this is bbc news. i'm martine croxall. the headlines at two: the uk chancellor, rishi sunak, says g7 finance ministers from the world's leading economies have reached a historic deal to reform the global tax system during talks in london. i think the crucial thing for people to take away is the principle of fairness. that is what we have achieved today, to ensure that there is a level playing field for all types of companies. testing is ramped up as the uk sees the highest number of new covid infections in two months, raising more question marks over the further relaxation of restrictions. for the first time in nine months, people in glasgow will be able to socialise in each others homes and drink alcohol in pubs and restaurants, as parts of scotland move to lower restriction levels from today.

and we are live from coventry cathedral, the uk city of culture. street performers and artists are moving through the city to avoid mass crowds due to covid restrictions. good afternoon. welcome to bbc news. the chancellor rishi sunak has announced what he called "a historic agreement" to reform the global tax system. the agreement by the g7 group of finance ministers is set to include a global minimum rate of corporation tax. the base rate of at least 15% is seen as a starting point, but is lower than the minimum rate of 21% that had been proposed by president biden. the plans are also set to stop major multinational companies, include apple and microsoft, from paying little or no tax in countries where they make money.

the uk chancellor, rishi sunak, said businesses should pay the right amount of tax in the right place. our business correspondent katy austin reports. how much tax should multinational companies, particularly tech giants, pay, and where should they pay it? those were the questions at the heart of these discussions between g7 finance ministers. today a consensus to back a global minimum rate of at least 15%. i am delighted to announce that today, after years of discussion, g7 finance ministers have reached a historic agreement to reform the global tax system, to make it fit for the global digital age, but crucially to make sure that it is fair so that the right companies pay the right tax in the right places. the deal is seen as a significant development. since at least ten years ago and probably earlier there has been this dissatisfaction that lots of companies moved their headquarters to very low taxjurisdictions.

but it has been really hard to come up with a global deal on corporation tax. some countries, including the uk, have already introduced their own digital services tax. there had been pressure from the us to drop them quickly as part of this deal. asked if the uk would now do that, the chancellor said the measure had always been intended as a temporary one. this is the first step, the g7 agreement, we have got to move to the g20 and then beyond. but obviously the intention would be, once there is a global multilateral solution in place, then the need for those dsts falls way. the rules agreed today would also aim to make companies pay tax in the countries where they are selling their products or services rather than where their profits are declared. the german finance minister said it was bad news for tax havens. katy austin, bbc news. with me is our business correspondent, katy austin. what response has there been so far. those involved in the talks, the

finance ministers from the g7, have spoken of the significance of this moment. they're in mind that although it is being seen as historic and very significant, this kind of measure would not be effective about other nations agreeing as well. there are still the 620 agreeing as well. there are still the g20 countries like russia and china to speak to to see if they would get on board with this idea, and then the oecd, which more than 130 countries would be at the table. so whether countries of all shapes and sizes and sizes of economy would get on board with this idea is yet to be seen. ireland has come out and said this afternoon that it has reservations about this and looks forward to the further discussions. ireland has a corporate tax rate of 12.5%, so you could see why minimum global rate of 15%, they might not see it as to their advantage. other

reactions from the us, the treasury secretary said the global and tax would end the bottom in corporate taxation. that distills the aim of what ministers are trying to achieve here. the other element of it beside the minimum tax rate itself is rules to make sure that companies, instead of shopping around for a country with the lower tax rate to pay tax on their profits there, that profits to some degree could be levied on taxes where sales are made. if you think of a big tech company, they might provide services in the uk but are not based there and the idea would be was that when they pay tax on those sales, they pay it to the uk for example.—

