21/02/2018

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0:00:07 > 0:00:09This is Business Live from BBC News with Jamie Robertson

0:00:09 > 0:00:13and Sally Bundock.

0:00:13 > 0:00:15The boss of the world's biggest mining firm Glencore has

0:00:15 > 0:00:18said that 2017 was a stellar year as a strenghtening global economy

0:00:18 > 0:00:20boosts demand for raw materials and commodities.

0:00:20 > 0:00:22Live from London, that's our top story

0:00:22 > 0:00:32on Wednesday 21st February.

0:00:38 > 0:00:45Glencore says profits for 2017 came in at $14.76 billion -

0:00:45 > 0:00:49that's 44% more than a year earlier.

0:00:49 > 0:00:50Also in the programme....

0:00:50 > 0:00:55South Korea signs trade deals with central American nations.

0:00:55 > 0:01:05Is this a back door to trade war with the US?

0:01:05 > 0:01:17That is how the market started off, all of them down.The Asian markets

0:01:17 > 0:01:19were looking healthy earlier that they are taking their cue from the

0:01:19 > 0:01:22US, which had a bit of a

0:01:22 > 0:01:24City life can be high on excitement but low on community spirit.

0:01:24 > 0:01:27We'll be meeting the man who's putting the community

0:01:27 > 0:01:37at the core of social networks.

0:01:37 > 0:01:42Today we want to know:

0:01:42 > 0:01:49Do get in touch.

0:01:49 > 0:01:51Hello and welcome to Business Live.

0:01:51 > 0:01:54The boss of the world's biggest mining firm Glencore has said that

0:01:54 > 0:02:022017 was its best ever.

0:02:02 > 0:02:05It follows strong results from its rivals BHP

0:02:05 > 0:02:07Billiton and Anglo-American earlier this week.

0:02:07 > 0:02:16All of them are benefitting from the improved global economy.

0:02:16 > 0:02:19Glencore says its adjusted profits for 2017 came in at $14.76 billion

0:02:19 > 0:02:21that's 44% more than a year earlier.

0:02:21 > 0:02:23Shareholders will be pleased to see that the company is recommending

0:02:24 > 0:02:25that they get $2.9bn in dividends.

0:02:25 > 0:02:27That's way above the minimum.

0:02:27 > 0:02:37And rising commmodity prices also helped net debt

0:02:42 > 0:02:44fall 31% to $10.67 billion.

0:02:44 > 0:02:46That puts the company in a stronger position for the future.

0:02:46 > 0:02:47But challenges lie ahead.

0:02:47 > 0:02:50The Democratic Republic of Congo is key to Gelncore's position

0:02:50 > 0:02:52as a key supplier of metals to the electric car industry.

0:02:52 > 0:03:02But the Government is looking at new laws limiting how much

0:03:03 > 0:03:06of profit these firm can take out of the country.

0:03:06 > 0:03:07With me is Paul Renken,

0:03:07 > 0:03:08senior geologist and mining analyst

0:03:08 > 0:03:12for VSA Capital Ltd.

0:03:12 > 0:03:17Well done for getting here. Thank you for being on the programme.

0:03:17 > 0:03:21Glenn caught coming out with a very familiar tune, it would seem. A bit

0:03:21 > 0:03:26of a sweet spot for them at the moment. Profits are up with a nice

0:03:26 > 0:03:30increase in dividend and they are reducing their debt.What would you

0:03:30 > 0:03:34make of their figures? They are pretty good figures from what I was

0:03:34 > 0:03:40able to review. A little bit better than expected, I would say, at this

0:03:40 > 0:03:44point in time. It was definitely the right time to have curtailed some of

0:03:44 > 0:03:52that production from Africa during 2015 and 2016 in order to make the

0:03:52 > 0:03:56market balanced in those commodities.Touching on the issue

0:03:56 > 0:04:00of the Democratic Republic of Congo and a new law which could affect

0:04:00 > 0:04:04their business. Nothing was said about that. I guess it is difficult

0:04:04 > 0:04:09to comment when they do not know what the Government may decide.

