20/02/2017 BBC Business Live


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This is Business Live from BBC News, with Ben Bland and Sally Bundock.


America's Vice President meets European leaders in Brussels,


as the future of trade relations remains shrouded in uncertainty.


Live from London, that's our top story on Monday


The US and Europe are the world's biggest trade blocs.


But tensions between the two sides have been rising.


The world's biggest potential takeover gets canned.


US food giant Kraft Heinz now says it won't buy its rival Unilever.


That's how the market looks at the start of the trading day.


Making sure everyone gets in on the act.


We'll meet the woman putting disabled actors centre stage.


Supermarkets say we're buying more organic fruit and veg.


Do you think it's worth the extra money?


The US Vice President Mike Pence meets the President


of the European Council Donald Tusk in Brussels this morning.


They will try to mend fences after throwing rhetorical fire


crackers at each other in recent weeks.


While Mr Tusk described Trump as a threat to Europe,


Mr Trump has praised the UK's decision to leave the Union


and angered many nations with his travel ban.


Between them, the US and the European Union are the world's


Figures from 2014 put the value of all goods and services traded


It sold $91 billion more stuff to the USA than


Something the Trump administration would like to change.


And since 2013, the EU and US have been trying


to broker a free trade deal, the so-called Transatlantic Trade


and Investment Partnership, TTIP, that would eliminate tariffs


But President Trump has said nothing about it since his election.


Many though expect TTIP to be scrapped.


Where differences have emerged, it's been over


currency valuations, car exports and


Leslie Vinjamuri is an associate fellow of the US the Americas


Programme at the Chatham House, a thinktank here in London


Mike Pence has been in Europe for a few days, talked us through how it


is going? The vice president was at the Munich


Security conference, the premier meeting of ministers and notable


officials across the world. He spoke about America's commitment,


reaffirming it to Nato, but he did not speak about the EU which left a


lot of European leaders concerned. He is going to Brussels today.


There is a broader question about whether or not there will be some


concern about whether America will try to amend the unravelling of the


EU. President Trump has been supportive of Brexit, talking about


a bilateral trade deal with the UK. There has been no clear commitment


to supporting a multilateral vehicle through the EU. Donald Trump is


opposed to multilateralism and has sought to work by naturally with


most of the country's partners. The focus of the visit by Mike Pence


has been about security, Nato, but there is a lot of overlap between


security and trade. Prior to him coming, the


conversation between the US and Europe has not been good.


It has been unsettling for most of the European leaders, the idea Trump


gave the interview in January and said Nato was obsolete. And put


Europe on the back foot, saying, you must increase your defence spending


if you want us to be committed to Nato. This weekend, renewed pressure


for Europe to step up and those states not hitting the 2% of GDP the


spending on defence to really step up.


There is a broader conversation which is who is really in charge?


Donald Trump has not stepped up in the same way to affirm that


commitment to Nato or the EU. A lot of people are watching this to see


who is really running the ship will stop so much uncertainty from the


US. Very unnerving for Europe. The visit today is very important.


The other thing I mentioned was the transatlantic partnership, Donald


Trump hasn't said much about that since taking office. Do you think


there is any hope for any sort of trade deal between the US and the


EU? Or is that I get out of the water? I


think TTIP is probably very unlikely to move forward. The Trump


administration has been very reluctant to push forward new


multilateral trade deals, it has pulled out of Asia.


TTIP is unlikely to move forward. What we are likely to see is,


whatever talks go on about trade, it will be with this agenda of American


interests must come first. What does that mean? We don't know yet. A lot


coming out of the Trump administration is rhetorical. We


haven't seen very significant efforts in terms of legislating or


pushing forward policies. A lot of uncertainty, we are still operating


at the level of what will the stated commitment be, on trade.


But little movement so far. Thank you so much for coming in and


sharing your expertise. We shall keep you across any news that comes


out of that meeting today between Donald Tusk and Mike Pence.


