:00:00. > :00:00.track to remain the fastest-growing economy in the world. Why from
:00:00. > :00:20.London, it's our top story today on Wednesday the 31st of May.
:00:21. > :00:27.India removed nearly 80% of bank notes from circulation but it hasn't
:00:28. > :00:30.so far dented growth. We'll explain what happened and get the latest
:00:31. > :00:41.figures from the Indian government a little later today.
:00:42. > :00:46.One leading charity says half of all gamers have been harassed or
:00:47. > :00:50.received threats. Markets are looking like this. The pound has
:00:51. > :00:53.fallen sharply after fears that the Conservatives might not get the
:00:54. > :00:59.majority in the general election that many are thinking may happen.
:01:00. > :01:06.Hi Claire Castle may be better known as the filming location for down to
:01:07. > :01:11.Gnabry but it's also home to Europe's most successful horse
:01:12. > :01:19.racing ownership company. We'll get the inside track with Harry Herbert.
:01:20. > :01:26.And it's been revealed the Bank of England's staff have been studying
:01:27. > :01:30.Dr Seuss to brush up on communication skills because he has
:01:31. > :01:34.been described as a master of using simple language. With like to know
:01:35. > :01:35.what business language you think would benefit from the Dr Seuss
:01:36. > :02:04.treatment. We promise no jargon here on
:02:05. > :02:07.business Live. India has retained its crown as the fastest growing
:02:08. > :02:11.major economy in the world. Economists are predicting Indian
:02:12. > :02:16.economy grew by 7.1%, that's in the first three months of this year. But
:02:17. > :02:21.would be faster than China which is currently at 6.9%.
:02:22. > :02:24.The resilience of the Indian economy will be welcome news
:02:25. > :02:26.for Prime Minister Narendra Modi following the country's landmark
:02:27. > :02:29.That was when - at the end of last year -
:02:30. > :02:32.the government removed around 86% of all banknotes from circulation
:02:33. > :02:36.It led to widespread disruption and queues outside
:02:37. > :02:38.banks and cashpoints, but the shock announcement seems to
:02:39. > :02:45.And there could be more good news for the Indian economy next month
:02:46. > :02:48.when consumers will see major tax reforms.
:02:49. > :02:51.From July, all purchases will fall under a single "goods and services
:02:52. > :02:59.tax" and that's lower the average rate charged now.
:03:00. > :03:01.Sameer Hashmi has been following the story
:03:02. > :03:14.You've been witness to those huge queueing and chaos that interviewed
:03:15. > :03:19.after the banknotes were withdrawn. Many are expressing surprise about
:03:20. > :03:26.these growth predictions, given how badly small businesses in particular
:03:27. > :03:30.suffered. That's right. If these figures as estimated turnout to be
:03:31. > :03:38.true it will be a bit of a surprise. The impact was huge after 86% of the
:03:39. > :03:41.notes were banned especially small and medium-sized businesses were
:03:42. > :03:46.badly hit. There are two reasons for these good numbers. Now the
:03:47. > :03:52.government is using a new methodology to measure GDP. Just
:03:53. > :03:58.explain that in simple terms, industrial output, the way they were
:03:59. > :04:03.measured until now, didn't accurately capture the total picture
:04:04. > :04:08.across the country. The government says the new methodology is going to
:04:09. > :04:13.give a much clearer picture. Analysts say the new methodology is
:04:14. > :04:17.more favourable when it comes to big businesses and doesn't reflect the
:04:18. > :04:21.true picture when it comes to small businesses. That's why the number
:04:22. > :04:24.that will come out today is going to be on the high side which is
:04:25. > :04:28.expected to be 7.1. This figure is also for the period of January to
:04:29. > :04:33.March which is when the real impact March which is when the real impact
:04:34. > :04:37.took place. I was talking to one analyst who told me that if the
:04:38. > :04:43.government would have measured this data, how they have been doing all
:04:44. > :04:49.the while, the number wouldn't have been lower than that. Most are
:04:50. > :04:52.expecting 7.1. The government says it introduced this radical measure
:04:53. > :04:57.to try and cut down on corruption. Is there a sign this has happened
:04:58. > :05:05.and what impact has there been an inward investment as a result? It's
:05:06. > :05:11.still too early to say that the whole exercise has had any real
:05:12. > :05:14.impact on corruption. The reason the government went ahead with that move
:05:15. > :05:17.was because there is a lot of unaccounted wealth in this country,
:05:18. > :05:22.which means a lot of people don't pay taxes. The government was trying
:05:23. > :05:26.to bring all those people into the banking system so they can crack
:05:27. > :05:31.those people and whether they are paying taxes or not. So far, the
:05:32. > :05:35.data the central government has, it doesn't really give us exactly how
:05:36. > :05:39.much of the money that was sucked out of the system was unaccounted
:05:40. > :05:46.wealth. The tax authorities are still trying to chase people who
:05:47. > :05:50.have declared investments, on how much amount they didn't pay the
:05:51. > :05:54.taxes. It's still too early to say. As far as investments go, the
:05:55. > :05:58.government has taken a lot of steps but private investment is still low.
