hello there. welcome back . just hello there. welcome back. just gone 2:00. i'm bethany elsey . gone 2:00. i'm bethany elsey. your top stories from the gb newsroom. the vatican has announced the death of pope benedict the 16th at the age of 95.pope benedict the 16th at the age of 95. pope benedict the head of the catholic church from 2005 until his resignation in 2013. he became the first pontiff to step down from the role in 600 years due to old health, old age and ill , pope years due to old health, old age and ill, pope francis will his funeral on the 5th of january at saint peter's square , while the

saint peter's square, while the associate editor at the catholic , simon caldwell, spoke to gb news about pope benedict's legacy . benedict wasn't going to legacy. benedict wasn't going to allow people to come in with all kinds of novelties, of revolutionary reforms and this kind of thing, he said , no, this kind of thing, he said, no, this is this is a sacred deposit this is this is a sacred deposit this is something which this is what this is what we hold to be true . and it wasn't that he was against homasi or or against women or anything like that he was he was upholding 2000 years of christian teaching . this is of christian teaching. this is what it means to be a christian for lionesses. he won the women's euro 2022 are among those recognise in the new year honours list , the first to be honours list, the first to be issued by king charles. captain leah williamson has been made an obe while lucy bronze beth mead and ellen white been given mbes gb news presenter and diamond has received an obe for her services to public health, charity and queen guitarist and animal welfare campaign .

charity and queen guitarist and animal welfare campaign. brian may has received a knighthood. it's a it's nice surprise to them to have this honour put upon me . i also think it's it upon me. i also think it's it comes with a responsibility to well, i guess to continue to behave a way which benefits the country and the rest of the population here and the world as well know. but i take this response to responsibility quite seriously anyway . the prime seriously anyway. the prime minister has admitted the last 12 months have been tough , 12 months have been tough, warned the uk's problems won't go away next year . in warned the uk's problems won't go away next year. in his new year message to uk, rishi sunak said the government will continue to tackle the nhs backlog and illegal immigrant. he also said king charles coronation will bring the country together . i'm not going country together. i'm not going to pretend that all our problems will go away in the new year , will go away in the new year, but 2023 will give us an opportunity . showcase the very opportunity. showcase the very best of britain on the world

stage in this historic of his majesty the king's coronation. we will come together with pride in everything that makes this country great. yes, 2023 will have its challenges for the government. i lead is putting your priorities first. the government has confirmed anyone travelling directly from china to england . the 5th of january to england. the 5th of january must show a negative covid test before their departure . there before their departure. there are no direct flights from china , scotland, wales or northern ireland, but the government says it will work devolved nations to ensure are implemented there. it's amid concerns about surging in china following an easing of restrictions. france spain and the us also have introduced similar rules versus russia . similar rules versus russia. defence ministry says . sorry, defence ministry says. sorry, sorry that. i believe if you're watching us on tv, you are

seeing someone studio pictures there, but i'm going to bring you just a second. you that in just a second. but first, russia's defence ministry , 82 of their soldiers who were captured , ukraine, have captured, ukraine, have been released in the latest prisoner exchange between two sides. ukraine is yet to comment on the claims. meanwhile the mayor of ukraine's capital, kyiv says ten explosions have been heard in the city after air raid sirens was sounded. every region of the country . now it is time for country. now it is time for those special media pictures . those special media pictures. celebrations have already begun . the world with new zealand and australia welcoming in 2023. first. in sydney, the new year was ushered in with fireworks over the iconic harbour bridge and opera house and wait for it. here they come. absolutely brilliant scenes there . you're brilliant scenes there. you're up to date on tv, online and ddb plus radio. this is gb news. bfing plus radio. this is gb news. bring you more updates in half an hour, but now it's time for an hour, but now it's time for an on the endeavour special with liam halligan . so this gb news

liam halligan. so this gb news economic special will be looking at 2022 and forward to 2023. these tough economic times. but there are plenty opportunities to the uk economy expanded by about three and a half% in 2022 and we're set to contract out in 2023. what does all this mean for you and your family .7 stay for you and your family? stay with us. this is liam halligan and you're on the money . yes, and you're on the money. yes, indeed. and you're on the money. yes, indeed . these are difficult indeed. these are difficult economic times. the newspapers , economic times. the newspapers, television and radio full of economic news strikes , interest economic news strikes, interest rates, but also investment, too, in uk economy. so what does it mean for us all? well, i'm delighted to join a fantastic panel delighted to join a fantastic panel. dr. gerard lyons, you are the chief economic strategy at

that. well, thanks so for joining us. what do you make of the fact that the uk is still set to be the fastest growing economy in the g7 in 2022? the uk economy rebound is strongly from the pandemic policy measures helped. but we've seen as the year has progressed is that the economy started to lose momentum and indeed we're now in a very difficult situation. so much so the best way to think about the next year is the good, bad and the uncertain. the is that inflation is set to decelerate, albeit from very high . the is the high. the bad is that the economy will be in recession and the uncertainty is that we don't know how much inflation is going to fall by the uncertainties. we don't know how high interest rates will have to go and the uncertainties don't . how uncertainties that we don't. how the property prices and the economy, property prices and indeed the financial markets will respond to that economic outlook. uncertainty is , indeed, outlook. uncertainty is, indeed, the watchword here . but you were the watchword here. but you were predicting, gerard , inflation is

