EXCLUSIVE LETTER SUBSCRIBERS – The fall of Liz Truss, but also the fall of the British pound, sounds like a warning to governments and their budget policies.
Whoever I talk to in economic and political circles in recent days, I have heard the same numbers repeated over and over again. They are not new, but ended up infiltrating themselves throughout the subconscious. 51.2 billion euros and 270 billion euros. The first corresponds to the debt burden that France will pay in 2022. The second, to the amount that France will have to borrow on the markets in 2023.
Nothing new, I said. If not for the fall of Liz Truss’s government across the Channel after a month and a half of chaos. The British Conservatives have certainly been very keen on the task of undermining their credibility.
“The Singapore project on the Thames is complete!”, one banker told me with a smile, referring to the ambition shown by the Tories after Brexit to attract capital from the world. Indeed, even before Liz Truss resigned, indications of a loss of momentum in the City were multiplying. The end of September…