Browse content similar to 07/06/2016. Check below for episodes and series from the same categories and more!
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This is Business Live from the BBC with Ben Thompson and Sally Bundock. | :00:10. | :00:16. | |
Should we stay or should we go. If you want to have your say, you have | :00:17. | :00:23. | |
until midnight to register. Should we stay or should we go. If | :00:24. | :00:26. | |
you want to have your say, you have until midnight to register. We will | :00:27. | :00:30. | |
wake up the economic impact of this historic vote. Live from London, it | :00:31. | :00:35. | |
is our focus today. Tuesday, the 7th of June. | :00:36. | :00:48. | |
Will the UK be better off, or worse if it votes to leave the EU | :00:49. | :00:51. | |
We'll hear from both sides of the debate. | :00:52. | :00:54. | |
America's Central Bank says positive forces | :00:55. | :00:58. | |
We'll translate the cryptic statement from Federal | :00:59. | :01:03. | |
And get used to some volatility on European markets. | :01:04. | :01:08. | |
That's the warning ahead of the crucial EU Referendum | :01:09. | :01:10. | |
Here's how Europe has opened this morning. | :01:11. | :01:18. | |
Shell cuts investment by another 35%. It is vowing to cut costs as | :01:19. | :01:27. | |
low oil prices persist. The boss has been talking to Simon Jack. | :01:28. | :01:31. | |
Can robots and humans work side by side? | :01:32. | :01:35. | |
We'll get the inside track from the man who says they can. | :01:36. | :01:37. | |
He's the founder of robot firm Magazino - he's with us | :01:38. | :01:41. | |
Today is the deadline for people in the UK to register if they want | :01:42. | :02:03. | |
a say in the country's referendum on its EU membership. | :02:04. | :02:06. | |
With the vote now just weeks away both sides have been | :02:07. | :02:09. | |
pushing their financial credentials as they make the case for either | :02:10. | :02:11. | |
The 'Out campaign' says that around 300,000 jobs would be created | :02:12. | :02:19. | |
if Britain leaves the EU because it could negotiate its own trade deals | :02:20. | :02:22. | |
The 'In campaign' couldn't see things more differently - | :02:23. | :02:26. | |
they say unemployment COULD rise by 500,000 if the UK leaves | :02:27. | :02:30. | |
the Union and say the UK would lose access to the financial services | :02:31. | :02:33. | |
passport system which allows UK-based companies to offer | :02:34. | :02:37. | |
And when it comes to the arguments for and against this is just | :02:38. | :02:43. | |
So who is winning when it comes to convincing voters? | :02:44. | :02:48. | |
So far the polls have been close but the latest ICM online sample | :02:49. | :02:51. | |
puts the leave campaign slightly ahead on 48%, with remain on 43%. | :02:52. | :02:58. | |
If you're wondering why that adds up to 101% - that's because | :02:59. | :03:02. | |
The tight polls means uncertainty and to use a cliche | :03:03. | :03:07. | |
You can see here the rising volatility levels of | :03:08. | :03:12. | |
Just look at how much more volatile trading is now than it | :03:13. | :03:18. | |
Rain Newton-Smith, a leading voice supporting Britain | :03:19. | :03:32. | |
She's the director of economics for the Confederation | :03:33. | :03:37. | |
Also joining us we have got the head of public policy at the Institute | :03:38. | :03:50. | |
for Economic Affairs, a free-market think tank based in London and he | :03:51. | :04:01. | |
supports leaving the European Union. Rain, the clock is ticking in | :04:02. | :04:07. | |
earnest and it is pretty tight. Why do you believe we are where we are | :04:08. | :04:17. | |
and we need to do that change? What is important for us, we speak for | :04:18. | :04:22. | |
190,000 businesses. The clear this and this view is it is better for | :04:23. | :04:27. | |
business, jobs and overall prosperity to remain in the European | :04:28. | :04:32. | |
Union. It is our access to 500 million consumers across Europe and | :04:33. | :04:35. | |
