:00:00. > :00:09.Live from London, that's our top story.
:00:10. > :00:23.Corruption, Recessions and unemployment have dogged
:00:24. > :00:27.South Africa in recent years and today the man at the top
:00:28. > :00:31.President Zuma could be forced to go in a secret parliamentary vote.
:00:32. > :00:38.And money-laundering allegations that could lead to a theoretical
:00:39. > :00:41.fine of close to $800 billion have lead to the boss of
:00:42. > :00:49.Commonwealth Bank somewhat unsurprisingly losing his bonus.
:00:50. > :00:52.And markets in Europe have started their trading day. Slightly down on
:00:53. > :00:59.the day and we'll explain why. And we'll be getting
:01:00. > :01:02.the inside track on the surprisingly profitable world of babaysitting
:01:03. > :01:04.and the company that's trying to turn it from a job for students
:01:05. > :01:15.into a global business. We want to know today which app
:01:16. > :01:26.could you not live without? Let us know. Use the hashtag business live.
:01:27. > :01:39.President Zuma of South Africa faces a no confidence vote in parliament
:01:40. > :01:42.today and as it's being held in secret there's a real chance
:01:43. > :01:47.that he could be kicked out of office by the end of the day.
:01:48. > :01:53.Mr Zuma has survived no-confidence votes previously
:01:54. > :01:57.but this time the stakes, both political and economic,
:01:58. > :02:03.Mr Zuma has been under constant pressure over everything
:02:04. > :02:06.from corruption allegations to a controversial cabinet
:02:07. > :02:09.reshuffle that saw his widely respected finance minister,
:02:10. > :02:16.That prompted two of the world's leading credit rating agencies;
:02:17. > :02:19.Standard and Poor's and Fitch, to downgrade South Africa's credit
:02:20. > :02:22.worthiness to junk hugely increasing borrowing costs
:02:23. > :02:27.And in June South Africa once the continents largest economy fell
:02:28. > :02:37.And figures out yesterday show the country's unemployment rate
:02:38. > :02:43.remained unchanged at close to 28% in the second quarter.
:02:44. > :02:48.That's about 6.2 million people out of work.
:02:49. > :02:52.Dr Joachim Wehner is a South Africa expert
:02:53. > :03:06.Nice to see you. Welcome to the programme. Running through some of
:03:07. > :03:09.the background to this there. It's worth restating why South Africa is
:03:10. > :03:13.in this position. The economic picture looks pretty dire right now?
:03:14. > :03:18.That's true. And you have to see it in the context. For 20 years after
:03:19. > :03:26.the end of apartheid, South Africa worked extremely hard to establish a
:03:27. > :03:34.reputation for economic credibility and good economic management, for
:03:35. > :03:41.short periods the first Finance Minister who Jacob Z uma fired
:03:42. > :03:45.triggered the week in 2015 where South Africa went through three
:03:46. > :03:51.Finance Ministers when the space of a few short days. So Mr Zuma has put
:03:52. > :03:56.the credibility of South Africa at risk. How much of this can be blamed
:03:57. > :04:01.on President Zuma? There are some factors that are out of his hands,
:04:02. > :04:05.one can say, for example the drought. Successive droughts in
:04:06. > :04:10.South Africa, weak global demand for mining output for example, that is
:04:11. > :04:15.dampening prospects for the mining sector in South Africa. But the
:04:16. > :04:21.ratings agencies have emphasised what they see as a major problem is
:04:22. > :04:26.Mr Zuma's handling of the institutional framework for the
:04:27. > :04:29.economic system and that has done a huge amount of damage in undermining
:04:30. > :04:34.the credibility that so many Finance Ministers have worked hard over 20
:04:35. > :04:38.years to establish. And so the uncertainty that now comes from this
:04:39. > :04:42.vote, interesting that we heard over the weekend the vote will take place
:04:43. > :04:46.in secret, that could affect the outcome significantly? That's very
:04:47. > :04:52.true. It's probably the first time that there is a realistic chance
:04:53. > :04:58.this might go through, this vote. It's probably not the most likely
:04:59. > :05:04.outcome because the electoral system in South Africa is based on close
:05:05. > :05:10.list proportional representation, that means MP who is sit in
:05:11. > :05:13.Parliament, it's the African National Congress in particular. If
:05:14. > :05:19.we get this vote today and he's ousted from office, the question I
:05:20. > :05:23.suppose is who would replace them? Is there a willing candidate,
:05:24. > :05:26.certainly from an economic point of view someone who would restore
:05:27. > :05:30.credibility? I think you have put your finger on the right issue here.
