WEBVTT - Israel-Hamas Conflict & Labour's Great Expectations

0:00:02.640 --> 0:00:03.200
<v Speaker 1>Good morning.

0:00:03.200 --> 0:00:05.480
<v Speaker 2>It's Monday, the ninth of October in London. This is

0:00:05.480 --> 0:00:18.920
<v Speaker 2>the Bloomberg Daybreak Europe podcast. I'm Stephen Carroll. Israel strikes

0:00:18.960 --> 0:00:22.400
<v Speaker 2>back at Gaza after Hamas attacks kill more than seven

0:00:22.520 --> 0:00:26.720
<v Speaker 2>hundred people. Hamas faces international condemnation as tensions in the

0:00:26.760 --> 0:00:30.320
<v Speaker 2>Middle East flare, plus fears of a proxy war, oil

0:00:30.400 --> 0:00:33.720
<v Speaker 2>surges as the risk of a wider conflict puts markets

0:00:33.760 --> 0:00:36.720
<v Speaker 2>on edge. Let's start with the roundup of our top stories.

0:00:37.800 --> 0:00:40.239
<v Speaker 2>More than seven hundred Israelis, most of them civilians, have

0:00:40.280 --> 0:00:43.400
<v Speaker 2>been killed by Hamas in the weekend's attacks on southern Israel.

0:00:43.720 --> 0:00:46.600
<v Speaker 2>About four hundred Palestinians have also died in fighting and

0:00:46.640 --> 0:00:50.440
<v Speaker 2>retaliatory attacks. As the Israeli military has regained control over

0:00:50.560 --> 0:00:54.680
<v Speaker 2>most areas breached by militants. The operation by Hamas, which

0:00:54.680 --> 0:00:59.080
<v Speaker 2>included taking scores of Israeli hostages, was an unprecedented incursion

0:00:59.080 --> 0:01:02.880
<v Speaker 2>that has shaken real stability and markets there on. Ohayan

0:01:02.920 --> 0:01:05.040
<v Speaker 2>Shakti's relatives were among those taken.

0:01:05.560 --> 0:01:08.720
<v Speaker 3>I don't know how this can be resolved in a

0:01:08.760 --> 0:01:13.160
<v Speaker 3>way that will secure their lives and bring them back

0:01:13.200 --> 0:01:15.400
<v Speaker 3>to Israel alive in one piece.

0:01:15.600 --> 0:01:17.160
<v Speaker 4>I don't know how this can be done.

0:01:17.640 --> 0:01:19.840
<v Speaker 2>O'hayan Shakti says she doesn't know how she will be

0:01:19.880 --> 0:01:23.039
<v Speaker 2>reunited with her family. It's unclear how many hostages have

0:01:23.080 --> 0:01:25.480
<v Speaker 2>been taken, and Hamas says it was holding dozens of

0:01:25.480 --> 0:01:29.320
<v Speaker 2>commanders and soldiers. Reacting to the attacks, Israeli Prime Minister

0:01:29.360 --> 0:01:31.959
<v Speaker 2>Benjamin Nettania, who said the country is now at war

0:01:32.000 --> 0:01:32.680
<v Speaker 2>with Hamas.

0:01:33.959 --> 0:01:37.440
<v Speaker 1>Hamas started a cruel and evil war. We will win

0:01:37.480 --> 0:01:39.640
<v Speaker 1>this war, but the price is too heavy to bear.

0:01:40.600 --> 0:01:42.319
<v Speaker 1>This is a very difficult day for all of us.

0:01:43.680 --> 0:01:45.679
<v Speaker 2>The timing and scale of the attack appears to have

0:01:45.680 --> 0:01:49.560
<v Speaker 2>caught Netanyahu's government by surprise. The country's officials have been

0:01:49.560 --> 0:01:53.240
<v Speaker 2>warning for months that Palestinian militant groups were preparing for violence,

0:01:53.520 --> 0:01:55.960
<v Speaker 2>but the attack still appears to represent one of the

0:01:55.960 --> 0:02:00.680
<v Speaker 2>biggest failures by Israeli intelligence in decades. Within hours of

0:02:00.680 --> 0:02:05.080
<v Speaker 2>Saturday's attacks, these ready defense forces launched Operation Swords of Iron,

0:02:05.320 --> 0:02:09.440
<v Speaker 2>cutting off power and carrying out airstrikes against targets in Gaza.

0:02:09.800 --> 0:02:13.840
<v Speaker 2>The Palestinian Health Ministry says hundreds of people, including children,

0:02:13.880 --> 0:02:17.200
<v Speaker 2>have been killed there. Reacting to the events, read Mansur,

0:02:17.280 --> 0:02:20.720
<v Speaker 2>the Palestinian observer at the United nations said this.

0:02:21.360 --> 0:02:26.080
<v Speaker 5>We chose the peaceful path to achieve our rights, but

0:02:26.400 --> 0:02:33.600
<v Speaker 5>Israel continued using bland force against Palestinian lives and Palestinian rights.

0:02:34.240 --> 0:02:38.080
<v Speaker 5>Israel cannot wage a full scale war on a nation,

0:02:38.760 --> 0:02:44.320
<v Speaker 5>its people, its land, its holy sites and expect peace

0:02:44.520 --> 0:02:46.240
<v Speaker 5>in exchange.

0:02:46.400 --> 0:02:49.560
<v Speaker 2>Despite read Mansur's comments, Israel says it won't stop until

0:02:49.560 --> 0:02:53.480
<v Speaker 2>Hamas's military infrastructure is dismantled. That's a task that seems

0:02:53.560 --> 0:02:57.520
<v Speaker 2>likely to take months and will likely include a ground invasion.

0:02:58.560 --> 0:03:02.600
<v Speaker 2>President Joe Biden has towed Prime Minister Netanyahu that additional

0:03:02.639 --> 0:03:05.920
<v Speaker 2>military assistance for Israel is now on the way, with

0:03:06.080 --> 0:03:10.280
<v Speaker 2>six US naval vessels now headed to the Eastern Mediterranean

0:03:10.360 --> 0:03:14.600
<v Speaker 2>to quote bolster regional deterrence. Meanwhile, the British Prime Minister

0:03:14.680 --> 0:03:18.280
<v Speaker 2>Richi Sunak says the UK stands unequivocally with Israel following

0:03:18.280 --> 0:03:21.160
<v Speaker 2>the attacks. Now is not a time for equivocation and

0:03:21.240 --> 0:03:24.320
<v Speaker 2>I'm unequivocal. Har Mass and the people who support her

0:03:24.400 --> 0:03:28.200
<v Speaker 2>Mass are fully responsible for this appalling act of terror.

