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Britain Shocks World With Vote; Trump Talks Golf Course. Aired 1-1:30p ET

Aired June 24, 2016 - 13:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


ANNOUNCER: This is CNN breaking news.

WOLF BLITZER, CNN ANCHOR: Hello, I'm Wolf Blitzer. It's 1:00 p.m. here in Washington, 6:00 p.m. in London, 7:00 p.m. in Brussels. Wherever you're watching from around the world, thanks very much for joining us.

We're following breaking news. The shock felt around the world. In a stunning decision, Britain is ending its 43-year long relationship with the European Union with the first meeting happening on Wednesday to just start the process of working out this divorce. And the prime minister won't be sticking around to see the divorce completely through.

It was a deeply divided vote in the U.K. In the end, 52 percent of the voters chose to leave, 48 percent wanted to stay. As a result, British Prime Minister David Cameron announced he would be resigning.

(BEGIN VIDEO CLIP)

DAVID CAMERON, PRIME MINISTER, BRITAIN: I will do everything I can as prime minister to steady the ship over the coming weeks and months. But I do not think it will be right for me to try to be the captain that steers our country to its next destination.

(END VIDEO CLIP)

BLITZER: The fallout of the markets was fast and furious. Global markets tanked. The British pound plummeted, close to its lowest level in 30 years.

Here in the United States, the Dow went into free fall when the markets opened, shedding 520 points. Take a look at the numbers right now. They certainly are not much better at all.

President Obama, who had urged the British voters to stay in the E.U., put out this statement, and I'm quoting him now. "The people of the United Kingdom have spoken and we respect their decision. The special relationship between the United States and the United Kingdom is enduring, so too is our relationship with the European Union. The United Kingdom and the European Union will remain indispensable partners of the United States." That's the president's statement.

He, by the way, is expected to speak later this hour in Palo Alto, California. We'll bring you his remarks live once that happens. Stand by for that.

The presumptive Republican presidential nominee, Donald Trump, he's in Scotland today, saying the Brexit, as it's being called, is a very similar situation to what's going on here in the United States.

(BEGIN VIDEO CLIP)

DONALD TRUMP (R), PRESUMPTIVE PRESIDENTIAL NOMINEE: I really do see a parallel between what's happening in the United States and what's happening here. And people want to take their country back. They want to have independence, in a sense.

And you see it with Europe, all over Europe. You're going to have more than just -- in my opinion, more than just what happened last night. You're going to have, I think, many other cases where they want to take their borders back.

(END VIDEO CLIP)

BLITZER: And the presumptive Democratic presidential nominee, Hillary Clinton, issued her own statement, saying, we respect the choice of the people of the United Kingdom have made. This time of uncertainty only underscores the need for calm, steady experienced leadership in the White House to protect Americans' pocketbooks and livelihoods, to support our friends and allies, to stand up to our adversaries and to defend our interests. That statement from Hillary Clinton.

The U.K.'s decision to leave the European Union is sending shock waves through financial markets around the world. Here in the United States, the Dow plummeted more than 500 points right after the opening bell.

Alison Kosik is joining us from the New York Stock Exchange right now. Give us an update, Alison, on how the markets are doing right now.

ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Wolf, we've got three hours to go before the closing bell, and we are seeing those losses accelerate for all the major industries. We're looking at the Dow now down 516 points, getting closer to the lows of this session.

Look, you're looking at a market that was totally caught off guard. These are investors who really respected Britain's devote to stay in the E.U. Instead, they woke up this morning and found out that the vote went in the other way.

So, now, you're seeing investors trying to unwind what they did for the past couple weeks. So, that was to buy into the market thinking that all was going to be OK on this Friday. Instead, it's turned into quite a black Friday where we're seeing this selloff happen -- Wolf.

BLITZER: Are we expecting long-term effects on the U.S. Market, Alison?

KOSIK: Well, it depends who you ask. Some say that this kind of selloff is a one-off. Others say this kind of gloom could weigh on the market for some time, especially if you see the Brexit affect the global economy. Case in point, the IMF says the U.K. could now dip into a recession. So, if that happens, then the fear becomes contagion.

