isa and the only foreign—made implement is a water pitcher. and it was a porcelain made in the united kingdom. however, the british made implement is beautifully blending into the atmosphere of the tearoom of japanese tradition. when into the atmosphere of the tearoom ofjapanese tradition. when i saw that, i was made aware once again of the long years of cultural and economic connections between japan and the united kingdom. i really could feel the depth of the relationship. at present, in the united kingdom, there are about 1000 japanese companies establishing their bases, employing 150,000 britons. for the uk, their bases, employing 150,000 britons. forthe uk, japan their bases, employing 150,000 britons. for the uk, japan is the second ranking investor, non—eu investor. and therefore, japan and the uk are mutually important countries. 0n the question of a brexit, our country would like to have the minimisation of the impact to companies because of brexit. in the process of negotiation for brexit, i hope that the transparency and predictability can be ensured, that would be very important. in today's talks regarding such points, once again, i have presented my requests to prime minister may. to this, prime minister mate said that she would be listening to the voices of japanese corporations, so she would be listening to the voices ofjapanese corporations, so that she will realise the transition of brexit in a smooth and orderly way, which encouraged me enormously. as prime minister may says, the uk is a staunch supporter of free trade. looking toward the final agreement ofjapan— eu epa by the end of this year, i will be co—operating with the prime minister may. having said so, as we agreed with prime minister may, i agreed with prime minister may, i agreed with prime minister may, looking towards the strengthening of the economic relationships between the two countries after brexit, we will have the close corporation under the strong involvement at a political level. north korea, they have conducted two times a missile launch, a ballistic missile lord, of the class of icbm. that threat is felt not only by our country and asia alone, it has become a global threat, including europe. in other words, north korea will launch icbm and the range will include almost the entire region of europe. so, it has become a credible threat, with prime minister may on the question of north korea we spent a good amount of time and i was able to have a good exchange of opinions of great significance. from that point of view, we were able to issue a joint statement regarding north korea with prime minister may. between japan and the united kingdom, which is a member of the security council, a permanent member of the security council. we would seek the furtherance and strengthening of the pressure of the north korea. we were able to agree for the close collaboration, including the united nations, which isa including the united nations, which is a major outcome of the summit talk. security environment surrounding our country is becoming even tough. in this context, the security partner, closest security partner mutually in asia and europe, japan and the eu, must collaborate. the importance is even increasing. so to the special meeting of the nsc, prime minister may was present, and the north korean situation analysis as well as the asia—pacific security related environment, that was explained so that we can share out was explained so that we can share our recognition about the situation. at the same time, the peace and raspberry due to the region must be promoted. and for the global peace too —— the peace and prosperity. it is very important that we have the cooperation, and that is quite significant that we were able to agree on this. this time around, regarding security cooperation, we we re regarding security cooperation, we were able to issue a joint statement, which is of great significance, based upon which, between prime minister may and i we will have a close collaboration so that we will have a good partnership and cooperation in the area of security. thank you. now, media from the united kingdom. carlton from itv news. prime minister, you have said that the strategy of containing north korea must have chinese involvement. but the chinese have been pushing back. a party newspaper today said that you are speaking from a position of weakness. is that strategy actually now working you may not be a quitter, but some of your mps have suggested your tenure may depend on them. haven't they got a point? and, ifi may depend on them. haven't they got a point? and, if i may, prime minister abe, some japanese companies have left the united kingdom. have you heard enough this week from prime minister may to be able to reassure others that they don't need to leave? first of all, coal, on the issue that you raised about the response to the illegal acts by north korea, china has been involved. it was involved in the un security council debate earlier this week. and there was condemnation from that united nations security council debate from all parties on the actions that north korea had taken. now we need to ensure that it's notjust the taken. now we need to ensure that it's not just the words of condemnation, but that action is taken, and china does have a particular position in this. they have leveraged on north korea, and i believe that we should be encourage in china to exercise that leveraged to ensure that north korea is not conducting these illegal acts, and we can ensure the security and safety of nations here in this region, including, of course, japan. 0n the second issue, you're right, i saidi 0n the second issue, you're right, i said i wasn't adequate. there is a long—term job to do, and important job to be done in the united kingdom. we stand at a really critical time in the uk. kingdom. we stand at a really criticaltime in the uk. yes, kingdom. we stand at a really critical time in the uk. yes, that's partly about brexit and getting brexit right. but if you think back to what i said when i became prime minister, when i stood in downing street, there are many other issues that we need to address, long—term challenges in our country, ensuring that people do not feel left behind. that we are able to see a country thatis that we are able to see a country that is working to everyone, and prosperity spread across the country, that we deal with some of the injustices we continue to see, like the way in which mental health has been not dressed as it should have been in the past. this is —— these are real issues that we need to be dealing with, and i'm there to do it. i think for most members of the public, they would say that they wa nt the public, they would say that they want the government to get on with the job, and that's exactly what i'm the job, and that's exactly what i'm the government are doing. —— i and the government are doing. —— i and the government are doing. translation: well, i have already responded to the previous question. we have 1000 japanese companies operating in the united kingdom. it is the base in the united kingdom. at the same time, it is the gateway to the eu. there are many companies being a gateway in the united kingdom for europe. 50, i have asked the greater transparency and predictability in this regard. i have asked that the prime minister may. and then she responded in a very forceful way. which was encouraging. so, the thinking about brexit or the consideration about japanese companies... well, japanese companies are paying much attention to what the uk will do. so in this context, the government and prime minister may's position is being appreciated by japanese companies, some of them are making new investments in the uk, and many companies are still staying in the united kingdom, continuing their operation. they have expressed that. we had a successful business for, influential companies, ceos who were present in the forum at tonight's banquet, business community leaders, many of them are being invited. so, companies are operating in the uk, and most of the powerful companies, ceos, they are present in the forum and at the banquet. so, this will be and at the banquet. so, this will be a good opportunity. sol and at the banquet. so, this will be a good opportunity. so i am confident that the uk will respond favourably to such a request. thank you very much. with this we will conclude thejoint press you very much. with this we will conclude the joint press conference of the two leaders of two countries. those who are going to the banquet, please proceed to the room. the members of the press, i'm sorry to asked you, but please remain seated until the two leaders exit the room. studio: so, the uk prime minister theresa may and the japanese prime minister shinzo abe in a joint press conference, both saying that a lot of progress has been made regarding north korea. that they have issued a joint statement saying that they are on shoulder on shoulder when it comes to dealing with the threat posed by north korea, particularly over its missile posts. theresa may quizzed on china, saying that there has been a battle of words between theresa may on china. she accused them of not doing enough to influence north korea. again, she reiterated those words, china needs to do more. she said china had been involved in condemning north korea's illegal actions, as she put it. but of course the questions all of the journalists from the uk wanted was theresa may in that room right now is, you stay on as prime minister? are you going to continue? despite the calls from backbenchers and some former and current senior conservatives to step down following the disastrous general election result. our political correspondent iain watsonjoins us result. our political correspondent iain watson joins us from westminster. there can't be much worse for any leader of any country than to be stood there was another world leader being quizzed about your future and how much longer you can continue for. and that's the problem, isn't it? unless she can shake this off, she's going to look wea ker shake this off, she's going to look weaker and weaker. that is what she is intending to do, she doesn't want effectively a trade mission ahead of brexit in japan to effectively a trade mission ahead of brexit injapan to be overshadowed by questions about her future, certainly when there's other important global issues. the japanese prime minister said of course that north korea posed a global threat. she does not want that dominated by questions about her future, that dominated by questions about herfuture, which is why that dominated by questions about her future, which is why she that dominated by questions about herfuture, which is why she has been so robust and saying she is going to stay on. in specific answer to the question about her future, she repeated what she had said in various interviews. she said wasn't a quitter. she went on to say that she had a long—term job to do, and set up an agenda which doesn't simply concentrate on brexit for the next couple of years, but beyond that, tackling injustice, promoting mental health policies. she ran through all that to get the impression that she's going absolutely nowhere. from my understanding, she didn't set off forjapan understanding, she didn't set off for japan strategically to understanding, she didn't set off forjapan strategically to make an announcement that she was going to lead her party into the next general election. far from it. lead her party into the next general election. farfrom it. what she was seeking to do was to effectively quash a story in one newspaper that she had a civic timetable for quitting after brexit because, from her experience, seeing her predecessor david cameron in action, anya prime predecessor david cameron in action, any a prime minister suggests that they have a timetable by building, somehow that timetable gets truncated and they are no longer in charge of events. inevitably, questions were asked about how long she could last. for that reason, she's making it very clear that she's making it very clear that she's there for the long—term. but talk to mps here at westminster and people westminster and people behind—the—scenes, and quite frankly lots of people aren't agitated by this even if they do want her to go. because quite frankly they simply don't believe it. one mp said to be 20 minutes ago, she served at her pleasure and nothing has changed. quite rightly, as you said, she has the quash any idea that she isn't a strong leader when she is at a global press conference. on the other hand, the expectation here at westminster is still likely, not definitely in politics these days, but likely that she will stand down before the next general election. only a few conservatives have called on how to do so publicly. nicky morgan the former education secretary said that was her expectation. lord heseltine knows all about leadership challengers. most mps are