this is business live from bbc news with susannah streeter and maryam moshiri. a crunch meeting between leaders of the world's seven biggest economies, but is a trade war on the cards as the tariffs ramp up? live from london, that's our top story on friday 8thjune. it's the us versus the rest of the world as president trump's america first policy draws widespread condemnation. also in the programme... back to the future! argentina is forced to return to imf assistance in a bid to cure its economic woes. and we'll have all the latest from the market is in europe they are opening down. this week, we've seen major developments in the brexit story and the potential takeover of sky. our business editor simon jack will be looking back at the biggest stories of the week.

and as french schoolkids are set to be banned from using mobiles on school grounds, today we want to know whether smartphones are becoming too invasive in schools and work? or is this a necessary evil? let us know. just use the hashtag bbcbizlive. hello and welcome to business live. we start in quebec, canada, where the leaders of the group of seven biggest economies are gathered for a two—day summit. the group is supposed to be about cooperation between members france, germany, the uk, japan, italy, canada and the us. but it's at its most divided in its four—decade history. in fact, it's more like the 66 on one side, and the us on the other. president trump's america first policy has pitted the us against its allies. he has slapped steep tariffs on imported steel and aluminium and threatened similar action on foreign cars.

and he's pulled out of the nuclear deal with iran jeopardising billions of dollars of contracts for european firms. france's president macron has pleaded for unity, calling for the other six to unite and stand up to the us, saying, "we must not fall apart". and he points out that together, the six other nations of the g7 are a bigger market than the us. the eu and canada, america's biggest trading partners, have already announced they will retaliate with their own tariffs on us goods from whiskey to harley—davidson bikes. but so far, japan has avoided confrontation. on thursday, president macron warned president trump that isolationism isn't in the interests of the us. with me is suzanne spears, partner at volterra fietta. thank you forjoining us. how big do you think the issue of trade is going to be at the g7? the other

leaders have already announced and made it very clear that they are going to prefer president trump on theissue going to prefer president trump on the issue on the first session of the issue on the first session of the meeting. traditionally, g7 meetings are not where you hash out complex issues of trade. i don't expect them to actually reach a consensus on this issue, and moreover, president trump would certainly needs a big concession from the other leaders in order to back down from this very pronounced sta nce back down from this very pronounced stance that he has taken and i doubt the other leaders will be willing to do that at the session. interestingly, we're not going to get a consensus statement at the end of the meeting which we normally do. how much does that tell us about the divide between these countries? certainly, as we have already said today, it's looking like a summit where it is going to be the g6+i and it is significant in terms of what it is significant in terms of what it signifies in terms of the g7 not going forward as united blog which

has been the case over many years and also represents a threat to the global rules —based system of trade and other international mechanisms. —— as and other international mechanisms. ——asa and other international mechanisms. —— as a united bloc. it is significant at the time when the g7 would most like to be presenting a united front vis—a—vis china and russia and many other issues. the us has justified tariffs on national security grounds, hasn't it? is this a breach of wt0 rules? certainly the eu and canada have already filed a case before the wto alleging exactly that. the national security exception does exist in the general agreement on trade and tariffs that underlies the wto but it has never been invoked until recently. there's one pending case right now with that issue but this would be the first time the wto would need to confront theissue time the wto would need to confront the issue head—on at this point. i think it is a very controversial statement and i think you saw that justin trudeau called it laughable that it could be a threat to

national security, that canada could bea national security, that canada could be a threat to the national security of the us. interesting. thank you for joining of the us. interesting. thank you forjoining us. those comet have been picked up in us congress as well, certainly many senators sharing the same queue. more on that later. now, argentina has struck a deal to borrow up to $50 billion from the international monetary fund. the country asked for help from the imf last month to tackle surging inflation as interest rates hit a0%. if approved, the three—year deal would be the imf‘s largest ever loan. but the deal has been criticised by many people within argentina. let's get more from our south american business correspondent william gallas. it may seem like argentina and the imf are on opposite sides but in fact they both want the same thing. president mauricio macri wants to bring recovery by reducing spending and inflation. the imf praised all of those efforts and is actually willing to lend $50 billion to the country if it can move faster with its

