web analytics

UK Can Bring In Around £24 Billion Each Year With A Clean Brexit

The United Kingdom (UK) will benefit to the tune of £24 billion ($29.45 billion) per year in additional GDP if it chooses a clean exit from Europe according to a pro-Brexit group. The Change Britain group is a successor to the victorious Vote Leave campaign comprising leading advocates of Brexit including Foreign Secretary Boris Johnson and Labour MP Gisela Stuart.

According to its estimates, the country is likely to see savings to the tune of £10.4 billion from cancelled contributions to the EU budget and a gain £1.2 billion from elimination of EU regulations. A further £12.3 billion can be added through new trade deals. The group maintains that these are conservative estimates and the benefits could reach up to £38.6 billion a year.

This range of estimates however fails to account for the loss of UK’s export revenue. In 2015 UK’s exports to the EU were worth £220 billion while imports was around £290 billion. A soft Brexit will allow UK to retain access to the EU single market which would help retain its trade relations with other EU countries.

Financial Times

According to Change Britain, the biggest benefit comes from UK’s trade agreements with countries outside the EU. As an EU member, the UK can take part in only those deals that are entered into by the European Commission. Depending on the amount of deals it is able to strike; an independent UK could see its GDP increase anywhere between £8.5 billion and £19.8 billion annually according to Change Britain.

The highest possible growth is from trade agreements with ASEAN countries which could boost the GDP by £4.3 billion a year. Trade deals with the U.S could add £3.8 billion while around £3.2 billion could be added to the GDP through trade relations with Japan. Exiting the EU would allow Britain to cancel 59 of the 100 most restrictive regulations on business which can save up to £4 billion a year.

The MP for Dover & Deal and Change Britain supporter Charlie Elphicke pointed out that there were significant benefits from a total Brexit.

In a statement Charlie Elphicke said

We'll be able to spend money on the things that matter to the British people. We can build a modern Britain that puts the hard-working classes first and makes it easier for British businesses to trade in the world and succeed.This is what people voted for in the referendum. Now everyone, Remainer or Leaver, has a duty to get on with the job of delivering a brighter future for our land.

Related Articles

Ruble remains strong ahead of OPEC meeting

The Greenback was unable to hold onto the gains made against the Russian Ruble, following the victory of Trump in

Kiwi dollar inherently weak on sagging dairy exports

For the past six months, the NZDJPY currency pair remains range bound between 72.50 and 79.40. During the period, the

FCA Proposes New Rules To Aid Saudi Aramco Listing On LSE

UK regulator, the Financial Conduct Authority (FCA) proposed new rules this week to enable sovereign state-owned companies like oil giant