The governor of the Bank of England has warned the cabinet that the impact of a no-deal Brexit could be as catastrophic as the financial crisis that crippled the UK economy a decade ago.
During a special cabinet meeting on Thursday to discuss preparations for the UK crashing out of the union, Mark Carney told Theresa May and her senior ministers of the potentially dire economic consequences of leaving on poor terms.
Cabinet sources said he painted a bleak economic picture of unemployment reaching double figures in percentage terms, house prices falling by 25-35% over three years, and transport links with the EU, including air travel and the Eurostar, stalling.
Several sources said Carney compared the outcome of a no-deal Brexit with the fallout from the 2008 financial crash.
One cabinet minister told the Guardian: “The government wouldn’t just stand by. It didn’t in 2008. He wasn’t saying it was all going to happen but I think there is a recognition that you do have to contemplate the worst-case scenario.”
After the meeting the government released another batch of no-deal technical notices that said UK driving licences may not be valid in the EU, and travellers with UK passports close to expiry may be denied entry into the bloc.
For more read the full of article at The Guardian
