Brexit the economy and house prices part 6

kabayiri

Filo25 wrote: »

I was at a crowdfunding presentation earlier this week, a small but rapidly growing craft brewing business that is looking to invest in expansion, instead it is now having to tie up more of its cash in working capital by stockpiling 4 months worth of hops usage in case of any disruption to supply, so yes they are adapting but it isn't costless by any means.

Of course. The GFC was hardly costless by any means. But...we had to embrace the solution and get on with it.

I'm a proponent of fracking, not because of cheaper gas, but because of energy security. I don't relish the idea of relying on Russian gas, like our German neighbours do.

Stockpiling is a pragmatic response.

Thrugelmir

Filo25 wrote: »

instead it is now having to tie up more of its cash in working capital by stockpiling 4 months worth of hops usage in case of any disruption to supply, so yes they are adapting but it isn't costless by any means.

Imported product? Probably as it's cheaper. When there's plenty of quality UK home grown to use.

Lungboy

kabayiri wrote: »

We actually import baguettes into this country, when there is no technical reason whatsoever that we can not produce them here. You'd never know this, of course, listening to airheads like Emily Thornberry.

Reminds me of this classic

Filo25

Thrugelmir wrote: »

Imported product? Probably as it's cheaper. When there's plenty of quality UK home grown to use.

It seems a lot of hop varietals aren't grown here, not sure of the reason why, can't imagine it is economics anyway as Hop prices have increased pretty dramatically in recent times, anyway just a small example, I'm sure there are countless others.

(I will add though that they listed Brexit as easily the largest threat to their business growth plans)

I agree that I think talks of shortages etc. are probably somehwat overdone, although still a significant risk which needs to be mitigated, but it won't be costless for companies or ultimately consumers.

Brian_F

I think this is a very useful guide. Found a couple of things I hadn't realised

kabayiri

Filo25 wrote: »

...
I agree that I think talks of shortages etc. are probably somehwat overdone, although still a significant risk which needs to be mitigated, but it won't be costless for companies or ultimately consumers.

In the last couple of years there has been a milk / butter fat shortage in Europe.

Multiple factors of course, but one being a redirection of milk fat usage.

This has pushed up costs of a number of things here.

Being reliant on external sources which might have other priorities also carries risk. You won't hear this mentioned by those who think the EU only offers good.

I suppose the EU answer to this is further and deeper integration, to own and share the risk collectively.

kabayiri

Lungboy wrote: »

Reminds me of this classic

I was rather hoping that it was a Brexit style rewrite of the Monty Python cheese sketch

Those like me would say : it's just cheese mate, get over it.

ukcarper

Lungboy wrote: »

http://labour.org.uk/wp-content/uploads/2018/09/Theresa-Mays-failed-Brexit-plan-STRICTLY-EMBARGOED-UNTIL-2230-Monday-24-September.pdf

I see no promise in these to statements

“What we have come up with [in our plan for Brexit] ... is the idea of a comprehensive free trade agreement and a comprehensive customs agreement that will deliver the exact same benefits as we have.”10
David Davis (then Brexit Secretary), House of Commons, January 2017

“Will the deal deliver the same benefits we currently have as a member of the single market and the customs union? We have been clear that we want to get the best possible deal, and free and frictionless trade”.11
Theresa May, House of Commons, 29 March 2017

Thrugelmir

Filo25 wrote: »

Making plans to relocate some of their operations outside the UK ?

25 years to late to make this statement.

Asia etc meanwhile continues to boom.

Moby

mayonnaise wrote: »

So......what do our forum brexiteers make of this draft withdrawal agreement?

I see no responses yet....wonder why!


This was an interesting quote:-


“In a further concession Mrs May has agreed to “level playing field” measures tying Britain to EU rules in areas such as state aid and environmental and workers’ rights protections during the backstop.
Sabine Weyand, the deputy to Michel Barnier, Europe’s chief negotiator, told European ambassadors that this concession would be used as the basis of the future relationship with the EU. She also said that Britain “would have to swallow a link between access to products and fisheries in future agreements”, in a leaked note of the meeting on Friday.
“We should be in the best negotiation position for the future relationship. This requires the customs union as the basis of the future relationship,” Ms Weyand said. “They must align their rules but the EU will retain all the controls. They apply the same rules. UK wants a lot more from future relationship, so EU retains its leverage.”


Vassalage here we come!