If we vote for Brexit what happens

Rinoa

mwpt wrote: »

I think only stupid people expected him to issue an emergency budget a couple of days after a result. If you really want more information, read on. But if you are just trying to score stupid points, don't bother and carry on posting.

By the way, I actually haven't seen the text of what George Osborne said about this emergency budget. Did he say it was guaranteed or just a possibility if there was a downturn?

Could you help me find the full text so we can read it in context?

This is the BBC's version:

In the latest of a series of government warnings about the consequences of a vote to leave, Mr Osborne shared a stage with his Labour predecessor, Lord Darling, setting out £30bn of "illustrative" tax rises and spending cuts, including a 2p rise in the basic rate of income tax and a 3p rise in the higher rate.

They also said spending on the police, transport and local government could take a 5% cut and ring-fenced NHS budget could be "slashed", along with education, defence and policing.
Mr Osborne and Lord Darling said the measures - £15bn of tax rises and £15bn of cuts - are based on the Institute for Fiscal Studies' predictions about the economic impact of a vote to leave from lower trade, investment, and tax receipts

Mr Osborne told Radio 4's Today that leaving the EU would be an "irreversible" step that would cause "financial instability" and leave the UK "with no economic plan", demanding an immediate response from government.
"There would have to be increases in tax and cuts in public spending to fill the black hole," he said.
The UK, he suggested, would not be able to "afford the size of the public services that we have at the moment" outside the European Union and would have to "cut its cloth accordingly".

I'll leave you to decide whether 4/5 months can be interpreted as 'immediate'.

kabayiri

Generali wrote: »

Oh well nothing to worry about then. If the City can't do bond issuance, M&A and floatations for Europe there's always Mali and Tibet.

Are you trying to argue a point or do you actually believe this rubbish?

The reputation of bankers and by extension The City is still not good in a lot of places outside London.

It got boring to hear "the bankers" being blamed. We even saw it in the Junior Doctors discussions.

..but after a while mud sticks.

It does look like London doesn't care about the rest of England and vice versa.

mwpt

Rinoa wrote: »

This is the BBC's version:

I'll leave you to decide whether 4/5 months can be interpreted as 'immediate'.

I was looking for the full text so I could judge what he said in context. Perhaps he did say that on a leave vote the economy most certainly would crash and he most certainly would immediately implement an emergency budget. I'd still like to judge for myself.

Rinoa

[FONT=&quot]Mervyn King

https://www.youtube.com/watch?v=qrgpjepQsPA

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“There are some threats from the EU that will no longer be relevant. So, the idea there might be a tax on financial transactions – which George Osborne challenged, took to the European Court of Justice and lost his case – now we won’t be involved in that, and my guess is that any attempt in Europe to impose such a tax will never take place now because business will simply come to the City… There are obviously uncertainties in the short run… but the idea that this is a doom and gloom story seems to be wildly exaggerated.”

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Scarpacci

I wonder what the Bank of England's campaigning would have looked like in the run up to the referendum if Mervyn King had been in charge. One gets the impression he wouldn't have seen it appropriate to wade into the political campaigning with prophecies of fire and brimstone.

Mark Carney's unusually blunt political intervention surely must call into question the independence of the BoE, though clearly he like the Chancellor and Business Secretary is hoping everybody quickly forgets his doom-laden remarks.

mwpt

Mervyn King would surely know a lot more than me but I am unsure how he thinks the UK being outside of the EU will stop a financial transaction tax inside the EU.

Does he mean OTC type transactions? He can't mean the regulated markets surely?

chucknorris

Yolina wrote: »

They are already available, someone posted a link in one of the threads (could even be in this one somewhere)

Yeah, I've seen them, and very now and then my cookies flag up adverts for them.

Rinoa

mwpt wrote: »

Mervyn King would surely know a lot more than me but I am unsure how he thinks the UK being outside of the EU will stop a financial transaction tax inside the EU.

Does he mean OTC type transactions? He can't mean the regulated markets surely?

If the EU adopts a financial tax after Brexit, why would any trade be transacted in the EU. All financial transactions will be done in the UK - ie. no tax.

Every financial institution in the world is represented in London, why would they want to move to the EU and pay extra taxes.

CLAPTON

Mervyn's comments today

Mervyn King: Treasury's exaggerated Brexit claims backfired

Mervyn King, the former Bank of England governor, has delivered his most stinging criticism of George Osborne and the Treasury over the Brexit campaign, saying they will need to row back from exaggerated claims that left him “baffled”.

“The Treasury is in a difficult position now because it did make forecasts that were exaggerated in terms of at least the certainty and now will have to row back.”

https://www.theguardian.com/business/2016/jun/27/mervyn-king-brexit-treasury-claim-backfired-osborne

mwpt

Rinoa wrote: »

If the EU adopts a financial tax after Brexit, why would any trade be transacted in the EU. All financial transactions will be done in the UK - ie. no tax.

Every financial institution in the world is represented in London, why would they want to move to the EU and pay extra taxes.

I don't think you know how it all works.

I'm curious if someone has an idea what Mervyn King meant?