this is business live from bbc news with sally bundock and ben bland. deal or no deal — the uk prime minister has just days to get brexit talks back on track as issues over northern ireland's border scupper the prospect of moving on to trade talks. live from london, that's our top story on tuesday the 5th of december. the british prime minister pulled out of a deal with brussels after the irish dup, which props up her government, said it wouldn't accept a deal that treats northern ireland differently from the rest of the uk. also in the programme, mr trudeau goes to beijing. the canadian prime minister has signed three trade agreements with the chinese premier, covering food and energy. here is how the european markets

look at the start of the trading day and we will take a look at wall street. also in the programme, many of us believe we have an idea for a hit novel inside us. well we'll meet the man who could help you realise your dream with an algorithm that he says will help spot the next publishing sensation. and as facebook launches a messenger app for children under the age of 13, we want to know how young is too young for social media 7 let us know. just use the hashtag bbcbizlive. hello and welcome to business live. talks between the eu and the uk were derailed in the last 2a hours, just as it looked like a deal might finally be on the table. the negotiations came to a halt after the dup, the political party in northern ireland who are propping

up the conservative government, rejected a proposal to avoid a hard border between northern ireland and the republic. the dup objected to a clause in a draft agreement with the eu that would guarantee "regulatory alignment" between northern ireland and the republic of ireland, effectively keeping the country in the eu's customs union and single market in all but name. elsewhere a deal is believed to be very close on eu citizens‘ rights and the so called "divorce bill". the uk is understood to have recently increased its offer, which could be worth up to 50 billion euros. the problem for the uk is that the eu will only move on to talk about future issues like trade when "sufficient progress" has been made on these subjects and is due to decide whether this has happened at a summit on the 14th and 15th december. joining me now from westminster is our political correspondent iain watson. theresa may has quite a day ahead,

talk us through the cabinet meeting and beyond. that's right, she has to tell the cabinet what went wrong because 2a hours ago things looked positive and deal looked within her grasp, that's no longer the case. i would be very surprised if she doesn't meet face—to—face with arlene foster, the leader of the dup. as you know, the dup is effectively propping up the minority government of theresa may so their views are crucial and she will need to get them on board if she's to return to brussels, perhaps tomorrow and later this week, to try tomorrow and later this week, to try to get talks going again and win the prize of trade talks which are so crucial to her. when she meets the dup, one of the things they will talk about, using technical terms but important terms, possibly the difference between regulatory alignment which would see the same

regulations in place in northern ireland and the republic of ireland after brexit, something the dup not wa nt to after brexit, something the dup not want to see, and regulatory equivalence — good we effectively have the same standards but not necessarily the same exact rules. if the dup could get on board with that wording that could be the key to unlock the talks but at the same time any change in wording in the d raft time any change in wording in the draft agreement would have to be a cce pta ble draft agreement would have to be acceptable to the irish government. if it isn't, they have the power to veto the trade talks starting when the leaders meet at the end of next week. thank you. andrew walker is our business correspondent and joins me now. the pressure is really on, they are hoping to get this sorted by the end of the week. next week we have a summit of the european union where the prime minister here is hoping she will get a declaration that

sufficient progress has been made on the three initial areas of negotiations to allow them to move onto trade negotiations which is an essential element in getting the kind of brexit deal that would be best for the british economy. so absolutely the pressure is on to iron out a set of difficult technical issues. and itjust goes to show, doesn't it, how confusing this is to iron out. when you take into account all of the other issues as well that need to be ironed out, it shows how tricky this brexit process is. indeed, we need to get at least the interim agreement nailed down on the other two issues of the financial settlements and citizens‘ rights. ithink of the financial settlements and citizens‘ rights. i think one point worth making here is where you might

see some room for progress in the if you like internal british political issueisit you like internal british political issue is it appears that one version of this statement about regulatory alignment or regulatory non—divergence, whateverform of words you want to use, was specifically about areas needed to support north—south co—operation and the protection of the good friday agreement. that doesn‘t necessarily mean absolutely everything, to com plete mean absolutely everything, to complete regulatory alignment across the board, and there are number of sectors where it is particularly important in maintaining day to day business on the border. and all of this has come to the fore to a great degree because of the snap election and the fact the conservative government is aligned with the dup.

