Brexit is really close, and the economy has been feeling the impact for some time now

Brexit is really close, and the economy has been feeling the impact for some time now

In recent years, the question is often asked: What will Brexit cost us? The divorce will be final on Friday, but the agreement states that things will really only change for businesses and individuals from December 31, 2020. What exactly, that is what the EU and UK will negotiate in the near future. Only then will the economic impact of Brexit truly become apparent.

But in recent years, the prospect of Britain leaving the European Union has already had its effects. According to economist Dan Hanson recently, Bloomberg It has already cost the British 130 billion pounds, which is more than 150 billion euros. The promise of Britain’s exit from the European Union has also had an impact on the economy in the Netherlands.

The Netherlands exports less to the UK

“We are noticing that our products are becoming more expensive for the British,” says Mart Valstar, director of fruit and vegetable export company Valstar Holland. The British pound has fallen against the euro since Britain’s exit from the European Union. As a result, demand from the UK has fallen somewhat, according to the Central Bureau of Statistics.

Because although the Netherlands exports more and more, less of it goes to the UK. According to CBS, exports to the UK shrank 1 per cent in 2018, to around €170 million.

“Although 1 per cent seems like a slight decrease, you have to take into account that exports are naturally increasing,” says Bert Cullen, economist at ING. Figures from the Netherlands Statistics Office also show that exports to other countries have actually grown in recent years. “So you also have to take the lost growth into account.”

See also  High inflation in the long run is a reason for the intervention of the Bank of England

Leave a Reply

Your email address will not be published. Required fields are marked *