It will be interesting. Japan's trade deficit grew by more


than expected in January to about $9.6bn, largely


because of the increased Nonetheless, exports increased


by 1.3%, despite a fall in vehicle sales to Europe


and the United States, amid concern of protectionist trade policies


from President Trump. The latest numbers mean


Japan's trade surplus Ride-sharing service Uber has opened


an investigation into allegations of sexual harassment made


by a former employee. The boss Travis Kalanick said


there was "absolutely no place" for the type of behaviour detailed


in a blog by former engineer Susan Fowler who left


the company in December. It is likely to bring a renewed


focus to sexism in Silicon Valley with several commentators suggesting


online that her experiences were instantly recognisable to other


women working in the tech industry. A lot of news on our website, quite


interesting is the story our second headline, Kraft Heinz has decided it


is not going to go ahead with a better or renewed offer for


Unilever. That has had an immediate impact on the shares on the


financial markets. Some are saying perhaps it is the previous


experience of Cadbury that was snapped up by Kraft Heinz which they


have impacted on this deal. This paragraph saying, Kraft Heinz


will find it difficult to win over UK politicians because of concern


about what it might mean for British jobs. More analysis on that as well.


A New Zealand judge has upheld an earlier court ruling that


flamboyant internet entrepreneur Kim Dotcom and three


of his colleagues can be extradited to the US to face criminal charges.


What more do we know? Basically, he was the founder of the now-defunct


mega upload .com. Five years ago the US authorities


shut down that site. Putting some 15 charges against him of racketeering,


money-laundering, copyright infringement amongst other things.


The New Zealand High Court has said he is not guilty of copyright


infringement and cannot be extradited under that. But he can


still be etched dieted under conspiracy to commit copyright


infringement, that goes for his other co-defendants. All four say


they will appeal this case. The defendant says he expects this case


to go on for another two years, this extradition court case.


He posted it as a David Angella case. We will see whether he, his


case stands up against the law. Christine, thank you very much for


that. Let's take a look at how the markets


are doing. Asian markets were mixed


as political uncertainty globally Japan's Nikkei went flat


after domestic data showed exports US financial markets will be closed


for a long weekend holiday, European markets starting


the new trading week with gains Worth watching what happens


to Unilever shares after US food company Kraft Heinz


withdrew its proposal Unilever's shares jumped 13%


on Friday on news of the bid. Lots of corporate results


due out this week. The UK's big banks will report


their annual profits, including HBSC, RBS,


Lloyds and Standard Chartered. Also due out, results


from the big mining companies including BHP Billiton,


Glencore and Anglo American. US stock markets are closed today


for the President's Day holiday. But here's Michelle Fleury


in New York with the details of what to look out


for later in the week The question is will they be able to


build on the gains last week, the major indexes have been buoyed


partly by Donald Trump's promises fewer vacations and tax cuts for


businesses, all happening against a backdrop of an improving US economy.


That progress was pointed to, but the dangers of waiting too long to


raise interest rates. Investors will be looking at the latest Federal


reserve meeting the clues of any imminent hike.


On the economic front, Wall Street will be looking at plenty of data on


the housing market and an insight to the manufacturing sector, look out


for the report for February. Wrapped up only that, freezing in


New York. Joining us is Jessica Ground, UK


Equities Fund Manager at Schroders. Quite a bit going on. Let us talk


about Kraft Heinz and their pull-out of pursuing Unilever. Interesting, a


swift reversal of intentions late yesterday.


That was because Kraft Heinz really did want to lose Unilever, they felt


it had to be an agreed deal partly because Unilever has those iconic


brands, partly because Kraft Heinz have a mixed track record having


shut down those Cadbury plants. I suspect when it became clear


Unilever was less than enthused, they decided not to go ahead.


Unilever shares down 8% this morning, no surprise. They were up


over 10% on Friday on news of a possible take over.


A bit of a round trip on the situation.


