this is bbc news with the latest business headlines for viewers in the uk and around the world. and then they were two — as borisjohnson drops out of the conservative party leadership contest, ex—chancellor rishi sunak looks most likely to become the next prime minister. so what will his economic policies be? china's president xi cements his grip on power with a new leadership team. we bring analysis on what this means for the world's second largest economy. and as hindus celebrate diwali worldwide, we check out how small—businesses in singapore make the most of the opportunity.

more now on the day ahead in the uk, and we could know as early as this afternoon who the next leader of the conservative party is and therefore our prime minister. as you've been hearing, borisjohnson has pulled out of the contest, saying the time isn't right and would not lead to much needed party unity. this leaves two contenders — former chancellor rishi sunak and the leader of the house of commons, penny mordaunt, with mr sunak currently the front runner. by 2pm this afternoon if penny mordaunt hasn't got 100 backers or more, then rishi sunak is in post. if both candidates are still in play, then mps vote to state their preference. let's take a look at how the markets are trading today during asian time. we have the dollar versus again, i was hoping to show you

the pound but the detail is not on that particular screen, when i looked at it months ago the pound was buying just over $1 13 cents, fairly steady versus the dollar and up slightly versus euro. joining me now is jane foley, head of fx strategy, rabobank. will be no by the end of the day who our prime ministers? if we do know by the end of the day that will be a relief to the markets, it is rishi sunak thatis the markets, it is rishi sunak that is a relief to the markets, there is some uncertainty about that we don't know how many votes penny mordaunt has got, the contest is still there, it does seem rishi sunak has quite a significant chance of moving ahead as the premiership which is something deemed as a positive outcome as far as stirling and gilt is concerned. in terms of his economic

policies we got a taste of what he's like, he was chancellor during that critical time, we had the pandemic in the uk then he felt he played that very well indeed, but many argue he is too socialist, he put on the very controversial plan to increase national insurance to fund healthcare, and social care, very unpopular, he pushed through with it, it is now supposedly going to be reversed from november six and come to an end, we don't know now, do we what will happen? we an end, we don't know now, do we what will happen?- we what will happen? we don't know but that _ we what will happen? we don't know but that has _ we what will happen? we don't know but that has begun - we what will happen? we don't know but that has begun to - we what will happen? we don't know but that has begun to go | know but that has begun to go through parliament perhaps that will remain on course, if we look at the sunday papers, speculation we will be facing the authority in the uk more tax increases and changes to capital gains tax, one measure touted over the weekend, —— austerity. the experience since september 20 third and the mini budget tells us we need someone

in chargejeremy hunt i assume will remain as chancellor and a prime minister that will reassure investors, that the uk economy is on track in terms of sensible fiscal policies. i picked on national insurance is an example of his thinking and ideology, how it is quite different to that of liz truss, trust and comics which many would argue is the dilemma within the conservative party at the moment, who are we and what do we stand? but as you say when it comes to the uk economy where we are at right now we can't discuss ideology we have to get on with the job? i think we —— that's exactly that, we have high inflation like the rest of world that means the bank of england is trying to step up its mandate and stem that and take demand out of the system, and liz

truss ideology the timing if anything was inappropriate because that was put in demand back into the system and that is why market rates went higher in my mortgage rates responded to that, they are now much higher. so we need a fiscal policy that is working in tandem with monetary policy, which is going to subdue inflation right now and not try to work against it which is why the market and the commentators and the press were all talking about the possibility of more tax increases. it’s about the possibility of more tax increases.— about the possibility of more tax increases. it's been great to talk to _ tax increases. it's been great to talk to you, _ tax increases. it's been great to talk to you, have - tax increases. it's been great to talk to you, have a - tax increases. it's been great to talk to you, have a great l to talk to you, have a great week, we will see you very soon. jane foley. the uncertainty over the uk economy has also resulted in a surge of profit warnings from ftse—listed companies now reaching a level not seen since the financial crises more than a decade ago. that's according to a report from ey—parthenon that blames rising inflation and falling demand due to worsening economic conditions and rising interest rates.

