Today's Big Stories

If UK opts for 'Brexit', political uncertainty and economic turmoil may follow

UK citizens will today take to the polls in perhaps one of the most significant votes to remain or withdraw from the European Union (EU).

Economic diplomacy expert Peter Draper says that if citizens vote in favour of the the so-called Brexit, prolonged political uncertainty will surely follow.

If the majority of British citizens vote to leave the EU, the decision will not take immediate effect, but will lead to greater turmoil for currency markets, Draper explains.

The longer the uncertainty extends, the more turmoil in the financial markets - particularly if it is a close outcome.

Peter Draper, Director of Tutwa Consulting

The EU agreement stipulates that Britain would have to give two years notice, during which the terms of exit would be negotiated.

In addition, Brexit legislation would have to be voted on by UK Parliament, whose members are divided on the decision.

Draper predicts that the outcome will be for the UK to remain in the EU, but if it isn't, South Africa's trade agreements with Britain may be negatively effected.

Listen to the full conversation:

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