:00:29. > :00:32.She survived. It is time for Show Welcome back to Show Me The Money,
:00:32. > :00:36.your weekly guide to who is making the cash, how they're doing it and
:00:36. > :00:40.had what it means for the way we work. Showing us that running a
:00:40. > :00:43.charity is more than child's play, Camila Batmanghelidjh, the chief
:00:43. > :00:47.executive at Kids Company. Dr Andrew Sentance, he wanted interest
:00:47. > :00:50.rates to rise when he was one of the people in charge of borrowing
:00:50. > :00:54.costs at the Bank of England. We will find out if he still does.
:00:54. > :01:00.Lucy Armstrong is the voice for small business that the big bosses
:01:00. > :01:04.club, the CBI. So, will there be a crackdown on boss's pay? All the
:01:04. > :01:06.big parties say they is too much money for two little success and
:01:07. > :01:12.today, David Cameron said shareholders should get more power
:01:12. > :01:15.to take on directors in the boardroom. Labour says he should go
:01:15. > :01:18.further and put someone representing workers into the
:01:18. > :01:23.boardroom when we make their decisions on top pay. Lucy
:01:23. > :01:27.Armstrong, you need hands talk to small businesses across the country
:01:27. > :01:31.all the time -- you meet and talk to. A lot of them are annoyed about
:01:31. > :01:35.how much pay the big bosses of the biggest companies get. I think they
:01:35. > :01:37.are but I think it is because they hold a dual responsibility of being
:01:37. > :01:42.both shareholders and directors whereas in a large business those
:01:42. > :01:45.roles are separate. Most businesses I spend time with an represent in
:01:45. > :01:49.this recession and the credit crunch, the owner and the managing
:01:49. > :01:53.director normally the same person, were the first person to take a pay
:01:53. > :01:57.cut, the first person to suspend paying themselves. We Whinnerah
:01:57. > :02:01.Landes -- when you are in a large bureaucracy it is rather different
:02:01. > :02:04.but perhaps shareholders need to exert more power over the board of
:02:04. > :02:09.directors, or need to set a clearer framework and guidelines. It is
:02:09. > :02:13.about transparency and honesty and about a fair reward for a fair and
:02:13. > :02:16.good outcome and no rewards for failure. I wonder if this business
:02:16. > :02:22.about giving shareholders more power is a red herring, because
:02:22. > :02:26.shareholders already do vote on top -- on pay for top bosses. It is
:02:26. > :02:31.like some of the election returns that we used to see in countries
:02:31. > :02:35.with mid- elections. 80, 90, 95% of shareholders will routinely say,
:02:35. > :02:40.yes. They will and that is the large pension funds. One of the
:02:40. > :02:43.issues is that large pension funds represent people like you and me
:02:43. > :02:48.and we don't exert much influence on our pension funds about our own
:02:48. > :02:52.views about rewards. I think the other thing is shareholders'' votes
:02:52. > :02:55.come way after the pay has been agreed by the remuneration
:02:55. > :02:58.committee at board, so there has to be something a bit more
:02:58. > :03:02.sophisticated than simply bolting the stable door after the horse has
:03:02. > :03:06.already shot out, probably some years ago. Andrew Sentance, looking
:03:06. > :03:10.at the effectiveness of some of these proposals, would giving
:03:10. > :03:14.shareholders more authority, more power, make any difference? I think
:03:14. > :03:18.the key here is to make sure that the processes within business are
:03:18. > :03:22.working properly because cities after all in businesses' interest
:03:23. > :03:26.to get this right. Business is a team effort. It is not determined
:03:26. > :03:30.by what happened -- happens at the top, it is determined throughout
:03:30. > :03:34.the company. People get demotivated if they feel the rewards are not
:03:34. > :03:39.distributed fairly and quite rightly so. So it is bad economics
:03:39. > :03:45.to have a big, disproportionate gap between the very top eight and to
:03:45. > :03:49.pay for everyone else? Welcome I think to see in a business that
