Written By – Ronak Pol
Published on 2nd July 2016
BR-EXIT is a word that is used as a shorthand way of saying the UK leaving the European Union – merging the words Britain and exit to get Brexit.
Written By – Ronak Pol
Published on 2nd July 2016
BR-EXIT is a word that is used as a shorthand way of saying the UK leaving the European Union – merging the words Britain and exit to get Brexit. A referendum was held on Thursday 23rd June, to decide whether UK should leave or remain in the European Union. Leave won by 52% to 48%, referendum turnout was 71.8%, with more than 30 million people voting,highest turnout in a UK-wide vote since the 1992 general election.
To be fair David Cameron did try to renegotiate the terms of the UK’s membership ahead of a referendum.
Understanding the European Union.
European Union(EU) is a Politico-Economic Union of 28 member states with a current population of more than 500 million covering 7.3% of world population and accounting for approximately 24% of global nominal GDP. It has grown to become a “single market” allowing goods and people to move around,as if the member states were one country. The Union grew after world war-II out of a desire for peace in a war-torn and divided continent. UK was not one of the founding members of EU, but one of three new members to join the first wave of expansion in 1973 and was never a part of EuroZone which is a block of 19/28 EU countries that share a common currency called Euro.
Why did Britain want to leave EU
Britons decision to leave boils down to 3 main issues
- Immigration (xenophobia) &
The Economics of Brits leaving the EU is highly debated and widely criticized by world leaders, including the current UK prime minister David Cameron & current US President Barack Obama and also many Economists around the globe, stating that it might have a higher long-term damage than stated by the Pro-Brexit campaigners lead by the far right UKIP and their leader Nigel Farage who with his implicit racist overtones can give Donald Trump a run for his money.
The Immigration controversy follows a similar tone, because of the way EU function it lets people from any member country to relocated and work in UK without a work Visa, Most Economist would argue that this is good for the economy, but the right wingers complain that non-UK citizens are coming in and using up already-scarce public resources, like the National Health Service and welfare. Rising imigration has highly influnced the political debate in UK.
The Identity crisis is the most difficult to rational with, at its core lies the fact that people in the U.K. don’t generally see themselves as European, and the question of British identity within the EU is a complicated one.
Whats next for Britain
For the UK to leave the EU it has to invoke an agreement called Article 50 of the Lisbon Treaty. Cameron or his successor needs to decide when to invoke this – that will then set in motion the formal legal process of withdrawing from the EU, and give the UK two years to negotiate its withdrawal.The article has only been in force since late 2009 and it hasn’t been tested yet, so no-one really knows how the Brexit process will work.In the best-case scenario, Britain may be able to negotiate access to the European market that isn’t that different from what it has now, but this seems highly unlikely.EU law still stands in the UK until it ceases being a member – and that process could take some time.
Economic impact of leaving EU
A short-term analysis done by HM