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How AI is removing legal obstacles that slow down business

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The writer is director of clients and communities at RSGI

Business processes with a legal component cause hold-ups far too often — in companies and in law firms, alike. But, where there is a problem, there is usually someone ready to step forward with a remedy.

The organisations listed below are using technology to help remove some of the most common obstacles, to speed up the pace of business. And, in line with the dominant theme of this year’s annual Financial Times Accelerating Business series, many are incorporating artificial intelligence into existing processes.

The FT’s research partner for the series, RSGI, found a range of companies that are helping their clients to apply AI to legal tasks. From navigating new EU legislation to enabling users to conduct legal research faster, some of the potential cost and time savings cited by users are striking. In some cases, legal tasks that previously took days now take minutes.

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Where is AI helping in particular? Commercial contracts remain onerous, but users say the technology is speeding up processes. Other core activities where AI is making a difference include procurement and billing for legal services.

Ultimately, widely agreed definitions will be critical to AI’s further deployment in the legal sector: three organisations appear in the list for making headway towards achieving a common standard.

Previous articles in Accelerating Business

The criteria for inclusion in the FT Accelerating Business series are mainly increased speed: of processes, rate of business, and time required for specific tasks. In the legal context, we also recognise attempts to remove friction from everyday tasks such as commercial contracts. Such efforts involve not only speeding up tasks, but also reducing the stages to go through to do business.  

Speed and efficiency can be expensive, however. For example, the cost of implementing contract management often involves paying for the services of the Big Four professional services firms or other consultancies.

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Four general categories emerged from RSGI’s research into the suppliers making notable progress in accelerating the pace of business with a legal component:

Integrating AI use 

ContractPodAi (CPAI)

Legal AI company 

Achievement: Developing an effective partnership strategy with key legal service providers. 

Comment: ContractPodAi signed deals with legal service providers Integreon, Morae and QuisLex to speed up their use of AI. It has also made deals with two of the Big Four professional services firms: PwC, to help it deliver new products; and KPMG, where users across the organisation will be able use CPAI on all legal outsourcing engagements.
Note: ContractPodAi is a sponsor of FT Innovative Lawyers regional reports. Sponsors have no influence over, or prior sight of, any articles in the reports.

D2LegalTechnology (D2LT)  

Legal data consultancy 

Achievement: Helping clients to navigate the EU’s AI Act, the bloc’s landmark law to regulate use of the tech. 

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Comment: Businesses recognise that they need more than legal expertise to comply with the new legislation, and are using the data expertise of D2LT to review systems, policies and procedures, to improve AI controls. 

Factor 

Alternative legal services provider  

Achievement: Launching the Sense Collective, a collaborative learning programme for in-house legal teams on AI. 

Comment: The programme includes 17 companies, such as Microsoft, Intel and Adobe. Participants say it has helped them develop step-by-step guides — like recipe books — to using generative AI for a range of problems, which has speeded up implementation. 

Harvey 

Legal AI company 

Achievement: Providing measurable time-savings to legal departments.

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Comment: In 2024, US-based Harvey expanded its headcount from 55 to 180 and acquired 100 new customers. One client Repsol, the Spanish energy company, says using Harvey saves each of its users around three hours a week in achieving everyday legal tasks.  

LexisNexis 

Information company

Achievement: Launched Lexis+ AI, its generative AI legal research platform. 

Comment: Law firms in the US, where Lexis+ AI had its first commercial launch, report savings of up to five hours per user a week when using it for legal research, thanks to its ability to summarise information from multiple sources accurately and provide citations.

Leya 

Legal AI company   

Achievement: Established less than two years ago by tech entrepreneurs with no legal background, Leya has already built a solid client base and raised $35.5mn in funding.

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Comment: Stockholm-based Leya’s eponymous AI tool is maturing to include workflows built around specific legal tasks. For example, lawyers in private-funds work use the tool to extract key terms from limited partnership agreements in minutes with the same accuracy as a human, who would take hours.  

Thomson Reuters 

Information company

Achievement: Helping in-house teams and law firms take advantage of generative AI.

Comment: This year, the legal team at consumer goods group Unilever has used the technology to speed up the drafting, summarisation and review of hundreds of contracts.
Note: Thomson Reuters is a sponsor of FT Innovative Lawyers regional reports. Sponsors have no influence over, or prior sight of, any articles in the reports.

vLex

Data and AI company  

Achievement: Consolidating its position as an emerging rival to legal information giants Thomson Reuters and LexisNexis. 

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Comment: vLex has expanded the capabilities of its AI legal research tool Vincent AI to include analysing and comparing the laws in 13 jurisdictions around the world, having added France, Portugal and Brazil. In addition, it now also covers disputes and transactions. 


Contract times

Deloitte 

Big Four Professional services firm

Achievement: Centralising the global contracting processes for Astellas, the Japanese drugmaker.

Comment: Deloitte harmonised contract templates and processes across the 70 countries in which Astellas operates, which makes signing them 20 per cent faster than before.

Integreon 

Alternative legal services provider

Achievement: Partnering with tech providers to incorporate AI into its services.

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Comment: Integreon was the first in its peer group to integrate generative AI into its offerings through partnerships with legal generative AI companies The Contract Network and ContractPodAi. Using CPAI, Integreon was able to complete a migration of 100,000 documents from an old contracting system to a new one within nine months, as opposed to the 20 months projected without the use of AI.
Note: Integreon is a sponsor of FT Innovative Lawyers regional reports. Sponsors have no influence over, or prior sight of, any articles in the reports.