predicting, gerard, inflation is 11.1% as of a recording this. the cpi , the consumer price the cpi, the consumer price indexis the cpi, the consumer price index is 11.1% higher in november 2022 compared to the same month. the before. you think that cpi that inflation number the cost of living will come down? yes, absolutely. let's put this in perspective to 18 months ago. net wealth . we 18 months ago. net wealth. we asked, which ppi will inflation be ? it pass through? will it be? it pass through? will it persist or will it be permanent? we thought the bank of england even then was completely wrong when it said going to when it said it was going to pass quickly. and that's pass through quickly. and that's right. led to inappropriate monetary policy over the last 18 months. we thought that net wealth inflation would persist and persisted . and it has persisted. unfortunately, even though it's very high inflationary very high now. inflationary pressures going to persist, but inflation double digits will to decelerate. but still are seeing inflation being above wages now. so people fearing the cost of living squeezed . so the good living squeezed. so the good news is that inflation now above 11, hardly good news in itself is that by the end of year, inflation will be down to maybe

five or 6. still way higher than the inflation target is 2, 2, which shows how fast it is that the bank of england 18 months ago and even at beginning of this year, 2022, was still behind the curve in saying what they needed to do to keep inflation under control victoria scholar. great to have you with us you head of investment us. you are head of investment at interactive investor. you're very a creature of the city very much a creature of the city and financial markets. you follow financial markets extremely closely . is there extremely closely. is there a consensus , would you say, across consensus, would you say, across the city that what gerard lyons says is right, that the bank of england has been behind the curve? on the other hand, we've seen interest rates go up from just quarter of 1% in january 2020 to all the way up to 3% in december 22 at the end of the yeah december 22 at the end of the year. so they have up sharply. but do you think the bank of england started to light? well, actually, the bank of england was ahead of the pack because it the first major global central bank to push higher in terms of

interest rates, post—pandemic lifted off in december last year and it was the first central bank to do so. and we've seen incremental rate rises over the course of this year. the fed, meanwhile, has been playing us central bank federal reserve in the united states. we've been saying more aggressive rate hikes months because hikes over recent months because it trying to play catch up it was trying to play catch up because it was lagging behind in of inflation picture . i of the inflation picture. i don't envy the bank of england . don't envy the bank of england. it has a very difficult task of trying to control inflation that's largely being imported from . it's been driven by from. it's been driven by factors like problems with the global supply post pandemic as well as geopolitical trends with the war in ukraine which has sent commodity prices sharply higher. and of course , rates higher. and of course, rates target borrowing . it looks at target borrowing. it looks at raising mortgage rates to try to curtail economic activity in the domestic economy , whereas what's domestic economy, whereas what's really driving inflation factors that bank of england doesn't have much control over at all. and of course, we had that squall off of the so—called mini

budget, when liz truss was prime minister, kwasi was chancellor suddenly . everybody in the suddenly. everybody in the british media had to try and understand what a gilt market is, recalls, you know, well , is, recalls, you know, well, it's the market for government debt. it's the market for government debt . those prices, those debt. those prices, those interest rates that the government has to pay to borrow money spiked up sharply. they've come down since there is still a little bit of turmoil on markets. how would you summarise what stocks and shares have done over the last year? victoria well, if we look at the footsie 100, it's the main index shares. exactly. it's more of a global outward looking index. so not really a reflection of the uk economy. what it does consist of is oil companies like bp and shell have benefited from the in ukraine in terms of pushing oil pfices ukraine in terms of pushing oil prices higher. we've seen bumper there. we've also seen a large portion of financial in the sector. now those tend to do better in a rising rate because they can earn more on their loans and then miners have fared pretty well as well . if we look

pretty well as well. if we look at the footsie to 50, however , at the footsie to 50, however, that has suffered a lot more. that's more uk focussed, isn't it. yeah, it's the medium sized companies. yes more closely correlated to uk economy and we've seen that fluctuate and a lot of volatility there in line with what we've seen with the turmoil both in terms of the economics and the politics. this yean economics and the politics. this year, like the mini budget and the fall for the gilt market. so the fall for the gilt market. so the 5100 largely has been pretty resilient, whereas the 5250 has struggled and the pound has also as well. let's talk to you, barnard. you are from the joseph rounds foundation, an incredibly distinguished organisation campaigning against awarding grants and so on. it's great to have you with us. this cost of living squeeze it's really hit hard hasn't across the uk. it absolutely has. it's almost that it's been designed to make things hardest for those right at the bottom. and i think worth remembering, we've actually come into it from a really weak position . so we enter the position. so we enter the pandemic had a couple of years where deep and destitution had

already up. you had covid where people on low incomes experienced both the heaviest health economic impacts. so there. we saw people run down savings . they built there. we saw people run down savings. they built up debt. when on low incomes. and then the of living crisis hit . and of the of living crisis hit. and of course it's been driven by food pfices course it's been driven by food prices and energy prices . it's prices and energy prices. it's the essentials which people at the essentials which people at the bottom disproportionately spend their money on. and i think effects we've seen have been probably unprecedented. i mean, we did work even back in the spring at that point around million households had had to go without essentials . that's as without essentials. that's as many people as in the north of england were going without food. that's more than one in five households. there's like 32 million households in the uk . i million households in the uk. i mean, it is a staggering number. what we also saw was as well as that day to day hardship, people were also building up . and this were also building up. and this is one of the things that is going to be an overhang, i think from seeing is from this. what we're seeing is millions people behind with