economic reforms. this money will help argentina reassure investors that it can honour its commitment but it won't tackle the basic structural problems of the economy. argentina still has too many bonds, too much debt and very high interest rates. i'm so sorry, that was daniel gallas, not william gallas. who is william gallas? apparently a world cup player! colette's move on and make sure that —— pretend i did not make sure that —— pretend i did not make a mistake. —— let's move on. french property giant unibail—rodamco, europe's biggest commercial property company, has completed its takeover of australian shopping mall operator westfield. the $24.7 billion deal is the biggest corporate takeover in australian history. mall operators are being forced to consolidate amid growing competition from online retail. a software bug means millions of facebook users may have unknowingly posted private information to the public. the glitch set some users' posts

to be shared to "everyone", even if the user had chosen a more restricted option, such as "just share with friends of friends". facebook has apologised and says the problem is fixed. the chairman of zte has apologised to his staff and customers after the tech firm agreed to pay a $1 billion fine to the united states to end a crippling ban. chairman yin yimin said the firm would look to learn from its errors and hold those responsible accountable. the us had blocked zte‘s access to american suppliers, saying it had violated a sanctions settlement. let's ta ke let's take a look at what is going on in china. china's political sensitive trade surplus with the united states widened in may to $24.5 billion, which was over $2 billion higher than april's figure. however china's overall trade surplus fell by $3.8 billion last month, mainly because of a surge in imports. monica miller

is in singapore.... so this is going to add fuel to the fire, isn't it, the latest numbers. indeed, not the news president trump was hoping for but if you can think back on the campaign trail and throughout the few months of his presidency, he wants this trade deficit to shrink, to be about $200 billion, and this is not going the right way. in the first five months of 2018, it had exceeded $100 billion so this is just not happening in the direction he wants. some people are already speculating the news may derail any prospect of positive actions that have taken place with the chinese. congress secretary wilbur ross was in beijing last weekend. we did not have a joint statement which is not a good sign. but what could possibly happen is the trump administration could follow through or reinforce its decision to slap tariffs on hundreds

of billions of dollars of chinese goods. it is going to be a matter of time to see if he follows through on that. as we just heard, this comes hours, this data information, after an agreement was reached over the communications maker zd e. they said they would ease restrictions on some of the sanctions it zte paid a $1 billion penalty and tidy compliance tea m billion penalty and tidy compliance team chosen by the us. zte has also been asked to replace its management board in 30 days. but this may be a tricky proposition because we have lawmakers, democrats and republicans, who are not happy with the deal. they consider zte to be a security risk. they are actually now making up new legislation so they can take some of those penalties prior and reinstate them. it is unclear how much support they have at the time. thank you forjoining us. at the time. thank you forjoining us. let's check on the markets.

asian markets have mainly retreated today at the end of a broadly positive week, with traders turning their attention to the g7 summit. while there remain concerns about a possible trade war and other geopolitical issues, equities have enjoyed a positive run since last friday's strong us jobs report that fuelled optimism. let's find out how european markets have fared. and in london, bt group's share price rose sharply on the open, after the news that ceo gavin patterson is stepping down the rising pound is putting pressure on the ftse 100. what is going on in the us later today? paul blake has all the details about what is ahead on wall street. wall street's eyes will gaze north on friday as leaders from across the western world gather for the g7 summit in canada. this won't be any old g7, donald trump's america first

trade policies mean this meeting promises to be contentious. 0ther world leaders say they plan to make the topic of trade a high priority. the white house meanwhile is signalling that trump is planning to stand firm on his tariffs and may even threaten more, notably on cars. until recently, wall street was brushing off the trade disputes but signs on thursday pointed to a change. us treasuries rose and a rally in tech stocks ended as investors became increasingly concerned about the possibility of a showdown in quebec. paul blake, there. joining us is shaun port, chief investment officer at investment management company, nutmeg. thank you forjoining us. let's talk about gavin patterson. it is big news on the london markets today, the boss of bt is stepping down. let's look at a picture, what are theissues let's look at a picture, what are the issues that have been facing bt because there's been quite a bit of shareholder pressure? after his restructuring plan was announced last month, it has gone down very badly with shareholders which is why he's going. he has been leading bt

