:00:15. > :00:20.UK chancellor Philip Hammond goes on a mission to drum up trade
:00:21. > :00:23.from one of the world's fastest growing economies.
:00:24. > :00:27.Stuck in a holding pattern - a top airline boss warns Brexit
:00:28. > :00:30.could cause chaos in the skies with flights between the UK
:00:31. > :00:40.and Europe suspended once Britain leaves the EU.
:00:41. > :00:51.I'm Sally Bundock also in the programme we take
:00:52. > :00:53.you to Sydney to assess how hot the property market
:00:54. > :00:58.is and the measures they are taking to cool it down.
:00:59. > :01:00.But first we start in India where the UK Finance Minister
:01:01. > :01:04.It's a two-day visit where Philip Hammond will stress
:01:05. > :01:07."Britain is open for business" and looking for new trade deals
:01:08. > :01:10.as the UK negotiates its way out of the European Union.
:01:11. > :01:19.And let's talk you through the relationship.
:01:20. > :01:26.It hasn't been a long one, for various reasons, I am sure you know
:01:27. > :01:27.that well. In 2014 the value of all the goods
:01:28. > :01:30.and services sold between India and the United Kingdom
:01:31. > :01:33.was about 24 billion dollars. And it works in India's favour
:01:34. > :01:36.they export a lot more goods to the UK than the other way around
:01:37. > :01:40.- their top exports are clothing, But the UK is only the 18th biggest
:01:41. > :01:44.market for India's exports. And India only comes 17th
:01:45. > :01:50.on the UK's list of export destinations despite
:01:51. > :01:52.having the world's second to raise more than $1 trillion
:01:53. > :02:02.for infrastructure over the next decade and the UK hopes
:02:03. > :02:06.it can benefit from that given it's position as the world's top
:02:07. > :02:12.financial services exporter. In return India will be looking
:02:13. > :02:15.for greater freedom of movement for it's citizens who want to work
:02:16. > :02:22.and study in the UK. Mihir Sharma is an economist
:02:23. > :02:38.and senior fellow at the Observer Welcome to the programme. How
:02:39. > :02:41.successful the youth think these two day trip will be in terms of laying
:02:42. > :02:49.the foundations for future trade deal? It is important to recognise
:02:50. > :02:57.that both the UK and India almost desperately want to have some kind
:02:58. > :03:02.of deal. Post Brexit, India is a suitable target for the UK. India
:03:03. > :03:08.has been struggling to get a deal for a long time. Negotiations have
:03:09. > :03:16.broken down and it was hoped that Britain would be easier to deal with
:03:17. > :03:22.once outside the EU. That said, when Theresa May came last year, it
:03:23. > :03:31.became very evident that the question of more visas for Indian
:03:32. > :03:36.workers and students was at the top of the Indian and gender and I think
:03:37. > :03:40.the British government and the British Prime Minister felt they
:03:41. > :03:46.could not give anything on that for political reasons. That could be a
:03:47. > :03:51.key stumbling block because that is really what India wants to see in
:03:52. > :03:58.terms of give-and-take and the UK is not necessarily wanting to give
:03:59. > :04:04.that? One of the reasons I would be a little... I would not be confident
:04:05. > :04:09.that something tangible would emerge from this trip is that it does not
:04:10. > :04:16.seem there is any meeting down on this matter. For the past five
:04:17. > :04:23.years, Indian children have found it increasingly difficult to stay back
:04:24. > :04:28.in Britain to get a bit of work experience after finishing degrees.
:04:29. > :04:33.The Visa process even fall short stays has become increasingly
:04:34. > :04:41.difficult for Indian tourists. It has become a cumbersome procedure
:04:42. > :04:46.and until that is reformed the Indian government is not willing to
:04:47. > :04:53.do anything else. If they would plough ahead and get over that
:04:54. > :05:00.obstacle, which areas of business would benefit most? We mention
:05:01. > :05:06.financial services in the UK but what industry will be keen to get
:05:07. > :05:13.on-board? On the Indian side, there are a lot of people who are looking
:05:14. > :05:21.to see if services exports to the UK expanded. For example, corporations
:05:22. > :05:25.on exporting legal services. We have similar legal systems and that would
:05:26. > :05:32.be one thing we would be happy to see develop. There is a
:05:33. > :05:36.pharmaceutical industry, our car industry with similar companies.
