The Repercussions of Brexit

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Brexit series for FT.

By: Garrett Speller

The results of Britain’s surprise decision to leave the European Union in June sent shock waves around the world, the event causing severe repercussions that rocked both the world and British society. Almost immediately after the decision to leave was made, British prime minister David Cameron announced his resignation from both the position of prime minister and his seat on the British parliament, saying “In my view, the circumstances of my resignation as Prime Minister and the realities of modern politics make it very difficult to continue on the backbenches without the risk of becoming a diversion to the important decisions that lie ahead for my successor in Downing Street and the Government.” He formally leaves in October, and the search for his successor begins then.

The leader of the Labor party which opposed leaving the EU, Jeremy Corbyn, is under constant pressure to resign, due to his inconsistent support of the Union and failure to motivate labor voters to go out and vote. However, when asked about his possible resignation, Mr. Corbyn said “No, I’m carrying on.” Either way, Mr. Corbyn will have a tough road ahead of him, seeing as he has lost the support of his own party. A former labor party minister remarked that the struggle to remove Corbyn would be  “brutal, it may be bloody, but he has to go. We have no choice.”

Along with the political consequences of the Brexit, the world economy has taken a hit as well. According to the International Monetary Fund, Britain’s economic future is gloomy at best. The stock exchange in London has suffered its worst loss in decades, with the country’s GDP predicted at a whole 2.5% lower than pre-Brexit numbers. The Brexit also motivated movements in other countries, such as Scotland, where the local nationalist movements have been scrambling for another referendum for their country before the UK leaves.

However, at least in Scotland’s case, public opinion has stayed solidly in the “stay” category, as the vote to remain won a landslide victory, with over 60% of voters choosing to stay.

In just three months since the decision to leave came in for the EU, the results of the decision have sent shockwaves around the world. The UK looks into an uncertain future, alone.