£500bn... what the lose if they refuse
Retired shop assistant Gillian, 63, said: “I’m definitely prepared for the country to take an economic hit in the short-term. What I don’t think should happen is a second referendum. We didn’t have the first vote to then be given a second chance. I don’t agree with it.” THE refusal by stubborn EU bosses to budge on a Brexit deal will cost the bloc more than £500billion, it was claimed last night.
Experts said the stance being taken by Brussels was an example of how negotiations led by Michel Barnier were determined to cut their nose off to spite their face.
Economists and MPs lined up to lambast the childish approach to talks which have reached deadlock.
Latest figures show the UK had an overall trade deficit of £67billion with the EU in 2017. British exports to the EU totalled £274billion last year while the UK imported goods worth £341billion.
Dover MP Charlie Elphicke said: “European leaders have been insulting our country and acting like they can hold us to ransom. Yet the truth is, they stand to lose far more from no deal than we do. Tariffs would hit them twice as hard.
“The past few days have been a stark reminder of why we voted to leave in the first place. It’s time to believe in Britain and the bright future we have outside the EU.”
Analysts think Brussels’ dismissal of Prime Minister Theresa May’s search for compromise at the informal meeting of EU bosses in Salzburg would have sparked panic among German carmakers and French wine and cheese producers who rely on the British export market.
Britain relies on the EU for a raft of goods, most notably cars. Analysis shows the UK imported more than £30billion worth of cars from EU countries in 2016.
In addition more than £800 a year is spent by each home on food imported from the EU with meat and fish worth £200, fruits and vegetables valued at £100 and cereal, pasta and bread worth £100.
Overall, the average UK household purchased goods imported from the EU worth more than £3,000 last year. If no trade deal is reached by the time the UK leaves in March, imported goods will subject to tariffs.
Economists For Free Trade calculated the complete breakdown of Brexit talks, or a no deal scenario, would equate to a £651billion gain for the UK.
They say paying no divorce bill, or financial settlement, would be an effective gain of £39billion. Also, with no transition period, other Brexit gains of free trade, self regulation and own border control would come two years earlier. likely be EFT chairman Patrick Minford said: “So a £651billion gain for the UK versus a £507billion loss for the EU – it could not be more open and shut who should least want a breakdown. For the UK a breakdown would be a shortterm nuisance but a substantial economic gain. For the EU it is both a short-term nuisance and a substantial economic loss.”
Tory MP Philip Davies said: “The key thing is the EU has