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As tempting as it may seem, it is difficult to view Germany’s steep industrial decline with joy over sadness.
The German economy remains the continent’s powerhouse and, despite Brexit, the EU remains the UK’s largest trading partner.
The collapse of the country’s manufacturing sector in September, as measured by the Purchasing Managers’ Index, is truly shocking, with production, new orders, employment and inventories falling at an increasingly rapid pace. Deindustrialization, driven in part by China’s success, is becoming a major issue.
Manufacturing collapse: but the German economy remains the continent’s powerhouse and, despite Brexit, the EU remains the UK’s largest trading partner.
It is also a driver of the growing electoral success of the far-right Alternative for Germany (AfD) movement.
As a manufacturing powerhouse, Germany has much more to lose from falling output than Britain, where the manufacturing index still remains above the level indicating recession.
The UK should be careful what it wishes for. Green activists could celebrate the closure of Britain’s last coal mine, along with the end of blast furnace steel production at Port Talbot.
At a time of geopolitical uncertainty, a way should have been found to keep the blast furnace running until the electric arc furnace comes online. Importing high-quality steel from Asia is neither environmentally nor strategically smart.
Britain has a real opportunity to grow in the age of high technology, artificial intelligence, sophisticated finance and creative industries. But with each passing day, the advantages are eroding.
A growing economy in the first half of the year is being stripped by uncertainty.
Financial advisory group deVere warns that Labour’s “continued pessimism” about the UK is likely to be more damaging than a supposed £22bn inherited budget deficit.
In particular, fears of a tax crackdown on effort, enterprise and entrepreneurship are causing high net worth individuals, job creators and taxpayers to leave these shores.
It is easy to condemn this group – the one best able to pay their taxes – as selfish and unpatriotic and wish them away.
However, in the battle to raise the capital needed to turn our startups into long-term, durable success stories, the country needs all the HNWs it can muster.
They need to sit alongside the government’s money in Great British Energy and the National Wealth Fund for Labour’s flagship institutions to thrive.
The long-delayed review of the budget and public spending, and the uncertainty it generates, are reckless.
Mulberry Showdown
The fight between British retail billionaire Mike Ashley and the Ong family over the future of Mulberry speaks volumes for the brand’s value.
The leather bag maker and retailer may be going through a crisis in the luxury goods sector, having lost £34m last year, but it is seen as a desirable property by both sides.
Ashley has plenty of time to come back with a better offer for the shares she doesn’t own, but it will be difficult to sell due to the £11m emergency.
fundraising. The Ongs may have to dig deeper if they want to keep big Mike at bay.
sticky window
American investors have been gobbling up Premier League football and, with the Friedkin Group’s purchase of Everton, they now control almost half of the clubs.
Now it’s cricket’s turn: a 48 per cent stake in Hampshire has been sold for £120m to Indian Premier League (IPL) owners GMR and owners Delhi Capitals.
County cricket clubs should prepare for a power play.
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