Project Fear Fails Again, Remoaners Can't be Happy

[medlocke]

Who was it stating that Nissan where definitely leaving the UK after Brexit?, i seem to remember this person stating that all the workers had been told so and had received letters stating this, seems you where wrong as usual http://www.bbc.co.uk/news/business-37787890

[DaveO]

You do realise why Nissan have agreed to do this don't you?

Because the government has given them financial guarantees so that they will be compensated should their exports to the EU face import tariffs.

In other words you and I the taxpayer, are going to be subsidising a Japanese car manufacturer so they won't quit the UK.

Just how far do you think the taxpayer can go in bankrolling Brexit?

Are the government going to go around factory by factory cutting compensation deals? Are you up for paying? Or will it all come from that money saved from the EU budget promised to the NHS and others?

I had a feeling some Brexit supporter might post this news here.

I also knew they would just read the headline and not look at the detail. I mean why change now and actually give something a bit of thought?

[Wiganer Ted]

If the UK Govt has guaranteed state aid over and above that allowed then the EU could and probably would impose import quotas.
Nissan maybe ok in the short term as due to the devaluation of the £ their exports will be cheaper to buy. Then it depends on how many imports they use in building their vehicles. Imports will increase in price therefore offsetting any benefit from devaluation depending how many imported parts they use.
Good news though but although we've had the referendum Article 50 has yet to be written.

[ian.birchall]

You do realise why Nissan have agreed to do this don't you?

Because the government has given them financial guarantees so that they will be compensated should their exports to the EU face import tariffs.

In other words you and I the taxpayer, are going to be subsidising a Japanese car manufacturer so they won't quit the UK.

Just how far do you think the taxpayer can go in bankrolling Brexit?

Are the government going to go around factory by factory cutting compensation deals? Are you up for paying? Or will it all come from that money saved from the EU budget promised to the NHS and others?

I had a feeling some Brexit supporter might post this news here.

I also knew they would just read the headline and not look at the detail. I mean why change now and actually give something a bit of thought?

I am quite sure that the French government would have been quite happy to match any financial incentives given by the UK government if Nissan, who remember are 44% owned by Renault who themselves have the French government as a large shareholder, had wanted to move to La Belle France.

[DaveO]

I am quite sure that the French government would have been quite happy to match any financial incentives given by the UK government if Nissan, who remember are 44% owned by Renault who themselves have the French government as a large shareholder, had wanted to move to La Belle France.

So what? That isn't what is happening.

I know it's 44% owned by Renault who themselves have the French government as a large shareholder as you say. You don't see the irony of what that means then?

It means in effect you and I are about to pay through our taxes some sort of compensation to the French government to keep Nissan in Sunderland.

Regardless of this irony the fact remains Nissan are going to get hard cash out of this one way or another. From me and you. Cash we would not need to pay had we remained in the EU.

How they are going to get it will be interesting because outright export subsidies are illegal under WTO rules but clearly Nissan are of the opinion they are not going to see a hit to the bottom line based on this bit of government intervention.

This is from Reuters:

Britain has given Nissan a written commitment of extra support in the event that Brexit reduces the competitiveness of its Sunderland plant, in return for new production investments by the Japanese carmaker, a source with knowledge of the matter told Reuters.

In addition to unconditional investment aid, Britain pledged in a letter to offer further relief if the terms of Britain’s European Union exit ended up harming the plant’s performance, the source said.

Notice the bit I put in bold? Unconditional investment aid!!!! Looks ever more like Nissan played hardball with the threat to leave an won. At our expense ultimately.

This also begs the question, what "compensation" is going to be forthcoming for other exporters?

And right on cue:

Mike Hawes, chief executive of the Society for Motor Manufacturers and Traders, says:

“Today’s announcement is good news for UK Automotive and jobs, confirming Britain as a leader in automotive production.

To secure this position, however, we need government to provide public assurance to investors that our advantages will be maintained – namely, a competitive business environment, the ability to recruit talent from abroad and the continuation of all the benefits of the single market as we leave the EU.”

