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Speaker 1: Bloomberg Audio Studios, Podcasts, radio news.

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Speaker 2: This is the Bloomberg Day BAQ podcast. Good morning, It's Tuesday,

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Speaker 2: the eighteenth of November. I'm Caroline Hepkeat in London and.

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Speaker 3: I'm Stephen Carolin Brussels. Coming up today, a global sell

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Speaker 3: off in stocks deepens and fears of a market correction

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Speaker 3: grow ahead of earnings in the world's most valuable company.

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Speaker 2: In video, Bloomberg Economics finds little evidence that artificial intelligence

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Speaker 2: will deliver the growth needed to support sky high valuations.

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Speaker 3: Plus How the Rich Stay Rich and inside look at

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Speaker 3: how wealthy British families are overhauling their fortunes while bracing

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Speaker 3: for the next tax hit.

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Speaker 2: Let's start with a roundup of our top stories.

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Speaker 3: US and European equity futures have dropped as the markets

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Speaker 3: join an accelerating sell off across Asian stocks. In Japan,

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Speaker 3: the nic K two two five is down by almost

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Speaker 3: three percent, SMP mini futures on walls down by half

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Speaker 3: of one percent. In eurostocks, fifty features are one point

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Speaker 3: two percent lower. The moves underscore a broader flight to

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Speaker 3: safety as traders position for heightened volatility. Headlines on China,

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Speaker 3: Japan tensions, FED rate uncertainty, and earnings from the world's

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Speaker 3: most valuable company in Nvidia, are all driving negative market sentiment.

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Speaker 3: The hunting iiO is Managing editor for Asian Equities at Bloomberg.

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Speaker 4: There is a lot of uncertainties out there. As you

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Speaker 4: guys are talking about FED. That's the biggest thing, right Nvidia. Yes,

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Speaker 4: it's a big event, but people immediately look ahead to

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Speaker 4: the FED decisions, right and also all these ECO data

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Speaker 4: from the US that's been delayed. We don't know how

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Speaker 4: the picture will be so altogether, I think, you know,

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Speaker 4: although December historically speaking is a positive month overall, I

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Speaker 4: think this December may be a be.

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Speaker 3: Cautious Bloomberg's danting two speaking, There is alarm bells ring

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Speaker 3: for analysts who study chart patterns in the US stock market,

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Speaker 3: fueling concerned that the latest dip could swell into a

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Speaker 3: full blown correction of at least ten percent.

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Speaker 2: Bigcoin has dropped below ninety thousand dollars in Asia trading,

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Speaker 2: as the token's deepening slide has erased all of its

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Speaker 2: twenty twenty five gains after topping one hundred and twenty

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Speaker 2: six thousand dollars in early October. The cryptocurrency's decline has

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Speaker 2: been dramatic as renewed concerns over stretched valuations hit the

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Speaker 2: digital asset. Anna Irrera is Bloomberg's senior crypto editor.

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Speaker 5: I guess we're going to see if there are more

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Speaker 5: liquidations out of crypto ETFs, because that was a big change,

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Speaker 5: you know, when the atfs were approved, we saw massive

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Speaker 5: inflow from retail investors, and now it's not coming back.

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Speaker 5: They're pulling out. I guess maybe people are becoming more

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Speaker 5: sensitive and used to the big price wings and they

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Speaker 5: don't want to risk it again, and it's maybe following

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Speaker 5: the wider sort of risk of environment.

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Speaker 2: Bloomberg's Anna Irrera speaking there as options traders bet on

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Speaker 2: deeper losses, with demand for downside protection at the eighty

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Speaker 2: five and eighty thousand dollars levels dominating recent flows.

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Speaker 3: Bloomberg Economics have been looking into the question of whether

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Speaker 3: AI will deliver on its promised for returns by using

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Speaker 3: a framework from Nobel Prize winner and MIT economist Darren Akmaglu.

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Speaker 6: Bloomberg's even Parts has more.