also access to over 50 countries outside of Europe, including South | :04:36. | :04:39. | |
Africa, South Korea and Colombia we have two membership of the European | :04:40. | :04:43. | |
Union. You call it a clear business view but we have spoken to many | :04:44. | :04:47. | |
leaders of this and this is, smaller, more medium-sized who don't | :04:48. | :04:50. | |
necessarily agree with that? I have yet to see any poll of business that | :04:51. | :04:56. | |
doesn't show a majority who think we're better off in the European | :04:57. | :05:01. | |
Union. It is some of our smaller members who talk the standardisation | :05:02. | :05:04. | |
that makes it easier to sell cheese across Europe, not just to UK | :05:05. | :05:10. | |
consumers. When you are buying goods you want to make sure what is in it | :05:11. | :05:18. | |
and it is the harmonisation of rules that makes it easier to do business | :05:19. | :05:23. | |
across Europe. Ryan comment Central London, looking at the latest polls, | :05:24. | :05:27. | |
it puts you slightly ahead. Most suggesting the polls will get it | :05:28. | :05:30. | |
wrong because this is unprecedented? I am not a pollster, but they don't | :05:31. | :05:35. | |
tell us a lot. People are getting engaged in this debate. We are | :05:36. | :05:38. | |
starting to see the TV clashes. I believe Nigel Farage and David | :05:39. | :05:41. | |
Cameron will be on after each other this evening on another station. | :05:42. | :05:47. | |
People are starting to get into this debate and over the next week or so | :05:48. | :05:55. | |
a lot of the undecided will make up their minds. You have already seen | :05:56. | :06:01. | |
that to a certain extent, but 11% of voters, according to most polls, or | :06:02. | :06:05. | |
undecided. Given how tight they are, looks like those voters will swing | :06:06. | :06:08. | |
it one way or the other. The outer campaign says 300,000 jobs created | :06:09. | :06:13. | |
if we leave, so where does that figure come from because we have | :06:14. | :06:17. | |
been told there is no certainty about signing those trade deals. | :06:18. | :06:21. | |
Europe will be a bit upset because we have decided to leave the club so | :06:22. | :06:27. | |
there will be no rush to help us create new trade deals? Whether we | :06:28. | :06:33. | |
stay in or leave, there is risk and opportunities. It is the balance of | :06:34. | :06:38. | |
those where you should come to some economic judgment. The reason the | :06:39. | :06:40. | |
Remain campaign, but negative forecasts is because they believe if | :06:41. | :06:44. | |
we were outside of the European Union we would make bad, political | :06:45. | :06:47. | |
decisions, make ourselves more insulated from trade and not use our | :06:48. | :06:52. | |
new-found freedoms on regulation. On the opposite side, the Leave | :06:53. | :06:59. | |
campaign have suggested we could sign these extra free trade deals. | :07:00. | :07:04. | |
There is good evidence like Switzerland who are more effective | :07:05. | :07:07. | |
at signing free trade deals, so it is not a baseless claim. We would | :07:08. | :07:17. | |
need to get on and do that. Really, this judgment for individuals at | :07:18. | :07:22. | |
home is, how well would you think our political institutions would be | :07:23. | :07:25. | |
at making these decisions, these economic decisions, versus the | :07:26. | :07:29. | |
control being in Brussels. I trust our democratic system more than the | :07:30. | :07:37. | |
power being centralised in Russells. Rain, has the Remain campaign been | :07:38. | :07:43. | |
too negative? We have to look at the economic consensus, that where we to | :07:44. | :07:47. | |
lead the European Union that there would be a negative impact on | :07:48. | :07:51. | |
growth, jobs over the next 5-10 years. When the IMF, the OECD, the | :07:52. | :07:57. | |
National Institute in UK, the Treasury have shown there would be a | :07:58. | :08:03. | |
negative impact on jobs. We know it is young people who are affected | :08:04. | :08:08. | |
