about what brexit should mean, not just within the conservative party, we re just within the conservative party, were a lot of people who are pro—european are saying they need to rethink this, but outside the conservative party and outside politics. you talked about businesses saying we all need a rethink on this so the short answer is who knows, that is the longer one and it shows you there is a vast amounts of uncertainty. rob, thank you. well, let's speak to someone who was in the room. nadhim zahawi is a conservative mp and supported brexit. he's in westminster. she apologised, it sounds like the people in the room with accepted that apology, she a standing ovation, they were happy with accepting full responsibility but she has got her party into a mess, hasn't

i think it macron takes a long—term view you cannot assume all those eurosceptic forces are dead forh for a more integrationalist... britain has been a brake on that, it's been a bore. the brits being out makes it much easier to go to berlin and say, let's get that franco german partnership working together again and go for it. i think there are questions about whether in the long run the germans really will make the moves macron wants, decree on the transferred union, transferring money around the eu. i think they are still pretty hesitant about that. but it is probably his best chance, now, to get it done. we will leave it there. thank you both very much. four theories as to why the tories slipped back last thursday. 0ne, youthquake — corbyn engaged the young. two, remainer revenge — pro—eu voters turned away from the hard brexit tories. three, the populist uprising continues — disgruntled voters saw corbyn as the change candidate this time, and turned to him. and four, wooden theresa — the prime ministerfailed to come across as human, and voters tend to prefer humans other things

francine: i have heard that if she gets a great big majority she can ignore some of the more euroscepticou look at theresa may at what she said and the way she behaves, it is clear that she is very comfortable wing.er eurosceptic the people that have been eliminated from her government are the traditional pro-business, pro-free trade, entrepreneurial conservatives. they are not really represented pretty much anywhere within her have hert, they don't favor. this is almost going back to a very old form of conservatism, which is quite inward looking and not into the thought of business expansion. i think it is beginning to dawn on a group of businesses that that is what they are looking at with a may dominance. tom: take us back to 1988 and the merger of the two parties that made your liberal democrats. this is roy jenkins and a group of people that got together because i guess they didn't like labour. where in 2017 do the liberal democrats fit in? i can't figure it out. susan: we look at both the two leaders. theresa may on the one side who has been moving very much to the call itd takes -

unless he agrees to a free movement of people, she is going to have trouble with eurosceptics at home to let the european court involve itself in any concerns citizens have. she is going to have to do all of those things in order to get market.o the single this is why people think the u.k. doesn't really understand the reality of the situation. >> complex stuff. thank you very much. matt miller joining us from brussels. during us in the studio, a chief investment officer. good morning. u.k. talk about where the goes. some say we will see a softer stance on brexit. is that all it takes? reporter: this is a very fine line she has to tread. deliver ae wants to brexit, appeasing the europeans. pragmatic. now we have that. toasted on the outside and soft inside. whole free this movement of people is going to bothe sticking point on sides of the channel. these discussions are going to go on. she is going to have to select her own party as well. and ocalan there are other things we could get stuck on. like the divorce bill. >> these things go hand in hand. we move on to the rest. each one wi

majority she wanted in the election last week, so her position is tenuous because there are those euroscepticscerned because she didn't get the majority potentially the approach in terms of the brexit talks may be watered down. they want her to stick to the promise she made about leaving the single market, the customs union, not having the european court of justice customs union, not having the european court ofjustice in charge of any of our laws, and also sticking to that ending of the freedom of movement. if she moves away from that then certainly her position could be tenuous. her leadership has been brought into question again this week because of the dealings around the grenfell tower disaster. her leadership is in question, she has a lot of people on the backbenches worried about this, concerned about it, so we'll see what happens. certainly another leadership challenge potentially but we don't know for sure. thanks very much indeed. a forest fire in central portugal has killed at least 2a people. 16 of the victims died in their vehicles when they became trapped as they tried to escape

certainly if she goes back on any of those promises made to the eurosceptics, certainly, potentially risk. she has got a difficult time ahead. thank you. a forest fire in central portugal has killed at least 39 people. victims died in their vehicles as they tried to escape but became trapped by flames. nimesh thaker has more. a deadly mix of strong winds and a severe heatwave have fanned the flames now threatening to engulf homes. burning uncontrollably, this fire is already one of the worst forest fires in portugal in decades. more than 20 people have died, most of them trapped in their cars. a number of people were reported to be missing. translation: it was a big tragedy. we've already identified 2a victims but this number could rise. all of those who died were on a road in the same fire at the same place. it started on saturday at 3pm local time in a mountainous area 200 kilometres north—east of lisbon. around 500 firefighters were called to the scene. translation: i was there staring at my house. i don't know what will happen with it now. officials describe the fire spreading vi

election over the weekend, but we have italian elections, the popular five-star patty, who are euroscepticvery poorly. that centrist parties are starting to gain ground again suddenly means the eurozone should have much less concern for political risk on forward, yet you are not seeing the euro trade that well. euro sterling is more interesting today, and the fundamental story for sterling -- yvonne: thank you so much, mark cudmore joining us from singapore with what to look out for in the markets this tuesday morning. taking a look at the white house . the trump administration may not be shaking up u.s. banking regulations as much as some had hoped.or others had the treasury department is expected to release its anticipated report imminently. let us bring in ramy inocencio to see what we might expect. we remembered in the last couple weeks or so, we have heard from the president saying he was going to do a big number. does not see much the case anymore. as january as early 30 when he said he would get a big hit on dodd-frank and everything underneath it. ramy: at least according to one pe

