:00:00. > :00:07.This is Business Live from BBC News, with Ben Thompson
:00:08. > :00:11.Clamping down on corruption - the UK Prime Minister vows to get
:00:12. > :00:16.tough but after describing Nigeria and Afghanistan as fantastically
:00:17. > :00:20.corrupt, can anything really be achieved?
:00:21. > :00:41.Live from London, that's our top story on Thursday the 12th of May.
:00:42. > :00:43.World leaders gather in London to tackle global corruption
:00:44. > :00:45.including measures measures to crackdown on money
:00:46. > :00:47.laundering through UK property and offshore tax havens.
:00:48. > :00:56.We'll assess what might be achieved.
:00:57. > :00:58.Also in the programme, troubled Mitsubishi Motors announces
:00:59. > :01:03.We'll head to our Asia Business Hub for the latest on the deal
:01:04. > :01:08.the Nissan Boss describes as 'win win'.
:01:09. > :01:15.That story helped to boost markets in Japan but it was pretty sluggish
:01:16. > :01:20.stateside. In Europe, all eyes on the latest inflation report from the
:01:21. > :01:24.Bank of England. And what is in a name? We will meet the fashion
:01:25. > :01:28.retailer, Nick Ashley, the son of Welsh fashion designer, Laura
:01:29. > :01:33.Ashley. But is family heritage a help or a hindrance when it comes to
:01:34. > :01:36.business? And arthritic elevator 's and Arctic air-conditioning topped
:01:37. > :01:40.the list of office grapes in the Middle East. Today, we want to know
:01:41. > :01:44.what is the one thing you'd change about workplace? And you can't say
:01:45. > :01:48.your boss! Are you sure it is only one thing? I
:01:49. > :01:57.have a holistic things here. Welcome to the programme,
:01:58. > :01:59.we're starting right here in London today,
:02:00. > :02:01.where tackling corruption is top of the agenda,
:02:02. > :02:03.not least because the UK Prime Minister David Cameron
:02:04. > :02:07.was recorded calling Nigeria and But today it's the anti-corruption
:02:08. > :02:11.summit itself that hopes The UK will examine its role
:02:12. > :02:22.in international corruption often seen as a destination
:02:23. > :02:24.for money laundering territories, which include some
:02:25. > :02:27.of the world's big tax havens. Figures this week from leading
:02:28. > :02:30.economists claim $170 billion a year are lost through tax dodging,
:02:31. > :02:32.and it's the poorest countries Much of this money is channelled
:02:33. > :02:36.into British overseas territories - More than a third of the world's tax
:02:37. > :02:43.havens are British. Then there is London's
:02:44. > :02:46.property market. An estimated 36,000 homes
:02:47. > :02:48.in the capital are owned That is almost 1 in 10
:02:49. > :02:53.properties - just over 9% - in the City of Westminster,
:02:54. > :02:56.and almost as many in Here's what the Prime Minister had
:02:57. > :03:15.to say when he was questioned the Prime Minister Revie appeals
:03:16. > :03:18.from Nigerian campaigners, who say our efforts are sadly undermined if
:03:19. > :03:24.countries such as your own are welcoming our corrupt to hide their
:03:25. > :03:29.ill gotten gains in your department stores, homes, car dealerships and
:03:30. > :03:33.anywhere else that will accept their cash with no questions asked. One of
:03:34. > :03:38.the steps we are taking to make sure foreign companies that own UK
:03:39. > :03:41.property have to declare who the beneficial owner is will be one of
:03:42. > :03:43.the ways we make sure that plundered money from African countries can't
:03:44. > :03:45.be hidden in London. With me is Chido Dunn from
:03:46. > :03:52.the pressure group, Global Witness. Welcome to the programme, the
:03:53. > :03:56.British Prime Minister has called corruption the cancer at the heart
:03:57. > :04:00.of so many of our problems. If corruption is the cancer, what is
:04:01. > :04:04.the treatment? What we have seen as part of that treatment happening
:04:05. > :04:08.today, the world is turning towards transparency but the UK's tax havens
:04:09. > :04:12.are being left behind. So we are seeing some very positive steps from
:04:13. > :04:16.the UK in relation to property and the dirty and corrupt money used to
:04:17. > :04:21.buy it. There are some solutions but not all of them are being achieved.
