BBC in talks to set up Netflix rival, rail industry plans train fares shake-up, and other trending news

The BBC, Channel 4 and ITV are in talks to develop a streaming service. The Guardian reports the major broadcasters and US-based NBCUniversal are in early talks to create a rival streaming service to tackle Netflix and Amazon. Figures from TV ratings body Barb show Netflix has 8.2 million subscribers in the UK, while Amazon Prime Video has topped 4 million users. The BBC, ITV and Channel 4 teamed up on a similar service, named Project Kangaroo, in 2007. But the video-on-demand service was blocked by the competition regulator.

The rail industry is planning a shake-up of train fares to stop millions of passengers being ripped off. The Rail Delivery Group (RDG), which represents rail firms, said the current fare system is overly complicated, comprising 55 million different options. Passengers often aren't offered the cheapest fare, with an anomaly called "split ticketing" meaning it can be cheaper to buy several tickets for different sections of a journey than one ticket for the full trip. The RDG is launching a public consultation next month, which will run until September and will result in a raft of proposals for governments to consider.

CYBG’s bid for rival Virgin Money could spark a fresh wave of deals among smaller lenders. Clydesdale and Yorkshire Bank's owner has made a takeover approach for rival Virgin Money, valuing the British lender at just over ￡1.6bn. CYBG said in a statement that “the combination would create the UK’s leading challenger bank”, servicing 6 million customers. Virgin Money was founded in 1995 by billionaire Richard Branson to challenge the stronghold of the UK’s big five banks and it acquired the branches of Northern Rock at the start of the financial crisis, following its government bailout.

Also … in other takeover news, Japanese drugmaker Takeda has reached an agreement to buy London-listed pharmaceuticals group Shire for ￡46bn. Shire's board has recommended its shareholders accept the offer.

Millennials should receive ￡10,000 each when they turn 25, according to Resolution Foundation. Research by the foundation showed the average weekly earnings of millennials are less than what Gen X was earning at the same age. The think tank said the “citizen’s inheritance” would help tackle the generation gap and could be used to start a business, pay for education or buy a house. The report from the think tank’s Intergenerational Commission also suggested a ￡2.3bn NHS levy on pensioners’ earnings.

Productivity watchdog Be the Business has told UK businesses to up their game or face losing out. A study by trade body the EEF showed productivity growth in the manufacturing sector has fallen from almost 5% a year on average between 2000 and 2007, to 1% since 2008. While the chemicals industry has become more competitive against EU peers Germany, Spain and Italy, food and drink lagged behind. Be the Business CEO, Tony Danker said: “The UK has a long way to go in order to catch up with our European neighbours.”

Idea of the Day: The best leaders are balanced – which means they have a bold vision tempered by a healthy dose of humility, says Capital One SVP Katya Andresen.

“Within us, we all have two selves – the brave one that stands out and the fearful one that can hardly bear the exposure. Our best work requires they coexist.”

This article has been updated. From earlier: Deliveroo is set to roll out free accident cover for its global workforce, covering medical expenses up to ￡7,500 and providing for up to 75% of income lost due to injury.

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