Thread by @edubridge_ng

It's another beautiful #swotsunday morning, we wish everyone a wonderful #PalmSunday & #GameofThrones weekend.

Today, we will examine the impact of post #Brexit on the United Kingdom.

#SundayThoughts #SundayMorning #BrexitDay #BrexitDelay #brexitdirectaction #Brexitcast

The word #Brexit is simply an acronym for Britain exit. The United Kingdom consist of England, Wales, Scotland, and Ireland. The UK became a member of the European Union (EU) in 1973, but wanted to backout after only two years of its membership.

However, the majority of those that participated in the referendum voted for the UK to remain as a member of the union.

The recent agitation for Brexit led to another voting process taking place across the UK.

The voting process took place on the 23rd day of June 2016 to decide whether or not Britain should remain with the EU. The result revealed that 51.9% of those that voted wanted a Brexit, while only 48.1% wanted the union to remain.

Although, Britain is expected to have ended her union with the EU, its withdrawal agreement has been rejected three times by the members of the parliament.

Over the years, with its relationship with the European Union, the UK has been able to benefit quite a lot in terms of Free Trade with other members of the Union, being the Financial Center of the World, enjoyed High tax revenue, and many other benefits.

This has led to some to be of the opinion that leaving the Union is not at the best interest of the UK.

On the other side, the supporters of the Brexit have argued that remaining with the EU would only imply the UK will still be subject to EU rules, lose the control of its border, and would also lose its currency to the Euro which has a value lower than the Pounds Sterling.

There is no doubt that the UK would bear the brunt if Brexit happens, especially without getting a deal with the EU. The EU also would love to treat Britain as an example should Brexit happen. It is becoming more likely that the EU will not be willing to give Britain any deal.

As it stands now, the EU leaders have agreed to postpone Brexit till October 31, instead of June as suggested by May.

Using the SWOT analytical technique, we shall examine the impact of a possible Brexit-No deal on the UK as follows;

STRENGTH

Sovereignty:  As it stands presently the UK has had to subject some of its own policy to that of the EU. Leaving the EU would allow the UK to gain full control over its borders and affairs. One of the major concerns of the UK is its immigration policy.

#swotsunday

The UK wants immigrant to stay for up to four years before they can be employed. However, this is against the fact that the EU allows immigrants to access jobs as soon as they gain entry into UK.

EU Membership Fee: According to Fullfact.org, The UK presently contributes more to the EU than it gets back from the EU. In 2017, the UK made a total contribution of £13 billion to the EU getting back only £4 billion.

Therefore, the net membership cost to the UK is £9 billion, which would be saved should the Brexit happen. It must also be noted that the UK has benefitted a lot from free trade. What is difficult to say now is whether the real cost saving to the UK is positive.

Creation of more Jobs and Housing: The EU prevents the UK from totally controlling its own Immigration policy as it is unable to control immigrants especially from the member states of the EU.

The increase in the number of immigrants has led to more competition in terms of jobs and housing. One argument that the pro-Brexit say is that Brexit would allow citizens to access more opportunities and housing.

However, some have argued that the membership of the UK with the EU has led to a lot of companies moving into the UK.

Security over Terrorism: With increasing threats over security, it is believed that the divorce between the UK and the EU would help the UK to gain control over its own border, thereby helping it to deter the occurrence of terror attacks.

#swotsunday #BrexitDay #Brexit

WEAKNESSES

Trade Barrier: The UK as a member of the European Union benefits significantly from trading relationships with EU member countries. Every member of the Union benefits from trading without any barriers with other member countries.

With the UK exporting over 50% of its products to the EU countries, they are able to enjoy a lot of cost savings. It has also benefited from trading with other world powers cos of its membership. If Brexit should happen, then the UK would have to forfeit all these trade benefits.

Reduction in Tax Revenues: The exit of Britain from the UK would imply that more companies will leave the UK. As it stands now a lot of companies are already making preparations to leave the UK. The loss of these companies would only imply a cut in tax revenue to the UK.

The loss of its status as the Financial Center: Another major argument about the UK is that it would no longer be able to maintain its status of being the Financial Center of the world, which it gained as a result of its association with the Union.

OPPORTUNITIES

The United Kingdom can form new relationships (Trading & Non-trading) that would not affect its sovereignty as a country.

The UK would be able to establish policies that would be directed towards solving the United Kingdom specific problems.

#swotsunday #Brexit

It allows the UK the opportunity to establish itself as one of the world leaders, independent from the EU.

#swotsunday #Brexit

THREATS

The unknown possible impact of companies leaving the UK.

The uncertainties of the Brexit could negatively impact the London Stock Exchange negatively, making it to lose it own value. The Exchange could also lose its International financial Market status.

The UK will likely face a recession, which would make it less attractive when compared with the remaining EU counterparts.