Brexit thread - what happens next
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Maybe he wound up a business that was failing anyway and is going into tourism or exports.
Faustus said:
Pretty much the below.
Well have I missed something here? Before the vote there were quite a number of news reports from places such as Cornwall and Wales, both areas that receive significant amounts of EU funding. All the locals to a man and woman were giving it large, ooh aah we are going to vote out, what's the EU ever done for us. Was this another parallel universe or was I dreaming? Now they want the EU to keep funding them?
You can understand why universal suffrage was resisted for so long can't you.
It's because British people don't want hand outs - they want to work hard and get on, and expect to be treated fairly by the law.
Oh and if we're doing pithy quotes about democracy, here's mine; "Democracy is the worst system of government, apart from all the others". If people are suggest we abandon democracy, please state what you'd replace it with.
Haha! That mythical £350m just got a bit more mythical.
Why would Brexit have much to do with this?
No, how would it work like that. By far most goes to OMO's where BoE just purchases bonds from markets. Money goes to whoever in the first place bought those bonds and is willing to sell them now. Some slice goes to purchases of private bonds, but I'm betting those are going to be relatively small fraction of BoE's balance sheet.https://simple.wikipedia.org/wiki/Quantitative_easing
It goes to the banks as cheap loans, basically. A central bank can do it because it controls the money supply, this is why people sometimes call it printing money.
That's called helicopter money. Even more exotic than QE, but some are suggesting it might be useful.
Let's say that on the 1st of January 2010 treasury sold a 10y bond with £1000 principal and 2% interest rate to open markets meaning that it got £1000 when it was handed out. During the following 5 years interest rates go down and 1st of January 2015 and treasury issues 5y bond with 1% interest rate, which is bought by someone.
1) Holder of first bond is entitled £20 / year in interest + £1000 on 31st Dec 2019
2) Holder of second bond is entitled £10 / year in interest + £1000 on 31st Dec 2019
It is very obvious, that if you try to sell these bonds to your average , first one will easily sell for higher price than the number 2.
Because bond 2's market value has just been set in open market bid between purchasers, we can say that it has value of £1000. Bond number 1 is going to provide £50 more income over next 5 years -> it's value would be something like £1040 or thereabouts.
So indeed, BoE purchases those "horribly expensive" £1040 valued 10y old bonds from open markets and starts collecting it's £20/year interest paid by treasury. In effect this has positive effect on treasurys income statement, because it's income increases by £20 / year it can squeeze out of BoE, instead of that £20 / year going to the pockets of private investors.
So yes, whoever happens to own governmental bonds gains little bit of immediate value increase due to QE, but it is not very big. By far the biggest benefactor is treasury, who:
a) in effect starts paying interest to BOE who returns money back to treasury
b) Since QE reduces number of governmental bonds in circulation, demand for new ones gets higher -> new bond can be issued with lower interest rate and therefore are cheaper for treasury over long term (assuming BoE doesn't happen to buy also those, which in effect cancels the interest).
also:
whenever government funds for example social security check, it is in effect helicoptering money on people. Not everyone, because it thinks that Bankers in City don't really need it's help that much, but mostly poor.
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Soldato
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It flits between benefit scroungers and the hard working little man with you DM lot
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I work at RBS. The bank put a lot of effort time and money into creating a stand alone bank - Williams and Glyn.
Today they announced that they are cancelling the project. This is due to the rates which is a result of brexit. They announced that they can no longer see how they can grow it's bank balance sheet sufficienly with acceptable returns.
They announced that many contractors will obviously loose their job (quite a lot) and they will transition perm staff back to Rbs.
Today they announced that they are cancelling the project. This is due to the rates which is a result of brexit. They announced that they can no longer see how they can grow it's bank balance sheet sufficienly with acceptable returns.
They announced that many contractors will obviously loose their job (quite a lot) and they will transition perm staff back to Rbs.
Nothing to do with the £2bn loss they made in the first 6 months of the year then? Sorry but RBS is a basket case - there's much, much worse to come for that company and it's nothing to do with Brexit. Fred Goodwin should be in prison for what he did.
Laughing at the handful of fundy remainers still posting in this thread.
Oh so that fact since Brexit the Uk largest house builderd has not built one house in the North means nothing?
That fact we laid off 4 out of 30 people last week with potentially more to come soon due to lack of work?
Construction in the UK has particularly stopped in some areas. This might just be a "blip" but for now there is no work and no sign it will start soon.
I can see lots of small building firms ceasing trading in the coming months.
Good, should speed up the eventual collapse of the housing investment based economy.
Soldato
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So how did being in the Eu affect that, they could do those things whilst being in the EU
My following statement will be as anecdotal and broad brush generalising as yours.
Its because the average Britsh person over states his worth and has a definition of hard work that is significantly lower then many from elsewhere in the EU.
Soldato
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Wishing for a collapse in that is one of the most negative things you can potentially want to inflict on our economy and potentially way of life forthe short / medium term.
If you were looking for a long term rebalancing then plenty would agree but wishing for a collapse is utterly idiotic frankly.
don't know what your problem is mate, this is fine, we knew this would happen. Go home and polish up your sovereignty tokens and then trade them in down the local supermarket for some food...................
Except that we need 250k new houses to be built every year for the population and we were only building 143k.
So you think by building less then house prices are going to go down?
Nope, but people will give up, and productivity in the country will fall and the happiness "index" will be at the lowest point.
It's wonderful really, but people really need to be forced off this "owning" **** phase, its facetious and wholly pointless.
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We still need the houses so why have they stopped building houses?
Leave or remain, we still have a housing deficit, what has stopped them building?
Atm nobody is buying them. Doesnt take the need away, just means nobody wants to buy a house atm.
Agreed that there should be council houses, enough for everybody and the house ownership route we went down in this country isnt the best.
But we need loads more social housing and long term rent agreements of 5,10 or even 20 years like in Europe.
Or we could just go back to the 50s were you lived with your parents even after you were married.
Democracy is fine. Referendums, particularly about emotive subjects, are dumb. There's a reason that up until the last decade we hardly had any. People vote based on 'gut feeling' instead of evidence. People can be easily swayed by empty promises. People can be manipulated based on lies that stir up hate against minority groups. There's a reason that Hitler was a fan of referendums.
+1
the whole thing should have been handled by the people we pay to do so
not the public.many things can be done by public vote, we can vote in people who are going to be in charge etc but voting for something as big as this? no thanks.
it's done now and I have a feeling that it'll all soon go away..
look at this thread alone, the discussion is cooling down etc..
So we can just let our elected leaders delegate their powers to third party organisations without us ever having a say because we voted them in? Can't see how that could ever go wrong
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