26/07/2016 BBC Business Live


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This is Business Life. Amazon gets the UK, a landmark deal that could


revolutionise the way we shop. It is what we will be droning on about on


Tuesday the 26th of July. His science fiction about to become


business fax? The retail giant Harmison world test B testing drains


in the UK to deliver parcels to your door. Eddie Chambers so the current


rules, drones will be allowed to fly out of sight of the operator. Third


time lucky for the creation of a superstar market to rival the


US and Asia? We will find out if German


go-ahead to merge with the London stock exchange. We will have the


details of the markets, and assess what is


moving the numbers stop larger central banks


printing money, later in the programme we will speak to the boss


of the Royal Mint. 1100 year old country, manufacturing cash for


dozens of countries around the world.


Starbucks introduces a new dress code., dark colours and playing


patterns are in, bright colours are out. Are you a fan of work dress


code? I meet the dress code, you do not


text Mac get in touch. Was not the programme with the skies


above our heads. They can start getting busier. The


retail giant Amazon has agreed a deal with the UK


Government to start testing the use of drones to deliver parcels to your


front door. Heung-Min Son wants to examine how hundreds of


robotic aircraft could buzz around our skies safely. It could


eventually mean small parcels arrive at


just 30 minutes of ordering them online.


Ministers say it will pave the way for all businesses to start using


the technology in the future. It sounds like something


out of Harry Potter, thousands of parcels being flown


through the air then dropped off But drones delivering your shopping


could eventually be What this is about is working out


how to do it safely. Are we going to need


new laws, for example? And, of course, they are going to be


going over people's gardens, How can you guarantee


they won't fall out of the sky? There are going to be people


who just don't fancy the idea. we need a broader societal


discussion, not just the government and Harmison getting in a huddle for


the sake of the economy. The sky is the limit for drilling technology,


if they can convince people it is private and safe. Let's stay with


this, David Lane is a professor of autonomous systems at the University


of Edinburgh. Great to have you on the programme.


Seriously, do you honestly believe this will become a reality? You


think about the safety and air regulations this will have to get


through? It is likely to be a reality, it is


happening. Not just Harmison, Google, DHL, also in China.


Fantastic that the UK has been chosen by hammers on as the place to


come. We have the best regulatory environment. Give me a timescale,


I'm in central London, when will I get a package in 30 minutes. Not for


me to say how long it will take to adapt the regulations. It will not


be tomorrow. Quite a bit of testing there has to be done, the


technology, also the wider societal discussion with people. It strikes


me that the important thing to day was a deal with the UK Government.


Landmark agreement, drones will be able to fly out of the line of sight


of the operator. Very strict rules at the moment. That is the most


significant thing. The government has said we are paired to allow you


to do this. -- we are prepared. That is why it have come here. They


cannot do this in the US. We can win market share for this technology,


good for universities and business. I have had comments on running this


story, it is a current theme around the world, terrorists getting their


hands on drones. If they are hands on drones. If they are


permitted to fly over our heads who is to say a terrorist cannot get


hold of it and use it as a weapon? Terrorists can get hold of bull


source weapons already. Nothing new in that. Certainly security of


locations about the way the drones are


configured, how you access the software, how you drive them. All


things considered as part of the test ). These things will not be in


the streets, working for us tomorrow. I'm sure there is a


serious test programme before that happens. We appreciate your time. I


would love to see the difference between costs, drones delivery. I


guess a drone would be Cheaper. That means the driver is


gone, job wise. We will talk about that later. The Frank


reveal this results of a stock exchange merger with the London


stock exchange. with rival the US and Asia. Oil


prices have fallen. A three-month loan, growing concerns of the


oversupply of crude and natural gas. US oil fell 25%. 43 bucks a barrel.


Falling by 12% this year. Brent crude percent. You can buy a barrel


for $43. The lowest level since the 10th of May. Using low oil prices


would be good news for car-makers. General Motors has stalled a planned


$1 billion investment in India while assessing the strategy in the


country. New rules on diesel vehicles have led the company to


rethink plans, 5000 new cars are sold in India every day. The


third-largest car market in the world by 2020. Let's take in Asia.


The economy of Nepal has been thrown into turmoil again after the


resignation of Prime Minister, ahead of a no-confidence vote. Nepal is


set to get his ninth from Minister in just ten years. Alicea following


the story from Singapore. This is made more difficult, the country


trying to rebuild after the devastating earthquake. Exactly


that, a thousand people killed, they are trying to push


forward reconstruction spending. Turmoil in the government can


Nepal is one of the world's poorest economies.


