A ‘no deal’ Brexit could cause huge harm on the UK economy according to a new report.
Over the next 15 years the economy could contract by 6 to 9 per cent, according to the Government report.
Additionally there could also be food shortages as 30 per cent of food is imported from the EU. It is thought that food prices will rise as well.
The report said: “In the absence of other action from government, some food prices are likely to increase, and there is a risk that consumer behaviour could exacerbate, or create, shortages in this scenario.”
Yesterday Theresa May was forced to promise votes to allow MPs the option to reject a ‘no deal’ Brexit and the choice to delay Brexit, if her deal is voted down.
The report stated that in a ‘no deal’ scenario, the flow of goods through Dover would be significantly reduced for months.
The EU would also treat the UK as a separate country and tariffs on beef exports could be at 70%, while tariffs on lamb would be at 45%, and car tariffs at 10%.
The worst-hit areas economically in a no-deal scenario, accoridng to the report, would be Wales (-8.1%), Scotland (-8.0%), Northern Ireland (-9.1%) and the north east (-10.5%).
The report said: “Overall, the cumulative impact from a no-deal scenario is expected to be more severe in Northern Ireland than in Great Britain, and to last for longer.”
https://www.thelondoneconomic.com/news/watch-lawyer-explain-brexit-vote-would-be-void-for-corruption-if-only-it-was-binding/26/02/