millions of people behind with bills. in arrears . they bills. they're in arrears. they may never able to pay the may never be able to pay the stuff seen people stuff. and we've seen people turning to high cost credit just to try and keep a roof over their head and the bills taking over payday loans, doorstep loans, all of those broke. absolutely. and actually, we're already seeing what you could think of as kind of a third wave of impacts, which is the mental health of all this the health effects of all this the effect on people's relationships . we're hearing from some of the .we're hearing from some of the charities which are often kind of canary in mines before official come through . so official stats come through. so domestic charities , domestic abuse charities, they're seeing a spike in demand and need for them. food banks advice. so this has been real perfect storm for people and there's been just an incredible level of fear and anxiety actually people have felt all year about how they are going to survive . gerry lyons is survive. gerry lyons is incredible . you think back to incredible. you think back to 2020 to how fast the policy mix has shifted . back in march,

has shifted. back in march, rishi sunak as chancellor crikey , he only increased benefits . , he only increased benefits. i'm sure helen remembers by 3.1% at a time when inflation already geafing at a time when inflation already gearing up and he said that would be fine . we've just had would be fine. we've just had a huge increase in benefits. we've had a big 10% inflation linked index index increase in the bafic index index increase in the basic state pension . the basic state pension. the government spending a huge amount money you've you're very much a recognised expert it comes to fiscal policy in the national accounts and so on. could fact that the government is spending borrowing so much backfire are leading to another crisis ? the gilts market, which crisis? the gilts market, which i was discussing there with victoria or when you look across the major economies is uk borrowing pretty much middle of the pack and likely to be okay. okay just before i answer your question specifically back in march, it was quite clear that the chancellor then should have raised benefits in line with inflation. i remember criticising that day of his spfing criticising that day of his spring . good news in spring budget. the good news in the latest statement, chancellor

hunt, at least was a 92 hunt, was that at least was a 92 ppi increase in the national minimum . but so they're trying minimum. but so they're trying to make for some of that. but there are still a lot more needs to be done. but coming back to your question, yeah, we probably have pessimistic what have become too pessimistic what fiscal policy can do . that is, fiscal policy can do. that is, i still think there is more room for manoeuvre. clearly in the wake of quasi quiet many wake of quasi quiet ends, many budgets which spooked the markets although wasn't helped them the markets being in the them by the markets being in the febrile the bank . febrile states and the bank. england not seem to done enough to keep inflation under control . had the reaction . but then we had the reaction where chancellor hunt felt that he be overly cautious . but he had be overly cautious. but when you look at the uk's debt to gdp ratio, it is high, which means it's vulnerable to being weaker or interest rates being higher. but we are still the second lowest debt to gdp ratio and the g7 highlighting the fact that this is a global problem, particularly western problem. now, the best way reduce debt to gdp down is actually grow the economy . the big challenge at

economy. the big challenge at the moment is that the approach being taken , almost being forced being taken, almost being forced upon the chancellor is to almost be in the whole and dig deeper when you're in a hole through is even more absolutely . the uk even more absolutely. the uk unfortunately is the only economy raising taxes is going into a global. got to put you on the spot briefly victoria the pound do you think will happen to the pound in 2023 not least against the dollar that's the rate there lots of people follow because if the pound gets weaker that of course means are imports become more expensive and that pushes up inflation of the pound get stronger inflation goes down and cost of living crisis eases . yeah that's a good point. we haven't mentioned the that the poundis haven't mentioned the that the pound is another contributor the inflation this year inflation problem this year because everything that we import a lot more import becomes a lot more expensive. think the outlook expensive. i think the outlook for the pound really depends on what the dollar what happens with the dollar because been because the dollar has been extremely this year it's been one of the only assets really see huge upside and now we're

starting to see a bit of a shift away from the greenback amid . away from the greenback amid. sort of the expectation that the federal reserve, the us central bankis federal reserve, the us central bank is going to ease off on its aggressive monetary tightening. so if we do start to see that the fed does become a little bit more cautious in terms of its interest increases, perhaps a 50 bafis interest increases, perhaps a 50 basis point move into semba and then and then some more moderate moves next year we could see some of that dollar strength down and as a result would likely see some of the riskier likely see some of the riskier like the pound move higher against it and. finally, for now from you, helen, have you been surprised at the extent to which this conservative government has, albeit towards the end of the year, pushed public money towards more vulnerable towards pensioners to try and mitigate this cost of living crisis? yes. i mean, i think they did they took the right decision. they did it very though. they should have done it earlier and it's

worth saying that the rise in benefits till next april benefits kick in till next april . so actually they've done . so actually what they've done is people throughout . so actually what they've done is entire people throughout . so actually what they've done is entire wintere throughout . so actually what they've done is entire winter without hout . so actually what they've done is entire winter without extra the entire winter without extra help . and that's coming in at help. and that's coming in at the point when actually things might be getting easier. helen barnard scholar gerard lines. for now with us. we've discussed the uk economy . off the break the uk economy. off the break we'll discussing the world we'll be discussing the world economy place in, the global economy place in, the global economy and what it means for you. stay with us . looking ahead you. stay with us. looking ahead to this afternoon and the uk is looking mostly cloudy with outbreaks of rain, but and brighter in the northwest . he brighter in the northwest. he has the details it be cold and rather cloudy across northern scotland this afternoon . there scotland this afternoon. there will be some sunny spells at times but also scattered wintry showers bringing snow to higher ground. the weather over northern ireland will be mostly with plenty of sunny spells developing as we head into the. winds will be falling light. it

