British companies spent more on marketing in the opening quarter of 2019 despite uncertainty around Brexit, but their budgets for the rest of the year could be the most subdued since after the financial crisis, a survey showed.
A delay to Brexit would be a “further annoyance” which would prolong uncertainty, the boss of the luxury carmaker Aston Martin told Reuters after Prime Minister Theresa May promised to give lawmakers a vote on extending the date Britain leaves the EU.
Growing uncertainty triggered by escalating trade tensions and political risks would cloud global growth outlook, the Organization for Economic Cooperation and Development (OECD) warned, expecting weaker economic performance for the 2018-19 period.
In 2016, the economy became even more intertwined than usual with politics. British voters decided that a prolonged period of uncertainty over Brexit should follow the financial crisis of 2007-09 and weak recovery. But political upheavals were not restricted to the UK. This reality must shape any assessment of the economy in 2017.
Germany's Angela Merkel on Saturday ruled out sending weapons to the Ukrainian government to fight pro-Russian protestors but said there was no guarantee that her latest peace initiative with French President François Hollande would work either.