0:04:09 > 0:04:12There have been comments by other companies which also have issue with

0:04:12 > 0:04:17the Government on this particular situation about potential changes to

0:04:17 > 0:04:22tax rules. That would be changes which would be retro active, even to

0:04:22 > 0:04:27agree the contracts that were signed years ago.We are definitely

0:04:27 > 0:04:33concerned. Give me an idea about how cool this is to the mining industry

0:04:33 > 0:04:39generally and Glenn caught in particular?Cobalt is something that

0:04:39 > 0:04:47is crucial to the battery chemistry is, particular with having a long,

0:04:47 > 0:04:55charge life.You are talking about electric vehicles there. The car

0:04:55 > 0:04:59industry is so headed in that direction. Do they see that as being

0:04:59 > 0:05:04a really important part of business in the next few years?They have

0:05:04 > 0:05:07geared to their business in particular for these battery

0:05:07 > 0:05:13materials. It is not just cobalt, within Glencore you see a lot of

0:05:13 > 0:05:19zinc production and copper production. All of this is part of

0:05:19 > 0:05:23the electrical vehicle revolution. We all know with commodity markets,

0:05:23 > 0:05:29they are very cyclical, and good times do come to an end. How long

0:05:29 > 0:05:32are they in this window enables the expansion profits going up question

0:05:32 > 0:05:39does that mean now is the time for them to really invest?It is. If the

0:05:39 > 0:05:43auto industry is right in its prognosis as to how quickly

0:05:43 > 0:05:47consumers will pick up electric vehicles. That will depend on

0:05:47 > 0:05:52individual nations, as well as individual auto-makers as to how

0:05:52 > 0:05:56well the vehicle fell.Thank you very much indeed. Thank you for

0:05:56 > 0:06:01coming in. That is my concern. Stuck in the countryside in the UK with

0:06:01 > 0:06:06nowhere to plug in. I do not have an electric car yet though. Maybe you

0:06:06 > 0:06:13could just stick it into your mains, couldn't you? If you need one. You

0:06:13 > 0:06:18have your own electricity supply, I presume. If you are on a journey,

0:06:18 > 0:06:23say going to Scotland or something. Anyway, let's move on, shall we?

0:06:23 > 0:06:26Let's take a look at some of the other stories making the news.

0:06:26 > 0:06:28Shares in the world's biggest retailer Walmart has

0:06:28 > 0:06:31seen its biggest one day fall in more than 30 years.

0:06:31 > 0:06:34Shares closed down more than 10% at just over $94 after the company

0:06:34 > 0:06:36reported disappointing online sales figures for the Christmas period.

0:06:36 > 0:06:39Walmart says it going to try and drive more traffic to its main

0:06:39 > 0:06:42website as it tries to fight off competition from Amazon and others.

0:06:42 > 0:06:45Sydney Airport says profits are up as more people than ever

0:06:45 > 0:06:46are using the transit hub.

0:06:46 > 0:06:49Profits for 2017 came in at just over US $940m.

0:06:49 > 0:06:51A record 43.3m passengers used the airport with the number

0:06:51 > 0:06:54of international passengers up more than 7% thanks to strong demand

0:06:54 > 0:07:04from China and India in particular.

0:07:06 > 0:07:07The government announced plans to build a second

0:07:07 > 0:07:09international airport for the city.

0:07:09 > 0:07:11The battle to control the market for the computer chips which power

0:07:12 > 0:07:13smartphones is heating up.

0:07:13 > 0:07:15America's Qualcomm has increased its bid for Dutch rival

0:07:15 > 0:07:20NXP Semiconductors to around $44bn.

0:07:20 > 0:07:24It comes as Qualcomm tries to see off a hostile takeover bid

0:07:24 > 0:07:34from fellow US firm Broadcom which is worth an estimated $103bn.

0:07:35 > 0:07:38South Korea has signed free trade deals with five central

0:07:38 > 0:07:40American countries - Costa Rica, El Salvador, Honduras,

0:07:40 > 0:07:44Nicaragua and Panama.