when we see a rise in unemployment, they are the ones most likely to be | :08:09. | :08:15. | |
impacted. That is what I am concerned about. One of the things | :08:16. | :08:20. | |
we have got to remember is it is hard to get a common is to agree. We | :08:21. | :08:28. | |
tend to have loads of different opinions, but what we have seen from | :08:29. | :08:32. | |
recent polls, nine out of ten economists feel there would be a | :08:33. | :08:35. | |
serious economic shock if we were to lead the European Union. That is | :08:36. | :08:38. | |
phenomenal. Most agreed there would be a short-term, economic shock if | :08:39. | :08:42. | |
we were to leave, but it could be short lived, therefore in the | :08:43. | :08:46. | |
long-term not bad. These studies also showed that even after ten, to | :08:47. | :08:52. | |
20 years so when my young children will be entering the jobs market, | :08:53. | :08:55. | |
the overall size of the UK economy would be smaller than if we left the | :08:56. | :09:00. | |
European Union. It is our access to trade, the impact on investment. It | :09:01. | :09:04. | |
is all the impact on financial markets we have seen over recent | :09:05. | :09:09. | |
days. Ryan, short-term gain, long-term pain, isn't that how it is | :09:10. | :09:15. | |
seen? There would be some in, and we have a two-year process where | :09:16. | :09:19. | |
nothing changes and we can use that time to negotiate a new deal. Most | :09:20. | :09:23. | |
of these organisations use the same models, which I believe are flawed | :09:24. | :09:28. | |
and make the same assumptions, which tends to be very negative. I just | :09:29. | :09:32. | |
don't think that output from these models some up with previous studies | :09:33. | :09:38. | |
we have seen. The European Union itself believes the single market | :09:39. | :09:43. | |
has added to GDP of the European economy. By about 2.5%. We are | :09:44. | :09:48. | |
hearing it will lead the single market, the UK will be hit by 6%, so | :09:49. | :09:56. | |
that doesn't make any sense. If you look around the world, plenty of | :09:57. | :10:00. | |
countries do well outside the European Union and plenty do badly | :10:01. | :10:06. | |
in it. Being in the EU is neither a necessary prospect. Thank you both | :10:07. | :10:11. | |
for your time. Strong arguments on both side. The BBC website has | :10:12. | :10:18. | |
plenty more material before you make your choice. | :10:19. | :10:21. | |
Hillary Clinton has clinched the Democratic nomination for US | :10:22. | :10:26. | |
president after reaching the required number of delegates. | :10:27. | :10:28. | |
The count puts Mrs Clinton on 2,383 - the number needed | :10:29. | :10:31. | |
She will become the first female nominee for a major | :10:32. | :10:36. | |
Saudi Arabia's cabinet has approved plans to limit | :10:37. | :10:41. | |
It also hopes to create 450,000 new jobs by 2020. | :10:42. | :10:46. | |
The 'National Transformation Programme' as its known, | :10:47. | :10:49. | |
will also cut public spending by 40-per cent over | :10:50. | :10:53. | |
It's part of a number of key initiatives announced in April. | :10:54. | :11:06. | |
Greece must pay the International Monetary Fund about $340 million | :11:07. | :11:09. | |
While a relatively small amount - it's the first in a number | :11:10. | :11:13. | |
of repayments to international creditors - totalling | :11:14. | :11:22. | |
about $12-billion that are due in June and July. | :11:23. | :11:27. | |
The Central banks of both India and Australia have held their key | :11:28. | :11:32. | |
The Bank of Australia held theirs at a record low of 1.75%, | :11:33. | :11:44. | |
Leisha Chi is in Singapore for us this morning. | :11:45. | :11:49. | |
No change in the rate? It comes down to uncertainty and as we said, | :11:50. | :12:02. | |
Australia kept their borrowing costs at a record low. This is due to the | :12:03. | :12:09. | |
fact they have had strong growth numbers recently and policy makers | :12:10. | :12:13. | |