we also have scotland watching this extremely closely because they do not want a hard brexit is at work, they are pushing strongly. nicola sturgeon, the head of the snp, thinking what about us. absolutely, and whatever the outcome of the previous election would have been, the prime minister no doubt would have been consulting carefully with the political parties in northern ireland and wanting to have them on board as much as possible but the fa ct board as much as possible but the fact they are in a position to withdraw support and the ultimate threat of bringing it down doors put her in an acutely difficult situation. it keeps us all very busy. thank you for your time. let‘s take a look at some of the other stories making the news... uk cinema operator cineworld is buying its us rival regal entertainment group

for $3.6 billion. combined the two firms will have more than 9,500 screens in the us and europe which would make it the world‘s second biggest cinema operator. cineworld plans to sell shares and take on more debt to fund the deal. facebook has launched its first app which is specifically aimed at children. the new service is starting in the united states and parents will have control over who their children message and what they see. facebook says the data it gathers won‘t be used by the main facebook app, which those under 13 are not supposed to use. we are asking you about this in terms of our twitter question, how young is too young for social media? the online retail giant amazon has finally launched in australia after weeks of speculation about exactly when it would do so. australia‘s online shopping market is already worth more than us $15 billion and is expected to grow by 50% in the next five years. canada‘s prime ministerjustin trudeau is in beijing. he‘s due to meet president xi jinping in the next few hours and trade is expected

to be top of the agenda. leisha santorelli is in singapore. trade is actually turning out of the... we are not sure where she is, better late than never! so what can we expect from these talks?” better late than never! so what can we expect from these talks? i was actually just saying that trade is turning out to be a sticky issue for justin trudeau. canada is looking to reduce its reliance after donald trump threatened to pull out of nafta so justin trump threatened to pull out of nafta sojustin trudeau made the flight nafta sojustin trudeau made the flight to china hoping to launch formal trade talks but that appears to have fallen flat. both canada and china are saying they will stick to exploratory talks. the stumbling

block seems to be mr trudeau‘s push for a progressive trade deal, which will assess gender, environment and labour issues, but he‘s finding it a tough sell in china. but he‘s not going home empty—handed because canadian beef and pork producers will now have greater access to the chinese market and canadians and chinese market and canadians and chinese appear to be working on resolving a big dispute over canola exports. thank you. tech giants including samsung and tencent sank in asian trade on tuesday, tracking a sell—off in their us rivals and dragging most regional markets lower. investors rotate out of tech shares to financials. sterling has come off a two—month high after the lack of a brexit deal. this is how the european markets looked at the start of the trading day. the dow closed at a record high on wall street but the nasdaq

tumbled more than 1% as dealers shifted out of the tech sector, which has enjoyed a healthy rally through the year, and into financial firms. investors welcomed news that the us senate had finally passed controversial tax reforms. and samira hussain has the details about what‘s ahead on wall street today. and improving job market continues to support the demand for housing in the us and that could mean luxury home—builder will see a rise in revenue and profit. but the lack of skilled labour continues to have an impact on the supply of homes so investors will be looking for forecasts for the next fiscal year. finally, the global airline industry body the international air transport association is expected to give an update on airline profitability for

