14:45 GMT04 August 2020
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    A third of UK businesses abandoned about 65.5 billion pounds ($83 billion) of investments following the referendum on UK membership in the European Union, a study published Monday said.

    MOSCOW (Sputnik) – A total of 22 percent of senior decision makers said that the main reason of decreasing investment was a fall in the pound while 21 percent named uncertainty of the UK membership in the European single market as the main reason of their decision. About 21 percent more said that the abandoned investments because of the current situation in the UK economy, a study carried out by the Hitachi Capital and the Centre for Economic and Business Research (CEBR) revealed.

    “Hitachi is calling on businesses, which are the drivers of the UK economy, to adapt to these uncertain times and seize the opportunity to forge new partnerships globally whilst continuing to engage with the single market. 70 percent of businesses would be likely to resume investment if uncertainty of the UK’s membership of the single market is resolved, but they must remember that access is different to membership and this is how both China and the US are able to engage with the EU,” Robert Gordon, CEO of Hitachi Capital, said.

    According to the report, the most affected businesses turned out to be the medium sized companies with 44 percent of them having decided to decrease investments. At the same time, only 23 percent of small businesses followed the same scheme, showing less dependence on exports and foreign investment environment.

    On June 23, the United Kingdom held a referendum to determine whether or not the country should leave the European Union. According to the final results, 51.9 percent of voters, or 17.4 million people, decided to support Brexit.

    Britons’ decision caused depreciation of the country's currency and raised questions about the stability of the UK financial sectors.


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