are concerned about rising home prices, particularly in Sydney and | :12:14. | :12:17. | |
Melbourne. They did refer to events risk, which could be any surprises | :12:18. | :12:21. | |
out of the Fed meeting and Australia's upcoming election next | :12:22. | :12:26. | |
month. They are still watching the situation quite closely. In India, | :12:27. | :12:30. | |
we're looking at something called the repurchase rate, the benchmark | :12:31. | :12:35. | |
and that was held at a five-year low. They're expecting it not to | :12:36. | :12:44. | |
move or the rest of the year and possibly 2017 because they face an | :12:45. | :12:47. | |
uphill battle in meeting inflation targets. But it could change with | :12:48. | :12:51. | |
the new governor, as we know the current one, his term ends in | :12:52. | :12:55. | |
September and it is undecided as to whether he is going to be | :12:56. | :13:00. | |
reappointed or not. Good stuff, thank you very much. Another person | :13:01. | :13:04. | |
excited about no change in interest rates. We will talk about that more | :13:05. | :13:06. | |
in a moment. Tokyo shares rose in what was pretty | :13:07. | :13:10. | |
lacklustre trading as the market digested comments by Federal Reserve | :13:11. | :13:13. | |
chief Janet Yellen, who said overnight that any US interest rate | :13:14. | :13:16. | |
hike would be gradual - we'll assess that in a moment - | :13:17. | :13:19. | |
not least her comments of confidence The rebound in commodity | :13:20. | :13:22. | |
prices after the dollar weakened has helped boost mining, | :13:23. | :13:29. | |
oil and gas stocks yesterday. That was enough to send the FTSE 100 | :13:30. | :13:36. | |
to a one month high. US markets also closed higher | :13:37. | :13:40. | |
with the S managing to close at its highest level this year, | :13:41. | :13:46. | |
strongly outperforming the Dow, which still remains well | :13:47. | :13:50. | |
below its April highs. That is the picture of the Europe | :13:51. | :14:02. | |
this morning. We will talk about the vote later, but let's check the day | :14:03. | :14:04. | |
out ahead on Wall Street. Long security lines at US airports | :14:05. | :14:12. | |
are getting attention from congressional leaders. The head of | :14:13. | :14:17. | |
the US transportation Security institution will be before a Senate | :14:18. | :14:22. | |
committee to talk about delays at screening lines. The Indian Prime | :14:23. | :14:25. | |
Minister is in Washington and will be meeting with Barack Obama on | :14:26. | :14:31. | |
Tuesday. It'll be the Prime Minister's seventh face-to-face | :14:32. | :14:34. | |
meeting with President Obama. There will be talking about climate | :14:35. | :14:38. | |
change, security and defence and some unresolved trade issues. The | :14:39. | :14:42. | |
Prime Minister be meeting with US dismiss leaders and will address the | :14:43. | :14:48. | |
US, India business Council. And the US election, Tuesday will be a busy | :14:49. | :14:53. | |
day as presidential primaries and caucuses will be held in California, | :14:54. | :14:59. | |
Montana, New Jersey, New Mexico and South Dakota. | :15:00. | :15:08. | |
I'm sure you love watching Central banks as well. I spend a lot of time | :15:09. | :15:16. | |
doing it. It is when we get excited about no change. It is reading | :15:17. | :15:22. | |
between the lines. The devil in the detail. The one we are trying to | :15:23. | :15:30. | |
read between the lines is the statement. Talking about the | :15:31. | :15:33. | |
positives outweighing the negatives. This is what she said yesterday. The | :15:34. | :15:42. | |
economy has been affected by a mix of countervailing forces, but I seek | :15:43. | :15:48. | |
reasons to expect that the positive forces supporting growth and higher | :15:49. | :15:50. | |
inflation will outweigh the negative ones. I expect the economic | :15:51. | :16:03. | |
situation to improve. It will grow moderately. Positives and negatives. | :16:04. | :16:13. | |
