London Daily

Focus on the big picture.
Saturday, Feb 07, 2026

War has highlighted the geopolitical folly of Britain’s departure from the EU

War has highlighted the geopolitical folly of Britain’s departure from the EU

As memories are revived of the second world war and the 1970s, it is time for a major rethink of economic strategy
The Australian comedian Bill Kerr used to begin his BBC appearances with: “I don’t want to worry you, but …” Funny how those words came back to me last week as I watched the television coverage of the criminal bombing of homes in Ukraine.

Some of us are old enough to remember Hitler’s bombing of London, Coventry and elsewhere, not forgetting Britain’s bombing of Dresden. Kurt Vonnegut’s book about it, Slaughterhouse-Five, is a disturbing classic.

It was because European, and American, leaders – let alone their people – never wished to witness such horrors again that the European movement began. Now here we are, with the tyrant in the Kremlin repeating such horrifying scenes in Europe, yes Europe.

Putin is the modern epitome of Lord Acton’s famous and well-phrased dictum: “Power tends to corrupt and absolute power corrupts absolutely.”

Quite apart from the inhumanity and carnage, in his infinite folly Putin has set off a process of economic and social disruption which compounds the many obvious crises that the world already faced.

As energy prices soar, memories are being revived in the UK of the 1970s, when the first oil crisis of 1973-74 was a major factor in unseating the 1970-74 government of Edward Heath, and also sowed the seeds of the ultimate failure of the Wilson and Callaghan governments of 1974-79.

The sight of our egregious prime minister Boris Johnson going, oil can in hand, to Middle Eastern dictators to plead for economic help to counteract damage inflicted by another dictator, Putin, evokes an uncomfortable memory. When Labour chancellor Denis Healey was besieged in 1976 by rampant inflation and a balance of payments crisis, the Treasury’s top civil servant, my good friend the late Sir Douglas Wass, tried to lighten the mood by saying: “It could be worse, Chancellor. The Russians might be invading.”

Yes, well, let us not go there.

I am sure that when he first had chancellorial ambitions, Rishi Sunak was not expecting to have to cope with echoes of the 1970s. But here we are, with inflation accelerating and the chair of John Lewis, Dame Sharon White, a highly respected former Treasury official, worrying that the rate of inflation may be heading once again for “double digits”.

True, inflation has been exacerbated by shortages provoked by the pandemic. It has also been aggravated by the serious impact on food, not least grain, and other shortages resulting from Putin’s war. But something else has been driving prices up all over the place, and that is – you have no doubt guessed it – the mounting impact of Brexit.

On which subject I recently had an interesting encounter with a Remainer British expat who was visiting his Brexiter friends in assorted home counties havens. To his surprise, he found that most of them were admitting in private but could not bring themselves to say so publicly: “Brexit is a catastrophe.”

Of course, it has not yet unseated the chief elected culprit, Johnson, because he keeps being let off the hook by other distractions, such as Covid – now apparently reviving – and the awful tragedy of Ukraine.

But the war in Ukraine has highlighted the geopolitical folly of Britain’s departure from the EU. It has brought European nations together, and left the UK trailing behind, while the absurdity of “global Britain” and aircraft carriers being sent to the far east becomes ever more apparent.

Brexiter Sunak faces one hell of a task with his spring statement this week. The soaring cost of energy, as in the 1970s, is both inflationary in driving up prices and deflationary in acting as a depressant on demand in the real economy. Sunak should be telling us that Brexit was a mistake, and that a major reconsideration of economic strategy is required.

He himself is very well off. So are the “oligarchs” Johnson and co used to cultivate until the popular tide turned against them. Many people are not so fortunate. As Francis Bacon said: “Fortunes … come tumbling into some men’s laps.”

Oligarchy in ancient Greek meant rule by the few. Strictly speaking, the men referred to today as oligarchs are not rulers but rich men who have plundered the Russian nation’s resources. As Aristotle says in The Politics, “sovereignty”, when they tired of tyrants, was “exercised in oligarchy by the rich”.