And the question becomes, could Europe be next? And then -- and then the U.S. Could the United States be next after that? So, you see how we're all interconnected. So, the worry about that interconnectivity and the weight on the U.K. in making this decision, that could still weigh over the market for some time -- Wolf.

BLITZER: It certainly could. All right, Alison Kosik of the New York Stock Exchange. Thank you.

As the impact of Britain's decision reverberates around the world, world leaders are reacting swiftly.

(BEGIN VIDEO CLIP)

NICOLA STURGEON, FIRST MINISTER, SCOTLAND: Scotland faces the prospect of being taken out of the E.U. against our will. I regard that as democratically unacceptable.

[13:05:03] FRANCOIS HOLLANDE, PRESIDENT, FRANCE (translator): This painful choice which I deeply regret.

ANGELA MERKEL, CHANCELLOR, GERMANY (translator): We cannot jump to quick conclusions because this would have a further rift within the European Union. We need to be calm and analyze the situation.

(END VIDEO CLIP)

BLITZER: CNN has reporters all over Europe, across the globe covering this story from all angles. CNN's Nima Ebagir is in London, Erin McLaughlin is out the European headquarters in Brussels Matthew Chance is standing by live in Moscow.

Let's go to London where the Brexit vote has changed the course of the country's history. Nima, you spoke to the U.K. independence party leader, Nigel Farage earlier today about Britain's exit. What did he -- what did you ask him and what did he say?

NIMA EBAGIR, CNN SENIOR INTERNATIONAL CORRESPONDENT: What was extraordinary, Wolf, is that I asked him whether he quite believed that this has happened. And his answer was, no. He is almost as shocked as the rest of the nation and the rest of the world.

The issue that's becoming very quickly apparent, though, is that the (INAUDIBLE) that was leveled at both sides of this campaign, the leave and the remain (ph), which is they were big on slogans but really very sparse on details. That is now starting to hit home here.

Because even this morning, he had a lot of very big, bold answers, but he didn't really have any of the fine detail of how any of this was going to happen. He said that the relationship with the U.S. was going to continue to be closer than ever, in spite (ph) of Barack Obama's warnings, that they would be able to continue to play a key role in terror and cooperation, the global war on terror. And, yet, really nothing is really that concrete. The reality is, as one voter said to me this morning, the entire nation feels, as realization dawns, almost as if it's waking up to a hangover -- Wolf.

BLITZER: Erin, many are wondering if -- how big of an impact this will have on the European Union. You're outside at the E.U. headquarters over there in Brussels. How are E.U. officials reacting?

ERIN MCLAUGHLIN, CNN CORRESPONDENT: Well, E.U. leaders are trying to reassure people, Wolf. What we're hearing are expressions of unity, sorrow, regret, respect for the democratic process. But we're also hearing expressions of resilience. President of the European council, Donald Tusk, saying, quote, "What doesn't kill you makes you stronger."

Now, at the same time, there is growing concern here in Brussels about euro skepticism across the continent. We've already heard for calls for similar referendums in countries such as France as well as the Netherlands. And that is going to impact any sort of exit negotiations the U.K. might undertake with the E.U.

I spoke to one senior diplomat who told me that there will be no niceties in those negotiations. That there is no E.U. leader that wants to see a Brexit look like an attractive option to other E.U. member states -- Wolf.

BLITZER: Interesting. Matthew, the Russian president, Putin, may be one of the few leaders in the -- around the world supporting this decision. What's the reaction over there in Moscow?

MATTHEW CHANCE, CNN CORRESPONDENT: Yes, that's right. I mean, Putin, of course, is under sanctions from the European Union, and so it's seen as being in his interests for the E.U. to be divided in some way. The former U.S. ambassador to Russia, Michael McFaul, tweeting earlier, Putin benefits from a weaker Europe. This vote makes Europe weaker therefore Putin wins.

