UBS Says U.K. Will Get Close to Agreement on Brexit

The transcript discusses the UK's financial obligations to the EU, with Chancellor Philip Hammond indicating a potential increase in the financial offer to Brussels. The debate centers on the UK's position and the need for pragmatism. The discussion shifts to UK productivity, with concerns about lower forecasts affecting economic growth. The impact on the gilt market and deficit is also analyzed, with potential changes in unemployment assumptions. Finally, the importance of timely transition arrangements to prevent negative economic impacts is highlighted.

What is the main focus of the UK's negotiations with the EU according to Chancellor Philip Hammond?

• Expanding the UK's territory

• Reducing the financial obligations

• Increasing trade tariffs

• Honoring debts under international law

What is one of the reasons for weak productivity in the UK as discussed by Dean Turner?

• Lack of technological advancement

• Excessive government regulations

• Compositional effects of the economy

• High reliance on traditional industries

How might the UK use the post-Brexit period to improve its economy?

• By increasing reliance on financial services

• By rebalancing the economy away from less productive sectors

• By reducing international trade

• By increasing taxes on exports

What could potentially offset the impact of reduced productivity forecasts by the OBR?

• Stricter immigration policies

• Higher interest rates

• Increased government spending

• Changes in unemployment assumptions

Why is it important for the UK to establish a transition arrangement by the first quarter of next year?

• To improve relations with the US

• To reduce the national debt

• To avoid businesses implementing contingency plans

• To increase trade with non-EU countries