Browse content similar to 19/05/2014. Check below for episodes and series from the same categories and more!
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retirement. We look back on Jonny Wilkinson's fabulous career. That's | :00:00. | :00:00. | |
all in Sportsday, in 15 minutes after the papers. | :00:00. | :00:14. | |
Welcome to our look ahead to what the papers will be bringing us | :00:15. | :00:18. | |
tomorrow. With me are the former State Department official, Colleen | :00:19. | :00:22. | |
Graffy, and Jason Beattie, the political editor of the Mirror. | :00:23. | :00:25. | |
Let's look at some of the front pages now. We start with the | :00:26. | :00:28. | |
Independent, it warns that millions of householders could become what it | :00:29. | :00:31. | |
calls mortgage prisoners, if interest rates start going up. The | :00:32. | :00:36. | |
Metro carries the story of a man who discovered his critically ill wife | :00:37. | :00:39. | |
was still alive three days after he'd agreed to have her life support | :00:40. | :00:44. | |
switched off. The mistake was only revealed when he phoned the hospital | :00:45. | :00:47. | |
to arrange her funeral. The Express ` scientists say that | :00:48. | :00:53. | |
short high`intensity workouts can help prevent diabetes. | :00:54. | :00:58. | |
The Guardian ` it claims that Pfizer is giving up on the planned takeover | :00:59. | :01:04. | |
of AstraZeneca after the latest bid was rejected. | :01:05. | :01:07. | |
The telegraph ` Abu Hamza found guilty in an American court of | :01:08. | :01:11. | |
terrorism charges. The Daily Mail ` a test that could | :01:12. | :01:15. | |
help prevent thousands of heart attacks a year will be rolled out | :01:16. | :01:19. | |
across the NHS in the next few months. | :01:20. | :01:24. | |
We start with the Independent. Millions face become mortgage | :01:25. | :01:27. | |
prisoners. We're all mortgage slaves, now we're going to be | :01:28. | :01:30. | |
prisoners. Yes. It's quite dangerous. This is a report by a | :01:31. | :01:36. | |
think`tank called the Iran resolution Foundation. It was set up | :01:37. | :01:44. | |
specifically `` called the Resolution Foundation. There are | :01:45. | :01:47. | |
alarming figures. A small interest rate rise could hurt 700,000 people. | :01:48. | :01:53. | |
They could be in severe financial trouble. Interest from 0. 5% to 3% | :01:54. | :02:00. | |
could affect one in four of all mortgage holders, about 2. 2 million | :02:01. | :02:04. | |
people. Why is this important? It's the pain and worry it will cause | :02:05. | :02:09. | |
anybody who has a mortgage. A lot of them got it on low equity. And | :02:10. | :02:12. | |
there's a political headache as well. We're coming up to an | :02:13. | :02:16. | |
election. If this happens before an election, that's awkward for George | :02:17. | :02:21. | |
Osborne. Now the pressure is on Bank of England governor, Mark Carney. He | :02:22. | :02:24. | |
has to make that decision. Now it's a highly charged political decision. | :02:25. | :02:30. | |
Mark Carney has made it clear, at some point, when the economy | :02:31. | :02:34. | |
normalises interest rates will go up. He can't say when. He made the | :02:35. | :02:38. | |
point that when they do go up, they will go up slowly, and reach nowhere | :02:39. | :02:44. | |
near the levels they were before the crash. That's right. We're getting | :02:45. | :02:48. | |
mixed messages about this. One day we'll be told that interest rates | :02:49. | :02:52. | |
will not be rising, then the have a headline like this. A word to the | :02:53. | :02:57. | |
wise is sufficient. To be looking at how you can be paying down your | :02:58. | :03:00. | |
mortgage, more from interest only mortgage into one that's fixed. Even | :03:01. | :03:04. | |
though it will be more expensive, now might be the time to do. It I'm | :03:05. | :03:08. | |
talking to myself as well here. I thought so. I'm grateful for | :03:09. | :03:17. | |
financial advice. Give us more. We all know it's coming. It's comfort | :03:18. | :03:20. | |
being to know it's not going to be as high as once `` as it once was. | :03:21. | :03:25. | |
When it will happen and being prepared is important. It's like | :03:26. | :03:27. | |
quantitative easing in the United States, they just got so used to it | :03:28. | :03:32. | |
happening, all this cheap, free money, but at some point, the music | :03:33. | :03:36. | |
has to stop when you have to find a seat to sit down on. It's the same | :03:37. | :03:39. | |
here. Interest rates have been low for a long time. Have. The other | :03:40. | :03:43. | |
thing here, why were people allowed to get mortgages with such low | :03:44. | :03:47. | |
levels of equity? We have much lower rates in London than in Scotland or | :03:48. | :03:51. | |
Northern Ireland. It's something like 35% equity in Northern Ireland | :03:52. | :03:55. | |
compared with as low or 5% or 2% here. We were creating a subprime | :03:56. | :04:01. | |
market when we said we would not let it happen again. But how do people | :04:02. | :04:05. | |
