21/03/2018

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0:00:04 > 0:00:06This is Business Live from BBC News, with Sally

0:00:07 > 0:00:08Bundock and Rachel Horne.

0:00:08 > 0:00:11Taxing the tech titans -

0:00:11 > 0:00:14the European Commission is set to make big changes to the loopholes

0:00:14 > 0:00:17open to the likes of Amazon, Google and Apple.

0:00:17 > 0:00:18Live from London, that's our top story

0:00:18 > 0:00:24on Wednesday 21st March.

0:00:36 > 0:00:39The EU slaps down Silicon Valley -

0:00:39 > 0:00:44reports suggest that new measures will stop the practice of shifting

0:00:44 > 0:00:47profits to countries with the lowest rates of tax.

0:00:47 > 0:00:49Also in the programme, more investor reaction

0:00:49 > 0:00:52to the Facebook data row.

0:00:52 > 0:00:55The social media giant suffers another big drop in market value.

0:00:56 > 0:00:57Does Mum knows best?

0:01:04 > 0:01:07A mixed day emerging markets in Europe. We will talk you through the

0:01:07 > 0:01:08winners and losers.

0:01:08 > 0:01:09Does Mum knows best?

0:01:09 > 0:01:12We'll be looking at a new social network designed to help mums

0:01:12 > 0:01:13share their experiences.

0:01:13 > 0:01:15And #deletefacebook has been trending on Twitter -

0:01:15 > 0:01:17we want to know have you checked your privacy settings?

0:01:17 > 0:01:20Just use the #BBCBizLive.

0:01:27 > 0:01:30Hello and welcome to Business Live.

0:01:30 > 0:01:31Welcome to the programme.

0:01:31 > 0:01:33Let's start with a focus on the tech world.

0:01:33 > 0:01:38The European Commission plans to get the world's biggest tech companies -

0:01:38 > 0:01:40the likes of Google, Facebook and Amazon -

0:01:40 > 0:01:42to pay their fair share of tax.

0:01:42 > 0:01:44These firms have been criticised for booking their profits

0:01:44 > 0:01:47in countries with the lowest corporation tax rate.

0:01:47 > 0:01:51Brussels' plan is to tax a companies digital revenues based

0:01:51 > 0:01:53on where users are located, rather than where their

0:01:53 > 0:01:59headquarters are.

0:01:59 > 0:02:01For example, the French government collects just

0:02:01 > 0:02:07over 33% in corporate taxes.

0:02:07 > 0:02:12This compares to a tax rate of just 12.5% in Ireland.

0:02:12 > 0:02:19Under the EU's plans, there will be a blanket 3% tax on sales,

0:02:19 > 0:02:25collected in the country where sales takes place.

0:02:25 > 0:02:28It could include products such as Google's

0:02:28 > 0:02:29advertising services, or Apple's streaming services,

0:02:29 > 0:02:39although the details are unclear.

0:02:39 > 0:02:45With me is Oliver Smith, senior reporter, Forbes Europe.

0:02:46 > 0:02:51Oliver, let's start. -- let's start there, the details are not the

0:02:51 > 0:02:57clearest. How will they define these tech companies?Countries like

0:02:57 > 0:03:01France have been calling in Europe to act on this problem for years,

0:03:01 > 0:03:04now finally they are. They are defining these companies as those

0:03:04 > 0:03:09that make them money from streaming services, subscription services and

0:03:09 > 0:03:16advertising. Companies like Google, Apple, Spotify are all potentially

0:03:16 > 0:03:20in the limelight.What is interesting is 3% may sound like

0:03:20 > 0:03:26quite a low tax bracket. But it is 3% on revenue, not profit?That's

0:03:26 > 0:03:32quite unusual. It is quite a blonde force approach. -- blunt force

0:03:32 > 0:03:37approach. Because of countries like France and Britain, who were coming

0:03:37 > 0:03:41up with their own taxes because Europe has not been active, so now

0:03:41 > 0:03:45the EU feels it has to do something and act quickly. This is the

0:03:45 > 0:03:53quickest way of putting down a blanket tax across Europe.They are