:03:49. > :03:54.different groups are not sharing in the fortunes or the difficulties of
:03:54. > :03:58.the business is obviously a negative signal, so it is quite
:03:58. > :04:02.important that business sorts this out and I am sure that is the
:04:02. > :04:06.direction that many companies will want to go. Another option might be
:04:06. > :04:11.instead of fiddling around with powers for shareholders, just use
:04:11. > :04:16.tax? I don't think we need to get too heavily into tax and regulation
:04:16. > :04:20.in this area. We already have quite a high tax rate on higher incomes
:04:20. > :04:24.and is already a contentious -- contentious issue as well. Camila,
:04:24. > :04:28.do you care what the bosses of our biggest companies are paid? I care
:04:28. > :04:33.what they do with their money. I would like them to donate to
:04:33. > :04:37.charity is an to put it back in the community. I think David Cameron
:04:37. > :04:41.should actually think about measuring companies and bosses in
:04:41. > :04:44.terms of how much contribution they are making to do that -- to the
:04:44. > :04:49.community at Chase those who are tax-dodging. In fact I would be
:04:49. > :04:54.very interested to see if they went after the people who are tax-
:04:54. > :04:57.dodging, versus the adjustments in pay, which one of those would bring
:04:57. > :05:03.the country more money and I suspect actually going after the
:05:03. > :05:06.tax dodgers is worth more energy spending on it. It is a very
:05:06. > :05:11.difficult thing to do, to the social good that an individual is
:05:11. > :05:15.doing, that her boss would do? you can have an index of how much
:05:15. > :05:19.charitable giving, for example, they engage in. There is some
:05:19. > :05:22.company directors who do it, genuinely, and they are
:05:22. > :05:26.philanthropic, but there are others who are pocketing the money. The
:05:26. > :05:30.other argument is these very wealthy people are actually
:05:30. > :05:34.spending money so they are spending their wealth and that in a way
:05:34. > :05:40.contributes to the economy, so you could argue it both ways. I am not
:05:40. > :05:44.into banker Bashir. Thank you, more from our guests in a moment. First,
:05:44. > :05:50.time for Boom or Bust, the stories that you have probably wished you
:05:50. > :05:54.missed this week. Starting with this. It is freezing in the north
:05:54. > :05:59.of China. That did not stop 300 people plunging into an icy pool
:05:59. > :06:04.and calling it fun. It is the 12th annual polar bear swim. They say it
:06:04. > :06:08.keeps them healthy. Events include the 25 metre breaststroke and of
:06:08. > :06:13.the 100 metre dash to the nearest hospital for resuscitation! 100
:06:13. > :06:15.years on from sinking, how do you fancy a job with the Titanic?
:06:15. > :06:19.Would-be employees for a new visitor centre in Belfast are being
:06:19. > :06:24.asked to make a three-minute video on part of the tragic ship's story.
:06:24. > :06:27.They will be given a script which they can act out, or give their own
:06:27. > :06:32.interpretation. If they are successful they will have a more
:06:32. > :06:36.formal interview. Here is how you beat stress and Shanghai, with a
:06:36. > :06:41.pillow fight. You pay your money, pick up your pillow and take out
:06:41. > :06:47.your frustrations with a few soft bags. It is an alternative, I
:06:47. > :06:51.suppose, to have a nice cup of tea and biscuits. Andrew Sentance,
:06:51. > :06:55.jumping into the icy cold water in the north of China. Did that
:06:55. > :06:59.appealed you? It doesn't appeal to me personally but I do remember
:06:59. > :07:03.that in the Christmas period we used to have stories about people
:07:03. > :07:05.jumping into the Serpentine, a think, in London, and that was the
:07:05. > :07:09.big story and I think the interesting thing here is that we
:07:09. > :07:14.are looking at what is going on in China and seeing it as part of our
:07:14. > :07:18.world. We run a very global economic environment and we are
:07:18. > :07:21.increasingly interested in what is going on in Asia and China. Quite
