Hello. I am based in the UK and would be interested to know how everyone else here feels about UK politics now. Personally I am apprehensive that Keir Starmer is going to leave office and be replaced by someone with little knowledge or respect of the bond markets. The FCA already seems to be warning banks to brace for sovereign debt crisis. I’m not really sure how this country would cope if interest rates were driven a lot higher
Labour have done a much better job than I expected them to this year, I’ve been pleasantly surprised. I doubt Starmer will go out any time soon. At this point, I’m more worried that Labour will suicidally call an election to try and catch the Greens offside and horrifically fail.
Still, you never know. We’re having a great time under Managed Decline, Red Version. Why not Horrific Dismemberment, Green Version? Or Light Blue Version?
I’ll be firmly out the country by then either way.
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Are you British? It seems much harder to get out of this country than it was in the past
No but based in London. And definitely harder yes, they used to give you free tickets to Australia for committing crimes. Now if you commit one you cannot go to Australia ever
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I echo your concerns. Im not a fan of Starmer but the alternatives make me sweat. Reeves? Milliband? Burnham? Rayner? OMG! Gilt yields keep ticking higher, 10 yr over 5.01% 30 yr touching 5.7%. Thats concerning. When the bond market narrative changes from “return on capital” to “return of capital” you are likely in trouble at some point. And it can happen fast. I hope I’m wrong as it will affect everyone. Thanks for your post.
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I fear it will be Rayner
And now Reeves is talking about imposing rent caps. After first making it impossible for landlords to evict tenants. This is effectively mandating that landlords with mortgage costs that rise in a sovereign crisis subsidise their tenants