The UK: In a Meltdown & Soon Collapse!!

Hello everyone and welcome to Geopolitical Trends. My name is David Oualaalou. Is the UK on the verge of bankruptcy? This is what I am going to be talking to you, uh, uh, in this video by providing you a brief analysis as to what lies ahead for the UK. But before I jump into this, please make sure to subscribe and hit the like and the notification button so you will be notified every time I upload a new video. And thank you for your support. So let's dive in because it's very, very important to know what's going on, even though mainstream media is not reporting, uh, the information in detail and as accurate as it's supposed to be. You know, they kind of play with words. So anyway, I'm here to share some insights with you. Uh, it has only been about 40— to be exact, 45 days since the former Prime Minister of England, Liz Truss, has caused losses to her country, economic one, massive one. And here's the thing, those losses that could take about a year and few years for them to be reformed or even fixed, you know, and this was due to the floundering of her economic policies. I argued about 4 weeks ago, and it's on a record. You can check all my social media and all that. I wrote back then, and no offense to her, I have nothing against her. I said back then, and I tweeted this a lot, that she is not and was not qualified for the position. And this is what we are seeing now with Western leaders. There is like almost, I feel, a deficiency in leadership. You look at it in Germany, what's going on. You look at it in France. You know, what's going on? And that's Liz Truss is no different than this one here. So, well, here is the thing. This economic downturn for Britain comes at a wrong time as the British economy was already at its worst conditions. You know, I, of course, Wendy, I'm not laughing out of life. I'm laughing out of the stupidity of a prime minister like that will risk the life of the citizens because it's the citizens that's going to be paying the price. I mean, for her, she only worked about 44 days and guess what? She's entitled to a pension. Now she's going to be receiving a pension that is given to the prime minister. It's not right. It is not right. It's because the average citizens that's going to be paying the price. And it's arguably that the economy that Liz Truss brought down, it's going to be, as I said, years, if not a decade for Britain to recover from that. And that one in itself has left a heavy legacy for her successor. So whoever or whomever is going to come after her is going to have his plate or her plate very full. And this thing, of course, the market reacts to it. You know why? Especially in Britain, because the market lost faith in a government. You know, it's not— it's, you know, we have some of it here across the pond here in the US, but in Britain it was, it was very bad. And you could just see the market actions anticipated after what she did, the policies that she wanted to embark on. So what happened is the most pessimistic, and I'll use the term even though I don't like it, but I'll use the term, the most pessimistic did not expect that Truss will leave all this economic devastation in just few days. 44 days in a tenure of a premiership or the office, the highest office in England, It's very short, 44 days. So how did the UK reach its worst economic crisis in nearly half a century, in nearly 50 years? Yeah, let that sink in. In 50 years, one person within 44 days turned things upside down. I know the British people, that's their decision to be paying for the lifestyle of the of the monarchy with some of their tax money goes to support, which I personally have a hard time, but I don't care. I am not British, so what would I care? It just to me like the fairness or, or, or justice, shall we say. So are the Brits forced to pay that tax to support the lifestyle of the monarchy? No. If you happen to be a Brit watching this video, I will leave that conclusion to you because I can't speak for Brits. You have to speak for yourself. So Well, here's the thing. When Liz Truss ran for Prime Minister's office, she knew, she knew back then that her country's economy was going through a difficult time. And of course, with inflation above 10%, which by the way, the British government didn't disclose that truth to people. They always say, oh, it's only 6%, it's only 8%. It's the same thing for us here in the US. The government was lying. You know, in the case of Britain, the inflation went up above 10%, the highest in 40 years. 