S&P: A 'no-deal' Brexit likely to tip UK into long recession

In the latest review report on the UK economy, S&P Global Ratings Credit Analyst Paul Watters underscored concerns that a no-deal Brexit would likely to tip Britain into a recession, Reuters reports.

Key Quotes:

“Our base-case scenario is that the UK and the EU will agree and ratify a Brexit deal.” 

“But we believe the risk of a no-deal has increased sufficiently to become a relevant rating consideration.”

“Britain would experience a “moderate” recession lasting four to five quarters in the event of a no-deal Brexit.”

“Most of the economic loss of about 5.5 percent (of) GDP over three years compared to our base case would likely be permanent.”