18/10/2016 BBC Business Live

This is Business Live from BBC News with Rachel Horne and Sally Bundock.

Paris attempts to romance business away from London

Live from London, that's our top story on Tuesday

Many in the City are sceptical - and think a move to the French

Also in the programme - Shares of Netflix surged 20%

in after hours trading as market watchers binge on the streaming

giant's skyrocketing membership figures.

European markets are open and trading -

and there they are - London, Paris F frankfurt -

and there they are - London, Paris, Frankfurt -

UK waiting for inflation figures due in an hour -

and lots of company news already out and moving the markets.

And empowering young people to get an education and start businesses.

We speak to Lily Lapenna - who's helping to give

them the financial means to achieve their goals.

We want to know which your ideal city is for work and play.

It is no secret that Paris is trying to woo business away from London

The campaign has started - here is the poster:

Reads the ad that La Defense business district in Paris hopes

There are warnings the city of London could lose its position

as the only financial capital to rival New York, if foreign banks

London currently accounts for 41 percent of global

foreign exchange turnover, that is more than double New York -

so says the Bank for International Settlements.

And about 85 percent of Europe's hedge fund assets

are managed in London, which also happens to be the leading

market for international insurance and re-insurance.

With me in the studio is Marie Celie Guillaume,

Director of Defacto - and from the city of

London, Jasper Lawler - from CMC markets.

Good morning. Fork, play on words, is that about the weather or the

confusion of Brexit? An element of both. It is using cliches and is a

humanistic approach, because Brexit is a very serious matter. We thought

it was good to have not too harsh of a campaign and to play on the

cliches we have about each other. For centuries French and English

have been competing, a long time ago they were fighting against each

other and more recently we fought together. It is very important for

us to see that. We are close, we love each other, even though...

There is a strong bond between the French and the British. Before we

bring in Jasper, why do you think Paris has got the edge? Since the

referendum result many cities have been talking about why bankers need

to go to the city. Why Paris? Paris is the centre of Europe, it is in

the middle of Europe, we have a thriving business ecosystem, half of

the companies are international, it's a very good place to do

business and a very nice place to live in. That's a strong argument

because when moving many employees, they will want to think about where

they will want to live. Let's move to Jasper. We've heard the arguing

for Paris but what is the argument for London? I would question whether

London is any less foggy than Paris? I'm not sure if that's true. This

argument about jobs moving from London to Paris is problematic for a

couple of reasons. I think Paris, whilst being a great city, equally,

Frankfurt, Dublin, London just has it all. And so, while Paris might be

good in certain areas, we've got to remember London is bringing over

people, jobs, not just jobs, people behind those jobs, the culture, the

museums, the schools, people send their kids do, these things need to

be considered if there is a mass exodus of people taking place.

Secondly, the whole premise of this is the passport debate, London's

access to Europe's tanking centres. That's a big?. It works both ways,

European firms use it to access London, London uses it to access

European firms. The result of the negotiations is going to be an

agreement that works for both until there going to be the need to move

the jobs. Jasper makes some good points there. France is known to be

notoriously difficult when it comes to Labour laws. Although bankers may

move easily, financial services may need to hire in France. Hiring and

firing is very difficult there. It puts people off. It is not difficult

but it is true that those laws need to be made more flexible. This has

already started this year, there was a reform that made it more flexible

and there are discussions going on and there is a very strong consensus

between the Socialist party that is currently running the government and

the Conservatives, we will go to more flexibility concerning higher

wages. Think is a much freer time. Thank you for joining us. We

appreciate your time this morning. Netflix has shaken off growth

worries with new subscriber numbers that beat estimates

and sent its shares soaring. The video streaming company added

3.2 million international customers in the last three months,

far more than the 2 million In the US, numbers rose 21%

to 370,000 as hit shows such as Stranger Things and Narcos won

over more subscribers. Samsung says it will compensate

companies that made parts for the now discontinued

Galaxy Note 7. The South Korean tech giant added

that it would also look to offer the firms other work

to cushion the blow. The Note 7 was recalled last month

after battery fires, but when replacement phones

experienced the same problem, According to the Reuters news

agency, the troubled German finance giant Deutsche Bank has agreed

to pay 38 million dollars to settle a silver price-fixing case

in the United States. The case is understood to have

involved allegations that the bank illegally conspired with other

institutions to fix silver prices Another story making the headlines

today in Asia is a Chinese company that wants to attract Hollywood.

Karishma Vaswani is in Singapore tell us more.

Nice to see you. Yet another attempt by China's richest man to forge

closer ties with US film-makers. After buying over cinema chains,

Dalian Wanda is trying to lure Hollywood to China's Soros. It is

owned by China's richest man and they will give huge discounts to

film at their new studio in Qingdao province. It is thought to be worth

$5 billion. It opened its first Studios earlier this month and will

be completed in 2018. They've set up a fund to give rebates to movie

makers of 14%. The firm is aiming to attract Hollywood directors to

China. They have dismissed concerns that this is a takeover of

Hollywood, instead saying this is an opportunity for American film-makers

and should not be seen as competition. Let's have a look at

the markets. Stocks in Asia climbed thanks

to a rebound in the oil price. Analysts are now thinking the market

isn't as oversupplied Investors also eagerly waiting

for China's GDP figures In Europe, shares were down

yesterday but today. Keep an eye on the FTSE 100.

