UK Faces 'Deep, Long' Recession: Deutsche Bank Economist

The video discusses the potential impact of the Bank of England's monetary policy on the value of sterling, interest rates, and the broader UK economy. It highlights the challenges of maintaining financial stability amid rising interest rates and energy prices, predicting a deep and prolonged recession. The discussion also covers the effects on the housing market and the need for social support to mitigate the impact on less advantaged homeowners.

What is the speaker's view on the likelihood of sterling falling below parity with the US dollar?

• It is very likely to happen soon.

• It will happen after reaching 1.15.

• It has already happened.

• It will never happen.

What is the speaker's opinion on the Bank of England governor's performance?

• The governor is too hasty.

• The governor is indecisive.

• The governor is doing a good job.

• The governor should be replaced immediately.

What real interest rate does the speaker expect by the end of the year?

• Exactly 2%

• Above 1.5%

• Exactly 1%

• Below 1%

How does the speaker describe the potential impact of interest rate increases on the UK housing market?

• A minor decrease in house prices.

• A complete collapse of the market.

• No impact at all.

• A significant but not catastrophic drop in prices.

What does the speaker predict about unemployment during the recession?

• It will increase significantly.

• It will decrease significantly.

• It will remain stable.

• It will fluctuate unpredictably.