Cost of Brexit Weighs on U.K. Government Coffers

Bloomberg Video

Nov.24 -- Britain’s decision to leave the European Union accounts for almost half the extra borrowing it will make over the next five years. The Office for Budget Responsibility said charges related to Brexit will total 58.7 billion pounds ($73 billion) of the additional 122 billion pounds of net borrowing that it predicts through 2021. The extra costs -- compared with previous forecasts in March -- will peak in 2018-19, as the U.K.’s proposed two-year exit process draws to an end, according to OBR estimates published Wednesday. Investec Chief Economist Philip Shaw discusses with Yousef Gamal El-Din and Manus Cranny on "Bloomberg Daybreak: Europe."