After Labour party leader warned against Brexit saying that UK is better off in the reformed union, London School of Economics is the latest to warn on Brexit.

According to the School’s research, Brexit would hurt FDI to UK. It predicts that slow will get reduced by at least 20%, which would finally lead to additional cost for British households, over £2,000 per annum. Impact of lower FDI is likely to have much greater impact on national income than that of trade. Moreover a status quo in trade deal, even an FTA may not change the FDI drop.

They cited access to single market as the key reason. While London has its regulatory advantages but they may not count much if UK lose access to the single market.

The vast majority of economists believe that membership of the European Union benefits Britain’s economy, and the paper is the latest attempt to put a number on the likely costs of exit. As per LSE’s conservative estimates, investment decline could suffer for a decade and get reduced by 22%.

Leave campaigners however discard the claims saying that these research and assumptions are not taking into account the regulatory improvements.

Pound on the other hand is relatively firm, riding on weaker Dollar, trading at 1.418 against Dollar.