0:07:44 > 0:07:46The deals aren't worth a huge amount, but could offer

0:07:46 > 0:07:56an alternative route to trade with the United States,

0:07:58 > 0:08:02Dealings between the US and South Korea have not been back great

0:08:02 > 0:08:04lately.

0:08:04 > 0:08:08First, Leisha Santorelli is in Singapore.

0:08:08 > 0:08:14Just explain the logic of this deal, please.It will open important new

0:08:14 > 0:08:18markets for South Korea and its auto sector and electronics sector all

0:08:18 > 0:08:23stand to benefit. Talks have been going on for a while. The trade

0:08:23 > 0:08:28packs will eliminate duty on about 95% of all goods and services traded

0:08:28 > 0:08:32between South Korea and these five countries. The South Korean

0:08:32 > 0:08:36government also forecasts it will give a big boost to economic growth

0:08:36 > 0:08:40over the next decade and create at least 3000 jobs, important given

0:08:40 > 0:08:45they have a very young population, all looking for jobs and it is a

0:08:45 > 0:08:51political problem for them. Seoul has said it is an important avenue

0:08:51 > 0:08:55for them to a given concerns over increasingly protectionist trade

0:08:55 > 0:09:00policies.Thank you very much indeed. Let's

0:09:00 > 0:09:05have a look at the markets. That is the Australian market. The Hang Seng

0:09:05 > 0:09:11is moving up but the Dow had a slightly weak day. Let's have a look

0:09:11 > 0:09:16and see what the details are about what is going on. That is how we

0:09:16 > 0:09:21have opened. All of the markets are down a little bit. Let's see what is

0:09:21 > 0:09:26on Wall Street today with Joe Miller.On Wednesday, the Federal

0:09:26 > 0:09:29reserve will release minutes from its last rate-setting meeting held

0:09:29 > 0:09:33at the end of January. At the time the committee decided to keep the

0:09:33 > 0:09:39rates steady at 1.5%. The central bank is widely expected to raise

0:09:39 > 0:09:42interest rates again in mid-March. But the language in the minutes will

0:09:42 > 0:09:48be closely scrutinised by Wall Street and any signs of increased

0:09:48 > 0:09:52enthusiasm for further or higher rises in 2008 teams could send the

0:09:52 > 0:09:57stock market spiralling again. Elsewhere, satellite television

0:09:57 > 0:10:03company dish network is expected to report a drop in revenue and profits

0:10:03 > 0:10:07and it is increasingly suffering from the popularity of streaming

0:10:07 > 0:10:12services like Netflix, to which younger, cash-strapped consumers are

0:10:12 > 0:10:15flocking.

0:10:15 > 0:10:17Joining us is Jane Sydenham, Investment Director,

0:10:17 > 0:10:23Rathbones Investment Management.

0:10:23 > 0:10:27We are talking the markets. It has been really dominated by the big

0:10:27 > 0:10:31mining companies were saying what we expected, they are having a really

0:10:31 > 0:10:36good time right now and making lots of money. We would expect that. A

0:10:36 > 0:10:41lot of them are listed in London on the FTSE 100 and a lot of them are

0:10:41 > 0:10:45very attractive to pension fund managers.Some of the dividends are

0:10:45 > 0:10:49quite substantial, so that is attractive. To a large extent, they

0:10:49 > 0:10:53are reflecting the fact that world economic growth is good. Demand for

0:10:53 > 0:11:03basic commodities will be higher when there is more economic

0:11:03 > 0:11:07activity.Everyone has been telling us, the global economy is set for a

0:11:07 > 0:11:12good year in 2018. I have been reading quite a lot of people are

0:11:12 > 0:11:16saying, actually, we are not going to get that smooth round we have had

0:11:16 > 0:11:20for the last 18 months and things will be more volatile, even though

0:11:20 > 0:11:25we have the gross.There is often a mismatch between economic growth and

0:11:25 > 0:11:29stock market performance. That's move upward trajectory we had was

0:11:29 > 0:11:34exceptional. Markets are usually much more volatile. It lasted a long

0:11:34 > 0:11:39time. It lasted an incredibly long time. It is natural to see more

0:11:39 > 0:11:48volatility. We have seen a change in terms of an increase in inflation