:04:22. > :04:24.I know you have been very active in campaigning around the property
:04:25. > :04:27.issue, and trying to work out who owns what. What impact do you think
:04:28. > :04:32.that will have on people already owning property held through these
:04:33. > :04:37.offshore companies, and what impact do you think it might have on future
:04:38. > :04:40.investment? We really welcome the fact the primaries to is announcing
:04:41. > :04:43.the fact that the measures he is introducing will apply to offshore
:04:44. > :04:48.companies that already owned property, because ?170 billion is
:04:49. > :04:52.currently owned offshore, and based on our research and that of other
:04:53. > :04:55.organisations, some of that money is definitely the result of corruption
:04:56. > :04:58.or other proceeds of crime. The result it will have on the UK
:04:59. > :05:06.economy will be positive mostly. We have the head of the crime agency
:05:07. > :05:10.saying it will affect house prices. It will deter some investment, but
:05:11. > :05:15.it will keep dirty money out and help people who deserve to own homes
:05:16. > :05:20.here to buy them. There are a lot of people coming to this, financiers,
:05:21. > :05:24.world leaders, lots of campaigners as well. Crucially, the Panamanian
:05:25. > :05:27.government did not get an invitation, after the Panama Papers,
:05:28. > :05:31.and what we found out from them, and also we did not hear from the
:05:32. > :05:36.British Virgin Islands. The tax havens are not at this summit. What
:05:37. > :05:40.kind of message does this send? The tax havens are the key to this
:05:41. > :05:43.corruption problem. As you said, it is a real worry that they haven't
:05:44. > :05:47.engaged in the process of the summit. The primer Nistor has
:05:48. > :05:50.expressed his displeasure at the fact that the British Virgin Islands
:05:51. > :05:55.did not come to the table and enter the sort of agreement he asked for.
:05:56. > :05:59.We would say that it is so important that the tax savings are part of the
:06:00. > :06:03.solution, but they will only really be able to participate if they come
:06:04. > :06:06.and willing to make meaningful changes to their business practices.
:06:07. > :06:11.It is worth stating that not every offshore company is hiding dirty
:06:12. > :06:16.money. There are very legitimately is and why you would use these
:06:17. > :06:21.structures. Absolutely, we are not advocating the end of all corporate
:06:22. > :06:26.structures, it is just secrecy. The use of secrecy to hide identities is
:06:27. > :06:31.being used for nefarious reasons by tax evaders and criminals. But the
:06:32. > :06:36.use of offshore vehicles for tax planning or inheritance planning is
:06:37. > :06:41.financial continue to happen. Chido, thank you for coming in.
:06:42. > :06:44.In other news, Google has announced plans to ban adverts
:06:45. > :06:52.from so-called payday lenders, in a move the company
:06:53. > :06:54.hopes will limit what it calls "a harmful industry".
:06:55. > :06:57.The search giant plans to stop allowing ads for loans due within 60
:06:58. > :07:00.days, or with an interest rate of 36% or higher.
:07:01. > :07:04.Many payday lenders rely on internet searches to generate customers.
:07:05. > :07:06.The likely Republican presidential nominee Donald Trump wants
:07:07. > :07:08.to protect US manufacturing jobs by imposing tariffs
:07:09. > :07:12.He's suggested tariffs of 45% on imported Chinese goods and 35%
:07:13. > :07:21.But trade experts say that would be likely to spark similar moves
:07:22. > :07:27.from other trading partners and damage global trade.
:07:28. > :07:29.German sportswear firm Adidas has said it is ending its sponsorship
:07:30. > :07:31.of English football club Chelsea six years early.
:07:32. > :07:34.Adidas, which has sponsored Chelsea since 2006, said it had reached
:07:35. > :07:37.a mutual agreement to end the deal on 30 June 2017 instead of 2023.
:07:38. > :07:40.The club will have to pay Adidas tens of millions
:07:41. > :07:49.of euros in compensation, but is free to sign a new sponsor.