get into the housing market, so they can afford the payments, even at a | :04:06. | :04:09. | |
fixed rate, but they can't afford, if they can't get four times their | :04:10. | :04:12. | |
salary they're not going to get anything. It's a double bind for | :04:13. | :04:19. | |
everyone. Going to the business section of the Telegraph, US accuses | :04:20. | :04:27. | |
China of spying on metal groups and the US Attorney`General has laid | :04:28. | :04:30. | |
charges against some Chinese military officials for stealing US | :04:31. | :04:34. | |
business secrets. This is a big story. We've known it for some time | :04:35. | :04:37. | |
in the United States that the Chinese have been stealing secrets. | :04:38. | :04:43. | |
China has been put on notice behind closed doors, subtly, out of public | :04:44. | :04:47. | |
view, saying this has to stop. The Chinese have insisted on saying that | :04:48. | :04:51. | |
it's not happening, that they want evidence that this is happening. So | :04:52. | :04:57. | |
now, a firm has gotten specific evidence that these five individuals | :04:58. | :05:01. | |
in particular, who were named, with the military, out of a union nit | :05:02. | :05:06. | |
Shanghai have been responsible `` unit in Shanghai have been | :05:07. | :05:10. | |
responsible for hacking US steel, nuclear, aluminium, and so this, | :05:11. | :05:16. | |
well, this has repercussions for the UK. One of the companies was westing | :05:17. | :05:22. | |
house. They were involved with the nuclear reactors, I think three of | :05:23. | :05:26. | |
them are in Cumbria, the project by New Generation. What information do | :05:27. | :05:32. | |
the kienees have about this nuclear reactor ` Chinese. This could be a | :05:33. | :05:38. | |
security issue. The Attorney`General's office that has | :05:39. | :05:42. | |
laid out the charges. You used to work in the State Department. This | :05:43. | :05:45. | |
is a headache for you guys. You are the international arm of American | :05:46. | :05:49. | |
foreign policy. You guys have got to deal with the Chinese on a | :05:50. | :05:54. | |
day`to`day basis. Oh, yes. How will this affect that relationship? | :05:55. | :05:59. | |
Chiepees foreign `` Chinese Foreign Minister says it's a pack of lies, | :06:00. | :06:02. | |
there's no evidence of this and that it's going to hurt some of our | :06:03. | :06:07. | |
projects we're working on, cyber security, for example, and one of | :06:08. | :06:12. | |
the things you have to do is just take the heat. It's so important for | :06:13. | :06:15. | |
American and global business that you don't have these secrets stolen | :06:16. | :06:21. | |
by governments and therefore, pulling the rug out from competition | :06:22. | :06:27. | |
and the market that you just have to take the heat on the diplomacy side. | :06:28. | :06:33. | |
I suspect the Chinese would say one, we didn't do this any way, so these | :06:34. | :06:36. | |
are all allegations. They would say that, wouldn't they? Secondly, they | :06:37. | :06:42. | |
probably will say that everyone's doing it. Yes, interestingly, | :06:43. | :06:46. | |
although what's interesting is that the Americans have named and shamed, | :06:47. | :06:52. | |
British Secret Service have been sound is the alarm bell on this | :06:53. | :06:55. | |
issue for a long time. There are known cases of the Chinese trying to | :06:56. | :07:00. | |
hack in or successfully hacking into British firms to steal intellectual | :07:01. | :07:04. | |
property rights. When David Cameron was in China in December, it was | :07:05. | :07:09. | |
raised there. There were kerbs about `` concerns about tie`ups with | :07:10. | :07:15. | |
Chinese firms and whether this telecoms company would then, by | :07:16. | :07:19. | |
using Chinese technology, would gain British companies and British | :07:20. | :07:23. | |
institutions. There is a wider issue. This is platant what they're | :07:24. | :07:28. | |
doing. They may `` blatant, they may deny it. They're very etents. It's | :07:29. | :07:34. | |
the military, so it's efficient. They're doing this with businesses. | :07:35. | :07:37. | |
Are they doing it with military hardware. Is this going to lay the | :07:38. | :07:47. | |
ground for cyber technology? We have become more open. The risks are | :07:48. | :07:50. | |
higher. The big industry in the United States were trying to move | :07:51. | :07:53. | |
into non`fossil fuels, one of the companies was a solar company. They | :07:54. | :07:57. | |
were constantly getting under cut with the pricing from Chinese | :07:58. | :08:01. | |
companies. Now they've learned it's because they had all the information | :08:02. | :08:04. | |
about what their pricing strategy was. So it's really caused some | :08:05. | :08:10. | |
difficulty for that industry in the United States. The Chinese would | :08:11. | :08:16. | |
also say famously, the Obama White House has decided in foreign policy | :08:17. | :08:23. | |
terms to pivot towards Asia. As a result, try to hem in the Chinese. | :08:24. | :08:37. | |
Obama went to Asia, not to Beijing, he went to all the other countries | :08:38. | :08:42. | |
