December 5, 2025 • 16 mins
Your morning briefing, the business news you need in just 15 minutes.
On today's podcast:
(1) Chancellor Friedrich Merz’s ruling coalition with the Social Democrats faces a key vote in parliament on Friday that could precipitate its demise only seven months into its four-year term.
(2) President Vladimir Putin arrived in New Delhi for his first state visit to India since Russia’s full-scale invasion of Ukraine, showcasing warming ties that have angered the US and led to hefty trade tariffs.
(3) Jane Street’s record haul this year has been boosted by savvy bets on the artificial intelligence boom that are showing up as big gains in its trading results, according to people familiar with the matter.
(4) Booker Prize-winning author Salman Rushdie warned that the banning of books in parts of the US is contributing to “unexpected amounts of pressure” on free expression around the world.
(5) Jamie Oliver is bringing his Italian restaurants back to the UK six years after the chain collapsed into insolvency, returning at a time when the industry’s facing what he calls a “horror show” of higher costs and weak demand.
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Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:02):
Bloomberg Audio Studios, podcasts, radio news.
Speaker 2 (00:09):
This is the Big Big DAYBAC podcast. Good Morning, It's
find in the fifth of December. I'm Calaine hepkea in London.
Speaker 3 (00:15):
And I'm Stephen Caroline Brussels. Coming up today after only
eight months in office, Germany's ruling coalition faces a crucial
vote that could trigger its demise.
Speaker 2 (00:25):
Warner Brothers enters exclusive talks to sell Netflix its film
and TV studios, as well as HBO Max in what
could deliver up the ultimate box set deal.
Speaker 3 (00:35):
Plus back on the Menu. Celebrity chef Jamie Oliver revives
his Italian restaurant chain six years after its highly publicized collapse.
Speaker 4 (00:44):
Let's start with a roundup of our top stories.
Speaker 3 (00:46):
Germany's ruling coalition faces a key vote today that could
threaten the country's political stability. A group of around eighteen
lawmakers from the Chancellor of Friedrich Martz's own party has
rebelled against the government's pension bill, which is due to
go to a final ballot at lunchtime today. With more,
here's Bloomberg's Crispet.
Speaker 1 (01:06):
Although it's unclear how many of Mertz's own lawmakers will
reject the law, With a coalition majority of just twelve,
the German leader has a little margin for Erra. A
botched vote would highlight the Chancellor's lack of authority over
his own caucus and could inflict major damage on the
government's ability to pass legislation. It comes as the co
(01:27):
leader of his coalition partner, the SDP, hinted this week
that if the pension bill does not make it through,
it could spell the end of the coalition that could
potentially lead to a fresh national election at a time
when the far right Alternative for Germany Party is in
first place in some polls, buoyed by anxiety over the
(01:48):
stagnant economy. In London, Bloomberg Radio Chris.
Speaker 2 (01:52):
Pitt Now, Russia's Vladimir Putin has arrived in India for
his first state visit since the Kremlins scale invasion of Ukraine.
The president was welcomed at the airport by Indian Prime
Minister or Render mod showcasing warming ties that have angered
the United States. Putin's trip comes after US President Donald
(02:12):
Trump imposed tariffs of fifty percent on Indian goods to
punish New Deli for its close connections with Moscow. Discussions
between the leaders during the two day visit are expected
to focus on trade and economic relations.
Speaker 3 (02:29):
Warner Brothers Discovery has entered exclusive negotiations to sell its
film and TV studios and its HBOO Max streaming service
to Netflix. According to people familiar with the discussions, Netflix
is offering a five billion dollar breakup fee if regulators
don't approve the deal. A tie up between the world's
dominant paid streaming service and one of Hollywood's oldest and
(02:51):
most revered studios as the potential to bring seismic change
to the entertainment industry. Sources tell us that if talks
go well, a deal could be announced in the coming days.
Speaker 2 (03:01):
Jane streets record results this year have been boosted by
its savvy bets on the AI boom. The US quantitative
trading giant lifted its third quarter trading revenue by about
eight hundred and thirty million dollars, with the surge of
Anthropic reported to make up the vast majority of those gains.
