Business Groups Warn `Brexit' Would Hurt Trade and Investmentby
Employer groups from four EU partners urge U.K. to stay in
IMF warned of severe damage to world economy from `Leave' vote
Business groups from some of Britain’s biggest continental trading partners will voice their support for U.K. Prime Minister David Cameron’s bid to stay inside the European Union, arguing it is good for trade and investment.
As the campaign ahead of the June 23 vote on EU membership steps up, Cameron’s government is arguing that people’s jobs depend on remaining in the 28-member bloc. The prime minister will meet employers’ groups from the U.K., Germany, France, Spain and the Netherlands on Wednesday, as well as the heads of Siemens AG, L’Oreal SA, Banco de Sabadell SA, and Kannegiesser GmbH.
“We must not put barriers in the way that could risk over 550 billion pounds ($780 billion) worth of investment between the U.K. and four major European economies alone,” Confederation of British Industry Director-General Carolyn Fairbairn said in an e-mailed statement. “Why would we choose to break the world’s strongest cross-border trading partnership, which has been four decades in the making?”
The International Monetary Fund cut its U.K. growth forecast Tuesday and warned of “severe” damage to the world economy in the event of a so-called Brexit. It said a vote to quit the bloc would pose “major challenges” by “disrupting established trading relationships.”