Brexit is the acronym used by the Anglo-Saxons to express the political process for England to leave the European Union. It comes from British, which means “British” and from exit, which means “exit”. However, it is necessary to analyze the consequences of Brexit that will occur in the European Union and, specifically, how it will affect Spanish companies.
Among the numerous
consequences of Brexit,
it is worth noting the resentment that some Spanish companies in Britain could have, the future of Gibraltar, of mixed families, of workers and yours if you live there being Spanish.
There will be a greater opening of borders with the consequent increase in bureaucracy and a depreciation of the pound.
Brexit is still an ongoing process. Since 1973, it has been persecuted by English society and by some political parties.
The United Kingdom’s exit is based on the Treaty on European Union, Article 50,which recognizes the departure of a Member State.
Previously, there was already a referendum in 1975 that ended with a result favorable to remain in the EU.
Currently, the result of Brexit in the 2016 referendum is on the way out. However, it will then be necessary to analyze what is behind it.
What’s behind the Brexit referendum?
While the Brexit referendum held in 2016, for the second time in history, has been approved,we must emphasize that it has only been 52% and unequally.
The result has been diverse across areas of the UK. In England and Wales the consultation was favourable,but did not get the same reception in Scotland, Gibraltar and Northern Ireland, which voted To Remain.
With Brexit, the referendum hides certain factors. From the outset, the new measures must respect the right to the free movement of capital,with the Union adapting to its maintenance.
Thus, the EU will move towards a different constitutional and economic model. For example, the promotion of international trade and free access to markets.
This agreement has the consequence that much of the financial interests of the Eurozone are outside the jurisdiction of the Union,since its financial capital remains London.
The Union’s socio-economic model will be reiterated, but neoliberal measures will be reinforced.
The referendum has caused one of the consequences of Brexit to be a remarkable change in the consolidation of the EU’s mutation process.
Analysing the Causes of Brexit
The causes of Brexit are of different kinds. The most important are the loss of the political sovereignty of the United Kingdom vis-à-vis the Commission, which causes the government to consider that Brussels has an undemocratic character in its measures.
It is also because immigration is not defined by London,but by Brussels and equally if you live in Britain.
In addition, it contributes£20 billion to the EU’s economics,half of which is reimbursed only.
Also, another of the causes of Brexit is the desire to make the exit from Europe by the United Kingdom, due to the effect of neoliberal policies. These have led to harmful social outcomes since 1979, 2008, and 2011 with European debt due to the predominance of financial market interests in the Commission’s political decisions.
The decisions imposed austere measures on certain countries in favour of Germany and France, whose banks hold more power.
What Britain reflects in Brexit with the referendum is the discontent of the population and the thought that the EU is now a kind of dictatorship of the markets.
How does Brexit affect Spanish companies?
One of the possible consequences of Brexit is the devaluation of the pound sterling,which can cause that, if you have a Spanish company in Great Britain, you can be affected.
With Brexit, Spanish companies like yours could reduce activity and generate losses.
Currently, there are more than 200 companies in the United Kingdom of great importance. Exports to the United Kingdom by Spain have been valued at 18.2 billion euros,according to iceX.
Spanish firms believe that Brexit will affect investments. Our financial, energy and communications sectors are highly exposed to the British sectors. Some examples are the entities of Iberdrola, Santander or Sabadell.
Finally, if you are Spanish and live in Britain,we must show you what consequences of Brexit may affect you.
In addition to becoming a foreigner and not European,it will not have the same health privileges as before.
The same will happen with the application of roaming again in phone calls. Most likely, in addition, the Erasmus scholarship will be eliminated.
With regard to the quote, there is greater uncertainty. Everything will depend on the agreements that the United Kingdom reaches with the EU.
In case the contribution system changes for foreigners, the Spanish Social Security will have to find a solution so that it does not affect their contribution years.