this is bbc news with the latest business headlines for viewers in the uk and around the world. fuelling the cost—of—living crisis: the price to fill a car tops £100 here in the uk for the first time ever. can anything ease the pressure at the pumps? rebuilding confidence: prime minister borisjohnson pledges to boost the uk economy as investor concerns see the pound drift ever lower. no us recession on the way says treasury secretary janet yellen despite another month of inflation at a ao—year high. plus, back in business: japan reopens to foreign visitors after a two—year ban, but strict rules remain.

hello. we start with the soaring cost of living, because the price of filling up an average car here in the uk has hit more than £100 for the first time ever. fuel prices are adding to the intensifying pressure on household budgets, notjust here, but around the world, coming on top of rising energy bills and food prices. our business editor simonjack reports. butcher alistair paul makes deliveries from here in inverness all over the west coast of scotland, but he's considering doing fewer journeys in his three vans, or charging for delivery, as higher fuel costs put a squeeze on the business. we're finding it really difficult.

the vans are taking about £130 each to fill up for the week. it's up to over £300 a week, where it was, you know, down in the 200s beforehand. everyone�*s struggling. we're struggling at home. the staff are struggling. you know, we're all struggling. so, it's not only fuel, it's everything else that's going up. at least his business can claim back the vat on fuel, a tax break not available to regular motorists, spending on average over £100 on a tank of petrol for the first time. the price at the pump is about more than just the cost of fuel. in fact, of that £1.82 record per unleaded litre, only 9ap is the cost of the petrol itself. transporting it costs 2p. the retailer takes a margin of 3p, then the government adds 53p in fuel duty — recently cut from 58 — and then puts vat on the whole lot for another 30p. so 46%, nearly half, is tax,

and because prices have risen so quickly, the government is now getting more money than before it cut fuel duty, which is why people now are calling on it to do more. motoring organisations say nearly 20% are taking fewer journeys, and those on low incomes or with no choice but to drive are being hit the hardest. the situation is really severe. so, we need the chancellor to cut duty immediately by 10p a litre and introduce a fuel price stabiliser. when prices go up, duty should come down. if prices go down, duty can go up. that will help individuals and help the economy. you are more than welcome to go and sit _ you are more than welcome to go and sit in — you are more than welcome to go and sit in it — the chancellor today was admiring a brand—new electric lorry, but pointed to the recent 5p fuel duty cut and said he would get inflation back under control. i'm making sure that our borrowing and debt is handled responsibly so we don't make the situation

worse and increase people's mortgage rates, and we're doing things like increasing the supply of energy, moving people into work, to ease some of the supply—side pressures that we're seeing. but for now, at the petrol pump, the supermarket, in utility bills, there is no hiding from a cost—of—living crisis that is expected to get worse before it gets better. simon jack, bbc news. a foreboding warning there. steve irwin is director at portland analytics, which is a fuel market consultancy based in york in the north of england. if it is going to get worse before it gets better, the obvious question is how much was could it get? unfortunately, that is not really a question anybody can answer. there is no limit as to how high oil and fuel prices in general can go. it is entirely set by the market. the market sets the price and whatever anybody is prepared to pay, effectively when you are down to the last barrel of oil, how much does somebody need it? it

is a question you have to answer when you are wondering what the price will go to. given the global nature of this, it is not something unique to the uk. other countries are grappling with it as well. what have we seen in terms of different approaches different governments have to deal with the soaring cost of fuel? ~ ., , deal with the soaring cost of fuel? ~ . , . , fuel? we have seen much bigger reducers in _ fuel? we have seen much bigger reducers in the _ fuel? we have seen much bigger reducers in the duty _ fuel? we have seen much bigger reducers in the duty that - fuel? we have seen much bigger reducers in the duty that other i reducers in the duty that other countries are applying, and if we look at france, for example, they reduced their duty rate by 15 cents per litre, that is in euros and that equates to about 12p. germany has done a similar thing. they reduced their duty by 1a cents a litre, again, around 12 cents a litre. we had around 12 cents a litre. we had a 5p reduction, but because of increasing vat, we are still paying more tax on every litre of fuel that we buy at the moment. i think there is a little bit more scope for movement to reduced duty