0:11:48 > 0:11:50and rising interest rates. There are more questions that investors need

0:11:50 > 0:11:52to resolve which will probably make markets more volatile.What are you

0:11:52 > 0:11:57watching in particular right now? I feel like we are in February, having

0:11:57 > 0:12:01had that massive volatility very recently. People are repositioning

0:12:01 > 0:12:06themselves a little bit.I think it is all about where there is value,

0:12:06 > 0:12:10relative to the growth is that investors are looking for. There are

0:12:10 > 0:12:14some areas that have performed so well they are very expensive. That

0:12:14 > 0:12:19is where investors were thinking, perhaps I need to take money out of

0:12:19 > 0:12:25those areas. There are not that many areas that have been growing

0:12:25 > 0:12:27strongly and there is always a trade-off between strong growth and

0:12:27 > 0:12:30a high price for that growth. That is what everyone is trying to

0:12:30 > 0:12:34resolve at the moment.Do stay around for that we'll be talking

0:12:34 > 0:12:40about the newspaper headlines at the end of the programme.

0:12:40 > 0:12:41Still to come...

0:12:41 > 0:12:42Drawing communities together.

0:12:42 > 0:12:45We meet the man who's on a mission to build up neighbourhood spirit -

0:12:45 > 0:12:46via his social network.

0:12:46 > 0:12:52You're with Business Live from BBC News.

0:12:52 > 0:12:59Lloyds Bank has posted pre-tax profits for last year

0:12:59 > 0:13:03of £5.3 billion, up 24%.

0:13:03 > 0:13:09That is the first year as a fully private enterprise.

0:13:09 > 0:13:11Joining us now is Laith Khalaf, Senior Analyst,

0:13:11 > 0:13:14at Hargreaves Lansdown.

0:13:14 > 0:13:23Just tell us, are we now back on track? Is this back to the good old

0:13:23 > 0:13:29days of Lloyds from precrisis days? Lloyds has been on a long recovery

0:13:29 > 0:13:34but it has recovered quite strongly. As you say, a landmark achieved last

0:13:34 > 0:13:38year, which is back in private hands finally, after the Government

0:13:38 > 0:13:41bailouts during the financial crisis. The numbers are all looking

0:13:41 > 0:13:47pretty good. Income rising profits rising, and costs under control. A

0:13:47 > 0:13:53bumper pay-out coming to shareholders as well post a lot to

0:13:53 > 0:13:58like with the numbers.There are still bills to pay for PPI. Is that

0:13:58 > 0:14:04anything as we should worry about in terms of extraordinary costs?PPI is

0:14:04 > 0:14:09the main one. That has been ticking over for a long time. What we had

0:14:09 > 0:14:16last year, a new deadline was introduced of August 29 and that has

0:14:16 > 0:14:21prompted more people to claim. There was a campaign fronted by Arnold

0:14:21 > 0:14:24Schwarzenegger, run by the SCA, which has also encouraged people to

0:14:24 > 0:14:30claim more and Lloyds has had to put more money aside. As we move towards

0:14:30 > 0:14:34the claims deadline in August of 2019 they will probably tweak back a

0:14:34 > 0:14:39little bit. The other thing is the UK economy. It is so plugged in that

0:14:39 > 0:14:43any shocks to the UK will be keenly felt by Lloyds. Things are plain

0:14:43 > 0:14:48sailing at the moment because we have record levels of employment and

0:14:48 > 0:14:51loans are not going bad.

0:14:51 > 0:15:01Thank you for that. This is the boss of Lloyds. He told the Today

0:15:01 > 0:15:05programme on Radio 4 that Lloyds came through with a strong recovery

0:15:05 > 0:15:09over the last few years will do it pointed out his base salary has

0:15:09 > 0:15:15climbed to £1.2 million and his remuneration package increased by

0:15:15 > 0:15:23some 11%, to £6.42 million. Is he worth that? He has brought Lloyds

0:15:23 > 0:15:35back to normality. Send us your thoughts.

0:15:35 > 0:15:37You're watching Business Live - our top story.

0:15:37 > 0:15:40Boom time for the mining sector.

