28/11/2017 BBC Business Live

This is Business Live from BBC News

with Ben Thompson and Sally Bundock.

Uber faces more scrutiny over

it's huge data breach.

Will Europe take the

pressure up a gear?

Live from London, that's our

top story on Tuesday

the 28th of November.

It's just one of the crises that's

prompted Japan's Softbank

to slash its offer as it tries

to buy a big chunk of

the ride-hailing app.

Also in the programme...

The Bitcoin bandwagon rolls on.

The virtual currency passes

the $10,000 on some exchanges

but is it too good to be true?

The markets are looking like this as

we get the first results from the

Black Friday and cyber Monday

weekend. All the details from New

York.

weekend. All the details from New

York. And we get details on how to

tackle mental health challenges. And

what is the regular in your

Christmas stocking? Are you

affected, let us know. All the usual

ways to get in touch.

We will talk about that a little

later, my favourite, Toblerone we

have discussed at length, that has

got smaller and now chocolate

oranges we are told are doubling in

price. I am not happy. Send all your

messages in. But first...

It seems Uber is never far

from the headlines these days...

Some good AND some bad.

Today, more details on the bid

by Japan's Softbank to buy

a stake in the company.

It values Uber about $69bn.

But it comes on the same day that

European regulators examine

the massive data breach at the firm.

Uber admitted last week that hackers

stole personal details

from 57 million customers

and drivers last year.

The company originally

covered up the breach.

One estimate suggests

the attack could cost Uber

between $200 - $250 million.

A big cost for a company

yet to make a profit.

Several EU countries including

Austria, Italy and the UK -

are already investigating

the data theft.

The EU's data protection group -

COULD now choose to coordinate

these investigations.

And things could get

even trickier for Uber.

Next year a NEW EU body takes over

the data protection role -

and will have power to impose fines

of 4% of global turnover

or 20 million euros.

Aatish Pattni is Head

of Threat Prevention

for Northern Europe at the global

cyber-security firm Checkpoint.

Good morning. We've outlined the

situation as far as Uber is

concerned, the ramifications for the

data breach on a pretty Sirius.

I

think we've seen the number of

breaches happening with companies

over the last few years have

escalated, the response government

agencies are now taking, just a

couple of weeks ago there was news

and another company, Yahoo has been

one of them, government looking at

enforcing penalties on these

organisations.

Reasonably bad is

good news for those of us who use

these companies?

Absolutely. The

legislation that the cyber, the more

emphasis there is in organisations

to look at data security. The better

protected we are at consumers. --

presumably bad is good news. There

are new data protection rules coming

in? From the end of May the

legislation comes in across Europe

including the UK and it will give

consumers the right to be forgotten

so if we do want data to be removed

from a company we can have bad but

it also puts an onus on the actual

organisation who holds your data to

enforce good data security measures

around that data and if they don't

they will then be fined.

As we

outlined, they will be fined, Uber

is likely to be fined quite a bit,

how does this work out that the

United States, we talk about Europe

but in the US it's a different

story? There could be conflict going

forward?

There is potential for

conflict, at the moment the US

within the US each state has the

ability to impose fines, I think

ultimately what you see is those

fines being imposed by organisations

as well as the European fines.

The

outlook for Uber, this happened last

year, bad headline after bad

headline and millions all over the

world are using them to get around.

That's one of the challenges, we

find it so can be no to use these

apps that they almost have a

following within the consumer base.

It's just the convenience, isn't it?

More than anything? It really

appeals to consumers but what we are

also seeing is consumers are now

getting more savvy about where their

data sets and the bad reputational

damage is quite severe so I think

you will see some consumers leaving

Uber, we've seen it with other

organisations.

We will watch this

space, thank you for your time.

So we've talked about the data

breach, but what about that proposed

investment in Uber by the Japanese

tech giant Softbank.

Mariko Oi is following this

from our Asia Business Hub.

Just bring us up to date, it seems

from what we've seen that they are

saying, we want a discount, we want

to buy but we wanted more cheaply,

given all of this chaos as the

result of the hacks that we've been

discussing?

