CBI compares Brexit to Lehmans collapse

THE CBI President has likened Brexit to the collapse of Lehman Brothers and warned the UK “could wake up with the mother of a hangover on June 24”.

Paul Drechsler was visiting businesses in the West Midlands yesterday ahead of the organisation’s regional dinner and made it clear the result of next week’s referendum could have a significant negative impact on the economy.

“The biggest concern I have is the scale of impact of Brexit in the short to medium-term,” he said. “I think that’s going to give us unexpected downside consequences that will seriously affect jobs and opportunities.

“It’s a bit like Lehman Brothers – no-one understood the consequences of not letting them continue. If we had, we might have done differently.

“We could wake up with the mother of a hangover on June 24.”

The CBI has estimated that post-Brexit there would be 1m fewer jobs in the economy than it forecasts if the UK stays in the European Union.

He added: “Business doesn’t go looking for trouble. We don’t create risks unnecessarily.

“What is certain about Brexit, this is a totally unnecessary risk that we should not be taking.”