will remain rather cloudy across north—west england . limited north—west england. limited sunny spells here . there will sunny spells here. there will also be some patchy rain or showers at times. t it will very cloudy across wales with cloud low enough to bring kill fog times. there will be outbreaks locally. heavy rain with driest conditions in the east. it will be overcast in the east midlands this afternoon with prolonged at times heavy rain for all areas. it will be rather windy . strong it will be rather windy. strong gusts. feeling mild for this time of year. east anglia will be cloudy throughout the afternoon with prolonged spells of locally heavy rain throughout. there will be some dfier throughout. there will be some drier and brighter spells . they drier and brighter spells. they will be limited. it'll be a windy afternoon across southern england, especially along the coast . it will be cloudy here coast. it will be cloudy here with spells of locally heavy rain edging eastwards . further rain edging eastwards. further spells of rain across southern areas while remaining in the north with wintry showers over northern scotland and that's the weather shaping up for the rest

of the day

and back to this on the money end of year special. before the break, we're talking about the uk. we're now going to talk about the global economy and how the uk into commerce across the world. dr. gerard lyons, great to have you with us. you are from net wealth, the us, the world's economy is set to expand by 0.5% in 2023, according the oecd. think tank china, the world's second biggest economy, is set to expand by 4.6. these are quite low growth numbers, aren't by us and particularly by china standards. absolutely important to appreciate that. impressive though, the economic outlook is difficult . it's outlook is difficult. it's difficult globally as well. should us feel any better. but is a highlight the real challenge ahead? the world

economy rebounded strongly post—pandemic. so 2021 it was very strong indeed . we started very strong indeed. we started to see over the last year the world economy momentum. now we effectively a global recession. that's partly because the post—pandemic rebound worn off andifs post—pandemic rebound worn off and it's because inflationary pressures have forced interest rates up. in fact, the real challenge is not only that the world economy is in recession is that the room for policy manoeuvre, is limited after the 2008 global financial crisis? the last real big challenge we had . policy was eased across the had. policy was eased across the globe. interest rates cut to very low levels. fiscal policy, which is government spending and taxation, was eased as . well. taxation, was eased as. well. now we have a situation where interest rates are having to rise outside across rise outside of china across globe. and we also have a situation where global public debt so government debt is at an all time high. so it's not just the private sector and individuals who facing the pain. the room for policy manoeuvre is very much a cost of lockdown crisis just right down base cost

of lockdown policies for the wrong reasons , the wrong time, wrong reasons, the wrong time, shall we say. but we where we are. so the challenge is this that if inflation doesn't ease as much as, say , and others hope as much as, say, and others hope it will, that it really constrains us. a big aspect of this inflation conundrum, victoria scholar is, of course, energy , oil and gas. we haven't energy, oil and gas. we haven't mentioned the war in ukraine. a major feature of the global economic landscape of course, a humanitarian catastrophe . but it humanitarian catastrophe. but it has worldwide economic since february 2022, all prices, they were off above $100 a barrel back in the summer. were off above $100 a barrel back in the summer . they've back in the summer. they've eased slightly into the autumn and winter, around 80, $85. now they remain , don't they, where they remain, don't they, where they remain, don't they, where the oil prices get to where the inflation outlook is going to 90, inflation outlook is going to go, as well as determining, of course, how much it costs to fill up of alcohol with and diesel on the forecourt. yeah, well, it's interesting because commodity as a whole are up by more than 20% this year, but

that's actually not thanks to oil because oil spiked in the first quarter on the back of putin's of ukraine course. but since then, actually, oil prices have been coming lower , lower. have been coming lower, lower. and we're roughly about where were at the start of the year . were at the start of the year. so those supply constraints that were bolstering price levels at the start of the year, the focus has now shifted to the demand side and concerns about the potential for a global recession . weakness in terms of coming from china have really pushed oil prices. nowhere now there's opec, which is the organisation of petroleum exporting countries, including russia, that constantly monitors the market and has the room to change production if it sees pfices change production if it sees prices too low, it can withdraw supply in order to try and boost suppues supply in order to try and boost supplies because obviously it wants to generate more revenue oil. so at its latest meeting we saw no change. but there is the potential it to constrain supply and there could be upside from there. but in terms of the

demand picture, we are seeing oil demand soften and why prices have been coming down, which may be good news for inflation. isn't incredible that russia, isn't it incredible that russia, not now not a member of? opec, is now working hand glove with opec, working hand in glove with opec, the and saudi is the russians and the saudi is working together very , much to working together very, much to the annoyance of the us you're right, victoria, in the latest meeting , opec+ kept supply meeting, opec+ kept their supply constraints where they were, but they've still taken 2 million barrels or so out of the market. about 2% of global supply. and that's really up the western countries . these highfalutin countries. these highfalutin conversations about , energy, of conversations about, energy, of course. helen brown, they impact all households in the uk not least low income households. the ones you focus on in your job at the joseph rowntree foundation, this has been the year 2022 when energy prices , energy prices energy prices, energy prices have hit the headlines. suddenly looking at their utility bill extremely closely . and this has extremely closely. and this has hit the poorest , right? it hit the poorest, right? it absolutely has . and obviously,

absolutely has. and obviously, we saw the government cap the price, but it was capped at a level that was about double the previous , which was already previous, which was already unaffordable . we'll see in the unaffordable. we'll see in the spring. it will go up now to an average of spring. it will go up now to an average 0 f £3,000 per household. average of £3,000 per household. now we've got protection for those at the bottom because we'll see that big boost in benefits. according to inflation . but what we're going to see new threats, i think, coming in from housing market, particularly . so we're going to particularly. so we're going to see thousands of people off fixed rate mortgages go to far higher mortgages . we think that higher mortgages. we think that that could lead to anywhere up to 400,000 more people being pulled into poverty because of the housing costs that homeowners , even though they're homeowners, even though they're homeowners, even though they're homeowners, they are still at a low enough income that having to pay a low enough income that having to pay a substantially higher mortgage will pull them in. we've also, of course, got rents have been up massively and they go have been up massively and they 9° up have been up massively and they go up as interest rates go up, they go to the landlords got mortgages, absolute they've already been they're already been spiking. they're going to carry on spiking and the bit of the benefit system.

