The British government's decision to exit the European Union (EU), or better known as Brexit according to experts will cause the average wage of workers in a year to drop to £ 470 equivalent to $ 557 by the end of this decade.
The point has been outlined by Swati Dhingra, an Associate Professor at the London School of Economics as it will have long -term implications in employee productivity.
Clearly, productivity across the British economy will decline 1.3% by 2030 compared to before Brexit which fell 1.8% in annual wages of £ 470 per worker.
This has been supported by Resolution Foundation economist, Sopie Hale who stated Brexit will reduce the competitiveness and openness of the United Kingdom (UK) in trading with various countries.
That string, it could lead to a contraction in productivity as well as employee wages in the coming years.
In general, since Britain's decision to leave the EU in January 2020 and coupled with the outbreak of the Covid-19 pandemic has complicated the situation for the country because there are no more direct trade rules from other European countries.
Despite this, the British government has stated that they are working on new laws to boost growth as well as trade with the EU.
A government spokesman confirmed that Britain would continue to improve regulations in the UK in terms of business and consumers including putting in place a tight plan in increasing competition as well as leveraging technology.
Profound Impact on the British Economy
It is understood that the impact of Brexit on some sectors will be more pronounced in another decade.
For example, the small but high -profile fisheries industry, most of whose members are strong Brexit supporters, is expected to shrink by 30% due to difficulties in exporting catches to the EU.
And, regulated professional services such as finance, insurance and law will decline 20.2% as Britain will face difficulties in dealing with clients from the EU.
