UK transition out of EU would be hard

The UK has voted to leave the European Union, but the strenuous exit process could take years. Brussels wants an immediate start to it, while London insists it is a new Prime Minister who will negotiate with the EU in October.
London’s position doesn’t augur well with sullen Brussels, apparently annoyed by UK’s unprecedented decision to leave the bloc. European Commission chief Jean-Claude Juncker has said Britain’s planned departure from the European Union was “not an amicable divorce” but called for it to be quick. “I do not understand why the British government needs until October to decide whether to send the divorce letter to Brussels,” he pointed out.
The EU’s leadership has demanded Britain activate Article 50 exit talks “as soon as possible” as they attempt to end the uncertainty over the bloc, “however painful that process may be”. The bloc is ready to launch negotiations swiftly with the UK regarding the terms and conditions of its withdrawal from the European Union.
But British Prime Minister David Cameron, who led the campaign to remain in the EU, is unlikely to invoke Article 50 of the Lisbon Treaty, which ignites the legal process for leaving the bloc. “The British people have made the very clear decision to take a different path and as such I think the country requires fresh leadership to take it in this direction,” he said. “I do not think it would be right for me to be the captain that steers our country to its next destination.”
Logic is Cameron cannot do that. He believes a new leader who supports exit would be on a moral high ground to negotiate with Brussels.
Once Article 50 is invoked, a series of negotiations would begin about how to disentangle the UK from the many EU structures to which it is a party. The process could take two years or more, if both the UK and the European Council agree to extend the discussion period.
Triggering Article 50, formally notifying the intention to withdraw, starts a two-year clock running. After that, the Treaties that govern membership no longer apply to Britain. The terms of exit will be negotiated between Britain’s 27 counterparts, and each will have a veto over the conditions. It will also be subject to ratification in national parliaments. Two vast negotiating teams will be created. The EU side is likely to be headed by one of the current Commissioners.
The divorce may look easy, but agreeing on a new trading relationship, establishing what tariffs and other barriers to entry are permitted, and on obligations such as free movement would be harder. Such a process, EU leaders claim, could take another five years.
The referendum result has immediate and dramatic impact on the global markets. The value of the pound has also been hit hard on the foreign exchange markets, tumbling to lows not seen since 1985. At one stage, it hit $1.3305, a fall of more than 10%, although it too slightly recovered to close down 9% at £1.36.
It goes without saying that the Brexit would precipitate EU reform case to avoid a domino effect, silence the right parties, and speed up talks with London. Brexit should give enough reason to the EU to do a rethink on its policies. Rather than
feeling bitter about the split, it should help UK towards a smooth transition.