Daily Management Review

Exit from the EU Would Cost Hundreds of Billions to the UK


Britain will lose $ 224 billion in the case of leaving the European Union - this Bertelsmann Foundation’s research data brings the British newspaper The Independent.

For the United Kingdom, the consequences of termination of membership in the EU will be long-term, states the study. Particularly, financial sector, chemical industry, as well as the automotive industry are going to be affected by the loss of communication with the EU single market.

Analysts are considering several scenarios of possible development of the British economy up to 2030 in the case of leaving from the EU. In the first case, the United Kingdom can get about the same status as Switzerland, and keep trade relations with Member States. In case of unfavorable developments, United Kingdom lose all trade agreements early. GDP contraction in this case will range from 0.6 to 3%, experts believe.

- Exit the UK from the EU will have negative consequences for all of Europe, at least in terms of the economy, particularly for the United Kingdom. But except for economic consequences, this decision will have a sharp impact on European integration, as well as Europe's role in the world. The use of rhetoric about UK to withdraw from the EU during the passing campaign will only weaken the European Union, - said the chairman of the Bertelsmann Foundation Aart de Geus.

Earlier, British Prime Minister David Cameron has promised to organize a referendum on the country's further stay in the European Union, as well as to conduct negotiations on the reform of the EU and thereby extend the authority of the British Parliament until 2017 in case of the Conservative Party’s winning the election. New elections to the supreme legislative body of the United Kingdom will be held on May 7.

Leaving the EU would be a disaster

March 27, leader of the British Labourist Party, Ed Miliband said that the country's withdrawal from the European Union would be a disaster.
- I want us to stay in the EU, - said Miliband. In his view, a referendum on leaving the EU, which Cameron promises to hold until the end of 2017 if his party will keep the power on the results of the parliamentary elections on May 7, would plunge "the country into two years of unnecessary debates”. I think that leaving the EU would be a disaster, - said Miliband.

Answering the question whether labourists will support holding such a referendum, the politician assured that "it is unlikely to happen."

"We have to be a country looking outward, so this (the referendum) is not my priority," - reported Miliband.

source: independent.co.uk