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Speaker 7: It's perhaps the biggest question currently on investors' minds. Will

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Speaker 7: the hundreds of billions of dollars being invested in AI

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Speaker 7: actually pay off. The analysis by Bloomberg Economics starts with

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Speaker 7: the idea that AI doesn't replace entire jobs, but rather

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Speaker 7: particular tasks within them. They say, using conservative estamates implies

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Speaker 7: a booster to USGDP of more than one percent over

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Speaker 7: ten years. That's good about zero point one percentage point

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Speaker 7: on annual growth. Using a more optimistic scenario from the

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Speaker 7: same model gets to a GDP increase of nearly seven percent,

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Speaker 7: or about nzero point seven percentage points onto annual growth.

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Speaker 7: Bloomberg Economics concludes that some AI investors might be in

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Speaker 7: for a big payday, but that doesn't mean AI is

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Speaker 7: going to make everyone better off. In London, i'm une,

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Speaker 7: pots Bloomberg Radio.

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Speaker 2: President Trump says that he will allow the US to

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Speaker 2: sell F thirty five Fighter jets to Saudi Arabia. The

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Speaker 2: highly advanced stealth planes are a prize long cherished by

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Speaker 2: crowd Prince Mohammed bin Salman, who is visiting the White

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Speaker 2: House today. However, the sale of the jets requires congressional

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Speaker 2: approval and years of negotiations. Barbara Leif, former US Assistant

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Speaker 2: Sector of State for Near Eastern Affairs, says Israel currently

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Speaker 2: has a monopoly on F thirty five's in the Middle

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Speaker 2: East and could raise legal objections.

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Speaker 6: There is the.

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Speaker 8: Issue of not just US policy, but US law, which

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Speaker 8: is that the US will uphold Israel's qualitative military edge,

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Speaker 8: and so there's quite a bit of careful scrutiny and

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Speaker 8: analysis that goes into such a decision so that Israel's

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Speaker 8: q ME is upheld, and we've heard from Israelis that

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Speaker 8: they had hope that there would be a good bit

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Speaker 8: of conditioning on that.

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Speaker 2: Barbara Leif speaking there, as Bloomberg understands, at president could

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Speaker 2: be trying to lure Saudi Arabia into establishing diplomatic ties

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Speaker 2: with Israel.

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Speaker 3: The UK is drawing up measures to retaliate against the

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Speaker 3: European Union's plans to hike steel tariffs to fifty percent.

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Speaker 3: Britain's metals industry has warned the levies could result in

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Speaker 3: the biggest crisis in its history. From Brooks, freddie Fulston has.

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Speaker 9: More Britain's once mighty steel makers were pioneers of the

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Speaker 9: nineteenth century and now what little of their production remains

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Speaker 9: risks being wiped out. The UK has been swept up

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Speaker 9: in the EU's efforts to protect its own steel industry.

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Speaker 9: That's why the government is looking to tighten import quotas

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Speaker 9: and accelerate the replacement of its own safeguards. The steel

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Speaker 9: industry says the government has to act, but countermeasures would

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Speaker 9: raise more questions than answers about Starmer's efforts to rebuild

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Speaker 9: the UK's relationship with Brussels. In London, freddie Fulston Bloomberg Radio.

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Speaker 2: German CHANCELLORV Friedrich Mertz says the EU's banking regulations are

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Speaker 2: too strict. He told an audience of financial professionals in

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Speaker 2: Frankfurt yesterday that the US gives lenders an easier ride

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Speaker 2: to free up financing for the economy.

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Speaker 6: Is often you think you want to a.

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Speaker 1: Banking The regulation of banks is also important, Ladies and

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Speaker 1: gentlemen in Germany and in Europe, I want to say

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Speaker 1: this very clearly.

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Speaker 6: It is too strict.

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Speaker 1: After the financial crisis of two thousand and eight two

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Speaker 1: thousand and nine, we made many decisions that were right

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Speaker 1: and remain right. The risk buffers have become larger, the

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Speaker 1: reserves have become stronger. All of this is correct, but

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Speaker 1: what we are currently seeing in America and in other

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Speaker 1: parts of the world. Also in other parts of Europe

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Speaker 1: provides far more opportunities for corporate financing than, for example,

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Speaker 1: in Germany.