not going to rock the boat, but privately they do not expect her to be here in 2022. we have been speaking to lord heseltine and we will bring you that interview very shortly. many correspondents are saying, one way that theresa may could secure her premiership is by issuing successful brexit negotiations, at least making some progress. the third round of those negotiations ends in brussels this morning, with officials saying some progress has been made on technical issues, but the uk team have expressed impatience is what they see as inflexibility up the position of the eu. adam fleming is in brussels for us. here is the problem for a lot of our view is right now, they don't know what to make of it, head nor tail, when it comes the logo she issues. they hear one thing from one thing from another —— when it comes to the negotiations. one thing that seems clear is that not much progress is being made. welcome to my world! we will hear from both sides being made. welcome to my world! we will hearfrom both sides in being made. welcome to my world! we will hear from both sides in about half an hour where there is going to bea half an hour where there is going to be a press conference. we are assuming it will be the brexit secretary from the uk, david davis, and the eu's chief negotiator michel barnier, although that hasn't been confirmed yet. they will be setting out their views about how this third round has gone. the smoke signals are but there is progress on narrow technical issues, clarification of positions and probing on areas of disagreement but we are not expecting any big breakthroughs this week. the biggest stumbling point is this whole issue of money. the european side make the case that the uk has got financial obligations that they made as a member that will become due when they have left, and they made a longer—term financial commitment that they should stick to. yesterday, uk negotiators did a presentation, a whole load of slides, about 11 pages worth of notes, taking the eu's case apart on a legal basis because they think it does not stack up. they said their position on the financial that it is much more detail by the case made by the eu side. the fact is, the two sides can't even agree on why they disagree. michel barnier has been telling journalists that he says that the uk still hasn't been clear enough about its position on the whole range of issues, while the british side say there is the reason there is no progress is because mr barnier is too rigid and sticking to his timetable and guidelines he has been given by other eu leaders and he doesn't have enough imagination oi’ he doesn't have enough imagination or wiggle room to make progress in these talks. we are expecting a press c0 nfe re nce these talks. we are expecting a press conference later and we will try and bring that to view life as it happens. —— to you live. 20 years ago today, diana, princess of wales, died in a car crash in paris after being pursued by photographers. a range of public events have been organised to remember her death, and flowers, cards and other tributes are again being laid outside kensington palace. her sons, princes william and harry, will mark the anniversary privately. simon mccoy is at kensington palace. where many people are gathering today, simon, as you would expect. well, indeed, yes, chris, 20 years ago today this country woke up to the news on the sunday morning that by anna, princess of wales had been killed in a terrible car crash in paris. —— that by anna. people's reaction was to come and lay flowers at her home, kensington palace. but what followed that remarkable seven days after her death, the grief and the anger. the grief at the loss of a woman that tony blair, prime minister ofjust four months, a woman that tony blair, prime minister of just four months, the woman he described as the people's princess. and then anger, initially directed at the paparazzi and the press, and then directed towards the monarchy itself. here is our royal correspondent, nicholas whittle. paris, in the early moments of the 31st of august, 1997. the car carrying diana, princess of wales, has crashed in an underpass. the driver, and her companion, dodi fayed, are dead. diana has suffered serious internal injuries. by the time she reached hospital, she'd suffered several heart attacks. at aam, paris time, diana is declared dead. this is bbc television from london. a short while ago, buckingham palace confirmed the death of diana, princess of wales. the princess died following a car accident... the first flowers are placed at the palace gates. in the hours and days that were to follow, many thousands of people added their tributes. we are today a nation in britain in a state of shock. at balmoral, the royal family go to church. among them are 15—year—old william and 12—year—old harry. no mention is made at church of the tragedy. late afternoon in paris, prince charles has arrived at the hospital where diana died, accompanied by her two sisters. 7pm at raf northolt in london, the body of diana, princess of wales, is born from the aircraft covered with the royal standard. on this day, 20 years ago, a shocked nation was in mourning. nicholas witchell, bbc news. well, with me now is somebody who remembers that they very well. the bbc‘s former royal correspondent jennie bond. it is a very different atmosphere today, obviously. jennie bond. it is a very different atmosphere today, obviouslym jennie bond. it is a very different atmosphere today, obviously. it is, it is very strange being back here. many people such as perry over that we re many people such as perry over that were here on the day. a lot of the really odd and diana fans. the mood is not one of grief any more —— really ardent diana fans. that sunday morning most of us were in bed, and then a phone. law indeed, i was u nfortu nately 250 bed, and then a phone. law indeed, i was unfortunately 250 miles away,m devon on holiday, and i have promised my little girl that i was going to be there for the next week, and theni going to be there for the next week, and then i disappeared. at about 12:15am, the call came. initially everybody thought that diana had escaped withjust everybody thought that diana had escaped with just injuries and everybody thought that diana had escaped withjust injuries and it didn't seem quite as drastic as it turned out to be. but two or three hours later, the news was coming in that she was dead. it was a very difficult few days that was followed. there was anger at the paparazzi and the press. and a remarkable reaction from the public. everybody accused the media of leading it, but it was led by the public, wasn't it? i can attest to that, absolutely. iwent public, wasn't it? i can attest to that, absolutely. i went down and saw it with my open is 24 hours afterwards. i seemed to be talking in the studio the whole time and i said, you've got to let me go and ta ke said, you've got to let me go and take in the atmosphere. people were just crying, the minute they saw me they started bursting into tears, it was extraordinary. i spoke to a lady called rose, she made a very interesting point, she says she lost her own fatherjust a few weeks prior to the death of diana. she feels, and i think she is right, that people were showing their own grief as well as grief for diana. that turned to anger, directed at the queen herself. it was a strange time. it was an extraordinary time. to this day, i'm not certain why we, the television companies, did not offer, perhaps we did, i don't know, to send is that a light truck up to balmoral so she could have broadcast of the nation and remained there with her grandson is —— to send a satellite crock. william and harry expressed their appreciation for this week, saying they thought it was the right thing to do, too close to them that away from the public. but she or her advisers should have realised that she needed to speak sooi'i realised that she needed to speak 50011 as. realised that she needed to speak soon as. we all talk about the public mood. it was a lot of people who were very affected, who came here and watch the funeral. it wasn't everybody. but what do you think her legacy 20 years on is, and is the last time perhaps we have a day where we just talk about her?|j think day where we just talk about her?” think this might be the last time. i think this might be the last time. i think a lasting legacy is the work that her boys are doing. they say they want to continue her work, and they want to continue her work, and they are espousing those charities that she really went with. the one thing that i wish would continue is, you might remember in the few weeks after her death, people were saying, let me do one act of kindness, let's all do act of kindness, almost in memory of the princess. there was a wonderful atmosphere of compassion. that faded quite quickly, but i'd love it if today revived that feeling. jenny, lovely to see you again. you can take the woman out the bbc... she was saying, i'll hold the bbc... she was saying, i'll hold the microphone, you stand there! honestly! if you want more on diana and her legacy, there is more on the bbc. full reports on the bbc website. thank you. much more from simon mccoy live as we continue to mark the 20th anniversary of princess diana's death. let's return to one of our main stories — the third round of the brexit negotiations, which end in brussels this morning. i can now speak to maria demertzis, deputy director at the brussels—based economic think tank, bruegel. many thanks for joining many thanks forjoining us. we have heard warnings from the ep who heads parliament's exit heard warnings from the ep who heads pa rliament‘s exit group heard warnings from the ep who heads parliament's exit group —— from the mep. that the sheriff of information is taking too long, particularly on the british side, and they may need more time, perhaps even three years. have our politicians in brussels and the uk underestimated the complexities of any exit from the eu from any country? well, that's difficult to say. this is a very complex process and we have been very clear, if you look at the previous trade deals, just trade deals, i'm not talking about exit or anything else, trade deals take an average of two years between two countries to arrange. this is not going to be an easy one and we have much less than two years now to negotiate everything. and procedure in brussels is very important in terms of getting things done. we have underestimated just how much needs to be done in so little time. here, the uk is really underestimating how much support it needs for all the countries to be able to achieve is all. yes, i would like britain to see some more progress, and rather quickly. was it perhaps unrealistic to offer brexiting the first place, particularly on a referendum, or on the grounds in which it was promised? well, i think that's for the british people to decide themselves. there was a decision to runa themselves. there was a decision to run a referendum. this is a democratic process. there was a very clear result of this process. whether this was right or wrong, it's only for the british to decide. the fact is, if you follow democratic procedures, you have to see this through. are going to be people watching this very slow progress when it comes to brexit now, understandably very worried about whether the promises that our politicians gave them can actually now be delivered. some of the central issues, like getting trade deals with other countries outside the eu, being able to promote eu trade deals and get some kind of commission off the back of that. and the tricky one, freedom of movement. securing our borders and reducing immigration. that's right, but what's the alternative? the alternative is to reverse the process , alternative is to reverse the process, how would you do that's what are the conditions you would need to put into place for this to happen, to stop it if not reversed it? that is a difficult thing. i'm not saying we shouldn't talk about it if this is what the british people want, but this is something the british people can negotiate themselves, they have to put the right conditions in place and they have to see it through. what i'm asking is what everyone discussing in the uk, is brexit going to happen's is it deliverable? that is for you to decide on for you to implement, its not for us to decide. the eu isjust responding to auk decide. the eu isjust responding to a uk decision. the uk to citizens have to decide that, nobody else can. rear, thank you very much for your time. my pleasure. in texas, there have been two explosions at a chemical plant after the refrigeration failed in devastating floods following hurricane harvey. the operators say the plant has lost power, and follow tile chemicals are no longer being kept cold. the surrounding area has been evacuated —— volatile chemicals. more than 30 people have died since the storm made landfall in