What is brexit?

Brexit is the UK's departure from the European Union. In a referendum on 23 June 2016, 52% voted to leave and 48% to remain. The UK formally left on 31 January 2020. A transition period ended on 31 December 2020, when a new trade deal with the EU took effect.

The UK joined the European Economic Community in 1973. The 2016 referendum came after years of debate about sovereignty, immigration and the EU's powers. After the vote, Parliament spent more than three years arguing over the exit deal. The Withdrawal Agreement settled money, citizens' rights and Northern Ireland. The Trade and Cooperation Agreement then set up tariff-free trade in goods, but with new customs and checks. Free movement of people ended. The UK now sets its own trade, farming and fishing policies. Supporters point to control over laws and borders, and new trade deals. Critics point to extra costs and paperwork for businesses, and the OBR's view that leaving has reduced long-term trade and productivity. Debate now focuses on how close the future relationship with the EU should be.