Browse content similar to 27/10/2015. Check below for episodes and series from the same categories and more!
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This is Business Live from BBC News with Ben Thompson and Sally Bundock. | :00:00. | :00:08. | |
Free to roam - well, nearly - the European Parliament is expected | :00:09. | :00:12. | |
to pass legislation to cut the cost of using mobile phones abroad. | :00:13. | :00:15. | |
Live from London, that's our top story on Tuesday 27th October. | :00:16. | :00:35. | |
After years of complaints and legal wrangling, roaming fees | :00:36. | :00:37. | |
will be slashed - but it won't take effect until June 2017. | :00:38. | :00:42. | |
Also in the programme - as the latest Bond instalment got the royal | :00:43. | :00:45. | |
seal of approval at last night's premiere - we'll assess Brand Bond. | :00:46. | :00:51. | |
The multi-million dollar industry vying to dress, style and brand | :00:52. | :00:54. | |
Oil results, central bank rumours and a first look at UK growth | :00:55. | :01:02. | |
And what is it like to be the most powerful central banker | :01:03. | :01:11. | |
in the world during the biggest crisis since the great depression? | :01:12. | :01:17. | |
We get the Inside Track from Former Fed Chairman Ben Bernanke. | :01:18. | :01:22. | |
And as one company in China says it will FINE its staff | :01:23. | :01:27. | |
for calling their superiors by their official titles, is it | :01:28. | :01:31. | |
Would you call your boss by his or her nickname or do you | :01:32. | :01:36. | |
Let us know - just use the hashtag BBCBizLive. | :01:37. | :01:55. | |
We've all been there - a work trip overseas or a quick few | :01:56. | :01:59. | |
days holiday, and you get home to a pretty hefty mobile phone bill. | :02:00. | :02:02. | |
But it could be a thing of the past when a ban on roaming charges | :02:03. | :02:08. | |
The European Parliament will vote later on the reforms. | :02:09. | :02:12. | |
It's been a long time coming, mired in legal disputes | :02:13. | :02:15. | |
and companies unwilling to forgo often lucrative charges, and it's | :02:16. | :02:18. | |
not all good news quite yet - you'll have to wait until June 2017 | :02:19. | :02:22. | |
Well, telecoms operators will only be able to add a surcharge | :02:23. | :02:32. | |
of 5 euro cents per minute for outgoing voice calls - no more. | :02:33. | :02:35. | |
The same for data use - 5 cents per megabyte of mobile internet. | :02:36. | :02:45. | |
And just 2 euro cents for text messages. | :02:46. | :02:47. | |
The cap on charges for incoming voice calls will be determined later | :02:48. | :02:50. | |
this year and is expected to be much lower than for outgoing calls. | :02:51. | :02:53. | |
Let's get more from Alex, who is at the European Parliament in | :02:54. | :03:11. | |
Strasbourg for us. Then outlined the proposals, but not all MEPs are on | :03:12. | :03:18. | |
board. What are their concerns? Most of them like the idea of this, none | :03:19. | :03:21. | |
of them would want their constituents to go away, come back | :03:22. | :03:28. | |
with a big bill, and the very principle of being able to move, | :03:29. | :03:34. | |
travel, work freely between EU states is one of the basic guiding | :03:35. | :03:40. | |
elements of the European Union. It is the detail of the specific | :03:41. | :03:45. | |
proposal. Some of the concerns MEPs have is this has taken such a long | :03:46. | :03:49. | |
time to negotiate, has been so complicated, that they say it has | :03:50. | :03:54. | |
left a few loopholes. It could allow a few extra surcharges to be put in | :03:55. | :04:03. | |
so it is a watered down version. Others suggest mobile phone | :04:04. | :04:09. | |
companies that will be losing out could push prices up for everybody. | :04:10. | :04:15. | |
Those in favour of this legislation say there are safeguards to prevent | :04:16. | :04:17. | |
those things happening, a limit on how much travel you can do and | :04:18. | :04:23. | |
regulations to make sure that telecoms firms don't spread the cost | :04:24. | :04:30. | |
of this elsewhere, but all that concern means despite the years it | :04:31. | :04:35. | |
