Reuters (August 6)
“Watching the slow-motion crash of Britain’s exit negotiations with the European Union is a disconcerting experience. A state that once ran a global empire is looking second-rate.” Realism has all but been abandoned. “The government’s implausible expectations about what it may be able to achieve” reveal a “dismaying lack of historical and strategic understanding about how Britain lost its clout outside the European club more than half a century ago.”
Tags: Brexit, Clout, Crash, Disconcerting, EU, Expectations, Global empire, Implausible, Negotiations, Realism, Strategic, UK, Understanding
Bloomberg (August 29)
“Brexit is beginning to look like a classic case of a mountain giving birth to a mouse” and, except for losing its say in EU affairs, little is likely to change. “The U.K. will simply lose its vote in the EU. The rest will remain as it is now for an indefinite period during which a new trade deal will be discussed in the standard EU fashion — slowly, deliberately, with each of the 27 EU countries working through its own agenda until there’s a consensus.”
Tags: Agenda, Brexit, Consensus, Deliberate, EU, Slow, Trade deal, UK
The Guardian (August 24)
“Something big is slowly stirring in the undergrowth of British politics. Fact by fact, announcement by announcement, the case for Britain to remain in the European Union’s single market and customs union is growing stronger and more irresistible by the day. Such an outcome is most definitely not this government’s policy. But, this autumn, something will have to give.”
Tags: Customs union, EU, Government, Irresistible, Outcome, Policy, Politics, Single market, UK
Reuters (August 7)
If EU Budget Commissioner Guenther Oettinger gets his way, “Britain will have to keep making payments for long-term programmes to the European Union until at least 2020, even after it leaves the bloc in 2019.”
Reuters (July 27)
“British-based investment firms’ long-standing ability to manage billions of euros of assets elsewhere in Europe could be threatened by Brexit.” Newly issued EU guidance suggests regulators will crack down on “delegation” with the aim of preventing investment firms from “setting up ‘empty shell’ subsidiaries in an EU country, to allow them to continue serving European clients, but leaving the bulk of their management staff and operations in London.”
Tags: Assets, Brexit, Clients, Delegation, EU, Europe, Euros, Guidance, Investment, London, Shell subsidiaries, UK
The Guardian (July 17)
“Desperate with hope,” many Brits are “drawn to the crescendo of signals that Brexit can’t and won’t happen, to stories that say the sheer impossibility of leaving the EU gets clearer by the day.” The signals are everywhere. “Fall off the EU cliff and put a third of our just-in-time food supply at risk. No flying to the EU, warns Ryanair, as easyJet moves its new HQ to Austria….car sales are down 10%, credit card debt up 10%, wages are falling behind rising inflation.” Yet even as the UK’s economy “sinks, while the EU’s charges ahead,” there is no guarantee that Brexit will ultimately prove reversible.
Tags: Austria, Brexit, Car sales, Credit cards, Debt, Desperate, EasyJet, Economy, EU, Food supply, Hope, HQ, Ryanair, UK, Wages Inflation
Financial Times (July 5)
If Japan and the EU sign their free trade agreement, it “will stand as a powerful rejection of Donald Trump’s protectionist posture…. It will also highlight the challenge facing Britain. A hard Brexit would leave UK companies in some sectors on worse trade terms with their neighbour Europe than Japanese competitors halfway around the world.” There’s no shortage of irony as “the UK and the US risk being left behind — or forced to rethink their repudiation of the global order they built.”
Tags: Brexit, Competitors, EU, Free trade, Global order, Japan, Protectionist, Trump, UK
Wall Street Journal (June 18)
Helmut Kohl’s “vision shaped post-Cold War Europe for the better. Among the many leaders who shaped modern Europe, few have been as consequential…. He saw his country through the death of the Cold War and the birth of a reunited Germany at the center of a more deeply integrated European Union.”
Der Spiegel (May 29)
“Merkel has positioned herself more clearly than ever before as Europe’s defender in the face of the Trump challenge — a role that her SPD challenger Martin Schulz had been hoping to play. The SPD can do little more than agree with the chancellor. On Monday, Schulz tweeted ‘the best response to Donald Trump is a strong Europe’ — which is essentially exactly what Merkel said.”
Institutional Investor (April 13)
“The sell side doesn’t quite get it yet,” but a major shift will soon transform their very existence. With Phase two of the EU’s Markets in Financial Instruments Directive (MiFID) scheduled to take effect in January, broker-dealers must “explicitly price a dark art whose cost was previously wrapped into trading commissions (on equity products) or spread (on fixed income). And that, in turn, could put a lot of analysts out of work in Europe, the U.K….and, in time, the U.S. and everywhere else.” Current predictions are that by 2020 global research volume will decrease by around 25% to 60%… or even more.
Tags: Analysts, Broker dealers, EU, MiFID, Research, Sell-side, Spread, Trading commissions, U.S., UK, Volume