22/03/2017 BBC Business Live


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With the UK also making aviation security tighter than ever


what will it mean for competition and safety in the skies?


Is it about more than mining and meat?


China's Premier talks trade in Australia but can


they restart a Pacific free trade deal?


This is the situation in Europe. Stocks are on the slide following a


Wall Street sell off triggered by Donald Trump's inability to bring in


tax cuts and spending plans. And we'll be getting


the inside track on the most iconic The boss of the Magnum photo


agency will tell us how they make their pictures stand out


in the age of the smartphone. Today we want to know in light


of the laptop ban on some flights, Welcome to the programme.


after your valuables Airlines across the Middle East


and North Africa are scrambling to meet Saturday's deadline


to enforce a ban on electronic devices in cabins that's


being imposed by the United States It's already led to shares


in Turkish Airlines and budget airline Pegasus


falling this morning. Importantly the two bans affect


different countries. The US decision impacts


flights originating from airports in Morocco,


Egypt, Turkey, Jordan, Lebanon, It means it captures some


of the world's biggest long haul carriers including


Emirates, Ethihad, The UK ban has a more limited focus


- it doesn't include Morocco, the UAE or Qatar -


but it does include Tunisia. British Airways and Easyjet


are among the airlines affected. Officials from both governments say


bombs could be hidden Any electronic device larger than 16


x 9.3cms is affected and will need to be


placed into hold luggage. I'm joined by our business


correspondent, Theo Leggett. You could just imagine the


confusion, the delay, the frustration that this is going to


ensue, not to mention the concern about your valuables in the hold?


There are two points here. The US ban of the two is the more


significant one because that includes flights from major Middle


Eastern hubs, Doha, Dubai and Abu Dhabi. So those are the hubs of


Emirates, and Qatar Airways. Major business travel companies. The


potential for disruption is severe as a lot of passengers will be


taking connecting flights into those hubs and they will not be sure what


to do with their electronic devices which will have to be packed in the


hold from the start of their journey. For the passenger, it means


not only do you not have your electronic devices, but it a laptop


or DVD play or E-reader on the plane, but it has to be packed in


the hold. Normally, packing valuable items in the hold is a no, no


because we know things go missing. They go missing a lot. By the time


found out that something has gone missing from your bag in say


Istanbul, you're back in London. Because things go missing so easily


or are damaged, they're not insured either, usually? No, sometimes they


are not insured and that's another problem and don't forget data is an


issue as well. If you are a businessman, you're carrying your


laptop on a plane, it may include confidential data on it, you don't


want it to be in the hold in case it goes missing or falls into the wrong


hands and the wrong people see that data. This could be really difficult


for the airlines. Some travellers from Australia and New Zealand may


choose to fly via Singapore because of this? They have alternatives and


what some are saying there maybe a protectionist element to the US ban


in particular because that does include the hubs of Emirates and


Qatar Airways, the three airlines are strongks financially robust


airlines and their American rivals believe they trade unfairly. This


ban has its origins in safety concerns and may have been widened a


little bit to include them and to make life a little bit harder for


those airlines. No surprise today we're seeing, you know, shares in


some airlines falling in response to this. I mean it is going to be a


real headache on many levels, isn't it? We know from past experience


when new security arrangements are introduced it leads to


inconvenience. The classic was in 2006 when many airports introduced


new restrictions on carrying liquids on board flights. People don't come


ready to the airport for that kind of thing. They don't know what to


expect. There are delays passing through security and that could lead


to delays on flights as well. There is a lot of details on our website


with diagrams and detail. Uber has admitted that


the relationship with its drivers has become increasingly strained,


and it has vowed to The ride-sharing firm told the media


at an online press call that some of its policies


were "unintentionally In particular, drivers


for the company will now have more ability to defend themselves


against rider Dutch banking giant ING has


confirmed, that it is the target of a criminal investigation by Dutch


prosecutors into money The company's shares have fallen


because it conceded it could face big fines as a result of the probe.