:05:31. > :05:34.Getting rid of Mr Zuma is only the very first step and a few questions
:05:35. > :05:47.arise here - how long can he cling on to power? He's proven himself to
:05:48. > :05:52.be extremely intelligent so it wouldn't surprise me if he stays
:05:53. > :05:59.until 2019. The second question then arises who will replace him. There
:06:00. > :06:06.is a struggle in the ANC now. A camp Mr Zuma's tried to Foster, a
:06:07. > :06:14.successor, his former wife who would probably protect him once he leaves
:06:15. > :06:19.office, make sure he's not exposed to legal proceedings or a more
:06:20. > :06:29.reformer camp led by a current deputy President. Interesting times
:06:30. > :06:34.certainly as far as the implications are concerned. Dr Joachim, really
:06:35. > :06:36.good to see you, thank you very much.
:06:37. > :06:39.Let's take a look at some of the other stories making the news.
:06:40. > :06:43.The Google employee who wrote a memo critical of the firm's diversity
:06:44. > :06:45.initiatives has been fired from the company.
:06:46. > :06:49.A male software engineer argued the lack of women in top tech jobs
:06:50. > :06:51.was due to biological differences between men and women.
:06:52. > :06:54.Google's chief executive responded by saying the contents of the memo
:06:55. > :06:57.are fair to debate but some of what was written
:06:58. > :07:04.A Scottish comic book company has been bought
:07:05. > :07:10.It's the first ever acquisition by Netflix but they haven't said giw
:07:11. > :07:17.Millarworld is run by the Scottish writer
:07:18. > :07:22.The deal gives Netflix access to a host of new characters
:07:23. > :07:27.to develop films, TV series and children's shows.
:07:28. > :07:31.The worlds biggest hotel chain Marriott is going to team up
:07:32. > :07:35.with Alibaba to tap into the growing number of Chinese tourists.
:07:36. > :07:39.Marriott International says the joint venture will allow Chinese
:07:40. > :07:42.travellers to book rooms using Alibaba's travel website
:07:43. > :07:52.Australia's Commonwealth Bank has scrapped its bosses bonus
:07:53. > :07:55.for damaging the bank's reputation amid allegations it broke
:07:56. > :07:57.money-laundering and counter-terrorism financing laws...
:07:58. > :08:05.Hywel Griffith is in Sydney, Australia.
:08:06. > :08:13.Hywel, this could be a humongous fine. Tell us more about this story?
:08:14. > :08:19.Absolutely. Some of the numbers here are staggering. The bank is accused
:08:20. > :08:25.of over 53,000 breaches of anti-money laundering laws and each
:08:26. > :08:30.one of those could potentially carry a $14 million US Dollar fine. It's
:08:31. > :08:33.accused of not making proper checks on intelligent money depositing
:08:34. > :08:37.machines, the hole in the wall where you can put money in as well as take
:08:38. > :08:41.it out. Customers are able to put in up to 200 high value notes but the
:08:42. > :08:45.checks weren't being made, as they were meant to be, on the provenance
:08:46. > :08:49.on the where that money was going to, so the money could be
:08:50. > :08:52.transferred domestically or internationally without the checks
:08:53. > :08:55.being made. The bank argues it's down to a single coding error,
:08:56. > :09:00.saying they should only really face one fine. It's all going to be
:09:01. > :09:03.decided in a federal court of claw. What has already been decide suicide
:09:04. > :09:07.the bank's Chief Executive and board members are going to suffer
:09:08. > :09:12.somewhat. The Chief Executive losing his bonus for this year, as will the
:09:13. > :09:17.senior executives and the board members taking a cut in their pay.