has taken to get to this point, it looks likely to go ahead but is not | :04:36. | :04:42. | |
quite a done deal. It has been a long, long process and even if it | :04:43. | :04:48. | |
does get voted through we are still looking at 2017 for application. Why | :04:49. | :04:54. | |
such a long time and also, give us the reaction from mobile phone | :04:55. | :05:01. | |
companies to this. Nothing is ever that straightforward in the European | :05:02. | :05:06. | |
Union because the gritty Haixun 01 takes place between 28 countries. | :05:07. | :05:11. | |
The phased approach is because this is part of the deal that has been | :05:12. | :05:16. | |
agreed after lengthy talks. From next year there will be the cost for | :05:17. | :05:26. | |
things like data usage. -- there will be limit. Another reason for | :05:27. | :05:31. | |
the delay is this is wrapped up in another concept, introducing the | :05:32. | :05:36. | |
idea of net neutrality. That is the idea that everything needs to be on | :05:37. | :05:40. | |
the same playing field regardless of where it comes from. That is a | :05:41. | :05:45. | |
complicated concept and because they are interlinked that has slowed the | :05:46. | :05:49. | |
process down. Mobile phone companies, because it has taken so | :05:50. | :05:53. | |
long to get to this point, have had some time to prepare but there does | :05:54. | :05:59. | |
remain that concern from critics who say despite the safeguards, there | :06:00. | :06:04. | |
could be mobile firms who want to recoup the money in other ways. | :06:05. | :06:12. | |
Thank you very much, we will be updated when the vote takes place. | :06:13. | :06:16. | |
In the meantime, let's bring you up with other news. | :06:17. | :06:18. | |
Fast food chain Burger King has opened its first outlet in Mongolia, | :06:19. | :06:20. | |
joining companies from Pizza Hut to Porsche | :06:21. | :06:22. | |
in anticipating an economic boom sparked by copper and gold mining. | :06:23. | :06:25. | |
A large, sparsely populated nation, landlocked between China | :06:26. | :06:27. | |
and Russia, Mongolia still has no McDonalds or Starbucks. | :06:28. | :06:38. | |
Indonesia's president says his country will join transpacific | :06:39. | :06:45. | |
partnership deal. He cut short his visit to deal with the worsening | :06:46. | :06:51. | |
haze situation in his country. Maggi noodles will be back on the | :06:52. | :06:54. | |
shelves across India next month. In May, food safety authorities | :06:55. | :06:57. | |
banned the production and sale of the noodles made by Swiss giant | :06:58. | :07:00. | |
Nestle - after claims they contained That ban was later overturned but | :07:01. | :07:03. | |
400 million packets were destroyed. It is a busy day and you can take a | :07:04. | :07:22. | |
look at the stories as they break online. Among the big companies | :07:23. | :07:29. | |
reporting, BP, but also this story caught our attention about Walmart | :07:30. | :07:36. | |
looking to the skies. In the same way that Amazon has looked for | :07:37. | :07:42. | |
permission to deliver via a drone, Walmart are also looking for that | :07:43. | :07:46. | |
permission. They need approval from the authorities to be able to do | :07:47. | :07:50. | |
that, particularly to fly drones over populated areas. A lot more | :07:51. | :08:03. | |
they're coming. Also, the growth numbers in the UK. Andrew Walker, | :08:04. | :08:07. | |
one of our economic correspondence, talking about that at 9:30am. Keep | :08:08. | :08:15. | |
your comments coming in. We asked you at the start of the programme, | :08:16. | :08:21. | |
what would you like to call your boss? Many of you getting in touch, | :08:22. | :08:26. | |
using words we cannot read out on the television! | :08:27. | :08:29. | |
Let's take you to Asia now, where India's largest carrier IndiGo has | :08:30. | :08:32. | |
launched the country's biggest stock market listing in three years. | :08:33. | :08:35. | |
Rajeshni is following the story from our Asia Business Hub in Singapore. | :08:36. | :08:41. | |
Tell us more. That is right. This is a chance to invest in one of the | :08:42. | :08:52. | |
world's fastest-growing travel markets. This budget airline is | :08:53. | :09:03. | |
