DiscussWorldIssues - Socio-Economic Religion and Political Uncensored Debate - View Single Post

**Rapiddude** · 05-05-2009, 04:02 PM

Most of those projects started actual construction before the economy collaped. As in NY, they also have many sites that have been demolished and yet no work is occurring.

Many of my friends in the London markets are out of work.

They are far worse off than we are.

I'd be interested to see what your definition of 'worse off' is (and that is even with Boris handling the reigns).

Let's get this clear - everyone is taking hits. Everyone. When I was in Tokyo and Hong Kong earlier this year, people were feeling just as crap as their counterparts in London (and probably New York); its a global phenomena.

Instead of the concern for London, I'd actually be more worried for New York which took a massive dent in the trust department (looking at you Madoff, the failures of the NY investment scene, and its largest bank Citigroup), because without trust - people will be less inclined to give you their money.

London has its problems, but which city doesn't, lets do a rollcall?
- Dubai is falling apart
- Hong Kong is having to compete against Shanghai and the increasing stranglehold of Beijing
- Tokyo is at the centre of a long-term declining economy (demographics)
- Paris is back to kidnapping CEO's and witch hunts of anglo-saxon ideas
- and the Singapore economy is taking the largest battering going around.

Yes, I think there will be those that opt to go elsewhere, but at the moment the global hedge fund sector is in a right old mess, and has lost the allure it once had. A negligible tax rate rise means nothing to those who probably avoid paying most tax at present (they'll be more worried about the lack of bonuses), while the changes that Paris and Berlin want to enforce across Europe will end up being watered down. The end being increased domestic regulation in France and Germany that will damage the competitiveness of Paris and Frankfurt. I also envision Sarbanes-Oxley (ie level of competiveness) part II in the US.

The real issue affecting London at present however is the decline in international trade and the finance that goes alongside it. All financial centres are taking a hit from this at present, but London, Hong Kong and Singapore moreso because they are ultimately dependent upon the global scene, unlike nationally-fixated financial centres (e.g. New York, Frankfurt, Tokyo and Paris).

The bonus from this situation that London finds itself in however is that the likes of London and Singapore will bounce back sooner and stronger because of the ever-growing strength of emerging markets that haven't taken the hits that the likes of the US, UK, EU and Japan have taken in recent months.

Ultimately however, London will carry on, just as it has done for the last 2,000 years. All I know is that come 2012 London is hosting one hell of a party, will open another rail line that circles Central London, and in 2017 it will have a brand new line (Crossrail) connecting all the major CBD's, two international airports and the Olympic Park.

Of course in-between then there will be a whole host of towers including the future four tallest towers and a tranche of projects like the Tate Modern Extension, British Museum Extension and a torrent of various pedestrianisation schemes and sports stadia.

Naturally as someone who works in finance, its an edgy time, but life goes on.

05-05-2009, 04:02 PM	#6
Rapiddude Join Date Oct 2005 Posts 314 Senior Member	Most of those projects started actual construction before the economy collaped. As in NY, they also have many sites that have been demolished and yet no work is occurring. Many of my friends in the London markets are out of work. They are far worse off than we are. I'd be interested to see what your definition of 'worse off' is (and that is even with Boris handling the reigns). Let's get this clear - everyone is taking hits. Everyone. When I was in Tokyo and Hong Kong earlier this year, people were feeling just as crap as their counterparts in London (and probably New York); its a global phenomena. Instead of the concern for London, I'd actually be more worried for New York which took a massive dent in the trust department (looking at you Madoff, the failures of the NY investment scene, and its largest bank Citigroup), because without trust - people will be less inclined to give you their money. London has its problems, but which city doesn't, lets do a rollcall? - Dubai is falling apart - Hong Kong is having to compete against Shanghai and the increasing stranglehold of Beijing - Tokyo is at the centre of a long-term declining economy (demographics) - Paris is back to kidnapping CEO's and witch hunts of anglo-saxon ideas - and the Singapore economy is taking the largest battering going around. Yes, I think there will be those that opt to go elsewhere, but at the moment the global hedge fund sector is in a right old mess, and has lost the allure it once had. A negligible tax rate rise means nothing to those who probably avoid paying most tax at present (they'll be more worried about the lack of bonuses), while the changes that Paris and Berlin want to enforce across Europe will end up being watered down. The end being increased domestic regulation in France and Germany that will damage the competitiveness of Paris and Frankfurt. I also envision Sarbanes-Oxley (ie level of competiveness) part II in the US. The real issue affecting London at present however is the decline in international trade and the finance that goes alongside it. All financial centres are taking a hit from this at present, but London, Hong Kong and Singapore moreso because they are ultimately dependent upon the global scene, unlike nationally-fixated financial centres (e.g. New York, Frankfurt, Tokyo and Paris). The bonus from this situation that London finds itself in however is that the likes of London and Singapore will bounce back sooner and stronger because of the ever-growing strength of emerging markets that haven't taken the hits that the likes of the US, UK, EU and Japan have taken in recent months. Ultimately however, London will carry on, just as it has done for the last 2,000 years. All I know is that come 2012 London is hosting one hell of a party, will open another rail line that circles Central London, and in 2017 it will have a brand new line (Crossrail) connecting all the major CBD's, two international airports and the Olympic Park. Of course in-between then there will be a whole host of towers including the future four tallest towers and a tranche of projects like the Tate Modern Extension, British Museum Extension and a torrent of various pedestrianisation schemes and sports stadia. Naturally as someone who works in finance, its an edgy time, but life goes on.
	Quote