Inflation figures out in less than an hour.

And Samira Hussain has the details about what's ahead on Wall Street

Yahoo will be reporting figures on Wednesday. Investors will be asking

about the huge that breach. Remember Yahoo is being backed by Verizon so

investors will be looking for updates on that. Goldman Sachs will

be reporting. The Wall Street bank has been cutting jobs and

streamlining its business to make up for the low resonant -- low revenue

environment banks are experiencing. And as inflation edging towards the

Federal reserve's goal of 2%? We will find it later today.

Joining us is James Hughes, Chief Market Analyst

Were you listening in earlier? London, I would say. I would like to

stay. It would take a lot of business movement to make London not

the financial capital. We would be talking 50% of the businesses

moving. We don't know that Brexit is that bad.

Let's move on to net flicks, what is going on with the company? I think

this was a big surprise because we expected, the majority of the

saturation is in the US and they've spent a few derides of money pushing

into every country with high-speed broadband. The have said they will

keep moving. Burberry and Ryanair, without warning, but Burberry survey

will be -- said they will be boosted by weaker sterling. Absolutely.

Burberry are a luxury goods, and only 10% of their sales are UK

consumers. A lot of that is international business. People

coming over to the UK and spending money in it. You can see why that is

positive. People flying away on holiday from within the UK it is not

such a good story. Thank you very much. We will be discussing other

stories in about five minutes. We'll speak to the founder of

an organisation called MyBank that gives micro loans to young people

to help them achieve their goals. Now a look at some of the stories

from around the UK. Ryanair has cut its profit forecast

for the year by 5%. They're blaming

the fall in the pound. The airline is saying this is

largely due to the drop in the value of sterling since the EU referendum.

You might ask, why is an airline based in Ireland so worried about

the value of the pound? Quite simple, a lot of the customers are

UK based. About a third of the revenues are in sterling. When

sterling declines the revenue go down. Look here. This is the last

month's share price. You can see the concerns over the value of sterling.

They've been weighing on the share price. Don't forget, Ryanair

operates in a very competitive market. When you're trying to

attract those low-priced customers, Tom petition with the likes of

easyJet and problems in the airline market, the holiday market in

particular, with the attacks in Turkey and Tunisia, it mounts up, so

Ryanair says at the moment the revised guidance applies but if the

pound falls farther we could see profits falling farther. That said,

they will still be higher than last year. The planes are reasonably

full. Let's talk about ASOS, they have had strong results. Revenues

are up 26%, they've been doing a lot more sales and profits are up 37%.

The reason I mention them is they've taken a 21% hit to settle copyright

issue. That aside, they've been doing reasonably well. One of the

eerie as -- areas they been doing well is mobile. That is proving

productive at the moment. News from Visa. The boss is leaving

the company. His family are on one side of America and his job is on

the other side and it is too difficult for his work-life balance.

He will be replaced by Alfred Kelly. He's a former president of American

Express. Our top story, Paris Je T'aime,

the French capital attempts to romance business away from London

as Brexit negotiations loom. A quick look at how

markets are faring. They are all green in Europe. Look

at France, up well over a 1%. I wonder if traders are watching our

programme and they're buying France today!

That's the markets as they stand in Europe.

Now, how do you improve financial literacy among young people and help

them become the entrepreneurs of the future?

Well, one organisation that's been successful in the field is MyBnk.

Now, after nine years in business it has reached 150,000

It has a presence in seven countries from France to Uganda.

It helps young people with mentoring and financial education

MyBnk's founder Lily Lapenna is with us in the studio.

She is with us in the studio. Thank you Lily for taking the time join us

this morning. Explain to us a bit more about what MyBnk is? Is it a

business? Is it a charity or social enterprise? It is a combination of a

charity and social enterprise. We earn a lot of revenue through grants

and foundation and corporate partnerships, but we are starting to

develop a consulting arm out of MyBnk that helps us to leverage

everything we've created and sell it on and we also started to charge

schools for the services that we provide. What inspired you to do

this? I was working in Bangladesh on micro-finance and I came back to the

UK and realised that a lot of my friends were leaving university in

huge amounts of debt and didn't know what APR was. I left university with

a lot of debt and I know for young people today in the UK, because in

my day, I could get a Government grant, but that facility is not

available. So there are a lot of young people putting off thinking

about further education because of the cost? Absolutely. There is a

real fear attached to debt. I think one in about a third of young people

fear debt over a fear of spiders. A lot of first generation students to

go into university, the first generation within their families are

struggling with this issue how much will it cost? And how much will I be

able to pay this back? We support them through a series of programmes.