2017, and a look ahead to next year. joining us is nandini ramakrishnan, global market strategist atjp morgan asset management. let‘s talk about the pound initially, no surprise to see the reaction to what we thought was a done deal being no deal by lunchtime yesterday and the pound reacting. yes, some weakness there. as we‘ve seen since the referendum, the pound sterling rate against the dollar is very reactive so not a huge surprise we have seen weakness and on the flip side of that, we could see the 100 million because of the inverse relationship. that‘s what we are seeing on the screens at the moment. another trend we saw over the last 24 another trend we saw over the last 2a hours, investors moving away from

tech and more towards financials, reflecting the optimism they have about the tax cuts that donald trump has for so long been trying to get through although they are not there yet completely. yes, this rotation from the tech stocks into financials, which have traditionally not been as big a performer since 2008 has been a huge dealfor markets and investors because it is signifying this element of raising interest rates. you have the bank of england raising interest rates, the ecb pulling back support for bonds and monetary policy, which is all good for the financial sector. also, does it reflect people‘s view that tech stocks have had an unbelievable year and have gone a little bit too far now? yes, that is a concern, just a handful of stocks that have such high prices, there is risk

aversion now saying i don‘t know if i want to be in those stocks which are so expensive, i want to be in those stocks which are so expensive, trying to buy some cheap stocks that have the potential to rally up. everybody loves technology, its innovation and moving things forward, but there are ways to access technology as a trend which is not just ways to access technology as a trend which is notjust a handful of stocks. thank you. you will be coming back to discuss things like the new facebook messaging service as well as other stories out there. yes, whether you want to or not! still to come... hit books are the lifeblood of the publishing industry. but how can you tell a hit from a miss? we‘ll meet the man who thinks his algorithm has the answer. you‘re with business live from bbc news. this week the bank of england said only a third of secondary schools in the uk offer economics education

and launched a pilot project to teach gcse students about everyday economics. some campaigners say it should it be statutory to teach it at primary school level as it is at secondary. steph mcgovern has been in a primary school in gorton today. hello. this is a centre for excellence when it comes to teaching young people about money and there isa young people about money and there is a lot of talk at the moment about whether financial education in schools should be compulsory. so let‘s find out what these guys are doing.jane, let‘s find out what these guys are doing. jane, tell us what you have been doing? we have been learning about currencies and when you go on holiday which currency to use. that‘s helpful, isn‘t it, for when you are on your holidays. gloria, what else? how to spend different things equally in supermarkets and how to spend in different supermarkets. that you're getting value for money and what else have

you been learning about? credit card and scams when we go on websites to know what we are buying so it's not fake. you know loads. we have got mr miles your teacher here. why is it so miles your teacher here. why is it so important that these young people are learning about all of this stuff now? we start teaching them as early as nursery. we want to encourage children to be enthusiastic about money because then they can have aspirations for later in life because they are not actually that far away from being independent. so, if they can see that money is not something to be scared of, it is something to be scared of, it is something they can be enthusiastic about and make work for them, then it sets them up really well for life. do you think it is a good idea to learn about money. all: yes. shall we say bye to everyone. that‘s it from us. all: bye. this is the top story on our business pages today. railfare

rise. train fares in britain will be going up by 3.4% from 2nd january. that‘s the biggest increase since 2013. it covers regulated fares and including season tickets and unregulated fares. so those one—off journeys. there is more detail and reaction as you can imagine on the bbc website. take a look including analysis from our transport correspondent, richard westcott. so do takea correspondent, richard westcott. so do take a look when you have time. you‘re watching business live. our top story — britain and the european union have failed to agree on moving onto the second phase of their negotiations on brexit. negotiations came to a halt after the democratic unionist party rejected a proposal to avoid a hard border between northern ireland and the republic of ireland. that means a flurry of negotiations between now and the end of the week.

a quick look at how markets are faring. the ftse in london, outperforming the others. benefiting from the pound weakening slightly after that failure to do a deal on brexit. spotting the next best seller can be tricky. harry potter was famously rejected by 12 literary agent before finally being picked up. however, one firm thinks they have the answer. german publisher inkitt claims that by using a sophisticated algorithm and the power of the crowd to measure reader engagement, they can identify potential best sellers and they seem to be writing a successful business story. in the last 12 months, they have published 19 books that have made the amazon top 100. ali albazaz is the boss of inkitt and joins us now. he is with one of the books. an example of something that went into the top 12 on amazon, this one? exactly. it was ranked number 12

