Brexit Could Create Worse Crash than 2008 Warns Vince Cable

Brexit Could Create Worse Crash than 2008 Warns Vince Cable

Brexit Could Create Worse Crash than 2008 Warns Vince Cable

Source : Flickr/Michael D Beckwith

Although it’s been nearly a year since Brexit, the effects of the historic movement are yet far from obvious and former business secretary Vince Cable has said that the event can potentially trigger worse crash than that in 2008.

In a recent statement, he said, “For Britain, the economic weather is arguably worse than it was before the credit crunch. The pound has plummeted, which is driving up prices and trapping consumers in a vicious Brexit squeeze. Consumer confidence was all that kept the storm clouds away. But with job losses at everywhere from Deutsche Bank to Nestlé, that confidence is going to drain away further.”

“The chancellor clearly has no confidence in the economic strategy of the government, because he knows that leaving the single market and customs union has the potential to devastate the UK economy.  If Britain enters a second economic storm, it will be Theresa May’s economic storm. You can’t have a hard Brexit and a strong economy.”

“That is why it is vital that the general election produces a large increase in MPs who understand why it is essential to remain in the single market and customs union.”

Interestingly, ahead of the 2008 crash, he repeatedly warned the government at the time about the risks related to high amount of debt. As a result, we’ll need to wait and see if the recent event have similar effects on the economy in the long run.

 

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