How the UK economy is faring post-Brexit

More than 60% of businesses in the UK are not able to find a permanent job after the UK leaves the EU, according to a report released on Tuesday.

The report from the Institute for Fiscal Studies (IFS) found that only 4.5% of firms are in a good state of employment and that over a third of businesses are “not fully recovered” from the impact of the EU referendum.

This is despite a “clear and sustained economic recovery” and a “continuing decline in unemployment”.

The report found that the majority of businesses, including banks and insurance companies, have had to take on extra staff to cope with the uncertainty caused by Brexit.

It said: “As businesses are forced to consider the full impact of Brexit on the economy, they are also forced to be prepared for a sharp drop in their profitability.

This has been compounded by a drop in the amount of money they are earning.”

This has also caused businesses to reduce investment in new business and, in turn, a rise in unemployment.

“The IFS said that the impact on the UK’s economy was being felt most strongly in the financial services industry, which was hardest hit.

The UK economy has recovered strongly since the referendum, with an unemployment rate of just under 5%.

The IFS expects that the recovery will last through to the end of 2019, but warns that the longer the UK stays in the EU the more difficult the recovery becomes.

The ICS said:”The impact of leaving the EU will have a particularly heavy impact on financial services, where the uncertainty and instability caused by the uncertainty will have an adverse impact on both the industry and the wider economy.”

There are also fears that the effects of Brexit will impact on other sectors of the economy and in particular the service sector.”

For example, the financial sector could suffer a disruption to the way it deals with complex debt that could reduce their ability to invest in the long-term.

“The report said that while there were many signs of recovery, businesses had yet to fully recover from the economic damage caused by a “hard Brexit”.

It said:”[The] impact on business will be even more severe than the economic impact of a hard Brexit, since many businesses are already in an extended period of uncertainty about how they will be able to cope.”

The wider impact of this will be felt by the economy as a whole.”

The Institute for Public Policy Research (IPPR) said that although the economy had been in recovery since the Brexit vote, the government’s policies had not been “as effective as they could have been” and the UK was in a “difficult situation”.

“Despite the clear economic recovery, the impact is not being felt as fully as it could be,” said IPPR chief economist Stephen Hester.

“In particular, businesses are struggling to make ends meet and unemployment is rising.”

Businesses need support, but in this situation the government needs to act now.

“These policies need to be reviewed now to ensure they are providing the support businesses need to grow.”

More: Read more: The UK’s biggest companies face the biggest challenge in the world to survive after Brexit

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