This is what could happen if a no deal Brexit is reached

Recently, British Prime Minister Boris Johnson warned that there is now a very likely possibility for the UK and the EU to part ways on December 31 without a trade deal in place.

So, what would this entail exactly?

Firstly, this would mean that prices would go up for the goods that we buy and sell from and to the EU, affecting, for example, food products. The UK and EU would henceforth be trading on World Trade Organization terms which are basic rules for countries that do not have trade deals. As a result, this would mean that the EU would impose taxes on goods that come from the UK. The average being of about 2.8% for non-agricultural products, but 10% for cars and a staggering 35% for dairy products.

Other consequences could also affect the fishing industry, the supply of medicines, health care and education as well.

What has already been decided?

Whether or not a deal can be agreed upon, the following is a list of things that will definitely be changing in the new year:

Travelling within Europe will mean that your passport will have to be valid for at least six months and will force you to wait at a different queue at the border

Duty free shopping will be back and there will be a cap on the amount of alcohol and tobacco that can be brought into the UK from the EU without paying extra duty.

The right to live and work in the EU will no longer be as easy as it once was for UK nationals, unless they have already been living in an EU country by the end of 2020.

New immigration laws will come into play that will involve a points-based system to obtain work permits.

Trading with with the EU for UK companies will require customs declarations, certifications, licences and special labelling for certain foods, plants and live animals.

Though no final decision has been made, the possibility of coming to an agreement later in 2021 could still happen even if it could take a couple of months into the new year.