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Brexit: The last nail in the British Empire

Nonan

Legendary Member
Orange Room Supporter
It works the same way as the pensions I spoke about. Government pension is a defined benefit plan. The kinks may differ, but the concept is the same. In the US (and anywhere else I reckon), pension plans receive most of their annual income from investments, not contributions. See figure.

Your assertion is not accurate. (The anywhere else assertion). In France, all benefits are funded by pay from existing taxpayers. In fact, even in the US social security is funded by existing tax payer (that 6% you pay on your income). The issue is that the benefits are so low that all those who can afford it and are salaried employees complement it with either a defined benefit plan (slowly evaporating) or a defined contribution plan.
 

Iron Maiden

Paragon of Bacon
Orange Room Supporter
hahahahaha did u guys see how the stock markets and the pound is rallying since the beginning of the week?

fear mongering at its best, media tools that spread the propaganda of Junker and Co. disregarding the will of the populations.

Savage politically correct leftism that is willing to discredit a totally democratic referendum because of the final result, aka suprise buttseks

enjoy Farage you misinformed lot:


PS: @OP nice thread title, invoking imperialism just to shun the will of a free people, get over your butthurt the british empire has been gone since WWII
 

Mighty Goat

Legendary Member
Orange Room Supporter
hahahahaha did u guys see how the stock markets and the pound is rallying since the beginning of the week?

fear mongering at its best, media tools that spread the propaganda of Junker and Co. disregarding the will of the populations.

Savage politically correct leftism that is willing to discredit a totally democratic referendum because of the final result, aka suprise buttseks

enjoy Farage you misinformed lot:


PS: @OP nice thread title, invoking imperialism just to shun the will of a free people, get over your butthurt the british empire has been gone since WWII

Indeed it is news when an imperial state is asking for independence!
 

CitizenOfTheRepublic

Legendary Member
Part of the GBP devaluation is caused by the panic and uncertainty. With time more clarity about the future comes up giving way for a slight rise in the GBP, however, that is not to say that it will go back to its pre-Brexit levels. There is an economic loss that stems from leaving the common market that the UK will have to learn to live with, so will the EU for that matter but on a smaller scale. Just read the news about JP Morgan and Vodafone and you will find that most companies that used the UK as an entry point to the EU are relocating. In the end a market of 450M is far more attractive than one of 65M. Of course that is if the same monetary policy is pursued as there are "artificial" ways to bump up the currency without an economic recovery.
 

Danny Z

Legendary Member
hahahahaha did u guys see how the stock markets and the pound is rallying since the beginning of the week?

fear mongering at its best, media tools that spread the propaganda of Junker and Co. disregarding the will of the populations.

Savage politically correct leftism that is willing to discredit a totally democratic referendum because of the final result, aka suprise buttseks

enjoy Farage you misinformed lot:


PS: @OP nice thread title, invoking imperialism just to shun the will of a free people, get over your butthurt the british empire has been gone since WWII

He even knows he can't survive without free trade, he wants free tariff without being in the union, this is not going to work for him. The EU will protect its economy and impose tariffs on the UK. He can also impose tariffs on the EU but his need to export to the EU is bigger than their need to export to, that's one, two they won't give him what he wants because then every nation will get out of the you and asks for what they want from the EU and what suits without suiting the EU, that's a one sided deal that EU won't accept. When tariffs are imposed on companies operating from the UK all companies with headquarters in the UK that deal with all Europe will find it more attractive to move to an EU nation and sell without tariffs there and only get tariffs in the UK as the EU market is much bigger than the UK, when Scotland leaves the UK, the market will even gets smaller and the U.K. will even loose its oil wells in the North Sea to Scotland, another major income to its economy. He can play the populist as much as he wants but he knows damn well and he mentioned even in his defiant speech that he wants trade barriers removed. He's with free trade but he's against it too. Reminds me of trump who keeps jumping around not knowing what he wants except being popular.
 

