The uncertainty facing British businesses has gone "through the roof" due to Brexit, hurting investment and posing long-term challenges for economic productivity, Bank of England Governor Mark Carney said on Thursday.[WASHINGTON] The uncertainty facing British businesses has gone"through the roof" due to Brexit, hurting investment and posing long-term challenges for economic productivity, Bank of England Governor Mark Carney said on Thursday.
Mr Carney said that despite an"incredibly tight" labor market, businesses had held off on investment since the 2016 referendum to leave the European Union. He also warned at a meeting of the Marshall Forum group in Washington that the global economy appeared to be reliant on consumers, rather than trade and investment growth, due to increased trade tensions for more than a year.
"Normally when expansions are reliant on the consumer, you start watching the clock, in terms of how much longer it will last," he said.
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