ABSTRACT
This chapter examines a number of the main options available to the British economy following a decision to withdraw from EU membership, and its consequent freedom to craft an independent economic policy based upon national priorities and interests. It allows a British government to design and implement an economic strategy irrespective of the rules and regulations arising from Brussels. If Britain joins North American Free Trade Agreement (NAFTA), the larger group will help to protect both the US and the UK from whatever outcome emerges from the EU experiment in supranationalism. Since its withdrawal from the ERM, the British economy has been convergent, both structurally and cyclically, with North America. Consequently sterling tracks the US dollar not the euro, whilst its divergence from continental euro has widened. Consequently, whilst withdrawal from the EU provides the UK with an opportunity to operate an independent trading policy relying upon bilateral agreements with major trading nations.
