As the UK finally prepares itself to leave the EU at the end of this month, uncertainty brought about by Brexit has taken its toll on the country's economy. New research published by Bloomberg Economics estimates that the divorce process has already cost the UK's economy £130 billion. That figure is expected to rise even further to more than £200 billion by the end of this year.
Dan Hanson, an economist for Bloomberg Economics, says that none of the lost ground is likely to be made up. He said that "looking beyond 2020, we forecast the growth spurt in this year will be a one off - the economy will get a shot in the arm, but the cyclical lift that provides won’t last.“ He went on to say that "as the UK comes to terms with its new trading relationship with the EU and grapples with the productivity challenge that has hindered growth since the financial crisis, the annual cost of Brexit is likely to keep increasing.”