When I hear another champagne socialist, usually a rich banker, corporate lawyer or millionaire property developer, complain the world is coming to an end and they will have to take one less holiday – when the average family in Britain can barely make ends meet – I wince. It’s very clear the ‘elite’ have not understood what has been happening in Britain in recent years and has brought the situation on themselves. And I am no socialist!
The British people voted last Thursday for a decision to come out of the EU. It was a long-term view about the future direction of our country.
Had the tragic death of Jo Cox not happened a few days prior and had the government not scared everyone about the impact of leaving because it could not make a strong case for remaining, I dare say the leave vote would have been higher still.
However, the City now, partially scared by all the false government warnings, partially throwing its toys out the pram because it wasn’t the result it wanted (or expected) and damaged markets prove it right, and partially because its players all sheepishly follow one another, is behaving totally irresponsibly.
It has itself to blame for the immediate turmoil.
The EU is almost half the size of global GDP it was 25 years ago and shrinking. Everyone agrees it has a dysfunctional single currency that is causing mass unemployment across the continent.
This economic situation is building resentment between European nations and, consequently, we have more extremist parties in the EU rearing their heads at any time since 1945.
Meanwhile, the single market is not some magical world bringing untold benefits. Any country can trade with it without being a member. The US exports more to it than we do, without having all the disbenefits.
And even if there were tariffs of a few percent, this would amount to less than our annual contribution to the EU. Only five percent of British companies export to the EU, so the effect of tariffs would be miniscule compared with, say, the increase of VAT from 15 to 20 percent on all our goods, which has happened in recent years. Our economy did not fall off a cliff then.
The long-term prospect for Britain is excellent outside the EU. We will join the vast majority of normal countries in the world that aren’t shackled to a shrinking, increasingly undemocratic EU. It is a great opportunity for Britain and, with the recent mayhem in the markets, a great time to buy shares.