0:03:29.360 --> 0:03:32.799
<v Speaker 2>Ritchie Sunac's comments come as Saturday strike in Israel's subsequent

0:03:32.840 --> 0:03:36.640
<v Speaker 2>declaration of war threatened to unnerved markets. Oil has surged

0:03:36.680 --> 0:03:39.520
<v Speaker 2>by as much as five percent after the attacks, and

0:03:39.560 --> 0:03:42.720
<v Speaker 2>while the events don't pose an immediate threat to crude supplies,

0:03:42.800 --> 0:03:45.200
<v Speaker 2>there is a risk the conflict could spiral into a

0:03:45.200 --> 0:03:51.040
<v Speaker 2>more devastating proxy war involving the US and Iran. Turning

0:03:51.080 --> 0:03:53.400
<v Speaker 2>now to other news, the Labour leader kir Starmer says

0:03:53.440 --> 0:03:56.680
<v Speaker 2>the party must keep its composure over the prospect of power.

0:03:56.880 --> 0:03:59.680
<v Speaker 2>At the start of possibly the last conference before general

0:03:59.680 --> 0:04:03.800
<v Speaker 2>elect the Labour leader spoke at the party's women's conference.

0:04:03.680 --> 0:04:07.200
<v Speaker 4>A simple message that we take to the country that

0:04:07.440 --> 0:04:10.360
<v Speaker 4>labor will make a practical difference to the lives of

0:04:10.720 --> 0:04:12.360
<v Speaker 4>millions of women in this country.

0:04:13.440 --> 0:04:16.120
<v Speaker 2>Starmer's Labor Party is expected to use the conference to

0:04:16.160 --> 0:04:19.400
<v Speaker 2>outline plans for the NHS and for growing the economy.

0:04:19.400 --> 0:04:22.520
<v Speaker 2>Bloomberg understands that the party is considering plans to borrow

0:04:22.600 --> 0:04:26.800
<v Speaker 2>to invest in British industry and Metro Bank has secured

0:04:26.800 --> 0:04:29.400
<v Speaker 2>a nine hundred and twenty five million pound financing package

0:04:29.480 --> 0:04:33.040
<v Speaker 2>deal which includes a forty percent haircut on some bondholders.

0:04:33.320 --> 0:04:37.240
<v Speaker 2>The agreement, Cy's Columbian financier Jimmy Glinski take a controlling

0:04:37.320 --> 0:04:41.599
<v Speaker 2>interest in the British retail and commercial bank Metro gains

0:04:41.640 --> 0:04:44.599
<v Speaker 2>some much needed breathing space after a tumultuous week that

0:04:44.760 --> 0:04:48.560
<v Speaker 2>saw its share price whipsaw. Of course, the story that

0:04:48.640 --> 0:04:51.919
<v Speaker 2>is dominating our programming today are the events of the

0:04:51.960 --> 0:04:55.479
<v Speaker 2>weekend in Israel. More than one thy one hundred people

0:04:55.480 --> 0:04:58.240
<v Speaker 2>are dead in Israel and Gaza after the weekend's Hamas

0:04:58.360 --> 0:05:01.680
<v Speaker 2>attacks and the retalitory airst strikes on the Palestinian territory.

0:05:01.720 --> 0:05:04.440
<v Speaker 2>It's the worst attack on Israel in fifty years, with

0:05:04.520 --> 0:05:08.960
<v Speaker 2>potentially wide reaching consequences. For the latest were joined Byer

0:05:09.080 --> 0:05:11.160
<v Speaker 2>Israel BUA chief Ethan Bronner and Tel Aviv and a

0:05:11.200 --> 0:05:13.320
<v Speaker 2>studio with me in London as our EMA andis reactor

0:05:13.400 --> 0:05:15.680
<v Speaker 2>Razin Mathison. Good morning to you both, Ethan, and I'd

0:05:15.760 --> 0:05:18.000
<v Speaker 2>like to start with you. What is the latest that

0:05:18.040 --> 0:05:21.520
<v Speaker 2>you can tell us this morning about what Israeli forces

0:05:21.520 --> 0:05:23.880
<v Speaker 2>have been able to do in terms of regaining control

0:05:23.920 --> 0:05:26.599
<v Speaker 2>of areas where fighting was ongoing over the weekend.

0:05:27.200 --> 0:05:31.400
<v Speaker 6>Yes, I can seven. So the situation remains relatively dire

0:05:31.480 --> 0:05:35.240
<v Speaker 6>in Israel. The Israeli say that Hamas fighters are continuing

0:05:35.279 --> 0:05:38.080
<v Speaker 6>to sneak in in small numbers to Israel and remain

0:05:38.160 --> 0:05:42.440
<v Speaker 6>at large in Israel. In the south, mostly but possibly beyond.

0:05:42.880 --> 0:05:46.920
<v Speaker 6>There are still families being held hostage by Hamas fighters

0:05:46.920 --> 0:05:48.000
<v Speaker 6>in the south of Israel.

0:05:48.279 --> 0:05:48.800
<v Speaker 1>There are at.

0:05:48.760 --> 0:05:52.560
<v Speaker 6>Least one hundred Israeli hostages being held in Gaza, so

0:05:52.600 --> 0:05:56.440
<v Speaker 6>from an Israeli perspective, the situation is not yet under control.

0:05:56.520 --> 0:05:59.040
<v Speaker 1>Forty eight hours after the assault.

0:05:59.160 --> 0:06:02.400
<v Speaker 6>They are of course striking by air in Gaza and

0:06:02.520 --> 0:06:06.400
<v Speaker 6>say that they are going after a bunch of launching

0:06:06.480 --> 0:06:11.240
<v Speaker 6>sites and military infrastructure held by Hamas. But they were

0:06:11.320 --> 0:06:14.960
<v Speaker 6>clearly caught in terrible surprise, and this is taking a

0:06:15.000 --> 0:06:18.719
<v Speaker 6>lot longer and a lot more painful than they ever expected.