further. w movement to reduced duty further. .. ., , further. the fact that fuel is at these _ further. the fact that fuel is at these elevated _ further. the fact that fuel is at these elevated levels - further. the fact that fuel is i at these elevated levels feeds through to so many other things, doesn't it? people watching this already feeling the pressure on their household budgets, is in the case, is it fair to say without scaremongering that actually fuel continues to rise, so will everything else?— everything else? yes, absolutely. _ everything else? yes, absolutely. fuel- everything else? yes, absolutely. fuel is - everything else? yes, i absolutely. fuel is used everything else? yes, - absolutely. fuel is used to transport goods we are buying in the shops. everything we need from food clothing, they all need get to the shops and delivered to your house and that requires fuel. it really is the key factor when we are looking at inflation is the price of energy and the price of fuel at the pumps. {leia price of energy and the price of fuel at the pumps. 0k, thank ou ve of fuel at the pumps. 0k, thank you very much- _ well, let's stay with the uk, because the pound has been under pressure for months as investor concerns grow

about the outlook for the economy here. it has lost more than 7% against the us dollar so far this year. on thursday, prime minister borisjohnson promised to take action to boost growth, tackle the cost of living crisis, and help more people to buy their own homes. 0ur political editor chris mason reports. in wigan, in greater manchester, this community grocery tries to act as a bridge between those who need to use a food bank and using a supermarket. customers pay much less here t —— than the prices they're seeing elsewhere. a £50, £60 a week definitely has gone up to sort of like £70, £80 sometimes and you don't notice it till you get to the till and you think, i've only brought the same as i've bought a few months ago but it's nearly, like, doubling in price. are you coping all right? yeah, yeah. we're doing 0k, yeah. we've learned to live on a budget.

there are now 17 groceries like this one around the country. more and more people who are coming to us are in full—time employment but are reallyjust needing to look at where they can cut back because of the increase in costs in fuel and energy bills. so our increase from january to now has been 44% in the number of people who are shopping with us on a daily basis. another will open in blackpool in a few weeks, where the prime minister promised today to do what we can for as long as it takes to help with spiralling prices and make it easierfor people in england to buy a home. while the overwhelming majority of people want the chance to buy their own home, for far too many the finance required simply isn't available. the challenge facing first—time buyers today is bigger than anything we've seen before. but this promise comes just days after borisjohnson survived a vote of confidence from his own mps. many people, prime minister, are desperately worried about the cost of living,

and yet they see in you a prime minister described by a former conservative leader no less as someone driving down the motorway with two flat tyres. why should people believe you when you say you can deliver when 40% of your mps don't think you can? if you want a proof point of what we're going to deliver, look at what we've already delivered. look at the way we got the country through the worst pandemic, i think, for 100 years. mrjohnson wants people in england to put benefits payments towards mortgages and extend a scheme to let tenants in housing association homes buy them. if ever you needed evidence that this divided government is completely out of ideas, it's this announcement today which is simply reheating an old idea. they piloted it, it didn't work. the prime minister is confronted by political and economic gales that appear to quicken by the week. yes, the cost—of—living crunch is farfrom unique to the uk, but the forecasts are particularly bleak here.

the prime minister says he wants to cut taxes, while in reality, the opposite has been happening and of course 148 of his own mps want him gone. the prime minister is trying to shape a better economic future and preserve his own. neither will be easy. chris mason, bbc news, in blackpool. fahad kamal is chief investment officer at kleinwort hambros. pledges that the prime minister is making to help ease the of living, you think that will help strengthen the pound or not? it help strengthen the pound or not? ,., ,, help strengthen the pound or not? ,, .,�* help strengthen the pound or not? , .,�* ., help strengthen the pound or not? , .,�* ._, not? it probably won't do a hue not? it probably won't do a huge amount _ not? it probably won't do a huge amount in _ not? it probably won't do a huge amount in the - not? it probably won't do a huge amount in the short l not? it probably won't do a i huge amount in the short run because we don't expect it to translate to a huge amount of economic growth over the next six months to a year, the uk is going to be one of the weakest major economies of the world really for the next 18 months.