KPMG Law 

Big Four Professional services firm

Achievement: Simplifying the implementation of healthcare recruitment company Acacium’s contract lifecycle management system. 

Comment: KPMG enabled members of Acacium’s legal and contracting team to modify the system themselves. As a result, contracts could be signed 35 per cent faster than before.  

Luminance 

Legal AI company

Achievement: Expanding the number of corporate customers across the world by 75 per cent since the start of 2024. 

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Comment: Clients include companies such as AMD, BBC Studios, Rightmove and DHL. Many clients say it is the “go-to” AI provider. One cites an example of receiving a sufficiently accurate summary of the key provisions of a 300-page contract within 45 seconds.

Open Contracting Partnership 

Public procurement reform initiative 

Achievement: Capturing and publicising public procurement data relating to reconstruction projects in Ukraine. 

Comment: The not-for-profit organisation, which aims to improve public-sector contracting, worked with the Ukrainian government to launch Dream: a platform that co-ordinates communities and funders working on reconstruction projects. It estimates the platform can enable projects to start months ahead of schedule. Dream, first launched in mid-2023, now hosts data for more than $5bn-worth of projects. 

PwC Legal Business Solutions

Big Four Professional services firm

Achievement: A first mover in incorporating AI into its offerings for legal-services clients. 

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Comment: Created a fixed-cost package for clients, by combining the work of human lawyers and multilingual generative AI tools from ContractPodAi, to streamline both simple and complex contracts. So far, eight clients have benefited from this proprietary model, with savings of 15 to 20 per cent of their usual costs and no need to buy new technology. 


Procurement and billing

Brightflag

Legal costs management 

Achievement: Enabling legal service buyers to understand their legal spending at a glance.

Comment: In-house legal teams can now use Ask Brightflag, an AI-enabled assistant, to monitor their legal spending in greater detail, and much faster, via a chatbot. Some clients have reported substantial cuts in legal costs.

Persuit 

Law firm-sourcing platform

Achievement: Delivering a rapid return on expenditure for new clients.

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Comment: Brewing company Heineken says that since adopting the tool last year, it has saved up to 75 per cent of costs on some of its legal work.

Priori 

External counsel management tool

Achievement: Making feedback on external counsel faster and easier.

Comment: Priori helped healthcare company Organon create an easy-to-use scorecard for rating its law firms, with automated reminders for lawyers to make use of it. The result is better feedback to the law firms, resulting in more appropriate responses being made more quickly.  


Standardising legal data

Law Insider 

Contract database

Achievement: Driving the adoption of legal standards to its membership of 3mn registered users.

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Comment: Law Insider is launching a set of contract standards and a guide to different uses that will be available for free to any registered user. It will be bolstered by its October acquisition of OneNDA, a free, open-source template for non-disclosure agreements.

Noslegal

Legal data standardisation initiative

Achievement: Adoption of a legal taxonomy by five sizeable law firms, including A&O Shearman.

Comment: The Noslegal taxonomy is a set of standards for use in tagging and analysis of legal data across business such as legal operations, knowledge management, and sales and marketing. The standards are offered as a starting convention that organisations can build on to suit their needs.

Soli

Legal data standardisation initiative

Achievement: Making data standards easier to implement. 

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Comment: Soli* (the Standard for Open Legal Information) is a common language for organising, categorising and defining more than 18,000 legal concepts. Rigid adherence to the standards is encouraged to make the transfer of data between organisations as seamless as possible, and adoption is aided by the release of resources such as automated tagging software.

*Formerly Sali (Standards Advancement for the Legal Industry)

Methodology

RSGI, the FT’s research partner on the Accelerating Business report, conducted more than 100 qualitative interviews with chief executives, founders of legal technology companies, alternative legal service providers and Big Four accounting firm partners. In addition, the team interviewed the users of these providers: general counsel, legal operations professionals and law firm partners and business professionals. This was supplemented with research from the FT Innovative Lawyers reports in Europe, North America and Asia-Pacific. Potential participants were assessed for impact in helping companies and law firms to accelerate and streamline their business and legal processes. The 20 organisations highlighted above were those with the strongest recommendations and evidence of their impact and achievements over the past 18 months. 

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Business

Afghanistan — a country on the edge

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This is an audio transcript of the Rachman Review podcast episode: ‘Afghanistan — a country on the edge’

[MUSIC PLAYING]

Gideon Rachman
Hello and welcome to the Rachman Review. I’m Gideon Rachman, chief foreign affairs commentator of the Financial Times. This week’s podcast is about Afghanistan. My guests are Saad Mohseni, chairman of Afghanistan’s largest television station and co-author of a new book, Radio Free Afghanistan. And Fatima Gailani, a board member of the Afghan Red Crescent and women’s rights activist.

The future for women in Afghanistan looks extremely bleak and hunger is widespread in the country. So is it time for the outside world to change its approach to Afghanistan?

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News clip
Desperate to flee Taliban rule, Afghans are resorting to this: grasping at US military aircraft and risking their lives. Some hung on to the wheels and fell to their death.

Gideon Rachman
In August 2021, Kabul — the capital of Afghanistan — fell to the Taliban. In the aftermath of the chaotic and humiliating withdrawal of American, British and other foreign troops, many in the west wanted to forget the country. But for those who still pay attention, the news out of Afghanistan is bleak and worrying. The Taliban have severely restricted the rights of women to work and girls to be educated. And the country suffers from a severe shortage of food and shelter. So I began the conversation by asking Saad to give a brief summary of the major developments in Afghanistan since the Taliban regained power.