Indeed. I should

emphasise neither Uber zero Softbank

would confirm or deny the reports as

we've been talking about this. But

Softbank has made a bid to buy Uber

shares, about 14% of them at a heavy

discount. If the deal goes ahead

Softbank will be buying this stock

for nearly 30% less than Uber most

recent valuation which came in at

$69 billion, that makes it one of

the most valuable start-up companies

in the world. These could be the

details of the investment by

Softbank that Uber approved two

months ago but it hasn't been

confirmed by neither. We haven't

known the size of the potential

investment, there could be more

details Uber said the money would

fuel expansion and investment in

technology.

Thank you. I note you

will stay right across that story

when you get comment from either

side. A bit of a protracted

negotiation.

Let's take a look at some of

the other stories making the news...

The leaders of Ireland's two biggest

political parties resume talks today

to avoid a fresh general election -

that could affect Brexit talks.

The Irish Prime Minister is standing

by his deputy despite calls

for her to resign over a controversy

involving a police whistleblower.

It could lead to a vote of no

confidence in the Irish

parliament later today.

Another Japanese company

has admitted faking

quality control tests.

Toray Industries says it found 149

cases of cheating test results

at a subsidiary but insists

there are no safety concerns.

The world's largest maker of carbon

fibre said the cheating involved

tyre-strengthening cords.

Its shares closed down more than 5%.

Indonesian officials have extended

the closure of the international

airport in Bali because of continued

fears of a major volcanic eruption.

Tens of thousands of tourists

are trapped because volcanic ash

is disrupting air travel.

As many as 100,000 people have

been ordered to evacuate

the area around Mount Agung.

Let's show you what the numbers are

doing, US markets hitting a new

record, they have fallen back in the

last few minutes, but off the back

of strong retail results from Black

Friday cyber Monday. Initial reports

suggesting Black Friday sales up 17%

from a year ago, not bad given the

fact that we are told we must

squeeze our incomes. But that could

be done to heavy discounts and that

will affect profits. We note US

stocks had a tough time of late. All

the big names including Macy's

facing the falls in share prices.

Let's take a look at Europe. Looking

pretty closely at the Bank of

England stress test results. They've

been published this morning amid

worries credit levels are reaching

dangerous highs. You may remember

the Bank of England asked UK banks

to set aside more cash to prove a

buffer in case the economy took a

turn for the worse, people had

somewhat debt on their own balance

sheet they would struggle to pay

back, all of them currently passing

the test, we talk more about that

later Ulster

And Samira Hussain has

the details about what's ahead

the details about what's ahead

on Wall Street Today.

is and was all important given how

much of the US economy depends on

consumer spending.

The more

confident people feel about their

finances the more likely they are to

spend money. In other news the

Senate tanking committee will hold a

confirmation hearing for Jerome

Powell, selected by President Trump

to replace Janet Yellen as the chair

of the US Federal Reserve.

TransCanada Corporation will hold an

investor day in Toronto, this is

when the company may finally safe

whether it plans to go ahead with a

long-delayed and very controversial

keystone pipeline project and

finally, the numbers are out, the

National retail Federation, a

leading retail industry group, is

set to release pending doubter and

thanksgiving, Black Friday and cyber

Monday.

Joining us is Remi Olu-Pitan, a

Multi-asset Fund Manager, Schroders.

We see a bit coin reaching new

levels, give us your take on this

phenomenon.

It's extraordinary. It

was just under $100 and now it's

about $10,000 psychological level,

it's nearly 1000 percentage

increase. It's phenomenal. What

matters about bit coin, a lot of

commentators say is this another

tulip kind of phenomenon? What's

really key is locked chain

technology, that's what's going to

make a difference to the world.

And

it already is.

In the financial

sector. It already is in the

financial sector. This will make a

difference to the average person.

Let's explain locked chain, is

fiendishly combo catered. I am going

to use a very broad brush, no

government, no bank, institution

controls the data and it's all

shared by computers around the

world, you own a bit of it. That

means it is free from all

constraints.

And it supposedly

transparent. And it's fast, that's

why it's really key for the

financial industry, it means

transactions, very quick. It speeds

things up and it makes a difference.

It's... Sorry, I didn't want to

interrupt you but we are being told

to move on, what are you watching

today? We're watching the US

confidence data, the Bank of England

stress test.

Quite a bit going on.