0:06:19.320 --> 0:06:22.839
<v Speaker 2>What have we heard from Prime Minister Benjamin Saint Natania

0:06:22.839 --> 0:06:25.880
<v Speaker 2>who and the government about what they expect to do

0:06:26.000 --> 0:06:26.640
<v Speaker 2>from here?

0:06:28.160 --> 0:06:32.520
<v Speaker 6>The Prime Minister has actually not held especially high presence lately.

0:06:32.560 --> 0:06:34.719
<v Speaker 6>I'm sure it's a very difficult time for him. I

0:06:34.760 --> 0:06:38.919
<v Speaker 6>would say that the military officials and those who have

0:06:39.000 --> 0:06:42.279
<v Speaker 6>been in and out of government are talking about a

0:06:42.440 --> 0:06:46.359
<v Speaker 6>month's long campaign which will involve a ground force.

0:06:46.720 --> 0:06:47.240
<v Speaker 1>Very likely.

0:06:47.360 --> 0:06:50.279
<v Speaker 6>No one is asserting it as a fact, but it's

0:06:50.440 --> 0:06:53.960
<v Speaker 6>increasingly viewed as likely, and that this is going to

0:06:54.000 --> 0:06:55.880
<v Speaker 6>take a long time, but that they say they are

0:06:55.880 --> 0:07:00.359
<v Speaker 6>determined to never allow Hamas to have the capacity to

0:07:00.400 --> 0:07:01.640
<v Speaker 6>carry out such an attack.

0:07:01.680 --> 0:07:03.839
<v Speaker 1>Again, Ethan stay with us.

0:07:03.880 --> 0:07:06.440
<v Speaker 2>I'd like to turn to Razin mathscenari Emians reactor, who's

0:07:06.440 --> 0:07:08.840
<v Speaker 2>in studio with us. There was a meeting also of

0:07:08.839 --> 0:07:10.400
<v Speaker 2>the UN Security Council last night.

0:07:10.640 --> 0:07:10.840
<v Speaker 1>Ros.

0:07:10.880 --> 0:07:12.120
<v Speaker 2>What do we know about what happened there?

0:07:12.400 --> 0:07:15.160
<v Speaker 7>Well, there wasn't meeting. It was a closed door meeting

0:07:15.280 --> 0:07:17.760
<v Speaker 7>and obviously an effort by some members, including the US,

0:07:17.840 --> 0:07:22.320
<v Speaker 7>to get a unified statement condemning Hamas for this attack

0:07:22.480 --> 0:07:25.360
<v Speaker 7>on Israel. We didn't see that statement eventually in a

0:07:25.360 --> 0:07:27.160
<v Speaker 7>way that's no surprise, of course, when you look at

0:07:27.160 --> 0:07:30.080
<v Speaker 7>the makeup of the UN Security Council, you've got Russia

0:07:30.160 --> 0:07:34.320
<v Speaker 7>and China there. Russia has supported around obviously in the

0:07:34.360 --> 0:07:38.280
<v Speaker 7>Middle East, which it turned backs Hamas, and China tends

0:07:38.320 --> 0:07:39.800
<v Speaker 7>to walk a line on this. You can see in

0:07:39.800 --> 0:07:42.760
<v Speaker 7>the statements they've issued so far since his attack, not

0:07:42.920 --> 0:07:47.440
<v Speaker 7>overtly criticizing Hamas by name, not overtly calling out the

0:07:47.480 --> 0:07:51.240
<v Speaker 7>Palestinians for this, just urging a ceasefire, and no great

0:07:51.320 --> 0:07:54.720
<v Speaker 7>desire to be part of a statement that's condemning Hamas.

0:07:54.800 --> 0:07:57.280
<v Speaker 7>Of course, A bit broader questions over the utility of

0:07:57.360 --> 0:08:01.080
<v Speaker 7>the UN Security Council in recent years, including its response

0:08:01.160 --> 0:08:04.800
<v Speaker 7>to Russia's invasion of Ukraine. So you're not really going

0:08:04.840 --> 0:08:08.120
<v Speaker 7>to see strong leadership necessarily coming from the UN in

0:08:08.200 --> 0:08:10.360
<v Speaker 7>this moment. The real thing to watch, obviously is the

0:08:10.440 --> 0:08:12.600
<v Speaker 7>key ally of Israel, which is the US.

0:08:13.400 --> 0:08:15.720
<v Speaker 2>So far, the US has sent six vessels, including an

0:08:15.720 --> 0:08:19.520
<v Speaker 2>aircraft carrier to the Eastern Mediterranean. How should we assess

0:08:19.600 --> 0:08:22.160
<v Speaker 2>the US response so far to these events.

0:08:22.400 --> 0:08:25.040
<v Speaker 7>Well, certainly a high level of concern about what's going on,

0:08:25.200 --> 0:08:28.800
<v Speaker 7>strong statements of support for Israel, saying they'll support Israel

0:08:28.840 --> 0:08:33.040
<v Speaker 7>and in a number of ways, including potentially militarily, talk

0:08:33.160 --> 0:08:37.040
<v Speaker 7>of more aid packages coming in. And the US has

0:08:37.040 --> 0:08:39.000
<v Speaker 7>had a roll over the years in sort of the

0:08:39.080 --> 0:08:43.120
<v Speaker 7>development and the production of the Iron Dome missile system,

0:08:43.160 --> 0:08:47.199
<v Speaker 7>which has proved quite effective. Yet again in the recent events,

0:08:47.240 --> 0:08:49.800
<v Speaker 7>the question is what does the presence of the US

0:08:50.000 --> 0:08:53.319
<v Speaker 7>Navy close by do. It just sends a signal for

0:08:53.360 --> 0:08:54.920
<v Speaker 7>a start, the US is in the air in the

0:08:55.000 --> 0:08:57.599
<v Speaker 7>idea that people need to probably keep a lid on

0:08:57.920 --> 0:09:01.400
<v Speaker 7>contagion effect from what's happened. Again, the concern that this

0:09:01.480 --> 0:09:04.439
<v Speaker 7>sprawls out into other areas of the Middle East. So

0:09:04.559 --> 0:09:07.679
<v Speaker 7>that's an important thing. Just again, the US could be

0:09:08.360 --> 0:09:11.720
<v Speaker 7>needing to potentially West Caast now evacuate its own citizens

0:09:11.800 --> 0:09:12.360
<v Speaker 7>from the area.

