00:00The UK Prime Minister Keir Starmer is promising to seek a more mature relationship.
00:05With China, that's ahead of today's talks in Beijing with President Xi Jinping.
00:10He told a delegation of some 60 leaders of British businesses and cultural institutions that the UK...
00:15has a responsibility to repair ties with China.
00:20Bring in Peter Burnett, Chief Executive at the China-Britain Business Council.
00:25Which is part of Starmer's delegation, of course, as we enter the first full...
00:30full day of activities.
00:31Peter, thank you so much and good morning from Hong Kong.
00:35Suffice to say, expectations are on the higher side relative to recent years.
00:40Help us manage expectations, realistically optimistic, how would you describe?
00:45How would you describe this specific delegation as this trip?
00:48How would you describe this specific delegation as this trip?
00:50I think it's pretty optimistic.
00:51We've got around 60 delegates here.
00:55We've come from 60 different businesses, ranging from the very big...
01:00the HSBC, AstraZeneca, pharmaceutical companies...
01:05all the way down to some smaller companies, Brompton Bikes, for example.
01:10which has a very big business in China.
01:13And then there's this cultural delegation...
01:15which I think is pretty important.
01:17So, representatives from museums...
01:20from art galleries, from performing arts, from opera...
01:25you know, from across the spectrum of...
01:30of activity in the UK.
01:35We have seen British companies concerned about things like...
01:40the opaque cross-border data rules...
01:42there's been tariffs in certain areas like...
01:44whiskey, for instance...
01:45some restricted access...
01:47what would be some of the top wish list...
01:50items then that the businesses that you speak with...
01:52would actually be looking to achieve?
01:55Yeah, we would love to see tariffs come down...
01:58and I hope we will see some of the...
02:00announcements on that.
02:01We can't preempt any of that because those...
02:05announcements will happen, I think, later today and tomorrow.
02:08But, I mean, clearly...
02:10we have access for, you know...
02:12the whiskey business in...
02:15Scotland, which already has a...
02:18has a sizable market here in China.
02:20would be very, very helpful.
02:22But it's not just whiskey.
02:24I think if we...
02:25we can move to...
02:26less friction in services more generally...
02:30greater market access...
02:32because services is a big component of the UK economy.
02:35it's been recognized in the 15th five-year plan...
02:38as a growth area for...
02:40China.
02:41So there's a very natural combination of the two, if you like.
02:44And...
02:45and I hope we see...
02:46we...
02:47we probably won't see, you know...
02:48full announcements on frictions.
02:50being lifted, but we'll see some progress, I hope...
02:52towards a possible dialogue.
02:55around...
02:56traded services.
02:57and services is...
02:58We're just showing a chat...
02:59oh...
03:00Sorry.
03:01Carry on.
03:02No, continue.
03:03No, I've seen...
03:04No, I've seen...
03:05services is not just financial services...
03:07and legal services...
03:08and accounting services...
03:10and consulting services...
03:11but it does include...
03:12the creative industries...
03:14it includes...
03:15hospitality...
03:16it's anything which doesn't...
03:18you know...
03:19require you to send a good...
03:20or...
03:21or a product...
03:22a cross-border...
03:23a physical...
03:25We were just showing a chart there...
03:26Peter...
03:27looking at...
03:28the trade surplus...
03:29with Britain...
03:30because essentially...
03:31that hit a record...
03:32last year...
03:33and...
03:34there's lots of...
03:35Chinese products...
03:35that are essentially...
03:36entering the UK market...
03:37is that a concern...
03:38at all...
03:39the...
03:40British businesses...
03:41are also bringing...
03:42as part of this delegation...
03:45well...
03:46I think the British...
03:47delegation...
03:48would like to see...
03:49more...
03:50exports...
03:51of their products...
03:52into China...
03:53there's no doubt...
03:54about that...
03:55and hopefully...
03:55some of these...
03:56frictions...
03:57that can be removed...
03:58to...
03:59provide greater...
04:00access...
04:01will be part...
04:00of the arrangements...
04:01but...
04:03at the end...