ahead of harry potter a couple of months ago. tell us what happened. did the writer approach you and you then measured the success of that with an algorism? exactly. we have an online platform on inkitt.com. all authors can upload their manuscripts and over one readers who can read the books for free. manuscripts and over one readers who can read the books forfree. while the readers are reading, we analyse their reading behaviour. we see do they stay up all night to continue reading? do they read today, tomorrow, the day after and so on and based on this feedback or data points that we get we can predict if a book has the potential to become a best seller. so we are talking about best seller. so we are talking about best sellers, ie popular reads. not necessarily a good read? well, let's say, like things that the majority of the population like. so things that are going to sell by the millions? abslaotly. harry potter

and fifty shades of grey. did you come to it from the book writing side or the tech side?” come to it from the book writing side or the tech side? i am a coder and it goes back to five years ago where you know i also liked writing and five years ago i started inkitt asa and five years ago i started inkitt as a hobby project. i started this platform where auth 0urs could upload their manuscripts and readers give and give feedback. about a year later, i discovered this statistics atjk rowling was rejected by 13 publishers and the 14th publisher only published her because the eight—year—old daughter of the editor liked it and figured out that twilight was rejected by 1a publishers and james patterson rejected by 31 publishers. i was like wow, this is so insufficient and at the same time the publishers are crushing these people‘s dreams

andi are crushing these people‘s dreams and i found that unfair and i wanted to build something better. forgive me, is it better? is it a different way of bringing to the attention people, you know, books that are out there because some might argue actually publishers do a greatjob of finding what might be a really good read, not necessarily a very popular read ie amazon top ten like fifty shades of grey. but a fantastic book to read like wuthering heights. we are democratising and the majority of top five publishers, they only publish authors with track record. people who have already made it before, who have a fanbase. they would rather publish the next book from 0bama than take on a new debut author. they publish very few debut authors and we believe in debut authors and we believe in debut authors because we can measure the

reading behaviour and invest in the debut authors. 0ur belief is that every author in the world should have an equal chance to succeed, be it the 15—year—old girl who has written an amazing story orjk rowling, they should have the same equal chance to succeed. that‘s what makes inkitt different to other publishers. ali, thank you. have you written a book? yes, i did, yes. and... it's on inkitt. how is it doing? i have written the beginning. the rest is still in d raft beginning. the rest is still in draft mode. it sounds like my book it is! thank you. you know what they say about a good journalist? go on. inside every good journalist? go on. inside every good journalist is a bad book! all right, let‘s move on. in a moment we‘ll take a look through the business pages, but first here‘s a quick reminder of how to get in touch with us. stay up—to—date with all the day‘s business news as it happens on the bbc‘s business live page.

there‘s insight and analysis from our team of editors right around the globe and we want to hear from you. get involved on the bbc‘s business live web page at bbc.com/business. on twitter, we‘re at bbc business. and you can find us on facebook at bbc money. business live on tv and online, what you need to know, when you need to know. nandini ramakrishnan is global market strategist atjp morgan asset management. we have been asking about the story that‘s in the ft, about facebook launching a messaging app for under 13s. why are they doing it? it has got parental controls. it is an interesting way toll compete with snapchat that people are using. again, i don‘t know personally, but the lesm of usage is meant to be for anyone around the early age of six and older. so it‘s an interesting one. they have made it clear they

are not going to have any advertisements and it will be pa rental controlled advertisements and it will be parental controlled so perhaps it‘s a way for facebook app and facebook company generally to get in with competing with some of the other social media platforms. that‘s been our talking point on twitter. lots of you getting in touch as you can imagine p go for it, ben. simon saying such is the invasive business model of facebook they want to get young children hooked on the addictive and damaging platform. rosie says, "i thought you had to be 13 to use facebook." jerome says and this is good point that for fb, facebook, is this just pointless pr because it is impossible to verify somebody‘s age. people pretend they are all sorts of things on social media. i know from personal experience, people‘s friends who have said they are over 13 in order goat on facebook when they are not. all that kind of thing is going on, isn‘t it? they are not. all that kind of thing is going on, isn't it? this move to get younger users eliminates that

