Negotiating Brexit means immediately cutting off all ties with the EU, and the British economy is bound to suffer a wave of shock.
The rating agency Moody’s pointed out in a report that a “no-deal Brexit” will seriously damage the UK economy, especially after the epidemic, the UK may experience its worst economic recession in nearly a century. The unemployment rate in the UK may also climb to 9%, causing further social unrest.
Sanjay Raja, an economist at Deutsche Bank, believes that a no-deal Brexit will halve the growth of the British economy next year to 1.5%. Research institution U.K. in a Changing Europe estimates that as trade barriers and productivity decline hit the economy, the UK GDP will be weakened by 8% in the next ten years.