Showing posts with label United Kingdom. Show all posts
Showing posts with label United Kingdom. Show all posts
By Brian Kesten

This summer, United Kingdom citizens will vote in a referendum to determine if the UK will leave the European Union. After EU members spent much of 2015 negotiating with Greece to restructure its debt and avoid a “Grexit,” the 2016 UK vote now poses the most significant threat to the EU’s modern governance experiment.  

Thus far, Britain’s conservative Prime Minister, David Cameron has encouraged Britons to remain in the EU, while London’s Mayor Boris Johnson, another conservative, has pushed for Britain to leave the European Union. Cameron has argued that Britain is able to earn concessions by remaining in the Union. At the same time, commentators fear that the EU could unravel if the UK leaves during the migrant crisis.  
By Anthony Zurcher

EDF Energy, one of the United Kingdom’s larger energy companies, reached an agreement with China General Nuclear Power Group (CGN) to build a new nuclear power plant in Somerset. With a final cost of 18-24 billion pounds, the Hinkley Point plant is estimated to generate more than 25,000 jobs and enough energy to provide for 6 million homes. However, it will also be the most expensive plant in the world, leading many to criticize the decision to pursue the project. Chinese President Xi Jinping is expected to formally seal the deal after having met with British Prime Minister David Cameron throughout the week.
By Sarah Akbar

This weekend saw two different approaches to questions surrounding China’s human rights record by two major Western powers. President Obama chose to bring attention to human rights differences between the U.S. and China during President Xi Jinping’s stateside visit. “We believe that nations are more successful, and the world makes more progress, when companies compete on a level playing field, when disputes are resolved peacefully and when the universal human rights of all people are upheld,” Obama remarked on Friday morning. Xi avoided directly addressing the issue during his stay. Meanwhile, U.K. Chancellor of the Exchequer George Osborne decided to omit any mention of China’s human rights abuses as he traveled to Xinjiang province, recently in the news for the oppression of Muslim Uighurs by the Chinese government. Osborne was subsequently praised in Chinese state media, who hailed his “pragmatism” and “modesty.” The U.K. hopes to reap major benefits from Osborne’s trip, aiming to make China its second largest trading partner by 2025.
By William Stroupe

As the Syrian refugee crisis in Europe reaches fever pitch, the European Union is considering imposing sanctions on member states that refuse to admit their fair share. Revenues from the levy would be placed in an asylum fund used to support countries participating in refugee relocation. Slashed EU funding is one mooted means of imposing the fine on non-participants. The United Kingdom, which has committed to accepting a mere 500 refugees despite being one of the largest and wealthiest EU members, would be a primary target of such sanctions. The President of the European Commission will decide this week whether or not to pursue the policy.
By Evan Abrams

European and American banks frequently give business to other financial institutions as a reward for referring business to bank or an inducement to do so in the future. To some this is smart business practice but to others it seems highly anticompetitive.  According to the Wall Street Journal, the U.K. Financial Conduct Authority has launched an investigation into competitiveness among financial institutions, including the practice of reciprocity. Reciprocity may also hurt shareholders by inflating the number of banks working on any one project.
By Derek Hunter

Several large banks agreed to a $4.3 billion joint civil settlement with U.S., U.K. and Swiss regulators on Wednesday over currency exchange manipulation by its traders. Similar to the historic LIBOR settlements over the last few years, the six banks settled charges that they took steps designed to boost their profits by manipulating one of the world’s largest and most interconnected markets, sometimes at the expense of their clients. In secret chat rooms, traders from multiple banks would disclose confidential information to allow them to manipulate foreign currency prices and make a profit for themselves.

BloombergView discusses what these traders did wrong, how it compares to the LIBOR manipulation, and why this will not be the last we hear about these foreign currency manipulators. 
By Sam Willie

The BBC’s Economics Editor, Robert Peston, offers a punchy perspective on the European Union's demands that the UK pay an additional $2.65 billion as a result of the UK's strong economic performance. The back charge has come after the EU’s Office for National Statistics recalculated the size of the UK’s national income to include parts of the economy, like research and development, illicit drugs and prostitution. UK PM David Cameron may move to create an alliance of nations to fight the formula based demands. While the sums are comparatively small to the UK’s GDP, the back charge adds fuel to the fire of those who question the UK’s membership in the EU.
By Min Wu

ZeptoLab, creator of mobile game Cut the Rope, filed a claim at the U.K. Intellectual Property Office to cancel the European registration of the trademark “candy” by King.com, developer of popular game Candy Crush Saga, according to CNet Australia

In the game Cut the Rope, players cut a rope to feed a small monster candy. The trademark registration, if held valid, would establish King.com’s exclusive right to use the word “candy” in the titles of video games. 

King.com has withdrawn its “candy” trademark application in the United States under intense criticism. However, it still holds a registered trademark of “candy” in the European Union, which was used as a precedent to file the U.S. application.
By Julie Inglese

The Times of India is reporting that the United Kingdom has agreed to vote in favor of an independent investigation into alleged war crimes in Sri Lanka at the upcoming U.N. Human Rights Council.

The U.S.-led resolution alleges that 40,000 civilians were killed at the end of Sri Lanka's separatist war despite the great progress that they have made in reintegrating child soldiers and reconstructing conflict areas. The United Kingdom said it strongly believes “that, without a credible investigation… it will be very difficult for the Sri Lankan people to move forward in the true spirit of lasting peace, reconciliation and unity…”
By Sam Obenhaus

The United Kingdom wants banking regulations covered by the Transatlantic Trade and Investment Partnership (TTIP), a free trade agreement being negotiated by the United States and European Union.  The United States, however, is opposed to including the matter.  