0:03:53 > 0:03:57announcing today. It has to be ratified by EU members. When should

0:03:57 > 0:04:03we see it come into play?We really don't know. It could be months, it

0:04:03 > 0:04:08could be longer. The EU wants to come up with a longer term plan to

0:04:08 > 0:04:11stop profit shifting around Europe. These things will take a lot of

0:04:11 > 0:04:19time. Not any time soon, unfortunately.Say I run a company,

0:04:19 > 0:04:27and you are my retailer in Germany, Sally lives in Italy. Where does the

0:04:27 > 0:04:31tax get paid?Sally is the subscriber to the digital service,

0:04:31 > 0:04:35the country she is in is the country where the tax will be collected.

0:04:35 > 0:04:40That is very different to how it works today, where the tax should be

0:04:40 > 0:04:42collected at source where the company is headquartered. That is

0:04:42 > 0:04:47the shift. It is where the consumer is based rather than the company.A

0:04:47 > 0:04:50lot of people will look at this and think, these big companies, deep

0:04:50 > 0:04:56pockets of resources, they will get out of this one?Yeah, and I'm sure

0:04:56 > 0:05:01we will hear about stories just like that. The good thing about taxing it

0:05:01 > 0:05:05where the customer is based, is it should give the EU more power to

0:05:05 > 0:05:09actually see where the money is moving. When you are trying to

0:05:09 > 0:05:13figure out the profits, it becomes quite complicated, especially with

0:05:13 > 0:05:17the system is the companies have. We have to wait and see but hopefully

0:05:17 > 0:05:22it gives them a good tool to use. Laura Smith, thank you.

0:05:22 > 0:05:24-- Oliver Smith.

0:05:24 > 0:05:27Let's take a look at some of the other

0:05:27 > 0:05:27stories making the news.

0:05:27 > 0:05:29German prosecutors have raided the headquarters of BMW

0:05:29 > 0:05:31as part of an investigation into the suspected use

0:05:31 > 0:05:33of emissions cheating software.

0:05:33 > 0:05:36About 100 police and law enforcement officials searched the luxury

0:05:36 > 0:05:37carmaker's Munich headquarters and a site in Austria.

0:05:37 > 0:05:41They opened an investigation last month over suspected fraud.

0:05:41 > 0:05:45Toyota has suspended US tests of driverless cars on public

0:05:45 > 0:05:47roads, following a fatal accident in Arizona involving one

0:05:47 > 0:05:50of Uber Technologies' self-driving vehicles.

0:05:50 > 0:05:54Toyota said it was concerned about the "emotional effect"

0:05:54 > 0:05:57the incident might have on its test drivers.

0:05:57 > 0:06:02Facebook is being investigated by the US Federal Trade Commission

0:06:02 > 0:06:06over the alleged misuse of user data on the network.

0:06:06 > 0:06:10It comes after allegations that 50 million Facebook users' private

0:06:10 > 0:06:15information was misused by research firm Cambridge Analytica.

0:06:15 > 0:06:17The UK-based firm suspended its chief executive on Tuesday.

0:06:17 > 0:06:22We'll get more on this story later in the programme.

0:06:22 > 0:06:24China's Tencent, the owner of the popular

0:06:24 > 0:06:28we-chat messaging app, is now about $72 billion more

0:06:28 > 0:06:31valuable than Facebook as the US social networking giant deals

0:06:31 > 0:06:36with a string of controversies.

0:06:36 > 0:06:39There is a lot going on in financial markets at the moment.

0:06:39 > 0:06:41Tencent is due to reports its latest set

0:06:41 > 0:06:43of financial results later today.

0:06:43 > 0:06:47Sarah Toms is in our Asia business hub in Singapore.

