A new report also found that UK business investment is 12 to 18 per cent lower than it would have been if Britain had stayed in the EU.
The penny has finally dropped at the Telegraph, after the newspaper was forced to admit that Brexit has been an ‘unmitigated economic disaster’.
Amid mounting evidence of the economic harm done by Brexit, with one recent study highlighting how it had reduced GDP by as much as 8%, a comment piece in the right-wing paper which campaigned to leave the EU, lamented the ‘disastrous economic consequences’ of Brexit and its failure to deliver a much promised ‘national economic renewal’.
Writing in the comment section, Jeremy Warner – who serves as the Assistant Editor at The Telegraph, wrote: “From an economic perspective at least, Brexit has so far proved close to disastrous. If leaving the EU was supposed to be a moment of national economic renewal, it has comprehensively failed to deliver as it was supposed to.”
It comes after the National Bureau for Economic Research (NBER), produced a report based on nearly a decade of data since the referendum, showing how the UK’s GDP (Gross Domestic Product) had fallen by as much as 8% from where it should be since 2016.
The NBER says that increased uncertainty and reduced demand following the decision to leave had an adverse effect on the UK economy. It stated: “We estimate that investment was reduced by between 12% and 18%, employment by 3% to 4% and productivity by 3% to 4%. These large negative impacts reflect a combination of elevated uncertainty, reduced demand, diverted management time, and increased misallocation of resources from a protracted Brexit process.”
Last month, a new report also found that UK business investment is 12 to 18 per cent lower than it would have been if Britain had stayed in the EU.
As the disastrous economic impacts of leaving the EU become ever clearer, new data released by the economists at Stanford University, the Bank of England, and the National Institute of Economic and Social Research has found that business investment loss by this year could be £275 billion or £400 billion.
Basit Mahmood is editor of Left Foot Forward
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