tv BBC Business Live BBC News September 6, 2017 8:30am-9:01am BST
this is business live from bbc news with ben thompson and sally bundock. on the open road. us law—makers will vote to allow tech giants and car makers to test thousands more autonomous vehicles, but they'll have to meet tough new safety tests. live from london, that's our top story on wednesday, 6th september. with a fatal crash involving tesla's autonomous car last year, we ask an expert if this tech future means safer driving or disaster and what about the risk of hackers. also in the programme: over a new leaf! turning over a new leaf! nissan unveils its sexier, souped—up all electric car, but will it be able to overtake its high—tech more popular rivals?
and we'll be getting the inside track on a labour of love — and furry bears — we speak to the boss of toy firm about risking it all. as ryanair as rya nair changes as ryanair changes its rules on check—in baggage, we want to know your stories on holiday hell. ryanair says it will make cheaper to put luggage in their hold. just use the hashtag bbcbizlive. hello and welcome to business live. august bank holiday weekend at luton airport, i will say no more! billions are being invested in the future of autonomous cars, so the stakes are high particularly when it come to the rules governing safety and ethics.
later today lawmakers in the us will vote on a bill that would allow the likes of ford, google and uber to test thousands more self—driving vehicles on the roads. the "self—drive act" would give car—makers and tech giants certain exemptions from federal rules that currently govern everything from steering wheels to seat—belts if they can prove their tech is as safe as traditional cars. that would allow thousands more test vehicles on the roads. in california, the number of global firms licensed to test cars has doubled to 27 now. that's over the past year. as you can see it includes the big names the likes of scapd ford, vw, gm. a test driver became the first person to die in a self driving car
accident when sensors failed to detect a truck on a highway. the new bill will force manufacturers to beef up safety data, defences against hacking and publish policies about what data they will collect. and the stakes are high. consultants bane predict the industry could be worth $26 billion by 2025. anna—marie baysden is head of autos at bmi research. i wonder if you can let us know how significant this is. we know that they're testing already, but they're testing on fake tracks, test tracks, not in the real world. and the tests they do in the real world are limited. opening it up like this would make a big difference, wouldn't it? absolutely. the volumes that we're talking about as well, 25,000 cars per manufacturer and we saw the number of manufacturers mentioned there, it means a lot more
autonomous cars on the road and i think at the moment we have only got the likes of tesla and volvo. what do we expect the real world testing will flag up? what differences will they see in the real world that they can't replicate on a test track?m will be the behaviour of other drivers on the road. human drivers are more unpredictable than the conditions you can create in a test environment. so it'sjust gathering as much data as possible on how different situations might play out and how the car should react and how human drivers react. and that's one of the biggest sticking points, it is the mismatch between some human drivers and some autonomous drivers. if the companies had their way we would be in autonomous cars because they can predict better what the response would be? it is definitely the riskiest period when you have got the mix of traditional cars and autonomous ca rs because got the mix of traditional cars and autonomous cars because the cars can
be programmed in a certain way and a lot will be similar, but when you've got human drivers as well, you're adding unpredictable behaviour into the mix as well. it's a big market as well. sally touching on the numbers there. so all of the big car makers vying for a slice of the market. are they working together? are they doing this independently? it strikes me that it is one of the industries where we'd like to think everybody is working together sharing their information, it is probably not like that, is it? well, it isa probably not like that, is it? well, it is a funny one. you have got newcomers to the ought owe space like google and apple to a certain extent. so we have got these tech companies coming in and in the early stages there has to be collaboration. there is a lot of technology that traditional ought owe makers aren't used to and tech companies aren't used the ought owe sector so there does have to be collaboration, and we will reach a point where they are in competition because you have got google having a car out there and apple maybe. a lot of new start—ups as well that we haven't heard of before coming into the market. so it will get very
competitive quickly. yeah, one we will be talking about a lot, i'm sure. thank you very much. it is a fascinating subject. nissan has released details of its revamped electric car — amid tough competition from tesla. the base model of the new nissan leaf will now have a longer range, able to travel 2a0—kilometres on a single charge. that's 150 that's150 miles. the firm's chief executive says the car will no longer be a niche model and will become a major part of nissan's portfolio. more on this later. the troubled pr firm bell pottinger has confirmed it has hired accountancy firm bdo with reports suggesting the firm is preparing to be sold. meanwhile, hsbc has become the latest high—profile firm to sever ties with the pr firm following a controversial