India's only consistently profitable carrier, in what is a very | :09:04. | :09:07. | |
competitive market. We have seen other airlines grounded. The | :09:08. | :09:16. | |
government has been forced to bail out another budget carrier. So | :09:17. | :09:24. | |
IndiGo is a real success story. The low-cost airline is earning two | :09:25. | :09:33. | |
thirds of the market. There is a bit of a revival in the IPO market in | :09:34. | :09:37. | |
India right now. A pretty lacklustre session in Asia | :09:38. | :09:38. | |
- as investors wait for news from the US Federal Reserve - America's | :09:39. | :09:41. | |
Central Bank begins two days of deliberations today - even though | :09:42. | :09:43. | |
it's highly unlikely we'll see any Not least because the | :09:44. | :09:47. | |
European Central Bank signalled last week that it could be prepared to | :09:48. | :09:49. | |
inject even more stimulus into the sluggish economy, and there's | :09:50. | :09:52. | |
also that little matter of China's The Bank of Japan also | :09:53. | :09:57. | |
meets later this week. In Europe we're waiting | :09:58. | :10:02. | |
for the first reading of UK economic It's due within the hour - | :10:03. | :10:05. | |
and expected to come in slightly But crucially these numbers won't | :10:06. | :10:10. | |
include the big jump in September's It may be the biggest week of the | :10:11. | :10:36. | |
season but two companies are sure to grab lots of headlines, Apple and | :10:37. | :10:51. | |
Alibaba. With much of Apple's revenue collected abroad, the strong | :10:52. | :10:55. | |
dollar might weigh on the results. M3 Mac is grappling with lower | :10:56. | :10:58. | |
consumer spending. Investors will consumer spending. Investors will | :10:59. | :11:00. | |
want to know how they are coping with the economic slowdown in China | :11:01. | :11:06. | |
-- Alibaba is grappling. America's Central bank begins a meeting on | :11:07. | :11:11. | |
interest rates. No change is expected. Very busy in the states. | :11:12. | :11:21. | |
So much to talk about. Where do you want to start? I think the | :11:22. | :11:27. | |
interesting thing today is the BP News, the key thing is whether they | :11:28. | :11:34. | |
can hold the dividend up. BP is such a massive company, a lot of | :11:35. | :11:41. | |
pensioners depend on that dividend, so keeping that up is important to a | :11:42. | :11:46. | |
lot of people. Just to mention, heard quarter replacement cost | :11:47. | :11:51. | |
profits coming in at $1.2 billion, that is almost half compared to the | :11:52. | :11:56. | |
previous year. No big surprise. A little bit better than expected, the | :11:57. | :12:01. | |
stock was up a couple of percent. What they are trying to do is hold | :12:02. | :12:04. | |
up the dividends, hold up the amount they pay out by reducing | :12:05. | :12:08. | |
expenditure. Capital expenditure keeps coming down, profits are | :12:09. | :12:15. | |
holding up a little bit better than expected, which gives them some | :12:16. | :12:19. | |
chance of maintaining that evidence. The yield on these things is running | :12:20. | :12:24. | |
at 7%. These are very attractive. If you can hold that up, it is the key. | :12:25. | :12:30. | |
We get another snapshot of the UK economy at 9:30am. We will find out | :12:31. | :12:37. | |
what the GDP number did. Expected to come in slightly below the second | :12:38. | :12:41. | |
quarter. That is partly the slowdown in manufacturing. There are two | :12:42. | :12:47. | |
aspect to the UK growth dynamic. The domestic confidence is doing pretty | :12:48. | :12:54. | |
well, 15 year high, what is going on is going well, unfortunately, | :12:55. | :12:55. | |
exports are under pressure, so many exports are under pressure, so many | :12:56. | :13:05. | |
parts of the world have had a bad 12 months. Putting that together, it is | :13:06. | :13:12. | |
still not a bad result. Thank you very much. Mike will return in about | :13:13. | :13:19. | |
five minutes. Other companies reporting this week. It is all | :13:20. | :13:25. | |
happening. We will have all the figures here. | :13:26. | :13:26. | |
We'll get the inside track on life at the centre | :13:27. | :13:30. | |