0:09:13.440 --> 0:09:18.520
<v Speaker 2>Ethan to you, and a word on the military response

0:09:18.600 --> 0:09:21.400
<v Speaker 2>we've had from Israel so far. Can you describe to

0:09:21.559 --> 0:09:26.560
<v Speaker 2>us what has happened in terms of military operations since Saturday?

0:09:27.960 --> 0:09:29.760
<v Speaker 6>Sure, And one last thing I would I would, I

0:09:29.760 --> 0:09:31.679
<v Speaker 6>think with Ross said, is very important and just to

0:09:31.800 --> 0:09:35.240
<v Speaker 6>point out that the presence of that US system here

0:09:35.559 --> 0:09:38.720
<v Speaker 6>is really aimed at Isbelah at Lebanon, as she implied.

0:09:40.120 --> 0:09:42.520
<v Speaker 1>It is not aimed at Hamas in the South.

0:09:42.600 --> 0:09:44.920
<v Speaker 6>It has aimed at the fear that there could be

0:09:44.960 --> 0:09:47.079
<v Speaker 6>a kind of a multi front war and to send

0:09:47.120 --> 0:09:49.599
<v Speaker 6>a signal in terms of what Israel has done. It

0:09:49.679 --> 0:09:54.440
<v Speaker 6>had something like twenty nine spots along the border fence

0:09:54.520 --> 0:09:57.640
<v Speaker 6>that were breached on Saturday morning. They have repaired them

0:09:57.720 --> 0:10:02.280
<v Speaker 6>and say largely secured them. Have mostly they've arrested and

0:10:02.400 --> 0:10:05.120
<v Speaker 6>killed a whole bunch of Hamas fighters in the South,

0:10:05.960 --> 0:10:10.360
<v Speaker 6>and they have now been hitting from the air hundreds

0:10:10.640 --> 0:10:15.400
<v Speaker 6>of targets, especially launcher sites, to reduce the number of

0:10:15.679 --> 0:10:18.640
<v Speaker 6>rockets and missiles that Hamas can send to Israel, but

0:10:19.080 --> 0:10:22.160
<v Speaker 6>they are finding it much more difficult than expected. They

0:10:22.240 --> 0:10:24.439
<v Speaker 6>have called up four divisions, there's a whole bunch of

0:10:25.400 --> 0:10:28.400
<v Speaker 6>reservists going down. There are already complaints of a slight

0:10:28.520 --> 0:10:31.040
<v Speaker 6>lack of equipment. It's fairly chaotic, it.

0:10:31.120 --> 0:10:33.640
<v Speaker 1>Must be said. This is not a well ordered situation.

0:10:33.760 --> 0:10:34.960
<v Speaker 1>From Israel's perspective.

0:10:35.480 --> 0:10:39.000
<v Speaker 2>There's been much discussion about the intelligence failures that led

0:10:39.040 --> 0:10:43.360
<v Speaker 2>to this attack happening as a surprise on Israel. What

0:10:43.600 --> 0:10:45.600
<v Speaker 2>is being said about that there Now.

0:10:47.440 --> 0:10:51.240
<v Speaker 6>This is seen as perhaps the worst intelligence failure, certainly

0:10:51.320 --> 0:10:53.920
<v Speaker 6>since the nineteen seventy three war.

0:10:54.880 --> 0:10:57.600
<v Speaker 1>And again it's a sort of double nature.

0:10:57.720 --> 0:11:00.720
<v Speaker 6>One is an operational one, they didn't have enough troops

0:11:00.920 --> 0:11:05.000
<v Speaker 6>down along the fence, but it was largely a conceptual one.

0:11:05.160 --> 0:11:07.079
<v Speaker 1>And here I think this will take a long time

0:11:07.160 --> 0:11:08.120
<v Speaker 1>to understand. Well.

0:11:08.559 --> 0:11:11.600
<v Speaker 6>For the last few years, and especially six or ten months,

0:11:11.679 --> 0:11:14.880
<v Speaker 6>Hamas has given the distinct impression to Israel that it

0:11:14.960 --> 0:11:16.840
<v Speaker 6>was not in a fighting mode, that it was looking

0:11:16.880 --> 0:11:22.000
<v Speaker 6>to negotiate and talk its way to a future. Meanwhile,

0:11:22.160 --> 0:11:27.320
<v Speaker 6>it seems planning all along a massive invasion. They fooled

0:11:27.320 --> 0:11:31.160
<v Speaker 6>the Israelis, and the Israelis feel utterly humiliated about it.

0:11:32.440 --> 0:11:32.560
<v Speaker 3>Ros.

0:11:32.880 --> 0:11:35.880
<v Speaker 2>What do the events of the past few days mean

0:11:36.120 --> 0:11:40.240
<v Speaker 2>for the efforts to normalize relations between Saudi Arabia and

0:11:40.480 --> 0:11:41.800
<v Speaker 2>Israel and other Gulf countries.

0:11:42.600 --> 0:11:45.440
<v Speaker 7>Well, as Ethan was saying, I mean, Israel is going

0:11:45.520 --> 0:11:48.920
<v Speaker 7>to be very focused for quite some time, possibly months,

0:11:49.000 --> 0:11:54.599
<v Speaker 7>simply on its efforts to contain Hamas militarily now. And

0:11:54.760 --> 0:11:57.319
<v Speaker 7>that's really going to be front of mine. With the

0:11:57.440 --> 0:12:01.600
<v Speaker 7>level of casualties that we've seen, has to be number one.