0:06:47 > 0:06:52Sarah, this is interesting, how things are changing. As Facebook

0:06:52 > 0:06:58Foals, Tencent is seen as more valuable?That's right. Tencent is

0:06:58 > 0:07:04often known as China's Facebook. It seems very appropriate at the

0:07:04 > 0:07:08moment. The two social media giants have been neck and neck in value for

0:07:08 > 0:07:16quite some time. But now the gap has widened after the crisis. Billions,

0:07:16 > 0:07:20tens of billions of dollars in fact have been wiped off the value of

0:07:20 > 0:07:25Facebook. And of course as Facebook is dealing with this crisis, China's

0:07:25 > 0:07:31largest corporation is riding on a huge wave of success. It has got

0:07:31 > 0:07:35some new hip games, a growing ad business, and the momentum is still

0:07:35 > 0:07:39growing for a wee chat, the all in one messaging service that drives

0:07:39 > 0:07:47it. Tencent is just about to release its earnings. This is a very

0:07:47 > 0:07:52important timing. Investors expecting some strong results.

0:07:52 > 0:07:57Tencent is projected to report a 56% growth for the last quarter of last

0:07:57 > 0:08:02year. This is bound to be a positive impact on the Tencent stocks

0:08:02 > 0:08:07tomorrow. As a result, we could even be seeing a bigger gap between

0:08:07 > 0:08:15Tencent and Facebook.Yes, we will watch this space closely. Let's look

0:08:15 > 0:08:19at marketing General. We had a day of no action at all in Japan. That

0:08:19 > 0:08:27is actually Tuesday's close. Elsewhere in Asia we saw a mixed

0:08:27 > 0:08:31day. Monday and Tuesday were days of is quite significant declines for

0:08:31 > 0:08:35Asian share markets. Today wasn't too bad. Emma Gees shares were in

0:08:35 > 0:08:42favour. -- energy shares. Opec is accelerating plans for curbing a

0:08:42 > 0:08:49worldwide supplied last. The oil price has been going up, energy

0:08:49 > 0:08:54stocks in favour. Lots of corporate news out today. Take a look at the

0:08:54 > 0:09:00Business Live page, which keeps you up-to-date. B&Q shares down 7% in

0:09:00 > 0:09:07London. Disappointing results. Moss brass -- moss brass shares down as

0:09:07 > 0:09:12well. A disappointing trading statement. I Street retailers really

0:09:12 > 0:09:20struggling. News of -- news of an emergency loan from Carpetright. It

0:09:20 > 0:09:24has got emergency funding. That gives you a sense of what is going

0:09:24 > 0:09:31on. Very busy. Add to that the Federal reserve. It will wrap up

0:09:31 > 0:09:32it's two-day meeting.

0:09:32 > 0:09:34And with more details on the Federal Reserve

0:09:34 > 0:09:36meeting later today, Kim Gittleson has this

0:09:36 > 0:09:38report from Washington.

0:09:38 > 0:09:42He has the wisdom and leadership to lead our economy through any

0:09:42 > 0:09:46challenges are great economy may face.

0:09:46 > 0:09:50On Tuesday, Jerome Powell got to live the dream. He began his first

0:09:50 > 0:09:55meeting of the head of America's Central bank.The Federal reserve is

0:09:55 > 0:09:58one of the most important institutions in our government.Most

0:09:58 > 0:10:06people expected -- expect the Federal Reserve to impress interest

0:10:06 > 0:10:12rates. -- increase. But the problem is who will be impacted by an

0:10:12 > 0:10:16increase. There are three main groups. Savers have not been able to

0:10:16 > 0:10:21learn anything on their savings for nearly a decade now. But slowly,

0:10:21 > 0:10:28very slowly, savings are starting to increase in the United States. The

0:10:28 > 0:10:31second group are American workers, who may have to pay a little bit

0:10:31 > 0:10:36more for a mortgage or a car loan. American workers are taking on

0:10:36 > 0:10:40bigger paycheques. They should be able to weather a rate increase. The

0:10:40 > 0:10:47group that should be worried is US corporations. Today one in ten of

0:10:47 > 0:10:54them are zombies. Instead of gorging on brains, they have been gorging on

0:10:54 > 0:10:57cheap debt. Now they are not making enough in profits to cover the

0:10:57 > 0:11:02interest on that borrowed money. So when the Fed starts raising interest

0:11:02 > 0:11:07rates, well, the walking dead could be headed for the unemployment line.

