Immigration
U.K. Prime Minister Theresa May interpreted last year’s vote for Brexit as a call to clamp down on immigration, which is currently unfettered from the EU. Britain is the second-most-popular destination in the region after Germany, and May is signaling she will impose new curbs
Trade
In choosing to leave the EU, Britain is jeopardizing access to its largest market, which buys about 45 percent of its exports. The EU knows it has leverage on that front, although cutting off access to the U.K. could end up hurting its own companies, which rely on British consumers to buy their goods.
The ‘divorce’ bill
Until recently, the size of the European alimony request was the subject of conjecture. The unofficial talk in Brussels was of around €60bn (£52bn) to settle all of Britain’s outstanding financial commitments, a figure that was met with amused derision in London.
Reference: The Guardian, Bloomberg
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