:07:50. > :07:52.Let's take you to Asia, where the Japanese car makers
:07:53. > :07:55.Mitsubishi and Nissan have confirmed they're in talks over
:07:56. > :08:06.In the last half an hour, the Nissan chief said the company would be
:08:07. > :08:08.taking a 34% stake in Mitsubishi motors, which has been plagued by
:08:09. > :08:11.the emissions scandal. Sharanjit Leyl is in our
:08:12. > :08:13.Asia Business Hub in Singapore. Sharanjit, how significant
:08:14. > :08:21.could this deal be Mitsubishi caught up in that
:08:22. > :08:27.emissions data scandal. But the boss of Nissan says this is a win-win
:08:28. > :08:31.deal. That's right. In fact, they have just been meeting at this press
:08:32. > :08:37.conference in the last half an hour. The deal is apparently worth $2.2
:08:38. > :08:46.billion, and as you say, 34% is the amount that has been suggested. The
:08:47. > :08:51.two chairman essentially in a joint press conference, and Mr Goh and
:08:52. > :08:57.describing it as win-win. Analysts saying that a deal would make sense
:08:58. > :09:02.for both, to help Mitsubishi motors, which has been dogged by a scandal,
:09:03. > :09:03.as well as Nissan, trying to boost its presence in the small car
:09:04. > :09:12.market. The inaccurate tests were flagged up by
:09:13. > :09:13.Nissan's own test produced for it by Mitsubishi.
:09:14. > :09:29.Mitsubishi shares were not trading for much of the day but they have
:09:30. > :09:35.closed up the 16% daily limit, while Nissan's shares have sunk about
:09:36. > :09:42.1.4%. We know Mitsubishi's market value has fallen massively since the
:09:43. > :09:55.scandal first broke. That deal is, we are told, now done. The McKay is
:09:56. > :10:02.rising today. Investors have been spoken -- focusing on that story --
:10:03. > :10:05.the Nicky clear macro we have heard from the force of
:10:06. > :10:15.the boss of Nissan this morning. It is worth noting, despite all of that
:10:16. > :10:18.talk of falling prices, oil has been the best performing asset, up by
:10:19. > :10:23.about a quarter so far this year. A quick look at how Europe is faring,
:10:24. > :10:26.remembered today we get the latest quarterly inflation report from the
:10:27. > :10:31.Bank of England. We will discuss that in a little more detail in a
:10:32. > :10:36.moment, but let's head stateside and find out what is happening on Wall
:10:37. > :10:43.Street. It seems the bad news from American retailers will continue. On
:10:44. > :10:46.Wednesday, Macey said its revenue fell by more than 7% and may have
:10:47. > :10:52.cut their outlook from the full year. Up next, Nordstrom. It has
:10:53. > :10:57.been struggling with weak sales over the last year and the unseasonable
:10:58. > :11:02.weather will not help matters. Many are expecting profits to take a hit.
:11:03. > :11:07.Ralph Lauren will also be reporting a loss, and while they are plagued
:11:08. > :11:10.with some of the same problems, some fashion missteps will mean profits
:11:11. > :11:15.will likely fall for the quarter. The bigger question is what does
:11:16. > :11:18.this mean for the wider retail industry? These results do have
:11:19. > :11:24.people worrying about how much consumers will spend going forward.
:11:25. > :11:25.Despite lower gas prices and a recovering labour market, Americans
:11:26. > :11:28.are not opening their wallets. Joining us is Jane Sydenham,
:11:29. > :11:38.investment director Welcome to the programme. Today will
:11:39. > :11:43.be a big day for the bank of England. The last so-called Super
:11:44. > :11:48.Thursday ahead of the EU referendum vote. What do you think we are
:11:49. > :11:52.likely to hear? Reduced growth forecasts. Growth has been reducing
:11:53. > :11:57.a little bit, partly because there is a bit of worry about the EU
:11:58. > :12:00.referendum, partly because of slowing growth in China, but
:12:01. > :12:05.interestingly inflation has turned positive, because oil prices, as you
:12:06. > :12:07.said, have stopped falling, and actually wages are beginning to rise
:12:08. > :12:14.because employment is relatively faux. That -- relatively full. Mark
:12:15. > :12:19.Carney has already sent some signals that the bank is prepared to support
:12:20. > :12:22.the economy if we were to Brexit, which might push down sterling,
:12:23. > :12:26.might cause a bit of break of confidence in the short-term. He is
:12:27. > :12:30.likely to reinforce that message, I think. Growth forecast down on one
:12:31. > :12:35.hand, inflation forecasts up on the other. What does that tell us about
:12:36. > :12:40.the state of the economy? It is easy to get caught up in these individual
:12:41. > :12:44.reports, what is the bigger picture? We are still growing, that is a good
:12:45. > :12:49.thing. Inflation is positive now, markets were getting very worried
:12:50. > :12:54.about falling prices, which is really a very negative signal, so we
:12:55. > :12:59.are into positive territory, seeing some growth but relatively slow.
