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654: What a Relief

12-17-2019 team

What a relief – when the Exit Poll announced a Tory majority projected at 86 10.15pom 12 December. At a stroke we:

  • Finally got rid of Corbyn and his Marxist mantra
  • Confirmed stability in a one nation Conservative government for the next five years
    Achieved assurance that Brexit will be done – initially leaving the EU by end Jan 2020 then negotiating a trade deal likely by end 2020

Wider Implication: The wider implication are profound. Labour was destroyed in it heartlands of northern England – this was hardly a surprize. Much as Boris Johnson is not particularly popular, what he masterfully did – and no-one can really deny this – is mount and execute a very effective election campaign:

  • Simple, clear and well understood messages
  • He very effectively engaged with all people of all types outside London
  • He got in his battle bus and went out to meet the electorate – he was seen sweeping floors, in factories with workers, eating sausages, drinking tea with nurses, boxing and generally being one of the people.
  • He shook off the London - Eton upper-class elitist persona – and swooped to steal all Corbyn’s voters in his heartlands.

Corbyn Disaster: Meanwhile Corbyn tends to be very London-centric – he certainly seemed this way to northerners and people in the Midlands – an Islington communist far removed from the will and want of the common person. His campaign was a complete disaster. The party focused a lot of resources into London, which is a Labour stronghold. Meanwhile Johnson was battle-busing around the north winning Labour votes.  And Corbyn is still clinking on to his leadership along with all his cronies – despite the obliteration of his party in the polls – their worst performance since the 1970s. Unbelievable.

Aftermath: Someone that has frustrated the will of the people for the last 3 years, stalled and put barriers to the UK’s progress and growth – and he’s still getting paid his huge salary. Corbyn was instrumental in destroying confidence in parliament along with Bercow who was regrettably very far from impartial on Brexit. It says a lot about the Labour party – still in denial about its performance and its current anti-sematic stance. We can only imagine he wants to work it so one of his trusted cronies gets to replace him to continue the communist mantra. As one Labour MP that lost their seat said, Corbyn won one seat  in London - Putney and lost 46 seats in the north.

New Optimism: Into 2020, what we now expect is that the UK GDP growth will rapidly accelerate as stability and a progressive government that supports and encourages business starts up whilst Corbyn – a thorn in the side of the whole nation - has been removed. Bercow has also stepped down - someone that was hel

Depressed Period for Socialists: For all socialists – it’s a very depressing period. They can look forward to at least 5 years of Tory majority rule. Then the spectra in 2024 of being defeated again. Because now the Scottish nationalist have such a strong presence – having taken all the Labour votes in Scotland – it is almost impossible for Labour to win a majority. Its so extreme now in Scotland – that even if Scotland got independence – the Tories would still have the numbers to trance Labour at the next election. Furthermore, Boris Johnson has destroyed UKIP and Brexit parties – they now have no purpose – they are completely quiet.

Lib Dem Disaster: The Lib Dems strategy of campaigning to “cancel Brexit and the Referendum result” massively back-fired – and Swinton did not even win her seat – a complete disaster for the socio-liberal left-centre ground. Also as far from the liberal values they strive for - cancelling a Referendum - and peope will be remembering this mistake for years to come.  People like Tony Blair and John Major have been put in their boxes – relics of a by-gone era - now silenced finally.  They should never have come out to encourage tactical voting against the Tory party – it spectacularly back-fired - and it was far from democratic the way they acted. All the tricks and schemes to legally and electorally frustrate the will of the people have been consigned to the dust-bin of history.

On 20 Dec the next Bank of England governor was announced – a “steady pair of hands”.

Massive Relief: For property investors – it’s just a massive sign of relief that Prime Minister Neo-Communist Coalition Corbyn is not more. And we have a government with a strong majority that understands the importance of business, jobs, growth and developing the country in a positive way.

We predict house prices will start to rocket up – they will recover to the type of growth levels seen before the referendum, particularly in London.

