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Disarray will cloud start of EU-UK Brexit talks

Tuesday, June 20, 2017

Significance

The process has been plunged into further uncertainty by the outcome of the June 8 UK general election, which has sparked renewed debate about what kind of Brexit the United Kingdom wants and what kind of future economic relationship with the EU it should seek to negotiate.

Impacts

  • The UK government’s weakness is a cause for concern elsewhere in the EU, raising fears that it may not be able to compromise on key issues.
  • Many businesses will begin implementing strategies for dealing with Brexit early next year, before knowing the outcome of the negotiations.
  • Pressure for a lengthy transition period will continue to build.
  • The political turmoil and slowing economic growth in the United Kingdom may increase support for EU membership elsewhere in the bloc.
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