Brexit to Drag on UK Growth for Foreseeable Future, Bailey Says

Britain’s decision to leave the European Union in 2016 will continue to weigh on UK growth for several years, but in the longer term the economy will adjust, Bank of England Governor Andrew Bailey said.

Making a rare comment on Brexit at a speech in Washington, Bailey said it will have negative impact on economic growth for the “foreseeable future.” The impact will gradually unwind, however, he added.

“Make an economy less open and it will restrict growth, though over a longer time trade will adjust and rebuild. And, this appears to be what has happened,” he said in a ...