Mentioning the results we are expecting later this week, the big


banks, big mining companies, that will all move the markets presumably


in One Direction or another. They are large parts of the markets,


two different trends, with the commodity markets, compared to a


year ago were the figures were so low, commodity prices are much


higher. We are still looking for evidence the management teams are


disciplined, keeping a lid on costs, not having that boom and bust


mentality. The banks, it will be interesting.


Particularly some of the forward looking indicators for the


consumers, high levels of indebtedness, employment is high


which is great but there could be interest rate highs is on the


horizon, so it will be interested to see what the banks do on that side.


Thank you for now, Jessica will be back soon. We will be talking about


organic food sales. Do you buy organic?


Sometimes. Do you? Me too.


I try to grow my own. The last organic vegetable I've bought was


properly. --


A question of equality, We'll meet the woman making sure


disabled actors get their turn in the spotlight.


Online retail giant Amazon has said it will create 5,000 new full-time


The jobs will be across the business in the London head office,


Edinburgh customer service centre, and in three new warehouses.


Let's speak to Natalie Burge. Tell us more, why is Amazon investing so


much in the UK? Amazon is committed to the UK. It is their second


largest international market after Germany and they view the UK as a


very strategic market. There is a lot of overlap between US and UK


consumers. They see it as a very familiar market when it comes to


rolling out some of the big US initiatives. They see the UK as an


international launch pad and that's why, if you look over the past year,


we have seen the launch of Amazon Fresh, their online grocery service


here in the UK. They delivered their first order by drone before


Christmas last year and we have seen the roll-out of their virtual


personal assistant. So they're clearly doing a lot in the US and


they view the UK as a gateway to the international market.


That's interesting the creation of new jobs, because the other


direction that Amazon has been going in is using these drones for


deliveries and there has been a lot of talk about drones perhaps taking


the jobs of some delivery drivers? Yeah, I mean, you know, drones are


certainly part of their fulfilment offering, but the more significant


pieces is the fact that they are opening three new fulfilment centres


in the UK and it just shows they need additional warehouse capacity.


Drones will be part of it, but I think if you look at what they're


doing in terms of they are seeing growth in their own products, but


they are seeing growth in their third party sellers, their market


place vendors and this is really significant because from a


consumer's point of view, they go to Amazon.co.uk for assortment. You've


got 150 million products on this website and if they're able to have


access to the products and also have the benefit of Amazon's speedy


delivery, well, it is a win, win. I think it is quite significant.


Thanks, Natalie. Lots more to discuss on our website.