for five years, he's going. he has been leading bt forfive years, on he's going. he has been leading bt for five years, on the board for ten and it is so difficult to restructure a business like bt, 13,000 job losses, this is a difficult business to restructure away from effectively being a utility, to internet, it'sjust utility, to internet, it'sjust utility now, we've seen in other countries it's been difficult to perform these kind of businesses, he is in place for another six months and who will be his successor? it will be a difficult choice i think. it seems as though investors are pleased there will be a success and we we re pleased there will be a success and we were hearing earlier about how gavin patterson was very onside with his customers. he used to interact with them personally by e—mail. will he be missed in the group as a whole? i think so, he be missed in the group as a whole? ithink so, by he be missed in the group as a whole? i think so, by some customers whole? i think so, by some customers who had that personal interaction with the chief executive which is very unusual so yes, people losing theirjobs is tough but i think the restructuring was going along at pace and i think he needed a bit more time to input the structure. thank you forjoining us. you will be talking through the papers with us be talking through the papers with us later. still to come... our business editor simon jack will be taking a look back at some of the biggest stories of the week, including brexit and

the potential takeover of sky. you're with business live from bbc news. companies giving their workers a stake in ownership has traditionally been a niche way of doing business, but in some sectors it's on the rise. over at riverford organic farms, the company's founder is handing three—quarters of his business over to employees. joining us now from theirfarm in devon is our very own ben thompson. he's definitely getting his five day! where else would i come? good morning, i'm in the glorious devon hills this morning and we are on riverford farm because this place, you may know, sells vegetable boxes up you may know, sells vegetable boxes up and down the country, sending out about 50,000 per week and it is all grown on farms around this area. but

you are right, they are handing over control of the business to the 650 staff. they will all get a stake and they will share in the decisions about how it is run and what happens next. it means that they have got some pretty big responsibilities as well. they will have to do board meetings and take part in all kinds of plans for... as they tractor goes past... plans for its future. guy is the boss. good morning. a big day for you today because you are essentially handing over control of a big part of the business to the staff who work here, but why are you doing it? all my experiences in 30 yea rs doing it? all my experiences in 30 years running the business is that the more you engage staff, the more autonomy and responsibility you give to them, the more you can get out of them and we are operating in a time and ina them and we are operating in a time and in a marketplace which isjust changing so quickly, you know, we have to be flexible and responsive and innovative and that is so much better done by 650 people rather than hate sitting in a boardroom.

you could have sold this on the open market and probably made a lot more but you decided not to do that and you are giving it to the staffing said. isay you are giving it to the staffing said. i say giving, you are selling it. i am selling it, probably at a third quarter of its value and that may seem third quarter of its value and that may seem very third quarter of its value and that may seem very generous third quarter of its value and that may seem very generous but i think really you have to be a fool to think that 16 million is going to make you any happier than 3 million. you know, iwould rather see make you any happier than 3 million. you know, i would rather see the money spent in helping riverford on its next step in its journey. good luck and enjoyed today because i know it's a really big day. guys, i don't know if you can see this but behind me is a big blue tent, you are used to seeing tents on farms to grow crops but that one is where the party will take place, a big party getting under way later to celebrate the handover to the staff who work here. more from me later. you're watching business live — our top story: later today the leaders of the world's seven biggest economies will meet in canada

to discuss a range of issues including global trade and climate change. the summit takes place against a backdrop of protectionism after the us decided to impose a 25% tariff on steel and a 10% levy on imports of aluminium. a quick look at how markets are faring... the european markets have of course open, and not particularly good, is it? that's right. pressure on the ftse 100 it? that's right. pressure on the ftse100 because the pound has risen slightly. now, it's been another busy week in business — it always is — but the pound zig—zagged on the back of rumours and headlines regarding brexit. meanwhile, the government cleared the way for a bidding war between comcast and disney over sky. with me now is our business editor simonjack. talk about all this, and those

comments from boris johnson talk about all this, and those comments from borisjohnson about the much softer brexit we are heading towards... i will not get into the punch and judy going on in westminster, but what has happened generally and what has happened since the referendum, when it looks like we are heading towards a softer form of brexit, staying closely aligned with the european union, the pound has tended to be stronger because they think it will be less disruptive to trade, when it looks like we will chaotically dropped out with no deal, it has tended to go down. it went up to $147 a few weeks ago and has now fallen back to 1.33,1.34, weeks ago and has now fallen back to 1.33, 1.34, and i think that is because a lot of things people were hoping would have happened by now have not, and we wish most of our white paper on how to deal with the irish border. that was supposed to be in place before thejune summit, we we re be in place before thejune summit, we were looking forward to a trade deal being sketched out in october, and all of this timescale seems to be slipping, which raises the possibility that you have much more disruption at the ports, at the

