Brexit might make UK smaller and poorer
On Wednesday, eight ex-US Treasury secretaries told that the United Kingdom will most likely become poorer and even smaller in terms of significance because of Brexit.
An upcoming vote to leave the European Union actually represents rather a risky bet on Britain’s economic future, as the secretaries state.
The letter was signed by such secretaries as Henry Paulson, Timothy Geithner, Paul O’Neill, John Snow, Robert Rubin, Lawrence Summers, George Shultz and Michael Blumenthal. Their sincere warning had arisen before a visit of the US President Barack Obama to Great Britain.
Brexit could rise the question of the UK’s role as a global financial center. It’s clear that London has served as a financial springboard into the European Union for many financial institutions.
From their point of view, the United Kingdom seems to have turned inward and currently it’s less engaged in the European Union and it’s less able to lead on the critical challenges faced by the EU.
There’s no doubt, Brexit will awfully disrupt trade and it’s going to be extremely difficult to renegotiate agreements.