texas. at least five people have died and more than 40 are thought to be a four—storey building in mumbai stood in a densely populated area of the city and gave way after days of heavy monsoon rains which have already resulted in ten deaths in the area. from tomorrow, working parents of three and four—year—olds in england will be able to get 30 hours of free childcare. the deadline to apply is today, but the run—up to the new system hasn't been without problems. a survey from the pre—school learning alliance suggests that almost three—quarters of childcare providers feel the government has underfunded the scheme. the government says pilot schemes showed that funding was no barrier to nurseries delivering the extra hours. labour mp lucy powelljoins me from our salford studio. she is the former shadow education secretary. hello to you. it seems that it might be parents who will have to pay even more for free childcare, because they are going to put prices up on other things to try and make ends meet? well, we have been warning the government for a long time that this scheme is inadequately funded. and i think what's that risk is not only expectations of parents, who worry now that they won't actually get the so—called free childcare, but also the quality. and i'm launching a report today as well that shows that really if we want to boost attainment for disadvantaged families, we have got to invest properly in early years education and make sure we've got that quality, because it's only through quality, because it's only through quality of the education that we can really ensure children are school ready by the age of five, and disadvantaged children in particular are falling further behind than their more advantaged peers in this regard. what price tag would you put on this free childcare? well, i think for a starter we could look at scrapping the tax free childcare. it's another scheme that's coming down alongside these extra hours. and it's principally going to benefit higher earning families. and ijust don't think benefit higher earning families. and i just don't think that the state can justify that at a time of straitened times when disadvantaged and lower income families just aren't getting the support that they need. and we're just going to see advantaged children really gaining more and more from that early years education. the government can find this money from other places. they are spending £1 billion per year on the tax—free scheme. 50 i think also that would mean that they can bring in these three hours on a universal basis for every single family, and thenit basis for every single family, and then it means that families don't have to go through this very lengthy process to try and apply for this scheme, which is causing huge delays and confusion. it is a lot of money, though, £6 billion is what the government has pledged, that is a record amount. it is, but! government has pledged, that is a record amount. it is, but i think it is dude in the wrong direction. the report that i'm launching this morning with the social market foundation, we found that the extra £9 billion being spent in this area over £9 billion being spent in this area over the next few years, three quarters of it is going to the highest earners. and ijust don't think you can justify that. i think the government have got all of their priorities wrong and they really need to be supporting lower income and disadvantaged families much more significantly so that they can spread this money much more effectively, and in the end we all will reap the benefits from that, because children who lagged behind for the rest of their lives will be catching up before they even arrived at school. because the single biggest indicator of how well you will do a good gcses remains how well you have developed by the age of five. and kids from poorer backgrounds are further behind by the age of five. 50 it's backgrounds are further behind by the age of five. 50 its money that we can't afford not to spend, but we've got to put it in the right direction and target it at the right families and with the quality only education people need. it's cliche, but time will tell to see if the government did get that of occasions right. thank you, lucy powell. more on a story on the bbc news website. let's get the weather. good morning. we've got sunshine across many parts of the uk. this morning some heavy showers affecting parts of north wales, north—western parts of north wales, north—western parts of north wales, north—western parts of england. thunderstorms moving into the blackpool area. some localised flooding because of those heavy showers. if we take a look at the larger picture, for many it was a dry start with that sunshine. we'll continue with a lot of dry weather into the afternoon. fairly quickly we are going to see some showers developing. some of those could be on the heavy side. there will be some sunny spells in between. maximum temperature is getting to 17—20 celsius. through the evening the showers will clear with clearer skies turning quite chilly again. in the countryside it could be as low as 3—4 celsius. friday starting off chilly with lots of sunshine once again. a future was in the eastern side of england. see you later. —— a fuse showers in the eastern side of england. this is bbc newsroom live. the headlines. some conservative backbenchers have said they don't think theresa may will be able to fight the next general election as prime minister. her officials have said that some progress has been made as the third round of brexit negotiations draws to a close in brussels. a mass evacuation is under way in the town of crosby in texas as explosions are heard from a flooded chemical plant. a 60—storey building has collapsed in mumbai killing 11 people. rescue workers say 5—10 people are still trapped. and tributes are being paid to princess diana who died in a car crash in paris 20 years ago today. now, time for the sport. good morning. it's the final day of the domestic transfer windows and with a record amount of over £1.2 billion already spent by premier league clubs this summer, and the spending will continue today. riyad mahrez won player of the year two season's ago, and he could be leaving leicester city. algeria say he's left the international camp to formalize a transfer. leicester say there haven't been any bids made. this is supposedly him in paris airport with a fan. he could be going to barcelona, we do know though he won't be going to arsenal. that's a move that had long been rumoured. talisman alexis sanchez could leave arsenal. their top scorer with 24 league goals last term has been the subject of a £50 million bid from manchester city. it was rejected, but with sanchez into the final year of his contract a deal could well happen. alex oxlade—chamberlain will definitely be leaving arsenal. he's heading to merseyside to join liverpool after the two clubs agreed a £40 million transfer. the england midfielder is expected to sign a 5—year deal. tottenham are expected to complete the signing of paris st—germain defender serge aurier for £23 million. the deal had been held up due to work permit complications. tim briggs is an expert in sports finance from the accountancy company deloitte. big figures we are talking about, do you expect the sums of money to be paid? we did expect that. when you look in the context or premier league revenues which have grown and tv deals with bt and sky, also the regulations that limit the way clubs can spend their money, the transfer fees are the logical way for them to invest. a lot of the clubs make significant money from the broadcasting deal, we know they are spending it. do you expect to see this level of spending continue into the next deal? i think what might surprise some people is even though the numbers are so big, the trend is continuing. over recent years clubs have spent between 20—30% of their revenue on transfers. that's going to be the case against this transfer window. to be honest it's a trend we expect to continue. that the numbers will grow. of course it depends on the revenue is growing so the tv deals, which will be negotiated in the next 12 months. if they increase again we would expect transfer spending to go up further. they used to say if you'd don't want to make money, buy a football club. where do you expect this spending to go? it's a lwa ys you expect this spending to go? it's always likely that clubs are going to wa nt always likely that clubs are going to want to invest in on the pitch talent. ultimately they need to produce on the pitch. that is what is demanded by shareholders and fans. is demanded by shareholders and fa ns. clu bs is demanded by shareholders and fans. clubs will always look to acquire the best talent and therefore they will pay the fee they believe will deliver that best talent. tim breaks, thank you. -- him briggs, thank you. kyle edmund is the last british hope at the us open. he beat american stevejohnson in straight sets to get into the third round. aljaz bedene and cameron norrie both went out. nick kyrios was also a casualty. he injured his shoulder losing to fellow austrlian john millman. it didn't seem to hamper him though when he smashed his racket beyond repair after losing the third set. caroline wozniacki is out but another former world number one maria sharapova is through to the third round. the russian, playing herfirst grand slam since a 15—month doping ban, came from a set down to beat timea babos. i know i can do this. i have done it before. i want to have that feeling again. there is also the realistic understanding that, ok, i haven't been in this situation for a while, it will take some time. of course, managing expectations is part of it and learning during the match is something that i haven't done. that's all the sport for now. stick with the transfer news on the bbc sport website and i'll be back with more at 12:15pm. see you then. more on our top story, theresa may has again insisted she's not a quitter and says she intends to stay on as prime minister to tackle the long—term challenges facing the uk. some senior conservatives have questioned her ability to fight another election after losing her majority in june. lord another election after losing her majority injune. lord heseltine the former deputy prime minister told us he thought she would have to go. recognised that the judgment you've now got to make is whether you want to run the risk ofjeremy corbyn in number ten. he's already got out from under the brexit hard negotiations. heath smelt the winter. the conservative party has to find somebody who articulates britain's self—interest in europe and has the capacity to inspire, particularly the younger generation, in order to secure the leadership of the conservative party. 20 years ago today diana, princess of wales died in a car crash in paris after being pursued by photographers. a range of public events have been organised to remember her death and flowers, cards and other tributes are again being laid outside kensington palace. her sons, princes william and harry, will mark the anniversary privately. simon mccoy is at kensington palace. many of the crowds gathering there today. yes, for many of us those who we re today. yes, for many of us those who were working 20 years ago remember the day very clearly. that sunday morning, the shock news that diana had been killed in that terrible car crash in paris. within hours, the instinct of people was to come here and lay flowers at the gates of what was then her london home. today, many people have been doing the same sort of thing. some have been here overnight, waiting to see this day. there are two beats on the gate. one in particular worth remembering, it wasn't just one person in particular worth remembering, it wasn'tjust one person who died. the driver henri paul and dodi fayed both died. it was the death of three people that brought so much shock. it was the reaction to the death of the people's princess as tony blair described her, which led to so much public grief and anger. grief at the loss of a woman who had so much to offer, the people's princess. anger initially directed at the press for what was thought to be their role in her death. and then perhaps most surprisingly, the anger transferring to the monarchy itself, to the queen. i want to talk about the legacy that diana princess of wales left. i'm joined by deborah gold the chief executive of the national aids trust. eight charities synonymous with diana in many ways. describe what it was she did for use. she was incredibly committed to the cause of hiv and aids, at a time when it was publicly a difficult course to be engaged with. i think she was responsible for one of the biggest shifts in public attitudes towards aids that happened at that time, by being willing to talk to people, to touch people, to shame public attitudes about hiv. that was really important she did that both in front of the camera and behind