Tens of billions of Pounds leaving the UK ahead of EU referendum

Cash is leaving the UK at its fastest rate since the 2009 financial crisis

LAST UPDATED: 7 Jun, 2016 @ 18:47

Pound euroNEW evidence has revealed investors are shifting tens of billions of Pounds out of British assets due to the upcoming EU referendum.

Around £65bn left the UK or was converted into another currency between March and April, the fastest rate since the 2009 financial crisis.

The figures have been published by the Bank of England and are the first proof of capital flight from the UK.

Capital flight describes when vast amounts of money rapidly leave a country due to fears of economic instability.

From November to April, £77bn left the sterling system – the figure for the previous six months was just £2bn.

The Bank of England has consistently warned of stark economic consequences in the event of Brexit.

The British public go to the polls on June 23.


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  1. That figure will grow over the next two weeks and should the UK vote to leave the EU on the 23 June then God knows how much will be pulled out of the UK. Sadly many voters are financially illiterate when it comes to international finance and investment. I am not an economist but I have lived through a sterling crisis and leaving the EU will make 1992 look like a tea party. I can just hear the electorate in the UK when they start to lose houses and jobs “How did that happen what are the government going to do about it” Well sorry Mr and Mrs voter if it happens it’s down to you.

  2. It’s just a case of ‘Sell in May and go away’. Billions of pounds enter and leave the UK economy every day of the year.
    I hate to use the same word we have seen many, many times but this is just scaremongering on the part of remain.
    Getting very bored of all of this crapola now, roll on the 23rd.

  3. Peter, agreed. The leave campaign is full of holes and cannot offer the cast iron guarantees that people need before making a huge step like leaving the EU with all the associated risks. They are the ones who want to change the status quo so the onus is on them to come up with the figures but that is impossible and they know it. Of course there will be capital flight but that is only part of the scenario.

    Gove made a very misleading statement during his Sky News debate when he told a woman with a holiday home in France that she would not be affected by Brexit. How can he possibly know this? He started banging on about acquired rights but this woman was not resident in France therefore this does not apply to her. Even if it did, what about others who want to retire to France post Brexit, they will not have acquired rights and will have to play by a completely different set of rules and nobody has any idea what form these new rules will take.

    I think we can all agree on one thing and that is the EU must reform or die but if we leave there will be reprisals and nobody can guarantee that the other member states will play ball when it comes to setting up new trade deals and other agreements. If the EU refuses to reform and collapses then so be it but at least it will be a level playing field with all members state sharing the same status and the finger will not be pointed at us for bringing it to an end.

  4. The EU is a fascist monster formed by, and for the benefit of huge Corporations and Banks.
    This is the UK’s last chance to stop the final slide into the abyss and leave it.
    All the stories about the economy failing, and the one above, about billions leaving the UK, are just made up to scare people into voting to remain in.
    If you believe in freedom and democracy you must leave the EU. The SNP party in Scotland who seem to crave freedom and independence, are backing the remain in Europe campaign, and receiving money from main EU backers Goldman Sachs and JP Morgan – what a shower of hypocritical rats.

    • Did the Scots have a referendum to become free from British rule and to become independent yet wish to remain as a member of the EU with even more laws and rules. Mixed up crowd don’t you think

  5. Jane G. Are you saying that nobody can own properties in other countries. People have retired and lived in the UK and other countries before the Common Market existed. Don’t worry, your flat in Spain will be safe and the Spanish government would only be too pleased for you to continue spending money there. Anyway you could always get a green card like the Turks will be getting. Vote “Leave” and be British.

      • Fred, regardless, but they will be getting the green card soon and the EU are working like mad to accommodate their demands. If not, get ready for another wave of immigrants to hit the coastline of Britain.

        • Turkey has asked for VISA free travel, and have also just said (2 days ago, Reuters) that they will end the EU deal if they don’t get this. No decision on this has been made as of yet, so your statement is a bit premature. You need to ask yourself why this “wave of immigrants” want to get to Britain?

          • Fred,
            You replied to my comment to which I then replied, what more do you need. Do you wish me to forward my response once again?.
            Btw Fred, the “wave of immigrants” would be the release of immigrants now being held back by Turkey. Surely you can see this. So the EU WILL issue a Visa free travel for the Turks, mark my words.

          • “So the EU WILL issue a Visa free travel for the Turks, mark my words.”

            You might be right, but the overall deal needs to hold up for that to happen, and it isn’t going well currently. The deal has been done, and it has stopped some 90% of migrants using that particular route, but the deal has to last. Turkey, as I said before on other threads, have got the EU over a barrel on this. The only way to solve this is, and which I prefer, is never to allow a country to blackmail you over migration like Turkey did (it was knee-jerk because of the massive level of migrants arriving at that time) and beef up security on the outer borders of the EU (Greece for example) massively. This is underway, and Junker called it a “Herculean effort”, and it is. It may even be impossible. If the EU can’t pull it off then it will eventually break up and you’ll have your Brexit that way instead.