:07:21. > :07:27.rightly because that is where a lot of the future economic prosperity
:07:27. > :07:32.is coming from. We may not follow their example exactly. I think we
:07:32. > :07:38.are increasingly interested in what goes on over there. Lucy, they are
:07:38. > :07:42.taking risks to enliven their lives. In business, risk needs to be taken
:07:42. > :07:46.occasionally to enliven the business. Absolutely. You have to
:07:46. > :07:50.remember that risk and opportunity are two sides of the same coin and
:07:50. > :07:56.it is about taking a leap. You do the same in charities when you have
:07:56. > :07:58.a passion and drive forward. Business is no different. I'd live
:07:58. > :08:03.in Newcastle-upon-Tyne, we did a lot into the water. We call it the
:08:03. > :08:07.local swimming baths. We also do it in the North Sea. That is your
:08:07. > :08:13.summer activities. This does not compare to the hobbies that you
:08:13. > :08:17.have yourself. You are learning to dive. You chainsaw for fun? I do, I
:08:17. > :08:21.learnt to dive off the north-east coast and I can tell you in June it
:08:21. > :08:25.is chilly. By then went to Egypt and died there. It was a little
:08:25. > :08:29.warmer. I could dive in a T-shirt on swimming costume and in the
:08:29. > :08:35.North Sea and needed eight inches of material to keep me from going
:08:35. > :08:39.blue. OK, Camila, the people trying to get a job at the Titanic museum
:08:39. > :08:43.in Belfast, they are having to act and perform and show that they are
:08:43. > :08:47.really engaged in the stories. How do you find the right people for
:08:47. > :08:52.your organisation? We are very lucky at Kids Company. People are
:08:53. > :08:58.queuing up to work with us and I don't have to advertise. I think in
:08:58. > :09:04.15 years I have only ever advertised for two specialists,
:09:04. > :09:09.once, and that was it. One of the techniques we used to find out how
:09:09. > :09:16.good our staff are is that we get our most disturbed kids and get
:09:16. > :09:20.them to act out what they're capable of in terms of damage and
:09:20. > :09:23.insults and see how prospective employees cope with it.
:09:24. > :09:28.improvisation is done the other way round. It is done the other way
:09:28. > :09:33.round. Are you good enough to do this job? Absolutely, because you
:09:33. > :09:39.have to have patience and the whole room descends into absolute giggles
:09:39. > :09:44.and sometimes I get right old staff to act out our most difficult kids
:09:44. > :09:46.and see how new people cope with it. Andrew, did you have to put on a
:09:47. > :09:50.performance for the Governor of the Bank of England when they ask you
:09:50. > :09:54.to be one of the interest rate controllers? No, but I did perform
:09:54. > :09:59.regularly in a rock band in the place I love them music has always
:09:59. > :10:03.been my area of performance, so has been buying interest. But you did
:10:03. > :10:08.not have to turn up with a guitar and a bowler hat to impress? I did
:10:08. > :10:14.turn up at the last meeting of the Monetary Policy Committee, I re
:10:14. > :10:19.wrote the words of a popular song to liven up proceedings. It was
:10:19. > :10:25.Help, by the Beatles. It got a few laughs around the table.
:10:25. > :10:30.stressing tips. How do you de- stress? I go swimming. Chain
:10:30. > :10:34.soaring. I don't church bell- ringing. I don't think of it as de-
:10:34. > :10:37.stressing, I think of it as the whole of my life needs to have
:10:37. > :10:41.different elements that are different unstimulating, some on my
:10:41. > :10:48.own, some with other people, some making money, some giving money
:10:48. > :10:52.away, getting a sense of balance, rather than work is everything.
:10:52. > :10:58.case anyone missed it, you said church bell-ringing. I did say
:10:58. > :11:04.church bell ringing. How do you de- stress? I love silence. Just
:11:04. > :11:08.sitting down and not having any kind of stimulation. Just stillness.
:11:08. > :11:13.How easy is it to get that in this modern world with its hurly-burly?