the camera, where she spent so much time meeting people, talking to people, understanding the issues. there are a couple of images that stick in the mind. that first handshake changed attitudes globally, didn't it? absolutely. there was such a high level of misinformation about hiv and fear of people living with hiv that made lives for them extremely difficult. she challenged that so powerfully with that photo at middlesex hospital where she shook the hand of the man living with hiv, and showed how ridiculous these fears were. let's talk about what she did behind the scenes. she knew eltonjohn, george she did behind the scenes. she knew elton john, george michael, she did behind the scenes. she knew eltonjohn, george michael, wayne sleep, worlds where the issue of aids collided as well. she did much with them didn't she? she did. i know that she had a really good understanding, she was interested in the issues, she was readily having briefings. she was often going to meetings behind the scenes where the cameras wouldn't be. her commitment was all the way. where would we be without her in terms of our understanding of this particular disease? i think we still have a long way to go and people living with hiv still experienced stigma and difficulties. we are definitely far further forward than we would have been had it not been far has. steady trickle of people are still coming to kensington palace. i expect during the afternoon many more, perhapsjust expect during the afternoon many more, perhaps just passing expect during the afternoon many more, perhapsjust passing by, we'll stop and reflect on what was happening here 20 years ago when this area turned into a field of flowers. thank you simon. as well as keeping an eye on kensington palace, we are also keeping an eye on brussels. we are told there is some progress in the third round of negotiations. we will hear from michel barnier the chief brexit negotiator of the eu, and david davis as well. we'll see what has been discussed and what movements have been made, as soon as we see any activity we will be their life. —— we'll be there live. in a moment a summary of the business news this hour, but first the headlines on bbc newsroom live. the prime minister has repeated her statement that she is not a quitter after some tory backbenchers questioned her intentions to lead them into the next general election. explosions i heard at a chemical plant near the city of houston after hurricane harvey. more blasts are expected. tributes paid to princess diana on the 20th anniversary of her death. princes william and harry will mark the anniversary privately. in the business news. online gambling firm 888 is to pay a record penalty of £7.8 million after it failed to protect vulnerable customers. the gambling commission said the site failed to protect 7,000 customers who had chosen to block themselves from the site voluntarily, and were still able to gamble. a key member of the bank of england's interest rate—setting monetary policy committee has said "a modest rise" in interest rates is needed to curb high inflation. speaking in cardiff this morning, michael saunders, said it would help ease rising prices and smoothe the brexit process. unemployment in the eurozone remained steady at 9.1% according to the latest update. that's the lowest level since february 2009. at the same time, inflation across in the 19 countries that use the single currency rose to 1.5% injuly, still well below the european central bank's target of 2%. good morning. the online gambling firm 888 has to pay a record penalty of £7.8 million after it failed to protect vulnerable customers. the gambling commission said there were "significa nt flaws" in the firm's social responsibility measures. it said 7,000 customers who had chosen to voluntarily ban themselves from the site were still able to access it and gamble. sarah harrison, chief executive at the gambling commission, and dr carolyn downes, senior lecturer at lancaster business schooljoin me now. good morning to you both. sarah harrison, tell us why you can post this fine. yes, we found that 888 the online gaming company has failed its customers and hasn't done enough to guard against gambling related harm. there were two counts. first, 7000 customers sought to bar themselves from 888 but that didn't work as it should have done. as a result some of those customers were able to continue gambling. the second count, and individual was gambling with the company over a long period of time, getting herself into debt. she stole from her employer to fund that gambling. on both counts the company didn't spot theissues both counts the company didn't spot the issues quickly enough in a way that our rules would have expected. doctor carolyn downs, i wonder how common this is? crucially gambling firms make money from people who gamble and therefore made be getting into debt but that's how they make their money. yes, the majority of their money. yes, the majority of the profits from gambling firms come from people who have a problem with gambling. these are the people consta ntly gambling. these are the people constantly going online for example, or using the fixed odds betting terminals and spending a lot of money in one go. there are patterns of expenditure that you can see and spot particularly with online gambling. the companies do have the ability to spot these and stop people. i'm afraid in most cases they don't take any action or action is taking too late. so they do have the ability to spot this but in the case of 888 they didn't do that? that's right but the company had the ability and are doing more. our rules and regulations requiring that. companies who fail to do that will face the sanctions the company is facing today. that money, as well as being returned to the customers who have lost out and the employer who have lost out and the employer who was stolen from, the penalty element will go to fund more action to support tackling gambling related harm. dr downes, is this fine enough to make these companies take notice and change the way they operate?” think 888 will probably change because that's quite an expensive fine. in terms of the profits companies are making, we are looking at billions of pounds, over £13 billion per year. i think the companies could do more to help with managing gambling related harm. we have a significant social problem in the uk with over 400,000 people with a serious gambling problem. these in turn are affecting 4—5 members of theirfamily and their turn are affecting 4—5 members of their family and their employers as well. often problem gamblers seek money by fraud or theft, either from theirfamily oran money by fraud or theft, either from their family or an employer or friends. it causes a lot of harm that isn't accounted for when you just look at the profits and taxes the government takes. what would you like to see change? how can these firms tackle this effectively? how do they change their behaviour, dr downes? we need a more rigorous syste m downes? we need a more rigorous system of self exclusion. also companies need to be proactive in telling people they are excluded, whether they've self excluded or not. we should have a national register of excluded people so it's easy for companies to find out who is excluded, and so the person with the problem only has to go to one source to exclude themselves, instead of having to go to each company. it should also be easier online to find the page for excluding yourself. it's not always easy. some websites are good but other gambling websites, it's quite tricky to find the page. these things are relatively simple to do. and then of course the other issue is that the amount of the levy, which is about £8 million, paid by the gambling industry to support research, education and treatment, is far too small. you can't be treated for gambling addiction on the nhs and the money comes from the industry. therefore we need to increase the amount of the levy. sarah harrison, i want to pick up on the idea of self exclusion. this is essentially where you tell the site i know i have a problem with gambling, i don't want to be able to access gambling, i don't want to be able to a ccess your gambling, i don't want to be able to access your website. that's the biggest failing as far as you're concerned when it comes to 888. that's right. self exclusion has a pa rt that's right. self exclusion has a part but it's a backstop. the issue for us is to get the companies to get on the front foot and identify customers who may be building up problems and intervening at an earlier stage which of course was 888's failing. i agree with dr downes that there is going to be, by the end of this year, and all sector exclusion scheme. if you bar from one company as an online operator, you will bar from all. those protections we are acquiring to strengthen the available protection for consumers. i also think the investment that is made in research, education and treatment for customers who have problems with gambling needs to be substantially more. i think the call to action is for all of us to do more. as a regulator we have to enforce rules. todayis regulator we have to enforce rules. today is a good example of us taking tough action against a company who failed. operators obviously need to do more and government too needs to step up. 2 million people in this country are either at risk of problem gambling or are problem gamblers, and that's too many. absolutely, an important issue. sarah harrison from the gambling commission and dr downes from the lancaster business school, thank you. let's have a look at what the markets are doing today. we've had a profit warning from carrefour. profits down about 12% over the coming year. their shares fell pretty significantly, down about 10% this morning. the overall market is back—up. more business news throughout the day. i wonder if the markets will wobble depending on what we hear from brussels any moment now. this is the scene, they are just about to begin a press conference. david davis and michel barnier the chief brexit negotiators for the uk and the eu. we have been told some progress has been made. let's listen in and hear what they have to say. translation: good morning, good afternoon. david davis and i and our teams havejust ended the third round of negotiations. i'd like to start by personally thanking those two teams. both teams for their competence and deep commitment to their work. on monday, when i welcomed david, i saidi monday, when i welcomed david, i said i am concerned. i told you how worried i was. time is passing quickly, and it was short to start with. with every passing day, we move with. with every passing day, we move closer to the date for departure of the uk from bet you. just to remind you, the 29th of march 2019 on the stroke of midnight —— departure of the uk from the eu. the fundamental question to which we must find an answer is this. upon that date, the 29th of march 2019 at midnight, upon that day will we have organised a proper orderly withdrawal for the uk, or will the uk be the exiting the eu without agreement. without agreement with the eu, with all the consequences we have already explained? for our part, in the common interest, beyond even part, in the common interest, beyond even just the part, in the common interest, beyond evenjust the eu part, in the common interest, beyond even just the eu and the uk's interest, is the interest of the european continent, we believe that the best way is with agreement. over the best way is with agreement. over the course of this week, ladies and gentlemen, we have made a number of clarifications, useful clarifications, useful clarifications, on many points. for instance, there's the status of border workers, the aggregation of totalisation of social security rights, dealing with pending cases and procedures in the court of justice, justified a few amongst many. however, did not get any decisive progress on any of the principal subject, even though on the discussions we've had about ireland, that discussion was fruitful. this is a topic which i personally followed very closely, i follow all of them, but i would like to say that on that subject we have made genuine progress. on the question of the common travel area, on the basis of guarantees from the uk, and we've also been able to clarify work that still needs to be donein clarify work that still needs to be done ina clarify work that still needs to be done in a constructive spirit, in particular on north—south co—operation in the framework of the good friday agreement. that's been something. however, as i said before, time is pressing. if we want to get what we want, which is a global agreement. at the current state of progress, we are quite far from being able to say that sufficient progress has taken place, sufficient progress has taken place, sufficient for me to be able to recommend to the european council that it engaged in discussions