:05:59. > :06:00.Public spending has been driving the economy forward. Thank you for the
:06:01. > :06:03.update. Let's take a look at some of
:06:04. > :06:06.the other stories making the news. The pound has fallen more than 0.5%
:06:07. > :06:09.against the dollar after a new poll found that the ruling
:06:10. > :06:11.Conservative Party could fall short of an overall majority in next
:06:12. > :06:15.month's general election. Previous polls suggest
:06:16. > :06:16.Prime Minister Theresa May and her Conservative Party
:06:17. > :06:18.would massively Shares in online retail giant Amazon
:06:19. > :06:26.have risen above the $1,000 Back in 1997, the firm
:06:27. > :06:33.listed its shares for just $18 each. The rise in share price now values
:06:34. > :06:38.Amazon at $478 billion, Amazon is now the fourth-largest US
:06:39. > :06:42.company, behind Apple, Uber has fired the engineer accused
:06:43. > :06:49.of stealing secrets from Google's parent company Alphabet
:06:50. > :06:51.after he failed to assist Anthony Levandowski,
:06:52. > :06:56.previously worked on self-driving car technology at Waymo,
:06:57. > :06:59.owned by Alphabet. He is accused of downloading 14,000
:07:00. > :07:05.confidential files before leaving Uber denies it is using
:07:06. > :07:13.stolen technology. Manchester United is the most
:07:14. > :07:15.valuable football club in Europe, According to figures from KPMG it
:07:16. > :07:23.puts it ahead of Spanish giants The study looked at broadcasting
:07:24. > :07:27.rights, profitability, popularity, sporting potential
:07:28. > :07:32.and stadium ownership. In the study of 32 teams,
:07:33. > :07:52.English clubs dominate, If you're buttering your toes this
:07:53. > :07:58.morning or making your sandwiches, butter consumption is rising
:07:59. > :08:02.sharply. The cost rising 40% because wholesale prices are up more than
:08:03. > :08:07.80%. That's because of global demand for butter. Everybody loves the
:08:08. > :08:11.yellow stuff around the world. I like the quote, "I think the move
:08:12. > :08:14.back to butter is only going to grow".
:08:15. > :08:16.An investigation has been launched into the leak
:08:17. > :08:19.of details of a new bank levy, which led to sharp falls in the
:08:20. > :08:33.Tell us more about this leak and the bank levy. It all goes back three
:08:34. > :08:36.weeks ago and the budget in Australia, with a surprise
:08:37. > :08:41.banks. A surprise but not completely banks. A surprise but not completely
:08:42. > :08:45.unheralded. In the 24 hours before the budget, they started to
:08:46. > :08:47.circulate, it was reported the night before and the morning off in
:08:48. > :08:54.different media. It seems that led to a big sell-off in shares of the
:08:55. > :08:58.four big banks. Regulators say they want to check whether there was any
:08:59. > :09:00.short selling and they want to know the provenance of the leak, how this
:09:01. > :09:06.information reached the media before the Treasurer stood on his seat in
:09:07. > :09:10.Parliament. The chair of the committee saying, we will hunt this
:09:11. > :09:13.down, trying to make sure no one has profited from having this
:09:14. > :09:16.information before it was made public. The levy is still
:09:17. > :09:21.controversial, the banks still trying to fight it off. Thank you
:09:22. > :09:25.for staying across that for us in Sydney.
