:00:12. > :00:13.This is Business Live from BBC News with Victoria Fritz
:00:14. > :00:17.We have the latest from the Panama Papers -
:00:18. > :00:20.as the spotlight continues to focus on the global elite's tax havens.
:00:21. > :00:41.Live from London, that's our top story on Friday 8th of April.
:00:42. > :00:44.The end of a week of stunning revelations, but no end to the fall
:00:45. > :00:49.out from the leak that reveals where the rich stash their cash!
:00:50. > :00:52.Also in the programme, as Marriott and Starwood set to tie
:00:53. > :00:57.the knot to create the world's biggest hotel chain -
:00:58. > :01:01.we ask, is it a marriage made in heaven for the customer?
:01:02. > :01:07.And the markets - most of Asia down this Friday -
:01:08. > :01:10.the yen up and Europe opened higher - we'll tell you what's
:01:11. > :01:13.And we'll be getting the inside track on the turmoil
:01:14. > :01:19.if there's light at the end of the tunnel for this
:01:20. > :01:33.Let us know what you think of the stories we are covering.
:01:34. > :01:39.The end of the week, but not the end of the fallout
:01:40. > :01:47.As the spotlight shines on the world's richest and most
:01:48. > :01:52.powerful people hiding their wealth in tax havens on a massive scale.
:01:53. > :01:54.In Argentina, President Mauricio Macri has denied any wrongdoing
:01:55. > :01:58.He's due to appear before a federal prosecutor
:01:59. > :02:05.And the British Prime Minister has revealed he had owned shares
:02:06. > :02:10.in an offshore trust set up by his late father.
:02:11. > :02:15.On Thursday, David Cameron said he sold the shares before he entered
:02:16. > :02:18.Number 10 in 2010 and had paid all UK taxes due on profits
:02:19. > :02:27.Meanwhile, Panama's vice-president admitted revelations from the leak
:02:28. > :02:30.are extremely bad for her country's image.
:02:31. > :02:33.Isabel Saint Malo told the BBC, she believes her country had been
:02:34. > :02:47.I want a separate, this is not an evaluation of Panama. This
:02:48. > :02:51.publication has information on many jurisdictions, over 21 jurisdictions
:02:52. > :02:59.where banks are based, not just one bank based in Panama, regarding
:03:00. > :03:06.societies and offshores, 60% of those referred so far on the papers
:03:07. > :03:10.are not in Panama. Only 20% are registered in Panama. So, this has
:03:11. > :03:18.been given a name that has put our country in a wrong and bad way, of
:03:19. > :03:24.focus of attention in the world. And it's very unfortunate, given that
:03:25. > :03:29.the government we lead, it's a government that particularly and
:03:30. > :03:32.strongly is committed to transparency. We reject and have
:03:33. > :03:34.zero tolerance of irregular activities.
:03:35. > :03:38.Panama's Vice-President Isabel Saint Malo speaking to the BBC.
:03:39. > :03:41.And you can watch the full story in a special programme "Panorama,
:03:42. > :03:43.tax havens of the rich and powerful exposed",
:03:44. > :03:55.with Richard Bilton on BBC World News, at these
:03:56. > :04:04.We can talk through some of this week's revelations now.
:04:05. > :04:09.Extraordinary, 140 politicians and officials, 12 current or former
:04:10. > :04:12.presidents, and 33 people who have been back listed, or companies
:04:13. > :04:18.blacklisted, for dodgy dealings. There is a sense that all the good
:04:19. > :04:22.has been thrown in with the bad, and that's the issue with the Panama
:04:23. > :04:31.papers. Owning an offshore company or a shell company is not in itself
:04:32. > :04:37.a crime or indicator of a crime. But you have the right to hold these
:04:38. > :04:43.assets from the taxman if you want. It is a popular option for those who
:04:44. > :04:48.have acquired money through illegal means or want to shelter their
:04:49. > :04:52.income from the taxman. When politicians steal it means there is
:04:53. > :04:57.less money for things like building roads and infrastructure. When they
:04:58. > :05:01.give contracts to their friends, they are defrauding the tax payer.
:05:02. > :05:06.Should we be surprised that people have been so incensed by this?
