On Friday the 23rd of June 2016, the world watched intently as the United Kingdom went to the polls to decide the fate of their 43-year-old relationship with Europe as member of the EU.
The final vote was extremely close with 53.4% of voters voting to leave the EU compared to 46.6% wishing to remain. With the decision being far from a ‘landslide victory’ for LEAVE campaigners, perhaps this is why it has been a difficult time for both Britain and Europe.
Just over two weeks have passed and the world is now starting to understand and experience the implications of this decision:
- Value of the British pound fell to a 30 year low.
- Stock market trading ceased over the 24 hours Brexit (British Exist) was being voted and counted.
- Prime Minister David Cameron announced his resignation.
- Interior Minister Theresa May announced her intention to run for Prime Minister.
- Discussions of moving international investment and banking jobs, including HSBC, to different European cities.
- Bank of England reviews interest rates with commentators speculating the official interest rate in the United Kingdom could drop below zero.
The direct impact of the Brexit to other countries, both inside and outside of the EU, will take a bit longer to take effect and many financial and investment commentators are implying that international trade and investment relocating to outside of the United Kingdom will be the first of many significant changes.