Brexit – a costly business for the UK

in long term analysis From British Prime Minister Theresa May’s government on the outcome of the EU-UK trade relationship, and how Brexit will affect the country’s economy, the no-deal scenario is the worst.

If the result of the vote in the British Parliament on December 11 is no, the country will exit the European Union without a withdrawal agreement. its gross domestic product, Gross domestic productwhich is then estimated to be 7.7 percent lower in the years 2035-2036 than if the country remained a member.

But – even if members say yes to the terms of the agreement – it will Gross domestic product to be down 0.6 percent compared to if you had stayed in the union. This assessment was carried out by several ministries, including the Ministry of Finance, which were involved in the analytical work.

Comment on the fact that all of the Brexit scenarios studied have costs for the UK The country’s Treasury Secretary Philip Hammond said Wednesday that:

– If you look at this from a purely economic point of view, leaving the EU means costs, yes, because trade barriers arise.

political benefits

According to Hammond, the negative impact would be much less if MPs voted for it, as it would mean political benefits such as entering into new trade agreements and new oversight possibilities regarding fishing waters.

According to analysts, there are uncertainties in the forecast. Among other things, the EU and the UK are expected to adopt more detailed agreements based on the content of the negotiated Political Declaration on the future EU-UK relationship. Another factor that is not clear is the immigration policy that Britain intends to pursue in the future.