joining me now isjustin urquhart—stewart, founder of the investment platform regionally. good morning to you. this is just an example of fallout of the problems we have been racing for many months now, which have been really exacerbated since the mini budget at the end of september. companies, small businesses in particular, struggling to stay in business?— particular, struggling to stay in business? this shouldn't be unexpected — in business? this shouldn't be unexpected but _ in business? this shouldn't be unexpected but the _ in business? this shouldn't be unexpected but the news - in business? this shouldn't be unexpected but the news is i unexpected but the news is still very bad and to give you some idea of the perspective of this of all the listed company 86 of the listed companies coming out with profit warnings and to compare with last year thatis and to compare with last year that is for the one companies, what is more worrying is when you look at some of the companies that have had warnings over the last few quarters and you start seeing a number getting into the danger area, 28 in that condition, that means companies that could be in trouble, you are right,

smaller companies that is the thing the uk is good at we set “p thing the uk is good at we set up more small businesses than france and germany put together and we are good at growing them, that is the area which will get hit hard especially because of the energy crisis, energy costs and labour shortages, we have record low unemployment but we need more people to employ, people have gone back to work and some have gone back to work and some have gone home. there is another issue, demand, falling demand because of high interest rates, and we have the indian celebration coming through that's a time when we shouldst see more spending coming through with the black monday marketing, when we should see retail sales going up, we haven't seen that this time. this report does point out the

sectors seeing most difficulty our hospitality and retail the sectors that should make most money from now on, this particular quarter, christmas, new year, the various celebrations, diwali, should be when they are making lots of profits and this is critical now? ., ., ,, ,,, profits and this is critical now? , now? for retail businesses this is when you — now? for retail businesses this is when you make _ now? for retail businesses this is when you make a _ now? for retail businesses this is when you make a profit, - now? for retail businesses this is when you make a profit, you| is when you make a profit, you probably didn't do much for the rest of the year, it will be a very difficult time for them indeed stop travel not surprising it is the first thing to get cut, international travel, people stay at home or have a low quality that is difficult, retailjust looking around, local pubs and restaurants are there but hanging by their nails, it's really difficult for them indeed, they to notjust from lack of demand but they can't get staff to come and do the waiting, it's incredibly frustrating to provide a good product to people, lack of

people. now to china, and the markets are not reacting well to the news of the new leadership in place in china. hong kong's hang seng index is down nearly 5% today. xijinping has become the most powerful chinese leader in decades. just under 2a hours ago, he was elected to a tradition—breaking third five—year term as general secretary of china's communist party. mr xi has taken an even firmer grip on power by promoting his allies. china's most formidably entrenched leader since mao zedong appeared in beijing's great hall of the people with his new leadership team, which some observers say rewards loyalty over experience. stephen mcdonell reports. applause xijinping led out china's new leadership team in order of rank, with him at the top. it confirmed one of the world's worst kept secrets, that he'd

officially broken the mould in place for decades limiting party bosses to two terms in power, lest anyone become too strong. it would have taken a bold conference delegate to oppose this move, which leaves mr xi at the helm for as long as he likes. translation: china is embarking on a long journey filled _ with glory and dreams. the road map has been drawn and the bugle has been sounded. again, there were no women on the seven—person politburo standing committee, the group at the top of china's governance system, now stacked with xi loyalists. the appointment of li keqiang as premier will concern some. he oversaw the disastrous months—long shanghai lockdown with significant food shortages. now mr li is in charge of managing china's economy. i think the appointment of li keqiang as the premier shows that xijinping is not principally interested in the economy.

he's never really been interested in the economy except as a political tool. china's new leadership faces exploding youth unemployment and a massive property crisis. they also have to generate economic activity while implementing strict zero covid lockdowns. xijinping and his team have pledged to tackle these problems with ideological unity and nationalist zeal. well, many will wonder if that's going to be enough. translation: | don't care | whether xi is in a third term, so long as we have food. translation: putin has had four terms and 16 years. - now xi is imitating him. the mysterious removal of china's former leader at the end of the communist party congress led to speculation that this was a symbolic step to ram home the transition with xijinping in charge. it's also possible, though, that hu jintao may not be well. he appeared confused. yet questions remain about the timing of this departure in front

of the cameras. today, though, there was no sign of the influence of leaders gone by, and crucially, no identifiable successors to xi in this new group. another indication he could remain in powerfor a long time. stephen mcdonell, bbc news, beijing. china has just released its third quarter gdp and official figures show the economy expanded by 3.9% year on year — that is better than expected but well short of the target growth rate for china of 6%. as i mentioned earlier, the hang seng index trading in hong kong is down well over 4%. joining me now is mark schaub, international partner, king & wood mallesons looking at the commentary surrounding why the unit so weak today many arguing some of key leaders that have been

