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    An actor wearing a Boris Johnson mask is joined by Sinn Fein's Gerry Adams during a 'Borders Against Brexit' protest in the border town of Dundalk, Ireland, June 28, 2018

    UK Lawmakers Order Economic Study to Figure Out 'Winners and Losers' of Brexit

    © REUTERS / Clodagh Kilcoyne
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    The Bank of England has been tasked with determining Brexit's winners and losers, several months ahead of Theresa May's highly anticipated Brexit vote in the UK parliament. The move comes amid uncertainty over post-Brexit customs arrangements and Ireland's hard border issue, as well as pressure piling on the PM both from Remainers and Brussels.

    British lawmakers have asked Chancellor of the Exchequer Philip Hammond and Bank of England Governor Mark Carney for their expertise on the likelihood of economic damage from Brexit.

    In letters released to the media on Tuesday, the Parliament's Treasury Select Committee has asked the Treasury to give a long-term forecast for the UK economy and finances provided that a final divorce deal is negotiated and put into practice.

    READ MORE: Brexit Divorce Could Cost Over £10 Billion More Than Estimated – MP Committee

    The experts will also predict how London's looming withdrawal from the bloc would affect the economy in the short-run. The analysis would cover the five years after Brexit, and start next March.

    The economic ministry was also asked to address a no-deal Brexit scenario which would see Britain leave the bloc next March.

    "An assessment of winners and losers from the proposed changes, and the likely countervailing impact on access to EU markets, should also be produced," Nicky Morgan, a Tory MP who chairs the committee, told Hammond.

    This comes after the lack of precision on the country's future customs arrangements with the EU made several industrial giants such as Airbus and BMW warn that they may pull out of the country, putting thousands of UK jobs at risk.

    Another problem casting a shadow on the future of Brexit is the Irish hard border issue. The UK is expected to leave the customs union in 2020, which would mean establishing a hard border between Britain and EU member Ireland. London has repeatedly committed to maintaining a so-called soft border, fearing that a hard border would damage its economic interests.

    In autumn, MPs are set to decide on the new deal Theresa May is expected to bring back to London after negotiations in Brussels.

    READ MORE: Brussels Believes There's 'No Hope' of Brexit Deal by October

    On June 20, the PM won a vital vote in the parliament, defeating Tory rebels that could potentially get the power to stop Britain from leaving the EU without a deal. The PM assured the MPs that they would have a "meaningful say" and promised that more details of UK-EU post-Brexit links would come soon.

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    Tags:
    customs, border, Brexit, European Union, Mark Carney, Philip Hammond, Theresa May, Brussels, United Kingdom
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