Saad Mohseni
Well, Afghanistan is an estranged place. For us Afghans, we expected things to be a lot worse. The economy has stabilised. Inflation seems to be under control. The currency has been one of the strongest in the region. And the Taliban have managed to, you know, raise revenues through taxes. The amnesty declared early on has ensured that thousands of Afghans have not lost their lives. But at the same time, the humanitarian situation is pretty dire. Half the country doesn’t have food security. A third of the country doesn’t have access to shelter that would protect them in these coming winter months. We have something like 65 or 70 per cent of the population that doesn’t have access to clean water.

The country is on the edge and basically, in terms of humanitarian crises that Afghanistan has faced, nothing has changed. If anything, the situation’s worse. At the same time, we have hundreds of thousands of Afghans being pushed out of Iran and Pakistan, forced to return to the country, and the country is not prepared to look after them. So three years on, where do we stand? The sanctions imposed in Afghanistan have not changed the Taliban. The Taliban are here to stay. So I’ve been advocating for at least a reassessment in terms of the way the world deals with Afghanistan.

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Gideon Rachman
Well, we’ll come to that in a moment. But Fatima, some of the few headlines that have come out of Afghanistan that have made it to the west have been about women’s rights. And it looks like the Taliban have been becoming progressively harsher on that front. What have the Taliban actually done against women? I mean, if you could outline the steps they’ve taken.

Fatima Gailani
The first six months, even one year, it was quite optimistic that things for women could continue. Probably some changes in appearance, but not a drastic change. But now it is outrageous that the only country in the world and the only country in the Muslim world that a girl after the secondary cannot go to school, cannot go to university.

Gideon Rachman
So, they get chucked out of school, what, at 11?

Fatima Gailani
The schools are closed for secondary and high school. It’s just closed. At the beginning, private schools were still open, but now even private schools were restricted. And there’s a state of confusion also because after a dramatic earthquake in Herat, which was very tragic, they found out that they need women social workers, they need women nurses, they need women aid workers and especially doctors. So now it is possible for girls to study medicine, nursing or midwife and all that. But where? And if you don’t finish school, then how could you jump all of a sudden to university? For women, it’s not just a very difficult time. It is also confusing time.

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Gideon Rachman
What about women in the workforce? People who are already working, you know, before the Taliban took over — what’s happened to them?

Fatima Gailani
Some of them are staying at home, especially teachers. But if you go to the police force, they need them. They have to work. Doctors do work, nurses work. If you go to an airline, you will see women issuing tickets for you. And if you land in the Kabul airport, you see women officers. That’s why it is a state of confusion, because they should understand that these decrees is not practical. They cannot continue like that. And above all, it’s not Islamic. It is not right. From every angle you see, this is wrong.

Gideon Rachman
Yeah. And I mean, you make the point that it’s not Islamic. And I mean, your father was part of the Islamic resistance against the Soviet invasion of Afghanistan, but also, I think, quite a firm advocate of women’s rights.

Fatima Gailani
Yes, I grew up in an Islamic family. My father was one of the most important religious leaders. But we grew up with this in our head that what is practical, what is fair, what is right. And I was about to start my PhD here in Cambridge but my father told me — it was at the beginning of war against Soviet Union — that I have something much important for you. And he actually asked me to stop my education and be in politics of the mujahideen. And at that time, I was not sure that it was the good thing. Now, I think this was the absolute right thing to do because you cannot talk about women’s rights and human’s rights if you don’t practice it yourself.

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Gideon Rachman
But Saad, I mean, you run television stations in Afghanistan. And as I understand it, you still have women reporters.

Saad Mohseni
Yes. As a matter of fact, we have increased the number of women working for us. Our news team used to employ eight women, now we have 20 women. And something like 25 per cent plus of all our employees are women. We’re very actively trying to hire and train women, and they’re very keen to work. I mean, it’s important for them to be able to earn an income, especially in these difficult times. What’s interesting is that the Taliban 2.0 in terms of decreeing directives is not dissimilar to Taliban 1.0. But in terms of implementation, there’s a huge difference. For example, NGOs have been banned from hiring women. But, you know, our friends at the NRC and other organisations, including the UN, will tell you that they continue to hire women.

And that’s because at the local level, they’re able to negotiate with local Taliban leaders to secure their rights to work. So, you know, the movement itself is not a monolithic movement, and individuals have different approaches or different interpretations of Islam. So as a result, the situation on the ground is a lot more nuanced than what meets the eye, especially if you’re looking at it from the outside. So we’re advocating for engagement because I think some of these more pragmatic, practical Taliban need to understand what the world expects of them and vice versa. I think there is a path. The problem is the humiliation of August of 2021. I joke that if the American administration could expunge the word Afghanistan from the dictionary, they would because it was such a traumatic experience for them. I mean, I met with so many of them after August and they just could not face Afghanistan. So the hope is that the new administration, whether Kamala Harris or Trump, that they reassess their Afghan policy.

Gideon Rachman
We’ll come back to the diplomacy and the international engagement in a bit. But I’m just intrigued by the practicalities of running your television station. So you’ve expanded the number of women staff, but can they appear on air? Can they work alongside men? How do you do that?

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Saad Mohseni
All of the above. I mean, they’re very courageous — the women who work for us. They’re in front of the camera. They’re behind the camera.

Gideon Rachman
Has their dress changed?

Saad Mohseni
Well, the only thing that they have to do is cover their faces. And they do it by wearing a surgical mask. Technically then their face are covered. But they go out and they go to ministries. They’re on the field and they report from different parts of the country. I mean, some parts of the country, the local authorities are a lot more restrictive. But, you know, they push, they push the boundaries on a daily basis. So we now have a lot of education programs. We have female teachers. We have female students in the classrooms. We tend to . . . 