on the future relationship between the uk and the eu at the same time as we would during the course of 2018 go on working on finalising the exits agreement. that's what i'm taking on our side from this third round. since i'm here before you today, i'd also like to take this opportunity to underscore three points that are pa rt to underscore three points that are part of the general backdrop of the negotiations. these points need to be well understood, perhaps better understood than they currently seem to be. first of all, this negotiation is an unusual one to say the least. it is unprecedented. it is particularly true for us in the european commission. we are working with all the expertise of our people and services, and i thank them for that expertise, under the full authority of presidentjuncker, and we're working on the basis of a mandate. this mandate was fixed from day one by the 27 heads of state and government, meeting as they were under the presidency of donald tusk. naturally we also worked very closely with the european parliament. under the aegis of the president. the european parliament took a very strong stand with a very large majority in its resolution. please don't underestimate the role of the european parliament, that's i.i of the european parliament, that's u want to make. this mandate which was unanimously approved by the 27 heads of state in government, this mandate is what i'm scrupulously taking forward. it is very clear and precise. it sets out the sequencing. it asks us to do things in the correct order to succeed. it clearly mentions conditions for a transition period, if the uk should so request. it asks us to organise the orderly withdrawal in a way which takes into account a future relation or what i call a new partnership. those who seek to find the least difference between what this european negotiating team is doing, and that which was tasked by the member states, those people are wasting their time if they seek one iota of difference. secondly, it is precisely in the guidelines of the european council, protecting the eu legal order and protecting the integrity of the single market, our co re integrity of the single market, our core principles of my mandate. the uk decided to leave the european union. the uk government decided to leave the single market and the customs union. we respect this sovereign decision. one thing is clear. the single market, the eu capacity to supervise, to enforce our rules, must not and will not be undermined by brexit. the uk strongly contributed to the development of our single market, which is the foundation of the eu. it understands well, very well, how it works. the european guidelines state that the union will preserve its autonomy of decision—making. the uk wants to ta ke decision—making. the uk wants to take back control. wants to adopt its own standards and regulations. well, if they want to have these standards recognised automatically in the eu, that is what the uk papers ask for. this is simply impossible. you cannot be outside the single market and shape its legal order. 50, sadly, the first phase of the negotiations is about creating trust. let me take two exa m ples creating trust. let me take two examples where we still need to build trust. an citizens rights, we have clarified a few points this week, usually, but we need to go further to reassure citizens. over the summer, around 100 eu citizens living lawfully in the uk received deportation letters. the uk government quickly recognised that it was a mistake. but it is not the first time that something like this has happened. it reinforces the need to ensure that citizens' rights are directly enforceable in front of national jurisdictions directly enforceable in front of nationaljurisdictions under the control of european court of justice, a point on which we disagree today. on the financial settlement. eu taxpayers should not pay, should not pay at 27 for the obligations undertaken at 28. it would not be fair. injuly, the uk recognised that it has obligations beyond the brexit date. but this week, uk explained that its obligations will be limited to their last payment to the eu budget before departure. yet, we havejoint obligations towards third countries. for example, we have guaranteed long—term loans to ukraine together. we jointly long—term loans to ukraine together. wejointly support long—term loans to ukraine together. we jointly support the development in africa, the caribbean and pacific countries through the european development fund. after this week, it is clear that the uk does not feel legally obliged to honour these obligations after departure. we have alsojointly obligations after departure. we have also jointly committed to support innovative enterprises and green infrastructure in european regions until 2020. these are not recognised by the uk is legal obligations. which, how can we build trust and start discussing a future relationship? we need to address together these issues seriously and rigorously. speaks in french speaks in french translation: now mark over the last three days i have seen again that there is a lot of commitment on both sides in both our delegations. and i want to stress that that really strengthens our determination and our spirit on behalf of the 27 to go forward the hope of getting an agreement, that is the spirit. time is flying. it's passing very quickly. if we need to, we on our site on behalf of the 27 are prepared on behalf of the eu institutions to step up and intensify the rhythm of those negotiations, that's all we have to say. thank you. i will give the floor to david now. thank you, michel. can i start by adding my compliments to both teams, they worked incredibly hard this week. it has been, as ever with important negotiations, quite a high stress week in terms of their work. so they deserve our complements and our thanks. now, this week we have had long and detailed discussions across multiple areas. and i think it's fairto multiple areas. and i think it's fair to say that we've seen some concrete progress. michel referred to one, but there are more than that. however, as i said at the start of this week, it is only through flexibility and imagination that we will receive a deal that works truly for both sides. in some areas, we have found this from the commission side, which i welcome. but there remains some way to go. talks this week once again focused on citizens' rights, on financial matters, northern ireland and ireland, and issues relating to ours operation. i'm pleased to say that we have engaged in detail on all of those areas. when i met michel here on monday to open the third round of negotiations, i set out the need for us negotiations, i set out the need for us to drive through wood technical discussions. —— to drive forward technical discussions. to ensure that we make progress on a whole range of issues, and i think we've delivered that. the uk's approach have been informed by a series of detailed papers on customs and goods and sipal corporation and data and technical matters regarding our ongoing confidentiality obligations. these papers represent hard work and detailed thinking that have been going on behind the scenes across whitehall over the past 12 months. they offer pragmatic and innovative solutions to our withdrawal and the future deep and special partnership that we want with the eu. they do not aim to dictate a single approach, but rather consider options for us to work on. as i said all along, issues around our withdrawal and future relationship are inextricably linked. our approach is setting out position on them both designed to process the current negotiations as swiftly as possible. and i note what michel has just said on that and i will come back to that in a moment. that approach is already bearing fruit. but beyond the debates around process and technicolor teas, at the heart of this process must be a desire to deliver the best outcome for the people and the businesses of the european union and the united kingdom —— process and technicalities. the most obvious area for that is an citizens' rights, which remain a top priority. this week, we have discussed a wide range of issues which will have a significant impact on pupil's lives. both sides have agreed to protect the lives of frontier workers, that we should at least predict existing health care rights —— protect health ca re health care rights —— protect health care rights. the ehic arrangements. that is good news for british pensioners in the eu. it means they will continue to have their health ca re will continue to have their health care arrangements protected both where they live and when they travel to be able to use the card. an economic rights, to secure the rights of british citizens in the eu 27 to manage a business within a state and vice versa. our mutual recognition qualifications have made progress on protecting the qualifications of the eu 27 and those in the uk. for every one of these of course and for every single thing i've said, all of these are reciprocal. they work for brits in the uk and in the eu and the eu 27 in the uk. to that end, we will shortly be publishing a document of the eu - uk shortly be publishing a document of the eu — uk positions. and further documents on the governance of citizens' rights agreements. we have showed a willingness to discuss creative solutions in this area, and now it is a time for the commission to match that. on the financial settlement, the central point of michel's comments, the commission has set out its position, and we have a duty to our taxpayers to interrogate it rigorously. at this round, we presented our legal analysis. all on budget issues, of budget issues and on the european investment bank. it is there to say that across the piece we have a very different legal stance. —— it is fairto different legal stance. —— it is fair to say. but as we said in the article 50 letter, the settlement should be in accordance with law and in the spirit of the uk's continuing partnership with the eu. and i will repeat that phrase. in accordance with law, and in the spirit of the uk's continuing partnership with the eu. now, michel and uk's continuing partnership with the eu. now, micheland i agreed in the la st eu. now, micheland i agreed in the last round it's clear we won't be making incremental progress in the final deal on this in every round and this round demonstrates that. we have succeeded in building mutual understanding, but it is also clear that there are still significant differences to be bridged. on ireland and northern ireland, michel gave credit to this. our coordinators have met again to build on discussions injuly. we have had a good discussion on the common travel area and on safeguarding the good friday agreement. we think there is a high degree of convergence on these key issues and we continue to work up shared principles on the common travel area. we also agreed to carry out further joint area. we also agreed to carry out furtherjoint technical work on cross—border cooperation under the good friday agreement. on the separation issues, we had good discussions on the detail of papers the uk published in the last round. we've reached almost complete agreement on our approach to privileges and communities, which benefits both the uk and the eu. add our mutual approach to confidentiality requirements and shared information post—exit. on your rat and other issues we have built upon discussions in delight and we are to make even more progress. “— and we are to make even more progress. —— in july. and we are to make even more progress. —— injuly. we remain committed to making as much progress on these issues as possible, but our discussions this week have approached yet again that the uk's approached yet again that the uk's approach is substantially more flexible and pragmatic than that of the eu. we propose pragmatic solutions and we urge the eu to be more imaginative and flexible in their approach to withdrawal on this point. however, i remain of the view that on this, as in many areas, there is an unavoidable overlap between withdrawal and the future which cannot be compartmentalised. to conclude, the third round of talks have been productive and are an important stepping stone and key building block for discussions to come. but peeling away the layers one by one, working through many issues at speed and moving towards the core of these important matters. we've locked in point of agreement on and pick areas of diversion. being dynamic is integral to driving forward these talks to provide the best outcome for people and businesses, notjust in the uk but in the eu as well. michel referred to the issue of time. the 29th of march 2019, midnight. i've said from the beginning of this process, some parts of this word difficult, and we will see that, because there are differences of view which have to be resolved. but both sides, and this was very apparent this week, both teams have aimed