Former US Fed Chairman Ben Bernanke sits down with our economics editor | :13:31. | :13:33. | |
- to discuss what it was REALLY like to run America's Central Bank | :13:34. | :13:37. | |
during the depths of the global economic meltdown. | :13:38. | :13:38. | |
Oil giant BP has reported a sharp fall in profits blamed | :13:39. | :13:46. | |
Tanya Beckett is in the Business Newsroom and | :13:47. | :13:51. | |
As we just discussed, these coming in slightly better than expected, so | :13:52. | :14:02. | |
we can see the share price up slightly this morning. , -- yes we | :14:03. | :14:11. | |
can, this is a price has been hit by two factors. They are saying it has | :14:12. | :14:23. | |
paid out $50 billion in relation to the deepwater horizon disaster, it | :14:24. | :14:29. | |
is still not completely past that. This is what I think is interesting | :14:30. | :14:34. | |
about this share price. You see it falling about 16% over the last year | :14:35. | :14:43. | |
has fallen further. Investors are has fallen further. Investors are | :14:44. | :14:48. | |
looking at the balance of business oil companies. How much is Upstream, | :14:49. | :14:53. | |
how much is downstream, to what extent are they insulated against | :14:54. | :14:58. | |
projects? They are taking a very nuanced look. It is important, the | :14:59. | :15:14. | |
FTSE 100 has been hit. Just a brief word on GDP figures. I expect them | :15:15. | :15:24. | |
to come in a little lower than in the second quarter. Partially offset | :15:25. | :15:26. | |
because we've not got the retail figures. Also that slowdown in | :15:27. | :15:30. | |
manufacturing. There is a slightly more gloomy | :15:31. | :15:40. | |
interpretation, because of the fall from the Chinese market. That is | :15:41. | :15:44. | |
dented confidence and raised the question, what is happening in terms | :15:45. | :15:48. | |
of the transition of the economy. And there might be some confidence | :15:49. | :15:53. | |
going out. Martin Sorrell of DWP yesterday was saying there is a risk | :15:54. | :15:57. | |
of aversion creeping back into the market. And worries about if people | :15:58. | :16:02. | |
can access credit. That might be affecting how companies are | :16:03. | :16:05. | |
performing, or have done, in the last quarter. Thank you very much. | :16:06. | :16:12. | |
The other big story which is big business implications is Chancellor | :16:13. | :16:15. | |
Osborne now having to rethink his Autumn Statement following the House | :16:16. | :16:23. | |
of Lords voting against his tax credit situation. | :16:24. | :16:25. | |
You're watching Business Live - our top story - the European Parliament | :16:26. | :16:27. | |
is expected to vote through new laws on roaming charges in Europe that | :16:28. | :16:31. | |
could save you a bundle when travelling in the continent. | :16:32. | :16:35. | |
More details on that online. You are looking at the man who had a | :16:36. | :16:42. | |
ringside seat at one of the most turbulent periods of our economic | :16:43. | :16:43. | |
history. From the boom days of global stock | :16:44. | :16:45. | |
markets to the height Ben Bernanke led America's Central | :16:46. | :16:48. | |
Bank - the Federal Reserve for 8 He saw out pretty | :16:49. | :16:52. | |
turbulent times. He was at the helm - | :16:53. | :17:02. | |
and played a crucial role in the He took the bank | :17:03. | :17:05. | |
into uncharted territory and made some bold moves during his time in | :17:06. | :17:13. | |
the top job. He oversaw the takeover of | :17:14. | :17:16. | |
Bear Stearns by JP Morgan He introduced a programme | :17:17. | :17:18. | |
of quantitative easing - pumping hundreds of billions of dollars into | :17:19. | :17:22. | |
the economy, and lowered interest rates 10 times - from 5.25 to its | :17:23. | :17:30. | |
current near 0%. As chairman, Ben Bernanke also | :17:31. | :17:34. | |
increased the Fed's transparency holding quarterly press conferences | :17:35. | :17:36. | |
to explain policy decisions. Some criticised him | :17:37. | :17:41. | |
for not seeing the crisis coming, while others questioned | :17:42. | :17:44. | |
his maverick policies. He has written a book and sat | :17:45. | :17:48. | |
