Economic Report 2017

Figure 14: UK Stock Indices Performance

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14 0

F TSE AI M UK 5 0 F TSE 2 5 0 F TSE 100

17 January 2017 Theresa May ' s L ancaster H ouse Speech details the plan f or B ritain, w hich set out gov ernment' s priorities w hen negotiating B rex it

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13 0

23 June 2016 UK v otes to leav e the E U

12 0

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110

8 June 2017 UK' s General E lection

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100 UK Stock I ndices

29 March 2017 Article 5 0 inv oked, beginning the w ithdraw al process f rom the E U

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5 6 7 8

0

J an- 16 Mar- 16 May - 16

J ul- 16 Sep- 16

N ov - 16

J an- 17 Mar- 17 May - 17

Source: Google F inance

Long-Term Impact T h e long- t e r m im p act of Br e x it r e m ains difficult t o asse ss w h ile t h e r e ar e st ill a w ide r ange of ap p r oach e s t o h ow the UK ǁill leaǀe the U, each ǁith diĨĨerent imƉlications Ĩor the oil and gas industry͘ ,oǁeǀer, Oil & Gas UK has looke d at t h e v alue of goods and se r v ice s t r ade d w it h t h e r e st of t h e w or ld and h ow t h e cost of t h at t r ade m ay change under certain scenarios͘ This analysis encomƉasses the ǁhole oil and gas sector in the UK, ďoth uƉstream and dow nst r e am . The Ɖrimary oďũectiǀe oĨ a tariĨĨ, ǁhere one is aƉƉlied, is to Ɖrotect a domestic industry͘ ,oǁeǀer, trade in natural resources such as oil and gas, ǁhere a domestic marŬet cannot ďe created iĨ resource is not aďundant, is tyƉically suďũect to njero or ǀery loǁ tariĨĨs͘ TariĨĨs are oĨten aƉƉlied to reĨined Ɖroducts giǀen that the reĨining Ɖrocess can ďe undertaŬen locally͘ Other Ɖroducts, many oĨ ǁhich are used throughout the oil and gas suƉƉly chain, carry v ar y ing t ar iffs as sh ow n in F igur e 15 b e low .

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Figure 15: EU Most Favoured National Applied Trade Tariffs for Goods Used in the Oil and Gas Supply Chain

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P r oduct Gr oup

A v e r age A d V alor e m D ut y

C r ude Oil

0.00% 0.00% 3.00% 4.5 0% 4.30% 6 .00% 1.7 0% 2.8 0%

Nat ur al Gas

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P e t r ole um P r oduct s Inor ganic C h e m icals Or ganic C h e m icals

P last ics and A r t icle s t h e r e of A r t icle s of Ir on and St e e l

E le ct r ical M ach ine r y and E q uip m e nt

^ource͗ torld Trade Organinjation

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