:09:18. > :09:20.But potentially the cost could be much greater in future, some
:09:21. > :09:25.analysts predicting the whole decade of growth for the bank wiped out if
:09:26. > :09:33.they face the maximum fine. Sounds very, very costly indeed. For now,
:09:34. > :09:38.thank you very much. Let us show you how the day went in general in the
:09:39. > :09:42.Asian markets. Japan taking a breather from the ten-year highs it
:09:43. > :09:47.reached yesterday, whereas Hong Kong up nearly half a percent. That is
:09:48. > :09:50.the night before, the Dow still going up-and-up above 22,000, way
:09:51. > :09:53.above that now. It's quite interesting how that just doesn't
:09:54. > :09:58.seem to end, that run on the share markets in the United States. Let's
:09:59. > :10:03.move on to Europe very quickly. Lots of earnings coming out in Europe
:10:04. > :10:07.still. Note as busy as last week. Standard Life reporting a rise in
:10:08. > :10:12.profits, also we have ASOS talking about expansion in the US in
:10:13. > :10:15.Atlanta. Retail sales falling though in the UK, so a flat day, if not a
:10:16. > :10:18.downbeat day for Europe. And Michelle Fleury has
:10:19. > :10:37.the details about what's ahead Jane Foley will join us later and
:10:38. > :10:42.people will be tuning in to see what is said. Her message is likely to
:10:43. > :10:46.emphasise that whilst the economy may not be overheating, the recovery
:10:47. > :10:51.in the US is strong enough for it to consider another rate hike this
:10:52. > :10:59.year. But will incoming economic data reinforce that argument? Two
:11:00. > :11:06.pieces to watch this Tuesday is the case Schiller House Price index.
:11:07. > :11:13.Uber's search for a new CEO meanwhile continues, after the
:11:14. > :11:20.resignation of the CEO last week. There are a few in the running.
:11:21. > :11:26.Joining us is Jane Foley, Senior Currency Strategist, at Rabobank.
:11:27. > :11:32.Good morning, Jane. We picked this story up in Bloomberg. It's an
:11:33. > :11:36.interesting problem to have. Warren Buffett has too much money. Why is
:11:37. > :11:43.that news, we knew that already? ! But what is he going to do with it.
:11:44. > :11:48.This is a problem. This is a company that doesn't pay dividends. He is a
:11:49. > :11:52.pilot of cash. Cash doesn't earn much in terms of return. His problem
:11:53. > :11:56.is where to invest. There is a small pool of companies he'd be willing to
:11:57. > :11:59.consider. He's made the point that it would be much more fun if the
:12:00. > :12:03.phone were to ring and business propositions were to fall his way,
:12:04. > :12:08.but as it stands, there is some difficulty trying to know where to
:12:09. > :12:12.put all of that money. Lovely to have that problem. This graph shows
:12:13. > :12:19.how he's managed to rack up the money. 99.7 billion dollars at the
:12:20. > :12:23.end of the second quarter. He's got all these great businesses making
:12:24. > :12:26.money but he's notoriously picky? But you have to remember he's been
:12:27. > :12:30.doing this for the best part of 50 years so this is a long-standing
:12:31. > :12:34.investment but that is exactly right. He's very picky. Some
:12:35. > :12:38.companies he owns are really well-known ones, Apple is another
:12:39. > :12:46.one. He's been known to invest also in utilities. Texas and Rail Road
:12:47. > :12:51.are a couple of them. Very picky, relatively diverse in that sense but
:12:52. > :12:55.only a small amount of companies. We'll be back soon. Really
:12:56. > :12:58.interesting stories to discuss with you later. If you are a parent, stay
:12:59. > :13:00.with us. Intercontinental Hotels Group has
:13:01. > :13:04.just reported an 8% jump in half year operating profit and we've been
:13:05. > :13:07.speaking to their new boss. You're with Business
:13:08. > :13:18.Live from BBC News. Retailers experienced slowing sales
:13:19. > :13:22.last month as households reined in their spending amid mounting
:13:23. > :13:26.pressure on their finances. According to the latest figures
:13:27. > :13:30.from the British Retail Consortium and KPMG, sales grew by 0.9%
:13:31. > :13:34.in July, down from 1.1% Theo Leggett is in our
:13:35. > :13:48.Business Newsroom. They came from a strong set of
:13:49. > :13:52.figures last year so this year it's hard to keep up? Yes, last year was
:13:53. > :13:56.particularly strong. On the surface, these figures from this year don't
:13:57. > :13:59.actually look too bad. They are showing slow but steady growth
:14:00. > :14:03.throughout the year. What is worrying is, if you look beneath the
:14:04. > :14:06.surface because nearly all of the growth was accounted for by sales of
:14:07. > :14:10.food. In fact over the past three months taken as a whole, nonfood
:14:11. > :14:14.sales have declined and when it comes to food sales, it's not about
:14:15. > :14:18.more food being sold, it's about prices going up as well. That is
:14:19. > :14:24.accounting for the increase. The broad picture there is not so good.
