BREXIT and its Implications:

Business may move out of UK and relocate to some EU

Countries_ for example: Nissan in Sunderland: We
leave EU then there is a 10% tariff on important cars
from outside EU which would make that plant
uneconomic. So they close it and move to Ireland,
Poland or wherever.
Then the next focus in EU trade is to liberalize services:
Areas in Britain is good at banking, insurance,
advertising, law, accountancy. UK would have been in
better position to be supporting this initiative rather
than running away from it.
On economic front UK will still have to add it by the
rules made by EU on goods produced or traded in. For
Example- RoHS directive of the EU describes chemicals
used in electronics and bans some. Even American
farms and Chinese ones follow this- because they want
to sell products in France and Germany.

Pros and Cons of BREXIT:

 Merits Demerits
 Exports within the EU  Pair of drastic fall in
can be reworked and UK exports to the EU
renegotiated to countries. 50% of UK’s
minimize the impact foreign trade is with
on exports. the EU countries and
next 15% is with USA.
UK will face numerous
tariff and regulatory
barriers.
 UK will have the  UK’s role in world
option to broaden its security will diminish
markets beyond EU. - on standalone basis. It
This is a big question is more powerful as a
mark due to cost member of the EU.
escalations.
 UK’s role in world  EU is very powerful in
security decisions will world politics. It
not be diminished on negotiates trade
standalone basis. treaties and has lot of
power within WTO. UK
alone will lose that
influence.
 The country will be  Migrant labor which
back in control of its has helped a lot in
 foreign policy delivering cost
particularly the economies to UK
refugee issue. based industries will
 Migrant labor is quite result in
destroying the country increases.
which will now be
rectified.