'Brexit' could hinder long-term UK growth

Significance

Depending on the outcome, the United Kingdom's relation with its largest trading partner may be at risk, together with the City of London's role as a financial hub and the ability of EU citizens to work freely in the United Kingdom.

Impacts

• In the event of Brexit, the pound could fall to 1.3 against the dollar and towards parity against the euro.
• Despite having sold off already, UK bank stocks could fall further in the case of Brexit.
• Given Scotland's pro-EU stance, an 'out' vote could reopen the debate about Scottish independence.