:05:07. > :05:10.Absolutely not. The anger was at its most fierce in Iceland where the
:05:11. > :05:14.Prime Minister had to step down. In that case it emerged that his wife
:05:15. > :05:19.owned a stake in an offshore fund that had interests in Icelandic
:05:20. > :05:22.banks which the Prime Minister was responsible for legislating. He
:05:23. > :05:27.insists he has done nothing wrong but there was a public outcry and he
:05:28. > :05:31.has had to step down. As the vice president, as we heard from the
:05:32. > :05:35.Panama vice President, she said it was a bit unfair and rough on
:05:36. > :05:40.Panama, because it could have been a leak from a law firm in Delaware or
:05:41. > :05:45.Wyoming in the United States, or the Cayman Islands, the British Virgin
:05:46. > :05:50.Islands, Jersey, the Isle of Man. Is there any difference between Panama
:05:51. > :05:54.and those tax havens? No, but Panama has particularly strict rules on
:05:55. > :06:00.banking and corporate security, so it's a prime location for those who
:06:01. > :06:04.want anonymity as a key factor. There are other tax havens around
:06:05. > :06:07.the world with varying degrees of secrecy and they might be worried
:06:08. > :06:12.about this because the Panama papers have shown nothing can be guaranteed
:06:13. > :06:13.to be secret. We will leave it there, but thank you for coming in
:06:14. > :06:20.to take us through the latest. Ride-sharing company Uber has agreed
:06:21. > :06:23.to pay $10 million to settle a dispute over its background
:06:24. > :06:25.checks for drivers. Uber was sued in 2014 after it
:06:26. > :06:29.claimed its vetting process was better than systems traditional
:06:30. > :06:34.minicab firms used. Prosecutors said Uber had failed
:06:35. > :06:37.to prevent 25 people with criminal convictions from becoming drivers,
:06:38. > :06:40.including several sex offenders Uber said it had dealt with many
:06:41. > :06:46.of the concerns in the case, and said settling was not
:06:47. > :06:54.an admission of any wrongdoing. US telecoms giant Verizon is poised
:06:55. > :06:57.to make a bid for Yahoo - according to a report by Bloomberg
:06:58. > :06:59.News. It says the offer for the struggling
:07:00. > :07:02.internet business could come next week, and would also involve buying
:07:03. > :07:04.Yahoo's share of its Bloomberg suggests Google
:07:05. > :07:07.is also considering a bid - however all three companies have
:07:08. > :07:29.refused to comment. It will be a busy week next week for
:07:30. > :07:40.us. Only you, I'm on holiday next week. Some of the stories breaking.
:07:41. > :07:46.Not so much a profit warning here, but there has been a 16% slump in
:07:47. > :07:55.shares following comments that trading conditions will will become
:07:56. > :08:09.challenging. The retailer sells stylish and affordable quality
:08:10. > :08:15.clothing and accessories. A UK story now, Brighton peers, an iconic part
:08:16. > :08:22.of the South coast has been sold for ?18 million to the man behind Pizza
:08:23. > :08:27.Express. It could be a big restaurant! It said they made
:08:28. > :08:39.profits of around ?3.5 million last year. Only ?18 million, what's the
:08:40. > :08:41.going rate for a pier. Luke Johnson believes it's around ?80 million.
:08:42. > :08:44.In China, shoppers eyeing foreign goods online will find them more
:08:45. > :08:46.expensive as of today thanks to new e-commerce rule.
:08:47. > :08:51.Robin Brant in Shanghai is here to explain.
:08:52. > :08:58.Good to see you. I believe Beijing has said it's all about putting
:08:59. > :09:04.foreign goods and domestic goods on an even playing field. Who are you
:09:05. > :09:11.kidding? If it's more expensive to buy foreign goods, it's good for
:09:12. > :09:15.made in China. There is no doubt it's a better situation going
:09:16. > :09:18.forward from today for many manufacturers and retailers of goods
:09:19. > :09:24.that are made here in China. For years hence, the e-commerce giants,
:09:25. > :09:28.and they truly are giants in this country, they have had preferential
:09:29. > :09:32.tax arrangements when it comes to goods that are made abroad and then
:09:33. > :09:37.bought by people here and then shipped into China, stuff that comes
:09:38. > :09:41.in from Japan and South Korea, for instance, has been subject to what
:09:42. > :09:47.is known as a parcel tax of around 10%. Those days are over. From
:09:48. > :09:53.today, those goods will be subject to VAT, and also part of a
:09:54. > :09:57.consumption tax meaning a price rise for plenty of consumers and a price
:09:58. > :10:02.rise for plenty of businesses to deal with as well. The Chinese
:10:03. > :10:08.government maintains this is about creating a level playing field, and
:10:09. > :10:12.there is no doubt it's a bit of a prod for Chinese consumers to buy
:10:13. > :10:18.more home-grown goods. There might be the issue of quality though, they
:10:19. > :10:21.buy from Japan and Korea for a reason, and whether this is enough
:10:22. > :10:32.to change the buying habits, we will have to wait and see.
