Bank of England Expert: The Real Cost Of Not Making Deal With EU
28 March 2017, 18:17
This Bank of England economics expert says the true cost of not making a deal with the EU could be serious disruption to the UK economy for years.
Ian McCafferty, Member of the Bank of England's Monetary Policy Committee, was taking your calls on LBC with Iain Dale. When asked what would happen if either the EU or UK quit talks in a huff, McCafferty predicted "years" of disruption.
"I'd be very surprised if we could find no deal that was worse than a deal.
"There is so much of our national life, all the way through from our agricultural policy, through fishing, through consumer protection, all sorts of thing that is linked to EU bodies, EU institutions, as well as EU law.
"I think we would find quite a lot of disruption to the UK economy which would probably bring us into a period of a couple of years in which the economy would perform really quite badly."
"It's a hugely complicated divorce," said McCafferty. "Talking it through rationally...would be better."