A European Earthquake of Epic Proportions

united kingdom exit from europe relative image

By Graham Simon

gs-1308On June 23, Britain held a referendum in which the public voted whether to remain part of the European Union (EU) or leave. While 48.1% chose to stay, 51.9% chose to leave.

The result reflected deep-seated frustrations within the British people, which had built up over an extended period of time, that neither UK politicians nor the leaders of the EU had fully recognised or made any meaningful attempt to address.

To grasp the truly momentous significance of this decision to leave the EU and its implications for Britain, Europe and the rest of the world requires some understanding of the political, economic and social history of Europe since the 1950s.

Following the Second World War, there was a resolve among mainland European leaders, particularly the French and Germans, not to allow the rivalries that had devastated the continent over the previous decades to occur again. In 1957, six nations — France, Germany, Italy, the Netherlands, Belgium and Luxembourg — signed the Treaty of Rome with the aim of creating a single economic market for the free movement of goods and services, capital and labour.

The economic union known as the European Economic Community (EEC) came into force ten years later in 1967. In 1973, Britain joined the club along with Denmark and Ireland. By 1986, the nine had become the twelve, bringing in Greece, Spain and Portugal, and in 1995, they were joined by Austria, Finland and Sweden.

In 1991, with the passage of the Maastricht Treaty, the EEC dropped the word “economic” from its name and soon thereafter became commonly known as the European Union. The Maastricht Treaty also heralded the formation of a common currency bloc, with member countries adopting a single currency, the euro. Britain opted out and kept its own currency, sterling.

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