Putin feels a little less pressure today. That was the word from the U.S. -- I'm sorry, the British foreign secretary. And Putin absolutely categorically denies this, saying, look, I don't care whether or not Britain is in or out of the European Union. It's a matter between Britain and Europe. He says that these allegations against him that he's going to benefit are merely an attempt to smear him and an attempt to manipulate public opinion inside Britain.

But even his supporters, here in Russia, are backing up those critics. The mayor of Moscow, Sergey Sobyanin, saying that without Britain in the European Union, there'll be less of a strident voice now to back up sanctions against us, against Russia. And so, the hope in Russia is that without E.U. Britain in Europe, there's going to be much weaker sanctions against it of (ph) the Ukraine.

BLITZER: Interesting. Matthew Chance in Moscow, Nima Ebagir in London, Erin McLaughlin in Brussels, thanks to all of you.

The magnitude of this decision cannot be stressed enough. The reverberations of it will not only felt today, but in the weeks, months and, indeed, years to come.

Tony Blair served as the British prime minister for 10 years. He voted to remain in the European Union. The prime minister is joining us now from London. Prime Minister Blair, thanks very much for joining us. I know you're disappointed. Markets all over the world right now, they are down. World leaders spoke out shortly after the vote. Angela Merkel calling it a cut to Europe. What's your biggest concern right now?

TONY BLAIR, FORMER PRIME MINISTER, BRITAIN: My biggest concern about the voters is it's a vote of vast moment with consequences for Britain, for Europe, for the global economy.

[13:10:06] And it's the beginning of a process in which Britain will have to try and negotiate its way out of Europe, negotiate new arrangements with Europe. This is going to be very difficult. And I think there's an urgent need to stabilize the country to bring it together.

And then, I think, frankly, we're going to have to reflect all of us that come, if you like, from the center left or center right of politics on the consequences of this type of campaign for where politics goes in the western world right now. Since I think these type of insurgent movements are common everywhere within Europe, within the west. But this is a huge experiment with my country's future.

BLITZER: It certainly is. And you're obviously very worried. We're going to have more on that point you just made in a moment. But, as you know, analysts were clearly expecting a close vote. Some even predicting late yesterday that the, quote, "remain vote would win." Were you surprised that the lead vote won by over a million votes?

BLAIR: Yes, I was. And I think they focused their camp very much on immigration, so that really became the test. And I think there was a lot of discussion about Britain taking back control of its own destiny. Although, when I was prime minister for 10 years, I literally cannot think of a big decision that I was unable to take because of Europe.

And then, I think part of the labor party vote -- and was voting obviously on issues like immigration but also voted against the government of the day. And we didn't, frankly, as the labor party, sufficiently mobilize our vote to get people to understand this was not a protest vote for yesterday, Thursday, June the 23rd. The people were the government and the people took a decision of the government.

BLITZER: So, you were concerned that the driving force that convinced millions of British citizens to choose to leave the E.U. was the fear that immigrants coming into, let's say other members, member countries of the European Union, would be easily able to come into Britain and live there. That was the biggest concern in Britain?

BLAIR: The biggest concern was definitely immigration. And a whole lot of things getting mixed up in this issue of immigration. And, as you know, from the U.S., but we can see it anywhere in Europe today, this issue to do with immigration has the power to move electorates in a very sharp and clear direction.

And there was a worry that, as a result of part of the European market, this free movement of people within that market, we have had a lot of people migrate from different parts of Europe to come and work here in the U.K. But the majority of our immigration is actually not from Europe. It's from outside of Europe and that's not changed by this decision.

And, secondly, those people that come in from eastern Europe or elsewhere from Europe into my country, you know, frankly, they pay far more in taxes than they take in benefits. And they tend to work hard. And they're pretty decent members of our community.

So, you know, this is -- this is -- this is a vote in which, I think, as the days and weeks and months pass, people will reflect very deeply on how many of our real problems have been solved by this decision.