(03:21):
With more here's Bloomberg's freddie Fulston.
Speaker 5 (03:25):
Jane Street's investments in Anthropic are beginning to pay off.
The AI firm's valuation has more than tripled since the
beginning of the year, increasing to one hundred and eighty
three billion dollars as of its latest funding round. Jane
Streets also benefited from investments in the cloud computing company
core Weave, in which it holds roughly seven percent of
(03:48):
outstanding shares. It's put the firm amongst the top Wall
Street performers in terms of trading revenue. Despite a recent
high profile dispute with India's regulator in London, freddie Fulston
Bloomberg Radio.
Speaker 3 (04:03):
The Booker Prize winning author Salmon Rushti has warrant that
the banning of books in parts of the United States
is contributing to unexpected amounts of pressure on free expression
around the world. Speaking on the latest episode of Bloomberg's
The Michelle Hussein Show, the novelist said it's more important
than ever to protect the views we disagree with. Commenting
on the book Banns, he says he could never have
(04:26):
imagined the present culture of censorship in the US.
Speaker 6 (04:29):
It's more important than just the fact that this or
that title that you happen to be fond of is banned.
It's a question of what would happen to a generation
of children if they grow up ignorant of the history
of the country. That's dangerous, dangerous, dangerous because it is
a very plural society, very diverse society. And if all
(04:50):
you hear is one version, which is the version of
the dominant race, then that's potentially very destabilizing.
Speaker 3 (04:58):
Sam and Rushti there who added that according to the
advocacy group pen America, that are currently around twenty three
thousand active book bands in the US. The Department of
Education in the country has dismissed criticism of book bands
as a false narrative, defending what it sees as quote
common sense procedures by which to evaluate and remove age
(05:19):
inappropriate material.
Speaker 2 (05:21):
Well, those are our top stories for you today. Looking
at the market, European stock futures pointing to a higher
open just about two tenths up at the moment after
stocks six hundred shares rose half of one percent of
the close on Thursday. US stock futures are also in
the green. It's been more mixed in Asia. The MSCI
Asia Pacific Index did drop as much as seven tenths
(05:42):
of one percent. It has made back that ground. We
get the FEDS preferred inflation gauge today, the personal consumption
Expenditures index. The dollar has been edging lower in Asia.
Ahead of that, Thursday saw a rise in US Treasury yelds.
The tenure yeard this morning is flat trating at four
point one percent. Sentiment though, does seem to still be
pretty fragile, even as we've seen global stocks rebound somewhat
(06:06):
in the past couple of weeks. But that's where we
are this Friday.
Speaker 3 (06:10):
Well, in a moment, we will bring you more on
the lumin crisis facing Germany's government, plus why the chef
Jamie Oliver is reopening his high street restaurants in the UK,
but a different kind of story that we've been reading
this morning. The debate has been raging for some time
now over whether or not the stock market is in
a bubble after the massive grains we've seen in recent months,
driven by AI of course, as well so our Market's
(06:32):
columnst Jonathan Leven along with Taylor Tyson, have been distilling
the arguments into the form of a text thread. It's
very easy to go through some of the key arguments
in this area, and there are arguments. We've heard many
of them on our own programming as well, covering questions
like our valuations dangerously high? Is it nineteen ninety nine
all over again? Our meme stock investors something to worry
(06:55):
about conversation is the way its range is great, and
it's I have said much where the moto my phone
if you were to look through it now. There's a
few economic thinkers referenced as well. Joseph Junpreters the creative
destruction being the essential fact of capitalism gets dusted in
there at one point as well. But it's look, it's
a really good both digestible thread of all of the
(07:16):
key points in this argument too, with the key sort
of charts and facts that you need to understand where
things are in a market that has been pretty exceptional.
Speaker 4 (07:24):
And listen, I had to chortal.