:14:25. > :14:28.The BRC has a warning in all of this as well, saying that because real
:14:29. > :14:32.wages are declining, there is a smaller pool of consumer wealth out
:14:33. > :14:36.there to draw from and there's a lot of competition among retailers. That
:14:37. > :14:39.is where it gets political because the BRC says given the outlook for
:14:40. > :14:43.consumers is so tough, the Government needs to make sure it
:14:44. > :14:47.keeps tariff free trade with the EU as a priority in Brexit talks.
:14:48. > :14:50.Pretty much everybody is talking about what they want from Brexit
:14:51. > :14:55.talks at the moment but that is the BRC's take on it. Also the issue of
:14:56. > :14:59.online versus high street, bricks and clicks, you have got to be be
:15:00. > :15:02.successful if both in this environment where it's getting
:15:03. > :15:07.tougher in terms of people spending? Absolutely. That is what the best
:15:08. > :15:11.retailers are doing. Over the past month, in-store shopping and online
:15:12. > :15:17.retailing grew. If you look over the past three months, a slightly longer
:15:18. > :15:20.time frame, then in-store sales have declined and declined by a
:15:21. > :15:25.reasonable margin, whereas online sales have gone up by about 8% in
:15:26. > :15:33.the same period, so online sales still growing.
:15:34. > :15:47.For the rest of the business news, you can check out the web page. ASOS
:15:48. > :15:56.spending $40 million on a new warehouse in Atlanta.
:15:57. > :15:59.You're watching Business Live. Our top story:
:16:00. > :16:00.The South African President, Jacob Zuma,
:16:01. > :16:06.is facing one of the most testing episodes of his rule.
:16:07. > :16:10.The speaker of parliament has announced that a no confidence vote
:16:11. > :16:34.Pauline says, "I could live without them all, but Twitter keeps me
:16:35. > :16:39.posted on a variety of stuff." Another viewer says "BBC News."
:16:40. > :16:45.Another viewer says fit bit." What do you use the most? Twitter and the
:16:46. > :16:48.BBC News app, of course. I'm a weather app person, but then you
:16:49. > :16:51.have a dog and I have to walk regularly.
:16:52. > :16:56.We use apps to solve all sorts of day to day problems.
:16:57. > :16:57.Food delivery, taxi services and shopping.
:16:58. > :17:01.But would you trust an app to find someone to look after your children?
:17:02. > :17:04.Making sure children are looked after while you're working is a big
:17:05. > :17:10.One charity found that 75% of parents would assess
:17:11. > :17:14.their childcare before taking a new job or promotion.
:17:15. > :17:17.The same survey found 30% of parents say they feel burnt
:17:18. > :17:23.Some extra help can, of course, help with that.
:17:24. > :17:26.For many parents, the biggest issue can be finding
:17:27. > :17:35.Yoopies is a new start-up hoping to change all of this.
:17:36. > :17:37.It's a website which connects parents
:17:38. > :17:45.We have the boss with us. Benjamin thank you very much of thank you
:17:46. > :17:48.very much indeed for coming into Business Live. Tell us how this
:17:49. > :17:54.started. You're not a parent, are you? I'm not, but I have three
:17:55. > :17:57.sisters and when I finished my studies two of them had become a
:17:58. > :18:00.mother. I the couldn't have a proper dinner with them, there were always
:18:01. > :18:09.childcare issues. I realised they only had two choices. Either they
:18:10. > :18:13.rely on expensive agency or a local newspaper that was not trusted
:18:14. > :18:18.enough to find a great sitter so then I realised there was a huge
:18:19. > :18:20.opportunity to create a trustworthy environment for baby-sitting,
:18:21. > :18:25.childcare and home care services. Let's talk about that trust.
