After Brexit, the country stopped complying with a series of rules and regulations under the EU regulatory framework. It started to promote bilateral economic and trade relations by the UK and the EU’s new laws after Brexit.
Almost from the very beginning, the new post-Brexit regulations have had devastating consequences for the UK’s consumer, logistics and financial industries.
After the Brexit, British consumers found that they had to pay extra when buying goods online from EU sellers.
The additional cost mainly comes from value-added tax or business tax. Before Brexit, as a customer, the price of the goods you saw was the price you paid. The value-added tax payable is already included in the pricing of the goods.
However, after the Brexit, goods imported from the EU are subject to a separate VAT payment process. In the meantime, it caused additional paperwork and process costs. This is why the purchase price of certain products sold to the UK from EU countries has increased by 20%.
Besides, products over 135 pounds made outside the EU will be subject to a tariff of up to 25% based on value-added tax.
In the financial sector, Brexit has also brought a lot of trouble. The current trade agreement between the United Kingdom and the European Union does not include financial services.
Since the beginning of January in London, about 6 billion euros of daily stock transactions have been transferred from London to new trading platforms in Paris and Amsterdam. It is doubtful that these transactions will return to the UK, and it is not yet known what impact this will have on employment in the UK.
It is also unclear when the EU recognises that the UK’s financial regulatory system can be integrated with the EU’s regulatory system. If this is not possible, it will be much more difficult for British financial companies to do business with Europe.
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