Bank of England: Brexit will be a distaster for Britain

[mentalfloss]

The Bank of England's Governor, Mark Carney, has spelled out that in the Bank's view Brexit will make Britain worse off than otherwise and also appeared to take an indirect swipe at the optimistic view of Boris Johnson and others that the UK can “have its cake and eat it” after leaving the European Union.

In his Mansion House speech on Tuesday morning Mr Carney said that “weaker real income growth [is] likely to accompany the transition to new trading arrangements with the EU”.

This assumption was embedded in the Bank's latest official forecasts, which showed the level of UK GDP in 2019 relative to its pre-June referendum forecasts lower by around 1.5 per cent, or £30bn in today's money.

But this is the most explicit the Governor, who has been attacked by some hardline Brexiteers for supposedly “talking down” the economy, has been on the issue.

Referring to the slump in sterling since last June's vote, Mr Carney told his audience that “markets have already anticipated some of the adjustment” and suggested that without a post-2019 transition process for the UK, which would retain single market and customs union membership for the UK for a period, the situation could deteriorate further and cause some firms to move operations out of Britain.

Brexit will make Britain worse off, Bank of England Governor Mark Carney says | The Independent

 

[Tecumsehsbones]

That's a disaster?

 

[MHz]

More like an event that is taking place in what is a rolling disaster. For the Bank of England it has already met it's Waterloo. Literally that was the very day they lost control of the English stock market that was the foundation of elite of England. At the end of the day there was one elite in all of the UK and the Royals were now their servants, well paid servants but servants rather than Lords all the same.

 

[darkbeaver]

A bonded bank servant like Mark the Carney is hardly a reliable source of information Mentalflush.

 

[White_Unifier]

The Bank of England's Governor, Mark Carney, has spelled out that in the Bank's view Brexit will make Britain worse off than otherwise and also appeared to take an indirect swipe at the optimistic view of Boris Johnson and others that the UK can “have its cake and eat it” after leaving the European Union.

In his Mansion House speech on Tuesday morning Mr Carney said that “weaker real income growth [is] likely to accompany the transition to new trading arrangements with the EU”.

This assumption was embedded in the Bank's latest official forecasts, which showed the level of UK GDP in 2019 relative to its pre-June referendum forecasts lower by around 1.5 per cent, or £30bn in today's money.

But this is the most explicit the Governor, who has been attacked by some hardline Brexiteers for supposedly “talking down” the economy, has been on the issue.

Referring to the slump in sterling since last June's vote, Mr Carney told his audience that “markets have already anticipated some of the adjustment” and suggested that without a post-2019 transition process for the UK, which would retain single market and customs union membership for the UK for a period, the situation could deteriorate further and cause some firms to move operations out of Britain.

Brexit will make Britain worse off, Bank of England Governor Mark Carney says | The Independent

Nothing new there.

The real queston is how to limit the negative impact as much as possible.

 

[Danbones]

...as bad as having the pound smashed by the jew burning, color revolution funder, leftist backer, and great friend of Justin Trudeau, indirect murderer of millions George Soros?

The Trade of the Century: When George Soros Broke the British Pound

In 1992, George Soros brought the Bank of England to its knees. In the process, he pocketed over a billion dollars. Making a billion dollars is by all accounts pretty cool. But demolishing the monetary system of Great Britain in a single day with an elegantly constructed bet against its currency? That’s the stuff of legends.
https://priceonomics.com/the-trade-of-the-century-when-george-soros-broke/

how much does he pay you a day to post this stuff MF?
( Trump's election cost him a Billion YAY!!!! )

 

[darkbeaver]

Carneys masters will hang him when the Englanders escape thier clutches.

 

[Danbones]

hehe LOL, yeah they eat their failures

 

[Curious Cdn]

Carneys masters will hang him when the Englanders escape thier clutches.

Carney will get the sack for telling it like it is and for not cheerleading the Government Brexit narrative.

It is rather like governments defunding science research that reaches conclusions that are contrary to government platforms.

Truth be damned.

Alternate truths.

 

[mentalfloss]

He won't get sacked.

May has very little influence now.

 

[Curious Cdn]

He won't get sacked.

May has very little influence now.

She's a nasty bit of business, tho ...

 

[Danbones]

Vote for the EU nazis then

 

[Bar Sinister]

...as bad as having the pound smashed by the jew burning, color revolution funder, leftist backer, and great friend of Justin Trudeau, indirect murderer of millions George Soros?

The Trade of the Century: When George Soros Broke the British Pound

In 1992, George Soros brought the Bank of England to its knees. In the process, he pocketed over a billion dollars. Making a billion dollars is by all accounts pretty cool. But demolishing the monetary system of Great Britain in a single day with an elegantly constructed bet against its currency? That’s the stuff of legends.
https://priceonomics.com/the-trade-of-the-century-when-george-soros-broke/

how much does he pay you a day to post this stuff MF?
( Trump's election cost him a Billion YAY!!!! )

Hey, I found a new news source for you. I expect you will make wide use of it.

The Onion - America's Finest News Source

 

[Blackleaf]

The Bank of England's Governor, Mark Carney, has spelled out that in the Bank's view Brexit will make Britain worse off than otherwise and also appeared to take an indirect swipe at the optimistic view of Boris Johnson and others that the UK can “have its cake and eat it” after leaving the European Union.

