The secretive Department for Exiting the European Union (DEXEU) and Cabinet Secretary David Davis has hold a secret since January 2018, as of today the folders to ‘EU Exit Analysis Cross Whitehold Briefing’ was released online. Surely, the Conservatives and DUP must take people’s for fools, thinking these results would fly under radar and not be scrutinized. I will take certain ones from this. Just to prove how much hurt the public could get by leaving the EU. I am glad I am not British, while reading this one, but not many would have looked there if it were not for Member of Parliament, who took page by page and leaked them too.
Depending on what sort of a trade arrangement the United Kingdom gets with their partners, if it’s a EEA deal, Florence Type Arrangement and WTO Agreement with the EU. No matter what, the fall and the costs will be massive. The industries of chemicals, food and drink, clothes, manufacturing, cars and retail will be hit by the time of the exit. Certainly, like chemical industry and their percentages of loss could be between 16% and 2%. The biggest loss would be in the WTO deal, the non-deal with EU. Food and Drinks industry could lose between 10% and 2 %. Also depending on which deal. Both of these shows the massive backlash it has and how the cuts will be. Since the industries will both lose big profits and margins, which they cannot uphold by the status quo arrangements!
Those results are striking and proving how little benefit it is to leave and create a tariff border with the EU. They are really pulling efforts to make things more expensive and harder, just the tariffs alone will hurt the exports and the imports to the UK. Since the cost will be put on the consumer, and the EU trading partners might choose other cheaper produce from elsewhere. Since the tariffs on UK cheese is too high and the Swiss one cost less. The estimated tariffs on agriculture in EEA deal is zero, but the FTA is 26.1% and WTO is 26.1% and that is massive rise of prices. On Beverages, Tobacco and Food, the EEA is Zero, while the FTA is 12.7% and WTO is 12.7%. Both of these are showing the high risking prices and effects it could have on the market.
IF you believed the Tories and the campaigners that it wouldn’t be costly to move away and that the UK would earn on the leaving. You we’re duped, you were fooled and the hatred ate you. It will cost and with time it has been evident, as even the industry and the Financial Business Community is planning to flee. That will cost even more, as more jobs are fleeing to Union Financial Districts, to be sure they can trade services without having a hectic international tariffs and waivers to get it through! That is what will happen when the EU and UK departs from each other.
The new regulatory environment plus the taxations of the services after leaving will be hectic. The added pressure and the lack of movement of staff, can also hinder the will of doing business in the UK. They are really biting the hands that feeds itself. The wisdom hasn’t sunk in yet, but the numbers are bad, it will not be a smooth ride and the cost will all be put on the British and their consumers. It will not be walk in the park; it will be a steep mountain of hurt. Peace.
MinBane 