on those sales, they pay it to the uk for example. what has been the reaction of the _ uk for example. what has been the reaction of the big _ uk for example. what has been the reaction of the big tech _ uk for example. what has been the reaction of the big tech companies. uk for example. what has been the i reaction of the big tech companies? facebook said last night it supports changes to the rules and i have seen statements from google and they say the company strongly supports the work being done to update international tax rules and they hope countries can finalise what they think is a balanced and durable reaction soon. amazon say they hope to see discussions continue to advance with broader g20 countries and what they say would be an inclusive framework alliance. broadly speaking, at the moment, these large tech companies, which are at the centre of the reforms we are at the centre of the reforms we are talking about, really, are expressing support for the idea but making it clear that there is further to go until we have any final global rules that everyone agrees on. final global rules that everyone agrees om— final global rules that everyone aurees on. ~ . ., ,, , final global rules that everyone aarees on. ~ . ., ,, , ie agrees on. what happens next? is will have to _ agrees on. what happens next? is will have to be _ agrees on. what happens next? is will have to be discussed - agrees on. what happens next? is will have to be discussed with - agrees on. what happens next? isl will have to be discussed with wider groups of countries and plenty more mileage in this. it does not stop this from being a really important step and one that a few years ago

would have seemed very unlikely and very surprising, in fact.— we can speak now to vicky price, chief economic advisor at the centre for economics business research, and a formerjoint head of uk government economic service. thank you very much forjoining us. the german finance minister has said we have an agreement that will really change the world. how confident are you that he is right? as we have heard, it will take some time before it gets approved by everybody else and implemented, so thatis everybody else and implemented, so that is an issue. but the fact that a number of countries were able to sit down and agree on how they would like to see the whole issue of tax avoidance by particularly the large tech firms be tackled is pretty good news. there was a need to do this now because the issue of those companies not paying enough tax has been around for quite some time and it worried everyone and it needed to

be tackled. the second thing is that revenues must come into various government following the pandemic because everyone has spent a huge amount of money to keep their economies going and any extra cash that can come from taxing those companies probably will be very welcome. , ., , . ., welcome. yes, it has concentrated minds for sure. _ welcome. yes, it has concentrated minds for sure. what _ welcome. yes, it has concentrated minds for sure. what pushback - welcome. yes, it has concentrated | minds for sure. what pushback will we see from these big tech companies 7 we see from these big tech companies ? we have seen some statements from amazon and google as if they are more than happy to pay more tax than we have seen. more than happy to pay more tax than we have seen-— we have seen. they have argued they create a lot — we have seen. they have argued they create a lot of— we have seen. they have argued they create a lot of jobs _ we have seen. they have argued they create a lot of jobs in _ we have seen. they have argued they create a lot of jobs in the _ we have seen. they have argued they create a lot of jobs in the places - create a lot ofjobs in the places they operate and they say they are contributing to the economy and they innovate, lots of investment coming out of them every year and of course they have contributed to productivity increases across the world economy. they will argue they are an essential part of what is

happening right now and must continue operating. i think what they will have in mind, though, is this particular agreement, assuming it actually gets through and implemented, will at least take away some of the pressures that have been made to implement and impose, which has already happened, digital taxes, which are basically sales taxes that countries can impose and have done that increasingly, the uk and france have done it. that had not been happening in the us at all, and if anything, maybe they don't want it to be like this, but it is like those tech companies lobbying the us government and the us government reacting in favour of the digital tax front by announcing a little while ago by saying they are imposing tariffs on eu and other countries' exports to the us, retaliating for that digital tax stop they have been imposed by this country, so that has now been put

aside for the time being, there is a temporary hold to that, but what they are hoping is that in the process of all the negotiations taking place, those countries that are imposing digital sales taxes, might withdraw them. i think there is an element of their off, can we benefit from this ourselves? we could get that produced while we are lobbying for that minimum tax rate to be slightly different from what has been discussed so far talks continue. �* , , ., ., ., continue. briefly if you would, how will they persuade _ continue. briefly if you would, how will they persuade other _ continue. briefly if you would, how will they persuade other countries | will they persuade other countries to sign up if they are going to lose out? because they will have to hike their corporation tax. it out? because they will have to hike their corporation tax.— their corporation tax. it might be in their interest _ their corporation tax. it might be in their interest if _ their corporation tax. it might be in their interest if they _ their corporation tax. it might be in their interest if they are - their corporation tax. it might be in their interest if they are likely| in their interest if they are likely to keep those profits in those countries where the sales happen. possibly up to 80 billion may be paid annually by those fans if done properly and some of that will be

