Brexit: Impact on UK and EU Economy

BREXIT
1

CONTENTS
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Brief history of European Union.................................................................................................3
Challenges facing the UK as a member of the European Union.................................................4
Impact of Brexit on UK and member nation’s economy.............................................................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
2

INTRODUCTION
The Brexit is a term used for the action taken by United Kingdom to leave the European
union due to several issues and difficulties in term of trade or being a member nation, it is facing
within this association. There are several reasons due to which United Kingdom leave its
membership with eth European union and bring up huge influence over its trade practices as well
as economy at a larger extend (Dhingra and et. al., 2016). In order to develop understanding
about its influence over trade and economy of United Kingdom and European countries this
review is performed in this report. It put emphases toward studying about the brief history of
European Union, challenges faced by UK as a member of European Union and at last it put
insight over impact of Brexit.
MAIN BODY
Brief history of European Union
The European Union is a international organisation which consist of a group of 27
countries of Europe which given the common social, economic and security policies. The United
Kingdom which was the founder member of EU get separated from this association in year 2020.
This European Union was formed un der the Maastricht Treaty that came into force by
November 1, 1993 with an aim to improve the economic as well as political integrity by using
single currency i.e. euro, security policy and unified foreign policy and maintaining over a single
citizenship right and extending the cooperation among the areas of asylum, immigrants and
judicial; affairs (Steinberg, 2019). This association of European country also Won the Nobel
prize in year 2012 by maintaining peace and democracy throughout the countries under
European union.
The European Union i.e. the association of European countries was basically a series if
efforts that are made by the government of nation in order to integrate it since World War
Second. After war get ends, several wester European countries sought closure economic,
political and social ties in order to gain the military security, economic growth and for promoting
the reconciliation among the France and Germany. At the end of 1951 six countries i.e. Belgium,
Italy, France, Netherland, Luxembourg and West Germany signed a treaty and year 1952 they
found a European Coal and Steel Community (European Union, 2020). The member country also
send proposal to United Kingdom to join this but it refused. Later on these countries of ECSC
signed two more Treaties of Rome that results into establishment of European Atomic Energy
3