Investment Flood: The will be a flood of international investment into London – London house prices will start to rise sharply in January. This will continue for years. During the post Referendum period, West London prices dropped about 15% whilst the currency value dropped about 15% against the Euro and Dollar – also because of the threat of Corbynism and his de-stabilisation of the economy with his parliamentary stalling and angst. Now we should see that 30% recover in the next 3 years as wealthy international people start moving back to London. London will again be viewed as a “safe haven”. After the UK leaves the EU, our tax and fiscal regime and banking regulatory environment will likely be quite a bit more competitive than the EU – this is a key reason why they never wanted to see the UK leave the EU. They know eventually the London financial centre will become even stronger versus Paris and Frankfurt. Now the Tories have a majority, Boris Johnson has proved again what a super campaigner he is – and the international business community see this stability for the next ten years – its “boom on”. Seriously we are predicting a London boom – simple. A boom in jobs, house prices, growth, new businesses setting up, new international investment along with bigger banker bonuses and rising demand for rental property.

The sceptics will say the instability of leaving the EU will cause a recession. To which we say  "NO” – the stability of a clear direction forward and the expectation of far improved legal, fiscal and regulatory environment for business independent of the Eurocrats – means we can unshackle ourselves once and for all. The UK can chose to style itself much like Singapore, Canada and Norway does. There is lots to be excited about. Unemployment will drop even further, inward migration will increase as more jobs are offered – skilled workers will be required – and London will boom once more. There will be big boosts for the north as well.

North and Midlands: Boris Johnson will also feel he owes northerners and people in Wales and the Midlands a lot – since he picked up so many votes. He wants to retain these for 2024 – so expect to see larger investment in areas away from London – new ambitious infra-structure projects. New hospitals, rail, roads. He will want to reward the areas that switch from Labour to Tory. Blyth was a classic example. Whoever would have though this old coal mining town would vote Tory – they clearly have no affinity to London centric Marxist Corbyn. If Labour make the same mistake again – which is highly likely – that is – having Momentum and the Unions select the next Labour leader – and this would most likely be a northern woman with similar policies to Corbyn, then Labour will never get into power or even challenge the Tories for decades. The Labour leadership contest will be another pivotal moment.

Labour Mistakes: They first made a mistake by having leftist Brown take over from dead centre Blair. Then by selecting socialist Ed Milliband over his more centrist brother David Milliband. Then selecting communist Corbyn – even further left than Michael Foot who was a disaster. If they choose anyone socialist like Corbyn, its game over from the start for Labour for decades. This would be icing on the cake for the Tories - adding to their satisfactory of destroying the Brexit and UKIP parties, and nullifying the rational for a new Reform party. 

SNP: Sturgeon has started further pronouncements of needing another Referendum, but frankly has little chance of success with such a large Tory majority. The Tories simply don’t need their support. The socialist policies of the SNP in Scotland can be seen for all – weaker growth, higher taxes, more regulation, weakening educational performance and greater drugs and policing problems. Most people think Scotland simple can’t afford to leave the UK – it would bankrupt the country – and it simply does not make sense to leave the UK then re-join the EU. In any case, before re-joining they would need massive spending cuts to prove to the EU they satisfy joining criteria on their own. Probably not very popular – but its probably the case Scotland needs the UK more than the UK needs Scotland.

Northern Initiatives: We now expect some exciting new initiative for northern England and the Midlands - in part designed to reward the northerners for voting Tory in so many constituencies. There is talk of building the "MIT of the North" - a massive technology university possibly in Leeds. Manchester, Liverpool and Newcastle should also see benefits - the Tory government will want to create real change in time for the next election in 2024. They will want to design a social-economic system that puts them in power for decades.

Overall its been a huge relief Corbyn is not Prime Minister and we now have a period of stability with a functioning parliament. And for all people involve in the private sector and business - there is a lot to look forward to in all parts of the UK now - and we'll likely see across the board house price increases as confidence return.

We hope you have found this Newsletter insightful and helpful in shaping your  property investment outlook for 2020 and beyond. If you have any queries, please contact us on




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