:13:00. > :13:05.Quite modest, and I think from that perspective interest rates are not
:13:06. > :13:11.likely to rise soon. Markets are forecasting rates would rise
:13:12. > :13:14.Still to come: Does having family heritage in an industry make
:13:15. > :13:20.We'll be talking to Nick Ashley, the son of Welsh fashion
:13:21. > :13:30.You're with Business Live from BBC News.
:13:31. > :13:32.The phone and broadband provider TalkTalk has said the cyber attack
:13:33. > :13:36.which hit the firm last October has cost over ?40 million and put a dent
:13:37. > :13:40.Mark Turner is a cyber security expert who's been
:13:41. > :13:44.He joins us from our Salford newsroom.
:13:45. > :13:58.it was feared to be a huge leak of data. It actually didn't turn out to
:13:59. > :14:04.be quite as bad as they feared? Back in October, there was a breach of
:14:05. > :14:10.TalkTalk's network. Initially, they came out and said it could have been
:14:11. > :14:20.4 million customers. The subsequent days after that, they came back to
:14:21. > :14:25.the media and said actually it was 157,000 users whose details had been
:14:26. > :14:29.compromised, and about 15,000 users whose bank account details had been
:14:30. > :14:34.leaked. Some of the comments we have been hearing from Dido Harding, the
:14:35. > :14:37.chief exec, she said customers she thinks has really appreciated the
:14:38. > :14:42.way TalkTalk has handled the fallout, and actually the customer
:14:43. > :14:45.chair number, the turnover is actually the lowest in the company's
:14:46. > :14:52.history. So presumably they are doing something right? The chair
:14:53. > :14:57.number is an interesting number, because if you wanted to leave
:14:58. > :15:00.someone like TalkTalk, or any internet or broadband provider, if
:15:01. > :15:03.you decide to do that because they have had a security breach, you need
:15:04. > :15:08.to look at your terms and conditions, and they will probably
:15:09. > :15:12.say you can't leave within the contract period, 12 months, 18
:15:13. > :15:15.months, 24 months. I'm sure there are people who would like to leave
:15:16. > :15:18.TalkTalk because of the way they have handled their client data, but
:15:19. > :15:25.don't because of the fear of a penalty. TalkTalk did say the only
:15:26. > :15:28.people they would let leave without a penalty were people whose bank
:15:29. > :15:32.account details had been compromised, and quite frankly that
:15:33. > :15:35.is not good enough. If my data had been held with any organisation that
:15:36. > :15:37.had been compromised, I feel I should have the right to vote
:15:38. > :15:43.with my feet and take my business elsewhere.