It is quite exciting, the US

consumer data is key, we had like

Friday, cyber Monday and there has

been heavy discounting, we want to

get a feel about how consumers feel,

what is the make-up of the economy,

how healthy is it, or people eyeing

and either discounts getting people

out? That is key. That consumer data

is key in the US and UK and Europe.

We will hear about Europe, quite a

busy week from that point of view.

You not finished, more work to do

business live, you will be back

later. Chocolate Orange. Do you like

chocolate orange? I love it. Getting

more expensive, apparently.

Safeguarding employee's

mental health alongside

their physical health.

We meet the woman with

an award-winning app designed

to tackle mental health.

You're with Business

Live from BBC News.

Britain's seven largest lenders have

passed the Bank of England's stress

tests for the first time

since the financial crisis.

It's the first time since the tests

have been introduced that none of

the major lenders are required to

find extra capital. So they didn't

fail?

Our Business Correspondent,

Theo Leggett, joins us

from the Business Newsroom

to tell us more.

The Bank of England are saying it's

good news. In terms of who passed

and failed, it's worth mentioning

measures of these banks capital were

taken at the end of last year and on

that basis, Royal Bank of Scotland

and Barclays would both have failed,

the reason they are deemed to have

passed because since then they have

taken measures to increase the

capital cushions so the Bank of

England says they are OK now.

Outlook of the criteria that the

banks put into place, it's war for

banks. The UK economy shrinking by

four points 7%, house prices falling

by a third, the pound sterling

declining by 27%, this is an extreme

stress scenario and the bank says on

these criteria at the moment, the

seven biggest lenders in the UK are

set.

But also something that Mark

Carney has been highlighting is his

concern about the buy to let

mortgage side of the banking

business. His worry about that area.

Well, he's not the only one who is

worried. There are experts who are

worried that too much of this is

going on and in an event of a

downturn in the housing market the

banks would wrack up the losses.

Some people think as well that the

banking stress tests aren't robust

enough. They don't give an accurate

picture of how well the lenders

would be able to with stand a major

shock. They think the banks need a

greater capital buffer, but the

counter argument to this is if they

are setting more money aside, they

wouldn't have as much to lend and

that could harm the economy.

Theo,

thank you very much. More on the BBC

Business Live page.

Including this from our economics

editor talking as Theo was

mentioning there, disorderly Brexit

is unlikely according to Mark

Carney. He says all parties are

working towards avoiding it. The

full details are on the Business

Live page.

European regulators come together to

assess Uber's data breach of 2016.

57 million users, whether they be

Uber customers, or Uber drivers,

their data was breached last year

and at the time the company tried to

cover it up. Yes, back in the

spotlight for all the wrong reasons

again.

Let me show you what is happening on

European markets. A stronger day to

events in Europe. Keeping a close

eye on the Bank of England's stress

test as we have discussed. All the

UK banks passing the requirements to

have reserves should the economy

take a turn for the worse. We have

been hearing from the governor about

whether he foresee as disorderly

Brexit. He says that's unlikely.

Now, there's growing awareness

amongst employers that taking care

of their employee's mental health

is just as important as safeguarding

their physical health.

Figures now suggest one

in four people will

experience a mental health

problem each year and it's an issue

Hanna Chamberlain has

been trying to tackle.

She won this year's Stelios Award

for Disabled Entrepreneurs

named after the Easyjet founder

with her app called Mental Snap

where users can record

short video diaries,

rate their mood and

name their feeling.

She's with us this morning.

Good morning.

Good morning.

Congratulations on winning the

disability award set-up by the

Stelios Foundation. Tell us more

about how your app works?

You record

a short video clip on your mood. You

can record it on any aspect of your

mood and you name your feelings and

you rate your mood. So it comes from

the instinct of telling stories. And

that being a therapeutic thing for

people to do and in fact they are

naming their feelings and rating

their mood also introduces another

level of therapeutic effect.

Who

watches these videos?

No one.

They're private. They're completely

for you.

And therefore, is this a

sense by recording your feelings you

see maybe yesterday you felt low and

today you feel better and it is an

wareness that things change and what

is the psychology behind it, is it

thinking you can get through this

because yesterday you felt better?

