Brexit – ‘Britain’s exit’ – means as a country we voted to leave the European Union.
The historic vote on Thursday 23 June divided the country. Freedom Finance created a Brexit survey to explore the impact of the ‘Brex Factor’. What does Brexit mean for our everyday finances?
Will it affect the way we holiday? How is Brexit going to affect the property market, pensions and grocery prices? And how is it already influencing the economic decisions we make?
Since the historic Brexit vote there’s been gloom in the markets about the economy and the pound has been losing value in line with the current uncertainty surrounding the UK economy.
Despite the fact it may take another two years for the country to experience any real change as a result of the ‘leave’ vote, the falling pound only serves to reinforce the financial unease.
However, recent UK economic data released by the office of national statistics indicates that Britain remains resilient to recession with the recent expansion of GDP. But how do people feel about what’s happened since the vote?
Are people worried about what the future holds? The survey by Freedome Finance has explored the nation’s attitude towards the Brexit vote to see how they’re really feeling.
What the people told us in our Brexit survey
Britain may have swerved the immediate economic impact, but there are still concerns about Britain’s balance of payments deficit and no one can really predict what the future holds.
Despite everything, it is reported that the survey reveals that while worries remain regarding what Brexit means for Britains financial future, on the whole, the majority of the respondents remained hopeful that Britain will be okay after Brexit.
The survey indicates that the majority of UK citizens are not worrying about what might happen tomorrow, especially when it comes to holidays abroad, just over half of the respondents stated that they won’t alter their travel plans until the UK’s exit is fully negotiated. That’s not to say there aren’t concerns – a quarter of people told us that if weak pound-euro rates push foreign holiday prices they’ll choose to take holidays in the UK instead.
For years now interest rates have been falling and the survey reveals no real concerns about the impact on savings rates. Most respondents are also remaining calm about the price of groceries. However, there are still concerns that a weaker pound could push up the price of electricity and fuel.
There appears to be a very real ‘why worry what might happen?’ slant to the survey results with many respondents identifying opportunities to use the economic uncertainty to their advantage.
For example, some respondents see a chance to negotiate a better mortgage deal. And when asked about respondants feelings about future job security, it would appear many people feel Brexit will have no real impact on their career.
Carry on Britain
Based on the answers provided by the respondents in the survey the overriding feeling from respondents is that they feel nothing will really change until the UK actually leaves the EU.
Even then, we can’t be sure what it means for our finances. But that in itself is making people feel uncertain. But uncertainty doesn’t appear to be having a significant impact on financial decisions – based on the survey results.
While many people in Britain appears to be staying calm amid this financial uncertainty, the survey does reveal concerns. Understandably there may be a change in behaviour when we know what leaving the EU really means.
Freedom to borrow as before Brexit
When it comes to borrowing decisions, the survey reveals most respondents continue to follow the same borrowing advice; taking out a loan as and when required based on favourable borrowing terms.
While Brexit appear not to have had a huge impact on attitudes towards borrowing (yet), it always pays to search the market for the right loan deal. Just as before Brexit, the Freedom Finance team are still on hand to help find the best loans to suit all budgets and circumstances.
View Brexit survey infographic here