How a Corbyn government could reshape investor affairs

Author: Jimmie Franklin | Published: 9 Sep 2019

Since Jeremy Corbyn took over as leader of the Labour Party, it has shifted remarkably, deserting the business friendly, 'third way’ policies that were well received by the financial sector in the 1990s and early 2000s when promoted by former leader Tony Blair.

The party’s keenness for renationalisation has clear implications for investors in the UK’s utilities and services, with water and energy sectors likely to be nationalised in light of a Corbyn government.

"When it comes to the prospect of a Corbyn government, the answer is yes, investors should be concerned," said Colm Gibson, managing director at Berkeley Research Group.

KEY TAKEAWAYS

  • Labour’s policy commitments include radical plans for renationalisation;
  • Investors in the UK and beyond could lose out from this and not obtain fair market value;
  • Investors can protect themselves through international treaties and human rights law.

The reasons for concern are outlined in Labour’s...