the government hasn't increased is support for low income is the support for low income renters. so low housing allowance. exactly that is actually frozen in cash terms the way where it was in 2020. so it's already wildly out of date . that is going to be the thing thatis . that is going to be the thing that is going to really torpedo people's living , always people's living, always fascinate and vital to focus on how these discussions have about uk macro . the global economy uk macro. the global economy impacts on ordinary people, particularly at the sharp end. jared wanted to touch briefly with you on trade. you follow trade very closely. the uk's exports and import. how is our trade gone ? 2022 particularly trade gone? 2022 particularly with there's so much commentary that brexit means collapse in uk trade. the latest figures i saw from the owners showed that uk exports to the eu were the highest on record. that's right . there's been recently a lot of focus on uk problems being unked focus on uk problems being

linked to brexit, but the reality is western europe faces the same challenges and we blame the same challenges and we blame the issues facing the uk on brexit. then we're actually focusing on the problem. basically the uk faces a similar challenge elsewhere. but you're right. our trade performance with the eu is pretty much , as with the eu is pretty much, as one would expect, given performance of the eu economy . performance of the eu economy. ironically, it's our trade to the nonee eu world that has underperformed . there was a very underperformed. there was a very good report recently by dr. graham gudgeon and two others from cambridge looking at post—brexit trends on this . but post—brexit trends on this. but it comes back to one of the interesting points that you raised . victoria, after ukraine raised. victoria, after ukraine was saw a g3 was invaded, we almost saw a g3 world emerge , group one being world emerge, group one being america and its allies , group america and its allies, group two being china and its allies , two being china and its allies, and group three being the non—aligned world. he didn't want to be seen to be in america's back and didn't america's back pocket and didn't want to alienate china, one that the interesting trends we've seen year. india seen through year. india and brazil group , seen through year. india and brazil group, you seen through year. india and brazil group , you say brazil in that group, you say that the non—aligned world, some of the big emerging economies , of the big emerging economies, what we've seen in the last year

has been the uk trying to have relations with eu. they relations with the eu. they still a lot to be done there, but trying to repossess itself in will be big growth in what will be the big growth area, economy, not area, the world economy, not just this year but in the next decade so. the decade or so. that's the indo—pacific in the west to indo—pacific from in the west to america , the east and the real america, the east and the real challenges the uk needs to become more competitive . since become more competitive. since 2008, since that global financial crisis, britain has been like western europe actually , britain has become actually, britain has become a low growth , low productivity, low growth, low productivity, low growth, low productivity, low wage economy and it's not just people in benefits has been touched on at the end there. victoria, scotland we're not an investment show. we're not offering financial advice , but offering financial advice, but you what you do every day as you look at stocks and shares you look at stocks and shares you look at stocks and shares you look at different sectors in great. just briefly . during great. just briefly. during 2023, what do you think of the sectors to watch, particularly in the uk? well, i next year is all about positioning a downturn and looking out for stocks and sectors are going to do better

as the uk and the global economy cools. so the technology sector for example has had a very rough ride over the last 12 months because of the rising rate environment at the pace to continue all the silicon valley . yet the punch bowl of cheap money has been taken away and these stocks have really, really struggled off the back of this. we know that housing market is already to cool. that's coming through in the data . we're through in the data. we're seeing house prices come down. that's likely to weigh on some of the big housebuilders . so of the big housebuilders. so it's more about looking defensive plays or , stocks that defensive plays or, stocks that potentially can navigate inflation a lot better . so the inflation a lot better. so the price makers rather than the price makers rather than the price takers. so companies that are able to set their prices as raise prices without having a negative impact on demand . so negative impact on demand. so yeah, things like pharmaceuticals for example, might be quite good as a defensive play actually. also, luxury stocks can be quite good

because those at the very, very high end are relatively okay . high end are relatively okay. amid the broader pressures that a lot of people are under from the cost of living crisis, the trend isn't that a lot of the particularly wealthy did well lockdown . let's get the final lockdown. let's get the final word to you, helen barnard. what are your hopes for 2023 in terms of uk policy, in order to try and make the world or our of the world at least a better place so instead of saying we're in this low pay, low skill, low economy , one of the things we can do is actually increase security at the bottom of labour market, which is something that successive conservative governments have promising to do that something that can actually help to start up people's living standard as their security, but also productivity. the other thing is the housing, and i think one of the opportunities we're going to see quite a lot of quite lot landlords, i think, get out of market if the government helps local authorities and housing

associations buy up those properties retrofit them rent them out at affordable rates increase that stock social housing use the stock of social housing use the stock of social housing properly affordable housing properly affordable housing without having to wait to build more houses and we've seen how hard that is those things could make a massive difference. next year. helen barnard of the joseph rowntree , barnard of the joseph rowntree, great to have you with us. victoria scholar , interactive victoria scholar, interactive investor lines of investor and dr. gerard lines of net wealth has been a tough year . in 2022 it could be tough again in 2023, but the uk is a wealthy country unemployment remains low. there is investment going on and there are measures we can take to make lives better. thanks a lot for me on this gb news and the economic special. i'm liam halligan. and that was the .

