Episode 67 Show Me the Money

in Damascus. Those are the news headlines. Now

it is time for Show Me The Money, This is your weekly guide to who is

making the cash and how hay do it. Under starter's order tonight, Dido

Harding a jockey for 20 years now the chief executive in the saddle

at TalkTalk. You are hired - the winner of last year's Apprentice,

it's the entrepreneur and inventor Tom Pellereau. And Aditya

Chakraborrty, far from economic with his thoughts and analysis when

he writes for the Guardian. So the Budget is written, all George

Osborne needs to do now is read it out loud on Wednesday. Full

coverage here on BBC News, of course. Once upon a time

Chancellors kept their mouths shut. Today George Osborne was on the

television, dropping hints like confetti or IOUs. What should he

do? I would like to see him stick with his plan and make sure he

focuses on deregulating, making it easier for businesses to grow in

the UK. Plan A, to reduce the Government's annual borrowing by

keeping a curb on planned Government increases. Keep calm,

carry on. Even though there are concerns that culting spending

would use demand in the economy -- reduces demand in the economy.

think he needs to stick with it. He's got the right plan. I am sure

he will. Tom Pellereau, who do you want to -- what do you want to see?

One is about getting growth from lending towards small businesses.

Personally I am a microbusiness really. I have been very fortunate

to get investment from Lord Sugar, which helped my products get on the

market. National insurance, attacks on employment -- a tax on

employment is a hot topic. We know he is going to do already a number

of things, not least because he sat with Andrew Marr and told him. One

being a clampdown on wealthy people who use offshore companies to buy

their homes, thereby avoiding stamp duty. That sound like a God

headline. It doesn't sound like it will raise him very much money.

gives him political cover if he says, by the way that 50p tax rate

cut I will bring it down to 45. He can say he's taking with one hand

and taking away with the other. 50p tax rate is supposed to bring

�30 billion a year. The closing down of the stamp duty loophole

will not bring back anything like that. Allowing us to keep more of

our money, raising the personal allowance. You will get something

on that in the Budget because it is in the coalition agreement. They

have to raise the personal threshold towards �10,000 towards

the end of this Parliament. They are meant to do something on it

every single year. Could this be a way of putting more money into

people's pockets to get them to spend on the high street and

stimulate the economy? It would be a way to take people's minds off

the scrapping of the 506p tax rate. You write for the Guardian, we

expect you have to a political viewpoint? The Guardian supported

Lib Dems at the last election. The Guardian, I think, I think, like

most people, it is more jobs, higher wages and less of a gap

between the rich and poor. I am being unfair to you. Let's talk

about the mansion tax then, instead. That is a Lib Dem favourite. We

hear that the Conservatives are dead set against it. It is an inco-

her rant policy. As a Guardian man, here is where I support the

Conservatives. What that policy from Vince Cable amounts is to

taxing someone who lives in a �2.1 million house, where as leaving

alone someone who owes 10 �1.9 million houses. The best thing

would be to revalue council tax and use that to raise more money across

the board. The Lib Dems are on to something when they say we undertax

expensive problems. We need a more logical way. It is easier to tax

someone on their property than is physically presence. It is easier

to offshore that than pay income through offshore trusts? Yes.

for Boom or Bust. It is a quick flick through the stories. We start

with this. Guess what they are? Yes, they are vegetables. They are also

potential musical instruments. Here is a person in Beijing and that is

a bamboo chute. The brothers say the size and shape of the

vegetables is important. What matters is that everything has to

be fresh. Really, really fresh. Now, they call this crocodile cage

diving. I call it just plain stupid, to be honest. It is the latest idea

to get tourys to go to a part of South Africa that suffered from a

drop in visitors. You get lowered into the water to get a close-up of

the Nile crook dies and their dental hygiene arrangements.

Tourists are snapping up the chance to take part.

And a sigh of, well I suppose relief, we could call it in the

American town of Trenton which has only just avoided running out of

toilet paper. There were months of bickering over the awarding of a

contract to supply the city's loos, with what you might think is an

essential product. The bickering meant that no new loo rolls could

be bought. And just in case you didn't quite

believe those veg-playing maestross. Here they are, performing on pak

choi and a set of spring onion You have to applaud their agility,

their ingenuity, their innovation. I think you do. Traditional British

cynicism is a bad national trait of ours that we tend to knock

entrepreneurs and innovators rather than cherish them and encourage

people to have ideas. You never know which ones will take off. All

power to them. This is where we get the growth in the economy, by

coming up with things people around the world want to buy. My own

company, TalkTalk, is only five years old, we have five million

customers today. We don't get everything right. Far from it, all

the time. We are a huge success story for growth. We should do more

to celebrate that rather than being a cynical Brit that knocks people

down. I will talk to you about customers later. You are the

inventor around the table. Yes, indeed. We are great with coming up

with ideas. The country is full of people in their sheds with

wonderful ideas. Yes. Yet we seem to have a problem turning it into a

commercial product. It is a difficult stage. My first invention,

from my oven to the market. And the understanding of that is an

incredibly difficult process. Access to funds... Real innovation

is risky. It is getting hold of the money you need. It is getting hold

of money for risk-taking activities. Banks are there if you have an

order and you need to fulfil that order. That is what banks are about.