0:11:07 > 0:11:12It is not often you see zombies on Business Live! We are open to

0:11:12 > 0:11:13everything.

0:11:13 > 0:11:15Joining us is Ben Kumar, investment manager at

0:11:15 > 0:11:18Seven Investment Management.

0:11:18 > 0:11:22Let's talk about the Federal reserve decision. Everybody is expecting a

0:11:22 > 0:11:28rate rise, aren't they?They are. Everybody has talked a lot about the

0:11:28 > 0:11:32new governor coming in. He is part of the establishment. He has been on

0:11:32 > 0:11:36the Fed for years, he has been on the Treasury. He is not some random

0:11:36 > 0:11:42guy. He is embedded in the policy in the US. People are not expecting any

0:11:42 > 0:11:45different process than we have seen already. A rate rise today and a

0:11:45 > 0:11:52couple more in the next six to nine months.Rates could go up four

0:11:52 > 0:11:57times. What you just said about Jerome Powell, business as usual,

0:11:57 > 0:12:04that is a help right now, isn't it? Absolutely. The Fed has done a

0:12:04 > 0:12:07fantastic job of getting interest rates up. That has kept markets

0:12:07 > 0:12:12calm. It is important the continuation of that is his policy.

0:12:12 > 0:12:15You will see him struggle a little bit with the first communication he

0:12:15 > 0:12:21has to make. But that is OK.Let's talk about a story Sally has been

0:12:21 > 0:12:26excited about. Amazon and alphabet have overtaken Amazon in terms of

0:12:26 > 0:12:33market share. Other way round, sorry!

0:12:33 > 0:12:37It's just kind of showing us about sentiment and perception at the

0:12:37 > 0:12:43moment about Facebook shares, Google shares.Your thoughts? Alphabet

0:12:43 > 0:12:48makes most of its revenue from advertising. It is Google ads. They

0:12:48 > 0:12:53are targeted, they do involve data. Amazon is a bit different. It makes

0:12:53 > 0:12:58money from lots of different places and not so much the advertising. It

0:12:58 > 0:13:00does get a sentiment kick when we see companies like Facebook and

0:13:00 > 0:13:05Google being pressured by people asking, are they doing nasty things

0:13:05 > 0:13:12with my data?The concern is more tighter regulations, and companies

0:13:12 > 0:13:16like Facebook having less scope to make money out of our information?

0:13:16 > 0:13:21Absolutely. The digital world has undergone some scrutiny. The EU tax

0:13:21 > 0:13:26we talked about. The idea of data and privacy, regulators are starting

0:13:26 > 0:13:30to get up to speed. Nobody knows how far this could go.

0:13:30 > 0:13:35You will be back to talk about the papers at the end of the programme.

0:13:35 > 0:13:37It is not often he has more to do.

0:13:37 > 0:13:39Still to come - mum's the word!

0:13:39 > 0:13:42Later in the programme we'll take a look at the new smartphone app

0:13:42 > 0:13:43which is helping mums meet up.

0:13:43 > 0:13:45You're with Business Live from BBC News.

0:13:54 > 0:13:56Insurer Lloyd's of London has reported a £2 billion

0:13:56 > 0:13:59loss for last year,

0:13:59 > 0:14:02describing it as "one of the costliest years for natural

0:14:02 > 0:14:04catastrophe in the past decade".

0:14:04 > 0:14:07It was the insurer's first loss in six years.

0:14:07 > 0:14:10That compares with a £2.1 billion profit in 2016.

0:14:10 > 0:14:14Earlier we spoke to Inga Beale, the chief executive

0:14:14 > 0:14:17of Lloyd's of London.

0:14:17 > 0:14:19This really shows Lloyds, I would have said,

0:14:19 > 0:14:23to its full strength.

0:14:23 > 0:14:26We have been around for 330 years now supporting businesses and people

0:14:26 > 0:14:29get their lives back together when disaster strikes.

0:14:29 > 0:14:31We saw some very tragic scenes last year.

0:14:31 > 0:14:33We had hurricanes sweeping through the US -

0:14:33 > 0:14:37Hurricanes Harvey, Irma and Maria.