Fatima Gailani
And very successful, too.

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Saad Mohseni
Well, the education programs are exceptional.

Gideon Rachman
And is that partly to fill the void left by them closing the secondary schools?

Saad Mohseni
Yeah. They can go up to sixth grade. And from then on we’ve introduced four subjects — maths, chemistry, physics and biology. You know, the idea was it would just keep things going. But actually we’re noticing that it’s having an impact in terms of girls and boys learning more. Of course, nothing replaces real schools, but nonetheless, it’s a sort of a band-aid solution for now.

Gideon Rachman
And what about entertainment? Because you used to have, you know, recognisable in the west, popular entertainment shows, Afghan Star, etc, that kind of thing. Can you do any of that any more?

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Saad Mohseni
No music, no soap operas. But we do a lot of other things — chat shows, game shows, sporting events, cooking shows and so forth. But Afghans have access to the internet now and Afghans have access to satellite networks, so they’re able to consume everything. And the key thing is that Afghanistan changed in the 20 years of occupation. Afghans changed. It’s the youngest country outside of sub-Saharan Africa. Median age is 18, 18.5, population of 42mn people. Something like 80 per cent of the population is under the age of 30. Most of these kids were not around when the Taliban last ruled over the country. The other reason for the world to continue engaging or to perhaps re-engage is that we have to sustain some of the gains of the last 20 years.

Gideon Rachman
Yeah, I mean, Fatima, you obviously go back to Afghanistan. What’s your sense about how much the Taliban — beyond the issue of women’s rights, although that’s central to everything — have been able to sort of take the country back and erase the last 20 years?

Fatima Gailani
No one can take this country back. This country never had so many educated women and so many educated young people in the history of Afghanistan. I was born and brought up in the time of the peace in Afghanistan. This is the Afghanistan I want for the youngsters. That they were aware of their tradition, aware of their religion, but still they have the liberty to live like any young person. Today in Afghanistan, you cannot cage these vibrant women. They want to be part of Afghanistan. Twelve years in a country with conflicts, I was in the Red Crescent and I saw that without women, we cannot carry on our programs in the remotest villages. We need women to be part of every work, if it is in media or if it is in medical field, every field you need them.

Gideon Rachman
Is that, do you think, widely accepted, though, because presumably when the Taliban come in and try to restrict women’s rights, there must be a large part of the country that agrees with that?

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Fatima Gailani
Well, it is not a question of agreement. One has to be realistic. I give you the example of Moraa university. This Moraa university was created at the time of Karzai, and it was opened when President Rouhani was there. And this university is located in the land of the Red Crescent. So they pay the Red Crescent rent. Why it was created? Because so many young girls were not allowed to go to be educated in the mixed university. And the doctor who started this university, his mother died because his father wouldn’t allow the mother to be treated by a male doctor. So this university, even the gardener and the plumber are women. And this was the most popular university before Taliban. They had a huge waiting list. This university has permission to work, but because people can’t afford it, it’s almost empty.

Gideon Rachman
And people can’t afford it brings us to the economic background. I mean, you painted this mixed picture, the kind of macroeconomic stats that might make a central banker say, oh, this is going OK. But the reality is that people are living incredibly close to the edge.

Saad Mohseni
Well, the international community continues to litigate against the Taliban at the expense of the Afghan population. Our central bank reserves have been frozen because of the sanctions, although technically companies could actually go and operate. But a lot of people are reluctant because logistically it’s hard to transfer money into the country and transfer money out. You know, I’ve met with US Treasury officials and they say, well, there are no sanctions per se for institutions to go invest in the country, but in reality, it’s much more difficult than that.

So we have major challenges. Now the Taliban also have to move on things like inclusivity and women’s rights and so forth. But I think there is a path. It’s a narrow one, and it’s important for this country. You know our population growth is 3 per cent per annum. We’ll be at 100mn by 2060, 2070, and still a very young population. How do we ensure that hundreds of thousands of people don’t starve to death?

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But the problem also is that for you, Europeans, the fallout will be felt here in Europe. Afghanistan is two countries away from Europe. You’ve got Iran, Turkey and Europe. So hundreds of thousands of Afghans who may be forced to flee Afghanistan, end up in Europe. Drug production, terrorism. What happens in Afghanistan rarely stays in the country.

Gideon Rachman
Well, you’ve been one of the country’s most successful entrepreneurs. What would a successful Afghan economy look like? I mean, given the war, devastation, the problems with education, etc, what’s the path to more prosperity?

Saad Mohseni
There are lots of successful Afghan entrepreneurs, a lot more successful than me and they benefited mostly from the vibrant economy that partially helped with international engagement in the country — foreign troops and so forth. But Afghanistan has huge reserves in terms of minerals. We are a transit country where we can connect central Asia to the Arabian Sea. Its own growing population, it’s sufficient for investment in the country, 40mn people — it’s not a small country. And every sector you look at, there is potential for that economy to grow. We just need the environment to be able to attract these types of investments.

Fatima Gailani
Even quick investments like agriculture. I mean, there are very few countries in the world which could have the best fruit and vegetables that we can have. It could easily be the fruit and food basket of the Gulf. And in one year, you can see the result. Food security is no joke any more. And Afghanistan could do that. It is very important for people to understand that, yes, if there is aid for Afghanistan, investment in Afghanistan, Taliban will benefit from it. It is no doubt. But if you look at it from the other side, that if there is restriction on Taliban, how many millions of people will go into starvation and have horrible life? I saw it with my own eyes that the middle class is in a huge financial trouble.