down with our Business Editor The media wouldn't let us forget, | :17:49. | :17:53. | |
the politicians wouldn't let us We went to President Bush to talk | :17:54. | :18:04. | |
to him about the crisis in 2008. He basically said, | :18:05. | :18:10. | |
you guys are in charge, what ever The amount | :18:11. | :18:12. | |
of noise was extraordinary. How difficult was it to | :18:13. | :18:15. | |
make rational decisions? The news was playing it up, | :18:16. | :18:20. | |
as they appropriately should have. Inside the Fed there was | :18:21. | :18:31. | |
a cloistered feeling at times. We were able to sit together | :18:32. | :18:34. | |
and analyse. I always tried to focus | :18:35. | :18:36. | |
on the immediate task. The testimony the next day, | :18:37. | :18:44. | |
the memorandum I was working on, so I did focus and concentrate | :18:45. | :18:46. | |
on what had to be done. Nothing quite as severe | :18:47. | :18:52. | |
as this had happened since the late 20s, early 1930s, how prepared was | :18:53. | :18:55. | |
the Fed as an institution to deal There had been some work done after | :18:56. | :18:58. | |
9/11, which obviously disrupted the There had been some work, | :18:59. | :19:08. | |
contingency planning, things of that sort, but nothing really | :19:09. | :19:17. | |
prepared the Fed or anyone, really, for a crisis of this scope and | :19:18. | :19:20. | |
nature as the one we saw in 2008. One of the things you point out is | :19:21. | :19:24. | |
that over here in the UK the governor of the Bank of England | :19:25. | :19:27. | |
was very concerned about what The idea that if you bail banks out | :19:28. | :19:31. | |
they are then more likely to take risks in the future because they | :19:32. | :19:39. | |
know they are going to be saved. Why were you less concerned about, | :19:40. | :19:42. | |
in a sense, That is | :19:43. | :19:44. | |
a perfectly legitimate concern. Early on in 2007 we were trying to | :19:45. | :19:52. | |
balance those issues, try to figure But there comes a time | :19:53. | :19:55. | |
when the situation is sufficiently severe that you have to | :19:56. | :20:04. | |
respond. In order to punish some individuals | :20:05. | :20:07. | |
on Wall Street, you don't want to What we tried to do, | :20:08. | :20:10. | |
and what we could, was to make sure the companies that | :20:11. | :20:19. | |
were being helped did not benefit Pulling together all of your | :20:20. | :20:22. | |
experience over the last few years, do you think politicians, and indeed | :20:23. | :20:26. | |
people, expected rather too much of central banks, and should have | :20:27. | :20:29. | |
expected rather more of governments? Yes, I think that way too much | :20:30. | :20:31. | |
of the burden has been placed People complain about quantitative | :20:32. | :20:34. | |
easing, low interest rates, well, the central banks are trying to use | :20:35. | :20:52. | |
the tools they have to accomplish If we had a more balanced monetary | :20:53. | :20:55. | |
mix, for example, the US, as well as Europe and the UK, central banks | :20:56. | :21:04. | |
could do less and some of those Have the politicians | :21:05. | :21:07. | |
learned those lessons? I think the politicians have been | :21:08. | :21:12. | |
too focused on near-term budget cuts You became a sort of brand | :21:13. | :21:15. | |
for the world. On you Tube, all over the Internet, | :21:16. | :21:20. | |
was this idea of "The Bernanke" saving the world - | :21:21. | :21:28. | |
how did that feel? CHUCKLES I was a big part | :21:29. | :21:31. | |
of both those in favour of what we were doing, and those who | :21:32. | :21:34. | |
opposed what we were doing. It wasn't always comfortable, | :21:35. | :21:38. | |
but it comes with the job. In | :21:39. | :21:45. | |
CHUCKLES That should do they should get their | :21:46. | :21:48. | |
on programme. Mike is back to look at some | :21:49. | :21:49. | |
of the papers. We have to talk about James Bond. | :21:50. | :21:59. | |
Premiere last night. We know it is a moneymaking machine, but this | :22:00. | :22:02. | |
article in the Financial Times lays that out even more clearly. ?2500 | :22:03. | :22:09. | |