0:15:40 > 0:15:42The boss of the world's biggest player Glencore says

0:15:42 > 0:15:442017 was a stellar year, as a strengthening global economy

0:15:44 > 0:15:46boosts demand for commodities.

0:15:46 > 0:15:55A quick look at how markets are faring.

0:15:55 > 0:15:58That is how things are standing right now.

0:15:58 > 0:16:00Let's get the inside track on a social network which aims

0:16:00 > 0:16:02to bring neighbours closer together.

0:16:02 > 0:16:03Nextdoor aims to encourage social interactions

0:16:03 > 0:16:05with those in your community.

0:16:05 > 0:16:07It is now actively used in more than 185,000

0:16:07 > 0:16:09neighbourhoods in the US, UK, Germany, and the Netherland.

0:16:09 > 0:16:12The start-up now has a valuation of over a billion dollars

0:16:12 > 0:16:17but will it end up as the next Facebook or the next Myspace?

0:16:17 > 0:16:22Our colleague Rachel Horne met up with the CEO and co-founder,

0:16:22 > 0:16:26Nirav Tolia, and began by asking him how it all got started?

0:16:26 > 0:16:30The founders of the company had heard of these amazing experiences

0:16:30 > 0:16:33growing up in neighbourhoods that were strong and supportive and

0:16:33 > 0:16:37really felt like communities, a as we became adults and we got older

0:16:37 > 0:16:41and thought about buying homes and starting to have children, we

0:16:41 > 0:16:45realised that while technology had improved our lives in so many ways,

0:16:45 > 0:16:48we didn't feel close to the communities in which we lived, we

0:16:48 > 0:16:52didn't know our neighbours. In fact when we started the company in

0:16:52 > 0:16:55America, almost 30% of Americans could not name a single neighbour by

0:16:55 > 0:17:01name. So, this notion of bringing back a sense of community to the

0:17:01 > 0:17:04neighbourhood and using technology, which is a thing that we are so

0:17:04 > 0:17:06passionate about in Silicon Valley, that was an easy match to make and

0:17:06 > 0:17:11we were lucky that no-one had done it before.How does it work?It is

0:17:11 > 0:17:15easy to use and it is free, come to the Nextdoor website and download

0:17:15 > 0:17:19the Nextdoor app and you enter your address and before you know it you

0:17:19 > 0:17:21will be connecting with your neighbours and making the

0:17:21 > 0:17:24neighbourhood better for everyone involved. There are some things

0:17:24 > 0:17:26about Nextdoor which make us different from other social

0:17:26 > 0:17:31networks. When you join you have to verify your address, we need to make

0:17:31 > 0:17:34sure that you actually live in the neighbourhood and we need to make

0:17:34 > 0:17:37sure that the conversations that take place are happening between

0:17:37 > 0:17:41real neighbours. This is not a place for fake news or fake accounts, it

0:17:41 > 0:17:45is a place for real neighbours to make genuine connections and to talk

0:17:45 > 0:17:48about the things which matter in the real world. The other big difference

0:17:48 > 0:17:51with Nextdoor is that the conversations are private. The

0:17:51 > 0:17:54things you talk about you will not find them indexed in the Google

0:17:54 > 0:18:00search engine, you won't be sharing them on social media.Is free for

0:18:00 > 0:18:05users but how do you make money on it?We think there is a huge

0:18:05 > 0:18:08opportunity not just to connect neighbours to each other but also to

0:18:08 > 0:18:13connect them to small, local businesses, so ultimately there will

0:18:13 > 0:18:16be kinds of advertising on the service, but the kind which helps

0:18:16 > 0:18:18neighbours and support those local businesses which make their

0:18:18 > 0:18:23neighbourhoods vibrant.What about the figures, how many people are

0:18:23 > 0:18:27using it?We came up with the idea in the summer of 2010 and it took us

0:18:27 > 0:18:31quite a while to launch nationally bubbled even in the United States,

0:18:31 > 0:18:36that was at the end of 2011. Fast forward since then and we have over

0:18:36 > 0:18:4180% of American neighbourhoods using the service. In late 2017 we had

0:18:41 > 0:18:45launched in the UK have about six months before that we launched in

0:18:45 > 0:18:48the Netherlands and recently we have launched in France and ultimately we

0:18:48 > 0:18:52believe that globally there will be Nextdoor for every neighbourhood.