You wonder whether this instability will continue to hinder the


country's progress. The Prime Minister resign ahead of a


no confidence vote. Analysts expect the instability to


continue for at least another year. We're


having two countries jostling for influence we have the Cabinet, China


and India. Geographically Nepal is in the


middle of the two. The countries want to have more say in control of


the 28 million people, as well as the fact Nepal sits on a very


significant energy route. China is the biggest investor. India the


biggest trading partner. With this resignation, India may win more


influence of the government. Thank you for staying across that. Quick


look at the numbers. Tokyo shares down for a third straight session to


date. The yen rally worrying investors. We will touch on that


later. There are US and Japanese central bank meetings, we may see


action to kick-start sluggish growth. Brent crude up, $44, down of


late. A pretty mixed session in Europe, the FT-SE 100 sliding back.


Up about a quarter so far today. Let's heads stateside. We have the


details about the day ahead in Wall Street. More news coming from


Verizon, head of purchase of Yahoo. Labour costs will increase, that may


weigh on their earnings. Reported earnings from Apple and Batth. Apple


painting a gloomy picture back in April, forecasting a weak quarter.


Analysts unsure whether the soon-to-be-released iPhones seven


can reinvigorate sales in the second half of 2016. As for Twitter, that


is their biggest challenge, stagnating user growth. The CEO


wanting to enrolment new users through live video, tweaks to the


length of tweets. The managing director of Pimlico joins us. For a


UK audience, you know they know what you are talking about. For the world


audience, talking about BT and Ofcom. It is the bit that installs


the cables, and the bit that sells it. The national operator has this


infrastructure, being used to provide broadband services. The


issue is how much is opened up to competition. How much investment


they put into that particular part of their operation. A list of


tension between BT and competitors. Competitors pushing for a full


separation of the infrastructure and provision of service. At the moment


Ofcom once a formal separation of the two entities, still within BT.


Trying to put pressure on BT. Hopefully this will alleviate the


complaints of some of the other companies, being tough on


competition. We will talk about the papers later. For now, thanks. Still


to come secrecy, the name of the game for the UK's Royal Mint. We


will hear why silence is golden. I don't think the coins are golden.


You are with Business Live. Natwest and Royal Bank of Scotland


have warned business customers they may be charged for depositing


money in accounts, due If enacted, the move would make them


the first UK banks to introduce negative interest rates which,


in effect, means they'd be charged Theo Leggett is


following this for us. This is interesting, there are other


countries, I can think of Japan, with negative interest rates?


Yes, Sweden, the European Central Bank has even done it for some


deposit. The point about this is low interest rates are not particularly


good for banks in terms of profitability. There is a lot of


talk about interest rates in the United Kingdom going lower because


of what happened on June the 23rd, the EU referendum. It has had


certain effects on the UK economy and there is lots of speculation


that the Bank of England may choose to drop interest rates from 0.5% to


0.25% in August, potentially going lower. What NatWest and the Royal


Bank of Scotland have said is that their commercial customers may be


asked to paper the privilege of depositing money with those banks if


interest rates go to low but we can interpret this as a warning that


they would not like to see interest rates in the UK falling Tullo. So it


is not something that is necessarily going to happen, it is preparing the


way of saying, this is what we would have to do if interest rates in the


country go to low. Great stuff as always, we will talk


to you soon. Sir Philip Green is threatening


to take legal action against Frank Field,


after the Labour MP criticised him Lawyers acting for the businessman


have given Mr Field 24 hours to apologise for comparing


Sir Philip to the late media tycoon Robert Maxwell,


who took millions from A bit more on that BT news that we


were discussing, Openreach, the part that installs the wires and cables,


should become a distinct company, says the regulator, but has resisted


calls to split it off entirely. It says Richard have separate staff, a


separate board and separate branding, all designed to avoid


additional cost or disruption to consumers. Full details on our


website. Our top story is drones. Amazon has


been given the green light to test, from UK Government, to test services


that deliver their parcel. You are doing really well!


I have been doing it all morning! To deliver parcels to the house, they


say, 30 minutes after ordering. I still want to know what happens if


you live in a flat. A quick recap of the market in the


first 45 minutes of trade, pretty flat across mainland Europe.


How would you like a licence to print money?


Each year, the UK's Royal Mint makes currencies for dozens


of countries around the world, but it's not allowed to disclose


many of its international clients for security reasons.


But the use of notes and coins has been in decline as more of us switch


Last year in the UK, electronic payments outnumbered cash


The Royal Mint has been making coins for hundreds of years.


In 2014, it launched its bullion trading website, which allows


investors to buy and sell gold coins and bars.


Gold is seen as a safe haven - somewhere to put your money


We're joined by Adam Lawrence, chief executive of the Royal Mint.