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Saad Mohseni
You know, I joke that over the last three years, I have not seen one Talib lose weight. They’re all putting on pounds and they’re looking pretty healthy. So sanctions certainly is not gonna impact the Taliban.

Gideon Rachman
I mean, Fatima, I remember when I went there during the period when the Americans, the British were all there, a lot of their effort and Nato’s effort was to eradicate the drugs trade. That seems to be like a central thing. Is that still a problem for the Afghan side or the Afghan economy and is it still flourishing?

Fatima Gailani
Well, they had restriction on it and they were quite successful. But if there isn’t any alternative for the agriculture side, for a person who has this amount of land, what could they do? I mean, I have seen that instead of poppy, agriculture of rose and rose oil, which is much more expensive than heroin, they would do much better than poppies. But who will do it and how?

Gideon Rachman
And in a sense, I suppose if legal forms of trade are very hard, illegal trade becomes that much more attractive.

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Saad Mohseni
I mean, one of the things which is important for people to know is that there is still aid in terms of humanitarian assistance. The problem is it’s like you’re facing the same set of challenges every 12 months. And it’s important for the world to engage also in terms of development, basic needs, you know, to work with the private sector, to work with the farmers. So then that would make the economy much more resilient. But because of the sanctions, the World Bank and the likes have challenges.

Gideon Rachman
But there were warnings that there was actual famine threat in Afghanistan. Is that still the case?

Fatima Gailani
In some areas it still is.

Saad Mohseni
In some areas? Yeah. I mean, I think that challenge has not gone away. The BBC did this documentary. In Jalalabad, they had 18 babies to a bed. Malnutrition impacts 3.5mn kids in the country. That’s 10 per cent of the population.

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Gideon Rachman
I guess one of the countries that one might have thought that the Taliban would get on with might have been Pakistan. You know, who had helped them, maybe slightly unofficially, but throughout the war. But Pakistan-Afghan relations are terrible. What’s going on there, Saad?

Saad Mohseni
Well, I think the Pakistani state, in particular its military, probably had a sense of entitlement post-August of 2021, expecting the Taliban to roll over and become a kind state. That was not the case. And furthermore, the Taliban actually helped negotiate a peace deal with the TTP, which is the Pakistani Taliban. And somehow the Pakistani government reneged on that deal. As a result, the relations have soured. The TTP continues to become stronger in the country. So Pakistan is facing a whole series of challenges, including the TTP in the sort of north-west parts of the country, the Balochi separatist movement in Balochistan and even Isis.

Gideon Rachman
So ironically, the Pakistanis are now accusing Afghanistan of sponsoring terrorism . . .

Saad Mohseni
And providing sanctuaries to the TTP. Exactly the same, you know, accusation that we levelled at the Pakistanis.

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Gideon Rachman
So Fatima, before the final sort of climax and the Taliban coming into Kabul in 2021, there have been attempted peace negotiations between the Afghan government and the Taliban with some involvement by the Americans in Doha in Qatar. You were involved as part of the negotiations. Can you just explain what was going on and what your role was?

Fatima Gailani
Well, our role — women’s role, we were four of us — we didn’t only concentrate on women’s issue. For example, I was in rule of law because I studied Islamic jurisprudence. So when we were talking about the future of Afghanistan under Islamic law, we were involved also. My other colleague, a woman, was involved in the future of civil society and what will be the human rights position. So we were engaged in everything, not just women’s issue. And the same way men were also engaged in women’s affairs and the future of women.

Gideon Rachman
And when you have had your dealings with the Taliban, their image obviously here in the west is of these crazy fundamentalists, completely unsophisticated. Were there people you dealt with where you thought, OK, well, this guy or this faction of people you can make progress with?

Fatima Gailani
It was not easy, but it took only weeks that they look into the four women negotiators as only negotiators. I mean, gender didn’t matter at all. With great respect to all of us.

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Gideon Rachman
And you were four out of 20. Is that right?

Fatima Gailani
21, yeah.

Gideon Rachman
And looking back, do you think those negotiations were a waste of time or could they have succeeded?

Fatima Gailani
It could have succeeded. The thing was that before the announcement of unconditional withdrawal, the Republic’s side were dragging their feet. They were not very interested in this talk. As soon as the unconditional withdrawal announcement came . . . 

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Gideon Rachman
From Washington.

Fatima Gailani
From Washington. Then it flipped. The Republic side wanted to reach an agreement and have a political settlement. But the Taliban thought that, why should we? And every day we woke up, one area was falling in their hand. But the reality was that a successful political agreement would have been good for both sides, even for the Taliban’s side.

Gideon Rachman
How do you think they’ll be thinking about their international position and are they making any progress? I saw that they’ve just opened up in the UAE, an embassy.

Fatima Gailani
I think even for Taliban, when they were looking into the future, they would look with great enthusiasm and optimism that we will be the government and eventually we will be recognised and everything goes into normal. This is not the case, but I have always been very much pro-engagement. It may not be very popular. What did I say? That engagement without presence in Afghanistan, in Kabul, it will be an engagement only with the government. But if you have presence, like Japan, like Turkey, if you have meetings with the Taliban once a week, every day you have meetings with the rest of Afghanistan, with women’s group, the human rights’ group, with doctors’ association, with nurses’ association, so you will have a real engagement with the people of Afghanistan. That’s why I am a strong believer that the problem of Afghanistan cannot be solved without engagement, and real engagement comes with presence.