But, you know, they've taken the decision and, obviously, it's been a big -- you know, a big jolt to the -- to those of us who really thought that it was near impossible for Britain to take a decision like this and take ourselves out of the largest political union and biggest commercial market in the world.

BLITZER: Immigration certainly has been a big issue here in the United States. Donald Trump said he saw parallels between the vote in the U.K. and the kind of support he's seeing here in the United States. Do you agree with him?

BLAIR: Actually, on this point, I do agree. I think there are parallels. But, you know, the question is do those parallels take you in a good direction or a bad direction? And, you know, the most important thing to understand in the end is that over these days, weeks and months ahead, people will be able to see the consequences of this vote.

Because what we're going to have to do in Britain is we're going to have to -- the single market, the European single markets where we sell half of our goods and services. Right? So, this is a massive market for us. We're going to have to try and negotiate our way back into that market.

And this process, I think, will be a lot more difficult than people understand. This is not like a decision whether to join Europe. It's a decision to come out of Europe after more than four decades of integration with Europe.

So, I think, yes, there are parallels with these insurgent movements, left and right, your way, our way. But the question will be, over time, are these experiments going to result in a good outcome or not?

[13:15:01] BLITZER: I'm curious, what do you think of Donald Trump?

BLAIR: Look, who you elect as president is up to you. I mean, let me just put it -- put it like that. But what I do think is that there is a strange coming together of populism from the left and the right that you would think that populism of left and right doesn't have that much in common, and curiously they have a lot in common. They basically take this force of globalization, which is a force that is driven by people, it's not created by government. It's the product of technology. It's the product of migration and the way the world's moving closer together, the ability to travel, and they stand against this force of globalization, in different ways, but still thinking that isolating ourselves or shutting our borders is the way to deal with it. It's not.

The way to give jobs to people who are marginalized in our society today is better education, build the right infrastructure, develop the jobs of the future, make sure that we use technology in order to improve and change our public services and government. There are solutions for the future that we've got to put forward before people and the danger is there's so much anger at the moment that the anger displaces what are frankly the more rational answers.

BLITZER: You know the president, President Obama, he was in the U.K. in April. He seemed - he clearly wanted the U.K. to stay in the E.U. and he seemed to deliver a direct threat to the people of Britain. Listen to this.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: I think it's fair to say that maybe some point down the line there might be a U.K./U.S. trade agreement, but it's not going to happen anytime soon because our focus is, in negotiating with a big bloc of the European Union to get a trade agreement done. And U.K.'s going to be in the back of the queue.

(END VIDEO CLIP)

BLITZER: Was that appropriate for him? Because the criticism was, he was inappropriately intervening in domestic U.K. issues.

BLAIR: I don't think he intervened inappropriately. And, you know, at some point, we've got to work out the difference between a threat and a warning. I mean one of the things that people like myself were accused of during the course of this campaign, when we were saying we should stay in Europe, we were accused of scaremongering when we said there are going to be serious, immediate economic consequences of voting to leave. Well, you see what's happened to the pound today, and the stock market. Even a discussion about U.K.'s credit rating.

And then we said, if we vote to leave, there are going to be serious consequences for the U.K., because Scotland will say, if we vote to stay in Europe, and the rest of Britain votes to come out of Europe, then we'll want a fresh referendum on independence. Again, people said, you're just scaremongering. Well, no, we were warning. And today, the leader of the Scottish nationalist party and the leader of the Scottish parliament has said exactly that, that they want a fresh referendum.

So, you know, when people like President Obama are saying, I'm trying to warn you of the consequences, they're not intervening inappropriately, they're simply saying, look, we're trying to say to you, this is what actually happens when you go down this path. And part of the trouble with the world that we've got today is that, you know, the problems are complicated. And, you know, there is a real problem everywhere that people are feeling their incomes are flat lining. They can see their communities changing around them. They feel they've, in a sense, lost control over their own destiny. And that was a very strong feeling in the U.K. But getting out of Europe's not the answer. In a world that is coming together much more, you're better able to achieve your aims in alliance with others, rather than thinking that if you pull up the drawbridge, you're going to make your problems better. You're not.