going to those countries which are all using those tech giants, all of them, the tech giants, have benefited hugely during the time of the pandemic and will probably continue to do so, so quite a lot of profit can be extracted and stay in the countries they occur. there is probably a betting that they want that to happen and they will be more willing to look at this favourably, but there will be resistance, without any doubt.— but there will be resistance, without any doubt. thank you very much. the head of nhs providers, which represents health services, has said covid vaccines appear to "have broken the chain" between catching the virus and becoming seriously ill, or dying. despite this, chris hopson says any decision on easing restrictions in england on 21stjune is "finely balanced". our health correspondent naomi grimley reports. it is the big question of the summer. can hospitals still cope with the numbers of people

who will fall seriously ill from covid—i9 before the full effects of mass vaccination are felt? the encouraging news is that hospital admissions are well below the levels we saw in winter. and today one of those representing health trusts appeared to strike an optimistic note. what we think we can start to say now, based on that experience from those who have been at the front of this wave, is it looks as though the vaccines have broken the chain between catching covid—i9 and potentially being very seriously ill and potentially dying. but more surge testing is to begin on monday in parts of reading and wokingham because of the more transmissible delta variant first discovered in india. cases have been nudging up quite noticeably again as we mix more. yesterday over 6,000 were recorded. and some experts fear that could still translate into a problem until full vaccination is reached.

it is particularly this increase in transmission that could cause us considerable problems. we are getting estimates of 40 to 60% more transmissible than the b117, the kent variant, that was dominant and that means infections can come at us quite fast. in the end, it is a political decision whether to go ahead with the final stage of loosening in england. opinions in the scientific community are split. perhaps the only thing everyone agrees on is that more data is needed. naomi grimley, bbc news. coronavirus restrictions have eased for millions of people across scotland from this morning. glasgow has moved down to level two, which means socialising in each other�*s homes is allowed in limited numbers, and pubs can serve alcohol. but a planned relaxation across some other parts of the country has been delayed. connor gillies reports. preparing for pints inside the pub here in glasgow.

margaret's place has not opened at all since october. it has been absolutely horrendous. horrendous for everybody. hopefully all the regulars will be back because we miss them. we miss them. so that will be great, it will be absolutely brilliant to see everybody. here in scotland's biggest city, almost 600,000 people have been living under the strictest of restrictions for the longest period of time across the whole of the uk. families have not been able to mix inside their homes for nine months. but this move from level three to level two makes that possible once again. a major milestone. i am looking forward to going to my nephew's communion and spending time with my family and getting a drink and things like that. it will be great to see everybody again in the sunshine. it has been a nightmare, absolute nightmare. it has been the worst in glasgow. i am looking forward to things opening up again and may be getting back to a wee bit of reality.

it is level one here on the farm in aberdeen. this business is a magnet forfamilies, now allowed to reopen the soft play inside. it has been 14 months since we have been able to open the soft play. we are not as weather—dependent, we can increase our capacity a little bit and things like that. it is a big boost for us. orkney has mostly been shielded from covid. it, like other scottish islands, is dropping to level zero. continued caution, though, still required. it is the direction of travel that is really important. at the same time, we have got to be very conscious that we have more and more people coming here, and we are really asking them to take a lateral flow test, and even our own community going away and coming back again, just taking those tests to give us an extra degree of safety. safety amid a difficult, fragile position, but as a new day begins, so does a new dawn on regaining many of our old freedoms. connor gillies, bbc news.