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Gideon Rachman
So, Saad, I mean, you said that the Americans you knew, still know, the last thing they wanted to talk about after the sort of terrible scenes in Kabul was Afghanistan. And they’ve now got a whole host of other problems to worry about. Do you think there is any prospect of effective western re-engagement with Afghanistan?

Saad Mohseni
Well, I’m hoping there is. You know, Afghanistan really is a changed country. But what’s interesting also is that three years on, the new Afghanistan is also managing to change the Taliban. As Fatima mentioned, you know, they can now deal with women. They have meetings with female diplomats. They’re taking their families to restaurants. They’re becoming more sophisticated even in terms of dealing with the city dwellers. There’s a certain sophistication. So this new Afghanistan — and this is what I’ve written in my book in terms of the characters that helped us create this media group — this is what gives me hope. And this is what I’ve been telling people in Washington, both sides, the Trump side, as well as the Harris side, that you cannot ignore Afghanistan.

People who’ve been occupants of this White House who did forget Afghanistan eventually had to re-engage because Afghanistan can be the source of so many problems for the region. I am slightly optimistic. I think that we will have that opportunity. But given what the White House is facing today, it may not be a priority. And I think that’s why it’s important for us Afghans, Fatima and myself and so many other Afghans to continue to insist that they do so. America was engaged for a long time and a lot of Americans were involved in Afghanistan. It’s not something that’s gonna go away too soon.

Gideon Rachman
What about, finally, the argument that, well, maybe it’s not America or the west that will bring Afghanistan back into the international community. It’s kind of generally accepted that western influence is either slowly or quickly declining in the world. And, you know, they’re in Asia, which has many sort of booming economies. Could it be — I mean, Fatima, you mentioned Japan still has an embassy there — east Asians or south Asians or Chinese or the Russians who actually play the key role in getting Afghanistan reintegrated into the world economy?

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Saad Mohseni
The problem is that because they’re continuing to litigate against the Taliban, no one else can actually go and engage. You know, no business would like to look at investing in Afghanistan. The country’s reserves are frozen, so they can’t print money. They can’t fulfil their functions as a central bank, for example. It just makes it very, very difficult for people to do business.

Gideon Rachman
And the litigation is based on what?

Saad Mohseni
Well, you know, most of these sanctions have been grandfathered then. They’re not new sanctions. Those sanctions from the ’90s and the early 2000s against individuals and the Taliban as a movement. So these sanctions need to get lifted. I mean, there’s pseudo-recognition from about three or four countries where they’ve accepted ambassadors. But really, these UN sanctions make it very, very difficult for anyone to do business in the country. But I think regional integration is important. But US leadership, we’ve discovered three years on, US leadership is key.

Fatima Gailani
America is the key. I saw it for the last 46 years that whatever is decided for Afghanistan, whether the Europeans agree or disagree, eventually they will follow the American policy. My hope is that, if not for the sake of Afghan people, for the sake of the Europeans and for the Americans themselves to have a safer life, to have another look in Afghanistan and find a way that Afghanistan, its people could be looked after, engagement could stay. And I am a great believer that with conversation, with engagement, we will find a way.

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Gideon Rachman
That was Fatima Gailani ending this edition of the Rachman Review. You also heard from Saad Mohseni. Thanks for listening. And please join me again next week.

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All Nippon Airways back in Perth

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All Nippon Airways back in Perth

The Star Alliance member is back in Western Australia with a three times a week 787-9 Dreamliner service

Continue reading All Nippon Airways back in Perth at Business Traveller.

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Ministers complain to Treasury over spending cuts

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Is Reform UK's plan to get Farage into No 10 mission impossible?
Getty Images Chancellor Rachel ReevesGetty Images

Cabinet ministers have written to the Treasury to complain about departmental cuts being proposed ahead of this month’s Budget and spending review.

Whitehall sources have suggested that the government is facing a £40bn gap in funding public services that would have to be filled by tax rises.

There has been considerable Cabinet disquiet about spending cuts required to meet the Treasury’s proposed spending limits.

An agreement was supposed to have been reached on Wednesday evening as the final major measures in the Budget were due to be sent to the official forecaster, the Office for Budget Responsibility.

Filling the gap in funding public services could lead to the largest tax rising Budget in a generation when Chancellor Rachel Reeves makes her statement on 30 October.

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Reeves has decided to commit to a new borrowing rule that means day-to-day spending must be covered by tax revenues.

As the government insists it will stick to manifesto promises not to raise taxes on working people, the focus is now on the extension of National Insurance to employer pensions contributions and increases in some form of capital gains tax.

There is also speculation that amid falling petrol prices, there is a possibility of higher fuel taxes.

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All the benefits that give you access to free NHS prescriptions – and how to claim them

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All the benefits that give you access to free NHS prescriptions - and how to claim them

THOUSANDS of benefit claimants are entitled to free NHS prescriptions that can slash their medical expenses.

In England prescriptions cost £9.90 per item, but some benefits give claimants access to free NHS prescriptions.

Many people who receive benefits can claim free NHS prescriptions to cut medical costs

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Many people who receive benefits can claim free NHS prescriptions to cut medical costsCredit: Getty

The flat prescription fee is designed to make necessary medication affordable, but if you are taking several prescriptions costs can quickly add up.

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So, if you’re eligible, claiming your free prescriptions could make a big difference.

And in some cases the entitlement could also give you free access to over-the-counter remedies.

What benefits grant access to free prescriptions?