money at the end of a tough i wanted to showcase some of the best of british charity st edmunds in norwich dedicated to the vocational training of youngsters . this just received youngsters. this just received a highly prestigious award from the centre for social . i'm the centre for social. i'm grateful to the csj and st ed's for their help in making film with all right, it's good to be here since . edmonds in norwich here since. edmonds in norwich is no ordinary college. this award winning charity provides vocational to some 250 teenagers from across east . some are from across east. some are regular school age, others are 16 plus students . st ann's, as 16 plus students. st ann's, as it's known, have been excluded from school with no qualifications . but they come qualifications. but they come here to succeed hard. but i think lorraine bliss is st ed ceo , the driving force of this ceo, the driving force of this charity , which teaches teenagers charity, which teaches teenagers hands on skills that can earn a

living over occupational therapy . so there's cars and motorcycles? yes yeah, that's right. over a million of our young people are not in education, employment or training for work. so called neets. that number have soared since covid lockdown . these since covid lockdown. these needs are an edge target audience says , lorraine. and audience says, lorraine. and demand for places is high. one of the most popular courses is motor motorbikes and cars , motor motorbikes and cars, leading to a recognised and guilds qualification . daniel did guilds qualification. daniel did badly at school, rarely turned up, but has a talent for fixing things and enjoys being at an edge. so it's just about this just thing. so when you give a pro over the piston go up and then they would like move the boat, right spin it. being here makes sense that daniel in a way that school did. why do you prefer this to school? because it's like more hands on. i don't get treated like a child . i get get treated like a child. i get through like an adult. get treated like a child. i get through like an adult . and why? through like an adult. and why?

why do you to learn to be a motorbike mechanic for future like that? it's like fixing bikes. i like fixing cars , bikes. i like fixing cars, whatever. and i'm told you're really good at this. yeah and how does that make you feel ? how does that make you feel? good, sam? stories similar. he found school boring and didn't get on with his teachers at st ed's. he's doing well. school was more of a chore . know was more of a chore. know something you had to do? you have to wake up in the morning and go this time was here. i enjoy coming here. i'll happily wake up in morning and get wake up in the morning and get here time. every i get here on time. every day i get about half. ashton also missed a lot school but tutors here lot of school but tutors here say he's star pupil well say he's a star pupil well capable of running his own business. hopefully move on to tennis and further learning . and tennis and further learning. and it doesn't scare you. fixing cars. it's all very complicated. you think. you can handle it. yeah i can give it a go after his mike was a mechanic. yeah i can give it a go after his mike was a mechanic . 25 his mike was a mechanic. 25 years until personal injury puts

him out of work , he says him out of work, he says vocational training these days is sorely lacking need more of it i is sorely lacking need more of iti need is sorely lacking need more of it i need more of about to help but me myself pen to paper i didn't enjoy hands on you know i love that along with mechanics and ed's building departments also very popular so when you're going to classes tends to flatten to early kenzie found school and got into trouble guided by practically minded he's finding his way. what does your parents think that you're making such a success of this be fair i know my parents are quite of me because they they've kind of me because they they've kind of seen me like i didn't go to school lot but they can see school a lot but they can see that actually wanting that i'm actually like wanting to now so quite to come here now so quite happy for i'm actually trying for me but i'm actually trying to get myself somewhere . are you to get myself somewhere. are you happy?i to get myself somewhere. are you happy? i am happier as a charity. same ed relies heavily on local providing the building and other essential teaching practical skills . when i first practical skills. when i first came here, they didn't have a

platform department. it's all we've managed sort of work through with some some trade companies gypsum and that companies and gypsum and that kind and they're the kind of thing. and they're the ones provided with ones that provided us with all timber, plasterboard, timber, all the plasterboard, all class, all the hard all the class, all the hard walls. like guys actually get the opportunity, do some plastering. don't plastering. so again, we don't teach basics. we teach them just the basics. we actually something. actually saw teach something. they the they can go way into into the world a future with it. world and have a future with it. right. searching well. right. so searching as well. alan experienced painter and alan an experienced painter and decorator teaches he decorator, now teaches what he knows to others. he also that local firms keen to recruit skilled youngsters often help to equips and adds. i was present when i got here with some very paint brushes so we put some feet as out to local companies. quite a big brand of paint actually . and we got back an actually. and we got back an amazing of to boxes full of paint brushes and rollers and roll trays and then with that with the right products in their hands, they can do a better finish. and of better quality work and. and that's what we got as . well, as a lack of painters as. well, as a lack of painters and decorators, the uk needs many construction workers to a

huge shortage of bricklayers again, well, all construction bricklaying is often the most oversubscribed course . at some oversubscribed course. at some edge students . if they learn edge students. if they learn this trade and get their city and guilds, they make a steady living. nathan is determined to become a skilled bricklayer. he's progressing well and while he knows construction can be tough, he's looking forward to making his way into the hard work of any firm. so why didn't you work hard at school? it just wasn't the right environment for me sit down at a desk every me to sit down at a desk every day and just put on this paper. but whereas here is on like i'm yeah. more physical and active doing stuff. aidan's mum and dad both died very young . he now both died very young. he now lives with foster parents having refused calling. his prospects weren't good but son edge changed that aiden says he owes this charity so much. where would you be aiden, if hadn't have come to some edits if you

hadnt have come to some edits if you hadn't found this place and the people here are teaching you i can actually tell you the useful useless really i don't know where would be , but yeah, this where would be, but yeah, this is got me in a good place. change your life. yeah, yeah tough . not an exaggeration. it's tough. not an exaggeration. it's just the life , though. it just the life, though. it definitely has. yeah i don't know where i would be without some. as early aidan's and dedication have paid off , some. as early aidan's and dedication have paid off, he's been recognised as a prize winner among national bricklaying . he's totally bricklaying. he's totally person, he's a lot more go in a learn and to communicate with other people a lot better as before used to just shut down. and he wouldn't talk to anyone then like go they want to do a lesson at two teachers chase and stay in die he would he would doing what he's doing now it won't fascinate everyone involved in the street somewhere not here doing what he loves doing. i say to them right.

