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tv   World Business Report  BBC News  July 12, 2021 5:30am-6:01am BST

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this is bbc news with the latest business headlines for viewers in the uk and around the world. devastation for england as they lose to italy in the final of euro 2020. however, the tournament has boosted the uk economy. we'll be hearing from the pub industry to find out why the tournament has lifted the spirits. clamping down on tax havens: g20 finance ministers back a 15% global corporate tax rate which could hit big tech firms in the pocket. and as india eases its lockdown measures, we'll tell you how the pandemic has forced businesses to adapt to a big change in shopping habits across the country.
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hello there. where shall we start? of course, england's penalty shoot—out defeat to italy in the final of euro 2020. despite the loss, there were still many positives for the england side, which reached its first major men's football final in 55 years. the uk chancellor — orfinance minister — rishi sunak said he expected to see a "bounce" in consumer confidence because of the tournament. some businesses have benefited from england's run to the final. the british beer & pub association predicted england fans would consume more than 13 million extra pints on sunday alone. so will the feel good factor translate into an economic boost for the country? joining me now is steve alton, who's the ceo of the british institute of innkeeping. how long do you think this
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feelgood factor will last for? morning, ben. it's been fantastic, this tournament, in all of nations and its brought people back together again and you can see the absolute revealer for relief of people wanting to get out and reconnect with their communities and to have people who run pubs across the whole of the uk, for those who have been able to show the football, not every pub, they have created some special moments and places for us to come together and it's reminded people of the importance of the pub within the social fabric. it is the place we go to celebrate and commiserate is actually the word as well this morning but reconnect as people and our members did such a greatjob bringing everything together. the challenge has been though, as you heard from the number of points consumed, it could have been double that amount and it was very muted, we are still having to work around restrictions which is massively reducing capacity but unfortunately england finished their campaign and innocence our members have onlyjust started their campaign to
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recovery and it is all about the 19th and the removal of the restrictions.— restrictions. that's a very aood restrictions. that's a very good point _ restrictions. that's a very good point and _ restrictions. that's a very good point and of - restrictions. that's a very good point and of course | restrictions. that's a very i good point and of course the organisations you represent some of the businesses, have had to spend money putting in place measures to make sure their venues are covid so to what extent do you think that has limited balance they would normally see from a major sporting event like this —— covid safe. sporting event like this -- covid safe.— sporting event like this -- covid safe. ~ , ,., , ., covid safe. absolutely huge and the capacities _ covid safe. absolutely huge and the capacities are _ covid safe. absolutely huge and the capacities are limited - covid safe. absolutely huge and the capacities are limited here | the capacities are limited here and we can only have so many people in the venues because of the space and the limitations into the group numbers so that is huge, we need extra staff right now to manage all of those elements, from right now we still need to legally make sure people are checking in and we are taking their details and when they enter the premises, we need to manage them around all of those covid secure processes we have in place so that's usually impactful, you need a lot more staff and right now we have some chronic staff shortages as well. not least
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unfortunately with the test and trace notifications coming through the app right now we have whole teams being isolated. initially it was one in five and for a number of businesses we represent it can be one in three of their staff so they are massively down and it's meant some pubs have actually had to close doing this period because they have not got any staff to manage what they need to do for their customers. behind what is a fantastic feelgood and congratulations to england and what a great final but itjust brought us together and we can be the heart of that, we can be the heart of the recovery and it's good to remember that hospitality had over 3 million people in it during the pandemic that we can get back there and bring great support across the uk and we need some support now because our recovery starts on the 19th, the first day of restrictions, and we need the support for things like business rates, continuation of vat because these are really vibrant and viable businesses but they will need the help going forward. {iii need the help going forward. of course, industry you represent
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has the benefit of the olympics coming up, another major sporting event at pip —— gets people out and doing things together in a social way. look, sort is together in a social way. look, sport is a _ together in a social way. look, sport is a key _ together in a social way. look, sport is a key part _ together in a social way. look, sport is a key part of _ together in a social way. look, sport is a key part of what - sport is a key part of what we're all about across the country, there has been some fantastic sporting event so far and it has been a little muted and it has been a little muted and frustrating, we could have taken full advantage of it, but as you say this huge event is ahead and behind all of it, we havejust ahead and behind all of it, we have just appreciated ahead and behind all of it, we havejust appreciated i ahead and behind all of it, we have just appreciated i think, as we have started to come out of lockdown, the importance of coming back together and pubs can be at the heart of that and they can do it incredibly safely, they are professionally managed venues and treasure the confidence to go back and we are hoping for really positive announcement from the prime minister make sure we can start the initial stage of recovery on the 19th —— and you should have the confidence to go back. thank you, steve. g20 finance ministers have backed a plan to get multinational companies to pay their "fair share" of tax around the world. it puts in place a minimum global corporate tax rate of 15%.