:10:33. > :10:40.Most of the markets in Asia will lower today. Tokyo, not lower
:10:41. > :10:48.because the finance minister has said they will do all they can to
:10:49. > :10:52.suppress the rise they have seen in the yen with the Japanese currency
:10:53. > :10:59.reaching all-time highs, we haven't seen these figures in around 17
:11:00. > :11:02.months. The stronger yen is not good for the Japanese economy, especially
:11:03. > :11:10.the Japanese companies making goods at home to sell abroad, as it makes
:11:11. > :11:14.it more expensive to buy here. The European markets opened higher not
:11:15. > :11:21.too long ago. On the back of a strengthening oil price as well as
:11:22. > :11:27.metal prices, quite dominant stocks, particularly in the FTSE 100.
:11:28. > :11:32.shareholders of the Marriott Hotel chain - and luxury rival
:11:33. > :11:34.Starwood Hotels and Resorts - are expected to vote
:11:35. > :11:38.through a merger to create a giant in the hospitality industry.
:11:39. > :11:41.The combined firm will have a stock market value of almost $30 billion
:11:42. > :11:51.and will control over 5,500 hotels worldwide.
:11:52. > :12:00.With brands like the courtyard, Marriott has 4200 hotels worldwide
:12:01. > :12:04.including a large invention and resort business. To this it wants to
:12:05. > :12:10.add the luxury and resort service that Starwood gives it guests, with
:12:11. > :12:15.1300 hotels under some prestigious brands including Sheraton and Saint
:12:16. > :12:21.Regis. Starwood is popular for business customers for its preferred
:12:22. > :12:26.guests scheme, offering late checkout, room upgrades and personal
:12:27. > :12:30.travel ambassadors to make bookings. Mariette has 54 million people in
:12:31. > :12:36.its rewards scheme, but it is not as generous. Starwood's regular
:12:37. > :12:40.customers are worried their exclusive privileges could be
:12:41. > :12:44.watered down following a merger. The proposed tie-up between the two is
:12:45. > :12:52.being seen as just the first of seven in the pipeline. Other Hotel
:12:53. > :12:53.chains like Hyatt and Intercontinental also looking for
:12:54. > :12:56.mergers. Nandini Ramakrishnan,
:12:57. > :13:04.Global Market Strategist at JP Happy Friday and welcome to the
:13:05. > :13:10.programme. That is talk about what's going on in the markets. We are
:13:11. > :13:13.seeing a huge rise in the value of the yen and money going into
:13:14. > :13:17.Treasuries and gold, and that spells trouble because they are all safe
:13:18. > :13:24.havens. I think the first quarter of the year was very rocky for
:13:25. > :13:29.investors. Many people are taking a step back now, going into
:13:30. > :13:35.traditional safe havens like gold and yen, which is a particularly
:13:36. > :13:39.safe currency in the region. We know a stronger yen is not good for
:13:40. > :13:45.Japanese exporters or the Japanese economy, but it is also not good for
:13:46. > :13:51.the global economy. I wonder if the finance minister of Japan has said
:13:52. > :13:55.they will do something, to stem this rise in value. I guess the question
:13:56. > :14:01.is, what is that, and when? They will not wait too long. And the
:14:02. > :14:05.third question, will it work? These are the top questions discussed in
:14:06. > :14:08.Japan. The high yen will hurt exports and the equity market, and
:14:09. > :14:13.it's not causing inflation in Japan, which they are looking for. Nobody
:14:14. > :14:17.is spending money and the market is stagnant. They want to provide
:14:18. > :14:21.vouchers or stimulus to get the Japanese economy going. If it does
:14:22. > :14:26.get going, it will help the worldwide economy as a whole. Japan
:14:27. > :14:33.has not had inflation for ten, 12, a long time. All those arrows have
:14:34. > :14:40.been firing. You know where I am going. There are three arrows of
:14:41. > :14:43.economics, the monetary policy, like cutting of interest rates, and we
:14:44. > :14:48.seem to be at a point where that can't push any further. The other
:14:49. > :14:51.two, fiscal stimulus and reform, and we hope the Japanese government will