placed around xi jinping key leaders that have been placed around xijinping are very pro— district zero covid policy and that's bad news for the chinese economy, your thoughts? ibig the chinese economy, your thoughts?— the chinese economy, your thou~hts? , , , thoughts? big surprise about the national _ thoughts? big surprise about the national congress - thoughts? big surprise about the national congress was i thoughts? big surprise about i the national congress was that there were no surprises, a lot of people had wishful inking there would be some change with there would be some change with the zero covid—19 policy but i always thought it would only be next summer, so it's not really expected, zero covid—19 will follow the hong kong model perhaps with a reduced and make it less strict, i thought people might be hoping for something which wasn't likely to be on offer.— to be on offer. and that does not bode _ to be on offer. and that does not bode well _ to be on offer. and that does not bode well for _ to be on offer. and that does not bode well for china - to be on offer. and that does not bode well for china going forward because in some parts of china it has ravaged the economy?— of china it has ravaged the econom ? ~ , ., ., economy? whenever you have these lockdowns, _ economy? whenever you have these lockdowns, i— economy? whenever you have these lockdowns, i wasn't - these lockdowns, i wasn't shanghai for that lockdown for two months which was very tough, but the fact it was short and strong, admit the

economy could recover more quickly. there is fatigue about the covid—19 zero policy and it does affect supply chains, but i expect over time, it's getting reduced at the moment it is only seven days plus three, so i think the trend as it will probably by next summer be more perhaps normal like a western country. d0 be more perhaps normal like a western country.— western country. do you think it's causing — western country. do you think it's causing multinationals - western country. do you think it's causing multinationals to i it's causing multinationals to read their strategy when it comes to china, we have seen apple saying its i—phone 1a will be built in india? for apple saying its i-phone14 will be built in india? for the very large — will be built in india? for the very large multinationals, i very large multinationals, apple might be an outlier, most multinationals are too committed there, it's not very easy to leave china, it is perhaps too big a market for them to leave easily, for smaller companies or medium—sized, it probably means less of them are going in and has been the case. in our own

practice we haven't seen many companies leave china because of it, there are perhaps concerns because the expatriate managers have left, it's difficult to visit your subsidiary china but i don't expect it will lead to a wholesale exit from the chinese market by foreign companies. thanks for getting up so early, interesting to get your take on that. stay with us on bbc news. still to come — shops in an indian enclave in singapore gear up for diwali — a report on why small business matters. indira gandhi, ruler of the world's largest democracy, died today. 0nly yesterday, she had spoken of dying in the service of her country, and said, "i would be proud of it. "every drop of my blood will contribute "to the growth of this nation." after 46 years of unhappiness, these two countries have concluded a chapter of history. no more suspicion, no more fear, - no more uncertainty-

of what each day might bring. booster ignition and lift—off of discovery, with six astronaut heroes and one american legend! we're enjoying the show. this is beautiful. baby cries born today, this girl in india is the seven billionth person on the planet. this is bbc news. the latest headlines: the deadline for nominations to be britain's next pm looms. there's speculation that former chancellor rishi sunak may be the only candidate. it comes after borisjohnson withdrew from the race.

penny mordaunt is lagging well behind in declared nominations at the moment. let's focus now on the japanese currency, which has been on a roller—coaster ride since late friday. speculation is mounting the japanese central bank has been taking steps to support the yen after it slumped to a 32—year low against the us dollar. this morning, there has been another big jump against the dollar. let's go to our asia business reporterjoao da silva in singapore. just talk us through this movement in the again and any official line yet from the central bank was to mark ——in the yen. central bank was to mark --in the en. ., central bank was to mark --in the yen-— the yen. right now we don't know whether _ the yen. right now we don't know whether or _ the yen. right now we don't know whether or not - the yen. right now we don't l know whether or not japanese authorities have intervened to p"°p up authorities have intervened to prop up the currency but what we do know is there has been huge volatility in the price of the yen in recent days. take a look at this chart. a huge jump

in the early morning hours today against the us dollars, following anotherjump in the early morning hours, seven against the us dollar and that is, afterjapanese currency is, after japanese currency fell to is, afterjapanese currency fell to a 32 year low against the us currency late last week so why is this volatility opening? like i said the japanese authorities have declined to say whether or not they have intervened but looking at this volatility, it's hard to believe that nothing is going on behind the scenes. we know that back into the sember, the japanese authorities spent $20 billion propping up the yen and this time analysts are saying they may have spent more so the question becomes is it worth it? the analysts we've been speaking to say it's not because for as long as the us federal reserve continues to aggressively tighten its monetary policy, mocro three is expected to continue to struggle. —— the yen.