40 years. And add insult to the injury is that the Bank of England decided to increase interest rates to fight inflation. Well, how do you do that when the economy, uh, the, the economy is going into recession. It's already in a recession and will last most likely till about the end of next year. This is a conservative estimate. I think it is worse. And the inflation is not at 10%. I think it's more. They're just not disclosing that. No. At the same time, institutions within Britain confirmed that it will continue to raise— I mean, the, uh, Central Bank of England confirmed that it will continue to raise interest rates to control inflation. Yeah, but did they think what it's going to do to average Brit, the people that work from 9 to 5, that are living on a fixed income? Those are realities that I think politicians sometimes avoid to talk all about altogether. So the other thing that even made matters worse Is the country, Britain in this case, energy crisis like in Europe? This is why I don't get it, why the European leaders are lying to their people by not disclosing the truth about what the economic conditions are. This is what prompted me to make the video for you guys, just to see the other side of the argument that mainstream media that is controlled by the government and work in cahoots with the government not disclosing the truth. So the energy crisis have really shocked the economy of England, and the record high electricity and gas bills just jumped to the roof. And the thing is, this particular issue, the energy crisis, has put some about 11 million Brits' household in energy poverty. Well, again, they don't disclose this kind of stuff. Why? Because they don't want to sound, I mean, they want to be conservative in their assessments, you know, and I'm not here to do that because I don't sugarcoat things. I'll say them the way they are because you need to know the truth and the facts. So if I am to start cherry picking, which I will not do, if I start to do that, then I have lost faith in myself in making sure that I am being fair and unbiased. Unbiased, report it as is, and let you reach your own conclusion. So now what you have in Britain is that household— those 11 million households have to devote about 10%, get this, 10% of their expenses to energy bills. That's just too much for— no matter how you budget your stuff, you If you are on limited income, no. And Liz Truss, the former PM, was thinking about, oh, I'm going to save the economy. It's nonsense. It is nonsense. Because here's the thing. When Liz Truss came to the office, the premiership, she knows the first order of business. You know what it was? Is to cut taxes. Anna right there, I, I knew about it and I tweeted right away. I bet you give her one week and she will reverse course. And that's exactly what happened. Why? It's because it didn't make any economic sense for where the conditions of the country are and you are cutting taxes. Well, whom are you cutting taxes for? Not for the average citizen, but the millionaires and billionaires. The rich, the wealthy. And the tax that they wanted to cut was about £45 billion, which is the equivalency of $44 billion. That's just too much, let alone the average Brits wasn't benefit from that. It benefited the rich. So Truss' argument, her argument was, is that the plan was that tax breaks will encourage the rich to consume and invest more, which would mean increased economic growth that would benefit the country. That's nonsense. That's the same argument we hear from our politicians. They will say that, well, we heard what President Biden's saying that if you're going to have to print more money and give the stimmy checks and all that stuff to stimulate economy. When people are living on a fixed income, that's not going to cut it. So that was one of the big mistakes she made. So what happened next after she did that? Well, immediately after the announcements of this plan, it was a violent— and I use the term— violent shock. In the market across the board, you know, which began with the fall. And get this, guys, it began with the fall of the value of the pound sterling, reaching for one pound sterling the equivalency of $1.02. That is the lowest level of the pound sterling in its history. So, and the whole thing, uh, sort of, uh, echoed in the financial market when the market lost about $500 billion just from that stupid decision. And this is why I always say you have to always think in terms of how geopolitics— this is why I say what I say at the end of every video. Remember, geopolitics impacts your daily life. This is exactly what I am talking about. It trickles down. She's thinking, I'm just going to cut taxes, but it end up hurting people. The market, let alone, reacted to that. And the reason for this economic setback was that investors fear that the Liz Truss plan, the so-called mini-budget, does not determine exactly where it will get the £45 billion. Where it's going to come from? You only have two options: either print money or borrow money. And in this case, the government will lose tax revenues, especially after responding to borrowing, where the total amount of the government in Britain borrowed last September amounted to $20 billion already. This is about $3 billion more than or higher than the government expectations. So you can just see where this is going. So, and this is why the Treasury Budget Office in England has warned that continuing to borrow will lead to a rise— get this, and I'm going to get you the right figure here, and I will just give