borders, and that would be disruptive to trade, which would be bad for the economy and therefore bad for the economy and therefore bad for the pound. at the moment, the others like this deal yesterday saying we are going to have this temporary backstop, so we can't sort out all this stuff, particularly the irish border. we will leave it in place and stay aligned as we are at the moment until december 2021, your further than the transition period is opposed to go, so add that eve ryo ne is opposed to go, so add that everyone is drawing their hands up and saying, we don't know what the heckis and saying, we don't know what the heck is going on. this is i think the week when the gloves finally came off from the business community. they have been very patient, said they would let the government sought it, they have been listening, people dealing with haulage cross—border saying, this is chaotic, we don't know what is going on, we've been hung out to dry, we can't make the changes in time, some of the big business groups saying, we've been very patient but we don't know what's happening, not being asked for our input, so i think

there is that feeling in the business community and the pound is reflecting some of that. let's talk about sky, the government clearing the way for the deal with comcast and disney over sky. what is your ta ke and disney over sky. what is your take on this? fox, owned by the murdochs, this has been a thing for many years, the hacking scandal a few years ago, then it was handed back, the idea we're not sure it is in the public interest, perhaps too much interest of the murdoch family if they were to buy sky, so what they have said, if you can promise you will sell off sky news so you don't have that control, yu delu is free to go ahead. as a matter of fa ct, free to go ahead. as a matter of fact, they have already arranged to sell sky news to disney who are awaiting in the background to take over fox —— you are now free to go

ahead. soa over fox —— you are now free to go ahead. so a lot for disney to gobble up, but then there was a gate—crasher to the party, comcast in the us who comes in and says, actually we want to buy sky, and now actually we want to buy sky, and now actually we want to buy fox as well, so actually we want to buy fox as well, soa actually we want to buy fox as well, so a real game of thrones, and obviously huge personalities. and one of the sky personalities said that rupert murdoch, remember, in his mind has already sold sky, so whatever happens it will have a new owner. it was his baby... is basically dismantling an empire it has taken on a life in the accumulate, but i wouldn't put it past him to build another one. simon jack, thank you very much, our business editor, very good value, as always. let's go to sydney now — where the aviation industry has been holding its annual get—together this week. vuyani jarana is the new boss of south african airways — and he's been tasked with turning around a company with losses of $400 million last year. he has accepted a bet from the country's

free market foundation to make it profitable within three years — or give 100,000 rand to charity. do you no much that is in dollars? $7,600, so not actually that much. 100,000 rand sounds like a lot of money. so how confident is he? let's find out... i have known this for quite some years, the situation. the board thought i was the right person to do the job. i am the board thought i was the right person to do thejob. i am good at bringing new ideas, more business orientated forecast. you're coming in with fresh eyes, new business model... putting the customer at the centre of the business. and also on finding new business models for a round their lead. what we're trying to do is really bringing commercial logic, and the coat cost because the

cost base is too high, and really build a new commercial model —— and ta ke build a new commercial model —— and take out cost, because the cost base is too high. for the turnaround strategy we need to bring consistency, skills, make sure there is stable leadership. that is what we're doing and is what saa has missed for many years. that was vuyani jarana missed for many years. that was vuyani jara na talking to missed for many years. that was vuyani jarana talking to aaron. and he is the new boss at south african airways. what other business stories has the media been taking an interest in? shaun port from investment management company nutmeg joins us again to discuss. cannabis legalisation in canada, another step closer? yelling yes, they have approved the recreational use of marijuana, and that has —— yes, they have approved that but it has gone back to the other chamber. they are moving quite fast. 0f course some states in the usa avoided on this but this is a more holistic legalisation. do you think they are scrambling to try to get a piece of that market to make sure

they are positioned well to dig advantage? yes, if you look at the usa, big shops and empires growing up really quickly in anticipation of the law changed. 0f course, this has been promised in canada for some time but, yes, the same thing is happening in canada. let's move on and talk about mobile phones. because we have had so many democrat this. the french government looking to ban mobile phones in schools. yes, iam looking to ban mobile phones in schools. yes, i am surprised how many schools are allowed them and allow the children to actually have them in class as well, so this is quite a radical step, them in class as well, so this is quite a radicalstep, in them in class as well, so this is quite a radical step, in france. what is your take? it is interesting how it will be limited. the law suggests the kids keep them in their backpacks, so it will be very difficult i'm sure for the kids to keep them there and not use them. it is bigger thing, trying to limit screen time, not just is bigger thing, trying to limit screen time, notjust for kids but for adults. myself, i have an

