In a bold exaggeration the Swiss investment bank Credit Suisse raises the alarm about the uncertainty surrounding the Brexit and advises wealthy clients to withdraw their assets from the United Kingdom. Preferably before the postponed vote on the deal concluded by Prime Minister Theresa May with the European Union takes place.
Bankers of Credit Suisse contacted their main customers and informed them that many other customers have already removed their assets from the UK. The advice is to consider the same thing.
The Swiss bank came up with that advice, after May decided to postpone the crucial vote on the Brexit agreement until next year. With that, according to Credit Suisse, it extends the period of ‘confusion’, writes The Financial Times.
Fear of Corbyn
The advice is a clear signal of the uncertainty surrounding the British decision to leave the EU. Investors fear a ‘no deal’ Brexit or a left-wing government led by Jeremy Corbyn, if elections would come again.
Since the Brexit referendum in 2016 many banks and asset managers have already taken measures. The official retirement date of March 29, 2019 is now approaching fast, while it is still not clear what the Brexit will look like.
The British pound has gone down considerably in 2018, just like the British housing market.
Army is preparing for ‘no deal’ Brexit
Meanwhile, British companies are told to immediately prepare for a ‘no deal’ Brexit, reported The Sun Tuesday.
The British government also announced Tuesday that thousands of soldiers were ready for a ‘no deal’ Brexit. Minister of Defense Gavin Williamson said that “there are 3,500 soldiers ready to be deployed by various government agencies, should that be necessary in case of unforeseen events.”
For example, the troops can be deployed at the British borders in the event of civil unrest in the country.