1100 years old, right? You are looking good! Welcome to the


programme, good to have you with us. So many questions. Let's start with


that, this cashless society that we are becoming. That has got to hamper


your business? The death of cash is predicted but we are not there yet,


we will not be that for a long time. The volume in the UK and many


overseas markets has actually been increasing, so the number of


transactions has been decreasing but the volume has been going up for us.


Some will think of the Royal Mint, in charge of making the money year


in the UK, but I know you cannot say, but there are lots, the tie


but, right? We make some of the blanks for Thailand, the coin before


it has the head and tail on it, and we make them for many other


countries, usually about 50 countries every year. Speaking of


the coins, one thing that interests me is the counterfeit coins,


staggering numbers of counterfeit ?1 coins, so much so that you are


introducing a new one next year with 12 side and that sort of thing? How


do you stay one step ahead of the fraudster? It is a difficult task


but we have brand-new high security features, which I cannot talk about


for obvious reasons but it is cutting edge and will allow us to


have a binary is it real or not? The great thing with the ?1 coin, we


have some overseas customers as well. Looking at those pictures, the


little piece of metal, if you will, and we have seen commodity prices go


all over the place, lots of them down, and the prices of metal, does


that affect your business? Because ?1 is ?1, right? It affects


customers' decisions about whether to make new coins and what materials


they might use. Hopper is used a lot in coins, if they go up it might


mean people change. It provides an opportunity for us to introduce new


styles of coins with the -- like with the 5p and 10p a few years ago,


predominantly nickel, which saves the taxpayer money. One thing I want


to know, these commemorative coins for weddings and birds, that sort of


thing, are they worth the? Of course they are! They are commemorative


products for people who want to keep them as a keepsake and I think for


the people who buy them there is inherent value in what they are


buying it for. We have been told to wrap it up! As an Aussie, how do you


become the big boss of the Royal Mint?! I had a pharmaceutical


background before this, finance, moved here, it is a fantastic


organisation, I was given the opportunity five years ago and I've


loved every moment of it. From drug making it a moneymaking! Great!


We appreciated, thank you very much -- from drug making to moneymaking.


They say you have to dress for success in the modern world.


In a moment we will be talking about Starbucks' new dress code,


but first let's hear about the do's and don'ts for today's business


leaders from Designer and tailor Ozwald Boateng.


A lot of CEOs don't get the power image, and they don't get the power


of their own brand that they work for, so I find sometimes a lot


Are they a bit afraid to express themselves fully?


They're thinking about their company's brand and reputation?


Some of them have an awareness, and they think, "I need to dress


a certain way," and I've experienced it when they say, "I don't


I say, "That is really anti what I do!"


You don't necessarily have to wear a suit,


but you have to be consistent in whatever that image is.


So, you had Steve Jobs always wearing a black rollneck.


If you're wearing clothes where you're confident in them


and you're enjoying them, that will reflect in the way


You have got to feel good about yourself, and when that's


happened, that radiates through who you are in your personality.


As promised, Mike is back. Let's start with the Starbucks dress code


story, lots of tweets coming in. One example, all dress code is a


side-effect of power hungry management who think they are more


important than they are! Keep those comments coming in. Your


thoughts on it? What is interesting about the Starbucks one, they


already had a dress code but now there are certain dos and don'ts,


and some are surprising, particularly the headgear. The ones


on the left are what you can buy, the ones on the right you can't. You


would not want a tiger print fedora, for example?! We don't have those in


our office either, so I agree with that! Baseball caps are not that


prevalent, either! Is that right, in today's society? Starbucks is an


internationally recognised brand, you want to make sure people feel


comfortable working for them and if you pigeonhole them too much you


reduce the appeal of working for them, so I think that is what they


are trying to do. I gather it is a 15 page document so I the spec there


are some quite entertaining pieces in their! Do you have dress down


Friday in the office? We do. What is that, in the city, just taking off


that I? More or less! But during the summer months we have something more


casual. To be honest, if you were on the tube, just taking your tie off


makes a big difference! Let's turn our attention to this


55,000,000-dollar payoff the Stephanie Meyer, this was yesterday.


An amazing number, are pretty staggering payoff. This is a


challenge we see everywhere at the moment, levels of pay, and the


clarity around it, to be fair to her, the Yahoo stock price has gone


up so to some degree she has put a lot of money there for the


shareholders, largely on the Alibaba part, so this has crystallised in a


short space of time. And Alibaba is crucially not involved in the sale.


Hanging onto that one. So it should be seen as a success? The price has


gone up by 150%, so, on that basis, to some degree she has done


something right but clearly is doing well with those numbers.


But to see you, that is it from us, we will be back tomorrow, same time,


same place. Have a good day, goodbye.


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