Sterling would flourish if Britain were to leave the UK, claims one of the UK's highest-profile supporters of a 'Brexit', London mayor Boris Johnson. But exaggerated claims by both sides in the argument are leading to confusion among voters ahead of a referendum on June 23 - and investor risk is said to be on the up. Hayley Platt reports.
He's London's, sometimes controversial, sometimes lovable mayor Boris Johnson. He's also a member of the current UK government. But that hasn't stopped him defying - the man he's tipped to succeed - Prime Minister David Cameron - over Europe. Johnson says Britain would be better going it alone. Appealing to voters at a campaign event for those who want the UK to leave the EU. SOUNDBITE (English) LONDON'S MAYOR, BORIS JOHNSON. SAYING: "I know that there are people who say that this country doesn't have the guts to get out. That we have no choice but to remain. I have to say that I think they are hopelessly underestimating this country of ours and what we can achieve." But there are plenty who disagree. Not least over what it will mean for jobs and trade. Nearly half the UK's trade is with Europe. Many worried what would happen should the UK cut its ties with the rest of Europe. SOUNDBITE (English) LONDON'S MAYOR, BORIS JOHNSON. SAYING: "Do you seriously believe that they would put up tariffs against UK produce of any kind when they know how much they want to sell us their cake, their champagne, their cheese from France?" Others fear the harm to investor confidence - including the European Investment Bank who has warned of possible ratings downgrades if a Brexit were to happen. SOUNDBITE (English) JANE FOLEY, STRATEGIST, RABOBANK, SAYING: "It does lead to some potentially negative implications for investment flows, bearing in mind that there is a current account deficit in the country and that is amplified, so it is of concern." Sterling fell more than five cents against the dollar when Johnson first announced he would campaign for an Out vote in a referendum on June 23. His claims to his audience, though: the UK currency will flourish if Britain leaves.