What does Britain leaving the EU actually mean to us?

The votes have already been placed and counted and the result is in, but most of us are still scratching our heads over what ‘Brexit’ actually means.

For a layman’s nutshell explanation of both sides of the debate, check out the video below (created prior to the referendum).

Now that we know the outcome – Britain is leaving the European Union – how does it affect us, here in Oz?


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Already we have seen billions of dollars wiped from the Australian share market and the Australian dollar has taken a hit.

It’s hoped this will repair itself in the short term and PM Malcolm Turnbull has urged us not to panic.

“There is no cause for Australians to be alarmed by these developments,” Mr Turnbull said. “However, there will be a period of uncertainty and some instability in global markets.”

“We need to have strong economic leadership here, so that we are resilient,” he added.

Some believe the biggest impact will be on our tourism sector.

“The inflow of tourists from the UK to Australia may be reduced, in the medium term,” Griffith University Economics Professor Fabrizio Carmignani explains.

“We see something like 700,000 people coming from Britain every year and now it’s going to be more expensive to come to Australia,” he adds.

Prof Carmignani believes the ‘ripple effect’ of the devaluation of the British pound will mean we go through a period of losses on the Australian market.

“The sharp drop in the value of the British pound has negative implications for Australians who have financial assets and pensions in the UK.”

The good news is it could benefit Aussie exporters and become easier for those keen to study or work in the UK.