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Speaker 2: Friedrich Mertz, speaking there, his remarks join a chorus of

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Speaker 2: European politicians calling for looser regulations to bolster investments into

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Speaker 2: defense and digital technology. According to Mertz, Germany will implement

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Speaker 2: the EU's bars or three standards in a targeted manner

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Speaker 2: without adding extra requirements in order to reduce the burden

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Speaker 2: on its banks, and the.

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Speaker 3: UK's cap on bank deposit insurance will go up next month.

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Speaker 3: The Predential Regulation Authority will lift the amount of customer

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Speaker 3: savings protected in the event of institutional failure to one

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Speaker 3: hundred and twenty thousand pounds. That's more than it's floated

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Speaker 3: earlier in the year. Although the guarantee trails the US,

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Speaker 3: the plan change puts the UK's financial services compensation scheme

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Speaker 3: ahead of the EU, where the limit is one hundred

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Speaker 3: thousand euros or just above eighty eight thousand pounds.

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Speaker 2: And those are top stories for you this morning. In

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Speaker 2: a moment, we're going to bring you more on the

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Speaker 2: market sell off. Plus also how Britain's rich are preparing

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Speaker 2: for next week's budget from the Chancellor of Rachel Reeves.

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Speaker 2: But before we get into those stories, something else been

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Speaker 2: reading about today, and this is all about Jeff Bezos.

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Speaker 3: Yeah, Indeed, the Bloombrook Joe Constance has been writing about

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Speaker 3: how Bezos is back in an executive role for the

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Speaker 3: first time since he left Amazon in twenty twenty one.

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Speaker 3: He's now running a one hundred person company where ultra

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Speaker 3: lean teams are the name of the game. It's an

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Speaker 3: AI startup called Project Prometheus. Joe's been writing about how

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Speaker 3: Jeff maybe bringing some of his management strategies that he

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Speaker 3: honed at Amazon, things like writing memos. He doesn't want

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Speaker 3: slide decks when it comes to presenting things. He wants

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Speaker 3: a maximum six page memo and you bring it to

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Speaker 3: a meeting and everyone reads it in silence before the

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Speaker 3: meeting starts. To That makes people know they have to

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Speaker 3: give you lots of information and they know that everyone

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Speaker 3: else will read it.

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Speaker 2: Wow, you have to read it whilst sitting in the room.

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Speaker 2: That's interesting, isn't it? So not short meetings? And he's

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Speaker 2: also got another one, which apparently is a pizza rule two.

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Speaker 2: Pizza rule team should be small enough that they can

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Speaker 2: be fed by a couple of pizzass It depends how

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Speaker 2: hungry your team is, surely.

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Speaker 3: Well indeed, but I think it's something to think about

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Speaker 3: as Jeff Bezos is transitioning from running a massive company

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Speaker 3: Amazon to a much smaller one as well, and also

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Speaker 3: you know, companies that he built at very different times

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Speaker 3: and with the focus now on you know, really especially

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Speaker 3: in the AI game. You know, talent is the name

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Speaker 3: of the game, and you have to have you know,

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Speaker 3: each team member really needs to count, but potentially be

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Speaker 3: handled in a very different way than where you'd manage

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Speaker 3: massive teams.

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Speaker 2: Yeah, I love it, I love I really liked those reporting.

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Speaker 2: But of course it slightly dodged the fashion question because

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Speaker 2: the other big thing that Jeff Bezos and Lauren Sanchez

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Speaker 2: Bezos have been, you know, known for now or are

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Speaker 2: going to become known for, is that they're sponsoring Anna

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Speaker 2: Winters twenty twenty six met Gala. Costume art apparently is

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Speaker 2: the theme. So yeah, they featured also because they've got

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Speaker 2: married in Venice in that lavage, lavish event. Lauren Sanchez

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Speaker 2: Bezos was featured on the front of US Vogue anyway,

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Speaker 2: So there you go. Lots of different ventures that the

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Speaker 2: Bezelsiss are into at the moment.

