What is the state of the UK economy after Brexit?

The Brexit vote has created a period of economic uncertainty, but what is the full fallout of the circumstances, and what do they mean to us as UK citizens?

The most notable immediate impact was that the value of the pound decreased, meaning that goods are now largely cheaper to buy for people outside of the UK, boosting the earnings of companies that have significant sales overseas. A number of FTSE 100 share prices rose as a result.

The Bank of England has indicated that it may raise interest rates soon, which could result in a rise in sterling and a fall in the share value of companies that trade outside of the UK. If interest rates do rise, it will help curb inflation, which increased to 2.9% in September 2017. The Bank of England predicts inflation will peak at around 3%. Although prices have risen, this has had little impact on consumer spending.

The government’s deficit has dropped, helped by greater than expected tax receipts. This has reduced the amount of government borrowing.

Unemployment is at its lowest levels since the 1970s at 4.3%, though there have only been modest rises in wages.

House prices have grown, though there has been a drop in central London property prices.

Despite fears about how the Brexit negotiations would affect the UK economy, it currently remains reasonably healthy with plenty of good opportunities for investors. With help from independent financial advisors, Wirral residents will be able to invest in schemes that can achieve above returns at above the level of returns.

Investments – The value of units can fall as well as rise, and you may not get back all your original investment

Source used: https://www.theguardian.com/business/2017/sep/26/how-has-brexit-vote-affected-uk-economy-september-verdict