to be constructive, aimed to get an outcome which is in the benefit of both the eu and the uk. that's the aim of both teams. my message to michel in response to his comments and his team as we turn our heads to the next round of talks, let's continue to work together constructively to put people above process. as discussions injune, july, and again this week have shown, our separation from the eu and our future relationship is inextricably linked. we can only resolve some of these issues with an eye on how are new partnership will work on the future. it's not about skipping ahead or trying to reopen previous discussions, it's about pragmatically driving the process we all want to see. my team will publish further papers in the coming weeks to set out our ambitions, and the new deep and special partnership the new deep and special partnership the uk wants to build with the eu. i look forward to the next round of talks. thank you. thank you, we can now talks. thank you. thank you, we can now switch to your questions. thank you, itv news. david davis, is clear that the eu side is demanding more clarity. the prime minister says the british are providing that clarity. you say your stance is one of constructive ambiguity, which is it? and, mr barnier, if i may ask you, you seem frustrated and almost angry at the way these talks have gone this week. do you think there is any chance of sufficient progress having been made by october? well, game. like father, like son. the constructive ambiguity is not a phrase of mine, i think it comes from kissinger, actually, but there we are. look, we have been very clear in all of this from the beginning. the prime minister made the lancaster house speech, the most thorough speech on this subject ever made, i expect. there was the two white papers, the article 50 letter, an expensive and detailed letter about where we are going. and i think almost a dozen, i think it is 11 papers to date, on what we are seeking to do, and our perspective of this. as i said, the papers don't a lwa ys of this. as i said, the papers don't always say, this is one rope to go. sometimes there are one, two, three, options that have been used in the past. indeed, that sometimes gets us into trouble when we are as open as that. the prime minister is right. ouraim and our that. the prime minister is right. our aim and our intentions are crystal clear. our task is crystal clear. how we get there isn't always certain. but that's what the point of this negotiation is, to deliver a good outcome for both britain and rob. -- and europe. speaks in french translation: whilst david was answering this question, i was wondering how you saw that i was angry and frustrated. i think i have shown a typical calm of a mountaineer, which is a calm i try to maintain. and i haven't been wanting to show that i'm frustrated. i have shown that perhaps i'm impatient. i've never shown any anger. i've tried to show determination. and ifi anger. i've tried to show determination. and if i do get angry some day, it will be buried obvious, i assure you, but it's not the case. -- it will i assure you, but it's not the case. —— it will be very fierce. no, i am both impatient and determined. that is why what i would recommend if we wa nt is why what i would recommend if we want to succeed is that we be as constructive and unambiguous as possible —— constructive and unambiguous as possible — — it constructive and unambiguous as possible —— it would be very obvious. can you waive? for mr barnier, you have often talked of in last month about the benefits of membership of the eu. can you point to anything that you have seen in the paperwork and discussions you have had with the uk which shows the british side acknowledging it is giving up those benefits rather than trying to keep all of those benefits going forward? david davis, you have talked about the need for flexibility. ruc and, after three rounds of talks, sufficient flexibility —— ruc and after three rounds sufficient flexibility, or have they tied the hands of your collea g u es have they tied the hands of your colleagues to tightly? —— are you seeing. speaks in french translation: the united kingdom, once again, has decided to withdraw from the european union. the british government has officially informed us government has officially informed us that they will be leaving the single market. and leaving the customs union. the customs union, which is an intrinsic part of the single market. we have taken to note, and in line with the remit that i was given, —— we have taken june 02. we are pursuing these negotiations, and i would always encourage you when negotiations, and i would always encourage you when in doubt to have a closer look at the guidelines on all of the issues. if you want to know what my working method is, because i am meticulously following the guidelines. as i've said on a number of occasions, there are a lot of consequences, for citizens, for consumers, for businesses. back—ups not all have been —— perhaps not all have been debated in sufficient depth in the united kingdom. but this is the time to explain what being a member of the european union and the single market in tails, and what no longer being a member of the eu and the single market also entails full stop i hope that there will be such a debate, and on an objective basis we would be happy to ta ke objective basis we would be happy to take part. when i read some of the papers that david has sent me on behalf of the british government, in some proposals i see a sort of nostalgia. in the form of specific requests, which would amount to continuing to enjoy the benefits of the single market and eu membership without actually being part of it. now, maybe i've got the wrong end of the sticks, maybe there is known as dodger. but, as i said earlier, brexit means it. —— maybe there is no nostalgia. leaving the single market means leaving the single market, if that is what has been decided, there will be consequences. as far as we are concerned in the dickwella, in terms of the integrity of the single market, —— as we are concerned in particular. there is a respect for the eu's decision—making autonomy when it comes to the single market. that has to be said, because it simply the truth. and, once again, it is not guihua liang, it is being knighted kingdom that has decided to leave the eu —— it is not we who are leaving, it is the united kingdom. the question of the flexibility, there is a structural arrangement in the european union, michel fire to it, which gives him a mandate. and that of course create —— michel referred to read. but the phrase that i have used, flexible and imaginative solutions, that is a direct quote from the council, the european council. ok, let's move on. gentle man on the right. matt baker and from the sun. david davis, you refused to publish any details on the divorce bill and said you just ripped apart by eu's legal arguments. is this approach are holding talks back. to both of you, you both admitted that their block this week. would you be prepared, both of you, to come back to brussels more of an maybe every week until you break that the block? david davis, it surely can't be helpful having a former prime minister, tony blair, hugging and kissing jean—claude junker at the same time as your press conference. well, i'm not going to comment on the movements of private citizens and what they do. in terms of the approach, the european union made a claim on the united kingdom and the united kingdom tax payerfor a large sum of money, unspecified, but undoubtedly large. and on the basis of what it determined to be our legal obligations. so the proper approach to that is to go through line by line and see whether or not we believe those legal obligations are we believe those legal obligations a re correctly we believe those legal obligations are correctly calculated. there in mind what we have said, what the prime minister has said the number of times, starting in lancaster house before this approach studied and repeated in the article 50 letter and read by the time and again after that, we are a country which meets our international obligations and continues to do so, but those obligations have to be well specified and real. we —— they don't necessarily have to be legal, we also recognise moral obligations. it will of course lead to difficult exchanges. nobody will pretend it was anything but a tough exchange this week, but the british taxpayer would expect nothing less, your readers, certainly. speaks in french translation: all of those delays and whatnot, i said earlier on in the introduction that time was short, and there is a risk. we have to use the time we have properly and do things in due order. i've always said this here in front of you and whenever i spoke publicly. the third thing one has to do is to agree on the principles of the big topics underpinning this withdrawal by the uk has decided upon. and we have agreed what these big topics or subjects are. citizens, citizens' rights, ireland, and the financial settlement. to settle the account. in orderto make settlement. to settle the account. in order to make discussion simpler, we've set out a very precise list of commitments and accounts that had to be resolved. that the 28 subscribe to and the 27th will not agree to having to pay on their own based on the current financial perspectives. and we have a letter of the legal basis underpinning each of those commitments. i am asked to show flexibility. but you need to start with a clear position. based, for instance, on what the uk recognise that their commitments, legal and moral, as david has used the moral term as well. so, ladies and gentlemen, there are thousands upon thousands of individuals and businesses, students, universities, laboratories, local government bodies, not to mention third countries. i mean, we're talking about the edf as well, the european development fund. these all have projects and programmes that are ongoing, they have committed to, other tax payers are involved with, and they have all done this on the basis of something that was told to them by the eu 28 starting in 2014. i was them by the eu 28 starting in 2014. iwasa them by the eu 28 starting in 2014. i was a commission on structural funds of the regional policy. the regional policy commission, for a while. i know what it means for dozens of regions across the eu where they have a seven year perspective of rolling payments, sometimes that only arrived after the seven year period is over, and who built projects on that basis. that is why i know what is at stake, i know what i'm talking about. i know there have been difficulties, and we have talked about that. we have talked about a lack of progress, that's all that i can say, there has been a lack of progress, but behind that there has been a strong commitment. the uk have made a commitment to find a way forward, and we need to find a solution to do that. flexibility, yes,... what was it he actually said? i have forgotten the second word. oh, yes, imagination! it is a counsel quote! ok, yes, i'm sorry. everything is possible. when it comes to presentation, the spread of payments or whatever. .. but we presentation, the spread of payments or whatever... but we have to find a solution, because i have to go back to the 27 with a clear answer that is my mandate. i have to reassure them first. translation: a question for mr barnier and for mr davis. in view of your analysis of the outstanding issues and financial issues in particular, mr davis's intention to discuss this line by line, as with regards to mr barnier, whose methodology, which was not to do calculations but is that, to put in place a methodology to start with. what do you think the chances of reaching a result before or in time for the october council? if no such result is forthcoming, will everything be on hold until december? translation: on behalf of the 27, what we can say is that the quality of agreement we achieved on these three issues, the high quality, since the agreement, reaching that is more important than the time frame. we will have shortly after this technical briefing, if you want more details, david has spoken about the line by line approach. we are for that, too. of course, there are other aspects, too, that come into play. but we have prepared the ground for this line by line commitment, a legal obligation. we are ready for that, and that's what we want. with a view to reaching agreement. i agree. this concludes our press conference. thank you for your presence. david davis there and michel barnier. what did you make of it? i mean, i'm sure there will be a lot of discussion about the clear frustration. he said it wasn't anger but michel barnier clearly frustrated at the lack of progress. conflicting remarks as you probably saw there with the chief brexit negotiator michel barnier are failing their had been no decisive progress on key issues. david davis, the uk brexit negotiator, saying there had been some concrete progress. we are going to try and get more reaction and analysis and exactly what, if any progress, has been made in the third round of talks. let's remind you of our latest headlines. this is bbc newsroom live. europe's chief brexit negotiator michel barnier says "no decisive progress" has been made on key issues in talks with uk. the prime minister has repeated her statement that she's not take quitter of the backbench mps and some former senior conservatives questioned her intention to lead them into the next general election. a mass evacuation is under way in the town of crosby in texas as explosions are heard from a flooded chemical plant. reports say that chemicals have been released into the atmosphere. a 60—storey building has collapsed in mumbai killing 11 people. rescue workers say 5—10 people are still trapped. and tributes are being paid to princess diana, who died in a car crash in paris 20 years ago today. lets get more on the anniversary of princess diana's death. 