Taipei, Taiwan, May 13, 2019 --(PR.com
)-- Just two days before the original Brexit departure deadline, European Union leaders agreed to a “flextension” of the deadline with a compulsory review scheduled for the end of June to determine the state of play in UK negotiations.
While many breathed a sigh of relief at the news of the extension, the UK economy is showing signs of strain as the prolonged uncertainty over Brexit’s outcome takes its toll.
According to a recent survey, UK businesses’ demand for employees increased at the slowest pace in seven years last month. Everitt Lawson Group analysts have warned the UK labour market, which is usually a strong point, could be starting to lose its momentum.
The same survey revealed that salary growth was also slowing, echoing sentiments expressed by the Bank of England last week.
Everitt Lawson Group analysts say the prolonged uncertainty surrounding Brexit could cause the UK labour market to stall as both job seekers and employers wait to see what the eventual outcome will be.
The UK housing market is also suffering with April offering little encouragement that a recovery is on the horizon. The number of properties being placed on the market fell at the fastest rate since 2016 and property prices in London have decreased as Brexit uncertainty plagues the country’s capital.
According to the Bank of England, UK lenders reported that the number of approved home loans in March had reached its lowest point in almost 2 years with consumer borrowing also declining sharply as Brexit anticipation set in.