:11:13. > :11:18.Well, it is difficult but you have to make the time for it. I try and
:11:18. > :11:21.do that, just to be silent. OK, in the points when you are not silent
:11:21. > :11:27.you are running Kids Company and it is a charity, people have different
:11:27. > :11:32.views about what different charities are but yours has 600
:11:32. > :11:36.paid workers, 11,000 volunteers to manage and you provide services for
:11:36. > :11:43.17,000 children. This is quite a major organisation. How do you read
:11:43. > :11:48.it? Well, I think the workers, the staff and the children were at --
:11:48. > :11:52.run it. My role is to find talents in each one of these individuals,
:11:52. > :11:58.volunteers, the children and the workers, and released that talent
:11:58. > :12:01.into the organisation. To do that I'd try and really get to know
:12:01. > :12:07.individuals within the organisation, find what they are good at. For
:12:07. > :12:13.example, one of the best people, the champion of Italy, she had
:12:13. > :12:17.never worked with children but she was absolutely brilliant.
:12:17. > :12:22.rollerblading champion of Italy. Hired for what role? To work with
:12:22. > :12:26.children, it was brilliant. Another time I had Gina, the pub landlady,
:12:26. > :12:30.who had never worked with kids, arrive with two big earrings. No
:12:30. > :12:33.one would have hired help to work with children but I looked and I
:12:33. > :12:37.saw you are going to be brilliant. Now she runs the counselling
:12:37. > :12:42.service. That is a risk for you to take. You are looking at people who
:12:42. > :12:45.might be passed over by other, less cautious employers. What gives you
:12:45. > :12:50.that sense that you have got the measure of person that you judge
:12:50. > :12:55.it? Well, I don't interview like other people interviewed. I'm
:12:55. > :12:58.really into view, digging into their personal life as much as
:12:58. > :13:01.possible, finding out about their relationships, their attachments,
:13:01. > :13:06.because what I am hiring is somebody who needs to have the
:13:07. > :13:10.capacity to love children who were not always lovable when they first
:13:10. > :13:15.start with us. They are difficult, they spit at you, they scream at
:13:15. > :13:19.you, you have to be able to see past that. Really what I am hiring
:13:19. > :13:26.is individuals who can parent children and for that I don't think
:13:26. > :13:30.you need a PhD. You needed a quality of integrity and a passion
:13:30. > :13:36.for the well-being of children. I don't pay much attention to see
:13:36. > :13:41.these at all. You have to raise �40 million this year, in the year when
:13:41. > :13:45.money is tight and families across the country, where companies are
:13:45. > :13:50.afraid to spend their cash because they don't know what is around the
:13:50. > :14:00.corner -- �14 million. How do you persuade individuals and businesses
:14:00. > :14:04.
:14:04. > :14:09.to give money to good causes in It is very, very difficult. I have
:14:09. > :14:14.to work seven days a week to late at night to find different sources
:14:14. > :14:19.of money. But the general public are extraordinary. They have kept
:14:19. > :14:24.Kids Company going. A lot of our customers suffer further off the
:14:24. > :14:29.street hearing about other children who have used our provisions. So we
:14:29. > :14:36.have no commissioning agent. It is difficult for us to generate a kind
:14:36. > :14:42.of business work for example, we take 100 children and certain local
:14:42. > :14:47.authorities pay. We have zeroed local authority funding because of
:14:47. > :14:51.self referral by children. So the general public and the
:14:51. > :14:58.philanthropists have kept Kids Company going. I hope that all keep
:14:58. > :15:04.happening this year. The state of the economy will be on the mind on
:15:04. > :15:09.the people of the Bank of England who set interest rates. Dr Andrew
:15:09. > :15:15.sentence, you are not on the panel anymore. What should they decide
:15:15. > :15:18.about interest rates this week? They will be looking at a couple of
:15:18. > :15:24.things. How the problems in the Euro area and the global economy
:15:24. > :15:27.are affecting the UK economy. Some of the evidence we have had on the
:15:27. > :15:33.UK economy has shown it has been more resilient than some people
:15:33. > :15:37.expected. It is very encouraging so some positive news. The other thing
:15:37. > :15:44.the MPC will be looking at his inflation which has gone up to 5%.
:15:44. > :15:48.It should come down this year. That is the main remit of the committee.