So this is - this is, you know, an argument that I think will go on both sides of the Atlantic and what has happened in Britain is one dimension of what is truly a kind of global debate. And I do think that people like myself on the center left of politics and for those on the center right, we've got to work out how we've lost traction so badly and how we regain it.

BLITZER: And very quickly, we're out of time, but who do you want to succeed Prime Minister David Cameron, who says he will resign?

BLAIR: I - I don't know. That's for the conservative party to decide. The most important thing for me is that over the next couple of months, when David Cameron is still prime minister, he makes sure that he does everything he possibly can to reunite our country and to stabilize it. And I'm sure, by the way, he will try to do that.

BLITZER: Tony Blair, the former British prime minister, thanks very much for joining us.

BLAIR: Thank you.

BLITZER: And coming up, Donald Trump gets a global stage during his trip to Scotland today. But before talking about Brexit, he talks about his new golf course.

[13:20:03] (BEGIN VIDEO CLIP)

DONALD TRUMP (R), PRESUMPTIVE PRESIDENTIAL NOMINEE: We fully renovated the course. A brand new sprinkler system. The highest level.

(END VIDEO CLIP)

BLITZER: And take a look at this, live pictures coming in from Stanford University out in Palo Alto, California. The president of the United States getting ready to speak there. We'll have live coverage. We anticipate he will react to this significant decision by the U.K. to leave the E.U.

(COMMERCIAL BREAK)

BLITZER: As we watch history unfold in the United Kingdom right now, it just voted to leave the European Union, Donald Trump, whether by careful calculation or by coincidence, is at the center of it all in Scotland. Trump landed there early this morning to visit his new golf resort. At the property, the Republican presumptive presidential nominee had the world's attention and this is how he used it. (BEGIN VIDEO CLIP)

DONALD TRUMP (R), PRESUMPTIVE PRESIDENTIAL NOMINEE: And to think that we'd be here owning Turnberry one day would be incredible. We've taken the lighthouse and we've - we've taken that building and made it something really special.

We fully renovated the course. Brand new sprinkler system. The highest level. A lot people think this will be the greatest par 3 anywhere in the world.

(END VIDEO CLIP)

[13:25:03] BLITZER: Trump also spoke about the golf course in detail for, what, 13 minutes, eventually answering questions after his son also spoke. Our political reporter, Sara Murray, was at the event. She's joining us now live from the Trump Resort in Scotland.

Sara, some political pundits, they say they're baffled by Donald Trump's approach right now. Was it a surprise to those of you on the ground?

SARA MURRAY, CNN POLITICAL REPORTER: Well, Wolf, I feel like this is a case of Donald Trump being in the right place at the right time. It was very interesting to see him come out this morning though. He sort of briefly flicked at the Brexit vote and talked about how it was a historic day, a momentous occasion. And then as you saw there, launched into, you know, a very long explanation of the upgrades he's made at his Trump property here. And he has been facing a little bit of criticism for the fact that he's still essentially running a business while he's running a campaign for the White House. I asked him about that today. Take a listen.

(BEGIN VIDEO CLIP)

MURRAY: Mr. Trump, seven in 10 voters told us in a CNN poll they want to see you cut ties with your business while running for the president.

DONALD TRUMP (R), PRESUMPTIVE PRESIDENTIAL NOMINEE: I will do that, yes.

MURRAY: Will you do that while you're -

TRUMP: Oh, yes, I'll do that.

MURRAY: While you're running though?

TRUMP: I will do that. Well, I don't think it matters while I'm running. While I'm running, it doesn't matter. It's never had (ph) where somebody has this big a business and runs for president and wins. If I win, I would - even though I don't have to do that, I would probably put everything in trusts.

MURRAY: Trump property we visited during your presidential campaign, why do you continue to having events there - TRUMP: Well, I do use my properties. Number one, I have the best properties, OK? And you can say that. I will say, a lot of the press has said, whether you like him or no, there's no properties like that. I mean I have the best properties. And you don't get to see that otherwise, but I have the best properties. And the other thing is, why should I use somebody else's properties?