Speaker 2 (07:26):
I mean, it's got the charts that I have seen
regularly used and abused by finance folk and others on
LinkedIn and Reddit and socials and everywhere else. But yes,
it is a really good kind of summary of the
fundamental arguments of why some people are concerned about where
we are in stock markets, and others are very dismissive
(07:48):
and say, actually, know, it's a new era. I like
the fact that it ends with the classic be fearful
when others are greedy. Quote, yeah, but actually, of course,
you know, you look at the three years in terms
of the kind of billmarkt how long it lasts. A
lot of people the naysayers kind of often called the
(08:10):
end of a bull run something like three years too early. So,
you know, others argue that you should stay in.
Speaker 3 (08:16):
Long first to be like, oh no, that's it's over now. Anyway, Look,
it's all the fuel that you need to have an
argument about this over the festive dinner table this year.
If those are what the people in your family are
going to be talking about. You'll find the full story
on Bloomberg dot com. We'll put a link in our
podcast show notes as well.
Speaker 2 (08:32):
Okay, let's thinking out more on the big political story
in Germany. So the ruling coalition led by Friedrich Merty
is facing a significant rebellion over a pension bill that's
due to go to a final vote in the Bundestag today.
Our Germany Deputy Bureau Chief Jenny Tier is with us
and now for more. Good morning Jenny. First of all,
why is this pension bill proving to be so controversial?
Speaker 7 (08:56):
Good morning from Berlin. Yeah, this pension bill is really controversial.
Not from Mats's coalition partners, the Social Democrats, but from
his own party. So there is a young group of
Conservatives who are really unhappy about this. They feel like
this pension bill is not what it was agreed on
in the coalition contract. And yeah, they're really rallying for
(09:22):
Maths in his campaign this year, and they're really disappointed
about you know not and want to help him accountable
for his promises.
Speaker 4 (09:32):
And yeah, so this is why, you know, a.
Speaker 7 (09:36):
Lot of young conservatives said, Okay, now, now this is
something that's really important for us, but it's in rebeying
coming from his own party.
Speaker 3 (09:45):
How significant are the numbers involved though, Does this kind
of reach the bar that it could actually topple the coalition?
Speaker 7 (09:51):
Yeah, I mean the coalition is a majority of twelve
seats and there are eighteen of these young Conservatives, so
theoretically they could block this tension bill. But in a
kind of surprising term of events, the Left Party has
announced abstain from the votes. So that would mean that
(10:12):
it would be much easier for Man.
Speaker 4 (10:15):
To secure this the majority for this bill.
Speaker 7 (10:19):
But yeah, I mean, we still have to see it's
it's up in the air.
Speaker 2 (10:22):
To be honest, what happens if the bill doesn't pass,
Does that look likely what happens then?
Speaker 4 (10:30):
Yeah?
Speaker 7 (10:30):
I mean if the bill doesn't pass, of course, this
would mean like a major disruption, like a huge, massive
crisis for the German government. I mean, if you take
a look at the polls, the far right party Alternative
or Germany is had in some polls, and I mean
Males doesn't want new election coming up. So I mean
(10:51):
this was this would be a catastrophe for Germany, I think.
But now with the kind of like poison support from
the Left party, it seems more likely that this bill
is going to pass. But still, I mean, if Manz
doesn't get a majority on its own leg from its
own coalition, it's definitely going to weep him, weaken him anyway.
(11:14):
So and he knows that, and in a speech he
gave yesterday evening he asked his parliamentarians to actually support
him so they get a majority on their own.
Speaker 3 (11:25):
This certainly must be worrying for businesses though in Germany,
and for this was the perspective of the economy more broadly,
that the coalition that's only as we say, eight months
into its lifetime is already facing this massive test.
Speaker 4 (11:40):
Yeah, definitely.
Speaker 7 (11:41):
I mean in the beginning, it all looked pretty good
for the German economy because even before the government started,
Manz announced his special debt finance funds for military and
infrastructure with hundreds of billions of years, and it's just
acknowledged by the market, a lot of money coming into Germany.
Speaker 4 (12:05):
You could see it on the ducks.