tuxedo, ?500 boots, things you don't even see in the film they are paying | :22:10. | :22:13. | |
a lot of money to be involved. That's right. Couple of angles to | :22:14. | :22:18. | |
this, one is the power of the brand. Classically people thought of it as | :22:19. | :22:22. | |
a British brand. If you look at the companies involved, they are not all | :22:23. | :22:26. | |
purely British brands. There is an international aspect of this. There | :22:27. | :22:32. | |
was the ability to use that. As you say, ?2500 for a tuxedo. I can | :22:33. | :22:37. | |
safely say I went been buying one of those, but that is the association. | :22:38. | :22:40. | |
CHUCKLES It is not as if you will go out, you | :22:41. | :22:45. | |
saw it in the film, I want that watch, that suit, it is just the | :22:46. | :22:52. | |
association with the brand and power that Bond brings. That's right. You | :22:53. | :22:56. | |
don't have to get straight sale. If you look at some of the designers | :22:57. | :22:59. | |
involved, selling through regular stores that we go to, like high | :23:00. | :23:04. | |
street shops. If you can make that transition then it becomes a | :23:05. | :23:07. | |
powerful marketing tool, and that is what you can see here. Quite | :23:08. | :23:12. | |
incredible. Let's go from one British brand to another. Oxford and | :23:13. | :23:16. | |
Cambridge. Looking at the competition between them. We think | :23:17. | :23:20. | |
of the boat race, but this is actually about technology, tell us | :23:21. | :23:26. | |
more. Classically, if you go back to the 1970s, I was born in 1970, the | :23:27. | :23:31. | |
Trinity College in Cambridge set up a science park to try and harness | :23:32. | :23:36. | |
some of the research into profitable business activities. That is one of | :23:37. | :23:45. | |
the great industries out there. Oxford, to some degree, is playing | :23:46. | :23:49. | |
catch up. But it is no longer, it has caught up. And it is way ahead | :23:50. | :23:55. | |
if you look at this chart. 169.2 million from Oxford, and | :23:56. | :24:04. | |
Cambridge 162.8 million. It is about selling the research and making | :24:05. | :24:09. | |
money from it, isn't it? Exactly. If you have the ideas in the research | :24:10. | :24:14. | |
centres, centres of excellence, making cash on the back of that is | :24:15. | :24:18. | |
clearly key. To have two centres is good news for us as a country. One | :24:19. | :24:22. | |
of the challenges we have always had is to maintain, you know, the kind | :24:23. | :24:30. | |
of high-tech and productivity growth. The two macro competing is | :24:31. | :24:36. | |
great. -- the two macro competing is great. | :24:37. | :24:40. | |
What do you call your boss, what did your staff call you? | :24:41. | :24:48. | |
Does he want to say. It is all about being friendly, | :24:49. | :24:55. | |
nicknames, improving this idea of a harmonious workplace. Does it really | :24:56. | :25:00. | |
work? We use Christian names. Friendly. My name is Mike, that is | :25:01. | :25:05. | |
what people call me. That works reasonably well. The interesting | :25:06. | :25:11. | |
thing about this is it indicates an economy that is trying to open up | :25:12. | :25:14. | |
and make itself more UK user-friendly. A very century | :25:15. | :25:19. | |
dominated economy where you call everybody boss is the kind of | :25:20. | :25:24. | |
classic historical view. But the idea of creating this culture of | :25:25. | :25:28. | |
inclusiveness and friendliness, but then they will fire you! | :25:29. | :25:36. | |
If you don't behave. -- they will fine you. Hopefully the money will | :25:37. | :25:39. | |
go to a charity, so something good can come out of it if it goes down | :25:40. | :25:44. | |
that route. Thank you, Mike, for being on the programme. Thank you | :25:45. | :25:48. | |
for your messages on Twitter today. We have mentioned some, but some we | :25:49. | :25:53. | |
could not say out loud. Too naughty. Yes, keep them coming. Goodbyes. -- | :25:54. | :25:59. | |
goodbye. The clock change tends to make you | :26:00. | :26:16. | |
think about approaching winter. But where the sun breaks today you might | :26:17. | :26:18. |