ADVERTISEMENT

Leaving Europe could cost each Briton 45,000 pounds in lost wealth

"To make it personal, each individual's wealth would be lower than it would otherwise have been by around 45,000 pounds," JPMorgan said in the note for clients. "This is huge."

Leaving Europe could cost each Briton 45,000 pounds in lost wealth

A vote to leave the European Union in a June 23 referendum could cost each Briton around 45,000 pounds ($65,718), or around half the value of the United Kingdom's housing stock, JPMorgan Chase & Co said in a research report.

Some financiers say a British exit would sap London's wealth, hammer sterling, undermine the world's fifth-largest economy and prompt some traders to move their business to other centres such as New York and Singapore.

Using the British finance ministry's central estimate that UK gross domestic product would be 6.2 percent lower by 2030 after a Brexit than it would be if Britain stayed in the EU, JPMorgan said the impact on British wealth could be huge.

"To put it differently, the hit to wealth would be equivalent to a loss of around half of the value of the UK's housing stock and the land associated with it."

ADVERTISEMENT

JPMorgan also projected the impact on wealth based on a group of Brexit-supporting economists who on Thursday forecast a British exit would benefit the economy.

Under that scenario, which sees a 4 percent boost for gross domestic product after around 10 years, each Briton would get a wealth boost of about 29,000 pounds, equivalent to about 40 percent of the UK housing stock, JPMorgan said.

The note did not mention a timeframe for the different estimates of changes to wealth.

JPMorgan, which has donated to the "In" campaign, did not say which scenario was most likely but noted the wide range of forecasts. The Organisation for Economic Co-operation and Development said this week that a Brexit would leave Britain's economy 5 percent smaller by 2030 than if it stayed in the EU. ($1 = 0.6847 pounds)

JOIN OUR PULSE COMMUNITY!

Unblock notifications in browser settings.
ADVERTISEMENT

Eyewitness? Submit your stories now via social or:

Email: eyewitness@pulse.ng

Recommended articles

INEC to publish credentials of 17 Edo governorship candidates on Saturday

INEC to publish credentials of 17 Edo governorship candidates on Saturday

Hardship: Abiodun to begin sale of rice to Ogun residents at 50% discount

Hardship: Abiodun to begin sale of rice to Ogun residents at 50% discount

Labour Party offers Peter Obi 2027 presidential ticket unopposed

Labour Party offers Peter Obi 2027 presidential ticket unopposed

Allow us build seaports, railways to develop the South-East - Ohanaeze tells FG

Allow us build seaports, railways to develop the South-East - Ohanaeze tells FG

UCH Ibadan workers are tired of working in darkness as power outage persists

UCH Ibadan workers are tired of working in darkness as power outage persists

Armed robbery suspect who killed police officer begs govt to have mercy on him

Armed robbery suspect who killed police officer begs govt to have mercy on him

Tinubu enlists Dangote, Elumelu, Rabiu, others in Economic Coordination Council

Tinubu enlists Dangote, Elumelu, Rabiu, others in Economic Coordination Council

Sanwo-Olu doesn't want you to blame govt for current hardship in the country

Sanwo-Olu doesn't want you to blame govt for current hardship in the country

Okuama: Slain officers left behind 3 pregnant widows, 21 orphans – Lagbaja

Okuama: Slain officers left behind 3 pregnant widows, 21 orphans – Lagbaja

Pulse Sports

Nigeria vs Mali: Has Finidi George done enough to land Super Eagles job permanently?

Nigeria vs Mali: Has Finidi George done enough to land Super Eagles job permanently?

I want to emulate Keshi and win the AFCON - Finidi George shares ambitious Super Eagles dream

I want to emulate Keshi and win the AFCON - Finidi George shares ambitious Super Eagles dream

Michelle Alozie: I had to do it because of African referees

Michelle Alozie: I had to do it because of African referees

AC Milan star reveals he was named after Super Eagles legend Tijani Babangida

AC Milan star reveals he was named after Super Eagles legend Tijani Babangida

Give him the job! Super Eagles fans beg NFF to make Finidi George permanent coach after Nigeria's win over Ghana

Give him the job! Super Eagles fans beg NFF to make Finidi George permanent coach after Nigeria's win over Ghana

Super Eagles 2-1 Black Stars: Nigerians praise Iwobi, Lookman, Finidi George after friendly victory against Ghana

Super Eagles 2-1 Black Stars: Nigerians praise Iwobi, Lookman, Finidi George after friendly victory against Ghana

ADVERTISEMENT
ADVERTISEMENT