0:12:01.720 --> 0:12:04.920
<v Speaker 7>So does that just take normalization off the table? At

0:12:04.960 --> 0:12:07.040
<v Speaker 7>the very least, it puts it very much on the

0:12:07.120 --> 0:12:10.280
<v Speaker 7>back burner. There's going to be no appetite to have

0:12:10.400 --> 0:12:14.719
<v Speaker 7>those conversations continuing. They're very, very delicate conversations to be

0:12:14.840 --> 0:12:17.640
<v Speaker 7>happening at all, let alone in the environment that we're

0:12:17.720 --> 0:12:20.199
<v Speaker 7>in at the moment, and certainly that may have been

0:12:20.280 --> 0:12:23.560
<v Speaker 7>some of the intent from Hamas in carrying out this attack,

0:12:23.720 --> 0:12:26.400
<v Speaker 7>was to derail that process. Certainly, it's got to be

0:12:26.520 --> 0:12:27.880
<v Speaker 7>very much on the back burner for now.

0:12:28.120 --> 0:12:30.319
<v Speaker 2>Whereas the Wall Street journals also reporting this morning that

0:12:30.400 --> 0:12:33.880
<v Speaker 2>Iran helped Hamas to plan these attacks, what's been the

0:12:33.960 --> 0:12:35.520
<v Speaker 2>official response to those reports.

0:12:35.840 --> 0:12:38.200
<v Speaker 7>Well, obviously it's a pretty natural line to draw, given

0:12:38.240 --> 0:12:41.880
<v Speaker 7>the historical support that Iran has given to Hamas and

0:12:41.960 --> 0:12:45.599
<v Speaker 7>obviously also by Hesballah, which Ethan was talking about a

0:12:45.679 --> 0:12:49.040
<v Speaker 7>minute ago. Are you seeing US caution officially on that.

0:12:49.200 --> 0:12:51.640
<v Speaker 7>They're saying, there's no there's nothing that they see that

0:12:51.760 --> 0:12:54.959
<v Speaker 7>tangibly ties Iran to this, But of course you see

0:12:55.040 --> 0:13:01.000
<v Speaker 7>a long history of support militarily, strategically, financially Hamas. And

0:13:01.080 --> 0:13:03.360
<v Speaker 7>whether or not they knew about this attack, they were

0:13:03.440 --> 0:13:06.680
<v Speaker 7>guiding this attack and helping them planet is another question,

0:13:06.840 --> 0:13:09.520
<v Speaker 7>but certainly there's a strong level of historic support there.

0:13:09.760 --> 0:13:12.120
<v Speaker 7>The US is saying officially right now, they don't see

0:13:12.160 --> 0:13:15.160
<v Speaker 7>anything that directly links around to this particular attack.

0:13:16.160 --> 0:13:17.760
<v Speaker 1>Ethan, What does.

0:13:18.160 --> 0:13:21.600
<v Speaker 2>All of this mean for the political situation in Israel now?

0:13:21.679 --> 0:13:24.320
<v Speaker 2>The President calling for national unity, There's been some talk

0:13:24.360 --> 0:13:26.520
<v Speaker 2>from some of the opposition party leaders as well.

0:13:28.360 --> 0:13:31.680
<v Speaker 6>Yes, I think it's important to just recall for our

0:13:31.760 --> 0:13:36.439
<v Speaker 6>listeners that what happened on Saturday morning was a fairly

0:13:36.679 --> 0:13:41.160
<v Speaker 6>brutal civilian massacre. Hundreds and hundreds of people were slaughtered.

0:13:41.679 --> 0:13:44.720
<v Speaker 6>This was not really a military incursion. These were kids

0:13:44.800 --> 0:13:47.280
<v Speaker 6>that a concert, These were people in their homes. This

0:13:47.400 --> 0:13:53.280
<v Speaker 6>has unified this country in an instant, and the protest

0:13:53.440 --> 0:13:56.880
<v Speaker 6>movement for example, that was protesting against Prime minister in

0:13:56.920 --> 0:13:59.679
<v Speaker 6>Titania who in the streets for nine months, has now

0:13:59.760 --> 0:14:03.319
<v Speaker 6>turned into a support system for the troops and the

0:14:03.400 --> 0:14:07.160
<v Speaker 6>people in the south, raising money for them. As you said,

0:14:07.200 --> 0:14:12.600
<v Speaker 6>opposition has talked about joining a national unity government. The president,

0:14:12.679 --> 0:14:14.360
<v Speaker 6>as you said, mentioned, and I think that there's a

0:14:14.520 --> 0:14:18.839
<v Speaker 6>likelihood of that happening. This is I don't think that

0:14:19.000 --> 0:14:21.800
<v Speaker 6>long term prime minister in d'artagna who can survive this

0:14:21.960 --> 0:14:25.960
<v Speaker 6>failure of intelligence. But for now people are gathering around

0:14:26.240 --> 0:14:30.520
<v Speaker 6>and really in a rather unified way, which has eluded

0:14:30.560 --> 0:14:32.440
<v Speaker 6>this country for this past year or two.

0:14:33.840 --> 0:14:35.920
<v Speaker 2>Rather I final word to you about wire else we

0:14:35.920 --> 0:14:38.800
<v Speaker 2>should be watching in the region for the wider implications

0:14:38.920 --> 0:14:40.320
<v Speaker 2>of the events we've seen in Israel.

0:14:41.000 --> 0:14:43.800
<v Speaker 7>Well, obviously, again the concern is that this does spread

0:14:43.880 --> 0:14:46.880
<v Speaker 7>and perhaps if there's a long running ground war in

0:14:46.960 --> 0:14:50.320
<v Speaker 7>the area, that does draw in other plays, including around

0:14:50.320 --> 0:14:52.800
<v Speaker 7>although so far it's been fairly contained. You saw some

0:14:53.400 --> 0:14:56.960
<v Speaker 7>rockets fired by Hesbealah, you saw some rockets fired at Hesbelah,

0:14:57.040 --> 0:15:00.000
<v Speaker 7>but that's really been sort of a gesture if anything else,

0:15:00.240 --> 0:15:03.080
<v Speaker 7>and there doesn't seem to be an appetite really to

0:15:03.160 --> 0:15:05.720
<v Speaker 7>see this spread beyond where it is now in the

0:15:05.840 --> 0:15:09.440
<v Speaker 7>terrible events itself within Israel, but certainly that bears watching,

0:15:09.560 --> 0:15:13.160
<v Speaker 7>and not just for security in the region, but for beyond,

0:15:13.320 --> 0:15:16.440
<v Speaker 7>because of course this is an oil producing region. If

0:15:16.520 --> 0:15:20.040
<v Speaker 7>all supply gets affected, that's very significant for the global

0:15:20.120 --> 0:15:23.440
<v Speaker 7>economy as well, especially given the past year and a

0:15:23.440 --> 0:15:26.640
<v Speaker 7>half of Russia's invasion again of Ukraine. So those are

0:15:26.680 --> 0:15:29.320
<v Speaker 7>sort of broader threads worth watching, but for now obviously

0:15:29.360 --> 0:15:31.080
<v Speaker 7>a strong desire to not see this spread.

