Britain has lost £27 billion in the two years since leaving the European Union.
The decision to leave the European Union's single market and customs union has cost Britain £27 billion ($34 billion) in the first two years, new research suggests.
The loss is largely due to the breakdown of EU-related trade relations, according to a study by the Centre for Economic Performance at the London School of Economics (LSE).
Small businesses have been hit hard by the new trade barriers. Thousands of companies have stopped trading with the EU.
But large companies have largely continued to trade at the same level since Brexit.
LSE analysts, who analyzed data from more than 100,000 companies, found that exports between the UK and the EU were set to fall by 6.4% and imports by 3.1% by the end of 2022.
The OBR had previously predicted a 15% loss of trade and a 4% fall in national income due to Brexit. But based on current data, these losses are likely to be lower.
Recent changes and future negotiations
The UK and the EU are due to hold talks in January 2024 to improve the Trade Cooperation Agreement (TCA).
The current TCA has barriers such as more customs checks, additional paperwork and restrictions on the movement of raw materials.
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