:15:48. > :15:52.And the extent to which they can change monetary policy depends on
:15:52. > :15:57.them getting inflation back to the target of 2%, which is said by the
:15:57. > :16:02.Government. It is a difficult balancing act of course, because
:16:02. > :16:06.you don't want interest rates so high to squeeze out what little
:16:06. > :16:12.growth there is in the economy, but you don't want to be too slack in
:16:12. > :16:15.case it stores up problems in the future. You had argued for some
:16:15. > :16:19.time that interest rates should have gone up at an earlier stage to
:16:19. > :16:26.squeeze at the risk of inflation in the future. Given the state of the
:16:26. > :16:33.economy, D has the right judgement? I think it is the right thing to do
:16:33. > :16:37.in late 2010 and early 2011. But it is not what the Monetary Policy
:16:37. > :16:41.should be doing now because confidence is fragile. They should
:16:41. > :16:46.be taking steps that will build confidence and emphasise stability.
:16:46. > :16:50.But I think interest rate rises will come back onto the agenda
:16:50. > :16:56.perhaps later this year or early next year. You're not recanting on
:16:56. > :17:01.what you thought before? No, there is an important issue that savers
:17:01. > :17:05.in this country have suffered low rates on their savings. We need to
:17:05. > :17:10.get back to normal interest rates, and that to some big the MPC do
:17:10. > :17:15.need to focus on. What is it like in there? I have been on a tour of
:17:15. > :17:19.the Bank of England and I have been shown the room away you sit and
:17:20. > :17:26.there are other powder-blue walls and a chandelier. And a picture of
:17:26. > :17:31.a former governor of the Bank glowering down at you. It felt
:17:31. > :17:38.claustrophobic almost? There is a lot of history around the Bank of
:17:38. > :17:44.England. It has been on the site it is on now since the 18th century.
:17:44. > :17:51.The building itself was rebuilt in the 1920s. The MPC is a mixture of
:17:51. > :18:01.tradition and actually quite a lot of maternity. The Monetary Policy
:18:01. > :18:04.
:18:04. > :18:10.Committee has only been in existence recently. A deal have
:18:10. > :18:14.arguments, bus stops? I am talking about persuasion, not people
:18:14. > :18:19.throwing things around the room. That is the way you would expect
:18:19. > :18:24.things to be conducted at a central bank. There is an important point
:18:24. > :18:28.about this edition of the Bank of England. It stands for the
:18:28. > :18:33.confidence we put in the value of money. And that is ultimately what
:18:33. > :18:38.the MPC is there to do, make sure money continues to retain its venue.
:18:38. > :18:43.On that what lies behind what the MPC does. If we look at but the
:18:43. > :18:48.economy is telling us at the minute, this coming week we will have Argos
:18:49. > :18:54.saying sales will have dropped. Tesco said it has had the worst
:18:54. > :18:58.Christmas in decades. Is there any optimism? Yes, if you spend time
:18:58. > :19:02.with private and family businesses, which is to represent and work with,
:19:02. > :19:05.they are performing robustly. Particularly those who are
:19:06. > :19:11.exporting. If they are exporting into the growing economies like
:19:12. > :19:17.Asia, Brazil, they are performing well. Confidence is really low. It
:19:17. > :19:21.is about getting people to feel the future is positive. The point about
:19:21. > :19:26.interest rates, it is important, instead of hoarding cash,
:19:26. > :19:30.businesses have the confidence to invest, invest in growing so they
:19:30. > :19:36.can have higher employment, then produce more profits and pay more
:19:36. > :19:41.tax and up-country grows out of this. Companies, large companies
:19:41. > :19:47.have huge amounts of money in the bank? I read in the newspaper today,
:19:47. > :19:53.the bill UK multinationals are holding 130 billion of sterling at
:19:53. > :19:56.the moment. Private business is doing the same. I spent my life
:19:56. > :20:00.urging my private business colleagues to invest. When interest
:20:00. > :20:05.rates are only 0.5%, if they don't believe they can return something
:20:05. > :20:08.higher than 0.5% to their shareholders by investing in their
:20:08. > :20:13.own skills and ability to run their business, they shouldn't be running
:20:13. > :20:17.their businesses. They should be investing for the long term. It is
:20:17. > :20:24.the job of the media to encourage them and give them the confidence
:20:24. > :20:29.to grow their business. Conference is in growing when Mervyn King says
:20:29. > :20:31.it is the worst economic situation since the dawn of time as to mark
:20:31. > :20:35.policymakers need to make sure they're getting the right balance
:20:35. > :20:39.between describing a difficult economic situation and giving
:20:39. > :20:44.confidence. This issue about companies having the money to
:20:44. > :20:47.invest is going to be important. If we do see some pick up in the
:20:47. > :20:53.global economy, it should be released and we should see some
:20:53. > :20:58.growth as well. New Year, new career? Some of us
:20:58. > :21:08.promise ourselves for new job or a pay rise as part of our resolutions.