expected to continue to struggle. -- the yen. joao da silva, thank _ struggle. -- the yen. joao da silva, thank you. _ struggle. -- the yen. joao da silva, thank you. we - struggle. -- the yen. joao da silva, thank you. we wait - struggle. -- the yen. joao da silva, thank you. we wait to | silva, thank you. we wait to hearfrom the silva, thank you. we wait to hear from the central bank. diwali celebrations are in full swing for hindu communities around the world. if you're celebrating, i hope you are having a really good time. in singapore, locals mainly head to little india for new clothes, jewellery and decorations. it's a hotspot for commercial activities, some of them now run by the second generation. 0ur reporter derek cai went to find out why these businesses are important to the community. the streets are dressed for diwali, also known as the festival of lights. in singapore, this is where the community woodshop for the festivities. —— would shop. many of the first indian migrants were cattle traders in little india. newer immigrants came and started other businesses selling things like spices, flowers and clothes.

this man says what began as a modest space is not a mega emporium. his father started the business in 1960, selling daily necessities to migrants from india. i daily necessities to migrants from india.— daily necessities to migrants from india. ., ., ~ from india. i have worked here since the _ from india. i have worked here since the age _ from india. i have worked here since the age of _ from india. i have worked here since the age of nine _ from india. i have worked here since the age of nine helping l since the age of nine helping my dad and growing up here for 50 years, i have seen this place grow. the businesses here are supported and the community supports the business. time are supported and the community supports the business.— supports the business. time is frozen in certain _ supports the business. time is frozen in certain parts - supports the business. time is frozen in certain parts of- frozen in certain parts of little india. 0ld trees like this barbershop sit quietly next to new trades like this cafe. commercial activities is bustling. but out of all of the 1000 shops but line these streets, many of them are owned by men. that sparked an idea for entrepreneurjoyce kingsley. she started a group to connect the women in little india. ., ., , ., .,

india. there are many women who are interested _ india. there are many women who are interested in _ india. there are many women who are interested in business, - are interested in business, actually, but they don't know how to go about starting it. when we bring them together, we guide them with the funding, the scheme that are available with the government, so we give directions, they are able to get started with it. in directions, they are able to get started with it.- get started with it. in ten ears, get started with it. in ten years. the _ get started with it. in ten years, the association . get started with it. in ten i years, the association group from a team of six to 100 members —— association group. one of the managers are family owned jewellery store.- owned jewellery store. being a female business _ owned jewellery store. being a female business owner, i- owned jewellery store. being a female business owner, i see i female business owner, i see many people think it doesn't come out because the family doesn't support them but here we break the barrier and we come out and we achieve more and still, we are trying to achieve later heights. right, let's talk about _ achieve later heights. right, let's talk about something . achieve later heights. right, i let's talk about something that is not discussed that often when you look at the business news. october is dyslexia awareness month. richard branson and stevejobs are just two examples of high achieving dyslexics.

so, why do employers overlook and undervalue people with dyslexia? well, things might be changing. to linkedin as a skill, and some firms are now actively looking to employ dyslexics because of their unique skills. joining me now is kate griggs, founder made by dyslexia. great to have you on the programme, kate. talk us through how it is viewed in the workplace generally at the moment? i workplace generally at the moment?— moment? i think dyslexic thinking _ moment? i think dyslexic thinking has _ moment? i think dyslexic thinking has always i moment? i think dyslexic| thinking has always been, moment? i think dyslexic. thinking has always been, or dyslexia has been associated with the negatives of finding literacy and spelling difficult but we are now realising from all of the research that majority has been doing is it's actually a very strong skill set. dyslexic thinking is actually all of the soft skills

that every single is looking for. so as machines take over a lot ofjobs, it's actually the human skills, soft skills, dyslexic thinking skills that are needed for the future. companies are now waking up to that and actively recruiting for it. ~ . , that and actively recruiting forit.~ . ,, . for it. which is brilliant news, isn't _ for it. which is brilliant news, isn't it? - for it. which is brilliant news, isn't it? it's- for it. which is brilliant| news, isn't it? it's seen for it. which is brilliant i news, isn't it? it's seen more as a skill as opposed to something that may hold someone back for the employer back. so how do you advise those who would describe themselves as dyslexic as a way of promoting that as a benefit and a skill? linkedin adding it as a skill is a huge step forward. what i would suggest to anybody is do some research into what dyslexic thinking skills actually are because we spend so much of our time being tested and benchmarked against the things that we struggle with, a lot of dyslexic people don't really realise that the things that they are good at is a direct result of their dyslexia so have a good delve into the research and definitely add it as a skill on

