Rising Brexit Uncertainty Has Reduced Investment and Employment

Rising Brexit Uncertainty Has Reduced Investment and Employment

By
Nicholas A. Bloom, Scarlet Chen, Paul Mizen
Vox EU. November
16, 2018

The majority of businesses in the UK report that Brexit is a source of uncertainty. This column uses survey responses from around 3,000 businesses to evaluate the level and impact of this uncertainty. It finds that Brexit uncertainty has already reduced growth in investment by 6 percentage points and employment by 1.5 percentage points, and is likely to reduce future UK productivity by half of a percentage point.