Despite Government Hype the truth is if the EU are unhappy Business reacts...badly
Another day arrives where the EU tries once more to explain to May and her disciples that negotiations for leaving the EU are neither a matter of 'Faith', nor an example of British stiff-upper-lip triumphantly beating back the EU hordes.
He explained, remarkably patiently, that the UK has no implicit right to expect special treatment and that its negotiators had to do far better and be more realistic; otherwise the practical, legal reality would bite - and hard - in this case by pointing out that the transition period is 'not a given'.
Find the BBC report on this by clicking here (new window opens)
May and her nodding-dogs may well choose to continue to trot out the usual fare - knowing (somehow, Tarot Cards perhaps?) that they can have a unique and special deal that will give the UK what it wants without paying any form of price, but it seems that international traders tend to disagree and the result was a very prompt drop in the value of the Pound against both the dollar and the Euro.
Align this with the chillingly frank press conference given by the Japanese Ambassador yesterday (upshot: no - we wont keep our businesses here if there is no profit in it and if there is no deal then it is difficult to see how profits will be sustained) and we have, yet again, an insight into where the future of British prosperity is heading, off the cliff with the Pound...
|There goes that Cliff-Edge (courtesy, Bloomberg)|