Mapping EU's Starfall

If Britons vote to take their country out of the European Union, reducing the politico-economic bloc to 27 members from 28, no corner of the global financial structure will remain unscathed. Market horses like currencies, commodities and equities will be the first to find their courses altered, even as economic jockeys riding them - monetary policies, bank rates and macro-economic markers - will find it hard to adapt to the altered course. Business Standard takes an issue-by-issue look at Britain's exit (Brexit) from the EU

Immigration

The total net migration to the UK is over 300,000 a year even as the government is looking to cut it down to under 100,000. Net migration from EU countries is at 184,000 a year and while the non-EU numbers reach 188,000. EU citizens have the right to live and work in any member nation

Leave

• It is impossible to control immigration as a member of the EU
   
• Public services are under strain because of the number of migrants
   
• High immigration has driven down wages for British workers
   
• Points-based system for migrants to the UK should be extended to include those from EU

Stay

• Immigrants, especially those from the EU, pay more in taxes than they take out
   
• Cameron's EU deal means in-work benefits for new EU migrant workers will be limited for the first four years
   
• Outside the EU the UK would still have to accept free movement to gain full access to the single market
  

 

Immigration is good for the economy

Employment

Individual members retain a veto in the EU's increasing role in foreign affairs

Leave

• With EU regulations being lifted, less regulations would mean more jobs
   
• Maternity leave and holiday pay would be subject to the UK government's decision
   
• More investment from non-EU nations would flow in to UK
   
• Migration flow goes down wages would go up

Stay

• Three million UK jobs linked to trade with EU
   
• The EU has standardised holiday pay and paid maternity leave, while also increasing workplace protection
   
• The UK gets £66-mn investment every day from the EU

Trade

Nearly half of UK's overseas trade is conducted with the EU. A single market allows free movement of goods, services, capital and workers. However, no individual member state can conduct trade negotiations with other parts of the world, and it is only EU which can conduct such negotiations

Leave

• Trade with EU countries would continue since UK imports more from EU members than it exports
   
• Britain would be able to negotiate its own trade deals with other countries

Stay

• Predicted economic shock and slow growth, following Brexit.
   
• The UK would still have to apply EU rules to retain access to the single market

Defence and geopolitics

Individual members retain a veto in the EU's increasing role in foreign affairs

Leave

• Nato and the UN Security Council are more important to Britain's defence than the EU
   
• The EU interferes in the UK's defence procurement and the bloc has ambitions of building its own army
   
• Britain's influence on the world stage would increase as an independent country

Stay

• Leaving the EU would diminish Britain's influence on the world stage
   
• Working with EU neighbours has helped keep Britain safer

Sources: BBC, Reuters and news reports