(END VIDEO CLIP)

MURRAY: Now, Wolf, at times traveling with Donald Trump has felt as much like a promotional tour as it has being on the campaign trail. Of course, he did speak more about the Brexit as reporters questioned him about that today. He drew parallels between the angst and anxiety over the economy and immigration here in the U.K. and said it's similar to what he's hearing from voters back in the U.S. But eventually he, once again, brought it around to his business interests, saying that if the pound takes a hit as a result of the Brexit, that's only good news for his resorts and it might inspire more visitors to come to a place like Turnberry.

Wolf.

BLITZER: Interesting. All right, Sara, thanks very much. Sara Murray in Scotland for us.

Let's talk a little bit more about Donald Trump's response, other ways the Brexit results could impact the U.S. election. Joining us now, our CNN political analyst, the host of "The David Gregory Show" podcast, David Gregory, and the Washington bureau chief at "USA Today," Susan Page.

Guys, thanks very much for joining us.

David, I was watching "New Day" this morning. We were having that news conference live. You seemed almost dumbfounded by his reaction, his opening statement, if you will.

DAVID GREGORY, CNN POLITICAL ANALYST: Yes. Well, look, I mean I think we've all covered presidents before. We've all covered anyone trying to be a world leader on the world stage. And in a moment like that, you expected him to at least address the Brexit vote right off the top and maybe with a note of caution. Instead, he doesn't even talk about it until he's asked about it. And, frankly, I mean, it's impossible not to ridicule at some - I mean he's talking about adding suites to the lighthouse behind him when he's pursuing the White House. I mean it was just another aspect of the surreal quality of his candidacy. A real missed opportunity and, again, I think for voters in America who are looking at all of this, they are seeing a presumptive Republican nominee who is trying to prove some of his bonafides (ph) on the world stage. I thought this was quite shaky at the very best.

BLITZER: Susan, he did welcome this decision by the people of the United Kingdom. He thinks it's a good idea. He also said there are parallels to what's happening over there to what's happening here in the United States. SUSAN PAGE, WASHINGTON BUREAU CHIEF, "USA TODAY": You know, it's clear

there are some political parallels. They're not perfect and the U.S. electorate is a lot more diverse than the electorate that was there. But the concerns about immigration, the feeling that the people are being left behind in this economy, the decline of manufacturing, those are all elements that we saw in the Brexit vote that we also see in the presidential election here. And also some of the divides in the electorate, younger people voting to stay, older people in Great Britain voting to go. People without a college education in Great Britain voting to go. Better educated voters in Great Britain voting to stay. Those are some of the divides we see in our presidential election here.

GREGORY: And distrust for big institutions, distrust for elites. I thought that was an aspect of what Trump said today in the Q&A that was actually effective. This was really a reminder of Trump seizing on the populist message that has been very effective for him politically in his primary run, and he was able to tie that into what's happening there.

BLITZER: Well, you heard Tony Blair just say immigration was a huge factor in the U.K., just as it is here in this current election cycle.

PAGE: Also, a willingness to take a risk, right? The elites in Great Britain said it's very risky to do this. There are going to be big economic consequences.

GREGORY: And bucking them (INAUDIBLE).

PAGE: And people bucked them.

Here too, I think, the opinion of elites is mattering less than it often does when you talk about the risks, say, of voting for Donald Trump.

BLITZER: David, we're standing by to hear from the president of the United States. He's going to be making a statement on this. He was not very happy. He certainly did not want Britain to leave the European Union. But Trump, interestingly enough, he said the president has himself to blame for this decision. Listen to this.

[13:30:10] (BEGIN VIDEO CLIP)

DONALD TRUMP (R), PRESUMPTIVE PRESIDENTIAL NOMINEE: I was actually very surprised that President Obama were to come over here and he would have been so bold as to tell