0:15:31.360 --> 0:15:34.720
<v Speaker 2>Our Amia News director Roslind Matheson and from Tel Aviv,

0:15:34.880 --> 0:15:37.280
<v Speaker 2>Israel Bureau Chief Ethan Broner, thank you both very much.

0:15:37.360 --> 0:15:39.560
<v Speaker 2>Now we are continuing to monitor events in Israel, but

0:15:39.640 --> 0:15:42.200
<v Speaker 2>turning to some political news here in the UK. The

0:15:42.280 --> 0:15:46.000
<v Speaker 2>Labor Party holding its annual conference in Liverpool, freshenal success

0:15:46.320 --> 0:15:49.800
<v Speaker 2>of the by election victory in Scotland, but the events

0:15:49.960 --> 0:15:53.280
<v Speaker 2>of the weekend threatening to overshadow the party conference. Cayline

0:15:53.280 --> 0:15:55.520
<v Speaker 2>Hepgur is live in Liverpool for us this morning. Good

0:15:55.560 --> 0:15:58.960
<v Speaker 2>morning to you, Caroline. What has been said first of

0:15:59.040 --> 0:16:02.160
<v Speaker 2>all on this made her international story at the Labor Party.

0:16:01.960 --> 0:16:05.720
<v Speaker 3>Conference, so the Labor leader Kirs Starmer has made a

0:16:05.800 --> 0:16:08.920
<v Speaker 3>complete break from three years ago if you recalled Jeremy

0:16:08.960 --> 0:16:12.880
<v Speaker 3>Kudabin presiding over a Labor party accused of deep anti

0:16:13.000 --> 0:16:16.800
<v Speaker 3>Semitism that saw protests in Parliament Square and prominent Jewish

0:16:16.920 --> 0:16:21.080
<v Speaker 3>MPs resigning. Labour has released a statement and also spoken

0:16:21.160 --> 0:16:24.520
<v Speaker 3>about this with the Shadow Health Secretary Shadow farn Sexualary

0:16:24.560 --> 0:16:27.200
<v Speaker 3>talking about this, Labour stands firmly in support of Israel's

0:16:27.240 --> 0:16:31.960
<v Speaker 3>right to defend itself and talking about the indiscriminate attacks

0:16:32.080 --> 0:16:35.480
<v Speaker 3>from Hamas. I mean, Corbyn has been expelled from the party,

0:16:35.640 --> 0:16:38.360
<v Speaker 3>but he still would not condemn her mass over the weekend.

0:16:38.440 --> 0:16:41.520
<v Speaker 3>In particular, he talked only about any and all the

0:16:41.640 --> 0:16:44.560
<v Speaker 3>tax in general. So I think it was also very

0:16:44.680 --> 0:16:48.080
<v Speaker 3>significant that Luciana Berger, one of those MPs who resigned,

0:16:48.120 --> 0:16:50.920
<v Speaker 3>returned to conference last night saying that Kirs Starmer has

0:16:51.040 --> 0:16:55.000
<v Speaker 3>shown the leadership and done everything necessary to turn our

0:16:55.160 --> 0:16:59.160
<v Speaker 3>party around. So this is significant. The Board of Deputies

0:16:59.160 --> 0:17:01.640
<v Speaker 3>of British Jews and other Jewish leadership groups in the

0:17:01.800 --> 0:17:04.399
<v Speaker 3>UK have thanked both the Prime Minister but also kiss

0:17:04.400 --> 0:17:08.040
<v Speaker 3>Starmer for their support. So I think that on this

0:17:08.359 --> 0:17:12.640
<v Speaker 3>issue Kis Starmer is trying to clearly put a significant

0:17:12.760 --> 0:17:15.760
<v Speaker 3>divide between the former leadership of the party and the

0:17:15.800 --> 0:17:18.680
<v Speaker 3>way that he wants to steer the Labor Party in

0:17:18.760 --> 0:17:22.480
<v Speaker 3>the UK. Because, as you say, this is potentially the

0:17:23.119 --> 0:17:25.560
<v Speaker 3>last party conference ahead of the next general election in

0:17:25.600 --> 0:17:28.320
<v Speaker 3>the UK, Labor is twenty points ahead in the polls.

0:17:28.840 --> 0:17:32.080
<v Speaker 3>The mood here, I must say in Liverpool already, frankly

0:17:32.320 --> 0:17:36.480
<v Speaker 3>is excited, nervous, yes, scared to put a foot wrong.

0:17:36.800 --> 0:17:41.200
<v Speaker 3>But the party you know, has potentially real shot at power.

0:17:41.240 --> 0:17:44.520
<v Speaker 3>They've been out of power since twenty ten. Can Kiss Starmer,

0:17:44.560 --> 0:17:48.639
<v Speaker 3>the former prosecutor turn politician, win the next general election

0:17:48.960 --> 0:17:52.280
<v Speaker 3>in the UK? You mentioned that he won that by election.

0:17:52.440 --> 0:17:56.440
<v Speaker 3>His party won the by election in Scotland. So I

0:17:56.960 --> 0:18:00.320
<v Speaker 3>put a few of these questions to Steve Rotherham Lays

0:18:00.560 --> 0:18:04.600
<v Speaker 3>Liverpool metro Mayre about what Starmer has to do at conference,

0:18:04.800 --> 0:18:08.280
<v Speaker 3>what he needs to do to convince voters and businesses

0:18:08.359 --> 0:18:09.479
<v Speaker 3>and others to vote for him.