Take a look and news about Bovis setting aside more money for


customers. Our top story, the US vice-president


Mike Pence is holding talks with EU It comes at a time of growing


uncertainty over relations between the world's two


biggest trading blocs. A quick look at how


markets are faring. It is President's Day in the United


States. No action there later on today, but European markets are


pretty flat. As Ben and Jessica were saying earlier, lots of corporate


stories coming out as the week progresses so there will be plenty


to chew on as the week progresses. All this week we're looking


at the relationship between disabled people and businesses and how


they work for each other. An estimated 1.2 billion people


around the world have But they still don't always


get access to the same Well, one talent agency is trying


to change that when it comes VisABLE People was founded in 1994


and became the world's first agency It now handles the careers of dozens


of actors and models, and says it helps put disabled


people into mainstream media focus. So it has got its clients roles


in top BBC shows like Casualty and EastEnders as well as on TV ads


for big companies like the British supermarket chain Sainsbury


and the mobile phone provider Joining us is Louise Dyson,


founder and CEO of VisABLE People. Good to see you. Good morning. Just


tell us, you started in 1994, 23 years ago, why? At the time I owned


a model agency. It was a big agency. The biggest outside London. We had


all sorts of different clients and one of them was a manufacturer of


mobility equipment. And they decided that they wanted to begin to use


genuinely disabled people to model their products and I didn't know


any. And we decided to organise a competition, nationwide, to find


people who had modelling potential and also who had disabilities and we


had the most fantastic response. We had over 600 applicants which was


just wonderful. Very high standard. So that's how it all started 23


years ago, but you're still the only agency in the whole world that


represents disabled actors, models, representatives, for various areas


of work. Why is that? I think the reason we are owe the only agency


that only has disabled artists and model and covers every area of the


work is because most agencies tend to specialise. You will have an


agency that perhaps just has presenters and an agency that just


has voice-over artists, an agency that has model, an agency that has


models. Because it has been a case of trying to create a market from


scratch, it has been a case of also having to be good at all things. So


we have different people who are capable of doing the different kinds


of roles and I suppose in that case it all has to come under VisABLE


People. The reason there aren't any other agencies doing what we do


because it took 15 years before it was even faintly profitable really.


It was a conscious decision not to have the word, "Disability" In the


name of the company, wasn't it? Why would we? You were saying to us, you


know, you think that the term, "Disabled" Is outdated and


unhelpful? I think the word "Disability and disabled" Doesn't


conjure anything exciting. I have got fantastic people who have got


energy, and beauty and skills and you know the world disability


doesn't really help that. Where do you see the business going? What


kind of hopes and dreams do you have for the future of it? I think one of


the most exciting developments has been the increase in the number of


bookings we've had from other countries. And the exciting part


about that is that it means that the message, the whole point of VisABLE


is to change the mindset on disability. If we succeed in doing


that in other parts of the world, that means we're achieving our aim


really, but I do envisage opening up in other markets. It means opening


other markets. We did have to create the market in the UK to begin with


and it means rolling that out into other countries. But you personally


had to be extremely, you know, you had to really persevere in this


because it has taken awe long time. You're only faintly profitable after


15 years in trying to build this business and yet you stuck at it.


Were you not tempted to just... No. Pull the plug? No, I was never


tempted to do that. It was such a great idea. It was a great idea


because of the power it has to influence people's thinking. It is


all about, it is specifically not a charitable venture, although I would


describe VisABLE as having social enterprise conditions, in that we


have an objective which is for something good, not just about the


bottom line, but at the same time, it really does, it influences


people's thinking. Louise, thank you for coming in today and sharing. It


is very, very interesting. Louise Dyson of VisABLE. It is a


deliberately funny spelling. Well, it works. Well done, thank you for


coming in. In a moment we'll take a look


through the Business Pages, but first here's a quick reminder


of how to get in touch with us. The Business Live page


is where you can stay ahead of all the day's


breaking business news. We will keep you up-to-date


with all the latest details, with insight and analysis


from the BBC's team of editors Get involved on the BBC business


live web page: bbc.com/business, on Twitter @BBCBusiness and you can


find us on Facebook Business Live on TV and online,


whenever you need to know. Jessica Ground, UK Equities Fund


Manager, Schroders is back. Jessica so the Guardian, organic


food sales are soaring as shoppers put quality before price. How long


will that last, we wonder? Well, quite interesting because in the


last financial slowdown we saw shoppers move to discounters and to


cut back on eating out. But I think that we've got to divorce the


cyclical from the stuck turl. There is this long-term trend towards


cleaning eating, healthy eating, Instagraming your food, but as


consumers spending power comes under pressure from higher inflation they


start to cut back and it will be interesting to see. We had a few


tweets about this. We asked do you buy organic or not? Grumpy Pete said


no, it is a waste of money. Jerome said organic veg, but only if it is


in season and not flown in. It may taste better, but it is too


expensive in the UK. Jessica? A mix and match. There is a massive debate


in our newsroom about this with one of our producers saying it is a con


unless you buy it from the farm. Let's look at Bill Gates. This is


really interesting, the Financial Times Bill Gates is calling for


robots to pay taxes. What is he talking about? He is pointing out


that the rise of robots is going to cause a lot of disruption for labour


markets and make a lot of jobs obsolete. He is pointing out that


employment produces a lot of tax for Government. He's saying let's tax


robots and use that money to retrain workers. In a nutshell. As you can


tell we're both humans by how the programme has gone! We will see you


soon. Have a really good day.


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