:15:44. > :15:48.Lots of other stories for you this morning. We can't fit them all in on
:15:49. > :15:55.the programme, but they are on the website. ITV reports a 14% rise in
:15:56. > :15:59.quarterly sales. That's always a good indication of how the
:16:00. > :16:01.advertising market is doing. It also said it boosted acquisitions last
:16:02. > :16:11.year, part of its business strategy. You're watching Business
:16:12. > :16:12.Live - our top story, global leaders are gathering
:16:13. > :16:15.in London today to discuss measures It's in a bid to crackdown
:16:16. > :16:18.on money laundering, UK Prime Minister David Cameron has
:16:19. > :16:21.announced that foreign firms will have to declare ownership
:16:22. > :16:29.of any UK property on a register. It has been a rather embarrassingly
:16:30. > :16:34.for the Prime Minister, who was recorded describing two countries as
:16:35. > :16:35.fantastically correct. He will be hoping to be in headlines for
:16:36. > :16:37.reasons today. Now, does having family heritage
:16:38. > :16:40.in an industry make you more likely Do family connections
:16:41. > :16:42.help or hinder? Nick Ashley is the co-founder
:16:43. > :16:44.and creative director at Private White -
:16:45. > :16:46.it's a luxury men's fashion firm, He's the son of Laura Ashley,
:16:47. > :16:50.the Welsh fashion designer Her floral prints became
:16:51. > :16:55.famous around the world. An avid motorcyclist,
:16:56. > :16:57.his clothing line has a distinctively military style -
:16:58. > :17:17.reflecting the man the company I'm pleased to say that he joins us
:17:18. > :17:20.now in the studio. Nice to see you. This is an interesting one. We talk
:17:21. > :17:23.about family connections on the programme a lot and whether they
:17:24. > :17:28.help or hinder. In your case, you have discussed this before about
:17:29. > :17:34.whether a recognisable name, a well-known name in the fashion
:17:35. > :17:37.business, for you, has been a good thing or a hindrance? It is a
:17:38. > :17:44.question of choice. I chose to make it an advantage. They say that you
:17:45. > :17:49.either emulate your parents or you rebel against them. I have emulated
:17:50. > :17:53.my mother, she was a designer, I am a designer. I have rebelled against
:17:54. > :17:58.my father, he was a businessman, do not trust me with your money! That
:17:59. > :18:02.is quite worrying, you are running a company. Both of your parents are
:18:03. > :18:07.very strong people, they had a real eye when it came to costs. You are
:18:08. > :18:15.saying you grew up in a tent, pretty much? My parents, they started their
:18:16. > :18:18.business, they came out of the Second World War, they were trained
:18:19. > :18:21.in living under canvas, but they didn't have any money. They wanted
:18:22. > :18:25.to start a business. All of the money they had, they put into a
:18:26. > :18:31.factory, they brought us up in a tent, next to the factory, just to
:18:32. > :18:40.save on costs. We did eventually move into a rented caravan. We
:18:41. > :18:42.traded up to trailer trash. I'm interested in that point about
:18:43. > :18:48.emulating your mother but rebelling against your father. How does that
:18:49. > :18:52.manifest itself in the way you go about business? What you do
:18:53. > :18:58.differently to your peers? I don't attempt to do any business. I work
:18:59. > :19:05.with James and Mike, the other guys, it is their business, Private White,
:19:06. > :19:08.I just do the design element. I'm not interested in business. I'm
:19:09. > :19:16.interested in people. My father always said we are in the people
:19:17. > :19:22.business, it is all about people. I heard, for someone who has described
:19:23. > :19:29.themselves as an introspective and quite quiet character, you were
:19:30. > :19:32.almost the drummer for The Clash, is that true? They say you should only
:19:33. > :19:38.regret the things you haven't done in life. This is one regret. I had
:19:39. > :19:51.only just come in the 70s, gone into Saint Martin's School of fashion. I
:19:52. > :19:56.was very proud of that. Jo -- Joe Strummer asked me to be in his band,
:19:57. > :20:01.but I didn't do it. And you didn't know how to play the drums? Said, I
:20:02. > :20:04.can't play, he said, it doesn't matter, you look right, we will
:20:05. > :20:16.teach you. All couldn't really play the bass and work for him. -- Paul.
:20:17. > :20:21.I saw the bass guitarist last year. I said, could I have pulled that
:20:22. > :20:26.off, being the drummer? You said, no, the drama really has to pull it
:20:27. > :20:35.together, so I can relax. You said it was about your look, and it is
:20:36. > :20:39.very punk, and that is the way you have taken the fashion line as well.
:20:40. > :20:43.Has that influenced the way you took the business? We all went through
:20:44. > :20:54.that punk period, I wasn't actually punt, I was more rocker because of
:20:55. > :21:03.the biking thing. It is more of an attitude, the punk thing. It is a
:21:04. > :21:12.kind of not giving a beep about anything. I take that through now, I
:21:13. > :21:15.am a very laid-back character. It is certainly working for your business.
:21:16. > :21:18.Thank you for coming in. Really interesting to hear more about your
:21:19. > :21:23.background and how the business is faring.