your linkedin profile because companies are now starting to use it as a tool to employ people. use it as a tool to employ pennie— use it as a tool to employ --eole. . ~' ., ., people. what kind of 'obs would be appropriate h people. what kind of jobs would be appropriate where _ people. what kind of jobs would be appropriate where they i people. what kind of jobs would| be appropriate where they would really utilise these skills the most? ~ . . , really utilise these skills the most? ., ., , , really utilise these skills the most? ., i, . most? we naturally see dyslexic --eole in most? we naturally see dyslexic peeple in the — most? we naturally see dyslexic people in the creative _ most? we naturally see dyslexic people in the creative skill, i people in the creative skill, creative industry, media, engineering, architecture. even intelligence. we work with gchq who actively recruit dyslexic people, and have done for decades. in fact, the apprenticeship scheme has four times more dyslexic people than any other apprenticeship scheme. but actually as we know these soft skills become more vital and we are finding dyslexic people in every industry because it is those very soft skills that every company is looking for. kate, really great — company is looking for. kate, really great to _ company is looking for. kate, really great to talk _ company is looking for. kate, really great to talk to - company is looking for. kate, really great to talk to you, i really great to talk to you, thank you for being on the programme. kate griggs from made by dyslexia. let's quickly show you the market boards and i'm hoping the pound will be on there this time as promised. there you go. buying over $1

13. in response to the mini budget when it was first published, it sunk to £1 buying $1 so you can see the difference. i will see you again soon. —— $1 and 3 cents. hello there. we certainly have seen some lively weather over the past 2a hours — multiple bands of heavy rain, some thunderstorms for a while. things are beginning to quieten down by monday morning but over the week ahead, we're going to stay in this very mild air, but that brings the potentialfor more rain, which could be heavy and thundery at times. now, we've got the overnight rain to clear away from some eastern parts of england out into the north sea and we've still got some rain in the far north of scotland but otherwise, this west to south—westerly breeze will bring sunshine and a scattering of showers on monday. those will get blown into some eastern areas but there will be some sunshine in between, and we're still making a mild 15 degrees in scotland and 17, maybe 18 across south—eastern parts of england. now, this is the general weather pattern, really, over the rest of the week. this is the jet stream, the upper level winds. you can see how that is buckled

to the west of the uk, not really changing very much. within that buckle, you find areas of low pressure spinning around and bringing us most of the rain. but because of the orientation of the jet stream, we're on the warmer side of it, so we've got winds coming from a long way south, bringing us those higher temperatures. and as we head into tuesday, we start generally dry with some sunshine. there'll be a few showers around first thing, one or two continuing in the west. and then, as the southerly wind picks up, the cloud will thicken in the south—west and we'll start to see some rain coming in here. a lot of places, though, will have a dry day, probably, on tuesday. a chance to take a breather, and it is still pretty mild — temperatures reaching 17 or 18 degrees. still got low pressure sitting to the west of the uk, then, and around it, this weather front is focusing all the rain. that rain could turn heavy and thundery as it runs northwards overnight, sitting across more northern parts of the uk early on wednesday and then moving away. still got those brisk, southerly winds. those will bring a mixture of sunshine and showers and again, mostly showers will be towards western parts of the uk with those temperatures beginning to rise a bit in that sunshine there

across many eastern areas. and we continue to run those winds from a long way south. more areas of low pressure pushing more rain in, mainly across the western side of the uk. there will be a few showers around on thursday, some of them could be heavy and thundery, but more in the way of sunshine coming out across eastern parts of the uk still with those southerly winds, so temperatures continuing to rise — we could make 21 in the south—east of england — and those temperatures are about four or five degrees above the average.

good morning. welcome to breakfast with me jon kay on downing street, and victoria fritz in the studio. 0ur headlines today... rishi sunak�*s on course to be the uk's new prime minister, after borisjohnson dramatically quits the conservative party leadership contest. his decision to pull out leaves mr sunak as the clear frontrunner in the race for number 10, way ahead of fellow candidate penny mordaunt. good morning from the western international wholesale market where

i am speaking to traders and their