Iron Maiden

Paragon of Bacon
Orange Room Supporter
He even knows he can't survive without free trade, he wants free tariff without being in the union, this is not going to work for him. The EU will protect its economy and impose tariffs on the UK. He can also impose tariffs on the EU but his need to export to the EU is bigger than their need to export to, that's one, two they won't give him what he wants because then every nation will get out of the you and asks for what they want from the EU and what suits without suiting the EU, that's a one sided deal that EU won't accept. When tariffs are imposed on companies operating from the UK all companies with headquarters in the UK that deal with all Europe will find it more attractive to move to an EU nation and sell without tariffs there and only get tariffs in the UK as the EU market is much bigger than the UK, when Scotland leaves the UK, the market will even gets smaller and the U.K. will even loose its oil wells in the North Sea to Scotland, another major income to its economy. He can play the populist as much as he wants but he knows damn well and he mentioned even in his defiant speech that he wants trade barriers removed. He's with free trade but he's against it too. Reminds me of trump who keeps jumping around not knowing what he wants except being popular.

you're getting much ahead of yourself and media speculation.. the scots already voted on staying in the UK not long ago.

what Farage is asking for is exactly what Norway and Switzerland brokered with the EU: sovereignty in a friendly open market. you forhet that the UK is 55Million of the EU's 450million population, holding almost 14% of trade volume with its european counterparts. They sure dont want to lose this very profitable trading route. The uk can get supplied elsewhere if tarifs are imposed but the eu exporters wont find such a wealthy market so easily.

populist shenanigans you call it, i call it common sense

Indeed it is news when an imperial state is asking for independence!

how's the weather in19th century lala land?
 

Danny Z

Legendary Member
you're getting much ahead of yourself and media speculation.. the scots already voted on staying in the UK not long ago.

what Farage is asking for is exactly what Norway and Switzerland brokered with the EU: sovereignty in a friendly open market. you forhet that the UK is 55Million of the EU's 450million population, holding almost 14% of trade volume with its european counterparts. They sure dont want to lose this very profitable trading route. The uk can get supplied elsewhere if tarifs are imposed but the eu exporters wont find such a wealthy market so easily.

populist shenanigans you call it, i call it common sense



how's the weather in19th century lala land?

That 14% is based on companies whose headquarters in the UK, if the UK is out and EU hashes tariffs on them they will move to Germany to access the bigger maker with less tariffs. Tata steel Europe, invensys, Viacom, virgin records, SABMiller, square Enix are all companies whose sales are international and who would benefit much more from a bigger market and no tariffs by moving to Europe than being headquarters in tiny England. Why would they stay there, it is not like this has not happened before, when Quebec wanted to separate all companies moved to Toronto, even though the separation never happened nobody came back. Montreal never recovered since and remained a small town compared to Toronto.

as for the scots they voted in staying in the EU, their old referendum of last year did not have the a Brexit as a stake, how will England manage this now, it is a whole different ball game, you don't believe me check with Nicolas Sturgeon who has been saying it since the brexit vote. Also during the northern Ireland conflict the British controlled the border with Ireland to stop the flow of support from Ireland, the northern Irish brokered peace deal removed the border, implicitly keeping a porous border with Ireland where the Irish can cross both ways in return the N Irish stay in the Kingdom and never ask for unification. Now paet why Britain voted the a Brexit is to control its borders, ask Farage has said, that means sealing the border with Ireland to stop flow of immigrants or,else anybody can go through the the porous border and jump to the mainland, how will The N Irish react to closing the border with what their consider their original motherland knowing that they voted to stay in the EU and they want an open border with Ireland. Will the Brits send troops to control the riots, will the IRA dig their weapons out?
Both Scots and N Irish find themselves in a situation they don't want to be in because of England and Wales.
Soon the English will have to let them go.
 

HannaTheCrusader

Legendary Member
Orange Room Supporter
hahahahaha did u guys see how the stock markets and the pound is rallying since the beginning of the week?

fear mongering at its best, media tools that spread the propaganda of Junker and Co. disregarding the will of the populations.

