the chief executive of wpp. ♪ >> welcome back, you are watching bloomberg television.e are live from boss -- dave us -- davos the world economic forum. >> i bet you are delighted to be here to talk about qe. >> why am i doing this? >> we should talk about your party last night. talk to us a little while you're here there is so much focus on whether it will change anything in europe, what is your feeling? things will get better or we are at risk of putting reform in jeopardy? >> i think we are living in a slow growth world that we don't want to see. maintainable growth is less in definition and we have in free labor. the level of growth was unsustainable and so we have to get used to this 3% or 4% -- well 3% or 4% real and were percent or 5% nominal. the growth market is 2.2%, led by america which is over 3%. i think we just have to get used to that. it is not great for us because it means our growth last year is what the budgets were this year. it is the same again this year and maybe a little bit better. things like qe and europe might make us feel a little bit better

the ones listed there, including wpp, the large advertising agency, also some insurance businesses that had left and returned. also, again, as paul mentioned, other groups have come to the uk such as aen, it is an example of a case where the headquarters have moved to the uk. i think there are reasons why we will be in competition to genuine headquarters of businesses. why would we not want to compete just like other countries do. just like the u.s. does. you get the top executives based on the territory on the sense the requirement in our treaties for affective management is quite a strong tie to the territory. they will tend to want around them advisors, key workers, other people centrally involved in the business. so there are good reasons why you would want a company to move residence into the uk. i think in other circumstances, where we have a company and some other countries tax rules well i think it's hard to say that it's the uk that's encouraging that. equally, i think it's hard to say that we have any incentive to do that. we have no incentive to encourage what are clearly not

many already speculating that wpp and other key companies could be interested in that.y are not selling the asia business. many hypothesized they could be up for grabs. not as much as they could have sold, but assets are being sold, notably revising their store building program. they are not expanding in the extent they were going to. also a big move, the pension scheme. they are going to be analyzing initial -- they are going to be analyzing. initial consultation is opening to close the pension scheme. one billion pounds in terms of expenditure is going down. the next key task, rebuilding trust. investors are starting to get there. back to you. >> thank you very much indeed. airline hide watching -- caroline hyde watching those new posters going up behind her in tesco. a senior analyst joins us now. let's get his reaction. what are your thoughts on what was announced over christmas. let's talk about how retail was delivered over that period. >> christmas was remarkably good. if you look at the headline number, like for like, it is 2% better than last year. inflation ha

many saying that perhaps wpp could be an investor in that business.rth 3 billion pounds. this is where they are looking at trying to strengthen their balance sheet. potentially closing down the pension scheme which is known to be generous across the board. their last key priority -- firstly competitiveness and secondly their balance sheet, thirdly regaining trust of the consumer. they are reducing their prices. in t hose stores. which helped them over christmas. now it's about getting investor trust back, too. they are not going to like the customer dividend. >> certainly not. thanks for that round of. one or two other lines coming from dave ellewis. they are going to consolidate their head office locations. reducing the footprint across the u.k. they are hiring advisers to explore the options on the company they set up -- dunny humby. nothing is definite. tesco bank is up 3% and doing quite nicely. nothing on the bank and nothing on asia so far. >> let's see what investors make of this. let's talk to the head and investments across bridge capital. go

as to businesses that have returned you know, the wpp, the large advertising agency also some insurance businesses that had left and returned, and also again, as paul mentioned, other groups have come to the uk such as ar and again, you know, aon is an example of a case where the headquarters have moved for uk. and i think, you know back to the point about whether there is headquarters in the uk you know seems clear there are very good reasons why we will be in competition, headquarters of businesses, why would we not want to compete for those just like other countries do just like the u.s. does. you get the top executives based in the territory, in the sense the requirement generally and now treaties for effective management is quite a strong tie to the territory. and they will tend to want to have round them advisers, key workers, other people centrally involved in the business. so you know there are very good reasons you would want a company to move residents into the uk. in other circumstances where we have a company that may be incorporated into the uk but it is effective managemen