Fears of US investors over a ‘bad Brexit’

US business leaders have warned Theresa May that a ‘bad Brexit’ and a Corbyn government would be a disaster for Britain.

The Prime Minister launched a charm offensive in New York yesterday as she attempted to sell post-Brexit Britain to investors.

But the boss of one of the world’s biggest investment firms warned Mrs May of his ‘daunting’ concerns about the prospect of a Labour government and no deal with the EU.

Stephen Schwarzman, the chief executive of Blackstone, said he believed in Britain and had just bought a business there. But he added: ‘Things could really go off with a bad Brexit and also a change of government. The thing that we really worry about is how bad can things get? … In terms of just thinking about it from a risk management perspective it’s a little daunting for those of us on the outside.’

The PM tried to reassure investors about Britain’s prospects after we leave the EU. In her speech to the Bloomberg event in New York, she said Britain would remain a low tax, smart regulation country. Despite the Brexit talks collapsing last week, she said there was much ‘common ground’ between both sides.