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it is likely to affect companies like amazon and facebook. so far, 132 countries have signed up to the framework. joining me now is susannah streeter, who's the senior investment and market analyst at hargreaves lansdown. good to see you. how worried do you think the tech firms will be by this plan?— be by this plan? actually, if ou be by this plan? actually, if you look— be by this plan? actually, if you look at— be by this plan? actually, if you look at their _ be by this plan? actually, if you look at their share - be by this plan? actually, if. you look at their share price, ben, not too worried at the moment. the likes of amazon and apple have seen their share price rise, 10% over the past month, and of these issues have been debated, one by one these big organisations, from the g7 group of nations agreeing a deal in cornwall to the 0ecd and now, the g20 group of finance ministers. i think the very fact that this was already on the table and had been factored into their share price and also, there are a number of
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hurdles as well to get through. the 620 hurdles as well to get through. the g20 have not quite signed off this deal yet. it has to be agreed. there are still some countries such as ireland resisting because of because ireland has certainly profited from the likes of apple and head quartering in ireland. of course, it is not illegal at all, it is perfectly legalfor companies to action —— a in this way and headquarter in a country even though the bulk of their profits are made in other countries. sdl really does aim to stop but by setting this minimum standard. cavort sdl really does aim. some campaigners believe this 15% tax rate is still a very low bar, even though the french finance minister has said it is a really historic thing and will and the rest of the bottom. will and the rest of the bottom-— will and the rest of the bottom. , , , bottom. of course i suppose the counter to _ bottom. of course i suppose the counter to eat _ bottom. of course i suppose the counter to eat is _ bottom. of course i suppose the counter to eat is that _ bottom. of course i suppose the counter to eat is that firms - counter to eat is that firms will say actually, this means they have less to reinvest, less to spend on creating new jobs and pioneering new ideas
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and techniques and things. —— the counter to it. and techniques and things. -- the counter to it.— the counter to it. some firms will say that _ the counter to it. some firms will say that but _ the counter to it. some firms will say that but this - the counter to it. some firms will say that but this deal - the counter to it. some firms will say that but this deal is l will say that but this deal is only expected to actually affect around 10,000 of the most profitable firms worldwide and of course, any of those big tech giants are sitting on huge piles of cash and have not actually reinvested that, yet, so it should not affect them too much and certainly, they are benefiting from network effect, the likes of amazon of course, having third party sellers on its platform, simply means their power is getting bigger. 0f means their power is getting bigger. of course this does come against a backdrop of calls for greater regulation of the tech giants. it's just one of the elements being put on the table to try and restrict their power or at the very least make sure that they pay their fair share and contribute to the societies in which they
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operate. and there are questions still surrounding whether or not the likes of amazon for example even have to pay this tax, although the us treasury secretary janet yellen says she believes they will when, actually, the detail of this deal is thrashed out. {lilia this deal is thrashed out. 0k, thank you _ this deal is thrashed out. 0k, thank you very _ this deal is thrashed out. 0k, thank you very much. - let's get some of the day's other news. tesla ceo elon musk is expected in court on monday to defend his role in tesla's $2.6 billion acquisition of solarcity. shareholders have sued musk and members of the tesla board, alleging that the 2016 deal amounted to a solarcity bailout. they also allege that it unfairly enriched the musk family, who were among the largest shareholders. billionaire sir richard branson has successfully reached the edge of space on board his virgin galactic rocket plane. the uk entrepreneur flew high above new mexico in the us in the vehicle that his company has been developing for 17 years. he returned safely to earth just over an hour after
