MOSCOW (Sputnik) — Earlier on Monday, The Treasury issued an economic analysis, claiming that the country could face a year-long recession, losing at least 500,000 jobs and facing a rising inflation in case Britons vote to leave the European bloc in a referendum on June 23.
"The government is trying to scare people. [Chancellor George] Osborne has said that if we leave the European Union, the wages will go down. But Lord Rose, chairman of the ‘Britain Stronger in Europe’ campaign, has said to the parliament’s select committee that if we leave the European Union, wages will go up," Chilton said.
A "best case scenario" predicts a 520,000 job losses, while a "severe shock scenario" implies a 820,000 job losses.
"The fact of the matter is that if Britain leaves the European Union, we will continue to trade, we will continue to have investment, and wages will increase," Chilton added.
UK citizens are set to vote on June 23 in a referendum on the country's EU membership, after British Prime Minister David Cameron and the leaders of the 27 other EU member states reached a deal in February to grant the United Kingdom a special status within the bloc.
Supporters of the UK exit from the bloc argue that EU membership has eroded Britain’s independence to legislate, direct its economy and control its borders. Opponents warn that leaving the European Union could deeply harm the country’s economy.