RESEARCH OBJECTIVE: This article aims at analysing the results of the EU referendum in the UK and the implications and challenges of Brexit for the European Union.
THE RESEARCH PROBLEM AND METHODS: The basic problem of this publication is the analysis of special status of the UK in the EU, its significance as EU Member State and the immediate effects and future implications of Brexit. The research tools used in the article include literature studies, descriptive and comparative analysis.
THE PROCESS OF ARGUMENTATION: The line of reasoning consists of four essential elements. At first, the UK’s membership in the EU is presented, and in particular its special status in the EU as well as the role of the UK’s economy in the EU. The next part focuses on the EU referendum in the UK – its results and effects for the British politics. The last two parts concentrate on the analysis of alternatives to membership in the EU and implications and challenges for the EU resulting from Brexit.
RESEARCH RESULTS: Brexit is considered one of the most dangerous events in the global economy (some believe Brexit is more threatening than global financial crisis 2008+). Brexit has created a number of political, economic and social challenges for the EU, which have been intensified by other internal and external threats for the EU.
CONCLUSIONS, INNOVATIONS AND RECOMMENDATIONS: The situation in the UK and in the EU after Brexit is quite dynamic. It is hard to anticipate all the effects and implications of Brexit. The way the EU negotiates with the UK future British‑EU relations will determine its international position. The withdrawal negotiations of the UK will include operational and strategic, legal and financial issues. Brexit will considerably reduce demographic and economic potential of the EU. It will complicate financial aspects of EU integration. Brexit will necessitate reforms of the EU policies. Brexit will also limit political power of the EU.
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