Speaker 7 (12:07):
It was twenty percent up this year, but only two
percent since the government actually shout it in maybe and
now the pressure is definitely rising on Metsa's government, and
we are their business leaders actually say okay, we need
structural reforms. It's not enough. You promise a lot, now,
(12:29):
please deliver. And Germany is only supposed to grow. The
German commomy is only supposed to grow by one percent
this year, and I mean compared to other European economies,
that's definitely not enough. So there's a sort of impatient
in the business community.
Speaker 2 (12:46):
Okay, Jenny, very interesting, Thank you so much for your
update and explaining to us the perils then for freedich
Mers and his coalition. Our Germany Deputy Bureau chief Jenny
Tear speaking to us today.
Speaker 4 (12:59):
To stay Thus more from Bloomberg Day Bacube coming up
after this.
Speaker 3 (13:05):
In the UK, the chef Jamie Oliver is reviving his
chain of Italian restaurants, six years after it collapsed into insolvency.
It's an investment in the high street at a difficult
time though for the restaurant industry. I reported Teaba Adebaio
has more on the story for us, So TEAA Jamie's
Italian coming back? What's different this time around?
Speaker 4 (13:22):
Yeah, it's back.
Speaker 8 (13:23):
But for a long time, Stephen, it seems like Jamie's
Italian has been something of a relic of an era
gone by, you might say, went into administration in twenty nineteen,
and of course it was built on Jamie Oliver's brand
as a TV chef, which he started in the nineties.
Speaker 4 (13:39):
But that's all changed recently.
Speaker 8 (13:41):
And I don't know if you've ever had to kill
time before a flight in Gatwick Airport, but that was
for a long time home to the last standing Jamie's Italian.
But that's all changing now it's coming back, maybe with
a bang, i'd say, to London's Leicester Square.
Speaker 4 (13:57):
This time.
Speaker 8 (13:58):
It is a franchise deal with Brava Hospitality Group, so
that's the team behind the PRESO Italian chain, which you
might know as well. And Jamie Oliver says he's learned
some lessons from the previous failure. Basically, he thinks that
the last time his restaurant business went too big, too soon,
so they opened sides that were perhaps larger than they
needed and that left them quite vulnerable to the decline
(14:21):
of the high street and what he's calling the uberzation
of food. So this time he's trying to combat that.
He's trying to perhaps appeal to a different market here.
He's offering things like loyalty programs to attract customers that
are looking for affordability, particularly at this time where there
are economic headwinds that are making things difficult for a
(14:42):
lot of consumers.
Speaker 2 (14:44):
Yeah, I mean sometimes I see parallels, at least in
the location choices of Jamie Oliver's old restaurants with Guy
Fieri in the US. Anyway, I shall leave it there
in terms of the US references, but in terms of
what it means for restaurants in the UK, I mean,
high costs are very squeeze consumer wise. Homi Oliver then
tried to kind of re tread what is actually a
(15:04):
really difficult hospitality space now.
Speaker 8 (15:06):
Yeah, you could definitely question the timing of this project
is a time of renewed pressure really for the industry
as a whole. We talked about those high costs that
consumers are facing. It means that they're eating out less,
it's going further down the sort of list of priorities
for a lot of families. And that's been coupled with
the fact that after last week's budget, of course many
(15:29):
restaurants are going to face soaring business rates next year.
They're also still dealing with some of the after effects
of the previous budget, so things like the higher minimum
wage and higher national insurance contributions. But Jamie himself has said,
you know this landscape is it's a bit of a
horror show actually, particularly for the mid market dining sector,
(15:51):
and he said that no restaurant at the moment is
really pleased with any of the recent government decisions. So
remains to be seen if Jamie's Italian make resurgence will
keep an eye up.
Speaker 3 (16:02):
This is Bloomberg Daybreak Europe, your morning brief on the
stories making news from London to Wall Street and beyond.
Speaker 2 (16:08):
Look for us on your podcast feed every morning, on Apple,
Spotify and anywhere else you get your podcasts.
