Conservative party candidate Ben Houchen, left, one incumbent survival, with Britain's Prime Minister Rishi Sunak, following his re-election as Tees Valley Mayor in Teesside, England, on May 3. PA via AP
Conservative party candidate Ben Houchen, left, one incumbent survival, with Britain's Prime Minister Rishi Sunak, following his re-election as Tees Valley Mayor in Teesside, England, on May 3. PA via AP
Conservative party candidate Ben Houchen, left, one incumbent survival, with Britain's Prime Minister Rishi Sunak, following his re-election as Tees Valley Mayor in Teesside, England, on May 3. PA via AP
Conservative party candidate Ben Houchen, left, one incumbent survival, with Britain's Prime Minister Rishi Sunak, following his re-election as Tees Valley Mayor in Teesside, England, on May 3. PA via


The mood in the UK hasn't changed and it doesn't bode well for Sunak and the Conservatives


  • English
  • Arabic

May 08, 2024

How bad is bad? Well, that depends upon what you were expecting.

Everyone expected bad news for the British Conservative party from last week’s local government elections, but some calculate that they could be the worst local government election results for the Conservatives in four decades.

The party resembles a runaway train that Prime Minister Rishi Sunak can neither halt nor turn away from an inevitable crash. Rebels on his right have for months muttered about unseating Mr Sunak, but those rebels are not known either for courage or for thinking strategically. Nonetheless, they now seem to understand that any attempt to give the UK its fifth Conservative prime minister in five years would be ludicrous, potentially suicidal.

Mr Sunak will therefore (barring accidents or miracles) lead the party into the next general election later this year and they will lose. The Conservatives will then fight out their internal feuds and hatreds without continuing to trouble the rest of the British people.

In Abraham Lincoln’s famous phrase, “a house divided against itself cannot stand”. The Conservative party is just such a divided house. The mood across Britain right now is therefore quite complicated. It seems most people, including former Conservatives, have had enough of incompetence, policy announcements and posturing instead of policies that actually work.

The degree of incompetence is itself astonishing. Perhaps it can be summed up by former prime minister Boris Johnson who turned up to vote in the local elections last week, but was turned away. That’s because he failed to bring along to the polling station acceptable photo-identification to prove his identity.

Everyone in the UK, including election staff at the polling station, of course, recognise Mr Johnson, but one thing all British people agree on is that rules are rules. Even an old Etonian prime minister who appears to believe rules are for little people and don’t apply to him perhaps is beginning to understand that such carelessness, arrogance or incompetence is not in tune with what citizens require from leaders.

What makes the Johnson story even more damning is that the law to bring in compulsory photo identification at polling stations was introduced by … prime minister Boris Johnson. More than failed policies, perhaps the insouciance of that former leader sums up why after 14 years of interchangeable Conservative prime ministers, so many British voters want a change.

That desire is not confined to the Conservatives nor limited to England. The Scottish National Party is in search of a new leader. It follows the resignation of Humza Yousaf as Scotland’s First Minister. He had been in the job only a year but made a number of significant errors. And the core problem in Scotland, as it is in Westminster, goes beyond specific policies. The SNP has been in power too long. They first led the Scottish government 17 years ago. They have now run out of ideas.

All this turmoil therefore presents an enormous opportunity for Keir Starmer and the Labour party. They appear on course to take power after the next election.

Labour leader Keir Starmer speaks following Labour candidate for West Midlands Mayor Richard Parker's victory following the declaration for West Midlands Mayor, on May 4, in Birmingham. Getty Images
Labour leader Keir Starmer speaks following Labour candidate for West Midlands Mayor Richard Parker's victory following the declaration for West Midlands Mayor, on May 4, in Birmingham. Getty Images

The decline of the SNP in Scotland is just as important as the unpopularity of the Conservatives in England as part of Labour’s potentially winning strategy. That’s because the SNP currently has 43 out of Scotland’s 59 seats. The Labour party has just two. Scottish Labour politicians are confident of making big gains, and combined with the English local election results, power at Westminster seems within Mr Starmer’s grasp.

Poll after poll of public opinion suggests at least two out of three British people think the UK is on the wrong track. Key Conservative government policies, including Brexit, are not popular. The cost of living, a shortage of affordable housing, the failure of public services and numerous other legitimate gripes explain both the sour mood of many voters and the turning away from the party in power.

There are, however, probably several months before the general election. Labour party politicians I have spoken with remain nervous that their party could make a mistake, take voters and victory for granted and fail to capitalise on the profound public mood for change.

But one failure, at the highest level, sums up why the Conservatives cannot turn things around – namely declining healthcare outcomes. Michael Marmot is one of Western Europe’s most respected public health experts. Back in February 2010, in the last months of the last Labour government, his “Marmot Report” revealed how in the previous decade British health outcomes improved markedly.

But now, with a real sense of outrage, the new Marmot report “confirms [that] since 2010, central government spending cuts to local authorities were highest in areas with lower life expectancy and more health inequalities, further harming health in these places”. Conservative governments have for years boasted “levelling up” British society. The new Marmot report confirms that their policies have done the reverse.

The public mood is clear: Mr Sunak and the Conservative party are on borrowed time. It’s bad. Very bad for the Conservatives.

The specs: 2018 Jaguar F-Type Convertible

Price, base / as tested: Dh283,080 / Dh318,465

Engine: 2.0-litre inline four-cylinder

Transmission: Eight-speed automatic

Power: 295hp @ 5,500rpm

Torque: 400Nm @ 1,500rpm

Fuel economy, combined: 7.2L / 100km

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

MATCH INFO

Chelsea 1 (Hudson-Odoi 90 1')

Manchester City 3 (Gundogan 18', Foden 21', De Bruyne 34')

Man of the match: Ilkay Gundogan (Man City)

Who was Alfred Nobel?

The Nobel Prize was created by wealthy Swedish chemist and entrepreneur Alfred Nobel.

  • In his will he dictated that the bulk of his estate should be used to fund "prizes to those who, during the preceding year, have conferred the greatest benefit to humankind".
  • Nobel is best known as the inventor of dynamite, but also wrote poetry and drama and could speak Russian, French, English and German by the age of 17. The five original prize categories reflect the interests closest to his heart.
  • Nobel died in 1896 but it took until 1901, following a legal battle over his will, before the first prizes were awarded.
The specs: 2017 Dodge Ram 1500 Laramie Longhorn

Price, base / as tested: Dhxxx
Engine: 5.7L V8
Transmission: Eight-speed automatic
Power: 395hp @ 5,600rpm
Torque: 556Nm @ 3,950rpm
Fuel economy, combined: 12.7L / 100km

The specs

Engine: 2.0-litre 4cyl turbo

Power: 261hp at 5,500rpm

Torque: 405Nm at 1,750-3,500rpm

Transmission: 9-speed auto

Fuel consumption: 6.9L/100km

On sale: Now

Price: From Dh117,059

Dark Souls: Remastered
Developer: From Software (remaster by QLOC)
Publisher: Namco Bandai
Price: Dh199

Wonka
%3Cp%3E%3Cstrong%3EDirector%3A%3C%2Fstrong%3E%C2%A0Paul%20King%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStarring%3A%C2%A0%3C%2Fstrong%3ETimothee%20Chalamet%2C%20Olivia%20Colman%2C%20Hugh%20Grant%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%202%2F5%3C%2Fp%3E%0A
Updated: May 08, 2024, 4:00 AM