0:18:52 > 0:18:57Today, almost 185,000 neighbourhoods worldwide are using the service, and

0:18:57 > 0:19:01we feel like we are just getting started.What do people actually use

0:19:01 > 0:19:05it for?All of the things you would imagine neighbours talk about. You

0:19:05 > 0:19:10can ask for help to find a lost pet, you can get a recommendation for a

0:19:10 > 0:19:15plumber or a baby-sitter. But what really inspires us is when there are

0:19:15 > 0:19:19examples of true human connection and community. Folks who may be

0:19:19 > 0:19:24lonely are forming social clubs so that they can get together and feel

0:19:24 > 0:19:27connected.How do you define a neighbourhood, is it a whole city or

0:19:27 > 0:19:32is it smaller areas?It turns out that we have a set of technology

0:19:32 > 0:19:37tools that allow the neighbours to help us define their areas and name

0:19:37 > 0:19:42their neighbourhoods. Typically it ranges between 500-1000 households.

0:19:42 > 0:19:46A lot of social networks have issues with people being abusive online -

0:19:46 > 0:19:51how do you prevent that happening? It is actually not for social things

0:19:51 > 0:19:55in general, it is the utility, it is coming together with your

0:19:55 > 0:19:58neighbours, it is for asking for help and providing help. Because you

0:19:58 > 0:20:03have use your true identity and because of the community context, we

0:20:03 > 0:20:07don't get a lot of abuse, we don't have fake news, we don't have a fake

0:20:07 > 0:20:12accounts.Who polices the sites?The great thing about Nextdoor is that

0:20:12 > 0:20:16neighbours feel like these are their neighbourhoods. They feel like it is

0:20:16 > 0:20:20their toll. And so we don't police these things, we don't read their

0:20:20 > 0:20:25content. These are there spaces, we are using the technology for them.

0:20:25 > 0:20:28Because these neighbours care deeply about their neighbourhoods, they

0:20:28 > 0:20:33ensure that the conversations stay civil.Are you making a profit yet?

0:20:33 > 0:20:38Not yet but in the United States we are Gary generating revenue. We

0:20:38 > 0:20:51started that in early 2017 and it has gone very well.Do you use it?

0:20:51 > 0:20:56Hang on a minute, let me just reintroduce Jane Sydenham, and I

0:20:56 > 0:21:04don't use it but I am the odd one out because you both do?Yeah, not

0:21:04 > 0:21:07enormous amounts but the other day we were going to take my daughter on

0:21:07 > 0:21:12the school run and somebody said a tree had gone down across the

0:21:12 > 0:21:18road... I never found out whether a tree actually HAD gone down!Why do

0:21:18 > 0:21:21you have to do that just to check the trees and do you see what I

0:21:21 > 0:21:29mean?Why not?!And you?I was looking for a cat sitter.And did

0:21:29 > 0:21:34you get one?I did, actually, it was really good, really useful. A local

0:21:34 > 0:21:40friend got in touch and the number of members is expanding.I am not a

0:21:40 > 0:21:43Nextdoor person but apparently it is child-care, nannies... But there is

0:21:43 > 0:21:50lots of local social media sites, actually. Local Facebook pages and,

0:21:50 > 0:21:55but then that is Facebook and we are back to the big giant.So, this is a

0:21:55 > 0:21:59kind of formula. They're probably going to sell it off eventually. He

0:21:59 > 0:22:04had a company which he then sold on to shopping.com, so the chances are

0:22:04 > 0:22:08this is going to get sold on to somebody bigger. So, it may look as

0:22:08 > 0:22:13though he is a small and cosy but actually, it's not, he is part of a

0:22:13 > 0:22:17bigger one...Let's bring in the viewers. Bags for your tweet, you

0:22:17 > 0:22:20said... Big social media companies like Facebook are censoring free

0:22:20 > 0:22:25speech, behaving like Big Brother, isolating you from your real-world