and we know that there are territorial disputes reason Asia. | :08:43. | :08:45. | |
This is all part of trying to keep the Chinese down. I think that might | :08:46. | :08:49. | |
be what they say. What it's really about is that they have a huge | :08:50. | :08:55. | |
population that is trying to have a rising standard of living. They have | :08:56. | :08:58. | |
got to have an increase in their GDP. The only way of doing that is | :08:59. | :09:02. | |
stealing secrets, keeping ahead of industry of all the other countries | :09:03. | :09:08. | |
so that they can accommodate all of this rising demand. That's what it's | :09:09. | :09:13. | |
really about. They don't do that, they have civil unrest, they have | :09:14. | :09:17. | |
issues, sectarian, religious, environmental. Need growth rates of | :09:18. | :09:22. | |
8% just to stand still. Exactly. Let's go on to the Guardian. Pfizer | :09:23. | :09:30. | |
pulls out of Astra battle. US drugs giant walks away from bid rejected | :09:31. | :09:33. | |
and billions wiped off AstraZeneca's share price today. One way of | :09:34. | :09:37. | |
looking at this, this was like two dinosaurs trying to mate. It was | :09:38. | :09:41. | |
going to be unsuccessful whatever happened. I don't like the optics on | :09:42. | :09:48. | |
that one. They're both firms which are wholly reliant on the patent | :09:49. | :09:52. | |
business with the drugs they produce. The patents are expiring. | :09:53. | :10:01. | |
Therefore this merger was predicated on two things that Britain had a low | :10:02. | :10:05. | |
tax base. Pfizer wanted to save some money and it could then move in on | :10:06. | :10:09. | |
the Astra's research and development, was left of it, snap up | :10:10. | :10:16. | |
the atents. Actually the real `` patents. The work in pharmaceuticals | :10:17. | :10:20. | |
is done on a smaller level. That's where the big development is taking | :10:21. | :10:24. | |
place. It would be better if they'd spent this money on actually | :10:25. | :10:31. | |
encouraging more research or micro esearch rather than these huge | :10:32. | :10:42. | |
aggressive takeovers. Some Americans are always welcome over here! UK | :10:43. | :10:47. | |
Government has specifically put in this incentive of lower tax so that | :10:48. | :10:51. | |
this kind of thing would happen. Pfizer made a very lucrative offer | :10:52. | :10:56. | |
and there is a patent box that the Government put in place, meaning a | :10:57. | :11:00. | |
10% tax value means they have to have all the management of the | :11:01. | :11:04. | |
patents and the work done within the United Kingdom for exactly that | :11:05. | :11:08. | |
reason, to protect research and development, that it is managed and | :11:09. | :11:13. | |
done here. So it is a little bit inappropriate to say that we want to | :11:14. | :11:19. | |
bring new business into the United Kingdom with tax incentives and then | :11:20. | :11:26. | |
start going, oh, we like science. This is a slap in the face of the | :11:27. | :11:30. | |
George Osborne's ideal of the economy. He is trying to turn us | :11:31. | :11:37. | |
into a tax haven and an extraordinary free market economy. | :11:38. | :11:44. | |
This whole proposed merger throughout all those issues. A low | :11:45. | :11:47. | |
tax regime is not necessarily the best regime? Why is it bad? | :11:48. | :11:55. | |
AstraZeneca are going to be in deep trouble if they don't increase their | :11:56. | :11:59. | |
earnings and their board members and shareholders will be pretty upset. | :12:00. | :12:05. | |
Why didn't we do this merger? New blood and money. Some of them are. | :12:06. | :12:12. | |
So could we get a hostile take`over? Unless AstraZeneca turnaround before | :12:13. | :12:21. | |
the 28th, then Pfizer needs to wait six months before making another | :12:22. | :12:24. | |
offer. They went up from 53 to 55 and they are not that far away from | :12:25. | :12:30. | |
58p. But 65 billion off the stock market? That is the requirement of | :12:31. | :12:36. | |
the Government, that research and development has to be managed. That | :12:37. | :12:40. | |
is an interesting point because there was talk about research and | :12:41. | :12:43. | |
development jobs going but the bottom line today was a did not | :12:44. | :12:48. | |
offer enough cash. If they had, AstraZeneca did not really care. I | :12:49. | :12:51. | |
am putting words into their mouths now, but the suggestion was it was | :12:52. | :12:57. | |
all about money fundamentally. Getting a higher share. We will | :12:58. | :13:03. | |
continue this later. I did not even get to do my work`out! OK, you guys | :13:04. | :13:12. | |
will be back in an hour for another look at the stories behind the | :13:13. | :13:16. | |
headlines. Many thanks for that. Stay with us on BBC News because at | :13:17. | :13:21. | |
the top of the hour we will be live in New York, where the radical | :13:22. | :13:25. | |
Islamist cleric Abu Hamza faces a possible life sentence after being | :13:26. | :13:30. | |
convicted of terrorism charges. Now it is time the Sportsday. | :13:31. | :13:40. |