Getting money nor a new, innovative nail file, something like that,

comes down to you having to find money yourself, borrow it Unionist.

It is that area where the Government could help more.

mention nail files because that is your business nowadays w the

backing of Lord Sugar. Isn't that the job of venture capitalists?

is a job of venture capitalists. Also crowd funding is a huge way of

raising money. I have been Tweeting today, asking a question about how

easy they found it to raise money. Some people came back and said that

has been my best source. Let's look at the crook dils, this is about

leaping into -- crocodiles - this is about leaping into the unknown.

To pick up on Tom's point, yes, you need ingenuity.

There's a paradox. We're in Britain, which is one of the most heavily

financialised economies in the world. Where when we think about

who will fund the risk, where you will get the money from, where are

the venture capitalists? They are not to be found. How do you fix it?

We had the report from the man who runs legal and general, who said

there'll be a �190 billion gap between what business wants and

will be able to get its hands on. think George Osborne is on to a

good thing here. At his... One of the themes of his Budgets is how

you get money in from pension funds to finance things which are seen as

publicly important, whether bridges or roads. Why not force pension

funds to give money up towards small businesses which create jobs

in this country. Whether nail files or anything else. I want to ask Tom

about the crocodile question. What is the biggest risk you have taken

in business? Probably was starting up. I think luckily at the time I

had no idea how difficult it would be. So, I got involved. Would you

have taken the business? I am about to take it. We will have a TV

business to compete with Sky and Virgin.

The loo roll shortage. How in your business do you deal with, it's a

pressing issue, of making sure supplies are there on time, but not

too early to make sure you are not tying up capital? I worked for

Tesco and Sainsbury's. Loo roll is a product which sees a spike in

demand. More people buy knit the run-up to Christmas. Supermarkets

the world over have learnt how to supply loo roll. It is a great

story of where the Government can learn from the private sector.

there any reason other than the obvious one which comes to mind, as

to why we might need more loo roll? It is a scary thought, isn't it,

really? I think it is about panic that you might run out when you

have all of your family with you. Even if you are going away for

Christmas you feel the need to stock up as well. It is panic

buying. It is not that you have sold us too much food that we don't

need. Thank you. We will pass.... One, you asked about why it is so

difficult to get new things in. One reason is that supply chain is

incredibly complicated. My product goes into retailers this week. It

is a difficult thing to get right. This is a Government-related story.

Government purchasing. I would love to see, except for the Budget, is

the way the Government, the MoD can make it easier to bring new

innovations into them. It is easier to borrow if you have a purchase

order from someone like the NHS. need you to sit quietly. We will

have a nater over here and then we will come back to you again. You

were talking to me about customer service. You know that I was a

customer of your business and like some others got fed up with the

quality of the customer service. It was not just me, there were

thousands who left your business because of what happened through

the takeover of Tiscali. First of all, Declan, I am sorry. You cannot

say that enough. Indeed I can't. It is important to say it. TalkTalk

was founded five years ago. In the course of five years we have gone

from no customers to five million customers. That huge growth has

come at a cost, that I joined the company two years ago when we were

just in the process of integrating Tiscali. A big acquisition we had

made. We underestimated how hard it was to integrate those customers

into the business. And, as you have just demonstrated, some customers

voted with their feet. Two years on, we are seeing much better customer

service. Still not perfect. There is always more that we can do. We

have completed that integration. We are looking forward to disrupting a

new market, the TV market, where, while we have grown, we have

brought value for money, broadband TalkTalk was born out of Carphone

Warehouse. When Villa started going wrong, you must have wanted to sit

down and cry? No, I am not decry a tight, I am a jump jockey in my

heart and they don't cry. My approach is, if you have a problem,

you talk to your customers. Ask them what they think. And ask you

frontline team who deal with the customers what they think. They are

the two groups of people who can tell you what the problems are. It

is then up to you to go and fix them. Let's talk about privacy,

when people use your broadband service, who is responsible for

making sure their information is not misused? Their personal

information? Yes. The it is complicated, because it is a big

world of internet. An internet service provider has a certain

amount of responsibility. So do a customers in how they choose to

interact. At TalkTalk we give customers tools to help them use

the internet. We have launched homes safe which enables you to

block certain devices on your home. You can get access to virus alerts.