0:18:10.480 --> 0:18:11.760
<v Speaker 4>I think what you're going to see over in the

0:18:11.880 --> 0:18:15.440
<v Speaker 4>next few days is a government in waiting, and you

0:18:15.520 --> 0:18:20.040
<v Speaker 4>know the shambles of the Tory Party conference in Manchester

0:18:20.280 --> 0:18:24.800
<v Speaker 4>will be in star contrast to policy decisions and really

0:18:24.880 --> 0:18:27.920
<v Speaker 4>innovative ideas about what we need to do to take

0:18:27.960 --> 0:18:31.000
<v Speaker 4>our country forward, and that's really what I'm looking forward

0:18:31.000 --> 0:18:32.080
<v Speaker 4>to over the next few days.

0:18:33.359 --> 0:18:36.320
<v Speaker 3>Does Labour need to deliver a lot more policy detail now?

0:18:36.359 --> 0:18:38.760
<v Speaker 3>I mean that has been also a concern that actually

0:18:38.800 --> 0:18:40.840
<v Speaker 3>Kirs Starmer has said very little and there's a big

0:18:40.920 --> 0:18:44.960
<v Speaker 3>question mark about whether there'll be more detailed policy at conference,

0:18:45.240 --> 0:18:47.320
<v Speaker 3>or whether that will come in the manifesto, whether it

0:18:47.600 --> 0:18:50.560
<v Speaker 3>won't come at all, that Labor is sort of relying

0:18:50.640 --> 0:18:54.480
<v Speaker 3>on the Tories to lose rather than proposing policy. Does

0:18:54.600 --> 0:18:56.720
<v Speaker 3>Labor need to deliver more policy now.

0:18:58.119 --> 0:19:00.840
<v Speaker 4>Well, you're not going to see the manifest so launched

0:19:01.040 --> 0:19:04.840
<v Speaker 4>in Liverpool at party conference because we don't know when

0:19:04.880 --> 0:19:07.600
<v Speaker 4>a general election is going to be called and if

0:19:07.680 --> 0:19:10.920
<v Speaker 4>the Tories, if mister Schuenach wants to call that general election,

0:19:11.320 --> 0:19:14.280
<v Speaker 4>then I'm absolutely certain that you'll see all of the

0:19:14.359 --> 0:19:18.200
<v Speaker 4>detail of policy come to tuition at this moment in time.

0:19:18.280 --> 0:19:20.440
<v Speaker 4>Of course, we don't know when that will be, but

0:19:20.560 --> 0:19:22.560
<v Speaker 4>we think it will be within the next twelve months

0:19:22.960 --> 0:19:25.639
<v Speaker 4>or so, and so we're gearing up for that and

0:19:25.760 --> 0:19:30.600
<v Speaker 4>you know, we have an army of volunteers ready to

0:19:30.720 --> 0:19:33.800
<v Speaker 4>take that message out onto the doorstep and to fight

0:19:33.880 --> 0:19:37.160
<v Speaker 4>in every constituency so that we get a majority Labor

0:19:37.200 --> 0:19:40.680
<v Speaker 4>government and then we'll really see the difference that the

0:19:41.240 --> 0:19:44.560
<v Speaker 4>Labor Party can make to this country rather than this

0:19:44.720 --> 0:19:46.160
<v Speaker 4>failed toy alternative.

0:19:47.720 --> 0:19:51.600
<v Speaker 3>We've got the highest taxation levels that we've seen since

0:19:51.640 --> 0:19:54.920
<v Speaker 3>the Second World War. It's hard to tax the UK

0:19:55.680 --> 0:19:58.040
<v Speaker 3>more in order to create a fairer society if that

0:19:58.240 --> 0:19:58.760
<v Speaker 3>is the route.

0:20:00.440 --> 0:20:02.880
<v Speaker 4>Yeah, and Rachel Reeves has said, you know that we're

0:20:02.920 --> 0:20:06.280
<v Speaker 4>going to be fiscally prudent and that's the right thing

0:20:06.359 --> 0:20:10.280
<v Speaker 4>to do. We will find ways, of course of ensuring

0:20:10.440 --> 0:20:14.320
<v Speaker 4>that it's not just the quantum of funding that is

0:20:14.400 --> 0:20:19.000
<v Speaker 4>available and hopefully that does grow, but also the distribution

0:20:19.400 --> 0:20:22.760
<v Speaker 4>is fairly and that's what happened so far in this country.

0:20:23.040 --> 0:20:28.159
<v Speaker 4>That's embedded the inequalities that the distribution formula based on

0:20:28.280 --> 0:20:32.040
<v Speaker 4>the Green Book methodology from the Treasury has meant that

0:20:32.840 --> 0:20:37.080
<v Speaker 4>the Tories could give you know, their shire counties more money.

0:20:37.119 --> 0:20:40.280
<v Speaker 4>You know, missus Schunach is famous for actually standing up

0:20:40.359 --> 0:20:43.320
<v Speaker 4>and making a speech saying that that he's wrestled funding

0:20:43.720 --> 0:20:46.359
<v Speaker 4>from the areas that needed most and give it to

0:20:46.520 --> 0:20:49.320
<v Speaker 4>Tory areas well. We need to reverse that and we

0:20:49.440 --> 0:20:51.840
<v Speaker 4>need to ensure that those places that have been left

0:20:51.920 --> 0:20:57.920
<v Speaker 4>behind for generations are now the priority for an income

0:20:57.960 --> 0:20:58.719
<v Speaker 4>and labor government.

0:21:00.080 --> 0:21:02.600
<v Speaker 3>Does in Liverpool think that labor is the party of business?

0:21:04.160 --> 0:21:06.680
<v Speaker 4>Well, you can ask them, but certainly the businesses that

0:21:06.760 --> 0:21:10.960
<v Speaker 4>I speak to overwhelmingly a support of what I've done

0:21:11.200 --> 0:21:13.680
<v Speaker 4>in the Liverpool City of Egypt. And if what I've

0:21:13.760 --> 0:21:16.040
<v Speaker 4>done is a microcosm of what can happen on a

0:21:16.160 --> 0:21:19.920
<v Speaker 4>national scale, then yes, businesses are massively supportive.

