Tuesday, April 19, 2016

Best Reasons Ever For Brexit!

The Financial Times April 18, 2016

Fears over British EU referendum hold back hiring and investment

 -Uncertainty chills business -Top London Property hit -European groups delay plans

Sarah Gordon-London
Uncertainty over the outcome of Britain's EU referendum is having a chilling effect on business activity, with companies pulling back on hiring and investment across sectors from real estate to recruitment.
The slowdown is hitting property prices at the high end of the London property market and hiring in financial service last month fell 21 percent against last year.
'[Brexit fears are] having a huge impact on general confidence,' said Lord Davies, a British businessman who chairs several private equity companies. 'What is scary for foreign direct investors and investors generally is the fear of the unknown.'
...French economy minister Emmanuel Macron yesterday said Britain would struggle to regain access to the EU's single market and would lose its negotiating power in talks to protect its ailing steel industry from Chinese rivals. {My note: that's pretty hilarious given Cameron's opposition to any protectionist measures}.
His comments followed a warning from German finance minister Wolfgang Schauble, who said Berlin would be a tough negotiator if the UK voted to leave the EU and there would be no easy trade deal between the two countries.
The London property market is already showing signs of a "Brexit effect,"....
Property prices across the UK are still at historic highs, but the growth in central London, traditionally a target of foreign investors, from French bankers to Russian oligarchs, has slowed sharply.
... The real estate arm of Union Investment, the German investment company, said it had delayed buying an office building in the City of London Because of the risk of Brexit.
Now how can anyone not want more of that? More chilling of business? More declines in London property prices? More delays to buying office buildings in the City? More discord and friction among the bourgeoisie of the UK, Germany, and France?  Bring it on, Brexiteers!

Reasons to be cheerful are........(part) three, right Ian?
1. Uncertainty chills business
2. Top London Property hit
3. European groups delay plans.

When's the last time any social movement in the UK had such a "chilling effect" on the European bourgeoisie? On real estate prices in the City? Probably not since 1973- 1974 when the miners/power workers strike pushed Heath out of office. Or maybe 1926.

This is the best news from Britain since Thatcher died.

April 19, 2016

1 comment :

  1. 'Our' bourgeoisie in the UK appears to wish to remain in the European Union; being a natural rebel I wish to do the opposite.