Savage politically correct leftism that is willing to discredit a totally democratic referendum because of the final result, aka suprise buttseks

enjoy Farage you misinformed lot:


PS: @OP nice thread title, invoking imperialism just to shun the will of a free people, get over your butthurt the british empire has been gone since WWII


was about to post this
you seriously reading what jarab analysts are parroting ?


 

Nayla

Legendary Member
Orange Room Supporter
teghyir jaw :p

 
Last edited:

hola!

Member
Pound sterling falls below $1.31 hitting new 31-year low | Business News | News | The Independent

The pound has fallen below $1.31 for the first time in 31 years amid growing concerns about the financial stability of the UK after the decision to leave the EU.

The Bank of England's twice-yearly stability report had earlier confirmed that the financial stability of the UK had already been affected by Brexit, helping to push the pound lower.

“There is evidence that some risks have begun to crystallise. The current outlook for UK financial stability is challenging,” the Bank of England said.
The last time the pound was worth less than $1.31 was in September 1985.

It slipped to $1.3075, down 1.6 per cent after Aviva suspended trading on its property fund, worth £1.8 billion, breaching the $1.3118 low reached on the Monday after the results of the referendum were announced.

The pound was trading down 1.91 per cent $1.3035 as markets closed on Tuesday.

That means the pound is worth 12 per cent less to UK holidaymakers in the US than it was before the referendum.

The pound was down 1.34 per cent against the euro at €1.1749 at the close.

Aviva followed the lead of Standard Life and stopped trading on its property fund to prevent a rush on withdrawals as investors tried to take their money out of the property market.

The Bank of England warned in its twice-yearly assessment that the share prices of real estate investment trusts had tanked. This could have a knock on effect to domestic companies and the wider economy because 75 per cent of small businesses use commercial property as collateral for loans.

"Any adjustment in commercial real estate markets could be amplified by the behaviour of leveraged investors and investors in open-ended commercial property funds. Any such amplification of market adjustments could affect economic activity by reducing the ability of companies that use commercial real state as collateral to access finance," the Bank of England said.

Stress tests at smaller UK banks, conducted after the financial crisis of 2008, have shown that they can absorb a 30 per cent fall in property prices.

Colin Dewar, head of currency dealing, HL currency service, said that the pound would stay volatile until a clear picture had emerged about what the Bank of England has planned for interest rates.

“Carney reiterated that the Bank has a wide range of tools if further easing is needed, but declined to offer any indication as to when the Bank might act," Dewar said.

"The increasingly poor picture surrounding the UK’s economy makes next week’s Monetary Policy Committee meeting all the more important. Sterling is likely to remain subject to volatility until we have a clear picture of the central banks’ monetary policy path," he added.

The Bank of England has signalled that it was likely to cut interest rates over the summer, with a move to lower the cost of borrowing to come as early as July.

Mark Carney, governor of the Bank of England, did not confirm a date for interest rates to change when he presented the stability report on Tuesday.
As part of the measures planned to fight off a downturn, the Bank has reduced capital buffers by £5.7 billion, effectively allowing banks to lend £150 billion more to households and businesses.

Carney said changes to lending rules were to combat signs that people were pulling out of investments and becoming less keen to take risks.

He said that the two-day fall in sterling was the sharpest in half a century, but that the lower value of the pound was “necessary” for other adjustments in the economy.

“The adjustment in sterling has been significant and was sharp initially.

“That adjustment has moved in the direction that is necessary to facilitate some of the economic adjustments that are needed in the economy,” he said.

But with interest rates already at a record low of 0.5 per cent, it is unclear whether changes to lending rules will be enough to get households and companies to borrow and invest more money.

"Given already record low interest rates, and in light of the risks facing the British economy and neighbouring states, there is little confidence in undertaking new borrowing among companies and households," said Mihir Kapadia, CEO at Sun Global Investments.

"The current state of affairs surrounding not only Britain’s relationship with Europe but also the leadership battles affecting both major political parties is likely to encourage a risk-averse attitude and a collapse of consumer confidence," he said.
 

hola!