You will be entitled to free prescriptions if you or your partner receive:

  • Income support
  • Income-based jobseeker’s allowance
  • Income-related employment and support allowance
  • Pension Credit (guarantee element)

You will also be entitled to free prescriptions if you receive Universal Credit and and your earnings for the most recent assessment period were £435 or less, or £935 or less if your claim included an element for a child, or if you have ‘limited capability for work’.

You could also be entitled to free NHS prescriptions if you receive tax credits and your annual family income is £15,276 or less. To claim you must be in receipt of:

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  • Child tax credit
  • Working tax credit and child tax Ccedit paid together
  • Working tax credit including a disability element

If you’re entitled to free NHS prescriptions your partner and any dependants under 20 will also be able to claim them.

How to save money when buying medicine

How to apply?

If you’re automatically entitled you can use your award notice as proof.

When you receive your prescription there a boxes to tick identifying the benefit that grants your entitlement.

For example if you’re claiming through Universal Credit you should tick box ‘U’.

However the NHS has said that some prescriptions may not have a ‘U’ box, if this is the case select box ‘k’ for for income-based jobseeker’s allowance instead.

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If you’re entitled to free prescriptions you will also be entitled to free over-the-counter remedies at participating pharmacies, following a consultation with a pharmacist.

Is other help available?

If you’re not automatically entitled to free NHS prescriptions, you may still be able to apply for help through the NHS Low Income Scheme.

If you’re on a low income you can apply for the scheme, as long as your savings or investments don’t exceed a certain value.

You cannot get help if you or your partner (or both) have more than: 

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  • £16,000 in savings, investments or property (not including the place where you live) 
  • £23,250 in savings, investments or property if you live permanently in a care home (£24,000 if you live in Wales)

How much you will receive depends on your weekly income, outgoings as well as savings and investments.

If you are granted support, you may be able to apply for a refund for medical expenses already incurred.

Who else is entitled to free prescriptions

Other people entitled to free NHS prescriptions include:

  • Those under 16 years old 
  • Those who are 16, 17, or 18 years old and in full-time education 
  • People who are 60 or older 
  • People with a valid medical exemption certificate (MedEx) for a specified medical condition, such as diabetes, epilepsy, or cancer 
  • Those with a valid maternity exemption certificate (MatEx)(issued as soon as your pregnancy is confirmed and valid until a year after birth)
  • NHS inpatients
  • People in receipt of a war pension exemption certificate and the prescription is for your disability

Other ways to save

Those ineligible for free prescriptions can still make savings by purchasing a Prescription Prepayment Certificate (PPC).

It’s essentially a season ticket, which you pay for once and can use to cover any prescriptions you need for one year.

You can also get them to cover three months.

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A one-year PPC costs £111.60, while a three-month PPC will set you back £31.25.

You can buy them on the NHS Business Services Authority’s website or via a registered pharmacy.

The point at which you start saving money with the three-month PPC is after buying four or more prescriptions.

With the one-year PPC, you start making savings after 12 or more purchases.

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So, if you need a lot of prescriptions every year, a PPC can definitely be worth your time.

Are you missing out on benefits?

YOU can use a benefits calculator to help check that you are not missing out on money you are entitled to

Charity Turn2Us’ benefits calculator works out what you could get.

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Entitledto’s free calculator determines whether you qualify for various benefits, tax credit and Universal Credit.

MoneySavingExpert.com and charity StepChange both have benefits tools powered by Entitledto’s data.

You can use Policy in Practice’s calculator to determine which benefits you could receive and how much cash you’ll have left over each month after paying for housing costs.

Your exact entitlement will only be clear when you make a claim, but calculators can indicate what you might be eligible for.

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Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.

Plus, you can join our Sun Money Chats and Tips Facebook group to share your tips and stories

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If you’re so happy, why are you buying so much gold?

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This article is an on-site version of our Unhedged newsletter. Premium subscribers can sign up here to get the newsletter delivered every weekday. Standard subscribers can upgrade to Premium here, or explore all FT newsletters

Good morning. Third-quarter earnings season is off to a good start. It’s mostly been banks so far. Market volatility has made the trading desks happy; on the retail side, interest margins are holding up better than expected; and the banking sector is up 6 per cent in the last week. In even happier news, the FT Alphaville Pub Quiz is returning to New York on November 12. Unhedged will be hosting a round — we hope to see you there for some wonky questions and a few drinks! Instructions for how to sign up are here. Email us: robert.armstrong@ft.com and aiden.reiter@ft.com

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Gold

A lot has been written about the gap between consumer sentiment, which remains bad, and employment and wages, which are strong. Something similar is happening in markets: sentiment is increasingly bullish, but gold continues to rally like crazy. This is not a totally anomalous situation, but historically gold has often peaked when investors are feeling insecure. That is not the case today. Here is a chart of the American Association of Individual Investors sentiment survey’s bull-bear spread (I use the 24-week average as it is a very noisy series) plotted against the gold price. The dotted lines mark spots where gold peaked just as sentiment troughed.

It is not just the AAII survey that shows sentiment is strong. Bank of America’s global fund manager survey this month showed the biggest leap in sentiment since June of 2020, along with bond and cash allocations coming down. So why is the price of the classic maybe-something-awful-happens asset, gold, hitting epic highs?