it is not completely the fault of the prime minister either to be sure. a lot of this is just very unfortunate rising costs of commodities, and a weakening pound, which is really causing a lot of headwinds for the domestic economy. given the rice of domestic economy. given the price of fuel _ domestic economy. given the price of fuel and _ domestic economy. given the price of fuel and how - domestic economy. given the price of fuel and how much i domestic economy. given the i price of fuel and how much that feeds into the price of so much else, because if are paying more to move goods around, inevitably, the prices we pay inevitably, the prices we pay in the shops go up to account for that, so is that i'm doing what the bank of england is doing when it raises ingress rates to try to control inflation? it is like they are trying to put the fuel on the break while fuel prices are firmly on the gas in terms of rising prices? it firmly on the gas in terms of rising prices?— rising prices? it is a devilishly _ rising prices? it is a devilishly complex l rising prices? it is a - devilishly complex situation that we have here. you have touched on it. but on one end,

raising of the interest rates is not going to help things like fuel prices largely which are imported from abroad. directly, anyway. that is a reality and we have to take the prices available in the global market. it does on the other hand help with a very robust and strong housing market, which is also an enormous contributor to the inflation costs. i know it is popular that we talk about oil prices and we talk about the cost of food and all of that, but actually if you look at the inflation, by far larger than oil orfood is the inflation, by far larger than oil or food is the cost of rent, and that has been going up rent, and that has been going up largely because interest rates have been very, very low for a very long time, and that has led to a huge boom in the housing market. find has led to a huge boom in the housing market.— has led to a huge boom in the housing market. and when we had the dire warnings _ housing market. and when we had the dire warnings from _ housing market. and when we had the dire warnings from the - housing market. and when we had the dire warnings from the oecd i the dire warnings from the oecd about how britain's economy

will perform relative to other major world economies next year, what can be done to restore investor confidence in the uk and make people see the uk as a place to invest in a place to spend their money in a place to spend their money in a place where they can make money? place where they can make mone ? , ., ., . money? there is no magic bullet. as _ money? there is no magic bullet. as | _ money? there is no magic bullet. as i said, - money? there is no magic bullet. as i said, much - money? there is no magic bullet. as i said, much of| money? there is no magic- bullet. as i said, much of what is happening in much of the reason why we have a rather unpalatable forecast for growth is a result of global crisis and the price pressures we are facing as a result of a energy import economy. that is the reality. there are things that can be done. they, some of them the government is doing such as transport payments, windfall taxes etc, keeping a bit more money into the people of the average consumer. that will help. there is also other things that can be done and in the short run they will probably include things such as

relaxing restrictive environmental and energy practices for the short run until we have more renewable solutions. those things alone should definitely help ease the crisis we are facing right now. 0k, good to talk to you right now as always. let's move to the us now where treasury secretary janet yellen has been playing down fears of a recession. she told a new york times event that growth would slow down, but that us consumer spending is "very strong" and investment is "solid" despite soaring inflation. figures out in a few hours' time are expected to confirm consumer prices in the us are still rising at their fastest in a0 years. and that's likely to mean the federal reserve presses ahead with more steep interest rate rises. michelle fleury has more from new york. the consumer price index for

may which tracks the cost of a basket of goods is the last major piece of inflation data before the us central bank's policy meeting next week but it might not offer much comfort. petrol prices continue to climb in the united states, gas prices are now nearly $5 a gallon and supply chain disruptions related to russia's invasion of ukraine are all but guaranteed to keep headline inflation high. still, many hope the labour department port will show that inflation which is currently at a four decade high will continue to climb down from its recent peak of 8.5% in march. whatever this latest piece of the inflation puzzle shows, it could shape the us federal reserve's decisions later this year. with so much at stake, america's major financial so much at stake, america's majorfinancial markets so much at stake, america's major financial markets fell sharply ahead of the report. christine mcdaniel is senior research fellow at the mercatus center, a pro free—market think tank in washington, dc. it's interesting this, isn't

it? talking a little earlier about the high cost of fuel, if there are interest rate rises in the us, that strengthens the dollar and because oil is sold in dollars, it makes it more expensive for other countries to buy which is going to put further inflationary pressures on people all around the world. right. you've got so many different aspects to this, but in terms of what the white house is facing, it was interesting to see president biden�*s open letter in the wall streetjournal recently where he talks about their plan to fight inflation, and there wasn't one mention of the massive spending that is now, with 2020 hindsight, clearly you can't pump $5 trillion into a $20 trillion economy and expect not to get inflation, but no mention of that and