campaign in south africa. the archbishop of canterbury, justin welby, says britain's economic model is broken, as the gap between the richest and poorest widens. he says that britain stands at a watershed and must make "fundamental choices" about the direction of the economy. more strong economic news from australia today — it's recorded a strong pick—up in growth in the last three months. it's now more than 26 years since australia last faced a recession. many of you are probably going, "what does that feel like?" hywel griffith is in sydney. it's the wonder from down under, isn't it? it feels good for australians. it doesn't mean that they don't keep worrying about it. no one expected the growth. the last
quarter's growth wasn't as strong. it is mostly down to domestic spending on food and clothing, increasing, whilst saving rates have declined. so consumers basically deciding to splurge a little if they can't save. there are concerns about the falling commodity prices. something we talk a lot about on this programme. australia still depends on its iron ore and coal exports. the prices have taken a hit in recent times. despite that 26 year record, the outlook not always entirely sunny here in australia, i am afraid. hywel, thank you very much indeed. the australian market was down despite the fact that the economic news was better than expected. you can see behind me, that's the dow jones the night before down i% on wall street. that set the tone for asia. basically the markets really struggling still with the lack of clear next steps with regards to north korea as what may happen as
far as that's concerned. let's look at europe quickly. again, shares all falling. we have got the european central bank meeting tomorrow. we have got a fed gathering the week after. so eyes back on central bank action. we will talk about all that in more detail. here is samira a report is likely to show the trade deficit will widen in july a report is likely to show the trade deficit will widen injuly and that's from $15.6 billion injune. now, the trade deficit refers to the gap between us imports and exports of goods and services. president trump vowed to wipe out america's trade deficit altogether. the federal reserve will issue the beige book. it is the latest report to arrive from business contacts around the country on the health of the us economy. now, america's central bank is expected to hold rates steady at its next meeting in two weeks' time,
but it may announce that it will start reducing its $4.5 trillion balance sheet. joining us is simon derrick, chief markets strategist, bank of new york mellon. good morning. nice to see you. let's pick up on sally's favourite topic. central bank action. there is not a day that goes by, that we don't talk about it, but another big week. the big story will be about the european central bank. they‘ re big story will be about the european central bank. they're peating tomorrow. the question is are they going to further reduce their asset purchases, quantitative easing? the market spends a lot of time obsessing about this. it has fed into strength into the euro. the european central bank doesn't like currency strength. the question is when we hear the head of the bank tomorrow speaking is he going to stay we are becoming concerned about this? that's what the market will focus on. we are not going to get a taper tantrum, are focus on. we are not going to get a tapertantrum, are we? focus on. we are not going to get a taper tantrum, are we? it's possible. we go back to what
happened in 2013 and the market didn't like this. it is a big programme. my guess is they will play it as carefully because they don't want the euro at 120 or 130 and perishing. a story that dropped on the wires from reuters. chinese airlines likely to buy more than #,000 planes over the next 20 years and this is interesting because it is from boeing. they say they could, it is not confirmed at this point, but worth $1.1 trillion. a huge order if it goes ahead, but i'm interested in this given everything we've heard about president trump and firms and countries that deal with china and north korea and all that connection? there is lots of u na nswered that connection? there is lots of unanswered questions about that report. are they buying them from the us? the report is from boeing and not from china and it is over 20 yea rs. and not from china and it is over 20 years. but nevertheless it says two things to me. the first is clearly they're trying to make sure that the relationship on trade with the us is as good as it possibly can be. so maybe trying to muddy the waters
somewhat as we have the trade disputes making place. the second thing i'd say is maybe they see it as an opportunity for china to become one of the major carriers in the world. i mean, there is this question mark about how some of the gulf carriers at the moment given their hubs in a politically volatile region, whether they can remain as those carriers, maybe china sees this as an opportunity as well. another story we will follow. simonks thank you. i know you will come back and talk us through some stories in the newspapers later. we have got an interesting story coming up. a tale of setting up one business and it involves some beans and toast to get through the worst times, but it is a multi—million pound business. you're with business