0:22:25 > 0:22:35friends.Not a fan! This one says... We should do more off-line.Jane

0:22:35 > 0:22:38Sydenham, we said we would talk about this story which BBC online

0:22:38 > 0:22:42has got, but it is also a letter in the Times newspaper today, 62

0:22:42 > 0:22:47members of the Conservative Party saying to Theresa May, the Prime

0:22:47 > 0:22:52Minister, hard Brexit or no Brexit...Yeah, from an investment

0:22:52 > 0:23:00has republic this will worry investors again. -- from an

0:23:00 > 0:23:03investment perspective. The consequence might be more weakness

0:23:03 > 0:23:06in sterling as we get closer to it being done or not being done!In

0:23:06 > 0:23:10some ways it is not so much whether they get their way, or whether

0:23:10 > 0:23:14Theresa May gets her way, it is actually how long we go on having

0:23:14 > 0:23:18this fight within the Conservative Party, isn't it? If we say, OK we're

0:23:18 > 0:23:23going to go for a hard Brexit, that is a certain form of clarity and one

0:23:23 > 0:23:27might be able to do something about it?!Yes, it is the uncertainty and

0:23:27 > 0:23:32the constant fluctuation and investors' perceptions of where we

0:23:32 > 0:23:36are in that. And it looks as though that is going to continue for quite

0:23:36 > 0:23:39some time.In the meantime another really interesting story in the

0:23:39 > 0:23:44Financial Times, the chief executive of Lloyd's of London, who has been

0:23:44 > 0:23:48on this programme, I interviewed her in Davos, talking about, it says

0:23:48 > 0:23:54here, partnerships skew the gender pay gap data - what does she mean?

0:23:54 > 0:23:58What she's referring to is the partnerships, the law firms, the

0:23:58 > 0:24:02accountancy firms, where Hartness are actually technically owners of

0:24:02 > 0:24:06the business rather than employees. And so this is really about the

0:24:06 > 0:24:12gender pay gap...So, their remuneration is not included in the

0:24:12 > 0:24:14data collected by those organisations and yet they're

0:24:14 > 0:24:18probably the highest-paid and could well be white men, I'm guessing?

0:24:18 > 0:24:25Absolutely.And therefore this data which is being collected, which are

0:24:25 > 0:24:28soon companies in the UK will have to put forward, will not be a true

0:24:28 > 0:24:32picture?I think so. It is going to give as an incomplete picture. Some

0:24:32 > 0:24:36of these law firms pay their top partners substantial amounts of

0:24:36 > 0:24:40money, and that is the concern, as you say. But I think it is early

0:24:40 > 0:24:46days for the gender pay disclosure. So, all of this is going to come

0:24:46 > 0:24:50out, I suspect the rules will be refined as time goes on.Can I just

0:24:50 > 0:24:56ask you about whether the rules about disclosure gender pay gap is,

0:24:56 > 0:25:01is it having an effect hammered it is obviously getting a lot of

0:25:01 > 0:25:05coverage but is it actually changing behaviour?I think it will,

0:25:05 > 0:25:09gradually. I think the fact that companies have actually got to think

0:25:09 > 0:25:13about it, research it, look at the data puddle more transparent. They

0:25:13 > 0:25:17have got to be accountable to their employees, so overtime, yes, I think

0:25:17 > 0:25:22it will.And also, I can speak for myself and my colleagues, people are

0:25:22 > 0:25:26feeling more empowered to talk about it.Yes. That makes such a

0:25:26 > 0:25:37difference.And actually feel they have a reason to bring it up.Just

0:25:37 > 0:25:39knowing that other people are thinking about it which you feel, I

0:25:39 > 0:25:42am right to be worried about it, too. Yes, and you can talk about it

0:25:42 > 0:25:45openly published is on the publico gender.I think it will make a huge

0:25:45 > 0:25:48difference over time.It has been great to have you on the programme,

0:25:48 > 0:25:50thanks the coming in.Let's say goodbye, because we haven't got any

0:25:50 > 0:25:58other time!Very polite! We are back tomorrow, see you then!