A decisive win for British prime minister Theresa May’s Conservative Party in the snap election on June 8 will endorse her strategy for Brexit. It will likely also plunge the opposition Labour party into disorder, paving the way for the exit of its radical and embattled leader, Jeremy Corbyn.
The British parliament on Wednesday voted overwhelmingly – 522 to 13 – in favour of an early national election, surpassing the two-thirds majority of the 650 lawmakers needed to hold early polls.
A day earlier, Mrs May surprised the British public by calling for fresh parliamentary polls, Mr Corbyn said he supported the decision “to give the British people the chance to vote for a government that will put the interests of the majority first”.
“Labour will be offering the country an effective alternative to a government that has failed to rebuild the economy, delivered falling living standards and damaging cuts to our schools and [the National Health Service],” he said. “We look forward to showing how Labour will stand up for the people of Britain.”
But current opinion polls suggest that Mrs May will lead her party to a position of greater strength in parliament, and that Labour will suffer deep losses.
Polling site Electoral Calculus, which surveyed more than 10,000 people last month, predicts that the Conservatives will increase their seats in parliament from 330 to 381, and that Labour will drop from 229 seats to 182.
The same analysis projects a 76 per cent chance of a Conservative parliamentary majority, and just a 5 per cent chance of a Labour majority.
In a separate YouGov poll last month, only 15 per cent of 1,608 British voters surveyed said they thought Mr Corbyn would be the best prime minister of their country. In contrast, 49 per cent opted for Mrs May. The numbers are thus stacked against Mr Corbyn, who has successfully styled himself as a man of the masses but who also struggles against factions with his own party.
The Financial Times reported on Wednesday that Mrs May scheduled the election for as early as June because she was afraid Mr Corbyn might resign, making way for a potentially more popular leader who would invigorate Labour.
“People don’t think he’s a credible, strong leader, and his personal ratings are absolutely abysmal,” said Craig McAngus, a political scientist and a lecturer at the University of Aberdeen. “Unfortunately, a strong leader is what wins elections these days. You can’t go into an election with a weak leader, whom the public thinks is incompetent.”
Mr Corbyn has led Labour since September 2015, and he was re-elected last September, winning the votes of nearly 62 per cent of the party’s membership.
The rank-and-file of the membership base strongly supports Mr Corbyn.
His proposed policies – including more investment in the National Health Service, more social housing, and nationalisation of the railways – resonate strongly, particularly among younger, more left-wing members of the party.
Under his leadership, the party membership has swelled to more than half a million – about four times that of the Conservatives. About 100,000 new members joined the party in the two weeks following last June’s Brexit referendum.
But these members still form a very small percentage of the voting public. Further, an ideological schism has long festered between the staunchly left-wing Mr Corbyn and a rival section of the Labour leadership, which is more centrist.
“It’s also a cultural schism. Corbyn believes the party should drive fundamental social change, just as an activist would think. He’s an activist, he’s not really a public leader,” Dr McAngus said. “His opponents see Labour as a political party which is only in the business of winning elections, and using the levers of government to implement policy.”
Despite these challenges, however, Dr McAngus said a Labour loss in the election might not guarantee Mr Corbyn’s exit.
For one, his critics within the party have not been able to find an alternative prospective leader to rally behind.
“Owen Smith, who stood against him in the last party leader election, did OK, but the sense was: ‘Here’s a man who’s doing it because there’s no one else’,” Dr McAngus said. “There’s no one at all now whom I can put my finger on — no member of parliament who stands out as a leader.”
It will also be difficult to unseat Mr Corbyn in an internal election for party leadership if he continues to enjoy widespread support among the membership.
“But he would probably step down,” Dr McAngus said. “He seems to be an honourable man. No one seems to question his integrity. It’s just that he’s an activist, he’s not a political party leader.”
ssubramanian@thenational.ae
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The Sheikh Zayed Future Energy Prize
This year’s winners of the US$4 million Sheikh Zayed Future Energy Prize will be recognised and rewarded in Abu Dhabi on January 15 as part of Abu Dhabi Sustainable Week, which runs in the capital from January 13 to 20.
From solutions to life-changing technologies, the aim is to discover innovative breakthroughs to create a new and sustainable energy future.
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MOUNTAINHEAD REVIEW
Starring: Ramy Youssef, Steve Carell, Jason Schwartzman
Director: Jesse Armstrong
Rating: 3.5/5
MATCH INFO
Syria v Australia
2018 World Cup qualifying: Asia fourth round play-off first leg
Venue: Hang Jebat Stadium (Malacca, Malayisa)
Kick-off: Thursday, 4.30pm (UAE)
Watch: beIN Sports HD
* Second leg in Australia scheduled for October 10
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.”
How to apply for a drone permit
- Individuals must register on UAE Drone app or website using their UAE Pass
- Add all their personal details, including name, nationality, passport number, Emiratis ID, email and phone number
- Upload the training certificate from a centre accredited by the GCAA
- Submit their request
What are the regulations?
- Fly it within visual line of sight
- Never over populated areas
- Ensure maximum flying height of 400 feet (122 metres) above ground level is not crossed
- Users must avoid flying over restricted areas listed on the UAE Drone app
- Only fly the drone during the day, and never at night
- Should have a live feed of the drone flight
- Drones must weigh 5 kg or less
KILLING OF QASSEM SULEIMANI
Tuesday results:
- Singapore bt Malaysia by 29 runs
- UAE bt Oman by 13 runs
- Hong Kong bt Nepal by 3 wickets
Final:
Thursday, UAE v Hong Kong
The specs: 2017 Dodge Viper SRT
Price, base / as tested Dh460,000
Engine 8.4L V10
Transmission Six-speed manual
Power 645hp @ 6,200rpm
Torque 813Nm @ 5,000rpm
Fuel economy, combined 16.8L / 100km