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Speaker 3: Well, that's turn back to our top story this morning,

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Speaker 3: and the sell off now deepening across markets, equities in

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Speaker 3: the Red and Asia, futures in Europe and in the US,

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Speaker 3: pointing to further last as later. Our Markets Live Executive

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Speaker 3: editor Mark cd moore joins us now for more, Mark,

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Speaker 3: good morning. What is driving the sell off today?

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Speaker 2: Then?

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Speaker 10: I don't think there's any really fresh catalyst. I think

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Speaker 10: this is the theme we've kind of had the last

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Speaker 10: couple of weeks, that we're getting a bit of a

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Speaker 10: correction in the the meme stock momentum, stocks AI theme,

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Speaker 10: a correction we've not seen in this whole cycle up,

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Speaker 10: I mean the bull markets.

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Speaker 6: It's April.

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Speaker 10: It's been remarkable for how little volatility we've seen, and

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Speaker 10: to be honest, this pullback still is not very large.

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Speaker 6: You know, we've talked to in.

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Speaker 10: The show the last couplets when I've come on with

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Speaker 10: you about even the move saw start at the end

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Speaker 10: of October, it didn't look like it was exhausted. I

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Speaker 10: think we're probably getting closer to that exhaustion point in

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Speaker 10: the short term. This isn't the bubble bursting. We are

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Speaker 10: in an AI bubble and CAPEX bubble, and it will

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Speaker 10: end really nastily someday.

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Speaker 6: This isn't the bubble bursting.

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Speaker 10: This is just the first dose of volatility we're getting,

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Speaker 10: and you know it's not even very particularly panicky volatility.

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Speaker 6: So I don't know there's really a fresh catalyst.

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Speaker 10: I think that the main driver here is that you

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Speaker 10: know that the crypto space is getting destroyed, and that's

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Speaker 10: got much more downside.

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Speaker 6: We've talked about it before.

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Speaker 10: Digital asset treasury companies just are going to continue to

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Speaker 10: putting pressure in the sector, so generally crypto will have

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Speaker 10: a lot more to weaken, and that that weighs on

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Speaker 10: sentimental ways in the retail sector in particular, which is

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Speaker 10: why they stop buying their favorite kind of big tech names,

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Speaker 10: which is why you're seeing that kind of tech name

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Speaker 10: stuff for the most and you're seeing a little bit

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Speaker 10: of rotation in the market as results of value names

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Speaker 10: hold up a little bit better than that those retail

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Speaker 10: favorites in the tech space.

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Speaker 2: That's interesting. So then in terms of the kind of

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Speaker 2: analysts and why they're concerned, I mean, you've said you

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Speaker 2: don't think this is kind of limited volatility. What are

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Speaker 2: the next catalysts are in videos results or are the

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Speaker 2: catalysts coming.

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Speaker 6: So in videos obviously the big ones.

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Speaker 10: The whole world is driven by AI in the I

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Speaker 10: t and that's that dominates everything in markets the moment

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Speaker 10: until that bubble blows up at some point next year.

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Speaker 6: And in video earnings.

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Speaker 10: You know, look at it is the king of the

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Speaker 10: in Vidia trade, and it's really important. It's both the

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Speaker 10: biggest company in the world, it's added the most market cap,

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Speaker 10: but it's actually a company that's making real money out

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Speaker 10: of this AI bubble. So you know that it's not

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Speaker 10: while there's a lot of circular stuff gone in the

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Speaker 10: I bubble and there's a lot of smokes and mirrors

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Speaker 10: in videos making real money, it's kind of helping kind

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Speaker 10: of people take more debt to buy more of it stuff.

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Speaker 10: And you know, it's the picks and shovels trade. You

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Speaker 10: know it will suffer when the AI capex bubble collapses,

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Speaker 10: but it is a valid company right and making significant

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Speaker 10: amounts of money. What's been really phenomenal is over the

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Speaker 10: last fifteen months we've seen in video stock press increase

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Speaker 10: by about fifty percent to out about one point seven

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Speaker 10: trillion value that stats as at the end of last week,

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Speaker 10: so it's probably paired a little bit yesterday. And yet

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Speaker 10: despite the fact that it's added more in market cap

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Speaker 10: than almost every other company in the world beyond the

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Speaker 10: ten largest companies, it's actually fallen after almost every earnings

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Speaker 10: and that pure so the last five earnings, on average,

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Speaker 10: it's been lower a month later. On all of them,

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Speaker 10: it's been lower two days later, and in fact four

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Speaker 10: to five is just consistently sold off for the month

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Speaker 10: after earnings. So you know, in videos normally sell the

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Speaker 10: fact event it's a profit taking event, but that's normally

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Speaker 10: been within the bullmarket context this time around, where we've

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Speaker 10: already got weakness, So maybe it will it change the narrative.