    • Bruno, I take it you can’t see the flaw in Gove’s argument. This is not about owning property in other EU countries, it’s about how much time you will be able to spend in said property and how easy it will be to retire there. My point is that anyone who is resident now will have acquired rights but what about people who want to become resident in the future? What guarantees can the Leave campaign give them that they will get exactly the same deal as people who are resident in the EU now? Don’t make the mistake of assuming anyone will do us any favours if we leave the EU, they won’t. I know people owned property in Spain before the EU, my parents bought a holiday home in Estepona in 1978 but it was a different world then and it is dangerous to assume things will revert to how they were pre-EU.

      • Jane G is likely correct – Three months in, three months out, like everyone else not Schengen or special status is what you’ll get. That means the tiresome, uncertain, costly temp residency visa process – 1 year plus 2 year plus 2 year till after five years you can apply, only apply, for permanent residency with no success guaranteed. And there is no guarantee that one even gets the first two renewals either regardless of income.
        Current unstated de facto residency policy is that you won’t get renewal unless you spent longer than the 183 days during the first year so that Spanish tax and income declaration kicks in. The current regime wants to extort money.
        I know this process because I am in the beginning of first renewal, hoping that our successful ecology project will carry me through, though no officials save university biologists and a few locals seem to care.
        And then there is the driver’s permit mess: assuredly there will be new requirements for Brexited ex-residents. I may give up residency to retain my Int’l Permit, which is not ‘legal’ with temp residency status.
        As odious as the Brussels autocratic policies are, there are always worse things. And an angry, desperate, corrupt, conservative Spanish government will find and invent new punitive means of extracting money from residents and citizens alike. We expect the paralysis will continue, or the PP will win with a new coalition.
        We think there must be a secret tower somewhere, where black-suited technocrats plot how they can invent new rules to further diminish quality of life for all but the wealthy and privileged. Policies defy rationality, but this has always been a ‘magical’ land!

        If I were Brit with property, my heart would say Exit, but having lived here for nearly 20 years, my head says Remain and keep your head down till this shakes out a bit. The EU, such as it is, does give some human rights protection not otherwise available to non-Europeans.
        As my Asturian friend says, “In Spain we don’t have individuals and as therefore no individual rights; In Spain we have pressure groups and whatever power they have to influence voting blocks. If you don’t belong to one of them, then you have no rights.” We found this to be true.

      • Jane G,
        I don’t think there are flaws in what Gove said he was pointing to facts and there are rights for people in similar positions that Gove mentioned I know you appear to be concerned about your flat or the possibility of retiring to Spain but the laws of owning and retiring in all countries have stipulations covering these problems which are overcome and Spain or even England would be no exception. But for people that are of retiring age and wish to live in another country do have, shall we say, a preference. There are hundreds if not thousands that are not resident in Spain and own properties. It’s not a case of favours but a financial logic for Spain. I know the laws in Spain need sorting regarding properties but do you think they will ban people such as Putin and others from visiting or retiring to Spain. I have sons living in non EU countries which have laws governing these facts and have been living there for years and tend to retire in those countries. I could go on and on but out of curiosity look up various non EU countries to give you some idea of their laws regarding owning and retiring which Spain etc would be similar. There are also various non EU nationalities living in Spain which if there is a Brexit would put ex-brits in the same position and perhaps some help from them would perhaps put your mind at rest. Rest assured compromises will be done.

        • You probably posted your reassuring waffle before you read the slightly earlier post from chas Bruno. Recommend you give it a careful perusal, it’s straight from the horses mouth.

          • Stefanjo,
            Pity you missed reading in my reply to Jane G that I have son’s living in various non EU countries with their own properties and intend eventually to retire there and believe me the laws in those countries a pretty stiff compared to your easy life in Spain, and yes it was posted prior to Chas reply to Jane G. so I knew what I was talking about. But then, you wouldn’t know such matters as you most probably only moved to Spain cause’ it’s an easy passage. Believe Chas said he has lived in Spain 20 years, so it can be done or his three months stay would have been activated. I also have American friends with properties in Spain and are quite happy to remain in Spain for the allotted time and are quite happy in having their main home back in California.
            I take it you are a person of easy virtue and rely on others to fend and make life comfortable for you. As for name calling of Boris etc I hope you are happy with “call me Dave”.

  6. Stefanjo,
    No need to worry if it’s a “leave” vote, you will still be able to remain in Spain but possibly you may need to pay a little more tax and pay for private medical care, that’s if you are a legally here. Would that be the reason why you are so edgy about Britain being independent from the EU.
    Ah well, life’s funny that way, does have it’s up’s and down’s.