:09:26. > :09:27.Shares in Japan down slightly on Wednesday following that weaker
:09:28. > :09:29.lead from the US and falling oil prices dragging down
:09:30. > :09:42.We'll talk about that more in a moment.
:09:43. > :09:45.But the story has been that fall in the pound after a new poll showed
:09:46. > :09:48.Minister Theresa and the ruling Conservative Party in the UK risks
:09:49. > :09:51.falling short of an overall majority in next month's national election.
:09:52. > :09:55.The vote in Britain, political uncertainties in Italy
:09:56. > :09:58.and doubts over debt relief for Greece all weighing
:09:59. > :10:14.More on that in a moment, but first let's head Stateside
:10:15. > :10:18.and Samira has the details about what's ahead on Wall Street.
:10:19. > :10:25.Happening on Wednesday, the Federal Reserve, that is America's Central
:10:26. > :10:29.bank, will be issuing its Facebook. This is a collection of anecdotes on
:10:30. > :10:33.the help of the economy that is taken from the central bank sources
:10:34. > :10:37.across the country. It will likely show the US economy is continuing to
:10:38. > :10:41.gain strength, as the central bank prepares to raise interest rates
:10:42. > :10:46.again, possibly as soon as the next meeting which happens in just a
:10:47. > :10:52.couple of weeks. In earnings news, you would think that cyber security
:10:53. > :10:56.firm would be doing pretty well these days especially in the wake of
:10:57. > :11:01.so many ransomware attacks. But the firm Palo Alto Networks is expected
:11:02. > :11:05.to report a fall in profits when it reports on Wednesday. The company
:11:06. > :11:08.has faced rising competition in a hotly contested industry and is
:11:09. > :11:10.struggling with issues with its sales force.
:11:11. > :11:15.Maike Currie, investment director at Fidelity International.
:11:16. > :11:21.We are talking about the market movements in more detail. It seems
:11:22. > :11:25.as though its political concerns that are driving market sentiment,
:11:26. > :11:29.particularly when you see how sterling is performing. Absolutely.
:11:30. > :11:34.The election was expected to be a blip on the radar. The result was
:11:35. > :11:38.going to be a foregone conclusion, Theresa May was going to increase
:11:39. > :11:42.her majority in Parliament and that would enhance her Brexit-lite go
:11:43. > :11:49.shooting hand. Now that seems to have changed, and it's weighing on
:11:50. > :11:54.the currency. Now the pound is much weaker which is good news for the
:11:55. > :11:58.FTSE 100. It's a stock market of overseas owners and if the pound
:11:59. > :12:02.weakens that's good for those overseas exporters. This is only one
:12:03. > :12:06.poll saying there could potentially be a hung Parliament. How much
:12:07. > :12:10.confidence should investors have in polls given what has happened in
:12:11. > :12:15.previous elections? The polls do get it wrong and of course, betting on
:12:16. > :12:21.currencies is a zero sum game. While a weaker pound is good news for the
:12:22. > :12:25.FTSE 100, it's bad news for the FTSE 250, the stock market of
:12:26. > :12:29.medium-sized companies that optimistically focused. The best
:12:30. > :12:33.thing investors can do is ignore the short-term noise. Quickly, what
:12:34. > :12:38.happens if she doesn't get the big majority, what does it mean for
:12:39. > :12:43.Brexit? It means that we could have a hung Parliament and that means
:12:44. > :12:47.that the whole Brexit negotiating process, which is already clouded by
:12:48. > :12:52.uncertainty becomes more uncertain. That will weigh on markets. Markets
:12:53. > :12:59.height and macro hate uncertainty and Brexit is a huge unknown.