There is the watching yourself back

element, but the process of telling

your story is important. If you have

a mental health condition, you're

often documented by other people and

you don't often get the opportunity

to tell your own story and believing

your own story and owning your own

narrative from your own point of

view is vital for recovery.

This is

something that you and your husband

has set-up.

That's right.

This is an

issue that's been a challenge for

you personally. So you've

experienced provision for mental

health as a patient, but also as

someone helping others. So is this

what partly inspired you to take

this path?

Absolutely. I started

making films about mental health

because of the need to tell my own

mental health story and then as I

started to make films with other

people, I found that not only did I

find it helpful, but actually so

many people found it helpful. The

camera sees you and hears you, it is

an incredible validator and actually

from our earliest days, mummy,

daddy, camera are our three earliest

relationships. It is a really strong

figure in our lives and can form a

powerful therapeutic effect.

You

talk about the mirror effect.

Explain to me the idea of and this

is how the app works, you see

yourself with the selfie camera one

way, but it will spin the other way

around. Explain that.

When you see

yourself on a camera in selfie mode,

you see your familiar face. As soon

as you press stop, it automatically

flips in the camera. So you go from

seeing yourself as you know

yourself, to seeing yourself as your

friends do. And actually it

introduces a level of distance so

people feel that they are not so

absorbed in the moment, they can

ditached from it, but people are

saying that as they record, they

feel like they're making a new

friend and that friend is

themselves.

And this is something you've worked

with in terms of mental health and

film, the relationship for 20 years,

but have you felt in the recent few

years, the profile of mental health

has been cut, you know, has been

much more up there. There is real

momentum behind this at the moment,

isn't there?

There is, indeed and

the Royal Family have got a big part

to play in that and there are

celebrities who have come out and

talked about that. The Stelios Award

is a fantastic thing to win because

Stelios' ethos is to with mass

markets and democratising and this

is an amazing opportunity for mental

health, not to be just about one in

four, we know there is one in four,

but mental health is something

everyone has got.

Helen, remind me

of the day in November when you won

the award, was it 14th November?

It

was.

The reason I ask you, thank you

very much Helen for being on the

programme and congratulations again

because on 14th November we had an

interview with Stelios, of course,

the man who created easyJet and Easy

Group and he was talking about that

foundation and the disability award

and more. So you can look on the BBC

iPlayer and watch it. You went down

to chat with him about that. We will

talk about the business pages in a

moment, but first a great story that

we've found at the BBC.

Not much you can change

about a cash machine right?

Put your card in, type a number

and out comes cash.

Apparently not - one of the world's

biggest makers of cash machine has

come up with a new ATM that it

thinks is a game-changer.

When I go to the ATM, it is much

more vivid, much more vibrant.

In terms of the colours,

I can zoom, I can pinch,

I can do what I would expect to do

on the screen on my phone

or my tablet as an example.

I can initiate a video

session with somebody

at the bank to assist me.

It really changes the game

for what an ATM is from,

you know,

a machine that dispenses cash

to a whole

new sort of mobile ready

experience for the consumer.

Welcome.

How can I help you today?

Sure, no problem at all.

Many financial institutions are

rethinking how many branches they

have to have, where exactly those

branches need to be and the purpose

of those specific branches.

Remi Olu-Pitan is back.

That interview with Stelios is on

our website. Remi is back. We were

talking about shrinkflation. This

came to the fore when the gaps

between Toblerone got wider. Now

we've got the Terry's chocolate

orange.

It has increased by 36%

compared to last year.

Why is that?

This depends where you buy it.

It

depends where you buy it. But on

average it has increased by 36%. It

is a shock to the wallet

particularly for those of us who

have a sweet tooth. The

confectionery industry have had a

lot of inflation and now they are

passing it on to the consumers.

There is so much competition when it

comes to those with sweet tooth.

Consumer trends are changing. There

is a lot of competition. There is so

much on offer. It is getting hard

for the confectionery companies to

make a profit. And that's why we are

seeing higher prices.

And when look

at Christmas and we know

across-the-board and it is not just

confectionery, it is potatoes,

turkey, carrots. Inflation will bite

this Christmas?

I think we had it

easier last year, but it is really

coming through this year and that's

because these prices are coming

through. They are being passed on to

us.

Reme, thank you. Sorry it's so

brief. A lot to fit in. Bye-bye.