you guys the link to all this— it will rise in the country's indebtedness to about 320%. Yeah, let that sink in. 320% of GDP over the next 50 years. Basically, let me translate it to you in terms of monetary. That will be the equivalency of an increase of 2.4 trillion sterling, a pound sterling from the current level. So interesting enough, it's the same thing we have here in the US. Our debt went up by $2 trillion since President Biden start printing money, let alone giving money to Ukraine and all that stuff. Where that money's gonna come from? That's why our national debt crossed $31 trillion. And you guys did nothing. You don't have to be an economic genius to— these are simple economic principles. You know, it's like in your own household. Do you spend more than you earn? It's common sense. But the governments are lying. They are lying to their teeth. And again, it's not them that they're going to be paying the price, it's the average citizen. So, and this is why the government ended up forcing Liz Truss to reverse course. And that's exactly what I was saying 4 weeks ago when she announced about tax breaks, because it just didn't make any sense. Did not make any sense. So because what it means basically on other side of the government is that the government will be forced to reduce government spending on social sectors, supporting poor groups, which threaten social unrest. And if you look into history, and I am a student of history, if you look into history how the French Civil War, even though we call it French Revolution, it's a civil war. How it started is when you start having that gap widened between the rich and the poor because the rich end up controlling the resources. We are seeing this stuff going on right now in the United States, and you all know what I'm getting at. So, so social unrest, you all know where it will lead to when people start to have to worry about Do I have enough food to eat or not? You have to do whatever you need to do to survive because your survival kicks in. And to make matters even worse, companies and households now have taken out loans, or that have taken out loans before, and with the central bank increasing interest rate, because when they took the loans, they took the loans at a lower interest rate during 2020. Now those individuals and companies, well, they will find themselves facing a very high interest rate. You got about 5 million British families could face an increase in their loans by about $5,000 in interest. Between now and 2024. Which means what? It means that millions of families will be unable to pay their debt. And you all know what it means. Unable to pay your debt translates to filing for bankruptcy. This is exactly what happened in 2008. And here is the big shocker of them all. This not pertaining to economy, is that the clown BoJo wants to come back to premiership. Really? The guy who lied, by the way, and in the investigation that was conducted, they found that he did lie. But again, I'm not judging UK. It's not my country. The Brits have to decide for themselves. All I am saying is the deficiency in leadership in the West. There is the other guy who's running for office. His name is Sunak, of Indian descent. You know, do you know that his background, that he came from a well-to-do family? You know, how much does he understand about the suffering of an average Joe or average Jane in Britain? You know, when you come from the elites, you know, it's just common sense. We've seen it right here in the US. But again, I'm not here to judge, you know. So here's my conclusion to you. According to a survey among business owners that was conducted by, uh, by, by the way, by British Statistics Agency, and I will provide you a link to this, 1 in 10, 1 in 10 companies is at risk of bankruptcy before the end of this year. And the same survey adds also that 22% of business owners said that high energy prices are the main reason for their fear of falling into trap of bankruptcy. We all see where this is headed. 60% of registered voters— this is for us in the US almost similar— believe that at least somehow or somewhat likely that the United States government will go bankrupt within the next 10 to 15 years. Do you see the compatibility between the US and Britain? And that would also be indicated not only in their economic policies but also in their foreign policies. Because when you take this, again, as I always say, put it within the trends of what's going on. Look at the Ukraine conflicts, okay? And who's fueling that? You got my point. So here's my question for you for today. Will the United Kingdom— actually, we call it Britain because it might not be United Kingdom anymore if Northern Ireland and Scotland ask for independence. And it's about time for that. Will Britain go fully bankrupt? Let me repeat it. Will Britain go fully bankrupt? Let me know what you think and leave me some comments, and I will respond to you. As I always say, remember, geopolitics impacts your daily life more ways than one. Till next time, guys. Bye-bye.