What are the impact of Brexit for UK and EU in term of econo

What are the impact of Brexit for UK and EU in term of economic, trade and investment, law and regulation and financial situation?

Solution

Brexit is the exit of Uk from the EU commission and this decision was actually based on consensus of vote by the people of Britain. This exit is scheduled for Friday, 29th March 2019.

The EU single market was estblished in 1992 and it allowed for the movement of goods, services, money and people freely in all the 28 states, freely. But this posed a lot os issues as there were mass migration, generated petty regulations and robbed the control ofthe state\'s internal affairs.So ultimately it did result in a very discordant market place.

Now with Brexit, UK will take a stand and might accept World trade organization rules which could mean that there will be custom checks and tariffs on goods as well as longer border check for travellers.

There will definitely be differences and discord bewteen the land borders between UK and the republic of Ireland and also Britain\'s global financial position may plummet. On the other hand the Brits who live abroad in other EU states, may loose benefits including residency status and rights and free access to health care.

The impact of Brexit will affect exports as UK goods will be cheaper, but imported goods will get more expensive including food, clothes, homeware, etc. Thepound also may not rise to its earlier position in the short run.

Brexit also is ensuring that immigration levels are maintained at a sustainable level to stop unlimited EU immigration. Work visas are going to be impacted on both sides due to Brexit. Legal system would also be confusing in the transition period as UK wants to withdraw from the European court of judgment.

The decision of Brexit is affecting UK by committing it to pay up a financial negotiation fee of close to 55 billion euros which is subsantial.But UK is taking the decision with several other conditions including complete access of capital with restricted access of people. A disadvantage for UK looking at all these points is that UK may not grow or bounce back immediately and will take a while to fill up its treasury.