 impact on the uk economy impact on the uk economy barsha lun 27092021 1736 the united kingdom s decision to withdraw from the european union on june 23 2016 is referred to as brexit it is a mix of the words britain and exit the uk conducted a referendum on 2016 june 23 to choose whether they should remain in the eu or leave 174 million people voted to leave while 161 million people voted to remain with 38 percent of the vote leave won in the end on january 1 2021 the uk parliament accepted a preliminary agreement whereas on january 31 2021 the uk exited the eu there was a transition phase in effect until december 31 2020 everything was the same throughout that period and the uk remained compliant with all the european union s laws and regulations during this period there was significant debate about the uk s relationship with the eu trade and cooperation agreements nuclear cooperation agreements and information security agreements are the three agreements between the uk and the eu although the economy of the uk dropped less than predicted the uk s business with the eu was seen to have dropped as the transition period of brexit has ended impact includes trade between the united kingdom and the european union is still subject to customs checks implying that trade is not quite as easy as it was when the united kingdom was a part of the european union aside from decreased trade the gdp of the country decreased by 27 in january 2021 but the decline in gdp is primarily due to limited economic activity during the pandemic which was imposed shortly after the year began the manufacturing and services have been harmed but this has been somewhat offset by a substantial rise in healthcare spending because of the countrywide implementation of a testandtrace system to stop the virus from spreading on january 1 the united kingdom exited the eu s customs union and single market brexit is most likely to be blamed for the sharp drop in exports and imports exports to the eu plummeted by 407 while imports fell by 288 when contrasted with december the biggest fall since comparable figures began being gathered in 1997 export to the nations which are not under the eu increased by 17 while imports decreased by 176 from that very same nation twothird of uk exporters have encountered difficulty while exporting their products with extra documentation being one of the most frequent problems the uk conducted a referendum on 2016 june 23 to choose whether they should remain in the eu or leave 174 million people voted to leave while 161 million people voted to remain with 38 percent of the vote leave won in the end on january 1 2021 the uk parliament accepted a preliminary agreement whereas on january 31 2021 the uk exited the eu there was a transition phase in effect until december 31 2020 everything was the same throughout that period and the uk remained compliant with all the european union s laws and regulations during this period there was significant debate about the uk s relationship with the eu trade and cooperation agreements nuclear cooperation agreements and information security agreements are the three agreements between the uk and the eu although the economy of the uk dropped less than predicted the uk s business with the eu was seen to have dropped as the transition period of brexit has ended impact includes trade between the united kingdom and the european union is still subject to customs checks implying that trade is not quite as easy as it was when the united kingdom was a part of the european union aside from decreased trade the gdp of the country decreased by 27 in january 2021 but the decline in gdp is primarily due to limited economic activity during the pandemic which was imposed shortly after the year began the manufacturing and services have been harmed but this has been somewhat offset by a substantial rise in healthcare spending because of the countrywide implementation of a testandtrace system to stop the virus from spreading on january 1 the united kingdom exited the eu s customs union and single market brexit is most likely to be blamed for the sharp drop in exports and imports exports to the eu plummeted by 407 while imports fell by 288 when contrasted with december the biggest fall since comparable figures began being gathered in 1997 export to the nations which are not under the eu increased by 17 while imports decreased by 176 from that very same nation twothird of uk exporters have encountered difficulty while exporting their products with extra documentation being one of the most frequent problems the united kingdom s decision to withdraw from the european union on june 23 2016 is referred to as brexit it is a mix of the words britain and exit  