Sunday, September 29, 2019
Who really benefits from Brexit?
It is very rare for Philip Hammond and Rachel Johnson to speak for a majority of the country, but this week they managed it in spades, when they questioned the motives of the Prime Minister in pushing for a no-deal Brexit, arguing that he is pursuing the interests of financial backers who have the most to gain from such a scenario.
As the Guardian reports, this has led to pressure on the UK’s most senior civil servant to investigate Boris Johnson’s financial backers and the cross-party claims that unnamed individuals stand to benefit from his willingness to pursue the UK's worst possible exit from the EU:
John McDonnell, the shadow chancellor, has written to the cabinet secretary, Sir Mark Sedwill, asking if there may be a conflict of interest in Johnson’s acceptance of support from hedge funds that could gain from an economic shock.
Earlier on Saturday, Philip Hammond, the former chancellor, suggested Johnson was pursuing the interests of financial backers set to gain from a no-deal Brexit, in a major escalation of tensions in the prime minister’s own party.
Hammond said he was repeating a comment made last week by Rachel Johnson, the prime minister’s sister. The former chancellor was accused by senior Tories of attempting a “smear” without evidence. However, Hammond was supported on Saturday by a series of MPs from across the Commons.
“Johnson is backed by speculators who have bet billions on a hard Brexit – and there is only one option that works for them: a crash-out no-deal that sends the currency tumbling and inflation soaring,” Hammond wrote in the Times.
But what are the facts? As the paper says, Hammond and his team have not named any individual donors. However, hedge fund managers have backed Johnson. One of those is Crispin Odey, a fund manager who has also previously backed Vote Leave and UKIP. Over the summer, it was reported that his fund had made a £300m bet against British businesses and stood to profit from an economic slump in the UK. However, the fund also backed other British companies.
All of this comes as part of a difficult week for the Prime Minister, with the Independent reporting that the threat to Boris Johnson from alleged favours granted to his friend Jennifer Arcuri while he was London mayor has deepened, with a referral to a police watchdog for a possible “misconduct” inquiry.
The Greater London Authority wants the probe to explore whether Ms Arcuri was allowed to join trade missions, and received large grants, “when she and her companies could not have expected otherwise to receive those benefits”.
Whatever the outcome of this referral and calls for a probe into Boris' hedge fund backers, there is no doubt that the Prime Minister's unity of purpose is being slowly derailed to the extent that his survival in Number Ten Downing Street for more than a few weeks more is increasingly in doubt.
In the meantime, the question of who really benefits from Brexit remains extant. What is certain is that it is ordinary voters will see very little benefit, if any, at all.
As the Guardian reports, this has led to pressure on the UK’s most senior civil servant to investigate Boris Johnson’s financial backers and the cross-party claims that unnamed individuals stand to benefit from his willingness to pursue the UK's worst possible exit from the EU:
John McDonnell, the shadow chancellor, has written to the cabinet secretary, Sir Mark Sedwill, asking if there may be a conflict of interest in Johnson’s acceptance of support from hedge funds that could gain from an economic shock.
Earlier on Saturday, Philip Hammond, the former chancellor, suggested Johnson was pursuing the interests of financial backers set to gain from a no-deal Brexit, in a major escalation of tensions in the prime minister’s own party.
Hammond said he was repeating a comment made last week by Rachel Johnson, the prime minister’s sister. The former chancellor was accused by senior Tories of attempting a “smear” without evidence. However, Hammond was supported on Saturday by a series of MPs from across the Commons.
“Johnson is backed by speculators who have bet billions on a hard Brexit – and there is only one option that works for them: a crash-out no-deal that sends the currency tumbling and inflation soaring,” Hammond wrote in the Times.
But what are the facts? As the paper says, Hammond and his team have not named any individual donors. However, hedge fund managers have backed Johnson. One of those is Crispin Odey, a fund manager who has also previously backed Vote Leave and UKIP. Over the summer, it was reported that his fund had made a £300m bet against British businesses and stood to profit from an economic slump in the UK. However, the fund also backed other British companies.
All of this comes as part of a difficult week for the Prime Minister, with the Independent reporting that the threat to Boris Johnson from alleged favours granted to his friend Jennifer Arcuri while he was London mayor has deepened, with a referral to a police watchdog for a possible “misconduct” inquiry.
The Greater London Authority wants the probe to explore whether Ms Arcuri was allowed to join trade missions, and received large grants, “when she and her companies could not have expected otherwise to receive those benefits”.
Whatever the outcome of this referral and calls for a probe into Boris' hedge fund backers, there is no doubt that the Prime Minister's unity of purpose is being slowly derailed to the extent that his survival in Number Ten Downing Street for more than a few weeks more is increasingly in doubt.
In the meantime, the question of who really benefits from Brexit remains extant. What is certain is that it is ordinary voters will see very little benefit, if any, at all.
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Disaster capitalists make money from disasters. Asset strippers make money from companies going under. Their goods equipment etc are sold off making the asset stripper money. They then sell it off to the highest bidder getting richer. A country in decline is rich pickings.Odey and others who backed leave will also not appreciate EU tax avoidance rules coming into force in January..It has been said that Johnson is for the 'rich' higher tax bracket earners his backers .Brexit has been taken over by those who will get most out of it.
As a country declines in economic terms the tax take (unless taxes are increased) declines resulting in less funds for social priorities . This can include less money for THE STATE PENSION which both LEAVERS and remainers need to live. A Johnson Govnt is unlikely to raise taxes and give ,as stated, (his preference) incentives to those with money..Brexit is BAD for the ordinary person.
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As a country declines in economic terms the tax take (unless taxes are increased) declines resulting in less funds for social priorities . This can include less money for THE STATE PENSION which both LEAVERS and remainers need to live. A Johnson Govnt is unlikely to raise taxes and give ,as stated, (his preference) incentives to those with money..Brexit is BAD for the ordinary person.
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