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leaving the ground. china is further tightening control over chinese companies listing overseas. regulators announced any chinese firm holding data from more than one million users must now seek permission to list in another country. that effectively covers nearly all tech companies. joining me now from our asia business hub of singapore is katie silver. just explain for us the thinking behind this move then? ben, it's about part of this further crackdown that we are seeing on chinese tech that is getting wider and wider so what we've heard from beijing is safe that these companies are going to be subject to a security review and they will need to complete before listing and they say it is about making sure that data of chinese citizens is not being effectively controlled and manipulated by foreign governments. in that sense it is a real change in discourse,
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we of course remember last year when tiktok was almost banned from the us. it was about protecting the data us citizens. now are seeing similar moves from china and as i say this is the latest blow to chinese tech that we've seen for example directions from home in a number of ways really when it comes to anti—trust measures. as well as what we saw in the last fortnight with didi where they found their share price hammered as a result of ageing trying to crackdown on what it sees as data security issues. now it goes a step further and as i say it is about restricting foreign listings but pressure is notjust coming from beijing, we are also seeing it from the us side, at its head for its part for example the chinese companies may be facing significant audits, auditing for example the likes of us companies face if they choose to list on the york stock exchange, as well as the eminent and constant threat of delisting which we've seen for example happen to the likes of china mobile, china unicom, china telecom, really a lot of pressure and for many companies it means they are likely going
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to be impacted, according to analysts i've been speaking with, the desire to choose to list on the us stock exchanges and instead they may choose what is known as a homecoming list, list for example in changing, hong kong or shanghai. but then is going to be subject to whether the cost and benefits of those various markets ——shenzeng. and benefits of those various markets --shenzeng.- and benefits of those various markets --shenzeng. thank you, katie silver. _ markets --shenzeng. thank you, katie silver. and _ markets --shenzeng. thank you, katie silver. and thank _ markets --shenzeng. thank you, katie silver. and thank you - markets --shenzeng. thank you, katie silver. and thank you for. katie silver. and thank you for being with us. stay with us on bbc news. still to come: the tourism industry may have been floored by the pandemic, but as international travel re—opens, will it be enough to save tour guides and thousands ofjobs? after months of talks and missed deadlines, a deal has been struck to keep greece within the eurozone. the immediate prospect of greece going bust in the worst crisis to hit the eurozone has been averted. emergency services across central europe are stepping up their efforts to contain the worst floods this century. nearly 100 people
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have been killed. broadway is traditionally called the great white way by americans but tonight, it's completely blacked out. it's a timely reminder to all americans of the problems that the energy crisis has brought to them. leaders meet in paris- fora summit on pollution, inflation and third world debt. this morning, theyjoinedl the revolution celebrations for a show of military might on the champs—elysees. . wildlife officials in australia have been coping with penguin problems. fairy penguins have been staggering ashore and collapsing after gorging themselves on a huge shoal of their favourite food, pilchards. some had eaten so much, they could barely stand. this is bbc world news. the latest headlines: wild celebrations in rome as italy's footballers are crowed champions of europe after beating england in a penalty shoot—out.
