The Office for Budget Responsibility (OBR) has warned that public borrowing could double next year as a result of a no-deal Brexit.
If the UK does secure an advantageous Brexit deal, borrowing is likely to reach £29.3 billion, the OBR stated. However, if the UK leaves the EU without a deal, public borrowing could reach £60 billion.
Further to this, the OBR said that a ‘disruptive or disorderly’ Brexit could ‘hit public finances much harder’, they warned that the impact of Brexit will ‘continue to unfold for many years’.
The current deadline for Brexit is 31 October 2019.
Quote from Nigel Holland:
“This report shows that a no-deal Brexit could have a large effect on the UK economy, it’s important that we make sure that our economy stays strong.”