It is not a huge amount new but not a lot else. The group was quite per | :16:14. | :16:19. | |
relative to expectations but there is plenty of good things going on. A | :16:20. | :16:27. | |
lot of the other data she has is a bit more optimistic. Friday's data | :16:28. | :16:32. | |
was not. On balance she is still optimistic about the economy. I | :16:33. | :16:42. | |
suspect that is what we will see. I read an article saying July was too | :16:43. | :16:51. | |
soon, but September was a winner. For the last three years it has | :16:52. | :16:58. | |
always been three months ahead. I suspect June is out. The market | :16:59. | :17:06. | |
expectation, she may do something in July. The US economy is ticking | :17:07. | :17:16. | |
along. That is important for the rest of us. Especially with the vote | :17:17. | :17:21. | |
in the UK. The US economy is the most important economy in the world. | :17:22. | :17:25. | |
It is a rising tide which will lift many boats. Thanks for being on | :17:26. | :17:31. | |
business live. Can robots and humans | :17:32. | :17:37. | |
work side by side? We meet the man who says they can - | :17:38. | :17:40. | |
he's the founder of robot firm Magazino - | :17:41. | :17:43. | |
he's with us later in the programme. You're with Business | :17:44. | :17:46. | |
Live from BBC News. And now a look at some | :17:47. | :17:52. | |
of the stories from around the UK. The boss of Sports Direct, | :17:53. | :17:56. | |
Mike Ashley will face MPs today to defend working conditions | :17:57. | :17:58. | |
at Sports Direct. Last night the retail boss admitted, | :17:59. | :18:00. | |
in a letter to his staff, that there had been a need | :18:01. | :18:03. | |
for improvements and these But what exactly are MPs | :18:04. | :18:05. | |
going to be asking him? Iain Wright, Business, | :18:06. | :18:09. | |
Innovation and Skills Select Committee chair | :18:10. | :18:10. | |
spoke to the BBC earlier. There are allegations we need to | :18:11. | :18:28. | |
explore about the treatment of workers, that they are searched | :18:29. | :18:34. | |
after a shift and not paid for that, which can take them below minimum | :18:35. | :18:39. | |
wage, there is talk of six strikes and you're out, that every time | :18:40. | :18:44. | |
you're seen by the management is doing something wrong you get a | :18:45. | :18:49. | |
strike. Those can include taking too long to go to the toilet, wanting to | :18:50. | :18:55. | |
have water. We are looking at those and saying, do we really want those | :18:56. | :19:02. | |
practices in Britain in 2016? We will be asking him whether he | :19:03. | :19:10. | |
condones them and is aware of them. Mr Smith was also asked about the | :19:11. | :19:21. | |
HS. They asked him what he wants to hear. It has consequences, not just | :19:22. | :19:29. | |
for those losing their jobs. How do we buy and sell companies. We think | :19:30. | :19:40. | |
it is of extreme concern that people can take hundreds of millions of | :19:41. | :19:49. | |
pounds out of business, don't invest it, has been bankrupt. We want to | :19:50. | :19:54. | |
find out what happened, and what are the checks and balances. That was | :19:55. | :20:03. | |
Ian Wright speaking to us earlier. There is a lot more about Sports | :20:04. | :20:19. | |
Direct on the website. Also more detail about the of big news. | :20:20. | :20:29. | |
You're watching Business Live, our top story... | :20:30. | :20:30. | |
People in the UK have until just before midnight tonight to register | :20:31. | :20:37. | |
to be able to vote in the referendum on whether the UK stays | :20:38. | :20:40. | |
Polls over the weekend suggesting that the race had tightened lead | :20:41. | :20:44. | |
to a drop in the value of sterling with exchange rates for the UK | :20:45. | :20:47. | |
The oil giant Shell says it is to cut investments and is struggling | :20:48. | :21:09. | |
with lower oil prices. They said they will cut investment by 35% over | :21:10. | :21:14. | |
the next four Mac years and expect to make $4.5 billion worth of | :21:15. | :21:18. | |
