BAD FOR BRITAIN Theresa May’s Brexit deal ‘will cost £1,000 EACH as Britain’s economy shrinks’
THERESA May's Brexit deal will cost every Brit £1,000 a year EACH as the UK economy shrinks, it's been predicted.
UK GDP would fall by 3 per cent a year - costing Britain the economic value of the whole of Wales or the City of London by 2030, research from a think tank has discovered.
The National Institute of Economic and Social research said the PM's agreement would be less damaging than leaving without a deal at all, but there would be a big hit.
It said there would be less trade, foreign investment and migration, all of which would have an impact, in a Canada-style deal scenario.
If a trade deal couldn't get agreed and Britain stayed in the customs union the hit would be around 2.8 per cent of GDP, around £700 per person by 2030.
But the British economy would grow in ALL situations, it also concluded.
The report said: "Our key finding is that if the Government's proposed Brexit deal is implemented so that the UK leaves the EU Customs Union and Single Market in 2021, then by 2030 GDP will be around 4% lower than it would have been had the UK stayed in the EU.
"This is largely because higher impediments to services trade make it less attractive to sell services from the UK.
"This discourages investment in the UK and ultimately means that UK workers are less productive than they would have been if the UK had stayed in the EU."
Mrs May returned home from Brussels yesterday after getting her agreement signed off by EU leaders, but now faces the fight of her life to get the green light from MPs.
Later this week the Government is set to release its own economic impact of what the deal would look like, and compare it to staying in the EU.
She will now go on a 17-day blitz to sell the deal to the public, in the hope this will persuade MPs to get behind her.
That could also include a head-to-head debate with Jeremy Corbyn too, it was reported last night.
The Sun revealed today that Amber Rudd and Michael Gove have teamed up to form a new alliance to push for a Norway-style agreement if Mrs May's deal gets rejected by the Commons next month.
Around 100 Tory MPs alone have voiced their concerns with the deal as it stands, making it hugely unlikely that it will pass.
Mrs May will give a Commons statement to MPs about her deal later today.