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9 November 2015 |


Once again the topic of European Union is at the forefront of the news as Cameron is expected to release his demands this coming week. International security has also hit the headlines as the Metrojet Airbus A321 crashed over the Sinai Peninsula. The US economy appears to be picking up as unemployment has fallen through the introduction of new jobs. However, the impact of China’s economy appears to be determining a lot of decisions by international leaders with regard to their own economies.


Germany has been at odds this week over the open door policy to Syrian migrants as Chancellor Angela Merkel continues her campaign in support of the policy. Bloomberg reports Merkel’s comments in Berlin this week as she explained that, “We want to make the influx orderly and controlled as well as tackle the root causes for those fleeing in order to reduce the number of refugees.” The debate over the immigration issue was further highlighted yesterday on German television as German Finance Minister Wolfgang Schaeuble and Vice Chancellor Sigmar Gabriel Interior Minister disagreed over Thomas de Maiziere proposal that reunions of asylum families within Germany should be restricted reports Bloomberg. Many Germans are concerned about the impact that the open door policy will have on resources. With the increasing resistance and persistence from the two sides of the coalition within Germany it is questionable whether anything will be achieved.

European Union

With the December meeting approaching, British Prime Minister David Cameron is expected to announce his demands from the EU this week. Bloomberg foretells Cameron’s upcoming speech on Tuesday which will state that “If we can’t reach such an agreement, and if Britain’s concerns were to be met with a deaf ear, which I do not believe will happen, then we will have to think again about whether this European Union is right for us…as I have said before, I rule nothing out.” Meanwhile, the BBC reports on George Osborne’s interview with Laura Kuenssberg where the British Chancellor examines the impact of leaving the European Union. He explains that the decision has to be made in light of the best deal for the British people. The question I propose is do the British voters know enough about the full impact of a UK exit or will they be vote in favour of the negative mood surrounding the European Union?


Volkswagen is facing another setback as Bloomberg reports how ‘internal whistle blowers uncovered irregularities broader than the carmaker had originally disclosed.’ The car manufacturer is now being accused of ‘discrepancies on carbon-dioxide output’ on non-diesel cars. This could result in an additional 2 billion euros worth of financial risk according to Bloomberg.

In other business news Reuters on Friday produced a report summarising the 2000GMT which looks at all the potential and current merger and acquisition deals. Whilst there has been speculation with regard to a slowdown in deals, this article would suggest otherwise as each major industry appears to be represented.

UK Economy

Part of the Conservative campaign in the earlier elections this year was to create a budget surplus and this week Chancellor George Osborne will explain and identify exactly how and where he is going to make the cuts in order to achieve his goal of a surplus by 2020. Reuters has reported that ‘Britain’s transport, environment, local government and finance departments will have their day to day-to-day budgets excluding capital expenditure, cut by an average of 8 percent a year over the next four years.’ Overall according to the BBC ‘there will be an average of 30% cuts over the next four years’. These cuts will be achieved through a series of removing ‘low value programmes’ and becoming more efficient. More information will be released this Tuesday in George Osborne’s speech regarding Government cuts.

UK Politics

Labour party leader Jeremy Corbyn has publically criticised Sir Nicholas Houghton, the Chief of the Defence staff, as the BBC reports the details of Houghton’s interview with Andrew Marr. The article states that Houghton believes that ‘refusing to launch nuclear weapons would “seriously undermine” Britain’s “deterrent”. Corbyn who is in favour of nuclear disarmament has accused Houghton of political bias. The debate over the use of nuclear weapons is one in which is constantly contested after the ramifications of the events in World War Two and later during the Cold War. The threat of the use of nuclear weapons undoubtedly raises tension between countries however, is the use of nuclear weapons justified? The debate remains.

In other UK political news, the Government has voted not to intervene in Syria. The Government who chose not to place air strikes in Syria has now faced criticism for its decision as it fails to assist allies in the fight against IS. The issue regarding UK involvement in Syria is undoubtedly going to be debated again as the situation continues to deteriorate.

Global News

A lot has been occurring globally this week. China has settled relations with Vietnam over the South China Sea after President Xi Jinping, China’s President visited Vietnam. The area has caused much tension between the two nations ever since the ‘reclaiming land on disputed reefs’ which were then furthered by China’s placing of an oil rig.

The impact of China as a global economic powerhouse has also been increasingly discussed this week as the future of China’s economy continues to look bleak. According to both The Independent and The Guardian, China’s future will influence leaders in particular the UK over economic decisions. Mark Carney, head of the Bank of England, has reported that interest rates are unlikely to increase now due to the global economic slowdown until 2017. By keeping a rate of 0.5% Carney and the rest of the Monetary Policy Committee believe that this will ensure a return to the 2% UK inflation target by 2018.

In other global news, the US economy appears to be improving as according to The Guardian interest rates are going to be discussed for the first time in December since the 2008 crash. In October, the article reports, that an additional 271,000 jobs were made which reduced unemployment in the US to 5%. It appears that the world is slowly recovering seven years after the initial financial crash as interest rates are being discussed globally.

International security has captured the scene after a plane crashed over the Sinai Pinsula killing all members on board. Speculation has occurred as to whether the crash was caused by a bomb resulting in many governments including the UK reducing flights to Egypt as the situation over the causation of the events are assessed. In turn this has provoked individuals an international discussion about airport security.