20 years ago today diana, princess of wales died in a car crash in paris after being pursued by photographers. a range of public events have been organised to remember her death and flowers, cards and other tributes are again being laid outside kensington palace. her sons, princes william and harry, will mark the anniversary privately. simon mccoy is at kensington palace. simon, very reminiscent of the palace 20 years ago today, of course. indeed. many people here remember that night and that morning incredibly well. 20 years ago today, that early morning phone call to newsrooms around that early morning phone call to newsrooms around the country which started a week of incredible emotion initially shock, then of course angen initially shock, then of course anger. as you can see behind me today, the reaction of 20 years ago also was to lay flowers at the gates of diana's former home. more flowers are being made today. nothing like the number that you saw 20 years ago. that really began what was a remarkable week. what you had was the grief at losing the woman described later that day by the prime minister tony blair as the people's princess. then you had the angen people's princess. then you had the anger, initially at the press and then later on in the week anger directed at the monarchy and the queen herself. it was a very strange seven queen herself. it was a very strange seven days. paris, in the early moments of the 31st of august, 1997. the car carrying diana, princess of wales, has crashed in an underpass. the driver, and her companion, dodi fayed, are dead. diana has suffered serious internal injuries. by the time she reached hospital, she'd suffered several heart attacks. at 4am, paris time, diana is declared dead. this is bbc television from london. a short while ago, buckingham palace confirmed the death of diana, princess of wales. the princess died following a car accident... the first flowers are placed at the palace gates. in the hours and days that were to follow, many thousands of people added their tributes. we are today a nation in britain in a state of shock. at balmoral, the royal family go to church. among them are 15—year—old william and 12—year—old harry. no mention is made at church of the tragedy. late afternoon in paris, prince charles has arrived at the hospital where diana died, accompanied by her two sisters. 7pm at raf northolt in london, the body of diana, princess of wales, is born from the aircraft covered with the royal standard. on this day, 20 years ago, a shocked nation was in mourning. nicholas witchell, bbc news. let's go to hugh schofield in paris. you were paris correspondent 20 yea rs you were paris correspondent 20 years ago, what were your memories of this day? i have to admit i was on holiday but i came quickly back and was caught up in the aftermath by the time i arrived back a couple of days later, diana's body had been taken back to london. we were in mid—investigation. all the accusations and the fascination had begun, but the focus primarily was on the paparazzi and how it could have happened. i remember learning, we all learned within a hugh days what has never really changed —— with any few days. the prime suspicion that it was caused by excessive speed on the part of a driver who had taken drink and wasn't qualified to drive that heavy limousine, coming through the tunnel which we are on top of now and then crashing into the 13th pillar beneath where we are standing. then the detail emerging of the white fiat uno, this mysterious other car which has never been traced. it led to all that speculation about conspiracy theories and so on. what a lwa ys conspiracy theories and so on. what always struck me was how within a week or ten days of the accident, this initial period had been put out by the police, by the investigating magistrate, and nothing ever changed. that was the reason for the crash, henri paul the driver had been drinking. he was driving far too quickly as he went from the ritz too quickly as he went from the ritz to dodi fayed's flat in that direction. as he came into the tunnel, this other car came out from a slip road. they glanced each other and then the limousine span out of control. as i recall it was a highly dramatic event which caught up the country france with great emotion. i remember at a church a few days later there was a big service of remembrance for her, attended by the great and the good. you can see today that still bear is a fond remembrance. normally this places where she is remembered but normally there is no one here, maybe one or two people during the day. today we've got flower arrangements, lots of commemorative cards, saying 20 yea rs of commemorative cards, saying 20 years and so on. the majority of people here are tourists. there is a seine river cruise which comes to port here. a lot of people have come here to remember and have a look. it is moving into history which is probably as it should be. of course for the paparazzi, it changed very much the way the public felt about them, not just here much the way the public felt about them, notjust here but certainly in paris. i'm wondering 20 years on, how they operate has changed as a result of this? i wouldn't say it's changed dramatically. there aren't the high—speed chases around town that this was the pinnacle of. there was an awful lot of criticism of the paparazzi for, in effect, chasing diana to her death. that's how it was put by her brother, how ironic it was that someone who was named after the greek god of hunting, diana, was hunted herself to her death. let's not forget the paparazzi were cleared in the criminal case. they were charged with indirectly causing her death and they were cleared. some of them we re and they were cleared. some of them were prosecuted for another offence which was taking photographs of her as she lay in agony and they were convicted of that. but the charge of directly causing her death was never sustained. it is a complex issue. the paparazzi certainly took a lot of the blame but it was a game which arguably henri paul was playing as he came out earlier on saying, you won't catch us tonight. it was a game in which the readers of the world were complicit as well. we we re world were complicit as well. we were buying the magazines which these photographers were feeding. it isa these photographers were feeding. it is a complex issue and while we don't see high—speed chases any more, the appetite is still bear for the kind of celebrity pictures which the kind of celebrity pictures which the paparazzi are after. thank you. dickie arbiter was a press secretary at buckingham palace at the time of this 20 years ago. what's your memory of this day? i want to rewind slightly. i had a phone call in the evening asking me about the crash in paris and i said what crash. as events unfolded, by 3:15am i had a call to say diana had gone. by foray i was at my desk in buckingham palace and from then on we were working nonstop to get the right sendoff for diana. that must have been difficult, given how quickly things changed. the public mood, the shock and grief and the number of people who came here the lay flowers caught everybody by surprise. everybody was caught on the hop. the first flowers arrived at buckingham palace at 4:50am. from then there was a steady stream. we didn't have any idea of what was happening at kensington palace until i got home, andi kensington palace until i got home, and i saw what was happening. it caught everybody by surprise. not just the media but the public, us at buckingham palace, everybody. within a week, a funeral that hadn't been planned for, that required so much work. described that week, the change of mood because at one stage the monarchy was under attack. by the monarchy was under attack. by the middle of the week there were a lot of complaints. it was media lead, asking the question do you think the queen should be here... was that to distract from the acts of the paparazzi? i don't know what it was for. i suppose it was looking for a story because they had run out of stories. the monarchy was at balmoral looking after two grieving grandchildren. harry admitted that in the documentary last sunday. without their dad up at balmoral they wouldn't have been able to cope, firstly on thursday coming down here to look at the tributes, maintaining complete composure, talking to mourners, laying flowers, reading messages and then walking behind the gun carriage on the saturday. there was a good reason. for the first time the queen put family before country. i think people realise that was right. 20 yea rs people realise that was right. 20 years on, what is the princess's legacy? her sons william and harry. they are carrying on her work, creating their own work. we see in them an extension of diana. diana was a very them an extension of diana. diana was a very good parent as was their father charles. she gave them the high street, the hamburgerjoint, the homeless, the drug addicts. their dad gave them the countryside and environment. this is why they are well rounded today. they are both good communicators, they are very good with people. they will do a lot to enhance the monarchy. thank you forjoining us. 2o 20 years to the days since the death of diana princess of wales. for more on the life and legacy of diana, princess of wales, head online to bbc.co.uk/news and we'll be live at kensington palace throughout the day on the bbc news channel. much more on the bbc news website. david davis and the chief brexit negotiator michel barnier have just held a press conference in brussels following the third round of brexit talks. our reporter adam fleming joins us from brussels. he said, michel barnier, that he's not angry, but he certainly seemed frustrated, adam. yes, he said he was feeling quite impatient and he said if he gets angry we know when that is. what i was struck by is that there has really been no decisive progress on any of the big issues this week. even though the clock is ticking. i suppose that is what we've been told to expect, because the talks this week were going to be very technical and any progress was going to be an narrow issues. michel barnier seemed very pessimistic. he talked about the fact there had been no decisive progress, that there still wasn't trust between the sides particularly when it came to the issue of money and citizens rights. david davis putting a brave face on it, listing some of the technical areas where things had had progress being made. we are waiting for documents to be provided by officials so we can see in detail where the few areas of progress actually are. i think they we re progress actually are. i think they were quite technical. i was also struck by the different approaches that the two men are taking. michel barnier talked again and again about the instructions he'd been given by the instructions he'd been given by the other 27 eu leaders. he talked about the fact is answerable to the european parliament too and that's why he's sticking to the left of the law and that his approach. david davis trying to take the moral high ground by saying this is an issue about people, rather than the eu's process. can see an attempt by the british side to apply a bit of moral pressure to michel barnier to be a bit more imaginative in how he handles the talks. we've got a bit more of that from david davis. we remain committed to making as much progress as possible on these issues as solely related to our withdrawal. but our discussions this week have exposed that the uk's approach is more flexible and pragmatic than that of the eu. we propose pragmatic solutions to prevent disruption to consumers and businesses and we urge the eu to be more flexible in their approach to withdrawal on this point. however i remain of the view that on this, as in many areas, there is an avoidable overlap between withdrawal and the future, they can't be completely cop part mentor lysed —— compartmentalised. will