Britain is rudderless and directionless, commentator warns

PRIME Minister Theresa May is likely to be 'tipped over the side' after her snap General Election gamble backfired, a leading City commentator has warned.

Larry the cat and a policeman outside 10 Downing Street, London, as Theresa May's future as Prime Minister and leader of the Conservatives was being openly questioned after her decision to hold a snap election disastrously backfired. PRESS ASSOCIATION Photo. Picture date: Friday June 9, 2017. Photo: Jonathan Brady/PA Wire

Justin Urquhart Stewart, the co-founder and head of corporate development at Seven Investment Management, said that “HMS Britain is rudderless, directionless and shortly leaderless”.

He added: “Not a good strategy for the economy. The captain is likely to be tipped over the side and we will need to find a new credible commander, not just to lead us through the Brexit negotiations but also through the next election which in all likelihood could be in the next two years.

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“Investors should hold hard and remember the importance of your compounded returns of your dividends on your broadly diversified portfolio.”

Chris Darbyshire, chief investment officer, 7IM said: “Another year, another British political upheaval. 2015 had everyone expecting a hung parliament and we got a Conservative majority. 2016 gave us the delights of Brexit. 2017 completes the hat trick.

He added: “A Conservative government majority might just be manageable if the Irish Unionists continue to co-operate, and if Sinn Fein sticks to its usual approach of not taking up its seats. That explanation alone shows how fragile a continuing Conservative government could be – held hostage on domestic policy changes by the promise of support on Brexit.

“A Labour-led minority government would not be likely to be any stronger, pulled between a ‘soft’ and a ‘hard’ Brexit.

“Coalitions have been suggested, but it seems very unlikely that the Liberal Democrats will repeat their 2010 error of choosing a side, and the same is probably true of the SNP.”