According to Lord Ian Livingston of Parkhead, the U.K. Minister for Trade and Investment, U.S. negotiators have expressed fear that any agreement on banking regulations will have the effect of unwinding key parts of Dodd-Frank, the important but controversial financial reform bill passed in the wake of the Great Recession.  

“If you go back to Glass Steagal, America has felt that things were unwound over time and that that's problematical. They don't want the same thing to happen with Dodd Frank,” he said, while speaking before the E.U. Sub-Committee on External Affairs. 

According to the E.U. Trade Commissioner, the two sides aim to complete negotiations on the entire agreement by November. Bloomberg BNA has more on this issue and the ongoing negotiation of TTIP.
By Elizabeth Gibson

Statelessness is normally the purview of systematic discrimination, mass displacement, or state death – Rohingya living in a state of eternal limbo in refugee camps, families of Haitian descent trapped as an underclass in the Dominican Republic, or former residents of the Soviet Union who were abroad when their country literally ceased to exist.

Now, the United Kingdom is toying with making statelessness a punishment, and the international human rights community is less than amused (to use some British understatement).

A stateless person has no recognized citizenship in any country. Real statelessness is not just having your passport revoked (like Edward Snowden), it is legal non-existence, a lack of the “right to have rights.” During the House of Lords debate on a proposed immigration bill amendment today, Baroness Helena Kennedy explained:

“Deprivation [of citizenship], with all its consequences in the modern world, is equivalent to a penal sanction of the most serious kind, but imposed without a criminal trial, without a conviction, without close and open examination of the evidence, and without an effective opportunity of defence, contrary to the requirements of due process.”

Now, in fairness, statelessness exists in every country to varying extents – there are an estimated 12 million stateless people in the world. There also are other cases of states stripping someone's nationality based on national security or moral character. However, most of the world is seeking to reduce statelessness, and countries like the United Kingdom generally receive stateless people from other parts of the world but rarely create statelessness. For example, the United States just reworked its nationality law to eliminate a rare form of accidental statelessness last month, and the United Kingdom itself was applauded by the U.N. Refugee Agency last year for introducing a mechanism that created a path to legal status for stateless persons.
By Matt Klinger

Last month the European Court of Human Rights (ECHR) fast-tracked a case filed by a London-based activist groups against the U.K. government for its alleged involvement in the U.S. National Security Agency's PRISM surveillance program.

The groups filed their complaint with the ECHR in September, alleging the U.K. intelligence services participating in PRISM were violating Article 8 of the European Convention on Human Rights.  In particular, Article 8 requires that any government interference in an individual's private or family life must be "in accordance with the law" and "necessary in a democratic society."  The U.K. government now has until May 2nd to respond to several questions from the court.

Axel Arnbak at Freedom to Tinker has insightfully analyzed how the court is likely to approach the case.
By Joe Vladeck

The number of European bankers earning more than 1 million euros jumped 11 percent from 2011 to 2012, according to new data from the European Banking Authority (EBA). The report is timely in Europe, where regulators are struggling to set limits on the financial industry compensation, hoping to reduce incentives for bankers and traders to take undue risks. New caps on bonus payments are set to come into effect in 2014. 

Reuters has a detailed summary of the EBA report. British bankers account for the bulk of European high-earners, representing more than 2,700 of the 3,500 million-euro bankers. 

And, predictably, the countries hardest-hit by the ongoing financial crisis saw banker pay fall. Spain saw a 20 percent decrease in million-euro bankers, as did Ireland. Despite Greece's recent financial calamity, a single banker in the country is somehow still earning more than a million euros in compensation
By Joe Vladeck
Greeks protest austerity cuts by Piazza del Popolo | Flickr

Nations have been defaulting on debt for about as long as nations have been borrowing money. The Greeks went first. In the 4th century B.C., three quarters of Greek city-states defaulted on loans issued by a temple on the island of Delos.

Today, Greece is still struggling. Although it is not the most recent nation to default on its sovereign debt (that dubious honor belongs to Cyprus), Greece's on-going sovereign debt travails nearly led to the collapse of the Euro in 2012 and continue to fester. Granted, the question of whether Greece actually "defaulted" in December 2012 involves complicated semantics, but Greece's track record of debt repayment record is spotty. According to two renown economists, "Greece has been in a state of default about 50% of the time" since the country's independence in the 1830s. 

Modern-day Greeks have recoiled at the policies of domestic austerity that the country's creditors, notably Germany, have insisted upon as part of Greece's debt restructuring. But in historical context, austerity might not seem so bad: When Venezuela defaulted on German, British, and Italian debt at the start of the 20th century, Germany et al sent warships, set up a blockade, sank Venezuelan ships, and shelled Venezuelan military installations. Venezuela got the message, and the parties eventually agreed to U.S.-led mediation of the dispute.
By Min Wu

The U.K. is implementing an E.U. directive into its domestic law, so that artists who performed on sound recordings will have the benefit of an extension of copyright protection from 50 to 70 years. According to Intellectual Property Watch, the U.K. Minister for Intellectual Property praised the implementation as bring “lasting benefits” for U.K.’s “world class recording artists.”

The E.U. directive was approved by E.U. member states in September 2011 and the U.K. government has implemented the directive on time. The directive also harmonizes the length of the copyright term for co-written works.