:21:24. > :21:31.We're going to turn our attention to Brazil. Senators are debating on
:21:32. > :21:33.whether to proceed with the impeachment proceedings against
:21:34. > :21:36.Dilma Rousseff. They have said they want to vote in favour of the move.
:21:37. > :21:37.Any potential suspension would last for six months
:21:38. > :21:39.while her impeachment trial takes place.
:21:40. > :21:42.Camilla Costa has been following the story from Sao Paulo.
:21:43. > :21:48.Brazil is going through one of its worst recessions in decades.
:21:49. > :21:53.President Dilma Rousseff is largely blamed for that, even though she has
:21:54. > :21:57.not herself been accused of corruption or of benefiting from
:21:58. > :22:02.corruption schemes. She has been blamed for what some say are bad
:22:03. > :22:06.economic decisions that may have deepened the Brazilian crisis. Many
:22:07. > :22:11.Brazilians want her out, most of the country. But many are also wondering
:22:12. > :22:18.what might come next, given the fact that many politicians, in the line
:22:19. > :22:23.of succession, even, have been implicated on corruption charges.
:22:24. > :22:27.The Vice President has been implicated in some corruption
:22:28. > :22:32.allegations. The former President of the lower house of Congress, and the
:22:33. > :22:36.leader of the Senate, they have also been charged or heavily implicated
:22:37. > :22:40.in corruption allegations. For many Brazilians, and we do have to bear
:22:41. > :22:44.in mind that Brazilians, historically, have not had much
:22:45. > :22:49.faith in politicians, now they are really trying to think about what
:22:50. > :22:57.exactly and where exactly is a new government going to take us?
:22:58. > :22:58.Jane Sydenham, investment director at Rathbones Investment
:22:59. > :23:12.Big news yesterday afternoon, Three has refused to give up on the 02
:23:13. > :23:16.merger, in spite of the fact that the European regulator has said no?
:23:17. > :23:20.The deal went through as planned, it would be 40% of the market, I can
:23:21. > :23:25.understand why the regulator is intervening. Equally, I understand
:23:26. > :23:30.why they don't want to give up on it, it is a tremendous opportunity
:23:31. > :23:33.to consolidate the market, from a marketing perspective, they would
:23:34. > :23:38.have reached so many more customers. I can see why they might try to find
:23:39. > :23:45.a way through. It interesting, on one hand, you might say the more
:23:46. > :23:48.power one firm has, it could have an impact on prices and investment. On
:23:49. > :23:51.the other hand, the bigger the company, the more money it has to
:23:52. > :23:56.throughout investment, it can use economies of scale to make the
:23:57. > :23:58.market better. It's a fine balance. There was a lot of criticism that
:23:59. > :24:04.the regulator didn't necessarily get it right in this case? I think that
:24:05. > :24:13.is right, should be four competitors or three? What is considered a
:24:14. > :24:17.market, is it Europe, Western Europe? It is what you consider to
:24:18. > :24:21.be the market and how money players are in it. Clearly, the current
:24:22. > :24:25.regulator is moving towards more competitors. There is obviously a
:24:26. > :24:28.worry. There is some evidence from European markets, where there has
:24:29. > :24:31.been a lot of consolidation, that pricing has not come down at the
:24:32. > :24:36.rate it should have done after that has taken place. It is complicated,
:24:37. > :24:41.as you say, but I think there is more evidence that pricing does not
:24:42. > :24:44.fall with insufficient numbers of competitors. I think that seems to
:24:45. > :24:50.be the trend for the time being. Moving on, another story that is in
:24:51. > :25:05.a golf paper, The National. Apparently cold air con and
:25:06. > :25:13.arthritic lifts are the main complaints in the Middle East. What
:25:14. > :25:21.is yours? We have very loud hand dryers in the Lady's toilets. Mice
:25:22. > :25:34.is the biggest problem here! I filmed one, I was about six feet
:25:35. > :25:38.from one this morning. One viewer wants to change the colour of the
:25:39. > :25:44.office, another says she wants to change the manager. Proper heating,
:25:45. > :25:52.a decent staff room, somebody says. One suggests they would burn down
:25:53. > :25:56.their office, not recommended! Thank you for your time. Thanks for your
:25:57. > :25:57.company, full update on the website and across the BBC today. See you
:25:58. > :26:00.soon.