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Speaker 10: Maybe've already taken profit.

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Speaker 6: I don't know. I guess if I had to go

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Speaker 6: for choice.

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Speaker 10: I don't have high conviction expect in Verdio earnings to

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Speaker 10: be very strong. I expect people to reaffirm faith in

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Speaker 10: the overall AI bubble is more to inflate. It's not

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Speaker 10: bursting yet, but I'm still not convinced that this pullback

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Speaker 10: in markets is fully exhausted yet.

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Speaker 3: Okay, so plenty more to come on that point as well.

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Speaker 3: I just want to ask you briefly, Mark as well,

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Speaker 3: what your view is and what's happening on bitcoin. So

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Speaker 3: we're looking at it back around the nineteen thousand level today,

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Speaker 3: raising all of the gains of the year. I mean,

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Speaker 3: how do you view this?

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Speaker 6: Look?

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Speaker 10: The important thing to remember is that bitcoin is constructed

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Speaker 10: to have a boom and bus cycle. It can never

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Speaker 10: be stable at high prices because you know, the people

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Speaker 10: are bitcoin fanatics. They don't even to pretend it's a viable,

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Speaker 10: got a use case. It's about huddling, and you know,

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Speaker 10: so just you put it in a kind of way

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Speaker 10: and store it, and that means huddling becomes much less

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Speaker 10: attractive at much higher always serving there's no volatility. When

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Speaker 10: it stops going up and it stops getting marginal buyers.

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Speaker 10: The whole point is that you know, people buy bitcoin,

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Speaker 10: they stuck it, they hide it away.

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Speaker 6: It's never used anything.

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Speaker 10: You just guard your line in a spreadsheet and and

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Speaker 10: think about it and worship it and pray it and stuff,

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Speaker 10: and then you know, you hope you get another marginal buyer.

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Speaker 10: But essentially it keeps on needing more marginal buyers all

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Speaker 10: the time. And sometimes there's marginal buyers run out, and

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Speaker 10: they're more likely to run out when you get stability

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Speaker 10: at high prices because it stops attracting people. You know why,

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Speaker 10: a you're going to attract a greater fool when there's

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Speaker 10: no kind of gains to offer, so it gets a

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Speaker 10: boom and bus cycle. It can be stable at low

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Speaker 10: prices because when it crashes a lot, there's no reason

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Speaker 10: for whales to cash out.

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Speaker 6: But at high prices, when.

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Speaker 10: It starts losing volatility, it's always going to collapse again.

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Speaker 10: See I wrote a piece about five years ago saying

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Speaker 10: that you know, bitcoin is always going to have another

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Speaker 10: seventy percent correction.

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Speaker 6: It doesn't mean it's the last one.

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Speaker 10: It can always rise again in a world where we're

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Speaker 10: destroying fiat currencies and we're going to monetize that the

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Speaker 10: big global debt bubble over time. I understand why people

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Speaker 10: like things like crypto. They perceive it as a store

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Speaker 10: of value. I'm not convinced, but I'm not saying it's crazy.

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Speaker 10: You could have another cycle. But the point is it

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Speaker 10: will always have another seventy percent crash. And you know,

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Speaker 10: I said a few weeks ago, it looks like we're

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Speaker 10: at the start of another next seventy percent crash. You know,

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Speaker 10: I said at the start of November, I thought we're

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Speaker 10: going to forty thousand bitcoin. Whether that's you know, the

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Speaker 10: last big crash and it goes again, I don't know,

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Speaker 10: but that's always the case with bitcoin.

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Speaker 6: It is constructed for that kind of volatility.

