A large topic of discussion in recent months is that of Brexit – but what is Brexit? On the 23rd of June 2016 Great Britain held a non-binding referendum to establish whether or not the population wanted to leave the EU or accept the recently renegotiated agreement between them and the EU. The decision to leave had a number of effects including the possibility of another Scottish Independence referendum and the threat of a United Ireland, as well as the losses of business and international companies in Great Britain. Furthermore, the pound dropped from £1.36 to €1 the week before the referendum to €1 to £0.86 in August 2016. This is before Great Britain has even started proceedings to leave.
The procedure to leave the EU is set of the Article 50 of the TEU. This can only begin once Britain applies to leave to EU. Then a negotiations will commence within the EU institutions where ultimately the European Council will make a decision to open negotiations and appoint a negotiation team. Any agreement must be voted within the European Council and accepted by the European Parliament. Britain cannot participate in the negotiations, as Germany has rightly prohibited already, and it must be noted that if there is no agreement within two years, Britain will be treated as a third country without access to the single market.
One of the big problems misrepresented by the leave campaign is that access to the single market for non-EU states comes with the same conditions as for members. There must be payment into the EU budget and acceptance of the EU laws. Norway, for instance, has access to the single market but has to accept all EU laws rather than having the opportunity to create them, as Britain had. Therefore, their issue with migration will continue as they will not have a say in migration laws but must accept whatever they are given or not have access to trade within the EU which would result in severe recession. It is very possible there will be another referendum in the coming months once the reality of Brexit sets in and the financial interests overtake the frustration with the government.