In June 2016 the United Kingdom voted in a referendum to leave the European Union. You can hardly have missed the headlines about “Brexit” – Britain’s exit from the EU. The historic move stands to cause as-yet unknown consequences for finances and social policy in the UK and beyond.
But how does it affect your travel plans – what does Brexit mean for travelers ? Will it be easier or harder to travel around Europe and the UK? What will Brexit mean to the cost of your vacation?
What Happened?
The UK joined the EU in the beginning of the 1970s. It has not been an easy relationship since then, and after a recent spell of political pressure the UK voted to leave the organization of member states in June. Initially, global markets fell massively and many international travelers put their vacation and business travel plans on hold. What now?
While the complete effects of Brexit on financial markets and the Brexit effect on UK-Europe travel will not be known for many years, there are some things you can understand now to help make travel easier and more affordable in the UK and Europe.
Cost of Travel After Brexit
One of the main ways Brexit affects travel from US is the exchange rate between the dollar and the pound (the currency the UK still uses.) In the immediate aftermath of Brexit, the dollar was worth a lot more against the pound meaning that dollars go much further in the UK. The pound has strengthened since but it is still better value to travel to the UK from the US than the other way around – UK travelers have seen the amount of foreign currency their pound buys drop considerably.
It is too early to see how the price of vacations, flights, and travel in general will change following Brexit. Last year there were a flux of deals on Atlantic airfares that made it much cheaper to travel between the US and the UK. European travel between countries was relatively cheap with price advantages from budget European airlines like easyjet.
Will buying flights remain so affordable? Travel companies claim to be working to keep costs down, but it is worth looking widely into prices before booking a vacation or flight in the near future.
Cost of Post-Brexit Medical Care
Currently the European Health Insurance Card (EHIC) enables UK citizens to access reduced-cost or free medical treatment in other countries in the EU. While the benefits of the EHIC are lower than travel medical insurance, it is an advantage for UK travelers. The agreement will be negotiated and there may be a corresponding hike in medical costs for Brits. Any travelers in Europe from abroad should have travel medical insurance, as there is no free healthcare for non-UK citizens.
End of Free Movement Around Europe?
One of the benefits of the UK being in the EU was the ease with which UK citizens could travel and work in the countries within the European Union. But with the UK’s exit from the EU comes uncertainty about the future of travel across European borders.
One possible outcome of Brexit is that the UK could stay in the EEA – the European Economic Area – and by doing this could remain signed up to the “four freedoms” of the EU where people, capital, goods, and services can move freely within the area.
The UK could also take on the Swiss model. Switzerland is part of the European Free Trade Association and this organization has more limited scope than the EEA but still permits permit-free travel around Europe.
But in the absence of any kind of membership of the EEA or the European Free Trade Association, the UK would probably see its citizens needing a visa for business or vacation travel in other European countries. This outcome seems unlikely – the most probable final outcome will be that UK citizens will not need visas for vacation purposes in Europe but they will have to go through passport control when they enter a different country.
Citizens of other countries around the world still need visas for the UK and other European countries depending on their nationality – before travel all foreign visitors to the UK and Europe must check with local embassies for their visa status and what they need to do before they travel.