savings from the merger with the BG Group. That is higher than the | :21:19. | :21:24. | |
previous estimate. He was the boss of Shell speaking to our business | :21:25. | :21:31. | |
editor. What we're doing is setting out a mid-term strategy. I wanted to | :21:32. | :21:40. | |
be a world-class investment opportunity, we will have a strong | :21:41. | :21:51. | |
focus on improving returns and free cash, BG will be a great enabler in | :21:52. | :21:55. | |
it for a number of reasons. We've had it for a hundred days, we know | :21:56. | :22:02. | |
what we've got, and we like it. It is worth more than we paid for it. | :22:03. | :22:06. | |
It is worth more than we thought it was. Didn't you pay too much for it? | :22:07. | :22:17. | |
You bought it and then the oil price collapsed, making it look like a | :22:18. | :22:21. | |
terrible mistake. Are you seeing going back you would do exactly the | :22:22. | :22:28. | |
same? Absolutely. You would pay the same price? I did not have a choice | :22:29. | :22:33. | |
at the time, but if you look back, what did we get, what did we pay for | :22:34. | :22:43. | |
it? How much debt did we take on? If you take the outlook on the 15th of | :22:44. | :22:52. | |
February, the company is worth more than $10 million a month. | :22:53. | :23:00. | |
One to watch as all the oil firms try to cut back. | :23:01. | :23:08. | |
Now - there's no escaping the rise of the robots. | :23:09. | :23:11. | |
In factories around the world, robots are making manufacturing | :23:12. | :23:13. | |
One study says that by 2025, up to a quarter of jobs will be | :23:14. | :23:19. | |
replaced by either smart software or robots. | :23:20. | :23:21. | |
Amazon for example may employ over 230,000 people but they are now | :23:22. | :23:24. | |
also using over 30,000 robots in their facilities. | :23:25. | :23:25. | |
And robots that can work alongside humans is now seen | :23:26. | :23:28. | |
as a major growth area for the industry. | :23:29. | :23:30. | |
Frederik Brantner is the chief executive | :23:31. | :23:31. | |
and co-founder of Magazino and he joins us now. | :23:32. | :23:35. | |
Explain how this works. We are building a robot, so if you order | :23:36. | :23:45. | |
something online, for example shoes, you would need to walk to the shelf, | :23:46. | :23:53. | |
was only automation for palates. Now we can retrieve the single item. It | :23:54. | :23:59. | |
is the first time robots work side-by-side with humans in this | :24:00. | :24:03. | |
way, that it stops if a human gets in the way. We've seen robots taking | :24:04. | :24:08. | |
over in many other places as well and it's about bringing together | :24:09. | :24:16. | |
human interaction and robots. How significant is that? In the past it | :24:17. | :24:22. | |
was a robot arm which the David -- decided what to do. But if something | :24:23. | :24:35. | |
changed, they would not be working. But now they have computer vision | :24:36. | :24:41. | |
and this is the big change, they get smarter, computer vision makes the | :24:42. | :24:52. | |
robot work together with the human. It costs 100,000 euros to buy this | :24:53. | :24:56. | |
robot, but it will replace several humans and it can work around the | :24:57. | :25:01. | |
clock, what happens when it malfunctions? You maintain it | :25:02. | :25:11. | |
constantly, there is a software upgrade, the main thing is it works | :25:12. | :25:21. | |
alongside humans. This working side-by-side enables the human to | :25:22. | :25:31. | |
have a better job. At the same time, the robot can do what he is good. | :25:32. | :25:38. | |
You can see the robot here, they have a mind of their own. They do | :25:39. | :25:49. | |
malfunction. It has been great to have you on the show. Thank you for | :25:50. | :25:51. | |
bringing in the robot. If you are starting off with morning | :25:52. | :26:16. | |
sunshine and cloud free skies, don't be lulled into a false sense of | :26:17. | :26:22. | |
security. Come the afternoon we are | :26:23. | :26:23. |