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thousands of cubansjoin anti—government demonstrations to demand greater democracy and more covid vaccines. there's been a backlash over a temporary extension of lorry drivers�* working hours. the industry says the uk government is basically applying a sticking plaster to driver shortage problems. to meet the shortfall of hgv drivers, a temporary extension to drivers�* hours rules will come into place from monday 12th july. the new extension is said to give flexibility to drivers and operators to make slightly longerjourneys. extension has been met with huge concerns for drivers�* safety. joining me now is kieran smith, who�*s the ceo of driver of driver require. why is there a shortage? the shortage has come about through a number of reasons. firstly, the covert effect
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resulted in a lot of our foreign labour going back to their countries, and then subsequently with breaks that that had a further impact, and then most recently the ir 35 legislation, which change the ability for drivers to work at limited companies, changed the tax incentive for them, essentially, and caused a further drivers to leave the sector. also, during the covert period, the demand dropped by about 10%, and therefore the lorry driver paul dropped accordingly, but when restrictions were lifted, that is one shortage crisis really started to emerge. —— pool. is there is not a temporary solution then do that? it is very much a partial solution, in fact many of the
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people in the industry are saying that the negative effects of it outweigh the positives. we are talking only really about an extension of a couple of trips per week. they are only allowed to extend hours twice a week as is. it is extending it from 10— 11. it means you can get back to base more easily under those circumstances. it also changes the ability for you to take breaks out in your work. intent of taking a break over two days you can make it into two 20 for— our breasts. "211. all of this, lorry drivers are working in a way that would make this more dangerous. and dangerous for other people on the road. if drivers are
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working even longer hours and are tired, haven�*t had proper breaks, evidence shows that anybody behind the wheel who isn�*t quite as awake — that reactions are slower and it can cause serious problems. it is very true. lorry drivers have very low accident rates but when an accident does happen it can be very serious because of the sheer weight of the vehicle. thank you very much for talking goes through that. many cities have started easing covid curbs in india. but as people start stepping out of their homes, there is a shift in their buying behaviour. and that�*s a challenge for businesses trying to revive their fortunes. bbc�*s devina gupta finds out in delhi. life is springing back on it daily streets. indicating an
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end to a long period for street food vendor is like this man. translation:— food vendor is like this man. translation: ., ., translation: earlier, we would earn 80 per _ translation: earlier, we would earn 80 per day. _ translation: earlier, we would earn 80 per day, but _ translation: earlier, we would earn 80 per day, but now- translation: earlier, we would earn 80 per day, but now with i earn 80 per day, but now with only locals visiting our stores, we barely earned $20 per day. his customers who have come back are extremely cautious. it has been a long time. do you have an sanitiser? we use that all the time, we have masks. fatigue and boredom has led to overcrowding at markets, but the to convert this into sales. a recent study found that consumer confidence has hit a record low. that is because household spending has stepped due to the pandemic is people are not sure aboutjob prospects and aren�*t willing to spend. that is a big challenge for the businesses trying to revive their fortunes. we have to keep in mind this
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time around the veracity of covid. it was far more intense and because of that a large number of households and consumers saw out—of—pocket healthcare expenses, which were probably not accounted for. as a result of that, disposable incomes are going to take a head. natasha, a member of a large retail train, natasha, a member of a large retailtrain, future natasha, a member of a large retail train, future group, says new consumer categories are emerging. categories like cleaning which won�*t necessarily organise, now people are seeking branded products around that. even an unity, categories, right? 0ne unity, categories, right? one of the things we have seen as global demand increase and dried fruits. for smaller shops, there is the added challenge of adapting to new shopping habits that have emerged from the pandemic. this man shows a third—generation dried fruit cellar, meaning
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most customers want to do place orders online, so he also adapted. translation: , translation: during the lockdown. _ translation: during the lockdown, people - translation: during the lockdown, people wanted | translation: during the - lockdown, people wanted dried fruit delivered to their home, and so we started taking orders online. the cost of sporadic lockdowns in india is estimated to be over $1 billion each week. as customers step out of their homes again and return to the markets, business owners hope they also start spending to recover some of these losses. devina gupta, bbc news. like many across the tourism sector professional blue badge tourist guides have been almost wiped out by the pandemic. lockdowns across the uk saw tour guides lose 99% of their business. they�*ve been hit by the lack of tourists — the number of overseas visitors to the uk fell from 41 million in 2019 to just 11 million in 2020, and for tour guides, foreign tourists make up 90% of their business. in normal times it�*s estimated professional guides bring in nearly £112 million
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to the economy. joining me now is carole hiley, who�*s the president of the institute of tourist guiding. how have tour guides managed since the pandemic began? good morning, in many ways they had to adapt. perhaps they have returned to a profession they did before. 0thers returned to a profession they did before. others have found work in other areas, others have managed, somehow, to turn around the way that they are working as opposed to dealing directly with the public. they are turning towards what we would call virtual tours which have become very popular. it does mean that you go out through the internet but your audiences much wider. however, of course, the revenue from these tours is not — the work