:21:08. > :21:09.
:21:09. > :21:14.Some of us even make it happen. Victoria Fritz tells us how.
:21:14. > :21:18.As workers battle the wind and rain to turn up at the office this week,
:21:18. > :21:28.undervalued and overworked may have wished that they had ditched the
:21:28. > :21:33.rat race. One man who has done just that is Lee Harris. I changed my
:21:33. > :21:38.career from being in a bank. I spent 20 years working in Barclays
:21:38. > :21:43.Bank. A large part of that was a local business manager. I was bored
:21:43. > :21:49.with the drudgery of a nine-to-five job, which ended up being 828 most
:21:49. > :21:55.days. I wanted more out of life, and that coupled with my dad, who
:21:55. > :22:01.work in racing, who had an accident and made me reappraise my life. I
:22:01. > :22:05.am now working with horses and I have not looked back. It sounds
:22:05. > :22:11.scary changing this drastically. I needed to do research and
:22:11. > :22:21.understand the market. There is not that much you cannot overcome. It
:22:21. > :22:23.
:22:23. > :22:26.is easier than people think. Setting up and managing your own
:22:26. > :22:30.business isn't for everyone, but it doesn't mean you have to give up on
:22:30. > :22:38.your dreams. There are employers out there to suit the most obscure
:22:38. > :22:42.of interests. I am a watchmaker's assistance. I worked in a workshop.
:22:42. > :22:46.Previously aware that a PR agency but found I wanted to do a job
:22:46. > :22:51.which involved using my hands and following my passion, which is
:22:51. > :22:57.watches. Since I was a kid I have always loved them. I have been
:22:57. > :23:01.fascinated by the mechanical device on your wrist, ticking away. One of
:23:01. > :23:06.the most interesting watches I have purchased recently was this one,
:23:06. > :23:11.which was made by my great grandfather's watchmaking company
:23:11. > :23:17.in Bristol. How easy was it to get into watchmaking? I had never seen
:23:17. > :23:21.an advert for it. It is not easy. The jobs are not advertised. For
:23:21. > :23:26.someone wanting to become an apprentice you have to cold call a
:23:26. > :23:30.lot of the companies. I did a lot of research, found out which
:23:30. > :23:34.companies were based in the UK and what roles they might offer. I
:23:34. > :23:40.ended up picking up the phone, writing letters and trying to find
:23:40. > :23:45.out if they would be interested in meeting with me. There is plenty of
:23:46. > :23:49.the support in the UK for people looking to land that plum job. Next
:23:49. > :23:53.is a government-funded service available to adults across England.
:23:53. > :23:59.The can access the service online, over the telephone or with an
:23:59. > :24:05.adviser, face-to- face. New Year, new start, you'll be thinking about
:24:05. > :24:09.how you are going to move on? adviser can help you with CV and
:24:09. > :24:17.interview techniques, searching for courses on line and funding that it
:24:17. > :24:20.might be available. If you are thinking of moving on, similar
:24:20. > :24:26.schemes are available in the rest of the country to help you take
:24:26. > :24:36.charge of your career. If you would like more information
:24:36. > :24:53.
:24:53. > :24:57.Next week we will hear from the boss of a building company who