It is an awful commentary on the “values” of Johnson and Sunak’s predecessor George Osborne that they are up to their necks in the scandal that has made London, nicknamed Londongrad, the money-laundering capital of the world. However, as my mother would have said: “It will all come out in the wash.”
Newsletter

Related Articles

0:00
0:00
Close
Al.com Acquired by Crypto.com Founder for $70 Million
Apple iPhone Lockdown Mode blocks FBI data access in journalist device seizure
Belgium: Man Charged with Rape After Faking Payment to Sex Worker
KPMG Urges Auditor to Relay AI Cost Savings
US and Iran to Begin Nuclear Talks in Oman
Winklevoss-Led Gemini to Slash a Quarter of Jobs and Exit European and Australian Markets
Canada Opens First Consulate in Greenland Amid Rising Geopolitical Tensions
China unveils plans for a 'Death Star' capable of launching missile strikes from space
NASA allows astronauts to take smartphones on upcoming missions to capture special moments.
Trump administration to launch TrumpRx.gov for direct drug purchases
Investigation Launched at Winter Olympics Over Ski Jumpers Injecting Hyaluronic Acid
U.S. State Department Issues Urgent Travel Warning for Citizens to Leave Iran Immediately
Wall Street Erases All Gains of 2026; Bitcoin Plummets 14% to $63,000
Epstein Case Documents Reignite Global Scrutiny of Political and Business Elites
Eighty-one-year-old man in the United States fatally shoots Uber driver after scam threat
UK Royal Family Faces Intensifying Strain as Epstein-Linked Revelations Rock the Institution
Political Censorship: French Prosecutors Raid Musk’s X Offices in Paris
AI Invented “Hot Springs” — Tourists Arrived and Were Shocked
Tech Mega-Donors Power Trump-Aligned Fundraising Surge to $429 Million Ahead of 2026 Midterms
UK Pharma Watchdog Rules Sanofi Breached Industry Code With RSV Vaccine Claims Against Pfizer
Melania Documentary Opens Modestly in UK with Mixed Global Box Office Performance
Starmer Arrives in Shanghai to Promote British Trade and Investment
Harry Styles, Anthony Joshua and Premier League Stars Among UK’s Top Taxpayers
New Epstein Files Include Images of Former Prince Andrew Kneeling Over Unidentified Woman
Starmer Urges Former Prince Andrew to Testify Before US Congress About Epstein Ties
Starmer Extends Invitation to Japan’s Prime Minister After Strategic Tokyo Talks
Skupski and Harrison Clinch Australian Open Men’s Doubles Title in Melbourne
DOJ Unveils Millions of Epstein Files, Fueling Global Scrutiny of Elite Networks
France Begins Phasing Out Zoom and Microsoft Teams to Advance Digital Sovereignty
China Lifts Sanctions on British MPs and Peers After Starmer Xi Talks in Beijing
Trump Nominates Kevin Warsh as Fed Chair to Reorient U.S. Monetary Policy Toward Pro-Growth Interest Rates
AstraZeneca Announces £11bn China Investment After Scaling Back UK Expansion Plans
Starmer and Xi Forge Warming UK-China Ties in Beijing Amid Strategic Reset
Tech Market Shifts and AI Investment Surge Drive Global Innovation and Layoffs
Markets Jolt as AI Spending, US Policy Shifts, and Global Security Moves Drive New Volatility
U.S. Signals Potential Decertification of Canadian Aircraft as Bilateral Tensions Escalate
Former South Korean First Lady Kim Keon Hee Sentenced to 20 Months for Bribery
Tesla Ends Model S and X Production and Sends $2 Billion to xAI as 2025 Revenue Declines
China Executes 11 Members of the Ming Clan in Cross-Border Scam Case Linked to Myanmar’s Lawkai
Trump Administration Officials Held Talks With Group Advocating Alberta’s Independence
Starmer Signals UK Push for a More ‘Sophisticated’ Relationship With China in Talks With Xi
Shopping Chatbots Move From Advice to Checkout as Walmart Pushes Faster Than Amazon
Starmer Seeks Economic Gains From China Visit While Navigating US Diplomatic Sensitivities
Starmer Says China Visit Will Deliver Economic Benefits as He Prepares to Meet Xi Jinping
UK Prime Minister Starmer Arrives in China to Bolster Trade and Warn Firms of Strategic Opportunities
The AI Hiring Doom Loop — Algorithmic Recruiting Filters Out Top Talent and Rewards Average or Fake Candidates
Amazon to Cut 16,000 Corporate Jobs After Earlier 14,000 Reduction, Citing Streamlining and AI Investment
Federal Reserve Holds Interest Rate at 3.75% as Powell Faces DOJ Criminal Investigation During 2026 Decision
Putin’s Four-Year Ukraine Invasion Cost: Russia’s Mass Casualty Attrition and the Donbas Security-Guarantee Tradeoff
Wall Street Bets on Strong US Growth and Currency Moves as Dollar Slips After Trump Comments
×