The Cost of Brexit: 50bn Euros

After long months of watching Tory politicians avoiding giving even a ballpark figure, we finally have a number: 50bn Euros. This is a larger 'divorce bill' than expected, with reports suggesting it could even go as high as 55bn euros, or £49bn.

This is a far cry from the 20bn euros Prime Minister May mooted in September and will no doubt be met with scorn by the hardline Brexiteers. It will not be easy for her to sell this to the British public, many of whom don't understand why we should pay anything.

The offer was made to Brussels shortly after last week's cabinet meeting and has been greeted with 'broad approval' by the EU. The continental press has, however, been less optimistic about the offer than the UK press.

Roadblock

The EU has so far been unwilling to discuss potential future trade agreements until the divorce bill and the Northern Irish border have been dealt with.

How did they arrive at this magic number? The UK has conceded a number of long-term financial commitments to the EU that have to be met as part of the withdrawal deal. The UK has promised to not leave any EU country out-of-pocket for the current financial term, which runs between 2014-2020. Some of these commitments stretch much further into the future, however, like pensions for EU officials.

For more Newsies' News, please: