Month: November 2018

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European Space Agency

Britain is planning to build its own space satellite-navigation system after pulling out of the EU’s Galileo project, the prime minister has said.

The UK had wanted to stay part of Galileo after Brexit, but the EU said it would be banned from the extra-secure elements of the programme.

UK science minister Sam Gyimah has quit over the row, saying it exposed the flaws with Theresa May’s Brexit deal.

“Galileo is a clarion call that it will be ‘EU first’,” he said.

The UK’s interests “will be repeatedly and permanently hammered by the EU27 for many years to come”, he added in a Facebook post setting out his reasons for resigning. He also said he would be voting against Mrs May’s deal.

Former Tory cabinet minister and campaigner for the People’s Vote, Justine Greening, said Mr Gyimah was a “highly respected and capable minister” and praised him for not ruling out a second vote.

And the Lib Dem’s education spokeswoman, Layla Moran, said Mr Gyimah’s exit showed the government was “falling apart”, and that he had “seen at close quarters the devastating effect this botched Brexit will have on these important sectors”.

Galileo is the EU’s upcoming version of the US’s GPS, which is used by millions of people around the world.

The UK invested €1.4bn into the project and has estimated returns to UK industry of €1.15bn.

But when the BBC asked if any more of the money would be given back, a government spokesman said the project was “part of the withdrawal agreement” and the UK had reached “a fair financial settlement with the EU”.

Mrs May said the British army – which had been planning to use Galileo along with the US GPS – will no longer use it.

The UK will instead explore options to build its own satellite navigation system. The government has already set aside £92m to look at how it can be done.

“I cannot let our armed services depend on a system we cannot be sure of,” Mrs May said. “That would not be in our national interest.

“And as a global player with world-class engineers and steadfast allies around the world we are not short of options.”

What is Galileo?

Many people’s sat-navs and mobile location services currently run on a US military-based system called GPS – global positioning system – which uses satellites to pinpoint our locations. China and Russia also have satellite-navigation positioning systems.

In 1999, the European Union embarked on a plan to put together its own network of satellites, called Galileo, so it was not reliant on the US, Russian and Chinese systems.

The first satellites were put into orbit in 2013 and it is planned to be fully operational in 2020 with 30 satellites orbiting earth. The technology will be used by EU governments, citizens, military and industry.

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European Space Agency

All EU member states will be allowed access to it – including the “public regulated service” (PRS) part of Galileo, which is the secret inner workings and is due to be completed in the mid-2020s.

This can only be used by government-authorised users like police and only during emergencies or crisis situations.

While GPS is accurate to within about 20 metres, Galileo is designed to improve that, to around one metre.

The government said there should be no noticeable impact for the public from withdrawing from the project, as devices that already use Galileo, such as smartphones, will carry on doing so.

• Read more: Galileo and how it will work

Why did the UK and EU disagree over it?

The UK has been a key player in the Galileo project. The UK has spent 1.4bn euros (£1.2bn) on the project, according to a report in April.

UK companies have built components for Galileo and one of the project’s two Galileo Security Monitoring Centres was based in the UK, in Swanwick. The site is now being relocated to Spain.

In May 2018, the UK’s Department for Exiting the European Union said it wanted to continue participating in Galileo.

But the EU said that the restricted and security-related part of the system – PRS, which is of particular interest for the military – is only for EU members and, after Brexit, the UK will not be allowed access.

The EU said the UK would not be allowed to be trusted with the EU’s most sensitive security information after Brexit.

In June 2018, UK companies were excluded from bidding for contracts on the satellite system.

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What has the UK government announced?

On Friday evening, Downing Street said the UK will no longer seek access to secure aspects of Galileo for defence or critical infrastructure after Brexit.

Instead, the UK Space Agency is looking into creating Britain’s own system that can be used to guide military drones, run energy networks and be used on people’s smartphones. Contracts are being tendered.

Any system will provide both open and encrypted signals and must be compatible with the US GPS system in case one is attacked.

“I have been clear from the outset that the UK will remain firmly committed to Europe’s collective security after Brexit,” the PM said.

“But given the Commission’s decision to bar the UK from being fully involved in developing all aspects of Galileo it is only right that we find alternatives.

Number 10 said the UK is a “world-leader in developing satellite technology”, adding that “Glasgow builds more satellites than any other European city”.

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Defence Secretary Gavin Williamson said: “Space poses a new and increasingly dangerous front for warfare and it is crucial to push ahead with plans for our own world-class, independent satellite system.

“This also gives us an opportunity to draw on British skills and expertise as we leave the EU as a truly leading nation in satellite technology.”

In August, UK ministers set aside £92m to scope out how feasible it would be to create an alternative to Galileo. The programme to design it, the government said, would take approximately 18 months to complete.

What have critics said?

Conservative MP Dominic Grieve, who campaigned for the UK to stay in the EU, said: “Brexit was supposed to increase our strength and influence, yet here we are pulling out of a key project of great importance to our national security.

“To compound this disaster, we will have to pay out billions to replace the project,” he said.

Tyson Fury says he has achieved one of the “best comebacks of all time” as he prepares to face Deontay Wilder in a bout labelled highly “significant” for British boxing.

The Briton, 30, says he must simply enjoy one of the “best days of my life” when he faces the WBC heavyweight champion on Saturday.

The Los Angeles bout comes less than six months after his return from a 30-month lay-off, during which he battled depression and accepted a backdated two-year ban from UK Anti-Doping.

At Friday’s weigh-in, Fury scaled 18st 4½lbs and will carry more than three stone into the ring than Wilder.

The American weighed just 15st 2½lbs. It was his lowest weight since his 2008 debut – a surprise given in recent weeks he made a point of stating his 214lbs mark in his last bout came after a dire camp during which he had been unwell.

Speaking to BBC Sport about his boxing return, Fury said: “I don’t remember a bigger comeback ever, someone coming from further away.

“I don’t believe someone has gone up to 28 stone, lost all that weight, come back. I don’t remember people suffering with all the problems I suffered with. So it ranks up there with the best comebacks of all time.

“The most important thing for me to do on Saturday is have fun. It’s a great part of my life and I’ll look back on it in time and think: do you know what, they were the best days of my life.”

The bout will take place at around 04:30 BST on Sunday morning, with commentary on BBC Radio 5 live.

But is Fury fighting fit? Has his team given away a surprise tactic? And who are the BBC pundits picking? These are the talking points.

Fit, fighting fit and ring anxiety

More than one taxi driver has told BBC Sport’s team in Los Angeles that they became aware of Fury upon reading of his 10st weight loss in around 12 months.

But his team plotted 18 months before a fight of such magnitude would be entertained, meaning he only has two routine wins to his name since June.

“You can spar or train but he hasn’t been put under pressure,” said former world middleweight champion Andy Lee, who will be part of BBC Radio 5 live’s commentary team.

“He will have to deal with that internal anxiety moving around the ring, trying to slip, box and set himself. That’s the biggest doubt.”

A ketogenic diet – boasting low carbohydrate intake – and countless 250kg deadlifts were features of Fury’s transformation, but has he maintained the slick style which saw him beat Wladimir Klitschko to become a world champion in 2015?

“You only have to be half an inch wrong and the punches that were flying past your face are landing,” said BBC Sport boxing correspondent Mike Costello. “I’ve always felt there is a big difference between general fitness and boxing fitness.”

Fury’s trick to pick apart puncher

American Wilder says he will administer a “brutal knockout” of his rival at the Staples Center – home of Los Angeles’ NBA outfits the Lakers and Clippers.

With 39 knockouts from 40 bouts, the 33-year-old has power which makes him possibly the “greatest puncher of all time” according to Fury.

Abel Sanchez – trainer of Gennady Glolovkin – will also be part of Radio 5 live’s commentary team and believes “there’s not a man out there that can take a right hand from Deontay”.

But such power means Wilder’s craft and pedigree as a 2008 Olympic bronze medallist has been “all too easily dismissed” according to Costello.

There are rumours Fury will switch from his preferred right-handed orthodox stance to southpaw – as he did against Dereck Chisora in 2014 – in order to flummox Wilder.

Decorated trainer Freddie Roach, who Fury has hired as his cut man, told BBC Sport: “I’ve watched two films of Wilder facing southpaws and he had trouble with both of them.”

BBC Radio 5 live analyst Steve Bunce added: “Roach told me that when Fury switches to southpaw it’s seamless, the opponents don’t even realise.”

Beards and the ‘Roach effect’

The presence of Roach in Fury’s corner led to theories the challenger’s 26-year-old trainer Ben Davison had been found wanting.

Roach, who has trained the likes of Manny Pacquiao and Amir Khan, welcomed Team Fury to his Wildcard Boxing Gym when they turned their backs on a camp at altitude after four weeks.

Costello believes Roach’s greatest impact will be felt way before the ring walks given his experience of fight night protocols in the US. Roach had even inquired as to what length Fury’s beard could be before rules were broken, only for the fighter to shave it off.

“The Wilder camp see Roach as an act of desperation,” said Costello.

“The most important role he could play is what happens at rules meetings, bandage wraps, those things. He is so familiar with what goes on in America.

“Officials may have made it difficult for a young British trainer like Davison but they will be unlikely to do so with Roach stood before them.”

Lee, a former WBO world middleweight champion, added: “The Roach thing is a very wise move. There’s training and build-up but when it comes down to it and you’re in the trenches you want to know you trust the man 100% beside you. So it’s a huge night for Davison.”

Predictions

Costello: Wilder. I just think the champion will find Fury in the second half of the fight.

Lee: This is one that can go any way but I will never doubt Fury and I am going for him on points.

Bunce: We will have a much better fight than anyone thinks. I can see Tyson in front and getting hurt. I arrived in LA thinking Tyson on points, now I have a dreadful feeling Wilder will find him, it may be late.

Sanchez: I’ve swayed both ways. It’s 50-50. As long as Tyson can avoid that right hand. If he doesn’t, he’s asleep for a couple of weeks. If that doesn’t happen I can see a decision, maybe even a draw.

AJ and the biggest rivalry in a generation

Wilder raged at Wednesday’s news conference, where an on-stage fracas between the pair and their teams broke out.

Consensus among media was that the emotions were genuine and there is indeed much riding on this for Wilder as a win would offer a colossal boost to his profile and perhaps enhance hopes of a shot at Anthony Joshua, who holds the three other belts at heavyweight.

Fury’s promoter Frank Warren said: “This is a big, significant moment in British boxing. We could end up with two Brits holding all four titles.”

Costello added: “There is potentially a three-way rivalry building here. That would produce the best heavyweight rivalry for a quarter of a century when Evander Holyfield, Lennox Lewis and Riddick Bowe were around.

“It is highly likely that the winner of this fight will – maybe after a rematch – be facing Anthony Joshua at some stage in 2019.”

By around 06:00 GMT on Sunday morning the UK will know if Fury’s incredible return includes a fairytale moment. Wilder can perhaps – after 41 fights – land a win which would deliver the recognition he craves.

Join BBC Sport for a live text service and Radio 5 live for commentary. There is much to fight for.

Junior Hoilett scored a spectacular late winner as Cardiff City staged a stirring second-half fightback to beat Wolves and climb out of the Premier League relegation zone.

Despite a barrage of set-pieces from the hosts in a first half low on quality from both sides, Wolves took the lead as Matt Doherty seized on a rebound to score on his 200th appearance for the club.

Cardiff hauled themselves back into the contest by sheer force of will, with Harry Arter twice close to scoring before playing a role in the equaliser which summed up this frantic encounter.

After a corner was half-cleared, Arter hoisted the ball back into the box and, with Wolves goalkeeper Rui Patricio seemingly blocked by Cardiff’s Callum Paterson, Sean Morrison was able to nod the ball down to Aron Gunnarsson, who struck from close range.

If that goal was a microcosm of the match, the winner was a total outlier, as Hoilett whipped in a fabulous first-time effort from 25 yards, clipping the crossbar on its way into the net.

That clinched just a third win of the season for Cardiff – lifting them up to 15th place in the table – and gave manager Neil Warnock a welcome birthday present before he turns 70 on Saturday.

For Wolves, a fifth defeat from six matches leaves them winless since 6 October and still 11th in the Premier League.

Goalscorer Doherty said his side’s form was a concern.

“That’s the nature of the Premier League, you have to be ruthless in both boxes,” he said. “Once you start losing games, it’s a slippery slope.

“We are worried. Coming into the season we had high hopes and we are a good team. We should be winning here, we should be beating Huddersfield at home. We need to look at ourselves.

“We are not used to losing games since the manager came in. The run we are on is uncharted territory for us.”

A tale of two promoted sides

Both sides won automatic promotion from the Championship last season, though they had adjusted to life in the Premier League with rather differing fortunes.

Wolves’ intricate playing style – and their spending power in the transfer market – helped them take to the top flight with a flourish, initially.

By contrast, Cardiff’s more direct, often limited approach – and modest financial resources – contributed to a difficult start to the campaign which saw them enter this fixture second from bottom of the table.

Warnock’s men launched long throws into the Wolves penalty area in the early stages, hoping to feed off the scraps of possession which came their way.

The visitors also struggled to play with much fluency under the steady, pouring rain, though their first counter-attack of note led to a goal.

From a resulting Joao Moutinho corner, Raul Jimenez’s flicked header was superbly saved by Neil Etheridge and Doherty was the quickest to react at the back post, slamming the ball into the roof of the net.

Despite the pace they boasted in wide positions, Wolves did not threaten much from that point, although they defended stoutly in the face of determined Cardiff pressure.

Arter was an improbable candidate to bring them level, but twice he was inches away from doing so – once with a powerful half-volley which hit the post and again with a sweetly struck volley which whistled just wide.

It was fitting that the attack dog of the Cardiff midfield was a key part of the equaliser, looping the ball back into the penalty area before it made its way to Gunnarsson.

That goal lit the fuse for a rousing end to the game from Cardiff, who secured victory in stunning fashion as Bobby Reid’s shot was blocked, with the ball rolling invitingly for Hoilett to smash his curling strike into the top corner.

Rivalries renewed

There was an edge to this game, not least because last season’s corresponding fixture in the Championship had ended in such chaotic fashion.

Ruben Neves’ free-kick gave Wolves a precious 1-0 win – but only because Cardiff managed to miss two penalties in added time to spark ecstatic celebrations for their opponents.

As Wolves’ coaches and players ran on to the pitch at the final whistle, manager Nuno Espirito Santo forgot to shake hands with Warnock, who reacted furiously and refused to accept the Portuguese’s subsequent apology.

There was a more conciliatory tone in the build-up to this rematch, with both men saying they had moved on from that incident.

And while there was certainly a raw physicality to some of the collisions – with both sets of centre-backs commanding in the air – tempers did not boil over.

There was no shortage of passion, though, with the guttural roar from the home crowd at the final whistle demonstrating how much this rare victory meant to Cardiff.

This time, it was Warnock, rather than Nuno, who was on the pitch, albeit in a calmer fashion, striding towards his eighth decade with a beaming smile.

Man of the match – Sean Morrison (Cardiff)

Cardiff, the comeback kings? – the stats

• Cardiff have won consecutive home games in the same top-flight season for the first time since 1961-62.
• This was the first time Wolves have lost a league game that they opened the scoring in since February 2017 (2-1 v Burton Albion), ending a run of 44 such games without defeat.
• Cardiff have won three of the past four Premier League home games in which they have conceded the first goal – coming back to beat Fulham (4-2), Brighton (2-1) and Wolves (2-1).
• Cardiff have picked up nine of their 11 Premier League points this season from trailing positions, the joint-most in the division alongside Arsenal.
• After losing just one of their first eight games in the Premier League this season (W4 D3), Wolves have since lost five of their past six (D1).
• 91% of Cardiff’s points in the Premier League this season have been won at home (10/11); the highest ratio in the competition.
• Since the start of last season, Hoilett has been directly involved in more league goals (21 – 10 goals, 11 assists) than any other Cardiff player.
• Gunnarsson scored his first Premier League goal since August 2013, when he netted the Bluebirds’ first goal in the competition (v Manchester City).

What’s next?

Cardiff are at West Ham on Tuesday (19:45 GMT) and Wolves are at home to Chelsea on Wednesday (19:45 GMT).

Great Britain claimed gold in the women’s team pursuit final at the UCI Track World Cup in Berlin.

Laura Kenny, Katie Archibald, Emily Nelson and Emily Kay rallied superbly to overcome Australia and finish in four minutes 16.153 seconds.

“We were behind with half a lap to go so to pull it out at the end we are super happy to win gold,” Nelson said.

Britain added men’s team sprint silver as Jason Kenny, Philip Hindes and Ryan Owens finished behind the Netherlands.

The British trio edged ahead in the early stages, but the powerful Dutch line-up of Jeffrey Hoogland, Harrie Lavreysen and Nils van ‘t Hoenderdaal wrestled the gold medal.

The men’s team pursuit quartet of Ed Clancy, Charlie Tanfield, Kian Emadi and Ollie Wood were beaten in the quarter-finals by Australia.

Solihull Moors will be in the FA Cup third-round draw for the first time in their short history after holding Blackpool to a 0-0 draw.

The National League side, formed after a merger in 2007, had a goal disallowed as they impressed in the first half.

League One Blackpool were much improved after the break, with Joe Dodoo and Armand Gnanduillet denied by Ryan Boot.

And both sides had chances to win the second-round tie late on, with Jamey Osborne’s shot blocked for the hosts.

Moors, who are sixth in non-league’s top tier and have now gone over 10 hours without conceding, have reached the second round once before – losing 6-2 to Luton in 2016-17.

The visit of 1953 winners Blackpool drew a record attendance of 3,005 to Damson Park and the goalless stalemate means the two sides will both be in Monday’s draw (from 19:30 GMT).

Solihull more than held their own during the first half, with Luke Maxwell and Daniel Wright directing headers straight at Blackpool goalkeeper Mark Howard.

And they had the ball in the net on 28 minutes, Alex Gudger turning in a Darren Carter cross only for Carter to be deemed offside from the return ball after playing a short corner.

At the other end, Blackpool’s Michael Nottingham headed over from a Marc Bola cross while Dodoo fired into the side-netting.

Gnanduillet blazed over after some confusion in the home defence before the Seasiders failed to make their pressure count after half-time.

Gnanduillet hit a tame shot at Boot before Liam Daly headed wide, while Boot had to dive to his right to turn wide Dodoo’s low strike.

Moors regrouped, with Adi Yussuf’s shot being blocked by Pool defender Curtis Tilt on 78 minutes, and moments later Boot rushed out to block Harry Pritchard’s shot from Jordan Thompson’s through ball.

Moors substitute Jermaine Hylton then made a fine run, only to drag his shot well wide, before Osborne’s goal-bound volley was blocked by Donervon Daniels.

Harlequins inflicted a first Premiership defeat of the season on leaders Exeter in an excellent match at Twickenham Stoop.

James Chisholm’s clever try from a lineout and a Nathan Earle score gave Quins a deserved 13-5 half-time lead.

Jack Yeandle and Ollie Devoto went over either side of Earle’s second try to move Exeter to within a point.

A penalty and Joe Marchant try gave the hosts a buffer before Ian Whitten’s runaway score set up a tense finale.

The bonus-point victory lifts Paul Gustard’s side up to fourth, while Exeter emerged with two points to stay top before Saracens’ game against Wasps on Saturday.

It is the first time Rob Baxter’s side have lost to Harlequins in eight meetings and comes after they had started the Premiership season with eight consecutive wins.

The home side had prop Kyle Sinckler back from international duty, while his England team-mate Mike Brown put through an inch-perfect grubber kick for Earle to touch down for a second time.

Exeter – without injured wing Jack Nowell – led for 15 minutes in the first half after Matt Kvesic crossed from a signature driving maul, and ensured they would not leave empty-handed when Whitten intercepted a loose Marcus Smith pass to run in.

Harlequins head of rugby Paul Gustard: “The thing we’ve been frustrated with over the past few weeks is our attack, and I think we showed a lot more endeavour.

“I thought we showed the true version of ourselves tonight.

“The pleasing thing for me is we’ve got the most bonus points in the competition, so we’re tough and competitive. For me that shows resilience, character and togetherness and that’s what I’m really proud of.”

Exeter director of rugby Rob Baxter told BBC Radio Devon: “We’re pleased we got two points rather than nothing but I’m disappointed we haven’t won the game.

“We’ve got to credit the guys for digging in when the game kept almost getting away from us, but at the same we’ve also got to be honest and face some facts that we did some pretty silly things out there.

“I’ll be the first person to give some credit to Harlequins, but I think I’m going to be pretty frustrated with some individual mistakes that have happened out there.”

Harlequins: Brown; Ibitoye, Marchant, Saili, Earle; Lang, Care; Marler, Ward, Sinckler, Glynn, Merrick, Dombrandt, Clifford, Chisholm (capt).

Replacements: Crumpton, Boyce, Swainston, Luamanu, Kunatani, Mulchrone, Smith, Murley.

Exeter: Dollman; O’Flaherty, Whitten, Hill, Cuthbert; Simmonds, White; Low, Yeandle (capt), Holmes, Lees, Dennis, Ewers, Armand, Kvesic.

Replacements: Taione, Keast, Street, Atkins, Lawday, Maunder, Steenson, Devoto.

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As millions start their Christmas shopping online, there’s a warning that consumers may need to have a mobile phone, and a decent signal, to make sure their transactions go through.

UK banks are starting to introduce a new layer of security, involving passwords sent to your mobile phone.

That could be a problem for hundreds of thousands of householders without a mobile, or no proper signal.

Now banks are being urged to find other ways to check a customer’s identity.

The new rules are part of an EU directive – already adopted by the UK – which is due to come into force by September 2019.

But critics say many people are likely to be inconvenienced.

“Banks are not yet great at looking after people at the margins – because they’re disabled, or because they live with no mobile coverage,” said James Daley, the managing director of Fairer Finance.

“These systems are designed for the 95% – while the remaining 5% are hung out to dry.”

How does the new system work?

If online shoppers spend more than about £27 (€30 under the EU directive) in one transaction, payment providers will be required to ask for an extra form of verification, usually sent as a one-time password by text to your mobile phone.

The same will apply once you have spent £90 in total on a particular card – or if you make five separate payments of £27.

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Further exemptions are also possible – if a retailer decides that your purchase is low risk, for example.

In addition, if your bank can prove to the regulator that it has a good record on fraud, it can allow exemptions on payments worth up to about £450 (€500).

• Open banking revolution begins

What happens if I don’t have a mobile phone or phone signal?

This is not yet clear. One bank the BBC spoke to advised customers to find another means of payment, such as PayPal.

UK Finance – the umbrella body for the industry – has told its members that they need to find other ways of verifying their customers’ identities, such as by phoning them on their landline, or by using biometric data.

This could be via a finger-print on the bank’s app, for example.

And, while it is inconvenient and time-consuming, customers can always phone their bank to get a one-off approval for a particular transaction.

What are the banks doing?

Banks are working hard to make things easier for customers. They are also under pressure from retailers, who don’t want anything to interrupt the online buying process.

As one senior executive put it: “there’s a lot of angst” in the industry, as firms try to get things running smoothly by 14 September 2019.

There is also concern that the banks have not yet done enough to communicate the changes to customers.

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One bank that has started sending passwords to mobiles is First Direct. It advised anyone having difficulties to get in touch with them.

“We do have alternative processes for customers who cannot use this method, and they may be required to call us to authenticate,” a spokesperson said.

Why is the process being introduced?

Part two of the Payment Services Directive (PSD2) – which also introduced the concept of open banking to EU member states – is designed to combat fraud.

The new rules are officially known as “Strong Customer Authentication”.

But banks are having to balance anti-fraud measures with the ease of buying goods online.

“These changes are aimed at further enhancing payment security and reducing fraud,” a spokesperson for UK Finance told the BBC.

“The requirements will include exemptions for low-risk and low-value transactions to help prevent any unnecessary inconvenience for customers.”

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In the 1960s shopping centres offered a vision of the future – large shiny complexes which looked to bring the ease and glamour of US suburban malls to UK town and city centres.

From the 1970s to the 1990s they were followed by out-of-town shopping centres, often built on land which had recently housed Britain’s vanishing heavy industries.

In the past decade there has been a 21st Century renaissance in the original concept of the city centre arcades, whether it be the new Westfield Centres in Shepherd’s Bush and Stratford in London, or the rebirth of the once-derided Bull Ring in Birmingham.

At the same time the growth of online shopping, and other societal changes, have left a fractured landscape, and an industry looking at an uncertain future.

The latest illustration of this has been the cancellation of a £2.8bn deal to purchase shopping centre giant Intu Properties – owner of the Trafford and Arndale centres in Manchester, Metrocentre in Gateshead, and Lakeside in Essex.

The potential buyers, a consortium led by Peel Group, blamed “uncertainty around current macroeconomic conditions and the potential near-term volatility across markets”.

In November, a report from analyst Nelson Blackley warned that more than 200 UK shopping centres were in danger of falling into administration.

Consumer experiences

According to Richard Lim, chief executive of analysts Retail Economics, shopping centres which have an exciting future will be those that plug into the desires of consumers to be more than mere “shoppers”.

He says there should also be a future for those outlets which offer a more nuts-and-bolts service, but are in good locations.

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“In my view we are seeing, in terms of physical properties, the polarisation in the shopping market, between those retail centres which are thriving because they are flagship destinations, and the rest,” says Mr Lim.

“These flagship shopping centres – the likes of Westfield, Leeds Trinity, Birmingham’s Bullring – are the ones that are tapping into consumers’ desire for experiences; offering bars, restaurants, cinemas, bowling alleys, opportunities to try things like cooking, and so on.

“Looking at these centres, the retail experience is important but it is not necessarily the sole driver of footfall.”

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He adds: “It is by having a blended proposition, that includes other activities, that will allow a centre to thrive.

“Experiences are more important than ever before – Western households have an abundance of material possessions and want something more.”

Local links

As well as these landmark “experience” destinations, Mr Lim says that there is a strata of secondary and tertiary shopping centres that are doing well.

“These are the sites close to where people live, work, or have transport hubs nearby. These outlets will have seen their retail pull diminish over the past 10 years. But their locations enable them to have a sustainable level of footfall to survive.

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“But those shopping centres which do not have one of the benefits of these location factors are the most susceptible to the growing lure of online.”

Mr Lim says not only is consumer behaviour changing – but that it is changing very quickly. It is being brought about not only by online the growth of the experience economy, but also by the development of smartphones making it easier to make purchases on the go.

“At the same time there has been a diminishing of the value attached to possessions. Millennials are one of the groups driving this retail change, what they want are experiences they can share with their friends on social media, something very different to what older people want,” he adds.

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After the Intu deal fell through, shares in it and in rival chain Hammerson fell sharply. Intu, while saying it would continue to invest in the long term of its shopping centres, pointed to what it said was was a “challenging market.”

“There is the uncertainty of Brexit, which is likely to inform a lot of shopping centre decisions in the near future,” says Mr Lim. “But there also has to be an acknowledgement that the bigger picture for shopping centres is one of fast-changing consumer behaviour.”

Christmas impact

Graham Parker is editor of industry magazine Retail Destination (formerly Shopping Centres).

“The story is that shoppers are migrating to the top of the range shopping centres, such as the Trafford Centre or Bluewater in Kent,” he says.