live from bbc news. it's a fishy tale now! sorry. it's going downhill. a sharp downturn in the uk fishing industry has meant tough times for many coastal communities that relied on it forjobs and income. many blame eu quotas on fishing and those employed in the fishing industry voted overwhelming to leave the eu. so how are they preparing for life outside the eu? sean farrington is in grimsby to find out. grimsby fish market today. they have just managed to sell, they have got 50 tonnes of cod and haddock here this morning. a lot of it is imported because that's what we prefer imported because that's what we p refer to imported because that's what we prefer to eat in the uk. we import £1 billion plus of fish every year for our own consumption. what we export is what we catch and that will be big question marks for the brexit negotiations as they go forward. at minute catch about
400,000 tonnes of fish around the uk. not stuff like this that's coming in from iceland. richard is from hull university. richard, when it comes to brexit, obviously we're importing lots. what's the key thing for the fishing industry in the uk? i think we all know it's important to get access to markets. it's important for the fishing industry to get a fair share of quotas, but it is important not to lose sight of the bigger picture. most fish stocks are over—fished or at risk and we are over—fished or at risk and we are looking at threats from climate change and ocean acidification and it is really important that we don't forget that we need to protect and make sure that fish, fishing is sustainable for the future. richard, thank you very much. it will have a big effect on the industry. there are 12,000 odd fishermen in the uk at the moment. be careful, they have got toe collect the fish and put them in the right place. back in the mid—90s, there was 20,000. at one point grimsby and all the ports
around here were known as the world's biggest fishing port. that's changed a lot. so how towns recover like this for brexit will be important. it was a hair net yesterday and it is the trilby today. the beard net. hard hat? hard hat is fine. i can't pull off a trilby or hair net.|j think we need a twitter arty. ben's best headwear shots! there is lots of stories on the business live page. take a look when you have time. you're watching business live — our top story: a new low in the us will be grappled with later which means driverless ca rs with later which means driverless cars could be tested on the open road. lots of issues regarding
safety coming to the fore. —— a new law in the us. so far, there have the tests on test tracks, not in the real world, so big difference. a quick look at how markets are faring.... continuing nervousness about events in north korea. until we see any real geopolitical response, the concern continues but markets are not overly concerned. buy we have an extra special guest. i've been replaced! building a business from the ground up can be a daunting prospect, particularly if you are entering a crowded market. soft toys accounted for more than $1 billion of cells in the us last year. —— of
sales in the us. charlie bear is a firm founded here in the uk by a wife and husband team in 2006 — who wanted to try and make high quality toys for collectors. the couple sold their house and car to get the business off the ground — but a decade later it's turning over more than $11m. charlotte morris is the co—founder of charlie bears. nice to see you. we've brought some of your beautiful bears in, and they are beautiful. we have had a play and a squeeze, and apparently they don't, part, which is the point. they are beautiful and robust. —— they don't come apart. how did this start? it has been a passion since i was a little girl. i was gifted a teddy bear and i was enchanted by. when i met my husband, he was very supportive and was lovely and allowed us to sell everything that we own so
allowed us to sell everything that we own so that i could follow my dream and start a bear company. you met your husband through the bears? yes. in a shop? yes. you started a business, went to trade fairs, but it was a tv parents that made things kick off? we were approached by a shopping channel, and things boomed and escalated from there. there are and escalated from there. there are a lot of collectors out there, like me, and they love the fact that we have affordable, collectable bears for the market. it is the fact that it is middle of the range, i think you won't mind me saying, they are not top end bears, they are middle of the market, so they cost tens of pounds, not hundreds. and that is what makes us unique compared to
everyone else. it is a gap in the market that i noticed, and it was something i wanted to get out there for collectors. you want to encourage the next generation but also give the ones who are still around any excuse to buy one, because it's very addictive. the problem for you was when you hit the airwaves and had hundreds of orders coming in, you could not get the bears out soon enough, because they are made in a very specific way by our small factory in thailand, and they could not meet the demand. we couldn't, and it was scary, very daunting. we had a 62— week waiting list. 62 weeks? ! we signed up to grab government —— to a government programme, and they helped us find additional manufacturing, helped us plan everything out so that we could
nail everything down and keep everything solid. i absolutely did not want to compromise. we could have gone to china and mass produced, but it was something i didn't want to do. we wanted to stay true to what we started doing. how does it feel to have such a waiting list? it is a badge of honour that people will wait that long, but equally, as a business, you want to be selling more. you don't want people waiting that long, you want them buying multiple bears in that time. absolutely. it was frustrating but the collectors and for us as a company. we stayed true, continued to use all the traditional bear making methods that we do. there is something about a bear, you will wait for that extra special one. when you talk about the way they are made, there is a factory in thailand — where else are they made? made, there is a factory in thailand - where else are they made? one in