0:21:20.240 --> 0:21:21.680
<v Speaker 8>I tell you what they're not supportive of.

0:21:22.119 --> 0:21:26.520
<v Speaker 4>They're not supportive of the Tory government that cancels HS two,

0:21:26.680 --> 0:21:31.320
<v Speaker 4>that causes absolute confusion and chaos, that has the country

0:21:31.359 --> 0:21:34.520
<v Speaker 4>and the shambles that has a former prime minister and

0:21:34.640 --> 0:21:37.520
<v Speaker 4>list trust that has cost every single.

0:21:37.359 --> 0:21:40.119
<v Speaker 8>Household thousands of pounds. They're not supportive of that.

0:21:40.720 --> 0:21:42.719
<v Speaker 4>But they are supportive of the things that I've been

0:21:42.760 --> 0:21:46.120
<v Speaker 4>able to do with limited powers. But just imagine having

0:21:46.280 --> 0:21:49.639
<v Speaker 4>a labor metro mayor labor councils and then a labor

0:21:49.720 --> 0:21:51.000
<v Speaker 4>government working in tandem.

0:21:51.280 --> 0:21:53.120
<v Speaker 8>That's the real prize that we're talking about.

0:21:53.680 --> 0:21:55.600
<v Speaker 3>The Prime Minister is she sud that clearly thinks that

0:21:55.720 --> 0:21:59.080
<v Speaker 3>he is the selling point perhaps rather than his Conservative

0:21:59.119 --> 0:22:03.199
<v Speaker 3>party that's seems to be the impetus. Does that target

0:22:03.280 --> 0:22:06.720
<v Speaker 3>a labor weakness? I that it is the Labor Party

0:22:06.800 --> 0:22:09.480
<v Speaker 3>that seems to be more popular than kiss Starman, that

0:22:09.640 --> 0:22:12.119
<v Speaker 3>Starmer lacks personal appeal. Are you worried about that?

0:22:13.600 --> 0:22:17.880
<v Speaker 8>Well, Richie Schunach is their benefit.

0:22:18.440 --> 0:22:21.680
<v Speaker 4>If he's their their poster boy for Toryism, then I

0:22:21.720 --> 0:22:23.159
<v Speaker 4>think we're going to do all right, aren't we?

0:22:23.280 --> 0:22:25.639
<v Speaker 8>Because we saw what he was like.

0:22:26.320 --> 0:22:30.359
<v Speaker 4>He can't make a decision, he can't answer a question,

0:22:30.880 --> 0:22:34.920
<v Speaker 4>He flips from one thing to another. I just think

0:22:34.960 --> 0:22:36.680
<v Speaker 4>that what you're going to find over the next few

0:22:36.760 --> 0:22:40.040
<v Speaker 4>days is not just a leader of the Labor Party

0:22:40.119 --> 0:22:43.480
<v Speaker 4>who provides that vision, but a united party. And that's

0:22:43.520 --> 0:22:47.720
<v Speaker 4>the most important thing. The public and the electorate like

0:22:47.880 --> 0:22:51.119
<v Speaker 4>to see teams. They like to see people working together.

0:22:51.600 --> 0:22:54.879
<v Speaker 4>It's not about personality politics with that we had with

0:22:55.000 --> 0:22:56.360
<v Speaker 4>Boris Johnson for instance.

0:22:56.800 --> 0:22:59.840
<v Speaker 8>And it's not about mad ideas that we're seeing we

0:23:00.119 --> 0:23:00.639
<v Speaker 8>Liz forrus.

0:23:01.160 --> 0:23:04.080
<v Speaker 4>This is about somebody who will have a team and

0:23:04.160 --> 0:23:07.119
<v Speaker 4>we will steady the ship and we will provide a

0:23:07.320 --> 0:23:08.280
<v Speaker 4>vision to build on.

0:23:08.520 --> 0:23:11.360
<v Speaker 8>So this country fulfills its full potential.

0:23:13.600 --> 0:23:16.240
<v Speaker 2>This is Bloomberg Daybreak Europe, your morning brief on the

0:23:16.320 --> 0:23:19.359
<v Speaker 2>stories making news from London to Wall Street and beyond.

0:23:19.480 --> 0:23:22.280
<v Speaker 2>Look for us on your podcast feed every morning, on Apple,

0:23:22.440 --> 0:23:25.280
<v Speaker 2>Spotify and anywhere you get your podcasts. You can also

0:23:25.320 --> 0:23:28.760
<v Speaker 2>listen live each morning on London Dab Radio, the Bloomberg

0:23:28.800 --> 0:23:32.119
<v Speaker 2>Business App, and Bloomberg dot Com. Our flagship New York

0:23:32.160 --> 0:23:35.520
<v Speaker 2>station is also available on your Amazon Alexa device. Just

0:23:35.600 --> 0:23:39.520
<v Speaker 2>say Alexa play Bloomberg eleven thirty. I'm Stephen Carroll. Join

0:23:39.600 --> 0:23:41.960
<v Speaker 2>us again tomorrow for all the news you need to

0:23:42.080 --> 0:23:45.240
<v Speaker 2>start your day right here on Bloomberg day Break Europe.

0:23:55.320 --> 0:23:57.560
<v Speaker 2>We bring you news and analysis every day on the

0:23:57.560 --> 0:24:00.480
<v Speaker 2>Bloomberg Daybreak Europe podcast, but now you can hear the

0:24:00.560 --> 0:24:03.920
<v Speaker 2>latest news on demand whenever you want it. Subscribe to

0:24:03.960 --> 0:24:06.480
<v Speaker 2>Bloomberg News Now to get the latest headlines at the

0:24:06.600 --> 0:24:09.440
<v Speaker 2>click of a button. You can listen and subscribe to

0:24:09.480 --> 0:24:12.760
<v Speaker 2>Bloomberg News Now on the Bloomberg Business App, Bloomberg dot

0:24:12.840 --> 0:24:16.840
<v Speaker 2>Com plus, Apple, Spotify, and anywhere else you get your podcasts.

0:24:17.280 --> 0:24:19.919
<v Speaker 2>Search Bloomberg News Now and subscribe today