Currency expert Boris Schlossberg says hung parliament a "formula for disaster"

In an interview with IBTimes, Mr Schlossberg, who is Director of Currency Research at GFT Global Markets, said that with its high levels of debt and a weak economic recovery, Britain “is walking a very thin line financially... [and] is probably the greatest sovereign debt risk in the G20 universe”.

He said, “If you look at the recovery rates of all the G20 nations, UK is the slowest, the worst. It only came out of recession last quarter and it came out on a measly one tenth of a basis point. Every other economy – as bad as it is – is doing much better than the UK. The UK is incredibly vulnerable to [problems in] financial services. The problem with the UK economy is that it is effectively a hedge fund economy. There is nothing besides finance (and maybe tourism) within the UK and that creates and incredibly difficult position for policymakers.

“I was watching one of the placement recruitment companies and they said the only sector where they are seeing strong growth is in the pharmaceuticals and biotechnology. I think the challenge to the UK economy is to basically invent another sector that is going to have a lot of growth."

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