not here doing what he loves doing. i say to them right . yes, doing. i say to them right. yes, definitely . the skills taught us definitely. the skills taught us and adds a valuable and come on decent . the national shortage of decent. the national shortage of plasterers, bricklayers and carpenters means students. now if they turn up, listen and learn . they can earn good money. learn. they can earn good money. i've always enjoyed work. i like work with my hands. i like craftmanship. i like seeing in results . i craftmanship. i like seeing in results. i like making craftmanship. i like seeing in results . i like making stuff . results. i like making stuff. but yeah, do they even make a living out of carpentry. yeah a good look . yeah, yeah. good good look. yeah, yeah. good living. yeah it's good salary embarking on a course and it's provides often troubled students with some purpose building esteem but . the end with some purpose building esteem but. the end goal is to help these find steady . that's help these find steady. that's why ets employs a dedicated officer to help these youngsters find their place in the world of work , the employment marketplace work, the employment marketplace difficult for anyone actually , difficult for anyone actually, whether you've got lots of qualifications or you haven't.

so it tough but which is why we're trying to train people on standard qualifications actually will mean they are en from their training here employment. it's possible and it happens and we have a huge success rate as far as getting people into employment is concerned what would happen here in norwich if we didn't have an ets there are 130 posts exchanged you wouldn't see 100 school students here . see 100 school students here. what would they do? where would they go ? you know, they would be they go? you know, they would be a drain on societyt they go? you know, they would be a drain on society t they would be a drain on. the benefits system on the health service. it's absolutely essential that sinensis here working with these young people to remember when this is all being through. yeah, yeah. this is all being through. yeah, yeah . charlie standout and yeah. charlie is a standout and ed success story . he left school ed success story. he left school with no qualifications but is now a high earning building surveyor excelling in a complex specialised role st ed's and lorraine's influence have been key to his success. charlie. but like many who come here, his

journey easy. this was the stepping sign. this is this was the first point. and now i'm in charge of multi—million—pound projects . i've worked in norwich projects. i've worked in norwich , i've worked in london in the west and essex and i love my career as st ed's. charlie found role models and mentors, people he could relate to in a way he couldn't relate to teachers at, school. i remember some staff back there was a guy called martin. he was he was a carpentry teacher and he was brilliant he showed me the ropes. he sort of took me under wing. i was a young 16 year old guy, so i knew the world but in reality, nothing. and he just showed me the way. and in the, you know, went out of his way a bit. then he showed me stuff like money on the side form and from a 16 year old guy, if you can make money making money, it's from rough it's brilliant. away from rough and tumble of mechanics and construction and some edge trains hair and beauty students to teenagers who may have struggled with mainstream

education, gain valuable qualifications such as a level two hair and beauty diploma . two hair and beauty diploma. many at st ed say that being here, being part of a community, helps bolster their mental health to. the reality is that ed students often come from homes, some having lived through domestic violence . this charity domestic violence. this charity can help in the whatever their start life. we have students who lots of issues some of them are previous trauma that they don't or spoken about before. so when they come into a centre especially like said ed. then a couple of months young people are talking just with topics and subjects that affect them and they haven't spoken to anyone before. so that's new thing for them to disclose and some quite horrific things if i can be honest with you. yeah ed's canteen trainee chefs prepare lunch for students and staff alike. one day these youngsters could earn a living helping to

fill the gaps in the uk's huge hospitality sector. i catch up with tracey, mother and grandmother to several ed students past and present after her grandson lost both his parents tracey says and ed tutors helps him rebuild life. but they gave structure. they give him something to look forward to . they gave him all forward to. they gave him all the support he needed and still do . he's now maybe 23 and do. he's now maybe 23 and working in construction . should working in construction. should you make another visit? yeah yeah, it gets advocates of problems, just like , does you problems, just like, does you know me ? which he didn't know know me? which he didn't know none of. i thought . it was none of. i thought. it was a loan, so it gave him self—esteem. yeah yeah. and now he's quite confident. now . and he's quite confident. now. and he's quite confident. now. and he's a dad and a brilliant dad . he's a dad and a brilliant dad. yeah now, a volunteer trustee here . tracey says st ed's quite here. tracey says st ed's quite literally is a lifesaver. these

kids are tough , nowhere to go. kids are tough, nowhere to go. that will end up on the street. education about woman would your life be like tracey without some edge of it my grandson . as a edge of it my grandson. as a charity son at no core government funding while it gets some money for each that attends the college relies heavily on philanthropic donations and help from local firms. we don't actually receive any direct funding from central government. we've over just £2 million, funding from central government. we've overjust £2 million, just we've over just £2 million, just over we've over just £2 million, just ove r £1,000,000 this year. first over £1,000,000 this year. first time we've been audited . but time we've been audited. but having said that, our salary bill alone is £875,000. so it doesn't an awful lot , not a lot doesn't an awful lot, not a lot left to run the organisation. so you're heavily reliant on grants from grant making bodies are charitable trusts . absolutely charitable trusts. absolutely because we have been in business for a long long time . we have for a long long time. we have good reputation with a lot of

the large charitable trusts , but the large charitable trusts, but it is a because you know what i really want to do is see this organisation become stable. so it's available for young people forever in a day not to have to keep worrying about where the next money is going to come from. lorraine pays tribute to local building firms in particular for whom some ads a valuable service into helping them identify skilled workers. they later employ all the big construction companies . it construction companies. it speaks for itself . they're speaks for itself. they're supporting us. they're taking our young people on work experience , traineeships , experience, traineeships, employment, provided you with and oh yes, in some. right, yeah.i and oh yes, in some. right, yeah. i mean, when we talk about relying on charitable trust . relying on charitable trust. yes, we're actually very well blessed from the construction industry with huge donations and icannot industry with huge donations and i cannot thank them enough because obviously that helps .