0:14:37 > 0:14:39There was also an earthquake in Mexico, there was flooding

0:14:39 > 0:14:42in South Asia, wildfires in California, I mean there were

0:14:42 > 0:14:46so many tragic events happening.

0:14:46 > 0:14:50But then Lloyds stepped in and we paid out last year

0:14:50 > 0:14:53about £18.3 billion in claims, basically putting people

0:14:53 > 0:14:57back on their feet.

0:14:57 > 0:15:00And despite that, Lloyds is in a really strong position.

0:15:00 > 0:15:03At the end of the year no syndicate failed,

0:15:03 > 0:15:06every syndicate is still in business and was recapitalised,

0:15:06 > 0:15:12meaning that Lloyds is in a really, really strong position.

0:15:12 > 0:15:15When it comes to something that we can model, we do a lot

0:15:15 > 0:15:18of statistical modelling around the risks that we take on,

0:15:18 > 0:15:21all of those exposures, and in fact the whole insurance

0:15:21 > 0:15:24sector has spent billions trying to understand this.

0:15:24 > 0:15:27When something like climate change is impacting these events,

0:15:27 > 0:15:29we have to build that into our modelling and our

0:15:29 > 0:15:33forecasting of how much these events can cost.

0:15:33 > 0:15:36But while we can quantify what they cost, we don't know

0:15:36 > 0:15:39when they will happen and that is one of the difficult

0:15:39 > 0:15:41things nobody can assess.

0:15:41 > 0:15:47But we make sure, therefore, that we have enough capital

0:15:47 > 0:15:49in the market to support those potential disasters and that is how

0:15:49 > 0:15:51we run our business model.

0:15:51 > 0:15:56And of course we have to make sure that we collect premiums in,

0:15:56 > 0:15:58that we look after those premiums and invest those premiums

0:15:58 > 0:16:01because on the other side we pay out claims but we also make

0:16:01 > 0:16:07some investment income.

0:16:07 > 0:16:12That was the chief executive of Lloyd's of London. There was a story

0:16:12 > 0:16:19we mentioned, copyright clinching an emergency loan from looking at a

0:16:19 > 0:16:22voluntary agreement to help it reduce the property issue joining

0:16:22 > 0:16:28the likes of Biron and Jamie's Italian, all struggling on the high

0:16:28 > 0:16:30Street.

0:16:33 > 0:16:36You're watching Business Live.

0:16:36 > 0:16:38Our top story - the European Commission is set

0:16:38 > 0:16:40to announce new measures to prevent tax avoidance by the world's

0:16:41 > 0:16:42biggest tech companies.

0:16:42 > 0:16:45The new rules are expected to force the likes of Apple,

0:16:45 > 0:16:48Amazon and Google to pay taxes in the country where sales

0:16:48 > 0:16:51are made, as opposed to the current system where companies pay taxes

0:16:51 > 0:16:55where they book their profits.

0:16:55 > 0:17:00More detail on that on our website.

0:17:00 > 0:17:03Let's get the inside track on a new social network

0:17:03 > 0:17:05which is hoping to provide parents with friendship and support.

0:17:05 > 0:17:07Mush was born when Katie met co-founder, Sarah Hesz,

0:17:07 > 0:17:09in a playground on a rainy day.

0:17:09 > 0:17:11The pair struck up a chance friendship,

0:17:11 > 0:17:13but realised that technology could provide a far easier way

0:17:13 > 0:17:17for like-minded mums to meet one another.

0:17:17 > 0:17:19With us is Katie Massie-Taylor, co-founder of mum's

0:17:19 > 0:17:23networking app, Mush.