:05:37. > :05:43.From the British side I think there has been some hope that financial
:05:44. > :05:48.services would benefit especially given the current Indian focus to
:05:49. > :05:55.expand Finance to many people who've been outside the financial net.
:05:56. > :05:59.Thank you very much. When we hear more about Philip Hammond's trip we
:06:00. > :06:01.will update you. There are currently around 12,000 EU
:06:02. > :06:03.regulations in force across the Union and they cover
:06:04. > :06:06.everything from banking and the chemicals industry,
:06:07. > :06:08.to agriculture and the airline Here's our Transport Corresponded
:06:09. > :06:10.Richard Westcott to talk through some of the pitfalls
:06:11. > :06:26.that Brexit could create Lots of industries is just telling
:06:27. > :06:31.for position they want to get to the front of the queue and make sure
:06:32. > :06:39.there are except agreement is sorted first. To date it was the airline
:06:40. > :06:42.industry that weighed in. At the moment, any EU airline can fly
:06:43. > :06:47.anywhere in Europe and that is why we get such cheap flights but that
:06:48. > :06:52.deal runs out when we leave the EU in two years. If they do not replace
:06:53. > :07:00.it, there is a slim chance flights would have to stop for a while. It
:07:01. > :07:05.is not meet saying it, it is Michael Leary, the boss of Ryanair. Other
:07:06. > :07:12.airlines do not share his apocalyptic view. Others are very
:07:13. > :07:17.confident a new agreement would be reached soon and that is for one
:07:18. > :07:22.simple reason because both sides would lose too much money without
:07:23. > :07:29.it. Without all of those tourists and business people they have to
:07:30. > :07:34.fly. The airlines have good reason to have a quick deal. They plan
:07:35. > :07:38.their schedule a year and a half ahead so they need to reassure
:07:39. > :07:41.customers that when they book their holiday in 2019, their plan would
:07:42. > :07:43.definitely be able to take off. In other news: Tesla's market value
:07:44. > :07:46.has overtaken that of Ford making it the second most valuable
:07:47. > :07:49.carmaker in the US. After the company announced record
:07:50. > :07:51.vehicle deliveries in the first three months of the year Monday,
:07:52. > :07:55.shares in the electric car maker At the close of trading Tesla had
:07:56. > :08:01.a market value of $49 billion, compared with Ford's
:08:02. > :08:04.value of $46 billion. Now only General Motors
:08:05. > :08:08.is worth more. South Africa's credit rating has
:08:09. > :08:10.been cut to junk status The agency said that political
:08:11. > :08:15.upheaval, including the recent sacking of finance
:08:16. > :08:18.minister Pravin Gordhan, Another ratings agency, Moody's,
:08:19. > :08:27.said it was placing its South Africa rating - which is two notches
:08:28. > :08:30.above "junk" status - The news put more pressure
:08:31. > :08:35.on the rand, which was down 2% President Trump has signed a highly
:08:36. > :08:40.controversial order that will roll back an Obama-era law that
:08:41. > :08:43.restricted how internet service providers could use
:08:44. > :08:47.Americans' online data. The US House of Representatives
:08:48. > :08:49.and the Senate backed US citizen's browsing history,
:08:50. > :08:55.location data, financial and medical information are just some
:08:56. > :08:58.of the things that can be sold on to marketing companies in order
:08:59. > :09:17.to better target advertisements. Do get in touch with us. We will
:09:18. > :09:24.talk about it in a moment in the paper review. I have just dropped by
:09:25. > :09:34.Flickr! Markets in Hong Kong today are closed as are the Indian market
:09:35. > :09:42.and also type one. Shanghai and in China also close. A 1% loss on
:09:43. > :09:48.Japan. The yen has been getting stronger all three days in a row and
:09:49. > :09:54.that never helps Japan. The wonder of technology. Just my voice
:09:55. > :09:59.activates the screen, if only that were true. The big winner was Tesla.
:10:00. > :10:04.I will see you soon.