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Speaker 2: Yeah, the bitco verla coaster that Mark, thanks so much

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Speaker 2: for being with us our Markets Live Executive editor Mark Cudmore.

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Speaker 2: Stay with us. More from Bloomberg daybaqube coming up after this.

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Speaker 3: Britain's richest families are bracing themselves for the budget next week,

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Speaker 3: overhauling how they manage their fortunes, taking more cash out

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Speaker 3: of their businesses and moving to protect key assets. Joining

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Speaker 3: us now to discuss our ultra wealth Reporter Bend stopples Band,

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Speaker 3: Good morning. How are Britain's wealthiest preparing for what could

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Speaker 3: be a host of potential tax increases next week?

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Speaker 11: It's interesting what we're seeing, and we've seen one of

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Speaker 11: Britain's richest families, for example, take out almost a billion

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Speaker 11: pound dividend. Now we don't know the ins and outs

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Speaker 11: yet of what happened there, but it was broadly a

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Speaker 11: restructuring of it of its shareholding structure. That was the

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Speaker 11: Bambard family who owned JCB, one of our sort of

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Speaker 11: biggest success stories on the manufacturing side, and other families

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Speaker 11: are sort of reinforcing what I could say is their

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Speaker 11: trust structures. And these are multi generational, multi billion pound fortunes,

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Speaker 11: and broadly it makes them feel I would say, more robust,

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Speaker 11: more battle prepared for what's going to lie ahead in

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Speaker 11: just a few days for the next budget where they

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Speaker 11: could face indeed some higher tax rises. They're in better shape,

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Speaker 11: fighting fit is maybe the right way to put it.

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Speaker 2: I can imagine the chance though, maybe her team saying

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Speaker 2: they aren't going to be asking people for money that

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Speaker 2: they don't have. It's taxes on wealth that these individuals possess.

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Speaker 2: What is their attitude you think, given your depth of reporting.

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Speaker 11: That's really good question, Caroline. I would say they're letting

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Speaker 11: their money a lot of the time do the talking.

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Speaker 11: A lot of them are doing public talking publicly at

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Speaker 11: the moment. If we continue with the Bamford family, one

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Speaker 11: of the biggest fortunes we have on the Bloomberg Billionaires Index,

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Speaker 11: more than ten billion dollars or pounds, whichever you take it.

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Speaker 11: They've just donated two hundred thousand pounds reportedly to Reform.

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Speaker 11: Now that's the Poor Party, of course, led by Nigel Farage,

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Speaker 11: that is beating absolutely hammering Labor at Keir Starmer's Labor

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Speaker 11: Party in the polls. Now, they've got a lot of money,

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Speaker 11: of course, a lot of wealth to tax, but it

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Speaker 11: doesn't seem that they're entirely happy with it. And crucially

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Speaker 11: they're saying actually that the tax rises that are coming

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Speaker 11: are going to damage the small businesses they are crucial

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Speaker 11: to the broader operations of their own JCB. Now, I

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Speaker 11: think that's interesting because their attitude clearly here is you know,

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Speaker 11: Labour says they're all for growth, but actually JCB and

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Speaker 11: the Bamford family are saying their attitude is that these

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Speaker 11: tax risers could hit to the very thing that laborer

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Speaker 11: wanting in order to get Britain out of its current

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Speaker 11: economic volatility.

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Speaker 3: There was a lot of talk in the early days

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Speaker 3: of the Labor government of wealthy families and individuals leaving

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Speaker 3: the UK as well. I mean, what do we know

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Speaker 3: about the scale of that. Now sort of a year

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Speaker 3: and a half into this government.

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Speaker 11: We've still a waiting game, Steve, and I'm sorry to

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Speaker 11: keep you.

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Speaker 6: Keep you waiting there.