Speaker 3 (16:15):
You can also listen live each morning on London DAB Radio,
the Bloomberg Business app, and Bloomberg dot Com.
Speaker 2 (16:20):
Our flagship New York station, is also available on your
Amazon Alexa devices. Just say Alexa Play Bloomberg eleven thirty.
Speaker 4 (16:28):
I'm Caroline Hepka and.
Speaker 3 (16:29):
I'm Stephen Carroll. Join us again tomorrow morning for all
the news you need to start your day right here
on Bloomberg Daybreak Europe
Bloomberg Audio Studios, podcasts, radio news.
Speaker 2 (00:09):
This is the Big Big DAYBAC podcast. Good Morning, It's
find in the fifth of December. I'm Calaine hepkea in London.
Speaker 3 (00:15):
And I'm Stephen Caroline Brussels. Coming up today after only
eight months in office, Germany's ruling coalition faces a crucial
vote that could trigger its demise.
Speaker 2 (00:25):
Warner Brothers enters exclusive talks to sell Netflix its film
and TV studios, as well as HBO Max in what
could deliver up the ultimate box set deal.
Speaker 3 (00:35):
Plus back on the Menu. Celebrity chef Jamie Oliver revives
his Italian restaurant chain six years after its highly publicized collapse.
Speaker 4 (00:44):
Let's start with a roundup of our top stories.
Speaker 3 (00:46):
Germany's ruling coalition faces a key vote today that could
threaten the country's political stability. A group of around eighteen
lawmakers from the Chancellor of Friedrich Martz's own party has
rebelled against the government's pension bill, which is due to
go to a final ballot at lunchtime today. With more,
here's Bloomberg's Crispet.
Speaker 1 (01:06):
Although it's unclear how many of Mertz's own lawmakers will
reject the law, With a coalition majority of just twelve,
the German leader has a little margin for Erra. A
botched vote would highlight the Chancellor's lack of authority over
his own caucus and could inflict major damage on the
government's ability to pass legislation. It comes as the co
(01:27):
leader of his coalition partner, the SDP, hinted this week
that if the pension bill does not make it through,
it could spell the end of the coalition that could
potentially lead to a fresh national election at a time
when the far right Alternative for Germany Party is in
first place in some polls, buoyed by anxiety over the
(01:48):
stagnant economy. In London, Bloomberg Radio Chris.
Speaker 2 (01:52):
Pitt Now, Russia's Vladimir Putin has arrived in India for
his first state visit since the Kremlins scale invasion of Ukraine.
The president was welcomed at the airport by Indian Prime
Minister or Render mod showcasing warming ties that have angered
the United States. Putin's trip comes after US President Donald
(02:12):
Trump imposed tariffs of fifty percent on Indian goods to
punish New Deli for its close connections with Moscow. Discussions
between the leaders during the two day visit are expected
to focus on trade and economic relations.
Speaker 3 (02:29):
Warner Brothers Discovery has entered exclusive negotiations to sell its
film and TV studios and its HBOO Max streaming service
to Netflix. According to people familiar with the discussions, Netflix
is offering a five billion dollar breakup fee if regulators
don't approve the deal. A tie up between the world's
dominant paid streaming service and one of Hollywood's oldest and
(02:51):
most revered studios as the potential to bring seismic change
to the entertainment industry. Sources tell us that if talks
go well, a deal could be announced in the coming days.
Speaker 2 (03:01):
Jane streets record results this year have been boosted by
its savvy bets on the AI boom. The US quantitative
trading giant lifted its third quarter trading revenue by about
eight hundred and thirty million dollars, with the surge of
Anthropic reported to make up the vast majority of those gains.
(03:21):
With more here's Bloomberg's freddie Fulston.
Speaker 5 (03:25):
Jane Street's investments in Anthropic are beginning to pay off.
The AI firm's valuation has more than tripled since the
beginning of the year, increasing to one hundred and eighty
three billion dollars as of its latest funding round. Jane
Streets also benefited from investments in the cloud computing company
core Weave, in which it holds roughly seven percent of
(03:48):
outstanding shares. It's put the firm amongst the top Wall
Street performers in terms of trading revenue. Despite a recent
high profile dispute with India's regulator in London, freddie Fulston
Bloomberg Radio.
