Inside Logistics

Brexit deal estimated to cost almost $100 billion

The economy would be 3.5 percent smaller compared with staying in the European Union


October 30, 2019
by  The Associated Press (APR)

LONDON – A respected British think-tank has slammed Prime Minister Boris Johnson’s Brexit deal, concluding that the economy would be 3.5 percent smaller compared with staying in the European Union.

The National Institute of Economic and Social Research study released Wednesday says the agreement would deliver a 70 billion-pound (US$90 billion) blow to the UK.

The researchers based their prediction on the assumption that the U.K. would leave the bloc with a free trade agreement with the EU after a transition lasting until 2021 while negotiating new deals with other nations.

Britain’s government says it plans a “more ambitious” trade deal with the EU than the one considered by the think-tank .

The research suggested a no-deal Brexit would cause an even greater loss to the economy, with a 5.6 percent blow to GDP.