Service Scenarios

A report by CEBR released this week points to losses of up to £36bn (2% of GDP) arising from the impact of Brexit-related service access restrictions for UK businesses. Service exports could potentially fall by 15% states the report. A third of the hypothesised losses are associated with financial services, whilst IT & telecoms (biggest proportional loss) and transport are also highlighted under negative impacts. Meanwhile, insurance and pension services, which have higher exports outside the EU are forecast to remain robust in the event of loss of access to the single market. The report acknowledges the upside scenarios if the UK can maximise access to the single market by whatever means.