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is there, but the revenue definitely isn�*t what one would expect from being able to guide 1-1 expect from being able to guide 1—1 or in groups. is this problem predominantly affecting london or is it affecting london or is it affecting cities around the uk? definitely affecting cities around the uk. everybody has been head, and the worst thing is, of course, itjust before the summer so this is now the second summer we are going through. london, the major cities, cities like liverpool, manchester, classical cities like york, bath, 0xford, cambridge. they will have tourists throughout the year but other areas will rely more on tourists through in the summer. therefore, to have a second summer and another winter where tourism is very slowly coming in is not going to be easy at all. mental health is a problem, and financial problems definitely that we have been hearing
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about. one thing is that blue badge tourist guides were formed for the festival of britain, 1991. this year, it is an anniversary and we aren�*t able to guide. there is some hope on the horizon — talk of travel being able to go ahead a little bit more readily especially for those with both doses of vaccination. that may take effect later on in the summer if it happens. does it give any kind of hope? is it too late in the season to make a difference? i think most of us will agree that this season or this summer season, really, there will be very little. we are looking towards having perhaps bookings from autumn through to winter but we have one big problem thatis but we have one big problem that is looming now on the horizon for us — come 0ctober, anybody who is visiting this country will have to travel on a passport. you may be familiar with the fact that throughout
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europe, most people travel on an identity card. they don�*t have passports. this means, especially may be for students, school groups, they are going to think very carefully before they come to this country. for others, that is ahead, financially, because guides of many different languages can look after these groups. now these groups are going to go elsewhere, probably. why would parents pay for a passport when they already have an id card? so they probably won�*t come. this is something that we are lobbying the government about to have a look it. please, id cards today can be secure as passports. many are biometric as well. carole hiley, we must leave it there. i suppose, carole hiley, we must leave it there. isuppose, the carole hiley, we must leave it there. i suppose, the message is, if you can afford it, please tip people generously. thank you very much. thank you. you can reach me on twitter —
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i�*m @ ben m boulos. well, it�*s a mixed bag out there at the moment with some rain around. and we�*ve showers in the forecast for monday too. some of the showers could be particularly heavy across southeastern areas of the country. and here, we could have some thunderstorms as well. so this is what it looks like early hours of the morning. you can see where the heavy rain is, particularly in the south and the southeast. dry weather across most of scotland and most of northern ireland. and really quite mild in the morning — around 16 degrees, for example, in liverpool. so on that heavy rain, then, in the south, it�*ll come and go through the course of the morning. in fact, there might even be some sunshine around for a time. but then through the afternoon, showers will brew across parts of scotland, the north of england, but the heaviest ones probably in the southeast here.
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and these are the ones that could turn thundery and linger through the afternoon, into the evening hours. best sunshine on monday, i think some of these western areas of the uk — certainly western parts of wales, maybe cornwall and devon too. now, low pressure is still fairly close by on tuesday. you can see it�*s actually centred around, well, the western half of europe in the alps, but it�*s just about influencing the weather around the near continent, so there could be one or two showers around in the southeast. the best of the sunshine, i think across western and northern areas on tuesday. in fact, from plymouth through cardiff, liverpool, belfast, glasgow, should be a relatively sunny day, and the temperatures are starting to recover as well. in fact, by the time we get to wednesday, it should be a dry day across the uk. high pressure is slowly building from the azores. there could be a weak weather frontjust about nudging into the western isles, giving a few spots of rain. but on the whole, it�*s a fine day for most of us. and then from thursday onwards, we are expecting that high pressure to build right across the country. the winds will fall light. and given some
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sunshine, we�*ll see those temperatures recovering. in fact, we�*re expecting the mid—20s quite widely across the uk, but it really does depend where the wind�*s going to be blowing from. for example, if it�*s coming in from the north, the north sea coasts could be a little bit chilly, but further inland, certainly around 25 or so. so here�*s the outlook, with monday and those showers there, maybe even one or two thunderstorms in the southeast, and then a steady climb in the temperatures as we head towards the weekend. that�*s it from me. bye—bye.
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good morning, welcome to breakfast with dan walker and louise minchin. 0ur headlines today: saved by donnarumma, and it is italy who are _ saved by donnarumma, and it is italy who are the _ saved by donnarumma, and it is italy who are the champions of europe. england�*s lions silenced once again as their euro dream ends in penalty defeat. you know, they're a team who have pulled together, have given the country some incredible evenings. um, but of course, tonight, the devastation of getting so close and not being able to give our country the trophy that we wanted to is...difficult to put into context.

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