BOE WARNS OF ECONOMIC HIT IF BREXIT TALKS FAIL

LONDON The Bank of England warned on Thursday that Britain could suffer an economic shock if it crashes out of the European Union without a deal, saying it could cause another big fall in the value of the pound, potential gridlock at ports and even interest rate increases.

After keeping its main interest rate on hold at 0.75 per cent, as expected, the central bank said Britain’s economic output could “fall sharply” if the country fails to reach a deal with the EU on future relations after Brexit day in March. —