instead just talking about other things that, like childcare, elderly care, housing subsidies, clean energy tax credit, these are domestic policy issues, whether or not they do them now or later, they are not going to be fighting inflation effectively, so it was concerning too many economists that there plan just included these aspect, no mention of the key because and it is hard to effectively address a situation without being honest about one of the key causes. irate being honest about one of the key causes-— key causes. we heard that seech key causes. we heard that speech that _ key causes. we heard that speech that janet yellen i key causes. we heard that i speech that janet yellen the treasury secretary held on those comments she made. do you share her... i suppose optimism is the wrong word but her downplaying of fears of a recession.—

downplaying of fears of a recession. well, secretary janet yellen, _ recession. well, secretary janet yellen, she - recession. well, secretary janet yellen, she is - recession. well, secretary i janet yellen, she is secretary of the treasury, that is part of the treasury, that is part of the treasury, that is part of the administration so they are on one message and the fed is working very hard behind—the—scenes in trying to stay way clear in the politics here, but yes, treasury secretary has basically come out first and said that she misunderstood the signals and she didn't call it correctly, and we will see what other people do, butjanet and we will see what other people do, but janet yellen was really the first want to fall on her sword in this which was maybe for political reasons that happen. maybe for political reasons that happen-— maybe for political reasons that ha en. ., that happen. 0k, we will have to leave it _ that happen. 0k, we will have to leave it there _ that happen. 0k, we will have to leave it there but _ that happen. 0k, we will have to leave it there but thanks i to leave it there but thanks very much. stay with us on bbc news. still to come: japan reopens to foreign visitors after a two—year ban, but do the strict rules

make it worth the trip? the day the british liberated the falklands. and by tonight, british troops have begun the task of disarming the enemy. in the heart of the west german capital, this was gorbymania at its height. the crowd packed to see the man who, for them, has raised great hopes for an end to the division of europe. it happened as the queen moved towards horse guards parade i for the start of- trooping the colour. gunshots the queen looks worried, but recovers quickly. i as long as they'll pay to go see me, i'll get out there and kick �*em down the hills. what does it feel like to be the first man to go across the channel by your own power? it feels pretty neat.

it feels marvellous, really. this is bbc news. the latest headlines: the congressional committee investigating the attack on the us capitol has pointed the finger of blame at donald trump. previously unseen footage was shown — and there was testimony from those who tried to defend the building. to asia now, where there are signs china could be easing its crackdown on the country's wealthy tech tycoons. according to reports, beijing has given the green light for alibaba billionaire jack ma to list his finance tech firm ant group on the stock market. the company was set for a valuation of more than $300 billion in 2020 when the share sale was blocked, after mr ma made some critical comments about china's leadership.

suranjana tewari is following this for us in singapore. so what's changed ? mixed messages around what is actually happening. as you mentioned reuters and bloomberg saying that china's leadership has approved alibaba's public listing but in a statement, a company that owns alibaba, ant group actually said there are no plans to relaunch this ipo, so very confusing but what we do know is that alibaba shares dropped by 8% on wall street on news that the public listing will not go ahead. 0ne news that the public listing will not go ahead. one more thing we do know, as you mentioned, are that there are signs that beijing is easing its 1.5 year long crackdown on the tech sector and that could be because china's economy is slowing. there have been extensive lot rounds and beijing might be looking to loosen its grip on private businesses including tech

giants to keep going at an acceptable rate. there are reports that authorities are also close to ending the investigation into the right hailing giant didi which is another company non—writer at the moment and that will really offer hope to investors about that company's future, at least. —— company non grata. finally to japan, where from today, foreign visitors will be allowed in for the first time since the start of the pandemic. the government has adopted a phased approach, only allowing in 20,000 tourists per day, and only as part of organised package tours. strict mask wearing will be enforced by tour guides. tourism has traditionally been a big earnerforjapan, in 2019 before the pandemic it hosted some 32 million foreign visitors, who spent almost $36 billion. but not everyone is happy with the plan to reopen. wendy wu is founder of wendy wu tours, which is one

of the first tour companies to be allowed back into japan. and one of those who are imagine is delighted by this, but how much of a hit to your business has it been, the fact that japan has been closed business has it been, the fact thatjapan has been closed now for pretty much two years? it was devastating, notjust for pretty much two years? it was devastating, not just to was devastating, notjust to our business but to the entire travel industry and it is just so delightful and like you said, so pleasing thatjapan is finally open and i have been so happy and so pleased to be among the first ones to receive the approval that we can take out two is back to japan. it is so wonderful. to out two is back to japan. it is so wonderful.— out two is back to japan. it is so wonderful. to people looking to net so wonderful. to people looking to get away _ so wonderful. to people looking to get away and _ so wonderful. to people looking to get away and have _ so wonderful. to people looking to get away and have a - so wonderful. to people looking to get away and have a bit i so wonderful. to people looking to get away and have a bit of i to get away and have a bit of escapism, switch off for a bit, the pressures of life and try to forget about the past two years, perhaps, would they really want to go somewhere where there are strict rules on, you've got to have an itinerary, you've got to be not just wearing a mask but you've got to have someone checking

