Brexit has heaped pain on UK economy and more damage is highly likely, researchers warn

The report quotes calculations by John Springford at the Centre for European Reform suggesting that the UK economy is 2.5 per cent smaller than it would be had Britain voted to remain in the European Union. The research by Mr Springford, published in March, puts a figure on what this reduction has meant for government finances.  

“The Treasury estimates that 1 per cent of foregone GDP results in £7.6bn of extra borrowing annually – so the cost to the public finances is £19 billion a year. That is … a little less than the government spends on transport in England each year,” it says.