Understanding BREXIT By Momtaj Monwara

General discussion  The term ‘Brexit’ refers to the UK’s exit (or divorce) from the European Union (EU).  A referendum held in 23 rd June 2016 where 51.89% people voted in favor of leaving the EU.  The UK is due to leave on 29 March,  UK started negotiating a Brexit deal with EU for mapping future relation regarding trade, immigration, custom union etc.  Parliament rejected Theresa May's Brexit deal by 230 votes held in 14 January 2019.

What will happens next

Reasons of Brexit  Sovereignty : EU is taking control away from UK to decide domestic issues.  Immigration: In 2015 a CNN survey showed 2,75,000 EU citizens came to the UK and 85,000 British citizens left the UK for EU countries. i. Competitive Job market ii. Pressure on resources iii. Paying taxes for the EU citizens  Economic opportunity : i. strike trade deals with nations outside of the EU away from EU regulation. ii. Stop contributing EU budget

Consequences of No deal Brexit  Business: I. Zero-Tariff trade would end overnight which will lead to price hike of EU made products in UK. II. Border check will delay export and import of goods between EU and UK III. UK Manufacturers could move their operations to the countries of EU to avoid delays in components coming across the border. IV. Some British-made products may be rejected by the EU as new authorisation and certification might be required  People : I. UK’s controls on immigration II. Right to live and work of expats will be unclear : 1.3 million Britons live in EU countries and 3.7 million Europeans live in UK  Laws : Britain will no longer follow EU laws thus her sovereignty over domestic issues will return.

Consequences of No deal Brexit (Cont.)  The Irish Border I. The issue of the border between Northern Ireland and the Republic would remain unresolved.  Money : I. The Government would not have to pay the annual £13 billion contribution to the EU budget II. Britain would also lose some EU subsidies