deceitful of signing up, but the bigger question you have young people messaging perhaps rather than doing what children maybe were doing in the past in as going outside and playing. yeah, ithink in the past in as going outside and playing. yeah, i think it would be a contentious issue for parents or teachers or anyone who is looking out for children, but if other apps are allowing kids to use it then perhaps this is facebookjumping on that as well. it is interesting at the same time you have got google announcing a 10,000 strong army to tackle extremists. this is on google. part of that is to protect children who are so, who are on youtube so much? yes, one fact that struck out to me 500,000 hours of content are posted on youtube and the commitment from google and youtube to have people review the content to make sure there is no extremist or disturbing things is going to be quite impressive. it is. interesting to see. thank you. good to see you. thank you too. we will see you again soon. that‘s it for today. thank you too. we will see you again soon. that's it for today. bye-bye. hi there. good morning. today‘s

weather is going to be fairly similarto weather is going to be fairly similar to yesterday‘s weather really. for most of us, it‘s going to be dry. lots of cloud around, but still on the mild side. for this morning, we have got some rain affecting the far north and north—west of scotland. that will become heavier into the afternoon. for most of us though, lots of cloud around and as we go into the afternoon there is not going to be a great deal of change. a few breaks in the cloud perhaps across southern areas. temperatures here could reach double figures up to 10 or 11 celsius. for many, temperatures only rising by a few degrees. lots of clouds into the afternoon. a few brea ks clouds into the afternoon. a few breaks in the cloud from northern ireland and the north—east of england and the east of scotland just breaks developing across the hills. across north and western scotla nd hills. across north and western scotland the rain will become heavier throughout this afternoon. that rain will persist with you as we go through this evening, through tonight, and into tomorrow as well. elsewhere, while there could be a few spots of rain developing across north—west england and wales, a few

brea ks north—west england and wales, a few breaks in the cloud across southern areas may allow pockets of frost to develop. but for most of us, with the cloudy skies, temperatures staying up above freezing, about six to eight celsius. so a frost—free to wednesday morning. now, during wednesday, you will notice president winds picking up especially towards scotla nd winds picking up especially towards scotland and northern ireland and the irish sea coasts. the rain spreading through scotland and northern ireland and into western areas of england and wales. down towards the south and the east, it will stay dry. look at the temperatures for most of us into double figures. through wednesday night and into thursday, we have got a complicated mix of weather fronts. look at the white lines. the isobars, look how close they are. storm force winds across northern areas on thursday morning. heavy, rain spreads south and east, clearing away with the strong winds for many of us. by thursday afternoon, it is looking drier and brighter, turning colder towards the north and the west, but still up to

double figures across the south east with sunshine. the cold air across scotla nd with sunshine. the cold air across scotland and northern ireland will move its way to all parts by friday. so, under the influence again of this arctic air mass and that is going to bring some snow. even down to low levels across north and west scotland, northern ireland, wales, even the south—west of england having snow down to low levels. elsewhere, should be dry with sunshine, but it will feel cold with that northerly wind. more details, of course, on the website. that‘s all from me though. bye—bye. hello, it‘s tuesday, it‘s nine o‘clock. i‘m victoria derbyshire, welcome to the programme. 0ut top story today: after one of britain‘s smaller political parties vetoed the pm‘s brexit deal, what might persuade them to back a new agreement on the irish border? a question theresa may needs to find an answer to. . .fast. ‘s government insiders blame a

misunderstanding, the dup prepare to play hardball. we‘ll talk to the democratic unionist party, to a conversative leave mp, and to scotland‘s snp. whether you voted leave or remain, what do you think of events over the last 2a hours? also on the programme, a warning that sex offenders are using live online streaming platforms to groom children with almost 200 suspects arrested in one week alone.