the home office says it's urgently investigating a report that a border force vessel in the channel entered french waters to pick up migrants heading towards the uk in a small boat. the daily mail says it has a recording of a radio conversation in which an officer on the border force vessel asks a french patrol ship for permission to get the group. indian officials have announced that lockdown restrictions will start easing in delhi, weeks after a devastating second wave of the virus. markets and shopping centres will be able to partially reopen from monday, and offices can also reopen at half capacity. the city reported about 400 new infections today, down from about 25,000 daily cases when the lockdown was announced seven weeks ago. the headlines on bbc news... chancellor, rishi sunak has said g7 finance ministers from the world's leading economies have reached a historic deal to reform the global

tax system during talks in london. testing is ramped up as the uk sees the highest number of new covid infections in two months. for the first time in nine months, people in glasgow will be able to socialise in each others' homes and drink alcohol in pubs and restaurants as parts of scotland move to lower restriction levels from today. mexico is reeling from a surge of political violence. on the eve of the country's largest midterm election in history, at least 89 politicians have been killed — 35 of them were running for political office. the election will determine who controls the lower house of congress, 15 governorships, and hundreds of city halls. the violence is blamed on criminal gangs trying to gain political influence and candidates who want to intimidate their opponents. anne laurent reports, and a warning, viewers may find some of the images in this report upsetting.

this was a mayoral candidate for a city in northern mexico. crime was a key issue of his campaign. a day after filming this message, he was shot to death while handing out flyers in the street. this women was calling for supporters to join her at a political rally in central mexico. but a few minutes later, she was shot dead. microphone in hand. she left children and even grandchildren behind. these are just a few examples of the shocking levels of violence seen across the country. as mexico is heading towards its biggest mid—term elections in history, criminal gangs trying to gain political influence are often blamed for these attacks.

running for office in mexico is a risky business. dozens of candidates have already been killed ahead of these elections and hundreds more are being threatened for staying in the race. a security camera caught the moment when this home was set on fire. luckily, the man who lives there is not home that night. he is running as an independent to be a mayor in central mexico. since he started leading the polls, he has been subject to all sorts of threats. political violence has been going on for decades in mexico, but this year, the mexican government is finally

admitting the problem and offering protection to those under threat. suspicious of the government's plan, julio has declined the offer. i ask him if he is scared. after a moment of reflection, he breaks down. his fear is shared by so many candidates across the country,

but most of them will not give up. ready to risk their lives to bring real change. anne laurent, bbc news, mexico. visitors may be returning to some of the uk's most popular tourist destinations, but employers are reporting problems recruiting staff. in cumbria, tourism bosses are warning the situation is reaching crisis point, and say the sector has been badly hit by new post—brexit immigration rules. yunus mulla reports. the lake district is looking busy. the visitors have returned in large numbers, but fewer people are choosing to work here. emma's deli in grasmere is facing an all too familiar problem. its owner has another cafe in keswick, that is down to opening just five days a week. here the chef retires soon. that position has not been filled. when we reopened lastjuly, we didn't seem to have a shortage of people coming forward forjobs

and something seems to have shifted. but it might mean we have to reduce what we can offer in terms of either the days we are open or the days when we can offer food, because we just cannot keep up with the demand. the scale of the staff recruitment crisis facing the county's tourism and hospitality sector is said to have doubled within the last month. cumbria tourism's latest survey has highlighted the challenges facing businesses here in the lake district, with 68% saying there is a significant problem recruiting staff. business responses also reveal 73% cite out like applicants and 44% say ——a lack of applicants and 44% say there is a skills shortage. lack of affordable housing and public transport difficulties is not new, but many businesses were not expecting the current staff shortages. i have had clients in tears, you know, i have had them ringing up saying, please help.

