Brexit would have the largest effect on the Britain, although it would still have a considerable outcome on the EU. Almost 100% of the Britains trade would need to be agreed When it comes to the Britains trade, they would have to negoatiate almost all of it. Trade is important to the British economy, consequently it’s significant that everybody understands the facts and won’t underestimate the potential consequences. United kingdom could end up losing preferential entry to markets that are covered by different trade agreements from a series of other countries, as a result of Brexit. Accountants in Poole say – The Britain will then need to enforce higher traffis on imports from those countries plus they would need levy their own surcharges on British exports. Having to put further tarrifs on goods, might cost UK consumers, an extra nine billion pounds. Another issue would be that the EU has negotiated trade matters on behalf of the UK for many decades; the United kingdom government don’t have an accessible corps of trade negotiators. This would mean gearing up for negotiations which possibly end up taking years. Trade agreements are a exceedingly complex thing in addition to can be tricky to negotiate; they can also be quite slow and time consuming. Once Uk need decided they are ready to negotiate with others, it doesnt mean that the different countries will want to or be ready to negotiate deals with them. Brexit results would reduce trade or increase the cost of trade between the United kingdom and the rest of Europe, this will be damaging for both sides. Brexit can cause investments from the EU to diminish, as it could have make Europe to lose attention and find the Britain less appealing.
Even though, the Britain possibly have difficulty to attract as much new investment following Brexit, the Britain has various advantages that would be unaffected by Brexit such as language, light regulation and deep capital markets. The economic influence of Brexit is not as obvious cut in either direction as most prior analyses have suggested. This can be affected by a series of other decisions which are waiting to be made. It has been worked out that by 2030, the worst case situation is that the GPD would be about 2.2% lower, than it would if the Britain stayed in the EU. The best outcome is that by 2030, the UK managed to make an agreement with the EU. This might result in the Britain GPD being approximately 1.6% higher than if it remained within the EU. Another probable outcome of Brexit could be that the Uk banking industry loses entry to the single market and major banks would think about relocating to the Euro market. A negative result of Brexit possibly be serious political resistance in the UK.