:13:00. > :13:04.We meet the man behind one of Europe's most successful
:13:05. > :13:06.horse racing companies and ask just how you buy
:13:07. > :13:19.You're with Business Live from BBC News.
:13:20. > :13:22.We're all feeling a bit more confident about the future,
:13:23. > :13:28.but still worried about the economy, according to the latest data.
:13:29. > :13:30.Research says rising inflation is proving a worry
:13:31. > :13:36.Joe Staton is head of market dynamics at GFK.
:13:37. > :13:45.You carried out this survey and people are still feeling quite
:13:46. > :13:50.optimistic. Do you think that is justified? It is interesting, we
:13:51. > :13:54.have done this survey since the 70s, on behalf of the EU so we have a
:13:55. > :14:01.long track record on what consumers are feeling and behaving will stop
:14:02. > :14:05.this is a consumer what we think and feel, not Mark Carney, Angela Merkel
:14:06. > :14:10.telling us what to think and feel and what is interesting there is
:14:11. > :14:14.still a lot of confidence. Your last presenter talked about uncertainty,
:14:15. > :14:20.in the face of uncertainty, there is a high degree of consumer confidence
:14:21. > :14:23.in the data we are reporting. Should we be surprised by uncertainty
:14:24. > :14:28.because there are so many things going on at the moment it is hard to
:14:29. > :14:35.know which way the economy is headed. How do you navigate that? I
:14:36. > :14:40.think what is going on, there is hard data, GDP data, and soft data,
:14:41. > :14:47.such as the consumer confidence survey we run. What is going on is
:14:48. > :14:53.the two are matching. We see a level of confidence. It is just bumping
:14:54. > :14:59.along the negative. After Brexit we saw it dropped dramatically, minus
:15:00. > :15:07.12. The lowest it has been is the low 30s, during the beginning of the
:15:08. > :15:10.last financial cycle. Consumer confidence is depressed but stable.
:15:11. > :15:17.Not jumping around as one might expect. OK. Thanks for the update on
:15:18. > :15:22.the consumer confidence survey. It seems we are generally not
:15:23. > :15:28.optimistic but not getting more pessimistic. Perhaps because we have
:15:29. > :15:35.some quite good numbers as far as exports are concerned. Excuse the
:15:36. > :15:41.picture. This is salmon. One of the things we sell around the world. The
:15:42. > :15:49.first three months of the year. Exports are up by 8.3%, ?4.9
:15:50. > :15:52.billion, that is the largest first-quarter figure on record so
:15:53. > :15:54.good news as far as exports from the UK are concerned. Details on the
:15:55. > :15:59.website. You're watching Business Live -
:16:00. > :16:02.our top story - official figures are expected to show that India has
:16:03. > :16:05.retained its crown as the fastest Economists are predicting that
:16:06. > :16:13.India's economy grew by 7.1% in the first three months
:16:14. > :16:23.of the year. We will get those figures later.