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Speaker 11: Well know, officially on the actual official data for the

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Speaker 11: first time, and I thinking about August next year. I

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Speaker 11: trust me you can very much be the first person

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Speaker 11: to speak to me when we know for sure. In

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Speaker 11: the meantime, what we've kept reporting as recently as last

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Speaker 11: night we reported that the head of well they're basically

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Speaker 11: the top executive in London for the Qatar Royals family

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Speaker 11: office has left the UK. Has left the UK if

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Speaker 11: there's been a long time here, dotgebank veteran has left

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Speaker 11: the UK for Italy, and he's from Italy. So what

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Speaker 11: we're reporting is these individual cases here and there, And

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Speaker 11: what I can say anecdotally from my own experience of

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Speaker 11: doing this for almost two years now is a disproportionate

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Speaker 11: number of Britain's ultra wealthy individuals have left.

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Speaker 5: Now.

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Speaker 11: Some people say there's no wealth exodus, but what I

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Speaker 11: can certainly assert from my own experience is the multi

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Speaker 11: billionaires have often gone and the sort of ripple effect

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Speaker 11: through I would say Britain's billionaire economy, I would say,

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Speaker 11: is going to be felt more sharply as a result

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Speaker 11: of that, even if let's say only ten multi billionaires

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Speaker 11: have gone, I think the proof or the devil will

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Speaker 11: be in the detail, as they say, as I'm sure

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Speaker 11: they're going to say for the budget in a few

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Speaker 11: days too.

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Speaker 2: Just very briefly, what is the most controversial tax increase

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Speaker 2: when it comes to the wealthiest people in the UK,

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Speaker 2: Because a lot of different taxes have been discussed, but

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Speaker 2: what is the thing that's sort of most worrying those

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Speaker 2: alter wealthy?

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Speaker 11: A good question, Karna, I would say for both the

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Speaker 11: non doms are former nondoms, the ult to wealthy individuals

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Speaker 11: who held from abroad who are living here who've often gone,

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Speaker 11: and the UK business owners. It comes down to one thing,

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Speaker 11: and that's inheritance tax.

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Speaker 6: At the last.

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Speaker 11: Budget in Rachel Eaves at her first budget, Labour's first

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Speaker 11: budget in more than a decade, it did catch business

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Speaker 11: owners by surprise that she scrapped inheritance tax reliefs on

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Speaker 11: business assets and agricultural property.

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Speaker 6: And that was a big deal.

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Speaker 11: And that's partly I think driving a lot of the

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Speaker 11: changes we're seeing here because they've got a bit of

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Speaker 11: a window to do it. They've got until next April,

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Speaker 11: before the first reforms really kick in. So what we

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Speaker 11: seeing and we actually saw in October twenty twenty four

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Speaker 11: the biggest a massive jump in companies restructuring themselves, said

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Speaker 11: the same month of the budget in anticipation of tax rises.

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Speaker 11: And that's a base on our analysis fifteen million company

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Speaker 11: findings that we did for this piece, and on the

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Speaker 11: non doms as well. That's wealthy foreigners living in the UK.

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Speaker 11: It was also a broad exposure to the UK's inheritance

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Speaker 11: tax rates that forced many of them to upsticks and say,

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Speaker 11: you know what, I want to live somewhere else. And

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Speaker 11: the UK government is often saying, well, inheritance tax isn't

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Speaker 11: such a big deal in terms of tax risers, but I.

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Speaker 6: Would they to differ there.

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Speaker 11: It raises about ten pounds a year. We will again

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Speaker 11: wait and see whether it's actually going to drive an

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Speaker 11: increase in our tax receipts going forward.

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Speaker 3: This is Bloomberg Daybreak Europe, your morning brief on the

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Speaker 3: stories making news from London to Wall Street and beyond.

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Speaker 2: Spotify and anywhere else you get your podcasts.

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Speaker 3: You can also listen live each morning on London DAB

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Speaker 3: Radio the Bloomberg Business app, and Bloomberg dot Com.

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00:21:31,040 --> 00:21:33,800
Speaker 2: Our flagship New York station is also available on your

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Speaker 2: Amazon Alexa devices. Just say Alexa play Bloomberg eleven thirty.

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Speaker 2: I'm Caroline Hepka and.

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Speaker 3: I'm Stephen Carol. Join us again tomorrow morning for all

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Speaker 3: the news you need to start your day right here

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Speaker 3: on Bloomberg Daybreak Europe