A US court has ruled Bank of New York Mellon must face


Commerzbank over claims it is liable for $1 billion of losses incurred


by the German lender from toxic assets it bought.


District Judge George Daniels in Manhattan said Commerzbank can


pursue BNY Mellon over allegations it was in breach of contract


and negligent, but dismissed three other claims.


Bank of New York Mellon had no immediate comment.


David Wollmuth, a lawyer for Commerzbank, declined to comment.


Ates week today. Do you know what it is? The triggering of Article 50. In


the run-up to that, you can imagine the various organisations and lobby


groups are saying what they want out of that negotiation process. The


House of Lords is putting pressure on Prime Minister Theresa May to


make sure that there is a good deal for certain businesses, certain


types of businesses in the UK. We'll have more detail on that later in


the show, but that is on the Business Live page today among other


business stories. China's Premier Li Keqiang


sets off for a trip China hopes to enhance free trade


agreements with both nations and promote cooperation in science,


technology and innovation. Hello there Steve. This is a very


important trading relationship, isn't it? Absolutely. I mean perhaps


to give you an idea of the spin I guess, the premier is putting on it,


he has written a piece in the Australian newspaper today and he


starts off with the line, "We live in a world with growing


uncertainties and a sense of disorientation." A lot of people


would agree with him on that. Then he goes on to speak about less than


desirable global economic recovery, rising protectionism, heightened


geopolitical rivalry. It is pretty clear what he's doing there is sort


of aiming at, I guess, a contrast with the United States' position of


pushing up trade barriers. He's saying that China and Australia and


other like minded countries should be defending free trade. I think on


that question, he'll get a warm reception in Australia. Certainly,


you know, China and Australia are big trading partners. China is


number one trading partner with Australia and for that matter, he's


going along to the football even to see the Sydney Swans play so he's


bound to have a great time. Thank you very much for that update


in Beijing for us. Interesting what they'll get up to.


So shares fell in Asia with Tokyo tumbling by more than 2% after US


stocks took their biggest loss in five months. The dlarl fell against


the yen. The Hang Seng dropped by 1.1%. The sell off was spurred by


legislative obstacles by a health care bill backed by Trump that


raised questions over his prospects for boosting growth and regulations.


The Dow closed yesterday down more than 1%. Let's look at Europe.


Stocks are also on the slide following that fall on Wall Street.


All the price are lower affecting -- oil prices are lower.


And Samira Hussain has the details about what's ahead


American regulators are looking to shorten the amount of time it takes


for a security straight to settle. They are looking to shorten that.


The governing body the SEC will hold a mick meeting to vote on adopting a


new final rule. The National Association of Retailers is


expecting to report that existing home sales fell 2% in the month of


February. And finally, the Canadian Government will release its second


budget under liberal Prime Minister Justin Trudeau. The Government is


not expected move much room for spending and investors will be


watching for any changes to tax policy and further details on the


liberals plans to grow the economy at a time when the country faces a


number of uncertainties including American trade policy.


Joining us is Jeremy Stretch, head of currency strategy


We are talking about this big slide on Wall Street the night before. It


is continuing through in Asia and Europe today? Well, big slide, yes.