:14:52. > :14:56.put some of that in place to get the economy going. You will come back to
:14:57. > :15:01.take us through the papers. We will be talking about frankfurters. It's
:15:02. > :15:06.the wurst story I've ever read. Testing its mettle -
:15:07. > :15:09.the global steel industry faces more turmoil as thousands
:15:10. > :15:12.of jobs are under threat. We will ask our guest
:15:13. > :15:14.editor what's going on. You're with Business
:15:15. > :15:16.Live from BBC News The level of productivity among UK
:15:17. > :15:19.workers has fallen at its fastest pace towards the end of last year
:15:20. > :15:23.since 2008, according Ben is at a factory in Rotherham
:15:24. > :15:30.in South Yorkshire where they're trying to help businesses solve
:15:31. > :15:44.the productivity puzzle. You are not on any machines, you are
:15:45. > :15:49.going hard-core in a factory. And Stelling
:15:50. > :15:57.staying well away from the cleaning machines. We call this a factory but
:15:58. > :16:05.it is not a factory, they do the research and development, high-tech
:16:06. > :16:08.things for applications that aeroplanes, power plants, and they
:16:09. > :16:13.do one of them here you might be able to see, which looks like a
:16:14. > :16:18.dishwasher. What they are doing here is coming up with better ways of
:16:19. > :16:23.making the kit that goes into aeroplane engines and it is about
:16:24. > :16:28.making it more efficiently and quicker and cheaply. The UK cannot
:16:29. > :16:33.compete based on cost around the world but it can compete by doing
:16:34. > :16:38.things better with innovation and research and development and doing
:16:39. > :16:42.things more efficiently. It seems we are working longer, more hours, but
:16:43. > :16:48.producing less and that is important because if we can be more efficient,
:16:49. > :16:53.we can create things like this, we can sell things like this around the
:16:54. > :16:56.world and the UK can hold its own on the international stage and means
:16:57. > :17:05.for us there could be a pay rise because if productivity is low there
:17:06. > :17:13.is no reason for employers to pay us more. If you sell this around the
:17:14. > :17:20.world UK can hold its own on the international stage.
:17:21. > :17:27.I think that looks like a piece of art. That is beautiful.
:17:28. > :17:32.I want to share this with you. We heard from Marks Spencer 's
:17:33. > :17:38.yesterday with sales falling, quite disappointing. A retail analyst made
:17:39. > :17:49.an interesting observations saying there was little adjustment because
:17:50. > :17:50.of Easter and food sales were down like the like. A big challenge for
:17:51. > :17:58.the new boss, Steve Rowe. You're watching Business Live -
:17:59. > :18:01.our top story - the end of a week of stunning revelations,
:18:02. > :18:04.but no end to the fall out from the Panama Papers leak that
:18:05. > :18:07.reveals where the rich And now for our regular
:18:08. > :18:26.Friday slot, Simon Jack It is a big week for the steel
:18:27. > :18:33.industry. And the pharma industry. The future of making British steel
:18:34. > :18:43.is under threat. We thought we had a white knight with Gupta.
:18:44. > :18:46.Tata Steel got into trouble, battling against cheap Chinese
:18:47. > :18:50.imports and losing millions of pounds every week and he comes along
:18:51. > :18:58.and says he might buy some of these assets of Tata Steel. But he does
:18:59. > :19:05.not want to buy the bit where the people of Port Talbot are employed.
:19:06. > :19:09.He wants to convert the blast furnaces into something that uses
:19:10. > :19:13.less energy, recycling steel. He does not want to take over Port
:19:14. > :19:21.Talbot, the South Wales plant, as it stands. He is aware the government
:19:22. > :19:26.is desperate this will not fail. He is aware of his saviour status and
:19:27. > :19:31.he is trying to extract concessions. The vision he is selling is not the
:19:32. > :19:35.vision the faithful want to see. I think we have a way to go.
:19:36. > :19:43.Meanwhile, the Business Secretary's reputation has to be rusting away.
:19:44. > :19:47.You did say rusting away? I did. I thought I would get it in secretly.