in fact, i had a head chef say to me the other day that the hours he is having to work because he is six or seven people down in the kitchen, he said he is going to end up in an early grave. when the lake district country hotel group reopened with the easing of restrictions, 10% of staff did not return. but brexit and the ending of the free movement of people is a bigger problem. our biggest problem in our area is pre—brexit we had 47% of our staff came from the eu. however, since the end of free movement, we are now finding it a lot harder to find people. unemployment in our area is just shy of i% and it is an ageing population in our area, so people are migrating away from our area rather than coming to it. businesses here are doing what they can to find a way out of this staffing crisis, but to grow and recover, there is also a call for government intervention. yunus mulla, bbc news, grasmere. coventry is staging its first major events to mark its year as the uk's city of culture. the pandemic meant that

celebrations had to be postponed until restrictions had started to ease. there are pop—up performances throughout the day, including 14 modern day lady godivas who will ride through the city. it has been a long wait, but now coventry is ready. from street theatre to music. pop—up performances are set for today's launch. ~ . ., ., performances are set for today's launch. ~ _, ., ., , performances are set for today's i launch-_ the launch. welcome to coventry. the ci will launch. welcome to coventry. the city will showcase _ launch. welcome to coventry. the city will showcase its _ launch. welcome to coventry. the city will showcase its cultural - city will showcase its cultural heritage from post—war brutalist architecture to the birth of iconic jaguars. # but when i switch on i rotate the dial... breathing new life into coventry�*s two—tone legacy is pauline black, from �*80s band the selecter. # oh, take me back,

back to the days... she says the city's year in the cultural spotlight will bring much—needed regeneration and investment. coventry is, if you like, the phoenix rising from the ashes, because of how much it was, you know, it was decimated here by the world war ii bombing. it is the youth that is going to take that forward. but to take it forward, you need to know about your history, so i'm part of that. hundreds of performers and production teams have been rehearsing for months now, putting finishing touches to moments like this that will move through the city. rather than come to coventry to see it, the message from organisers for now is to stay at home and watch from there. the halo that i have on right now is inspired by the bicycle wheel, it was a manufacturing boom of bicycles here. artist and model daniel lismore uses his body as a living work of art. his career has taken him around the world, but his roots are firmly planted in coventry. to my right is where i used to get bullied at a bus stop.

i rememberjust thinking, like, you know, what is there for me? and then coming back later on, and the city is booming, you know, there are so many amazing things. the legend of lady godiva, who rode naked on a horse to protest against taxes, plays a central role in the opening. this modern—day godiva is an nhs nurse, campaigning for better pay and ppe during the pandemic. for me, it's about empowerment and ensuring that everyday people like the community are empowered to be able to be involved. and giving people opportunities, you know? _ it has been a challenging feat, planning a cultural programme in a pandemic. concerns about crowds have kept announcements low—key in secret. so a city of surprises awaits. let's cross live to colleen harris in coventry.

you and i both know coventry pretty well and it is looking beautiful today. it well and it is looking beautiful toda . , . . well and it is looking beautiful toda . , ., ., , today. it is and i have been in the beautiful grounds _ today. it is and i have been in the beautiful grounds of _ today. it is and i have been in the beautiful grounds of coventry - beautiful grounds of coventry cathedral, and on my right behind me is the herbert gallery, whether turner prize will come later this year. this is the centre point for part of the uk city of culture opening and it is a nod to coventry�*s past when it was bombed in world war ii. out of that, it became a symbol of peace and reconciliation and these are the stories that will be told by street performances and artists moving through the city currently. they are moving because organisers have had a real challenge delivering a programme that is covid safe and they have been telling people to watch from home. we have been here all day following events, which opens with pauline black, the singer

from the ska band, and she has performed on average in a residential part of the city. there was an element of surprise therefore residents waking up early doors. thatjourney has been followed through different neighbourhoods in the city by runners and parkour performances and bmx performers representing the spirit and youthful energy, part of the story too as well as innovation. coventry�*s history with the car innovation and car manufacturing, select chat now with some of the young performers who have taken part and been involved in putting on such a spectacle. you are creative dancer, tell us about your part in this. i was an associate for coventry moves as well_ was an associate for coventry moves as well as _ was an associate for coventry moves as well as one of the creatives that helped _ as well as one of the creatives that helped develop one of the showcases in the _ helped develop one of the showcases

