Our investment managers at FE offer their valuable insight into the 4th July 2024 UK General Elections and what this may mean and how it could influence the markets.

Investors should always remember, stay strong it is time in the markets not the timing of the markets.

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In 2024, about 4 billion people around the world will be eligible to vote in an election. This is a significant number that could have implications for the global economy, politics and markets. However, not all elections are equally important. Some countries may face challenges ensuring elections are free and fair, while others may have predictable outcomes that reduce uncertainty.

We will focus on two of the most notable elections from 2024: the UK and the US. These are two of the largest and most influential economies in the world, and their political decisions could affect your investments in various ways. We will provide a brief overview of the likely results, the main policy changes and the potential impact on the financial markets.

The UK general election has been called for 4th  July and is expected to be a relatively straightforward affair. Keir Starmer’s Labour Party, has been enjoying a comfortable lead in the polls for over a year and a half and is widely expected to win a majority of seats in the House of Commons. The Conservative party, led by Rishi Sunak, has been struggling to regain popularity after the Brexit saga, the pandemic and several scandals.

We tend to see elections causing volatility in the financial markets as a change in government can mean different policies; for example, privatisation vs nationalisation or the rate of corporation tax. Changes to tax, government spending and the level of borrowing ultimately influence company earnings which then leads to share price movement. So what policy can we expect to see if the opinion polls are correct?

The main focus of the Labour Party’s campaign has been on social issues, such as the NHS, housing, and ‘securonomics’,……….