:19:48. > :19:51.Does anyone believe there are more people out there interested in the
:19:52. > :19:57.business? There may be people interested in bits of it. One has
:19:58. > :20:03.already bought bits of Tata, from a steel plant in Scunthorpe from Tata
:20:04. > :20:10.and Liberty bought some of their plants in Lanarkshire. The plant as
:20:11. > :20:13.it stands, it is a short list and the Business Secretary was in
:20:14. > :20:17.Australia when the shock decision came and it looks like he was in the
:20:18. > :20:24.wrong place at the wrong time and he has been scrambling. He did not come
:20:25. > :20:31.out of the meeting in Mumbai with very much. Just saying they would
:20:32. > :20:36.explore all options. They did not rule out nationalisation. There was
:20:37. > :20:38.a deal done with the Scottish Government that temporarily took
:20:39. > :20:43.control of a couple of plants very quickly before selling them on to
:20:44. > :20:49.someone else. The government is hoping someone will come along. But
:20:50. > :20:55.Mr Gupta is in a good negotiating position. We can talk about Pfizer
:20:56. > :21:12.ruling out buying Allergan. This is where a
:21:13. > :21:16.bigger company buys a smaller one and yet moved its headquarters into
:21:17. > :21:25.the small the base, in this case in Dublin, because they pay lower
:21:26. > :21:33.taxes. This is not the only deal the US Treasury has put a lid on because
:21:34. > :21:36.we have seen similar ones. Another example of that. The US
:21:37. > :21:40.administration is taking an aggressive approach to stopping this
:21:41. > :21:47.happening. They realise they are losing tax dollars overseas. The
:21:48. > :21:53.bankers are hopping mad. The administration has obstructed $370
:21:54. > :21:57.billion of deals. More than previous administrations. Wall Street bankers
:21:58. > :22:04.are saying it is a leftist rhetoric. You cannot stop people lowering
:22:05. > :22:10.taxes. It is almost your patriotically duty! Bankers hoping
:22:11. > :22:14.mad. Very much part of the sit with the administration and what they
:22:15. > :22:17.have done previously. One thing people like Donald Trump and Tim
:22:18. > :22:21.Cook have said and they do not offer the Greek, if you want to stop
:22:22. > :22:28.chasing companies overseas, lower the taxes in the US. -- they do not
:22:29. > :22:33.often agree. What are American companies supposed to do when their
:22:34. > :22:42.tax rate is 11% higher than the average? It is a dilemma because
:22:43. > :22:48.part of their cost bill will be tax. 35%. 20% in the UK. Tim Cook says he
:22:49. > :22:51.wants to bring some of that money back. He said 35%, he would be sued
:22:52. > :22:54.by shareholders if you did that. Asia's super-rich
:22:55. > :23:00.and their super yachts. In focus aS the Singapore Boat Show
:23:01. > :23:03.gets under way, why an increasing number of boat makers
:23:04. > :23:11.are setting their sights This marina in Singapore holds some
:23:12. > :23:17.of the city's most expensive parking lots. The waiting list to dock your
:23:18. > :23:21.boat is several months long. Is this a luxury people are still splashing
:23:22. > :23:28.out on, given the global downturn? I spoke to the organiser of the yacht
:23:29. > :23:34.show and an Italian boat maker. Two years ago there were more than 90
:23:35. > :23:38.yachts on display and this year 71, what has happened? It is about how
:23:39. > :23:42.many we can get into the marina and this year we have a lot of big boats
:23:43. > :23:48.and on this road there are five very big boats and we have limited space.
:23:49. > :23:54.Who is buying? They are tycoons, industry leaders, people with a lot
:23:55. > :24:00.of money. Millionaires and billionaires of mainland China, of
:24:01. > :24:05.Hong Kong. A lot of companies say they look to Asia for growth and the
:24:06. > :24:16.Chinese are driving demand, but we are seeing a downturn, we cannot pin
:24:17. > :24:21.our hopes always on the Chinese? Bonetti is optimistic about the
:24:22. > :24:27.Chinese market. China has surpassed the US with 570 billionaires in
:24:28. > :24:31.mainland China plus 100 in Hong Kong and Taiwan, which is a large number
:24:32. > :24:38.of potential clients. There is cautious industry optimism about
:24:39. > :24:42.Asia, especially given the rising number of high net worth individuals
:24:43. > :24:46.of the region, but if the downturn gets any worse, who is to say that
:24:47. > :24:50.business will still be smooth sailing?
:24:51. > :25:04.We are going to get straight into it. The first story, explain it,
:25:05. > :25:10.Germany's AGM. Not providing enough sausages for shareholders. But the
:25:11. > :25:19.highest dividend ever. Give and take for the shareholders. Apparently
:25:20. > :25:24.there was one person at the buffet, taking the wurst and wrapping it up
:25:25. > :25:35.to take it home. They calculated they should each get 2.3 wursts. The
:25:36. > :25:40.AGM is six hours long. I am not surprised they were hungry.
:25:41. > :25:47.I am sure there was other food on the buffet. Sauerkraut, not to
:25:48. > :25:51.stereotype! Somebody from Daimler said they either get more sausages
:25:52. > :25:58.or... Have a great weekend. That is it.
:25:59. > :26:00.Plenty more business news throughout the day on the live page and world
:26:01. > :26:11.business report. Goodbye.
:26:12. > :26:22.It is Friday and the question is what is in store for the weekend?
:26:23. > :26:24.Rain will clear to showers on Saturday. Breezy on