More than a 1% correction because we have been used over the last four or


myself months to continuous record highs and that's become more note


worthy, but it is a recognition that markets have become over ambitious


in terms of anticipating the regulatory changes and the fiscal


expansion that was going to be brought forward by the Trump


administration and we're having a reality check here. Do you think it


is to do with the health care Bill which is being pushed through


Congress. There are fears it won't get through because of opposition


and that could delay his agenda? It is being seen as a litmus test. Yes,


I think it is clearly been seen in a sort of an obvious light in that


regard and I think, markets and investors look back to November and


thought well, Republicans have swept the board in the political


establishment so that will allow them to push through their


legislative framework, but the reality is different because we have


the fiscal hawks amongst the Republicans and those resistant to


the structural changes that the Trump administration are putting


through and that's why we're having this reality check. We're seeing the


oil price falling because of concerns about oversupply and the


ineffectiveness of Opec. We had the inflation figures in UK which were


stronger than expected. There is a picture emerging where people are


parking their money in safer places? To an extent. You talked about the


fall in the Nikkei. The strength of the yen has come through. Ultimately


it is a case that until there is more clarity, than you may well find


that investors retreat back to domestic markets, but we are in a


world where interest rates are starting to move higher and that's


causing markets to have to refocus on issues that they haven't been


used for perhaps more than ten years. In the bond markets, prices


are falling a lot following the interest rate rises. Yesterday,


there was a little correction, wasn't there? I think what we have


seen is investors have been betting with interest rates in terms of


Government bonds. Government bond yields would move up dramatically.


Some of the positions are becoming stale and frustrated and people are


starting to take them off until there is clarity. We know that the


hikes are still coming, but it is the pace and the trajectory of those


which are causing markets and investors just to be frustrated and


maybe just take some profit or reduce some of the risk. For now,


Jeremy, thank you very much. He will return. Jeremy travels a lot to the


Middle East and back and across the Atlantic so we'll get his take on


this ban of electronic devices. And bring in some of your views as well.


how one of the world's largest photo how one of the world's largest photo


agencies stands out in the age of smartphone. You're with Business


Live from BBC News. There's just a week to go until


Britain's Prime Minister Theresa May formally starts the process


of the UK's departure And there's another warning


on an uncertain future for business. The non-financial services sector


is at risk of "significant damage" if there is no free trade deal


before the UK leaves the EU. That's according to


the House of Lords. Lord Whitty, Chairman


of the EU Internal Market The thing is, it is very difficult


to establish how much damage could be done or not at all in fact


because we haven't yet got the deal on the table. So there maybe these


warnings, but are you saying that people aren't listening to you? No,


we're not saying that. We're saying that the Government in their


dealings in their aim to get a Free Trade Agreement need to get as close


as possible to the conditions in which the services operate in an EU


single marketment we are talking about a range of services from legal


services through to music and travel arrangements, ravation so there is a


whole range of sectors where actually the Brits are very


competitive within Europe and they want to maintain that, but that will


require specific deals for those sectors.


How can you expect the specific deals for specific sectors to be


addressed fully and for those involved to be engaged in the


process? The Government are making an effort to find out the problems


of each sector. But they need to be continuously engaged, because the


arrangements will be complex, we do not know what the sequence of events


will be, and there will be trade-offs and compromises. Some of


the sectors are seriously worried, some are making contingency plans to


operate in a different way within Europe, and all of them are on edge,


looking at what is going to come out.


Loads of other stories out there. Shall we lighten the tone? A plant


in Coventry is to make a new type of London cab. It will look like that.


The CEO of the London taxi company, owned by a Chinese company, says it


is a brand-new look. Read more on our website.


Airlines across the Middle East and North Africa are scrabbling to meet


a deadline to enforce a ban on electronic devices in cabins,


imposed by the United States and the UK. An unrelated shares in Turkey


have already fallen. The markets are all falling,


following the United States and Asia.


And now, let's get the inside track on the photojournalism industry.


With the widespread availability of high-quality but affordable


cameras and equipment, the news industry is seeing


a shift from professional to citizen-generated images.


The market is crowded, with people like Reuters,


Getty and Associated Press dominating the industry.


But a study concluded that in the US the number of press photographers


and videographers has fallen by almost half since the year 2000,


from slightly more than 6,000 to now fewer than 3,500.


With me is David Kogan, executive director of Magnum Photos.