In his Mansion House speech on Tuesday morning Mr Carney said that “weaker real income growth [is] likely to accompany the transition to new trading arrangements with the EU”.

This assumption was embedded in the Bank's latest official forecasts, which showed the level of UK GDP in 2019 relative to its pre-June referendum forecasts lower by around 1.5 per cent, or £30bn in today's money.

But this is the most explicit the Governor, who has been attacked by some hardline Brexiteers for supposedly “talking down” the economy, has been on the issue.

Referring to the slump in sterling since last June's vote, Mr Carney told his audience that “markets have already anticipated some of the adjustment” and suggested that without a post-2019 transition process for the UK, which would retain single market and customs union membership for the UK for a period, the situation could deteriorate further and cause some firms to move operations out of Britain.

Brexit will make Britain worse off, Bank of England Governor Mark Carney says | The Independent

Is that the same Mark Carney who was forced to eat humble pie back in February when he admitted that his UK economic growth forecast for 2017 of 0.8%, due to the Brexit vote, that he predicted back in August is actually wrong and that he now accepts the UK economy to grow 2% in 2017? And now, after making so much doom-mongering and failed predictions in the past, he wants us to believe his latest one?

Mark Carney WRONG about Britain's economy and UK interest rates, says top BoE economist

BRITAIN'S economy has coped with Brexit and could soon be ready for interest rates to rise, the Bank of England's chief economist said today in an outlook sharply contrasting with his boss Mark Carney.

By Lana Clements
Thu, Jun 22, 2017
The Daily Express

Bank of England Governor Mark Carney delivers a speech at the Bankers and Merchants breakfast at Mansion House in London on 20 June 2017​

Andy Haldane raised expectations a hike could happen this year after he told an audience in Bradford he could soon change his position on the rate setting committee from hold to rise.

The Bank's top economist said the reasons for keeping rates on hold at 0.25 per cent had begun to fall apart after Britain's economy continued to smash expectations following the Brexit vote.

The comments come just a day after Mr Carney warned now is not the time to raise interest rates.

In another doom-mongering forecast the Governor said the UK economy faces more risks amid the withdrawal from the European Union (EU) and the heightened political uncertainty.

Andy Haldane said Britain could soon be ready for interest rates to rise

However, in a much more upbeat assessment of Britain's strength, Mr Haldane today said: "Some of the worst of the post-referendum fears about UK growth have failed to materialise.

"Growth has been more resilient than expected.

"The Bank’s Inflation Report forecasts for UK growth in 2017 have been revised up by over a percentage point since last August.

"Smoothing out the bumps, surveys of activity and confidence, among both consumers and businesses, have scarcely budged.

"Although a little weaker than last year, those surveys continue to point to solid, around-trend, growth."

The economist said he is now worried the Bank of England could be leaving it too late to raise interest rates - which could mean much sharper and shocking rate rises later.

Mr Haldane added that he now believes that the Bank should soon remove some of the measures it put in place last year after the Brexit vote last year.

In August the Bank cut rates from 0.5 per cent to 0.25 per cent in response to the referendum result.

Mr Haldane said this could be reversed from the second half of the year - which means the economist could call for a rate rise from next month.

The comments sent the pound up against the euro and the dollar.

Fawad Razaqzada, market analyst at Forex.com, said: "The pound jumped and the FTSE dropped after the Bank of England’s chief economist and Monetary Policy Committee member said he’s ready to vote for an increase in interest rates 'relatively soon'.

"This came as a major surprise because Mr Haldane has long been a known dove.

"He is going head-to-head against the Governor Mark Carney, who is fast losing support on his dovish stance."

Mark Carney WRONG about UK interest rates, says BoE economist Andy Haldane | City & Business | Finance | Express.co.uk

 

[tay]

Britain needs to save more, train up its workers and become a more competitive economy to try to bring down its very large current account deficit, the International Monetary Fund has warned.

Analysts studied 28 of the world’s largest economies and found the UK has the biggest deficit, running at 4.4pc of GDP.

The current account deficit is made up of the trade deficit – as the UK imports more than it exports – combined with the balance of the flows into the economy from overseas investments, and out of the UK to foreign investors.

Britain’s deficit of 4.4pc is the largest, followed by Turkey’s at 3.7pc of GDP, Mexico’s 2.7pc and Australia’s 2.6pc. The US’s deficit has dropped sharply to 2.4pc of GDP, from more than 6pc in the pre-crisis years.

UK “structural reforms focused on broadening the skill base and investing in public infrastructure should boost productivity, improving the competitiveness of the economy,” the IMF said.

“Maintaining financial stability through macroprudential policies should also support private-sector saving. These efforts are particularly important in light of expectations that access to the EU market will become more restrictive.”

UK must address giant trade deficit, IMF warns*

 

[Jinentonix]

Methinks Carney has some backroom deals with the Eurotards that may fall apart as a result of Brexit. Besides, the EU is on borrowed time. Germany is the only country left that has a decent economy and they'll be stuck holding the bag for the entire EU. I don't see that arrangement lasting very long.
You see, at that time it could work. Italy, Germany, France and Britain all had decent economies so the the four of them could carry the weight of the rest if/when necessary. Since then, Italy's economy has hit the shitter, France's isn't what it used to be and Britain is seeking its independence from the EU. All while countries like Greece have economic crisis after economic crisis.
Not to mention this has been a real eye-opener for some Europeans at least, who have seen the rampant red fascism within the EU and it's hatred of anything democratic.