me months ago,d that was the rise of populism and eurosceptics would have been up there, but the resultsections are positive. francine: is there concern we are underestimating the forces of populism? germany, the investor base, and globally, has been less concerned about populism. the two biggest parties in germany are pro-european and the single-digite polling results. that is not seen as a concern. when you look at global perspective, is there a part of the world where you see better opportunities? joerg: we are optimistic on europe. in our forecasts and investment propositions, we are featuring european equities favorably. positiveiven the evolution of the economic outlook, we are overweight in europe. how do you look at oil? does that lead to inflation? we thought it would take longer. joerg: as a moment, it is a halting factor. the anticipation oil would move towards mid 50's has not come to fruition. downe one reason we took our headline inflation numbers is because the oil price increase has not materialized. francine: does business feel better than four or five months ago because

francine: my guest this morning has been a prominent eurosceptic since entering parliament 25 years agoin 2011 he was elected leader of the conservative party. when the tories returned to government, he was made work and pensions secretary. joining us to talk brexit and the u.k. election, iain duncan smith. to the torypened campaign in the last three weeks? you went from a 20-point lead to plummeting drastically. iain: first of all let's park the polls for a second. if you look at the polls, there's a range of polls. you tend to be focusing on the one poll that has the worst result. francine: you are less popular now than you were three weeks ago. iain: are we? i never believed what they were talking about was realistic. i think they are lurching around the place at the moment. i don't think they indicate very much. i don't see this on the street and i have done a lot of marginal constituencies. i find labour vote is still very soft. they are unhappy about corbyn. francine: is it still a done deal? iain: i have no idea. we will see on thursday. i'm a great believer in just getting on wi

researchers say there's evidence people are more eurosceptic after the referendum than at any point ins rarest birds of prey is heading towards extinction in england, according to the rspb. there are just four breeding pairs of hen harriers left, and numbers are declining fast across the rest of the uk. even in the bird's traditional stronghold of scotland, the numbers are down. the reasons include illegal persecution and destruction of their natural habitat. they are beautiful creatures, aren't they? if you are just waking up then you might want to wake up a little bit more for this. a pedestrian has had a miraculous escape after being struck by a bus in reading city centre. the moment was captured on cctv, as ben moore reports. we must warn you that some people might find these pictures upsetting. it is disturbing to watch but he survived and he's 0k. a quiet morning in reading until this spectacular accident happened. the man on the receiving end of the bus, simon smith, should by rights be seriously injured or worse. so it's nothing short of astonishing when he calmly gets up and w

they were probably the most eurosceptic party in the uk.ntrol between northern ireland and the republic, they have said as theresa may has set herself, that they want crossing the border to remain as seamless and frictionless as possible. so you can expect that to be high up on their wish list. clearly a strong night for sinn fein and the dup, but remarkable to think, women go back 30 years, the sdlp, with nothing —— when we go back 30 years. yes, the dup and sinn fein have taken their dominance to a whole new level, we did not think they would wipe out the sdlp but thatis they would wipe out the sdlp but that is what has unfolded overnight. dup gaining a couple of seats and sinn fein gaining three seats. the independent unionist is the only other party, so this is a disastrous night for the sdlp, having no seats left at westminster and there will be no irish nationalist representation on the benches of the westminster because sinn fein do not ta ke westminster because sinn fein do not take their seats. now, westminster because sinn fein do

soft on some things, in terms of the border and the mainland of ireland, but they are definitely euroscepticup with, but complications all around. this is a very complex set of consequences from what has clearly been a political disaster. we will be back. a quick word. clearly been a political disaster. we will be back. a quick wordm will be a personal humiliation of a new kind for theresa may to have to get rid of nick timothy and fiona heal and she would hate to do so in she will be badly weakened if she does because she depends on them very much. and whilst she would be ina weaker very much. and whilst she would be in a weaker position, as well, and her modus operandi will have gone, andi her modus operandi will have gone, and i would be surprised if she finds that easy to do. she might at least get rid of one of them to at least get rid of one of them to at least make some sacrifice in that direction but it would be difficult to replace them with somebody else even though she only has a very small group of people to help. even though she only has a very small group of people to helpm eve

the tory party is still the biggest party, the strongest contingent in the conservative party id euroscepticsugbears for your party and the direction it should go in? i have not been able to follow the unfolding results or of what the current state of the arithmetic is, but clearly something has gone awry here. we set out to provide the country with more stability, especially ahead of brexit, and we are emerging with the situation in parliament with more divisions and less stability. we need to take stock of what has happened and what these challenges are with the brexit negotiations, it will take some time to rethink what is the correct approach. can the prime minister hang on? absolutely. i don't know what the current state of affairs are with the number of seats, but if she is the leader of the largest party thing that is the duty on how to seek to form a viable government. the last thing she should be doing right now while the election results are coming and is calling for more knee jerk are coming and is calling for more kneejerk decisions are coming and is calling for more knee jerk dec

the very eurosceptic tories in the parliament still dominate talks?time, you might think the easy as the same time, you might think the ea the same time, you might think the 0 wrong, the same time, you might think the easy as - go wrong, which easy as things go wrong, which is show compassion. i was there, i . g the next three days actually spent the next three days actually the tower, i was there on near the tower, i was there on thursday morning when she arrived i i told the people that the prime and i told the people that the prime minister was here and they said, where was she, we did not see her, why didn't she come to see us? she again on friday to try to do it went again on friday to try to do it better and it completely went wrong. her argument being that she met firefighters and emergency services. it is the easiest thing for such professional people in downing street, in terms of pr, to stage a visit. what is your reading of that? the criticism throughout the the criticism throoghoot the’ ”" ’ ’” campaign, and then there election campaign, a