The United Kingdom and the European Union are set to divorce on December 31. While the Brexit negotiations are still on going, the current transition period is fast running out of time.
The 2016 referendum was decided by a very close margin, with those voting to remain polling 48.1 percent and those voting to leave the EU polling 51.9 percent. Those who campaigned to leave led by Mr. Boris Johnson had strong arguments, including EU immigrants that negatively affect British jobs.
Politics is for the heartless. Both David Cameron and Theresa May resigned as prime ministers of the United Kingdom mainly because of the pressure they received from the Brexit negotiations. However, unlike Mr. Cameron and Ms May, Mr. Johnson is still in the ring, exhibiting his political pedigree.
The next few days will be critical for UK-EU future relationship as they discuss three key issues; fishing rights, competition rules and the governance of any deal. Many effects of Brexit depend on how closely the UK will be tied to the EU or whether the transition period ends without terms being agreed (a no-deal Brexit).
What does a No-Deal Brexit entail?
1. Chaos, long queues and delays at the busiest UK-EU ports of entry due to border checks and taxes
2. The UK would face tariffs on all the goods exported to the bloc and vice versa in line with the World Trade Organization rules.
3. Inflation, unemployment, food shortages, public spending and borrowing will escalate in Britian.
4. Increased costs for businesses and trade delays will be experienced on both sides.
5. If a no-deal is reached before December 31, the Brexit negotiations are likely to continue from 2021.
Generally, the deal in question relates to trade. Freedom of movement ends on January 1, regardless of an agreement. The UK citizens will still be able to travel to EU nations visa free but may need a visa or permit to stay for longer periods for work or study.
Right now, both sides say the conditions for an agreement are still "not there" so the talks could end in no-deal. Britain's exit from the EU can trigger the total collapse of the continental body if other member states decide to mimic Mr. Boris Johnson's principles.