11—year—old heading off to secondary school and though i don't necessarily want him to take his phone in, it is the peer pressure. let's look at some tweets. john says, "i think they should be able to bring them into school, hand them in and pick him up on exit. laing get ban and no option seems too far." this moment, kids aren't supposed to have them out during class but it doesn't mean they don't. that is the point. can you please? —— a blanket and and no option seems to far. yes often you will see, i'm just taking notes, not looking at my personal e—mails. laughter yes, on the one hand people saying children shouldn't have their mobile phones, but on the other hand schools are giving them an ipad to do their work on which our obviously connected as well so it is very hard to police. lulu says, "children need as much time of the electronics as

possible. they are a curse." this one, "my school has also banned them, and rightly so, i believe." yes, lots of kids in the uk really can't do this. yes, i think a lot of schools are trying to improve quality time with the pupils, perhaps stop bullying through mobile phones which happens a lot through social media, so the schools are already on this, but interesting france taking legal richard wright it was. yes, and that is interesting, saying it will not stop cyber bullying and we understand that —— taking the legal route for it. shaun port, as always, good to have you on. thank you very much indeed. that's it from business live today. there will be more business news throughout the day on the bbc live web page and on world business report. with her! yes, with me. on the bbc news channel. goodbye. good morning. a day of mixed

fortunes. some showers around, and a more general spells showery rain across parts of england and wales, some local heavy thundery showers for western scotland and northern ireland as the day and on, but at least where we get them it will tend to dampen down pollen levels which are high or very high for england, wales and northern ireland. 0ver much of scotland and also the far north—east of england. the early satellite picture tells the story quite well. as "stretching up in the yorkshire to wales in the midlands, bringing showery rain this morning, and the wind is quite light, not going anywhere fast —— a zone of cloud stretching up in yorkshire from wales and the midlands. showers across western parts of scotland which could be heavy and thundery again. mainly dry with sunny spells

further north and east, but missed an eastern coasts. allow for a few showers and northern ireland to this afternoon, and this is on of cloud still bringing one or two showers through the afternoon. she was quite shopping places across south east england. some bright and sunny spells. the north—east coast hanging on the more cloud and a cooler feel. to this evening and overnight, a few showers tending to linger across south—west england, parts of western scotland. elsewhere, clear spells before the cloud built back in. temperatures dropping to between nine and 14 celsius, lowest across scotla nd nine and 14 celsius, lowest across scotland and parts of east anglia. this is the weekend set up. high pressure a cross this is the weekend set up. high pressure across much of the country, keeping an eye on what is happening over by france, heavy thundery showers, which floated at times with the far south coast, but will probably stay in the channel or over france. saturday morning, cloudy for many but that cloud will slowly thin

and breaks almost will see some sunny spells, just the far east coast hanging on to the showers. maybe a few showers in south—west england but on the sunshine temperatures up between 18 and 22 celsius. speaking of sunshine, maura round on sunday. notjust those showers are never too far away from the south coast but they should stay in the channel or over france. heavy thundery showers for scotland and maybe even northern england. these are your temperatures. hello it's friday, it's 9 o'clock, i'm chloe tilley, welcome to the programme. the children who persistently hear voices that aren't there. i remember at age probably three years old sitting on my grandparents‘ stairs, and i heard the lion and the bear from teletubbies saying, "i'm coming to get you, i'm coming to get you," over and over again. it made me feel terrified of it. i thought it was normal, though, to hear these voices. now, new research suggests the reaction of adults can affect the voices they hear in future. we'll talk to children

who say the voices make them feel "worthless". also ahead, fears for england fans travelling to russia for the world cup, as the government is accused of making vague reassurances about their safety. russia is a very difficult country in which to offer consular protection.