Unhedged has written several times before about the oddness of this gold rally. To recap the main points:

  • The gold price does not seem to be responding in a straightforward way to inflation or money printing. Gold rose when the first emergency fiscal and monetary actions increased the money supply in 2020. But then it went sideways as the money supply expanded further and inflation took hold. It was only after the Federal Reserve started absorbing liquidity, rates rose and inflation was slowing that gold really started to jump. Here is the gold price, M2 money, and the CPI price index rebased to 1 as of January 2020: 

Line chart of 01/01/2020 = 1 showing Why did gold wait?
  • The normal relationship between gold and real interest rates has broken. The real interest rate is the opportunity cost of owning a yieldless metal, so when real rates rise, gold tends to fall. Not this time:

  • Similarly, gold and the dollar strengthened in tandem for much of this year. Usually, because gold is priced in dollars and inversely related to US interest rates, they move in opposite directions. The relationship has normalised somewhat recently.

  • Gold mining stocks are not participating in the rally. The chart below, from James Luke of Schroders, shows the ratio of the gold price to the price of the VanEck Gold Miners ETF (the green line). Miners are very cheap compared to the metal. The blue line is the current gold mining industry “all-in sustaining cost margin” for producing an ounce of gold. The margin is very high indeed. A strange combination, and one that suggests that investors in gold miners — to the degree there are any of those left — do not believe $2,700 gold is going to last. 

As a way to make sense of these oddities, one might ask, who is buying all the gold? In particular, who has been buying it since it passed $2,100, the level at which many experts thought demand from price-sensitive buyers would dry up?

The first candidate is central banks. They did significantly increase the portion of their foreign exchange reserves held in gold in 2022 and 2023. But, according to the World Gold Council’s demand report, central bank demand is roughly flat in the first half of 2024.

Investment demand — ingots, coins, ETFs — also seems to be flattish relative to last year. While the holding of gold ETFs are rising a bit, they are still lower than they were last year at this time. Here’s a chart from Josh Wolfson at RBC:

Jewellery demand does not seem to be the culprit, either. Chinese and Indian jewellery demand, an important part of the global picture, has fallen dramatically as prices have risen and the Chinese economy has slowed, according to the WGC.

Who is driving the price then? I have heard various theories: sovereign wealth funds buying on the sly and hedge funds chasing the price are the most popular. Certainly, it is the case that momentum-driven quant funds will pursue any price with a strong upward trend. 

Whoever the marginal buyer is, the move from $2,000 to $2,700, if it should be sustained in any meaningful way in the months to come, does suggest that gold may be becoming a slightly different kind of asset.

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Of course it could be that gold is responding to the fact that there are wars in Europe and the Middle East, as well as acute electoral uncertainty in the US. Indeed, geopolitical worry is almost surely part of the story. But if it were the whole story, shouldn’t stocks be falling, and bond volatility be rising?

In a world awash in liquidity, gold may have become another asset investors buy when they decide they have too much cash on their balance sheets. If something like this is true, it would suggest that gold will act more like a risk asset, and less like a hedge, in the future.

A quite different explanation is that gold, rather than responding to short- or medium-term moves in rates, inflation and the money supply, is making an adjustment to the expectation that we are in a new, more fiscally profligate regime where the neutral rate of interest is higher, central banks are under more pressure, and inflationary incidents are more common. In such a world, gold might deserve a somewhat larger place in the optimal portfolio.

As something of a gold sceptic, I am struggling to accept any of these hypotheses. But I would be very keen to hear readers’ views.

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One good read

Flood insurance should probably be more expensive.

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CGT rise top of mind for advisers as Labour’s first Budget looms

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CGT rise top of mind for advisers as Labour’s first Budget looms

An increase in capital gains tax (CGT) is top of mind for advisers, with the majority believing it is one of the most likely announcements in the upcoming Budget, research by Royal London has revealed.

In a survey, the life, pensions and investment mutual asked advisers their thoughts on the most talked about Budget in recent years.

Over three quarters (78%) said they believe CGT changes are the most likely outcome.

The research suggested 50% of advisers are predicting changes to pensions tax relief, followed by 38% who think the chancellor will introduce income tax on defined contribution death benefits for someone who dies before the age of 75.

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Additionally, 25% are predicting a change to salary sacrifice for employer contributions.

At the other end of the spectrum, only 8% of respondents think the chancellor will make changes to Isa limits.

When asked what they would do if they were chancellor and had to save money on pensions, the responses varied from reducing tax relief on contributions (57%) to National Insurance changes (22%).

Notably, only 8% would reduce the level of tax-free cash to £100,000.

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Just over a third of those questioned (36%) have been proactively contacting clients about the Budget.

Conversely, over 80% of advisers have seen an increase in the number of clients contacting them about taking action in relation to their pension.

That increase is significant for around a quarter of those Royal London surveyed.

Of those getting in touch, 94% of clients who had not taken any tax-free cash are asking about taking it all ahead of the Budget.

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A smaller, but still significant 40% of respondents have clients who had planned to take tax free cash in stages and move the rest to drawdown or an uncrystallised funds pension lump sum but now want to take the full amount.

Meanwhile, 7% have asked about taking tax-free cash and buying an annuity.

While most advisers predict a change to CGT, they have seen a much smaller number of clients (41%) getting in touch to take action in relation to assets that might be subject to CGT.

Royal London director of policy Jamie Jenkins said: “Every fiscal event comes with its fair share of speculation, but this one is shaping up to be the most talked about Budget for years, with most commentators now expecting a range of tax changes to be announced.

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“At this stage, most advisers are fully expecting changes that will affect their clients and the advice they provide to them, but the speculation is shifting on a daily basis, leaving advisers in a difficult position.

“Meantime, it’s clear that clients are getting anxious about possible changes that may affect their finances, and some are bringing forward elements of their retirement plans.”

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