A lot of your data might be extracted from viruses, from

visiting infected website. You also might want to decide what websites

you want your children to visit. But the role we played is giving

you, the customer, the information and the tools. I wonder do you get

a little bit frustrated with the assumption it is for the internet

companies to police this? You mention things like what sites your

children are looking at, that surely is the responsibility of

their parents? I think it is ultimately the responsibility of

the parents. But I provide a set of tools, access to the internet and

service providers do have a responsibility to help customers

use it. Just like over the last 30 years car manufacturers have a

responsibility to help their customers drive more safely. It

does not take the responsibility away from the driver, but a

responsible company does know that you can put tools in the hands of

the driver to make them drive more safely. How many years we were

jockey? 20 years I was an amateur jockey. How did that come about?

had a ride when I was 16 and fell in love with it. I was not good

enough to make a career out of it. Which is less brutal, the boardroom

or the stable yard? A good book boardroom and a good jockey's

changing room is full of camaraderie and everybody likes to

win. You are allowed to whip horses but not your finance director?

think she would be unhappy if I did that. The Chancellor would like it

to be a Budget for growth to help companies create jobs and

presumably help him keep his own. Tom, pick up on the thought you had

about the Government making it easier for small businesses to get

money by giving them promised work up front. The problem is, knowing

which door of Government to knock on to get the contract, to get the

business? It is incredibly difficult. If you come up with an

amazing medical device that could save the NHS millions. But to know

who to talk to, he might be the purchaser, but know what you need

to know from them what you need to do in order to tick the boxes to

get in. We have amazing medical device companies as an example, and

the NHS could help foster that and it could bring a lot of private

money in. Such a simple thing to go right, surely? Potentially it is

simple, potentially it is something that won't cost any money. But it

does not seem to be happening at the moment, so it must be more

complex. Tom is absolutely right. TalkTalk

has been nearly �2 billion worth of turnover, five years old and we

don't have any direct business with the Government yet. Tom is right,

it is a big opportunity for the Government to take advantage of

greater competition, different suppliers they might not have had

access to and save themselves some money by cutting out the

bureaucracy and making it easier. And the Prime Minister will make a

speech about this tomorrow, he is getting more private money into

infrastructure projects, to pay for things like roads and power

stations. Is it a magic bullet? on its own. Infrastructure

investment is a good thing for the long-term future of the country.

But it is important we do it in a way that encourages innovation and

competition. Otherwise all you're doing is handing over a monopoly

assets over to somebody and that won't drive growth. And on

Wednesday we might hear the Chancellor mentioned he is minded

to let the big stores open for longer on a Sunday during the

Olympics for those 80 weeks. Unions and church groups are not so happy

about it? -- eight weeks. I am among the unhappy camp. I like

shopping like everybody else. But if you allow people to go shopping

whenever they want, what happens to the employees in the shops he want

to spend times with their families. Thanks very much. Within the family

they call it the firm and this year the quark -- Queen has been in

charge of it for 60 years. We decided to find some other firms,

which just like her Majesty, set up in 1952. Lucy Burton has been to

one of them with much moaning about the early start which it involved.

It is 6:00am and milkmen from Plumb's Dairy body living up to

doorsteps in Cambridge, just in time for breakfast. Henry Plumb

founded the business in 1952. Bernard, your father, Henry, set up

the business in 1952, delivering milk in this very cart. It has

always been a family affair? Very much, I was the youngest of three

sons at the time. My brother Lesley, and we were all involved in the

milk business from a very early age. Obviously you're not using this the

Peter Foot Carte anymore, how has it changed? It has all become

motorised. We have to stick to distances nowadays which has

changed the whole thing. What about the future? I still have so much

passion in the business. You have a lot of grandchildren, are you going

to try and get them involved in the business so when Prince William is

celebrating his jubilee, they can celebrate it as well. People say

there is a death knell on milk rounds, but I don't believe it.

Grandchildren, yes, hopefully. me I'd just in and Mark, two of

Bernard's sons. We are in a cold store room. Can you tell me how

much a pint of your mother sells for? 64p on the doorstep. A little

bit more expensive from the supermarkets, so how do you

compete? We don't compete on price, but would service. We provide milk

and other goods to the doorstep before breakfast so that customers

get what they want before they go to work. And we are for other goods

as well, so hopefully that's how business will continue to growth.

It is your 60th year, like the Queen you are celebrating your

diamond jubilee. Do you have any plans? It is about improving

service to customers and diversified product range to

rebuild upon the current customer base we have, as well as marketing

sales to other customers. We now have a website which has improved

customer contact with ourselves. The Queen may have the whole

country celebrating her jubilee, but there is no doubt Plumb's Dairy

will be milking theirs, too. It is the Budget on Wednesday, so