:18:26. > :18:29.Obviously the website then makes it easier to do verification checks,
:18:30. > :18:36.criminal record checks, how does that work? All the sitters are
:18:37. > :18:42.verified are DBS checked. We verify their ID and we use the power of
:18:43. > :18:45.online social media for our usersment people can link their
:18:46. > :18:51.Yoopies account to with their Facebook account and they can see
:18:52. > :18:55.that any friends or friends of friends who already have recommended
:18:56. > :18:59.a baby-sitter. So we check the word of mouth and we put it on the
:19:00. > :19:06.internet. This started in France. You've spread across a lot of
:19:07. > :19:10.Europe. You've bought a UK in the UK Find A Baby-sitter.com. Sour
:19:11. > :19:14.aexpanding here as well. It is a really, really crowded market, not
:19:15. > :19:17.just apps like yours, but many other Facebook pages or websites or online
:19:18. > :19:23.services that provide everything you need if you are a parent including
:19:24. > :19:28.baby-sitters. Sure, but we do provide a comprehensive service that
:19:29. > :19:31.goes from finding the perfect match to online booking and payment. We
:19:32. > :19:36.assist with all Government assistance. So basically you can
:19:37. > :19:40.find a perfect sitter within ten minutes. We only have five persons
:19:41. > :19:45.of our best sitters that are selected for emergency care and we
:19:46. > :19:50.provide all the rest. So the people can find trustworthy people easy.
:19:51. > :19:57.How do you make sure you get your money for your services provider? I
:19:58. > :20:01.jumped on your website this morning and I searched for a baby-sitter for
:20:02. > :20:05.me and gave it a test and a great baby-sitter was matched to me and I
:20:06. > :20:14.sent her a message and she is a mile away from my house, I can meet her
:20:15. > :20:17.for a coffee and decide what I want and I don't have to pay you. Most of
:20:18. > :20:22.the times usually you want to talk to a few of them and we are charge a
:20:23. > :20:27.monthly fee for people to actually get... I haven't met her yet. If we
:20:28. > :20:32.get on, I don't really need to pay you a fee, do I? You have to pay a
:20:33. > :20:35.fee at first to get unlimited contacts with our baby-sitters, our
:20:36. > :20:42.nannies on the website. So you will have to pay first ?30 and then you
:20:43. > :20:48.can actually meet with her and have great childcare for your kids. Not
:20:49. > :20:52.just about Its childcare. It will let you find other things. Your plan
:20:53. > :20:56.is to roll out into the workplace as well? Exactly. This is interesting.
:20:57. > :21:01.It might moon you could get food delivered to our desk and book a
:21:02. > :21:04.massage or get someone to take your dry cleaning and laundry. That's
:21:05. > :21:08.part of the challenge of the productivity. If we are all busy
:21:09. > :21:11.maybe being able to do that at the office? It is a difficult thing to
:21:12. > :21:16.improve your work-life balance when you are in the company, imagine your
:21:17. > :21:20.child is sick, you need to do a lot of things and companies need to
:21:21. > :21:25.attract and retain talent. So we provide the platforms for cans and
:21:26. > :21:30.for the employees in order to find great childcare and food delivery
:21:31. > :21:34.and everything in a one stop shop platform where they can find trust
:21:35. > :21:37.within the company because you can find a great profile that's been
:21:38. > :21:42.recommended by your co-worker. Sally is laughing because this is what I
:21:43. > :21:49.want! Ben is thinking, OK, I have my
:21:50. > :21:55.massage, they deliver my bacon sandwich to my desk. You're living
:21:56. > :21:56.in Havana! I have to talk to the BBC then for you! Thank you for your
:21:57. > :22:00.time. It is great to meet you today. Let's turn from booking babysitters
:22:01. > :22:03.to booking hotel rooms. The company behind brands
:22:04. > :22:04.including Crowne Plaza, Holiday Inn and InterContinental
:22:05. > :22:09.says operating profits were up 8% in the first
:22:10. > :22:12.half of this year. But the amount of money
