Britain's Home Secretary Sajid Javid speaks at the launch of his bid to become the leader of the Conservative Party | Will Oliver/EPA-EFE
UK home secretary: Economic stimulus needed after no-deal Brexit
Hard exit would be ‘very challenging’ for a few months, says Sajid Javid, who is standing to be Tory leader.
A no-deal exit from the EU would be “very challenging” for the U.K. for months and would require an economic stimulus from the government, in terms of tax cuts and other measures, to keep the economy afloat, said Home Secretary Sajid Javid.
Javid, who is standing to be Tory leader and prime minister, also said that his priority if he succeeds would be to negotiate a time limit to the Northern Ireland backstop to get a Brexit deal that would be acceptable to MPs. But if that isn’t possible then a no-deal exit may be necessary.
“I don’t accept it would be disorderly. What I do accept is it would be very challenging for the country at least for a few months,” he told the BBC’s “Today” program, adding that the impact on the economy would depend on what the government does.
“You’d have to have a stimulus for the economy through tax changes and some supply side changes,” he said.
He added that not preparing adequately for a cliff edge has been a “fundamental mistake” up to this point. “I’ve set out in my plan that from day 1 if I became prime minister we would seriously step up planning.”