The impact of Brexit
What would happen if UK leave EU? What are the impacts ?
What UK dealing with? This is now hot topic around the world. Some of us think
it would make benefit for some people in UK and some of us think it will cost a
fortune if UK leave EU. Here are some impact has been pointed out below:
First of all the trading will affected by Brexit . When the
UK joined the European Economy Community in 1973 , just over 30% of UK exports went to the EU. By 2008 ,
over 50% of UK exports went to EU countries. Customers benefits from reduction
in trade barriers that reduce the price of imported goods and prices.
Businesses benefits from new export opportunities that lead to higher sales and profits.
Workers benefit from trade that allows the UK to specialise in industries where
it has a competitive advantages. A positive scenario is , the UK continue to
have an FTA with the EU.For example , Switzerland and Norway currently do
through the European Free Trade Association , EFTA. On the other hand , UK is
not able to negotiate such favourable terms and there are larger increases in
trading costs. The EU would be a less attractive partner for trade agreements
if the UK was no longer part of the deal.
Furthermore, In terms of FDI , UK is the largest recipient
in EU. Brexit could reduce the attractiveness of the UK as a gateway to Europe.
Also , it could lead to a reduction in investment from the rest of the EU.
Moreover, the UK is staying at top of the table as a single
market. But outside the EU will be no longer capitalised the single market. A
paradox of UK Eurosceptism is that
following Brexit the UK would lose
influence over EU regulation without gaining much freedom to regulate independently.
Industry wise UK benefits from research collaboration in
Europe and researchers have done well in
EU competitors. While the UK would gain flexibility over industrial policy
outside the EU , it would lose the benefits from scale and influence over policy in areas such as
energy.
According to UN , more than 1.2 million British expats live
in the EU , mainly in France , Spain and Ireland. Attorney General Mr Grieve
pointed out that , leaving EU would lead to two million UK citizens working in
EU countries would find themselves becoming illegal immigrants overnight.
Last year Lib Dems mentioned that , that EU safeguards
British jobs because it provides access to a market of 500 million consumers
and because Britain's membership attracts firms keen to be part of the market. According
to lobby group TheCityUK 2014, in financial services , 250 foreign banks employ
160,000 people in the UK .Gerry Grimstonne pointed out last year leaving EU
would seriously damage economic growth and jobs in the UK.
People think that leaving EU would allow Britain take
control of the borders . Would it really? 624,000 people immigrated to the UK
in the year of to September 2014 , up from 530,000 the year before. The majority
of them 292,000 , up by 49,000 came from outside the EU and would already have been subject to complex
visa restrictions. Some 251,000 people moved to Britain under the EU's looser
free movement rules , an increase of 43,000 over the previous months.
America already saying
no to UK to vote out. On Barrack Obama last visit , he already pointed
out that leaving EU will lead America no interest in UK.
The book of EU is 43,000 pages and of there will be
consequences og this action. Also there will be positive impact to vote in for
EU .But British people will have to see which is better for UK.
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