that you are wearing the mask, it feels like a lot of stress around the holiday when there are other places you could go that don't have those requirements.- that don't have those requirements. that don't have those reauirements. y ., , requirements. then, you see, we have so many customers - requirements. then, you see, we have so many customers right, i have so many customers right, theyjust have so many customers right, they just appreciate the culture, this nation and everything about japan because it is so unique. 0n the one hand it is very mystic and very much traditional and on the other hand it is very, very modern and open as well so it adds to the fascination. so many of our customers booked for example the 2020 cherry blossom and they cannot go, they moved to the autumn leaves and 2020 and then moved again to 2021 cherry blossom and they keep on moving, and so many which we call them, hard—core japan raving fans. theyjust can't wait to go. in the past many of the travellers wanted to visitjapan. for three

many of the travellers wanted to visit japan. for three years they can't go, so they can't wait to go. they can't go, so they can't wait to 90-— they can't go, so they can't wait to go. wendy, thank you very much — wait to go. wendy, thank you very much speaking - wait to go. wendy, thank you very much speaking to i wait to go. wendy, thank you very much speaking to us i wait to go. wendy, thank you i very much speaking to us about japan reopening its doors to foreign visitors. that's it for the moment, i will see you very soon. goodbye. hello there. we're going to see a mixture of sunshine and showers over the next few days. coupled with some stronger winds as well. the reason for all that is this large area of low pressure and it's actually an ex tropical storm and that is going to get steered to the north—west of scotland and bring the strongest winds into scotland in the next few days. now, during thursday, we have cloud pushing across the uk. didn't bring an awful lot of rain, mind you. and following on from that cloud, we saw clearer skies turning to move in from the west and those clearer skies are pushing into many parts of the country overnight. so, if you're heading out first thing in the morning, these are the temperatures, typically 12 to 15 degrees. not a good day for hay fever sufferers on friday because we've got very high grass pollen levels quite

widely across england and wales. we could start the day with some cloudy damp weather to clear away first thing from the south east of england. 0therwise, plenty of sunshine for england and wales, some patchy cloud, one or two showers in the west, but many places dry, the bulk of the showers coming in to scotland and northern ireland, they could be heavy, possibly thundery and the winds will be stronger here, as well. more sheltered eastern parts of scotland should see temperatures at 20 degrees and widely over 20 celsius across england and wales. promising start to the second test match at trent bridge, it looks dry on friday, dry to the weekend and into monday, as well. may turn a little bit cooler, still got those fairly brisk westerly winds. there is our area of low pressure as we head into the weekend, it's getting steered between iceland and scotland and is still going to bring some windy weather, perhaps a little more widely on saturday. strongest winds continue to be in scotland, gales in the far north of the country, showers or longer spells of rain here. also, some showers for northern ireland, maybe one or two more for england or wales, still many places will have a dry day and temperatures probably still reaching 22, maybe even 23 degrees

in the south east of england. during the second half of the weekend, that area of low pressure starts to pull away from our shores. higher pressure in the south, the winds won't be as strong on sunday. and we are likely to have fewer showers on sunday, lighter showers as well, most of the showers will be in western scotland. again, decent spells of sunshine for england and wales and temperatures ranging from around 15 degrees in glasgow to a high of 21 celsius in london.

good morning, welcome to breakfast with naga munchetty and charlie stayt. 0ur headlines today. the government condemns the death sentences handed down to two british men and a moroccan, who were captured by russian forces while fighting for ukraine. they're past the doors of the capitol! dramatic pictures of the storming of the us capitol by supporters of donald trump, are played at the start of an inquiry into last year's riot a legal challenge to stop the home office sending asylum seekers to rwanda takes place at the high court this morning.

will airport problems and flight cancellations be solved by the summer holidays? after a half term marked by more travel disruption businesses are racing to recruit more staff and get them ready to work.