04:04of the day...
04:05I don't think...
04:06there's a huge...
04:07amount of concern...
04:08about the imbalance...
04:09the UK...
04:10exports...
04:11about...
04:1245 billion...
04:13pounds...
04:14worth...
04:15of...
04:15goods...
04:16to...
04:17China...
04:18every...
04:19year...
04:20it's...
04:20the...
04:21the relationship...
04:22the total trade...
04:23relationships...
04:24makes...
04:25China...
04:25the UK...
04:26the third largest...
04:27commercial trade...
04:28relationship...
04:29after the...
04:30US...
04:31and the EU...
04:32so it's an incredibly...
04:33important relationship...
04:34and an opportunity...
04:35to...
04:35expand more...
04:36and it's a little...
04:37known fact...
04:38that actually...
04:39coming back...
04:40to the services...
04:41question...
04:40the United Kingdom...
04:41actually has a...
04:42surplus...
04:43in...
04:44in trading...
04:45services...
04:45in China...
04:46and the fact...
04:47that the Chinese...
04:48now want to...
04:49open up...
04:50services...
04:50and...
04:51develop...
04:52services...
04:53for...
04:54for...
04:55that...
04:55domestic market...
04:56I think...
04:57is a huge opportunity...
04:58for growth...
04:59in...
05:00in the service...
05:00services...
05:01industry...
05:02for the United Kingdom...
05:03Peter...
05:04part of the...
05:05relationship...
05:05has really been...
05:06let's call it...
05:08in the past...
05:09more robust...
05:10people exchanges...
05:11and...
05:12you know...
05:13a lot of...
05:14Chinese students...
05:15call...
05:16the UK...
05:17of course...
05:18their home...
05:19and...
05:20you know...
05:21I wonder...
05:22in terms of...
05:23the flow...
05:24of student...
05:25to...
05:26some of...
05:27them...
05:28are part of your...
05:29of your council...
05:30and...
05:31what is the outlook...
05:32as far as...
05:33the...
05:34the flow...
05:35of student...
05:36...
05:32are concerned?
05:33It still remains...
05:34pretty positive...
05:35I think...
05:36the UK...
05:37has been a benefit...
05:37from...
05:38policies...
05:39in some...
05:40other countries...
05:41around the world...
05:42to...
05:42use...
05:43off...
05:44or to...
05:45reduce...
05:46access...
05:47to...
05:48tertiary...
05:49education...
05:50universities are very welcoming to I'm not just Chinese students to be honest
05:53but the Chinese
05:55the student cohort is very large in the United Kingdom and a very important component of the way universities functioned
06:00today I don't really see that declining you have to be a good university now
06:05you have to be sort of in the top 100 or so to be able to attract those students
06:10but the other very interesting development is this transnational education as well so these are
06:15universities in the UK that are now moving and campuses in China
06:20and that is I think a developing area for tertiary education
06:25so we've seen it in Ningbo with Nottingham University in Suzhou
06:30with Liverpool and there are more of those I think potentially
06:35coming and that allows of course Chinese students to get an education
06:40a tertiary education with a with the UK qualification
06:45but not to leave China so you know I think that's becoming a more attractive
06:50alternative and Peter what about the other side in terms of
06:55the you know the British community in mainland China whether that's expats diplomats students
07:00tourists and maybe along the same lines of that question
07:03do you think we will get
07:05visa-free access announced at some point today well that is the big question and we
07:10we've got our fingers we've got all our digits crossed
07:15the UK is an outlier at the moment and we would definitely
07:20welcome that the conversations I've had with the Chinese officials
07:25at Ministry of Commerce for example they are fully supporting
07:30of this of this next step but of course it's not in their gift but
07:35anybody involved in commerce anybody involved in business obviously wants to be able to
07:40see a freer flow of people cross border particularly in the business community
07:45because that's the way you get to know each other that's the way you build deals gets
07:49and it's certainly
07:50true for SMEs you know who want to come to China they need to be able to
07:55turn around very quickly and not have you know not have the restriction
08:00conditions on visas so fingers crossed
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