Before heading off for his summer break Mark Carney said the risks of a no-deal Brexit were uncomfortably high. Last week Philip Hammond warned the Treasury would take an £80bn hit if negotiations between Britain and the EU failed completely.
There is a risk to this latest manifestation of Project Fear. If the public really thinks that in eight months’ time Britain is going to be plunged into the economic equivalent of a nuclear winter, the economy will take a serious hit.
So far, though, people seem relatively relaxed and haven’t spent the bank holiday weekend stripping supermarket shelves of baked beans and bottled water. While opinion polls show that voters think – rightly – that the government is making a pig’s ear of the Brexit negotiations, the state of the economy suggests they are taking what Carney and Hammond say with a pinch of salt.
Last week’s survey of manufacturing and retail sales from the CBI were both solid, unemployment was last lower in early 1975, and the public finances smashed expectations last month with the biggest July surplus in almost two decades. If nothing else, the thought that he will have more money to play with in the autumn budget should cheer the chancellor up a bit.
https://www.theguardian.com/business...xit-apocalypse
Real panic will start as soon as people know the truth - we will run out of coffee!!!
There is a risk to this latest manifestation of Project Fear. If the public really thinks that in eight months’ time Britain is going to be plunged into the economic equivalent of a nuclear winter, the economy will take a serious hit.
So far, though, people seem relatively relaxed and haven’t spent the bank holiday weekend stripping supermarket shelves of baked beans and bottled water. While opinion polls show that voters think – rightly – that the government is making a pig’s ear of the Brexit negotiations, the state of the economy suggests they are taking what Carney and Hammond say with a pinch of salt.
Last week’s survey of manufacturing and retail sales from the CBI were both solid, unemployment was last lower in early 1975, and the public finances smashed expectations last month with the biggest July surplus in almost two decades. If nothing else, the thought that he will have more money to play with in the autumn budget should cheer the chancellor up a bit.
https://www.theguardian.com/business...xit-apocalypse
Real panic will start as soon as people know the truth - we will run out of coffee!!!
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