|Author (Corporate)||Organisation for Economic Co-operation and Development (OECD)|
|Series Title||OECD Economic Policy Paper|
|Series Details||No.16, April 2016|
|Publication Date||April 2016|
Membership of the European Union has contributed to the economic prosperity of the United Kingdom. Uncertainty about the outcome of the referendum has already started to weaken growth in the United Kingdom. A UK exit (Brexit) would be a major negative shock to the UK economy, with economic fallout in the rest of the OECD, particularly other European countries. In some respects, Brexit would be akin to a tax on GDP, imposing a persistent and rising cost on the economy that would not be incurred if the UK remained in the EU.
Subsequently, on the publication of the OECD Global Economic Outlook on the 1 June 2016 the OECD said that , a United Kingdom vote to leave the European Union would trigger negative economic effects on the UK, other European countries and the rest of the world. Brexit would lead to economic uncertainty and hinder trade growth, with global effects being even stronger if the British withdrawal from the EU triggered volatility in financial markets. By 2030, post-Brexit UK GDP could be over 5% lower than if the country remained in the European Union.
|Countries / Regions||United Kingdom|