Brexit and Neoliberalism

Brexit marked a shock wave that has deeply impacted the United Kingdom and its people.

Despite the intentions of those who originally backed the idea of leaving the European Union, there are various negative consequences that have arisen from Brexit, however, there may be a glimmer of hope.

First off, the economic effects of Brexit cannot be denied. With VAT going up, industry on a downturn and a poorer exchange rate for the pound, there is no doubt that the costs of living will inevitably increase further for British citizens. Furthermore, the decision to leave the EU has caused a severe blow to businesses both in the UK as well as across Europe as certain agreements and trade arrangements are now null and void. In light of these realities, it is unsurprising that many companies have had to close down in the aftermath of the vote.

Secondly, Brexit has had a destructive impact on British politics. This can be seen through the heightened tensions between the Tories and Labour, caused by disagreements around the implementation of Brexit. These divisions mean that instead of devoting time and effort to resolving wider social issues, politicians are instead focused on resolving the chaotic Brexit mess. The heated debates that take place in the House of Commons sometimes even lead to parliamentary sessions being suspended or inconclusive results.

Finally, the sense of Euro-scepticism held by certain members of Britain’s public has caused an increase in hostility towards immigrant communities. While this atmosphere of intolerance existed before, introducing Brexit only served to magnify these hateful views. Not only does this pose a serious threat to the security and safety of both EU citizens living in the UK as well as Britons residing abroad, it also sends a dangerous message to the people at large that xenophobia and bigotry are permissible.

The outcome of Brexit has evoked a variety of passionate responses in many people across the globe. Whether it’s a deep sadness at the severing of ties to Europe, fear of what this decision may bring, or excitement stemming from the promise of new opportunities, these emotions are very real and understandable. As a commentator and psychosocial researcher on issues such as these, it is my job to look beyond the emotions of the situation and to analyse it more critically.

I would argue that the Brexit vote was a rejection of the neoliberal status quo. The push for Brexit largely began with anti-immigration sentiment, but I think this is grounded in something much deeper than just fears over immigration. It reflects a growing sense of disenfranchisement among British citizens as their government has embraced neoliberal policies that have prioritized international capital over their own citizens’ needs and interests. Globalization has widened the gap between the wealthy elite and the rest of the population and Brexit was a visible reaction to that.

In this sense, Brexit serves as an example of two interrelated trends: the rapid rise of populism in politics and the challenges neoliberalism has come to face. The populist appeal of Britain’s Leave campaign represented a rejection of the idea of “experts” and the status quo — a demand for progressive change and reform. To some extent, this was a backlash against the extreme austerity measures implemented by conservative governments in the aftermath of the global financial crisis. This populist mobilisation exposed the disillusionment of working-class voters and showed their readiness to disrupt the neoliberal consensus established since the 1980s.

What is important to note here is that the leave vote was one not just of racism and xenophobia, but also of economics. By embracing a free-market approach to governance, the global economy has come to be dominated by multinational corporations and wealthy elites. Economic inequalities across Western societies have only further widened. How then can we as citizens begin to reclaim our collective power to shape our political and economic destinies?

Brexit may yet provide us with a glimmer of hope. It demonstrates the potential of ordinary individuals to engage in widespread protest movements and create meaningful social change. But ultimately, if the Brexit vote is the starting point for something greater — the ability to construct a more just form of neoliberalism — then it must serve as a call for us to reject the stasis of the status quo and commit ourselves to creating a more equitable and prosperous future.