sri lanka and to in thailand. all the girls love what they are doing and you can see that in the end product they make. explain the thing about beans on toast for me. we literally had to sell everything we own. in my first negotiation, i was trying to negotiate with a landlord that we were renting from. we ate baked beans on toast for six out of seven nights. we still do it on the anniversary. but we have a glass of champagne with it. it is a good sta ple champagne with it. it is a good staple diet, beans on toast. thanks for joining staple diet, beans on toast. thanks forjoining us. back to cars now. more now on nissan's unveiling of its all—new electric as it chases silicon valley rival tesla. from tokyo, here's
ruper wingfield hayes. in tokyo today, a huge production with lots of pizzazz for what is a fairly dull looking family car. it's the new nissan leaf. so, why are we here? why does this matter? well, because in large part, this car, or the previous generation of it, is the biggest selling electric vehicle in the world, and because nissan, tesla and other big car companies believe that this or something like it really is the future, and that in ten to 15 years, most of us will be driving some sort of electric vehicle. we're nowjust going to check out some of the high—tech features of this new leaf, one of which is that it can park for you, parallel or bay parking. ok, so now, it's going to go forward. you can see i have no hands on the wheel. beeping
it's very strange having a car drive for you. ok, there we are. and we're finished. it's certainly a better looking car than the previous model, which was rather bug eyed and a lot of people thought was an acquired taste. the main difference between this and the old generation is the size of its battery pack, down here under the floor. this one's got a 40 kwh pack, and that means it should be able to go, according to nissan, up to 400 kilometres, or 250 miles on one charge. we'll see how that goes down. that was rupert wingfield hayes in tokyo for us. simon derrick is with us from bank of new york. were going to talk about this story about ryanair is reducing baggage check—in fees. people know how in purine ditties ——
how infuriating it is to have to pay for bags. they are saying they will allow you to take more for the same amount but they will not allow you to ta ke amount but they will not allow you to take to make bags on board. we asked you for your check in stories. matthew says: working as a baggage handler at sta nsted, passengers matthew says: working as a baggage handler at stansted, passengers are making their case is heavy. yes, passengers are taking too much on holiday. you heard it from matthew — reduce what you take with you. steve said: the airline lost luggage on the way to the us and then turned up with my equipment destroyed. simon, you must have many stories. in a middle eastern airport, they were checking passports, the guy who was checking passports, the guy who was checking the passports looked at my
photograph, passed it around everyone else so that they could laugh as well. that's a bad passport story! on a more serious note, the archbishop of canterbury, justin welby, saying that the uk economy as is is broken and change needs to happen. your thoughts? my disagreement would be, it's notjust the uk economy, it's a developed world thing and the inequality he is talking about is an overreliance on interest rates rather than fiscal policy. if you own things in the la st policy. if you own things in the last 15 years, you did well, if you did not, you did not. the divide is between the haves and have nots. thank you for your company. we're back tomorrow. goodbye. good morning. today is probably
going to be the best day of the week in terms of weather. plenty of dry weather out there this morning. chile with clear skies through the night. as we go through today, this ridge of high pressure is influencing things. a brisk westerly wind, bringing a fuse showers across scotland, northern ireland, into northern parts of england through this morning. 102—mac showers across wales as well. many of us, today will be a largely dry day with a a bit of sunshine. at around 4pm this is the picture. through the evening, any showers will tend to disappear. it will turn chile quite quickly. cloud increases across the north and west, and with that, outbreaks of rain starting to move in.
temperatures getting down to around 12 celsius in towns and cities. chile in the countryside. —— it will be colder in the countryside. it will be rainy and windy in the north—west tomorrow, warmer and, in the south—east. this weather front will clear to the south. the area of low pressure is likely to stick around for the next few days. on friday, southern areas turn quite wet through the day, and the best of the brightness will be across lincolnshire and north—eastern parts of england. saturday will be mixed — sunny spells and showers, a high temperature of 19 celsius. sunday will be breezy and unsettled. hello, it's wednesday,
it's 9am, i'm chloe tilley. welcome to the programme. the government is looking at ways to reduce the number of low skilled eu migrants after brexit. according to a leaked home office leaked document. we wa nt document. we want companies to do more to improve skills of those who leave our colleges. we are not closing the door on all future immigration, but it has to be managed properly. bosses faced being told they could be taxed if they keep taking on unskilled eu migrants and should put british workers first. as thousands of nurses prepare to lobby parliament over their pay, some of them tell us why they can't afford to live on what they get.