Here are the business stories making the headlines across Scotland and the UK this morning.

Government drops plans for mandatory digital ID to work in UK

The government has dropped plans requiring workers to sign up to its digital ID scheme in order to prove their right to work in the UK, the BBC understands.

By 2029, right to work checks will be done digitally – for example by using biometric passports – but registering with the new digital ID programme will be optional.

This marks a shift from last year when the government first announced the policy and Prime Minister Sir Keir Starmer told an audience: "You will not be able to work in the United Kingdom if you do not have digital ID. It's as simple as that."

The Traitors producer in talks to merge with studio behind Peaky Blinders

The production companies behind Peaky Blinders and The Traitors are in talks to merge after abandoning a push to buy ITV’s studio division.

Banijay, the French company behind Peaky Blinders, the Birmingham-set gangster drama, as well as MasterChef, is said to be in discussions to merge with Traitors-maker All3Media, which is owned by RedBird IMI.

If confirmed, a tie-up would create one of the world’s largest production groups with operations spanning Europe. The joint entity would have around £5billion in revenues, according to the latest available accounts.

BBC overtaken by YouTube in end of an era for TV

The BBC has been overtaken by YouTube for the first time, signalling the end of the corporation’s near century of dominance of entertainment in Britain.

YouTube now attracts a larger audience than all of the BBC’s channels combined, according to official ratings agency Barb.

Almost 52 million people watched YouTube on their televisions, smartphones or laptops in December, compared with the 50.8 million Britons who tuned into the BBC.

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