in the city~ _ helped develop one of the showcases in the city. as part of my movement associate _ in the city. as part of my movement associate job, in the city. as part of my movement associatejob, i in the city. as part of my movement associate job, i have choreographed to pieces. _ associate job, i have choreographed to pieces, want to do with extreme sports. _ to pieces, want to do with extreme sports, including scooters, bmxs and parkour, _ sports, including scooters, bmxs and parkour, and one is with a girl dancer— parkour, and one is with a girl dancer and _ parkour, and one is with a girl dancer and a bmx rider. and what have ou dancer and a bmx rider. and what have you tried _ dancer and a bmx rider. and what have you tried to _ dancer and a bmx rider. and what have you tried to say _ dancer and a bmx rider. and what have you tried to say about - dancer and a bmx rider. and what have you tried to say about the i dancer and a bmx rider. and what| have you tried to say about the city through movement and choreography? because i have used extreme sports, it is to _ because i have used extreme sports, it is to evoke — because i have used extreme sports, it is to evoke energy and youthfulness and also the legacy for the future _ youthfulness and also the legacy for the future and showcase that coventry— the future and showcase that coventry is full of energy still and still will— coventry is full of energy still and still will be for many years to come — still will be for many years to come. �* . , . still will be for many years to come. ~ .,, ., ., , still will be for many years to come. ~ ., ., , come. and as a coventry based artist, what _ come. and as a coventry based artist, what you _ come. and as a coventry based artist, what you hope _ come. and as a coventry based artist, what you hope legacy i come. and as a coventry based l artist, what you hope legacy will come. and as a coventry based - artist, what you hope legacy will be for coventry having this moment? to have communities involved and having lots of _ have communities involved and having lots of people be involved and this and leave — lots of people be involved and this and leave a legacy and have people

collaborate and ask different artists — collaborate and ask different artists grow with each other and as artists grow with each other and as a city— artists grow with each other and as a city and — artists grow with each other and as a city and develop showcases and different — a city and develop showcases and different art performances. thank ou. different art performances. thank you- ashley _ different art performances. thank you. ashley jordan, _ different art performances. thank you. ashley jordan, you _ different art performances. thank you. ashley jordan, you have - different art performances. thank| you. ashley jordan, you have been you. ashleyjordan, you have been part of all of this, what has been your role? haste part of all of this, what has been your role?— part of all of this, what has been our role? ~ ., , ., ~ ., your role? we have been working to hel some your role? we have been working to help some of _ your role? we have been working to help some of the _ your role? we have been working to help some of the structure, - help some of the structure, understand some of the past and how people _ understand some of the past and how pecule can _ understand some of the past and how people can get involved. we are both connecting _ people can get involved. we are both connecting people with artists and 'ust connecting people with artists and just building a real buzz around it and make — just building a real buzz around it and make sure the event is something that will— and make sure the event is something that will he _ and make sure the event is something that will be a long lasting legacy for the _ that will be a long lasting legacy for the city and both of us are creating — for the city and both of us are creating pop—up performances and they will— creating pop—up performances and they will be like today. so people are going — they will be like today. so people are going to the city to go shopping and people can't even watch it online — and people can't even watch it online or— and people can't even watch it online or via livestreamed. you guys are auoin online or via livestreamed. you guys are going to — online or via livestreamed. you guys are going to show — online or via livestreamed. you guys are going to show us _ online or via livestreamed. you guys are going to show us a _ online or via livestreamed. you guys are going to show us a little - online or via livestreamed. you guys are going to show us a little bit - online or via livestreamed. you guys are going to show us a little bit of. are going to show us a little bit of the movement that we can expect.