It really brings to light everything they need to know around their money

and their relationship with money throughout and preuniversity. We

heard yesterday from the deputy governor of the Bank of England

saying there does need to be more financial education in schools. What

age are you aiming at? Are you starting young or waiting until

people are making the university decision? When are you trying to

reach them? We start at the age of 11 and we go up to 25. We work in

schools, we work in prisons and we work in youth organisations and what

we've really learned is the most important time to intervene is just

in time. So just as they are about to make a transition in their life,

from primary to secondary, from secondary to an apprenticeship or to

university. Or when they get into their first job. We see that there

are a lot of issues around starting to go into your first job. All the

questions that come up around pensions. Don't you think this

include be a part of the curriculum in schools? It is. It is already? To

what extent? Look, there are issues around it. All the financial

education providers got together and created an all-party group and we

got finance into the curriculum. There is not enough Government

support going into schools to pay for this. Teachers and schools know

it is fundamentally important and it means that organisations like ours

are able to go in and access some of those budgets, but we really feel

there should be more Government support. Clearly, you're really

passionate about this, there is no doubt about it. It is something you

kind of started as it were, but when you became a mum, it took more of a

back seat or not? How would you describe the change in your role? It

became more blended. There were certainly other priorities as well

in my life and so I did a, I went down a flexible approach. Guy Rigden

joined me. It is something I truly believe works. You get the best of

both minds and you know, we were able to have quality time with our

families. You've worked across many countries. What has been your

biggest success story or a story that's really stuck with you? There

are so many wonderful stories. Today, I was reading about some, a

young student in Senegal where we have been working who set-up, who

took out a small loan and they set-up a head massage company and

they were doing this around local markets. It was going so well, they

were able to use the profit to build a library for their school. That was

a fantastic story. In the UK, we see young people like for example Dan

who I refer to often because I got to meet him recently. He had applied

for 80 jobs and got no responsement he started to feel there was

something really wrong with him. He joined one of our enterprise

programmes. Took out a small loan and set-up a project. Was then able

to go on site and visit different companies and realise that people

working in businesses were not that different to him. He then applied

for 12 jobs and got called in, I think, for four interviews and

landed his first job, so we were able to turn around his mindset to

feeling actually I have a place in the job market. Lily, it is really

good to meet you and all the best with MyBnk. A nice positive money

story there. All this week, we are hearing

the personal stories of workers and entrepreneurs who are driving

what's known as the gig economy. Today we're meeting Tim Norton -

who despite being was saddled with more than $500,000 debt

from two failed companies, now runs a thriving video production

platform called 90 seconds. 90 Seconds is a world's Cloud video

production platform. It has got a network

of video creators all over They are people that can shoot

and edit and do graphics and on the other side of the market

you've got brands who are making Normally they'd go to

production companies, 90 Seconds let's them

all do that on the Cloud. It is not as simple

as coming and building a technology platform

and getting a demand and saying

the world is a better place. It is disrupting people's income

flow and when you do Our job now how do we make

this for everybody? It is something we have to keep

asking and it is something James has returned. Tell you some of

the viewers views on the Paris-London-Frankfurt debate. Rich,

Paris. London is too stressful. I found Frankfurt a little dull. Pat

is saying how about Dublin? Are you flying the flag for Dublin? Yes.

Nick says, "Frankfurt is the dullest place I have ever been in my life."

Another viewer says, "London is rather dull. James, you've said your

view. I like Sue's response. She says Paris and London, a mix. Lunch

breaks, the week in Paris, home to London with the hubby and the kids

at the weekend. Sue, that sounds like a plan. This is interesting,

investors seem to think Hillary Clinton really will take on big

farmer, ie the big pharmaceutical companies and the stocks are

sensitive? It is probably one of the sectors most at risk. Hillary

Clinton has been big on her confounding of what the

pharmaceutical companies do in something called price gaunlging.

When they really ramp the price of a drug up when it is at its most

needed to be perfectly honest. Of course the drug companies are one

way saying on one side look, this is not, this doesn't help production

and investment going forward and making these drugs better, but the

big fear is, of course, one area is that the pharmaceutical companies

have ploughed millions of dollars into the Hillary Clinton campaign to

get her the presidency. So the question has always been, if she

does get in, which is looking more likely at the moment. If she does

get in, does she actually go after them? Before we move on, it is the

next TV debate, Wednesday night, the third and final. Are you staying up

for it? I'll be here! I have no choice! Rachel. We heard Apple doing

some major lay-office, 1,000 jobs from Project Titan. They have done a

handbrake and gone for artificial intelligence in a very public

announcement that they have launched a new Director of I, they are trying

to get into the AI drive. The only public AI is Siri and has been

panned for not being intelligent enough. They're usually secret by

their AI and their intelligent robot situation and how much they invest

in it and who they have working with it, but this seems to have gone the

other way and let everyone know exactly who they're hiring and what

they're doing. Interesting. James, it has been good to see you. Steve

says there is a reason why there is a big moat around the UK! See you

soon. Hello there. Step outside today and

you may well notice a slightly different feel to the weather.

Temperatures have