we see more meetings and rounds to speed up this process? both sides say they are ready to intensify the negotiations, that's the code they use food more and longer meetings and more documents. it doesn't look like one side have stuck their head above the parapet to say, let's do it. there were two more negotiating rounds scheduled. one in september and one in october. on the 19th of october we get the next eu summit of eu leaders and i think that will be a big political moment. theresa may will be piling on the pressure for those leaders to say sufficient progress has been made in this first round of talks which will be about trade and the future relationship. michel barnier said he didn't feel confident to recommend to the leader sufficient progress has been made. there were another couple of issues of substance. i can't wait to see the document on citizens rights so we can interrogate the process. on theissue we can interrogate the process. on the issue of money, the financial settlement, that was interesting. we've got a clear idea of what the uk is offering. they have said they will pay one year's worth of budget contributions in a final year of membership and that is it. that is way, way, way below what the eu is asking. david davis dropped a big hint that he is prepared to pay quite a lot of money for the uk to have a good trade deal with the eu after brexit. thank you. a record fine has been handed out to online gambling firm 888. the company has been fined £7.8 million forfailing to protect vulnerable customers. the penalty was handed down by the industry regulator the gambling commission, who said there were "significant flaws" in the firm's social responsibility processes. i'm joined now in the studio by iain corby, the deputy chief executive of gamble aware. what went wrong with 888?” what went wrong with 888? i think they took their eye off the ball. protecting their customers should be as high priority for them are selling more gambling products. this isa selling more gambling products. this is a regulated industry, isn't it? it isa is a regulated industry, isn't it? it is a highly regulated industry and the regulator has made it clear recently that they are going to get tough. they then fact that penalties as tough as removing people's licenses completely. are you happy with that? absolutely. most people have been somewhat expecting the next big issue to be perhaps even more severe. next big issue to be perhaps even more severe. £8 million is a lot of money. it reflects the loss to the people who have suffered from this particular situation where 7000 people, who tried to exclude themselves, were allowed to continue gambling for 13 months undetected. those 7000 people all have families who are probably affected by that. we asa who are probably affected by that. we as a charity treat those people and we help them. one of the things we know is that if you self exclude, that's one step, but you need some treatment to help you with that.“ internet gambling fuelling addiction? it's hard to say that any particular form of gambling addiction? it's hard to say that any particularform of gambling causes addiction. we know the people with the worst problems on average will find seven ways to gamble. what's important is that all operators are looking for the ways to spot people who are getting into trouble. this week we've done some major research with pwc which has proven that gambling operators, even those on websites, can spot customers getting into trouble. you can see how you could do that in a casino but it's harder to do when people are gambling in their bedroom. we know the data that is available in terms of when people are playing, how much they are putting in, how much they are taking out, gives a good indication as to who has got a problem and what the challenge is to the industry is to step in when they see a problem and to prevent people getting into the terrible addiction of gambling. you see this as a wake—up call for the industry?” hope the next board meeting of every gambling company, the first question is what we doing about responsible gambling. do they speak to you, do they ask you what problems are you hearing from those addicted to gambling? they do and we have a good relationship with the gambling industry. they make donations to us, they are our principal source of funding. they will lose their licence if they don't make a contribution. it's not all that volu nta ry. contribution. it's not all that voluntary. what is the relationship like? do they want to stop gambling addiction? we were given access to 160,000 of their customers, they let us you know them and do a survey to spot the people who already had a gambling problem, and then look at how they have been playing to try and understand how you could spot that problem from the data. many thanks. if you do have a gambling problem or are concerned about somebody go to the gamble aware website for more details of where you can get help. breaking news, we're hearing from the met police in relation to the man wielding forfeit sword —— wielding a four that long nice outside buckingham palace last week. detectives from the counter terrorism command have now charged a man in connection with that incident. two police officers were injured as they tried to arrest the 26 years old. he is from luton and has been charged today with an offence contrary to section five of the terrorism act 2006 on or before the terrorism act 2006 on or before the 24th of august 2017, engaging in conduct or preparation of intending to commitan conduct or preparation of intending to commit an act of terrorism. two other men arrested and brought into custody in relation to that attack have now been released without charge. breaking news just have now been released without charge. breaking newsjust in, more on that in the next hour on bbc news. let's get more on theresa may once again insisting that she's "not a quitter". it follows backbench mps, and some former senior conservatives, questioning her intention to lead them into the next general election. the former party chairman, grant shapps, said the 2017 election had been poor and it was too soon to talk about going on and on. while standing at a news conference with the japanese prime minister mrs may restated her intention to "get on" with the job of governing. isaidi i said i wasn't a quitter and a long—term to do. there is an importantjob long—term to do. there is an important job to be long—term to do. there is an importantjob to be done in the uk. we stand at a really critical time in the uk. yes that is partly about brexit and getting brexit right, but if you think back to what i said when i became prime minister, when i stood in downing street, there are many other issues we need to address. long—term challenges in our country. in searing that people don't feel left behind. but we are able to see a country that is working for everyone and prosperity spread across the country. current and former senior conservatives are saying she needs to stand down. the former conservative deputy prime minister, lord heseltine, told us he had a straight forward message to the tory party. recognise that the judgment you've now got to make is whether you want to run the risk ofjeremy corbyn in number 10. he's already got out from under the brexit hard negotiations. he's smelt the wind. the conservative party has to find somebody who articulates britain's self—interest in europe, and has the capacity to inspire particularly the younger generation, in order to secure the leadership of the conservative party. former conservative deputy prime minister lord heseltine. there have been two explosions at a chemical works in texas. the owner of the plant near houston had warned a loss of power meant volatile chemicals could overheat. the surrounding area has been evacuated. simonjones reports. bus—loads of residents fleeing not only their homes but the danger of explosions. there have already been two at the chemical plant near houston, the site is flooded. it's lost power, the volatile chemicals can't be kept cool volatile chemicals can't be kept cool. the owner warned this was inevitable and the concern is there could be more blasts to come. hundreds of thousands of people have now hundreds of thousands of people have now been displaced by storm harvey, some have paid with their lives. the bodies of four children and their great grandparents were discovered in this van which had been swept away by the floodwaters. the mexican foreign minister, on a visit to washington has offered to help with the relief effort. i want to thank the relief effort. i want to thank the governor of mexico for assistance in the state of texas. they have offered a wide range of assistant. lieutenant governor governor assistant. lieutenant governor governor of texas has praised the way people have come to the help of their neighbours. hundreds of ordinary people coming with bates to help rescue survivors reminded him of dunkirk. he said the reconstruction in the city could cost u p reconstruction in the city could cost up to $200 billion and many still need urgent help. it is a nursing home in port arthur. tensions were at a high level when i came into this facility from the relatives. and even from some of the volunteers who have come to try to ta ke volunteers who have come to try to take these people out. and the authorities are warning the worst is not yet over, with flooding expected to continue for many more days. simon jones, bbc news. 12 people have died after a building collapsed in mumbai. it gave way following days of heavy monsoon rains which have already resulted in at least ten deaths in the area. in a moment the news at one with clive myrie. we'll soon be saying goodbye to viewers on bbc two, but first we leave you with for a look at the weather. hello, the last day of august. we are squeezing in a bit more rain before we are done. this is the scene from cumbria. many of us have had some lovely sunshine so far today. the clouds are building, a sign of things to come. earlier satellite pictures showed the clouds into north—west england, north and west wales producing those intense downpours. for most of us it has been a dry, sunny start. the cloud is building, showers beginning to break out more widely. there will be some slow—moving, heavy, thundery downpours. by late afternoon into the evening it will become few and far between for northern ireland and western scotland. it could be through north—east england where we see some of the heaviest downpours. western coastal parts, wales around the western coast of england. to see increasing amounts of sunshine, and then dotted about these heavy showers. some of us will stay dry. it feels pleasant in the sunshine, warmer it feels pleasant in the sunshine, warmerfor east anglia it feels pleasant in the sunshine, warmer for east anglia and south—east england. charl was continuing to the evening but will fade away quite quickly. then we are left with a dry, clear night for most of us. turning quite cold, a fuse box may end up a bit lower than mid single figures. a chilly but sunny start to friday. although cloud will build again on friday, the showers aren't going to be as widespread. a few dotted about but more especially developing through the pennines, north—east england, the pennines, north—east england, the east midlands into east anglia where there will be some slow—moving thundery downpours. many places staying dry although cloud will build and there will be further warm, sunny spells around. on friday evening, where the showers are developing they gradually going to fade, particularly after dark, for another chilly night going into saturday morning. with a ridge of high pressure, saturday is fine for most of us. but this weather system here is waiting in the wings. by the end of saturday we are going to see the cloud increasing into northern ireland, the rain will move in on saturday night. the wind will pick up saturday night. the wind will pick up and all of that spreads east as we go through the day on sunday. it could be in the day before it reaches the easternmost parts of the uk. the wind picking up and it will cloud over. the european and the —— the european union and the uk remain far apart. that's the verdict of the eu's chief negotiatior at the end of a third round of talks over brexit. michel barnier says at the moment there's little common ground on a range of issues. how can we build trust and start discussing the future relationship. but david davis urged the eu to be more imaginative and flexibile in its approach. we'll have the latest live from brussels. also this lunchtime: theresa may dismisses criticism of her plans to lead the conservatives at the next election. i said i wasn't a quitter. there's a long—term job to do, there's an importantjob to be done in the united kingdom, we stand at a really critical time.

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