Speaker 3 (04:03):
The Booker Prize winning author Salmon Rushti has warrant that
the banning of books in parts of the United States
is contributing to unexpected amounts of pressure on free expression
around the world. Speaking on the latest episode of Bloomberg's
The Michelle Hussein Show, the novelist said it's more important
than ever to protect the views we disagree with. Commenting
on the book Banns, he says he could never have
(04:26):
imagined the present culture of censorship in the US.
Speaker 6 (04:29):
It's more important than just the fact that this or
that title that you happen to be fond of is banned.
It's a question of what would happen to a generation
of children if they grow up ignorant of the history
of the country. That's dangerous, dangerous, dangerous because it is
a very plural society, very diverse society. And if all
(04:50):
you hear is one version, which is the version of
the dominant race, then that's potentially very destabilizing.
Speaker 3 (04:58):
Sam and Rushti there who added that according to the
advocacy group pen America, that are currently around twenty three
thousand active book bands in the US. The Department of
Education in the country has dismissed criticism of book bands
as a false narrative, defending what it sees as quote
common sense procedures by which to evaluate and remove age
(05:19):
inappropriate material.
Speaker 2 (05:21):
Well, those are our top stories for you today. Looking
at the market, European stock futures pointing to a higher
open just about two tenths up at the moment after
stocks six hundred shares rose half of one percent of
the close on Thursday. US stock futures are also in
the green. It's been more mixed in Asia. The MSCI
Asia Pacific Index did drop as much as seven tenths
(05:42):
of one percent. It has made back that ground. We
get the FEDS preferred inflation gauge today, the personal consumption
Expenditures index. The dollar has been edging lower in Asia.
Ahead of that, Thursday saw a rise in US Treasury yelds.
The tenure yeard this morning is flat trating at four
point one percent. Sentiment though, does seem to still be
pretty fragile, even as we've seen global stocks rebound somewhat
(06:06):
in the past couple of weeks. But that's where we
are this Friday.
Speaker 3 (06:10):
Well, in a moment, we will bring you more on
the lumin crisis facing Germany's government, plus why the chef
Jamie Oliver is reopening his high street restaurants in the UK,
but a different kind of story that we've been reading
this morning. The debate has been raging for some time
now over whether or not the stock market is in
a bubble after the massive grains we've seen in recent months,
driven by AI of course, as well so our Market's
(06:32):
columnst Jonathan Leven along with Taylor Tyson, have been distilling
the arguments into the form of a text thread. It's
very easy to go through some of the key arguments
in this area, and there are arguments. We've heard many
of them on our own programming as well, covering questions
like our valuations dangerously high? Is it nineteen ninety nine
all over again? Our meme stock investors something to worry
(06:55):
about conversation is the way its range is great, and
it's I have said much where the moto my phone
if you were to look through it now. There's a
few economic thinkers referenced as well. Joseph Junpreters the creative
destruction being the essential fact of capitalism gets dusted in
there at one point as well. But it's look, it's
a really good both digestible thread of all of the
(07:16):
key points in this argument too, with the key sort
of charts and facts that you need to understand where
things are in a market that has been pretty exceptional.
Speaker 4 (07:24):
And listen, I had to chortal.
Speaker 2 (07:26):
I mean, it's got the charts that I have seen
regularly used and abused by finance folk and others on
LinkedIn and Reddit and socials and everywhere else. But yes,
it is a really good kind of summary of the
fundamental arguments of why some people are concerned about where
we are in stock markets, and others are very dismissive
(07:48):
and say, actually, know, it's a new era. I like
the fact that it ends with the classic be fearful
when others are greedy. Quote, yeah, but actually, of course,
you know, you look at the three years in terms
of the kind of billmarkt how long it lasts. A
lot of people the naysayers kind of often called the
(08:10):
end of a bull run something like three years too early. So,
you know, others argue that you should stay in.
