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Brexit could cause huge new costs for British businesses, with some industries facing additional costs of up t0 20%, according to a leaked government analysis.
The newly released data looks at the non-tariff barrier costs that leaving the European Union could cause for UK businesses – everything from diverging regulation to customs checks, though not additional tariffs.
Retail and wholesale is hardest hit, the government predicts – with costs potentially jumping from 7% to 20%. Defence, education, and health could see 6-16% rises, while financial services could go up between 5 and 10%.
Motor vehicles, meanwhile, may see 5-13% cost increases, with 8-16% for food and drink, and 6-12% for chemical, rubber, and plastic.
Meanwhile, The Guardian reports that the analysis predicts that crashing out of the EU without a deal – a “hard Brexit” – could cost the UK £80 billion over the next 15 years.
The leaked report is inflaming debate over the economic repercussions of leaving the European Union, as well as the government’s withholding of negative information about the process.
The analysis also found that Britain would be left worse off economically under every form of Brexit modelled, and that the costs of lower migration from the EU would cancel out any benefits provided by a trade deal with the Untied States.