Britain after Brexit: an Uncertain Future Ahead

In October 2016, the major economic indicators of Britain’s economy performed worse than expected while losing momentum with the weaker pound and higher inflation. All the sectors of the economy were affected. On June 23, 2016, the people of Britain voted to exit the EU with the “Leave” side winning by 52% to 48%, making the nation the first country to separate itself from the Union.

The referendum was not a one-day process but a culmination of several years of disagreement and criticism by the people of Britain to push the government to go in for voting to decide on exiting the EU. Though the results came as a shock to many Britons, there was no reversal of the decision. Soon after the referendum result was out, the then Prime Minister, David Cameron, stepped down from his position. This sent shockwaves through the country’s political system and its economy. On the one hand, all sectors of Britain from trade and manufacturing, financial services, to foreign direct investment were affected by the country’s decision to leave the EU. On the other, member countries of the bloc were trying to understand the probable consequences of Britain’s exit...