Speaker 3 (08:16):
Long first to be like, oh no, that's it's over now. Anyway, Look,
it's all the fuel that you need to have an
argument about this over the festive dinner table this year.
If those are what the people in your family are
going to be talking about. You'll find the full story
on Bloomberg dot com. We'll put a link in our
podcast show notes as well.
Speaker 2 (08:32):
Okay, let's thinking out more on the big political story
in Germany. So the ruling coalition led by Friedrich Merty
is facing a significant rebellion over a pension bill that's
due to go to a final vote in the Bundestag today.
Our Germany Deputy Bureau Chief Jenny Tier is with us
and now for more. Good morning Jenny. First of all,
why is this pension bill proving to be so controversial?
Speaker 7 (08:56):
Good morning from Berlin. Yeah, this pension bill is really controversial.
Not from Mats's coalition partners, the Social Democrats, but from
his own party. So there is a young group of
Conservatives who are really unhappy about this. They feel like
this pension bill is not what it was agreed on
in the coalition contract. And yeah, they're really rallying for
(09:22):
Maths in his campaign this year, and they're really disappointed
about you know not and want to help him accountable
for his promises.
Speaker 4 (09:32):
And yeah, so this is why, you know, a.
Speaker 7 (09:36):
Lot of young conservatives said, Okay, now, now this is
something that's really important for us, but it's in rebeying
coming from his own party.
Speaker 3 (09:45):
How significant are the numbers involved though, Does this kind
of reach the bar that it could actually topple the coalition?
Speaker 7 (09:51):
Yeah, I mean the coalition is a majority of twelve
seats and there are eighteen of these young Conservatives, so
theoretically they could block this tension bill. But in a
kind of surprising term of events, the Left Party has
announced abstain from the votes. So that would mean that
(10:12):
it would be much easier for Man.
Speaker 4 (10:15):
To secure this the majority for this bill.
Speaker 7 (10:19):
But yeah, I mean, we still have to see it's
it's up in the air.
Speaker 2 (10:22):
To be honest, what happens if the bill doesn't pass,
Does that look likely what happens then?
Speaker 4 (10:30):
Yeah?
Speaker 7 (10:30):
I mean if the bill doesn't pass, of course, this
would mean like a major disruption, like a huge, massive
crisis for the German government. I mean, if you take
a look at the polls, the far right party Alternative
or Germany is had in some polls, and I mean
Males doesn't want new election coming up. So I mean
(10:51):
this was this would be a catastrophe for Germany, I think.
But now with the kind of like poison support from
the Left party, it seems more likely that this bill
is going to pass. But still, I mean, if Manz
doesn't get a majority on its own leg from its
own coalition, it's definitely going to weep him, weaken him anyway.
(11:14):
So and he knows that, and in a speech he
gave yesterday evening he asked his parliamentarians to actually support
him so they get a majority on their own.
Speaker 3 (11:25):
This certainly must be worrying for businesses though in Germany,
and for this was the perspective of the economy more broadly,
that the coalition that's only as we say, eight months
into its lifetime is already facing this massive test.
Speaker 4 (11:40):
Yeah, definitely.
Speaker 7 (11:41):
I mean in the beginning, it all looked pretty good
for the German economy because even before the government started,
Manz announced his special debt finance funds for military and
infrastructure with hundreds of billions of years, and it's just
acknowledged by the market, a lot of money coming into Germany.
Speaker 4 (12:05):
You could see it on the ducks.
Speaker 7 (12:07):
It was twenty percent up this year, but only two
percent since the government actually shout it in maybe and
now the pressure is definitely rising on Metsa's government, and
we are their business leaders actually say okay, we need
structural reforms. It's not enough. You promise a lot, now,
(12:29):
please deliver. And Germany is only supposed to grow. The
German commomy is only supposed to grow by one percent
this year, and I mean compared to other European economies,
that's definitely not enough. So there's a sort of impatient
in the business community.