:16:24. > :16:29.This is what Europe is doing at this point in the morning. Sterling down
:16:30. > :16:35.against the dollar after a poll that suggests Theresa May might not get
:16:36. > :16:36.the majority expected. But it is one poll and they have been wrong in the
:16:37. > :16:37.past. Now, you might enjoy a flutter
:16:38. > :16:40.on the horses from time to time. Maybe at the Grand
:16:41. > :16:42.National, or the Derby. But what about if you owned
:16:43. > :16:45.a stake not in a race - Well, our next guest knows a thing
:16:46. > :16:49.or two about doing just that. He's the founder and boss
:16:50. > :16:52.of Highclere Thoroughbred Racing. It's one of Europe's most successful
:16:53. > :16:56.horse racing ownership companies. It was founded in 1992 -
:16:57. > :16:59.and since then has produced And when the horses do
:17:00. > :17:03.well, so do the owners. It's raked in nearly
:17:04. > :17:09.$8.5 million in prize money. Harry Herbert - the boss and founder
:17:10. > :17:21.of Highclere - joins me now. Hello. Who buys stake in a
:17:22. > :17:30.racehorse? Just how expensive is it?. As long as you can afford it,
:17:31. > :17:34.it is how long is a piece of string? Shares go from ?5,000 to up to
:17:35. > :17:40.?50,000 depending on which syndicate to come into but you can get
:17:41. > :17:44.involved for a few hundred pounds in a racing club. Owning a part of a
:17:45. > :17:56.racehorse is exciting and generates a buzz. I worked in Kentucky in the
:17:57. > :18:02.state said it was just starting there in the 80s. Ownership and
:18:03. > :18:05.racing of horses becoming more expensive, so their hat to be a
:18:06. > :18:09.better way to do it and ideally a way that would not take away the
:18:10. > :18:12.excitement of owning through fractional ownership done well and
:18:13. > :18:19.with really good management and using the best trainers. That you
:18:20. > :18:25.could come up with a concept that would make it fun. And he would not
:18:26. > :18:32.have to spend a fortune. Do you do it as an investor for the love all
:18:33. > :18:39.the money? The laugh. This is not an investment -- the love of it. If you
:18:40. > :18:42.are lucky enough to get a really good racehorse and we have been
:18:43. > :18:49.fortunate with a few champions and other good horses, they are worth an
:18:50. > :19:03.enormous sum of money. The horse who won the Derby was bought for 75,000
:19:04. > :19:08.unsold for millions. It is possible but you do not come into a syndicate
:19:09. > :19:15.and thing, I am just going to have Dobbin. What is the relationship
:19:16. > :19:21.like, do they become friends, do they fall at? We treat everybody as
:19:22. > :19:25.if they own the horse out right. The amazing thing is you can put the
:19:26. > :19:29.most abstract group of people together and the horse, it is the
:19:30. > :19:35.glue that binds everyone together. Naturally people say I won't know
:19:36. > :19:39.anyone, it might feel like I own the horse but it is the opposite. You
:19:40. > :19:46.see people who would never meet in everyday life having the best time
:19:47. > :19:52.imaginable. And they trot into the winner's enclosure together?
:19:53. > :19:59.You talk about the highs and lows but your job involves tears. Job
:20:00. > :20:05.satisfaction of seeing may be a FTSE 100 company chairman, chairwoman,
:20:06. > :20:08.big is this person, in floods of tears when a horse wins. It brings
:20:09. > :20:14.out an emotion that is completely alien to most people. It is
:20:15. > :20:19.primeval, I think. It is the best part of the job. Just to say, they
:20:20. > :20:25.are tears of happiness. Mostly tears of happiness, there are a few tears
:20:26. > :20:34.of, oh, my God, not again! Is why the Queen does it, and so on. What
:20:35. > :20:36.has it been like to see how Highclere Castle has been
:20:37. > :20:40.transformed from when you were trying to sell cream teas to
:20:41. > :20:48.renovate the building to now a global phenomenon? It is incredible.
:20:49. > :20:54.My brother and sister-in-law, they run it now and have done for
:20:55. > :20:58.sometime. I was involved and it was incredible. The transformation
:20:59. > :21:03.between hanging baskets, cream teas, to suddenly having amazing events at
:21:04. > :21:08.the castle and opening up the corporate angle. Movies. Tom Cruise
:21:09. > :21:17.there, Nicole Kidman. The first cricket match South Africa played
:21:18. > :21:25.was a Highclere. It has been phenomenal and Downton is a game
:21:26. > :21:28.changer for Highclere and any stately home that get something like
:21:29. > :21:31.it. Thanks for coming in. Best of luck.
:21:32. > :21:34.New research shows that abuse and bullying in video games
:21:35. > :21:42.The anti-bullying charity Ditch the Label said one in two gamers it
:21:43. > :21:44.spoke to had been bullied or received threats.
