Brexit

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First, international banks are likely to move staff out of London and do less business in the UK. Long before the vote, rival financial centers like Paris began campaigns to woo those bankers. JPMorgan chief Jamie Dimon told an audience of bank employees in Bournemouth, one of many regional financial centers in the UK, that as many as 4,000 jobs may be affected by a Brexit before the vote. He then sent a memo to staff after the vote, saying that the bank may need to make changes to its European legal-entity structure and the location of some roles. And Jes Staley, CEO of Barclays, sought to reassure foreign nationals working for the bank in the UK after the vote, but had to admit that he doesn't know what will happen.

Brexit is going to fundamentally change banking - Business Insider

It isn't just a question of whether staff move from London to another financial center, either. New jobs are less likely to be created in London.  M&G Investments, the fund arm of insurer Prudential, is looking at expanding its operations in Dublin, according to Reuters. The proposed merger between the London Stock Exchange and Deutsche Borse, which would have seen the combined group based in London, now looks to be on shaky ground. Germany's financial regulator has also said that London will no longer be the center of euro-denominated trading. All of this adds up to a significant blow to London's standing as a financial center and to the UK economy.

Banks get ready to move staff from London - Business Insider

“You lied,” Juncker told Farage as he listed the reasons why he thought British voters were misled during the referendum campaign, including the claim that the U.K. could strengthen control of its borders, when it has never been in Europe’s frontier-free Schengen zone anyway. “Why are you here?” Juncker asked Farage, who like his fellow British members of the EU Parliament, will lose his job when the U.K. leaves. “You’re never coming back.”

Triumphant Farage Crows to EU as Juncker Tells Him He’s a Liar - Bloomberg

A decline in a currency’s value typically benefits an economy by making goods and services produced within it more competitive on the global market. But for the U.K., it could be too much of a good thing. These benefits take time to materialize—companies can’t ramp up exports overnight. And the U.K.’s overreliance on foreign money means that the drop in the pound could drag its economy into a recession in the coming quarters, long before the benefits can be seen, said Carl Weinberg, chief economist at High Frequency Economics.

Here’s how the weak pound could wreck the U.K.’s economy - MarketWatch