because obviously that helps. bottom line as well, if we don't have to buy the materials st edmund society opened 60 years ago as a charity for homeless young people . it began to focus young people. it began to focus on vocational in 2012, something loraine says must be preserved . loraine says must be preserved. when you see the amount of the amount of art columns that we're getting with these young people , it's phenomenal. and also, beafing , it's phenomenal. and also, bearing in mind that some of kids have the most shall jim backgrounds, they live in and they've had more trauma their lives and some of have had in a lifetime the awards on the reception will point to the scale of charity success. lorraine's built a strong management team, but worries what will happen when she finally retires soon. and staff wants a network of vocational training charities across the country. why is it's a huge question and the answer they should be . so we need the

should be. so we need the funding to be able to do that. there should be an end in every city or town in the country because there are young people that need our help . you know, that need our help. you know, education's a big thing and people do slip between the cracks. and it's up to people like us who got the arts or the compassion just sort of go, hey , we can help you. we can put that all in your hands. we should give . the ability to make should give. the ability to make some money and have some worth and a lot and all kids need is just sort some sort of worth. i think more like this would be a godsend for the youth coming through who maybe haven't come from the most privileged backgrounds and therefore they need a little bit of stability and and. somebody like and guidance and. somebody like this is fantastic for the people who don't have much access , who don't have much access, since it's also has an outreach programme. students and staff presents for others fortunate. lorraine says it's all part of the st anne's training . teaching the st anne's training. teaching young people to be response able and make something of their

lives. you know we better for our young people . let's get them our young people. let's get them trained up qualifications so that they can look for better opportun tattoos, better lives and also to be part of a community. and it's actually it's quite sad indictment that there are so many young people that need services like this. and it's so there you have it. diana life of st edmunds in norwich a truly inspirational charity . my thanks once again to charity. my thanks once again to bless all staff and students at st ed's . the sense of a social st ed's. the sense of a social justice to them and to you . all justice to them and to you. all the best for 2023 . looking ahead the best for 2023. looking ahead to afternoon and the uk is looking cloudy with outbreaks of rain but drier and brighter in the northwest. he has the details it will be cold and rather cloudy across northern scotland. this afternoon. there will be some sunny spells at

times . also scattered wintry times. also scattered wintry showers , bringing snow to higher showers, bringing snow to higher ground . the weather over ground. the weather over northern ireland will be mostly dry with plenty of sunny spells developing as we head into the afternoon. winds will be falling light . it will afternoon. winds will be falling light. it will remain afternoon. winds will be falling light . it will remain rather light. it will remain rather cloudy . north west england with cloudy. north west england with sunny spells here . there will sunny spells here. there will also be some patchy rain or showers at times. t it will be very cloudy across wales with cloud low enough to bring hill fog at times. there will be outbreak of locally heavy rain with the driest conditions in the east. it will be overcast in east midlands this afternoon with prolonged at times heavy rain for all areas. it will be rather with strong gusts feeling mild for this time of year. east anglia will be cloudy throughout the afternoon with prolonged spells of locally heavy rain throughout . there will be some throughout. there will be some dfier throughout. there will be some drier and brighter spells, but they will be limited . it'll be they will be limited. it'll be a windy afternoon across southern england, especially along the

coast. it will be cloudy here with spells of locally heavy edging eastwards , further spells edging eastwards, further spells of rain across southern while remaining cold in the north. wintry showers over northern scotland . and that's how the scotland. and that's how the weather's shaping up the rest of the day

hello. good afternoon. and welcome to gb news. onto the onune welcome to gb news. onto the online and digital . welcome to gb news. onto the online and digital. i'm a queer eye.the online and digital. i'm a queer eye. the next 2 hours, me and my panel will be taking on some of the big topics, hitting headunes the big topics, hitting headlines right now. this show is all about opinion. it's been it's theirs. and of course, it's yours. we'll be debating discussing it times. we will. discussing it at times. we will. but no one will be cancelled . or but no one will be cancelled. or joining me today, it's a journalist and broadcaster, danny kelly. smile a little broadcaster , and author

broadcaster, and author christine hamilton and also tv personality lizzie cundy . before personality lizzie cundy. before we get started let's get your latest news headlines . nana, latest news headlines. nana, thank you. good afternoon. it's just gone 3:00. i'm bethany elsey the gb newsroom the vatican announced the death of p0pe vatican announced the death of pope benedict the 16th at the age of 95. pope benedict , the age of 95. pope benedict, the head of the catholic church from 2005 until his resignation in 2013. he became the pontiff to step down from the role in 600 years due to health to ill health and old age. pope francis lead his funeral on the 5th of january in penis square square while associate editor the catholic herald simon caldwell spoke to gb news about pope benedict's . benedict wasn't benedict's. benedict wasn't going to allow people to come in with all kinds of novelties or