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He says that footfall across shopping centres generally is down 2.5% to 3%, but only by 1% at the prime locations.

“Physical retail is suffering not only from online shopping, but increasing business rate bills, the national minimum wage and Brexit hitting the pound and making imports more expensive,” he adds.

“This may have to get worse before they get better. That is why this Christmas is going to be absolutely crucial for shopping centres and the brands and chains that have outlets in them.”

Connor McCann works in a BT call centre in Canterbury but despite doing the same role as his colleagues was paid thousands less a year.

That’s because the 24-year-old was employed by agency Manpower and not BT.

“It didn’t matter how good you are at your job, you’re still being paid less than your colleagues,” he said.

New research finds the 950,000 UK workers employed through an agency, like Mr McCann, earn more than £400 a year less than those employed directly.

The Resolution Foundation figure includes wages as well as other benefits such as unclaimed holiday or sick pay, and deductions for uniforms.

That’s more than the number of people on zero-hours contracts, according to the think-tank.

“I was speaking to the exact same customers and selling the exact same products, so it felt really unfair,” Mr McCann said.

“It meant I struggled to move out of my family home. I struggled with my bills and my social life, too.”

‘Unaware of rights’

Lindsay Judge, senior policy analyst at the Resolution Foundation, said: “Agency work has been largely absent from recent discussions about the modern world of work, despite almost a million people being employed via an agency.

“As well as reforming poor regulation, the government should stamp out unlawful practices through tougher, targeted enforcement work.”

The foundation is concerned that many agency staff are unaware of their contract rights, with £500m in unpaid holiday pay and 500,000 eligible for pension auto-enrolment who are not signed up to schemes.

Its research, which is based pay on official ONS data, found that agency staff are more likely to be employed in lower wage roles across a wide range of professions.

Further, when the Resolution Foundation compared the pay of two similar individuals of the same age and background, working in the same kind of business, those employed by an agency received 22p an hour less than those directly employed.

That adds up to £422 over the course of a year.

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Reuters

The think-tank wants contracts – so-called Pay Between Assignment – to be outlawed because they give firms a legal way to avoid equal pay obligations.

It also argues that specialist government taskforces should be set up in hotspots such as Barking and Dagenham, Leicester and North East Lincolnshire, where there is a high proportion of agency work.

‘Vital work’

The Recruitment and Employment Confederation, which represents the industry, says that agency work is vital to both workers and companies.

“While very short-term temps can be paid differently to long-term employees of a company, the law rightly states that after 12 weeks on the job pay should be the same,” a spokesperson said.

“With many assignments lasting a few days or weeks, it is no surprise that some pay differences exist when comparing these temps with experienced staff who have an ongoing relationship with the business.”

The REC’s latest survey data showed two thirds of employers paid agency workers the same or more than permanent staff.

A spokesperson for Manpower says the company “ensures that it is always compliant with appropriate regulations and best practice and welcomes any move by Government to stamp out malpractice in support of temporary workers.”

There has been a happy ending for Mr McCann at least. The Communications Union worked with Manpower and BT to bring the team of agency workers in-house, which increased his salary from about £15,000 to more than £21,000.

“It’s the difference between going out to get a coffee or getting a taxi home on a night out, or even going to see family back in Dublin,” Mr McCann.

“Moving on to a contract meant I could start putting money aside and put more into a pension and think about my long-term future.”

What are your rights as a worker?

• Everyone should be paid National Minimum or Living Wage – depending on age
• All workers are eligible for statutory sick, holiday and maternity or paternity pay
• Everyone is protected from unlawful deductions from wages and discrimination
• Everyone is entitled to be enrolled into a pension if they meet the criteria
• No one should work more than 48 hours a week unless they opt out
• No one should be charged direct or indirect fees for finding a job
• No one should be prevented from working elsewhere

What rights do agency workers have?

From day one, agency workers should:

• Get access to the same facilities such as canteens, crèche or car parks
• Be made aware of any job vacancies

After 12 weeks, agency workers should:

• Get the equal pay as a permanent employee
• Get equal treatment on breaks, holidays and hours