Speaker 2 (12:46):
Okay, Jenny, very interesting, Thank you so much for your
update and explaining to us the perils then for freedich
Mers and his coalition. Our Germany Deputy Bureau chief Jenny
Tear speaking to us today.
Speaker 4 (12:59):
To stay Thus more from Bloomberg Day Bacube coming up
after this.
Speaker 3 (13:05):
In the UK, the chef Jamie Oliver is reviving his
chain of Italian restaurants, six years after it collapsed into insolvency.
It's an investment in the high street at a difficult
time though for the restaurant industry. I reported Teaba Adebaio
has more on the story for us, So TEAA Jamie's
Italian coming back? What's different this time around?
Speaker 4 (13:22):
Yeah, it's back.
Speaker 8 (13:23):
But for a long time, Stephen, it seems like Jamie's
Italian has been something of a relic of an era
gone by, you might say, went into administration in twenty nineteen,
and of course it was built on Jamie Oliver's brand
as a TV chef, which he started in the nineties.
Speaker 4 (13:39):
But that's all changed recently.
Speaker 8 (13:41):
And I don't know if you've ever had to kill
time before a flight in Gatwick Airport, but that was
for a long time home to the last standing Jamie's Italian.
But that's all changing now it's coming back, maybe with
a bang, i'd say, to London's Leicester Square.
Speaker 4 (13:57):
This time.
Speaker 8 (13:58):
It is a franchise deal with Brava Hospitality Group, so
that's the team behind the PRESO Italian chain, which you
might know as well. And Jamie Oliver says he's learned
some lessons from the previous failure. Basically, he thinks that
the last time his restaurant business went too big, too soon,
so they opened sides that were perhaps larger than they
needed and that left them quite vulnerable to the decline
(14:21):
of the high street and what he's calling the uberzation
of food. So this time he's trying to combat that.
He's trying to perhaps appeal to a different market here.
He's offering things like loyalty programs to attract customers that
are looking for affordability, particularly at this time where there
are economic headwinds that are making things difficult for a
(14:42):
lot of consumers.
Speaker 2 (14:44):
Yeah, I mean sometimes I see parallels, at least in
the location choices of Jamie Oliver's old restaurants with Guy
Fieri in the US. Anyway, I shall leave it there
in terms of the US references, but in terms of
what it means for restaurants in the UK, I mean,
high costs are very squeeze consumer wise. Homi Oliver then
tried to kind of re tread what is actually a
(15:04):
really difficult hospitality space now.
Speaker 8 (15:06):
Yeah, you could definitely question the timing of this project
is a time of renewed pressure really for the industry
as a whole. We talked about those high costs that
consumers are facing. It means that they're eating out less,
it's going further down the sort of list of priorities
for a lot of families. And that's been coupled with
the fact that after last week's budget, of course many
(15:29):
restaurants are going to face soaring business rates next year.
They're also still dealing with some of the after effects
of the previous budget, so things like the higher minimum
wage and higher national insurance contributions. But Jamie himself has said,
you know this landscape is it's a bit of a
horror show actually, particularly for the mid market dining sector,
(15:51):
and he said that no restaurant at the moment is
really pleased with any of the recent government decisions. So
remains to be seen if Jamie's Italian make resurgence will
keep an eye up.
Speaker 3 (16:02):
This is Bloomberg Daybreak Europe, your morning brief on the
stories making news from London to Wall Street and beyond.
Speaker 2 (16:08):
Look for us on your podcast feed every morning, on Apple,
Spotify and anywhere else you get your podcasts.
Speaker 3 (16:15):
You can also listen live each morning on London DAB Radio,
the Bloomberg Business app, and Bloomberg dot Com.
Speaker 2 (16:20):
Our flagship New York station, is also available on your
Amazon Alexa devices. Just say Alexa Play Bloomberg eleven thirty.
Speaker 4 (16:28):
I'm Caroline Hepka and.
Speaker 3 (16:29):
I'm Stephen Carroll. Join us again tomorrow morning for all
the news you need to start your day right here
on Bloomberg Daybreak Europe
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