For those who have not heard of your organisation, which is iconic, has a


long history, put them in the picture. In 1947 a group of


photographers gathered after seven years of covering the Second World


War, and they came together in New York, they opened a Magnum of


champagne, and they created an agency where they would carry on


doing their iconic work, but covering the world in turmoil. They


created Magnum, and the agency was devoted then and now to ownership of


our IP, covering great stories, having an elite group of


photographers, different from citizen journalists, and covering


the world as it existed then and today. We added strength to that, we


now have artists rather than photojournalists, and would have a


sizeable round and lineage, which we will sell a break in two months in


New York, assumedly drinking magnums of champagne. The world is a game in


turmoil, as perceived by many. Your industry has undergone a massive


change, which has caused a change in what you offer and how you do your


business. It is interesting when you mentioned the other organisations,


almost all of the big ones depend on selling their images, licensing, but


what we have done, although we have a licensing business and business to


business, what we have always focused on is new work. The world


has been in permanent turmoil, if you look at our archive and the work


our photographers have done, they have been in conflict zones,


covering stories, and the pictures you have flashed up cover a range of


that, and it has been going on for 70 years. The issue is not so much


what we are doing it, it is how we are getting it out to a different


audience and different markets, where digital and smartphones has


created a new group of people who are interested in photography, and


that is a huge opportunity, and that is built real change. He talks about


the fact that you have an elite group of photographers, and yet with


this phrase of the Citizen journalism, many would argue the


industry has been piloted. The elitism is something does having to


change, you have got to embrace the shift from analogue to digital. How


has that worked in your organisation and how have you managed to make it


relevant to a brand-new growing audience and yet try to remain


elite? If you look at the numbers, there are now something like nine to


ten billion images uploaded every year, Instagram in December has 600


million unique users every month. That is an enormous level of


interest and population of people who take pictures, which 20 years


ago did not exist. If you happen to own the greatest brand in


photography, and we believe we do, and you have a group of


photographers who are capable of producing extraordinary work, you


have another Trinity as well as a challenge. We have launched a


website that showcases our work, but the big change is we are now self


commissioning, rather than the pending on magazines and newspapers


who would pay a vast amount of money in the 60s, today they are not doing


that, so we are self commissioning, we had 28 photographers covering the


refugee story, we can create that work, showcase it, and sell it. But


we are also creating a digital division, launching services to our


audiences, those people on Instagram, and we are growing


quickly, as people want to link in to talent and lineage. Fascinating,


trying to bridge the different generations.


With Theresa May expected to invoke Article 50 next week,


kick-starting the process for the UK to leave the EU, BBC


News asks if businesses are changing their strategies


My name is Claudia Furst, I have my own company, Claud Furst.


I have also been exporting my products to France,


I have made the decision of moving my company,


my manufacturing, to Italy, so I am buying in Italy,


manufacturing in Italy, and shipping from Italy,


It would be much more to purchase my materials in Italy,


ship it over to the UK, manufacture in the UK


That is a boss who is taking steps, making changes as a consequence of


Brexit. Jeremy has returned, we will unpack further the story about the


restrictions on travel, depending on where you are going. You go in and


out of the Middle East often. It is fascinating, occurs Theo touched on


something that is fascinating, the US ban includes come -- some of the


major hub airports, which will impact on some of the global


carriers. The security that you see as a traveller in those airports


seems the same as elsewhere, so it is fascinating, the difference


between the UK and interpretation of the rules. How will you get around


it, or will you not be able to get around it? Which you have to put


your stuff in the hold? Absolutely, the rules are as they have been set


out currently. They may be subject to change, and it appears they are


led by security led concerns, but if the rules are still in place, we


will deal with them and all of the room of occasions. In terms of


insurance, loss, etc. It is a scenario which will impact the


business traveller as well as the tourist traveller. That is what we


are getting through on Twitter, people responding to our question,


is your luggage safe in the hold? Better by myself a bullet-proof case


for my laptop, having seen how baggage handlers handled bikes, one


person says. Another person says, they should consider their laptop


100% compromised. Another person says, airlines have cut back on


in-flight entertainment because people watch stuff on laptops. I


have experienced baggage lost and things damaged, and I do not travel


as much as you. Everybody has experienced that. There is always a


risk. We see the suitcases being thrown around, especially the


smaller airports. If you have a high-value electronic item, there is


clearly risk, and an insurance element.


There will be more business news throughout the day on the BBC Live


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