The Czech government is bracing itself for a 0.5 percent hit on the country’s GDP as a result of Brexit. It fears that trade activity could fall 0.25 percent, triggering the loss of up to 1,600 jobs, with the automotive sector the most severely affected, along with the engineering and electronics sectors. The UK’s decision to leave the EU could also leave a hole in the EU budget as well, as the UK was a net payer. The government estimates that this would result in CZK 107bn lower contributions from the EU.
