Chapter 968： tangled…… (1/2)

What worries the British government is not only the international situation, but also the accompanying economic problems.

If nothing else, most of the markets that the French have withdrawn will be replaced by Austrian industrial and commercial products, and Britain can only pick up some leftovers.

The law of ”the strong keeps strong” also applies here. Austria itself is the industrial hegemon, and now it has seized the French market, the domestic industry and commerce will definitely develop further.

A little bit of common sense knows that the more industrial and commercial products are produced, the lower the cost and the stronger the market competitiveness.

With such a big market, Austria's industry and commerce will develop further and will inevitably compete with Britain.

Not to mention other regions, at least Britain's market share in Europe will definitely be squeezed.

With the shrinking market, the profits of enterprises will decrease, and the money invested in product development and promotion will also decrease. This is a vicious circle.

Of course, these are long-term issues. Britain has the richest colony in the world, which can be sustained in a short time.

The big deal is to slowly transform the economy, abandon the meagre manufacturing industry, and vigorously develop the financial and service industries. The original time and space have done this, but now it is naturally possible.

The long-term problem is the next job, or the next job, Gladstone can't worry about them, the current troubles are enough for him.

As the world's number one financial empire, loan sharking is indispensable. Everyone knows that those who play financial affairs are the masters with boldness and integrity.

As long as the benefits are large enough, no matter how big the risks are, someone will do it.

In Britain, which promotes a free economy, the government does not interfere with private lending. Naturally, these speculators were indispensable in the European War.

If someone earns blood, someone loses blood. With the end of the European War, the financial groups that bet on the French government are now locked up.

If the money of the consortium is locked up, Gladstone will only celebrate with champagne and will not care about the life and death of these vampires.

It's a pity that the vampires are very shrewd, and they have carefully planned the script for a long time. The profit is their own, and the loss is raised from the private sector.

From the end of the European War to the present, more than three hundred financial institutions in Britain have declared bankruptcy and directly threw the mess to the government.

Debt collection is impossible. Judging from the current situation, even if the French government has money, it has been scoured by the anti-French alliance. It is estimated that within a few decades, it will be impossible to fulfill this debt.

Before the bad debts of the French could be dealt with, the Confederation of Germany broke its debt default and once again gave the London government a blow.

This time it is not just private loans, many of which are secured by the British government.

No way, the German Federal Government declared bankruptcy. In order to save expenses, they even cancelled the embassy in London and entrusted the business to the Austrian embassy in London.

It's not that the German federal government deliberately ”reckless”, they are indeed out of money now. The lower states do not pay taxes, and the districts directly under the central government have been smashed. The government has lost all its income. Even the salaries of public officials have to be paid in advance by Austria, let alone repaid.

The settlement approached the end of the year, and the government could not spend money to fulfill its debts and had to choose bankruptcy and default.

In fact, it is not only the German Federation that went bankrupt. The Belgian government, whose hometown was in vain, also declared bankruptcy at this time.

No money means no money, and there is no pretending to be poor. They are not targeting Britain alone, but all debts are in default. But Britain borrowed the most and became the biggest victim.

”Did the two German governments give an explanation?”

The French government Gladstone ignored it. Obviously he didn't think he could get the money out of the anti-French alliance.

The governments of Belgium and Germany have no money. This is a well-known fact, and Gladstone does not expect them to pay the money immediately.

It doesn't matter if you have no money, Britain has a professional financial team. As long as you can take out enough collateral, you can borrow another sum.

The key lies in the attitude to solve the problem, whether it is necessary to ”suspend payment” because of lack of money, or to ”reply”.

”The plan given by the Belgian government is to postpone the payment for five years and use the French war reparations as a guarantee. After five years, the war reparations paid by the French will be paid to us first.

The plan given by the German Federal Government is to transfer the creditor's rights and directly deduct the corresponding amount from the war reparations, and the French will bear the debt.

Theoretically speaking, the plans of the two German governments can work. The only question is whether the French have the ability to pay. ”

It's not that George is soft-hearted, it's that the situation is special now. Belgium is now a poor man, and the treasury does not need to go to the gate, and there is no oil at all.

The situation in the German Federation seems to be better, but this government is too weak and may close at any time.

If you don’t deal with the debt issue quickly, and when Austria announces the restoration of the Holy Roman Empire and disbands the illegal organization of the German Federation, then even the creditors will be wiped out.

No country will pay for the illegal government established by the rebellious parties, unless Britain can allow Austria to recognize the legitimacy of the German federal government.

This is obviously impossible. Recognizing the legality of the German federal government means that the empire is divided. Vienna was able to withstand the pressure thirty years ago, not to mention it now.

”Trouble!”

”Judging from the current situation, the Anti-French Alliance will definitely hit the French hard, and the war reparations may not be 1 billion pounds.

Belgium has made great sacrifices in this war, and Austria has to appease it, and the proportion of compensation should not be low.

With five years of buffering time, the French should have recovered a bit. Even if the compensation cannot be paid in full, the portion allocated to Belgium each year is enough to pay our debts. Even if there are shortcomings, the Belgians can make up for it.