:22:13. > :22:15.InterContinental Hotels Group makes per room,
:22:16. > :22:17.a really important measurement in the hotel business isn't
:22:18. > :22:19.growing as fast as it was. The new boss is Keith Parr and he's
:22:20. > :22:22.been telling me why. This industry grows two ways -
:22:23. > :22:26.by adding rooms and by growing RevPAR and so we saw a softer second
:22:27. > :22:30.quarter in RevPAR as did the rest of the industry principally driven
:22:31. > :22:32.by the United States. That's a lot it do with the shifting
:22:33. > :22:36.of the Easter holidays and also some slowlying in some
:22:37. > :22:38.of the oil markets. Additionally we have a big
:22:39. > :22:39.renovation programme going on in the US to add
:22:40. > :22:43.in new guest rooms and public space design for our Holiday and Express
:22:44. > :22:46.brand and that's been a bit of a headwind in the US,
:22:47. > :22:48.but we're seeing strength through our markets like Europe
:22:49. > :22:50.with RevPAR up over 6%. We saw RevPAR up in China,
:22:51. > :22:53.over 4% leading to revenue growth So on a global basis,
:22:54. > :22:57.we're seeing real strength It's what underpins our strong
:22:58. > :23:14.performance in terms He was at the company for 25 years
:23:15. > :23:18.and it was interesting to talk to him. I asked him what would you do
:23:19. > :23:22.if you are the boss and he is the boss and he had a very kind of slick
:23:23. > :23:27.answer, John Terry just keep the strategy." I was hoping for
:23:28. > :23:35.something really radical. You never get that on results day. That's why
:23:36. > :23:41.they have to do the Inside Track. Jane is here. This is a story we
:23:42. > :23:44.picked out of the Washington Post. China, not President Trump, is
:23:45. > :23:47.suddenly helping American steel. President Trump probably takes
:23:48. > :23:52.credit for it, but it is other factors at play. This is an
:23:53. > :23:55.interesting story. It does help correct the misconceptions that were
:23:56. > :23:58.out there since the Trump presidential campaign and
:23:59. > :24:01.particularly that very little of Chinese steel goes to the US. Trump
:24:02. > :24:05.was talking about China dumping steel in the US. This report says
:24:06. > :24:11.only 1% of US steel comes from China, but perhaps a big reason for
:24:12. > :24:17.this story is that China is shutting down some of its very dirty plants.
:24:18. > :24:23.They are producing less steel, but China is using up a lot of steel.
:24:24. > :24:28.China is the biggest consumer of commodities in the world. It absorbs
:24:29. > :24:32.iron ore and coal which make steel and it's doing a lot of
:24:33. > :24:35.construction. Making a lot of buildings, residential and roads and
:24:36. > :24:40.this is one of the ways it's doing it is taking up a lot of debt. But
:24:41. > :24:49.it's absorbing a lot of these materials itself. The front of
:24:50. > :24:56.today's Telegraph. British children must spend more time online so they
:24:57. > :25:00.can save the country says spy chief. He was perhaps making parents feel
:25:01. > :25:07.less guilty. It is all about balance. He said that maybe if we
:25:08. > :25:12.are a little bit behind in terms of our digital rivals and therefore,
:25:13. > :25:16.allowing children to explore the web more helps increase those skills
:25:17. > :25:21.which might be good use or good for the country in the longer term, but
:25:22. > :25:26.of course a lot of people said, no, no, it is the equivalent of jung
:25:27. > :25:31.food for China etcetera, etcetera. Jane, what app can you not live
:25:32. > :25:34.without? I like a bit of whatsapp. For me, it's the newspapers.
:25:35. > :25:39.Interesting. Thanks, Jane. Nice to see you. Dominic says, "Whatsapp.
:25:40. > :25:43.Staying in touch with friends and family." Yeah, I use that one a lot
:25:44. > :25:52.too. We will see you tomorrow. Bye-bye.
:25:53. > :25:59.Good morning. The unpleasant weather continues across England and Wales.
:26:00. > :26:02.This morning we have had heavy rainfall around. Throughout this
:26:03. > :26:03.afternoon further heavy showers