Essay: The UK’s withdrawal from the European Union

The United Kingdom is considered a unique territory based off of it secluded geographical position and diverse regions. Its location sets it apart from Europe and the rest of the world. Ever since 1973 it has been a part of the European Union, despite not using the euro or the being part of the Schengen area. Because of its many differences and separations from the European Union, on June 23rd, 2016 53% the United Kingdom’s population voted to exit this Union. After this departure, the United Kingdom has a large chance of ceasing being a European power, it all depends on how they handle their political, social, and economical situations.
Firstly, this withdraw resulted in many political changes. Before the Brexit, the UK had an extended diplomatic network. It is present in 220 countries and in the UN Security Council. It was also a major participant in NATO and the commonwealth of nations, an association that resembles the old British colonies. Now that the United Kingdom is no longer in the European Union it’s world power index has already gone from 1.9 to 0.9. It also now has extra taxes while delivering goods to Europe which increases the cost of trade and impacts the quantity that the UK will be able to import and export. The United Kingdom will have to push hard for a comprehensive free trade deal and immigration control, therefore, making it a lower priority in regards to trade and negotiations has less leverage in general. Tensions in international institutes are also rising due to UK-EU trade negotiations. Now that the UK cannot provide a direct link to the EU businesses are more likely to look elsewhere and leave their stations in popular areas in the United Kingdom such as London.
The United Kingdom has not only experienced political consequences, but social as well. When the United Kingdom was a part of the European Union it has many societal advantages. The English language originated in England where it still remains the official language and is the only language used for official business. 98% of the United Kingdom’s population considers English their main language. The International Congress and Convention Association also considers the United Kingdom as its own sector, thus having a large social impact worldwide. It is also home to many museums, universities, and art pieces that are recognized internationally. Now, post Brexit, the social atmosphere has changed. Some say that credible colleges will suffer drastically from the loss of the European Union’s funding. There is also a severe inequality in relation to wealth. The concentration of riches is in the top 1% of the population and with the UK leaving the EU the social stance of the other 99% may possibly weaken. Another large, divide affected by the Brexit is one between the north and west, notably a rupture between England and Scotland. England and Wales voted to stay in the European Union whereas Scotland and northern Ireland voted to leave. Because of this disunity Scotland and northern Ireland are using this opportunity to discuss leaving the United Kingdom. Another consequence is the fact that immigration is now tightened which damages, in particular London’s, competitiveness as a tourist attraction. Finally, community groups representing the European Union in the United Kingdom have mentioned a growing rate of xenophobia. As a matter of fact, hate crimes have gone up 100% in England and Wales and 50% in ten other areas of the UK in the month following the Brexit, showing a social disunity.
Lastly, the United Kingdom is undergoing economic alterations. London is considered a world stock exchange and there are many transnational firms scattered throughout the UK. Before the Brexit the United Kingdom’s commercial exchanges were considered a priority along with the other countries in the European Nation. Nowadays they do not have an advantage and therefore there is no longer a benefit in having businesses positioned in the UK. It is now less appealing as a gateway to Europe and will be used less and less as a base for headquarters and investments. As a result it is probable that even though the UK is now in commercial surplus, their exportation is greater than their importation, it will most likely change because of the increasing cost of trade which itself impacts the volume that the UK can import and export. Through the Brexit the United Kingdom has gained flexibility their industrial policy through losing the possibility to influence in and through the European Nations and Europe. The pound has also gone from $1.4877 to $1.2908, decreasing by 13.24%. This causes inflation and increases poverty. Not only has the value of money increased, but the UK has also started re-examining grants because of the lack of funding from the UE. These economic changes brought on by the Brexit put the inhabitants of the United Nations at more of a disadvantage than they were prior.
To conclude, ever since the Brexit, the United Kingdom has faced many consequences in the economic, social, and political realms. Up until now it is still considered a European power, but based off of how they manage the increase of trading prices, loss of leverage, loss of businesses, augmentation of hate crimes, division between the north and the south, loss of the European Union’s funding, and increase of the value of money they might possibly lose their title as such.