LONDON: The United Kingdom has lost £6.6 billion ($8.7 billion) in economic activity every quarter since it voted to leave the European Union, according to S&P Global Ratings, the latest company to estimate the damage from Brexit.
In a report published on Thursday, the ratings agency’s senior economist, Boris Glass, said the world’s fifth-biggest economy would have been about 3 percent larger by the end of 2018 if the country had not voted in a June 2016 referendum to leave the EU.
Quarterly growth rates would have averaged about 0.7 percent, rather than 0.43 percent, he said.
“Immediately after the referendum, the pound fell by about 18 percent. This was the single most pertinent indicator of the impact of the vote and the drag it created, via inflation, has been spreading through the economy,” he said.
As imports became more expensive, inflation started to rise, curbing household spending. S&P estimated inflation was 1.8 percent higher than it would otherwise have been by the third quarter 2017.
The estimate is slightly lower than an assessment by Goldman Sachs earlier this week, which pegged the cost to the economy at about £600 million per week. That equates to £7.8 billion a quarter, according to Reuters calculations.
The S&P report was based on the Doppelganger approach, an econometric technique that used a synthetic UK economy based on the performance of other economies to estimate how the UK would have performed had it not decided to leave the EU.
The other countries included the United States, Canada, Japan, Ireland, Denmark, Portugal and Hungary.
UK losing £6.6bn pounds a quarter since Brexit referendum, says S&P
UK losing £6.6bn pounds a quarter since Brexit referendum, says S&P
- S&P says the world’s fifth-biggest economy would have been about 3 percent larger by the end of 2018 if the country had not voted in a June 2016 referendum to leave the EU
- ‘Immediately after the referendum, the pound fell by about 18 percent — this was the single most pertinent indicator of the impact of the vote’
Dar Global launches $1bn Trump Plaza project in Jeddah
RIYADH: A $1 billion Trump-branded mixed-use development has been launched in Jeddah, expanding Saudi Arabia’s pipeline of high-end real estate projects.
Dar Global, a London-listed luxury real estate developer majority-owned by Saudi developer Dar Al-Arkan, said the project marks its third collaboration with the Trump Organization in the Kingdom.
The development, called Trump Plaza Jeddah, will include executive and premium residences, home offices, retail outlets and curated dining offerings, the company said in a statement.
The launch follows the unveiling of Trump Tower Jeddah in December 2024 and comes as Saudi Arabia steps up efforts to attract private capital and foreign buyers into its real estate sector.
Eric Trump, executive vice president of the Trump Organization, said: “Expanding our presence in Saudi Arabia with Trump Plaza Jeddah underscores our commitment to world-class quality and iconic design.”
He added: “This project reflects the strength of our relationship with Dar Global and our confidence in Jeddah as a dynamic, globally relevant city. Trump Plaza Jeddah will set a new benchmark for integrated urban destinations.”
The lifestyle project will also have a 4,000 sq. meter members-only Vitality Club, featuring golf simulators, a spa, sports medicine and recovery facilities.
The Vitality Club will also include swimming pools, fine dining, a cigar and library lounge, a coffee bar, and high-performance wellness spaces.
“The launch of Trump Plaza Jeddah represents a major milestone in our Saudi portfolio. This is not a single-use development, but a carefully curated urban ecosystem designed for global residents who want to live, work, and connect within the best address in Jeddah,” said Ziad El Chaar, CEO of Dar Global.
He added: “Anchored by a private park and supported by world-class amenities, Trump Plaza Jeddah introduces a new model for modern city living in the Kingdom.”
The destination will also feature retail and dining concepts, including Trump Grill, Trump Daily, an artisan bakery, and a fitness pro shop, reinforcing the project’s positioning as a district that operates day and night.
Trump Plaza Jeddah is located within the 1,000,000-sq.-meter Amaya development and is supported by foreign-ownership incentives, a 0 percent capital gains tax and accelerated infrastructure investment, the company said.
Earlier this month, Dar Global unveiled the first of two Trump-branded projects planned for Riyadh, launching a 2.6 million-sq.-meter Trump International Golf Club in Wadi Safar.
