UK accountants gloomiest in a decade on Brexit and slow growth

 

FILE PHOTO: People walk through the Canary Wharf financial district of London, Britain, December 7, 2018. REUTERS/Simon Dawson

 

LONDON (Reuters) - Confidence among British accountants in the economic outlook is falling at the fastest rate since the depths of the financial crisis more than a decade ago due to worries about Brexit and sluggish growth, a survey showed on Monday.

 

“Slower economic growth (is) a symptom of the malaise that has set in, driven primarily by Brexit uncertainty and political instability,” Michael Izza, chief executive of the Institute of Chartered Accountants in England and Wales (ICAEW), said.

 

The trade conflict between the United States and China was also a factor, ICAEW said.

 

The telephone survey of 1,000 accountants was conducted from July 22 to Oct. 18, mostly covering the period after Boris Johnson took over from Theresa May as prime minister and sought to negotiate a new exit deal from the European Union.

 

Johnson failed to take Britain out of the EU by Oct. 31 because of a deadlock in parliament. He has called an election for Dec. 12, ahead of a new Brexit deadline of Jan. 31.

 

Other business surveys have been similarly sombre. The Confederation of British Industry last month said manufacturers were the most gloomy about their export prospects in a decade.

 

Separately, forecasters at the EY ITEM Club consultancy cut their prediction for British economic growth next year to 1.0% from 1.5% - even as they assumed that Johnson will get his Brexit deal through parliament before the Jan. 31 deadline.

 

“The outlook for business investment growth is pretty bleak, with a weaker global economic environment adding to corporate concerns over the UK outlook,” EY economist Mark Gregory said.

 

“A Brexit deal is only the first step in reducing uncertainty and may be offset by concerns over future growth with a divergent EU-UK relationship,” he added.

 

-- © Copyright Reuters 2019-11-04

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Relentless rabidity. UK construction and EU manufacturing PMI numbers all better than expected today. 

1 hour ago, nauseus said:

Relentless rabidity. UK construction and EU manufacturing PMI numbers all better than expected today. 

We,ve never had it so good,also in the South house prices are falling.

46 minutes ago, kingdong said:

We,ve never had it so good,also in the South house prices are falling.

Well that's good for you if you are a buyer but generally a bad economic indicator. That said, they are insane anyway, especially anywhere near London.  

1 hour ago, nauseus said:

Relentless rabidity. UK construction and EU manufacturing PMI numbers all better than expected today. 

 

                 Links ?. 

2 minutes ago, nauseus said:

Well that's good for you if you are a buyer but generally a bad economic indicator. That said, they are insane anyway, especially anywhere near London.  

 

     Foreign money .  

2 minutes ago, elliss said:

 

                 Links ?. 

Go to investing.com

1 minute ago, elliss said:

 

     Foreign money .  

That has a lot to do with it. Maybe there's less of it coming in now?

3 hours ago, nauseus said:

That has a lot to do with it. Maybe there's less of it coming in now?

Wit the pound rinsed and a lot of rich Hong Kongers looking to the future I wouldn't bet on it. 

 

https://sevencapital.com/property-news/hong-kong-investors-value-uk-property/

It's mostly about uncertainty. 

"UK accountants gloomiest in a decade"

 

Wow. And they are usually such a cheerful bunch.

 

WhoGAF........

FT sensing a way for Corbyn to win .....

 

https://news.google.com/articles/CAIiEG7cPyOh-yvIXysy2Qj7Yf0qGAgEKg8IACoHCAow-4fWBzD4z0gw_fCpBg?hl=en-GB&gl=GB&ceid=GB%3Aen

 

None of this is to say Labour will succeed in stopping a Tory majority. It has weaknesses too, not least on crime and immigration. Mr Johnson has a target audience and a story to tell. He has the only credible pitch to Leave voters. He will paint Mr Corbyn as a political and economic extremist and play on the fears of moderate Remainers that the Labour leader is too high a price to pay even to stop Brexit. Nevertheless, he needs everything to go right — not exactly the hallmark of his premiership.

 

Labour just needs to look like it is holding its own to start sending shivers down Tory spines. Underlying this campaign is that asymmetry of outcomes. Mr Johnson has to be very lucky. Mr Corbyn just has to be not too unlucky.
 

https://next-media-api.ft.com/renditions/15676082795820/1280x720.mp4

5 hours ago, rhyddid said:

This the aim of Brexiters and BS BJ, bring UK to a financial disaster so US companies can buy UK at Greece price !

Completely wrong.