Member
That 14% is based on companies whose headquarters in the UK, if the UK is out and EU hashes tariffs on them they will move to Germany to access the bigger maker with less tariffs. Tata steel Europe, invensys, Viacom, virgin records, SABMiller, square Enix are all companies whose sales are international and who would benefit much more from a bigger market and no tariffs by moving to Europe than being headquarters in tiny England. Why would they stay there, it is not like this has not happened before, when Quebec wanted to separate all companies moved to Toronto, even though the separation never happened nobody came back. Montreal never recovered since and remained a small town compared to Toronto.

as for the scots they voted in staying in the EU, their old referendum of last year did not have the a Brexit as a stake, how will England manage this now, it is a whole different ball game, you don't believe me check with Nicolas Sturgeon who has been saying it since the brexit vote. Also during the northern Ireland conflict the British controlled the border with Ireland to stop the flow of support from Ireland, the northern Irish brokered peace deal removed the border, implicitly keeping a porous border with Ireland where the Irish can cross both ways in return the N Irish stay in the Kingdom and never ask for unification. Now paet why Britain voted the a Brexit is to control its borders, ask Farage has said, that means sealing the border with Ireland to stop flow of immigrants or,else anybody can go through the the porous border and jump to the mainland, how will The N Irish react to closing the border with what their consider their original motherland knowing that they voted to stay in the EU and they want an open border with Ireland. Will the Brits send troops to control the riots, will the IRA dig their weapons out?
Both Scots and N Irish find themselves in a situation they don't want to be in because of England and Wales.
Soon the English will have to let them go.

What you said is absolutely correct.

I was talking to a good friend of mine from the UK. He was extremely stressed out about the Brexit outcome. He admitted his old parents voted for it but most of those who did were hoping it wouldn’t pass. They only wanted to make a statement but they got more than they bargained for.

He also suggested that the exit doesn’t have to go through without a trigger by the government and hoped they go through a second referendum now that the writing is on the wall.

But regardless of what happens next, London has lost its credibility as a financial city and every company that caters mainly to Europe is in the process of moving outside the UK into the EU.
 

Danny Z

Legendary Member
What you said is absolutely correct.

I was talking to a good friend of mine from the UK. He was extremely stressed out about the Brexit outcome. He admitted his old parents voted for it but most of those who did were hoping it wouldn’t pass. They only wanted to make a statement but they got more than they bargained for.

He also suggested that the exit doesn’t have to go through without a trigger by the government and hoped they go through a second referendum now that the writing is on the wall.

But regardless of what happens next, London has lost its credibility as a financial city and every company that caters mainly to Europe is in the process of moving outside the UK into the EU.

A second referendum doesn't make any sense in democracy, you do not repeat voting until you get what you want. What if the second referendum votes against Brexit, some people who voted for it in the first place will have the absolute right to ask for a repeat again, when does it end?
 

CitizenOfTheRepublic

Legendary Member
A second referendum doesn't make any sense in democracy, you do not repeat voting until you get what you want. What if the second referendum votes against Brexit, some people who voted for it in the first place will have the absolute right to ask for a repeat again, when does it end?
I doubt they will have another referendum, however, there can be another round of general elections if things get deadlocked. At this very moment they still are not but who knows.
 

hola!

Member
Did anyone notice GBP gone up slightly.
No. Did you?:rolleyes:

Sterling hits new 31-year low against the dollar | Business | The Guardian

The pound sank to a fresh 31-year low against the dollar on Wednesday amid growing signs that the shock Brexit vote is already damaging the UK economy.

Sterling hit a low of $1.2796 at one point as investors lost confidence in Britain’s future outside the European Union and piled out of the UK currency.

Sterling has plunged almost 15% since a poll published on 23 June – the day of the referendum – wrongly indicated Britain had voted to stay in the EU, pushing the UK currency above $1.50. The pound also fell to a near three-year low against the euro at €1.1741.


 
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