Data from the Chandra & XMM-Newton satellites have overturned the prevailing orthodoxy on what's happening in `cooling flows'. Distributed `mass drop-out' is rejected and central heating of cooling flows by nuclear black holes is vindicated. The relevant evidence will be very briefly reviewed and simulations of cluster reheating will be used to ask how strongly time dependent cooling flows are, and what the significance is of the H-alpha emitting filaments that are often found near the centres of cooling flows. Finally it will be argued that the demonstration that a nuclear black hole can prevent hot gas cooling to form stars requires us to reject the standard picture of galaxy formation, which is anyway in serious trouble. An alternative picture will be outlined.