0:17:23 > 0:17:28Thank you for coming in. This was an invention born of necessity, you

0:17:28 > 0:17:32were feeling a bit lonely and overwhelmed and you met up with

0:17:32 > 0:17:38Sarah and it went from there?She came and chatted me up in the

0:17:38 > 0:17:43playground! That was three and a half years ago and three months

0:17:43 > 0:17:47after we had spent every day together doing average stuff, we

0:17:47 > 0:17:50realised the lifeline the friendship had been and there was not

0:17:50 > 0:17:56technology there to make it easy for local mums to meet other mums in the

0:17:56 > 0:18:03area.We have heard from other social media website, even Peanut

0:18:03 > 0:18:09which is a similar app, but what is unique about your app?We were the

0:18:09 > 0:18:14first ones to come out with an app, websites had existed and done a

0:18:14 > 0:18:18wonderful job of giving online support but what we wanted to do was

0:18:18 > 0:18:24facilitate off-line meet ups. Mums can find other mums nearby and

0:18:24 > 0:18:29message and meet up together and meet in a group as well. That is

0:18:29 > 0:18:33what we stick by now. We have group meet ups through the app which sets

0:18:33 > 0:18:38it apart from anything else which maybe looks at 121 friendship.How

0:18:38 > 0:18:47are you making money?We have been fortunate to get VC funding, people

0:18:47 > 0:18:53who spot the opportunity for social network to come from this. By happy

0:18:53 > 0:18:57consequence it has been something that mums really love and are asking

0:18:57 > 0:19:03us for features and functionality that we can add as a premium

0:19:03 > 0:19:07feature.So basically it is free but if you want more you have to pay for

0:19:07 > 0:19:14that? And a monthly fee?That is the idea, it is a year away but that is

0:19:14 > 0:19:19where we will ultimately end up.You are a social network, at a time when

0:19:19 > 0:19:24social networks are in the headlines overprotection of user data so what

0:19:24 > 0:19:27are you doing to your users safe and have you been approached by

0:19:27 > 0:19:33companies looking to buy the information?Safety is key for the

0:19:33 > 0:19:37users, it is something mums feel passionately about, the data about

0:19:37 > 0:19:39themselves and their children remaining safe and that has always

0:19:39 > 0:19:45been at the forefront of our minds. We don't sell any third party data,

0:19:45 > 0:19:51we proudly keep it to ourselves and partly the reason we are looking to

0:19:51 > 0:19:55monetised over premium substituent is so we're not playing to the

0:19:55 > 0:20:00Browns. This is an attractive audience to them -- Iturbe brands.

0:20:00 > 0:20:02We want to make the product brilliant for the mums rather than

0:20:02 > 0:20:05to sell their data.

0:20:06 > 0:20:11This is the whole issue of what apps you are using and the information

0:20:11 > 0:20:15you are giving out, you don't know where it might end up or how it is

0:20:15 > 0:20:19being used but I guess you are saying with your app that you pay

0:20:19 > 0:20:23for a service and that it intends up out we are monetising it, when not

0:20:23 > 0:20:29being paid to push clothing wear on you or health products or whatever.

0:20:29 > 0:20:35There is no hidden agenda. Last week I looked at our privacy policy and

0:20:35 > 0:20:38made it clear, there is nothing to hide, we are here to help and

0:20:38 > 0:20:42support mums, there is no other agenda.Thank you very much for your

0:20:42 > 0:20:52time. The other co-founder is watching, server.She has just had a

0:20:52 > 0:21:00baby!Congratulations -- Sarah. Here is how Tuesday in touch. Stay

0:21:00 > 0:21:03up-to-date with all of the business news as it happens on the BBC

0:21:03 > 0:21:06Business Live page weather is analysis from our team of editors

0:21:06 > 0:21:14around the globe. And we want to hear from you as well also get

0:21:14 > 0:21:20involved on our web page. And on Twitter and you can find us on

0:21:20 > 0:21:27Facebook. Business Live come on TV and online, what you need to know

0:21:27 > 0:21:39when you need to know it. Ben is back. We have the issue of Facebook

0:21:39 > 0:21:42which is very much in the press. Let's talk about some of the

0:21:42 > 0:21:50coverage. We were talking about the share price. One thing I was put

0:21:50 > 0:21:53into a low-cost bond and in San Francisco, in the long-term, how

0:21:53 > 0:21:57damaging is this for Facebook? It is hard to measure at this point?We

0:21:57 > 0:22:03have seen a few privity scared in the last decade and has managed to

0:22:03 > 0:22:07come back and improve privity settings but this seems to go wider,