Apart from the irony of a Tory government giving what amounts to state aid this just can't be a viable policy to retain foreign companies here.

[Josie's friend]

As I said on the brexit thread the automotive industry is thriving in this country, record new cars sales were announced the other week. No one will be getting subsidised by our taxes, that is more remainer scaremongering.
The whole export tax thing isn't straight forward as people clearly think, for example places like Brazil & India get flat pack kits from this country that contain everything needed to rebuild the car once it arrives in that country. It's cheaper to do it this way but not at the expense of the workforce. So if we say Germany set a rate of 30% a certain car manufacturer could send a kit (way cheaper to make) at a rate of 12% just as long as German workers get to put it together so they gain also. More kits sold everyone is happy.
Brexit might have teething issues but it would be a lot easier if remainders accept majority rule and get on board. If the vote was the other way I think the people who wanted to leave would of accepted it with more grace.

[DaveO]

As I said on the brexit thread the automotive industry is thriving in this country, record new cars sales were announced the other week. No one will be getting subsidised by our taxes, that is more remainer scaremongering.

Who to believe? The chairman of Nissan clutching his bit of paper with his a government guarantees on it or you?

Sooner or later you are going to have to accept the facts. Denial will only get you so far.

We are already paying. Notice the price of petrol recently? £1.17 a litre today at Morrisons. £1.14 last week. £1.04 not so long ago and the price of crude hasn't gone up 10%. The pound has fallen and hey-presto, we pay more.

Now the government has cooked up a secret deal to guarantee Nissan remain competitive in light of Brexit. We will pay for that to.

The whole export tax thing isn't straight forward as people clearly think, for example places like Brazil & India get flat pack kits from this country that contain everything needed to rebuild the car once it arrives in that country. It's cheaper to do it this way but not at the expense of the workforce. So if we say Germany set a rate of 30% a certain car manufacturer could send a kit (way cheaper to make) at a rate of 12% just as long as German workers get to put it together so they gain also. More kits sold everyone is happy.

What that has got to do with unconditional guarantees to Nissan I have no idea.

Brexit might have teething issues but it would be a lot easier if remainders accept majority rule and get on board. If the vote was the other way I think the people who wanted to leave would of accepted it with more grace.

Whether I accept "majority rule" (which is not what democracy is about anyway - the majority isn't supposed to act against the interests of the minority) or not won't make anything any easier.

What also I am supposed to get on board of? I am not party to decisions to hand out government compensation to private companies.

As to accepting it with good grace "leavers" spent 43 years moaning about being in the EU. They never accepted it. Why didn't they "get on board" with the EU? The majority was after all much bigger to join than it was to leave. So less of the hypocrisy please.

[medlocke]

Toyota are staying as well, it was in the Financial Times, also GDP higher than it was before, deal with it Dave, Brexit was the right decision, everything Project Fear has said will happen isn't happening

[Josie's friend]

You just sound bitter Dave, you want to see something bad in a positive news story about Nissan, Jaguar Land Rover needed to expand to meet their on going demand.
The flat pack comment is how Nissan if needed would get around certain export tax issues (not a guess but an industry fact). People buy Nissan's that isn't going to change and the countries that import them will carry on and not disrupt the healthy trade which is ongoing.

Nothing is going the way of the remainers house sales, car sales, employment etc all healthy without any impact from brexit, so coming online hid behind a username spouting "the end is nigh" is pointless. Can't even say it's counterproductive because it effects no one.

So accept defeat with grace, myself the night of the election I went to bed thinking we lost and that was the end of it. No tears just accepted that my view wasn't the majority's. Time you did the same, I see you on Facebook etc you seem far happier when not discussing this subject. Accept it and move on

[Wandering Warrior]

Brexit might have teething issues but it would be a lot easier if remainders accept majority rule and get on board. If the vote was the other way I think the people who wanted to leave would of accepted it with more grace.

Complete hypothetical bull $h1t!!
Furthermore it was only those that voted majority!
Perhaps you are happy with the first past the post voting system that this country employs? If so, you are obviously happy with a one party state because the Tories will strengthen their position with the boundary changes, despite the independence of the boundary commission.