:21:45. > :21:50.Here's our technology correspondent Rory Cellan-Jones.
:21:51. > :21:53.For 16-year-old Bailey, video games have been a big part
:21:54. > :21:57.of his life and were once an escape when he was getting
:21:58. > :22:01.He enjoys pitting his skills against other players online,
:22:02. > :22:03.but what he doesn't like is the abuse he sometimes
:22:04. > :22:07.He first experienced bullying in games when he was ten and it's
:22:08. > :22:13.If I'm playing a game and I score a goal, I've literally been
:22:14. > :22:21.If you're being bullied at school, you come home and play your computer
:22:22. > :22:23.and you are just getting more abuse thrown at you.
:22:24. > :22:26.It's just going to put you off doing anything social.
:22:27. > :22:28.The charity Ditch The Label surveyed 2,500 young gamers.
:22:29. > :22:32.57% said they had been subjected to hate speech in an online game.
:22:33. > :22:37.47% had received threats and 40% had had unwanted sexual contact.
:22:38. > :22:40.What's changed over the last decade is that more and more games
:22:41. > :22:44.are played online and that means young gamers are encountering
:22:45. > :22:49.anonymous people from around the world and chatting with them.
:22:50. > :22:52.That can, of course, be very positive, but it also lays them open
:22:53. > :22:55.for the kind of dangers we've seen elsewhere in the online world.
:22:56. > :22:57.The anti-bullying charity worked with the online game
:22:58. > :23:00.Habbo Hotel to research young gamers' experiences.
:23:01. > :23:04.I think what's so shocking is the fact that it's
:23:05. > :23:09.We had gamers telling us this was just part
:23:10. > :23:16.Bailey says he has now learned not to let abuse get to him,
:23:17. > :23:18.but he wants the games companies to do more to watch over
:23:19. > :23:21.what happens online and to act to stop the bullies.
:23:22. > :23:34.We can now talk through some of the stories in the business pages. We
:23:35. > :23:40.have asked people to get in touch about the story Bank of England has
:23:41. > :23:47.used children's books for lessons in clarity. It is fair to say that
:23:48. > :23:53.financial sector has jargon words. I love this story because there is so
:23:54. > :23:59.much jargon and dry language used. And it was the former deputy
:24:00. > :24:02.governor who said they studied Dr Seuss to see how they could use
:24:03. > :24:10.simpler language to engage the public. At a time of political
:24:11. > :24:15.populism, this is the way forward, to engage people. Maybe without the
:24:16. > :24:18.tongue twisters. I am used to reading Dr Seuss to my children and
:24:19. > :24:22.at times it can be quite complicated.
:24:23. > :24:25.A very good point. They talk about the quarterly inflation report, it
:24:26. > :24:31.is about that thick and a challenge to get through it. It is about
:24:32. > :24:38.telling stories simply. That is so important. To get people to engage
:24:39. > :24:41.with finances, that is the only way. Mobile phones. There is a proposal
:24:42. > :24:46.in London on the Underground you might be able to use your mobile
:24:47. > :24:50.phone and some people around the world will find it astonishing that
:24:51. > :24:54.you cannot at the moment where in Hong Kong and parts of China it is
:24:55. > :24:58.the norm. I quite like not being able to use it on the Underground.
:24:59. > :25:03.It is downtime. The tube is where you see people reading a book, not
:25:04. > :25:08.senselessly browsing on their phone and playing games. There are flip
:25:09. > :25:12.sides. We should probably have technology on the tube because
:25:13. > :25:17.places like Paris and Tokyo have had it for years but the downtime is
:25:18. > :25:23.valuable. Nobody speaks to you on the tube and if you have nothing to
:25:24. > :25:31.read, you are a bit stuck. Gary says, I cannot stand business
:25:32. > :25:37.jargon. Ice for redundancy. And in voluntary career event. Let's get
:25:38. > :25:47.rid of that. Thanks for your company today. We will see you tomorrow.
:25:48. > :25:55.Good morning. It was a cold start today across northern parts