0:22:07 > 0:22:12this is selling data with it seems like Melissa 's outcome and that is

0:22:12 > 0:22:18troubling.Let's look at what people have been saying -- malicious

0:22:18 > 0:22:23outcome. Luke says he did check his settings and yet deleted his

0:22:23 > 0:22:28account, he will not be using it again. Andrei said he always update

0:22:28 > 0:22:31his proceeds settings but shies away from some of the more confidential

0:22:31 > 0:22:37questions. Another says yes, I have disabled apps. A lot of people are

0:22:37 > 0:22:44looking at everything. And also on Twitter there was one from Nordea

0:22:44 > 0:22:49who have said they have put Facebook investment on quarantine in their

0:22:49 > 0:22:52sustainable funds. When you get big corporations like that voicing

0:22:52 > 0:22:57concerns about what can it mean for something like Facebook?It is a

0:22:57 > 0:23:01real problem, sustainable funds are getting larger and larger. When they

0:23:01 > 0:23:05avoid an industry or a sector it damages it. Think of the oil

0:23:05 > 0:23:09industry and people moving away from it. Facebook and companies that

0:23:09 > 0:23:13cannot prove they protect their data could be in trouble.Let's talk

0:23:13 > 0:23:19plastic which is in the news. A new scientific report is warning us that

0:23:19 > 0:23:23in the next decade the amount of plastic in the sea will treble.

0:23:23 > 0:23:27Despite the fact there has been so much publicity about this problem it

0:23:27 > 0:23:32is going to get worse and commercial organisations are making the most of

0:23:32 > 0:23:37the oceans which is interesting.It is the ocean is 70% of the world and

0:23:37 > 0:23:41it is not really regulated. Other than close to shore, corporations

0:23:41 > 0:23:46can get away with it, and there is a lot of press but mainly in the

0:23:46 > 0:23:51developed world. In emerging market company is basically able to dump

0:23:51 > 0:23:55stuff in the ocean without consequence.We talked about

0:23:55 > 0:23:59harvesting the sea bed for seaweed or putting up wind farms and some of

0:23:59 > 0:24:02this is being done without regulation and companies are taking

0:24:02 > 0:24:06advantage of a free resource is how many people see it.So much is

0:24:06 > 0:24:11readily do on land, companies are looking that there is masses of

0:24:11 > 0:24:14space and Rhys Oates and nobody is controlling what they do.Another

0:24:14 > 0:24:20interesting story in the New York Times, the Saudi Arabian crown

0:24:20 > 0:24:28prince is in the US, he met with Donald Trump yesterday. It is all

0:24:28 > 0:24:31over the media. They are talking about how they get on extremely

0:24:31 > 0:24:38well, the White House reinforcing Trump's commitment to air apparent.

0:24:38 > 0:24:42It seems they are on the same page on many issues.They seem to have

0:24:42 > 0:24:46some sort of camaraderie, there is a lot of support between them. The

0:24:46 > 0:24:53interesting thing when you look at Saudi Arabia and Aramco, are they

0:24:53 > 0:24:58pulling back because the oil price has gone higher?That is the market

0:24:58 > 0:25:03listing of the state owned Aramco which is worth a heck of a lot and

0:25:03 > 0:25:07the stock markets around the world want a bit of the action. It has

0:25:07 > 0:25:10been a couple of years there has been talk of this listing in London

0:25:10 > 0:25:15and New York both trying for it to be listed.The size of this company,

0:25:15 > 0:25:23it will be the first trillion dollar company, maybe even $2 trillion also

0:25:23 > 0:25:29at flotation. It is why people want to get involved. Saudi Arabia are

0:25:29 > 0:25:33saying, maybe we like it being a state run and not having to tell the

0:25:33 > 0:25:38market exactly what we do behind closed doors.Interesting. Thank you

0:25:38 > 0:25:40for your time.

0:25:40 > 0:25:44That's it from Business Live today.

0:25:44 > 0:25:49We will keep you up-to-date throughout the day on our website

0:25:49 > 0:25:54and also here on the BBC. Thank you for joining us, we will see you

0:25:54 > 0:25:55tomorrow. Goodbye.