Reports: Bank of England chief warns of no-deal Brexit chaos

Associated Press |

LONDON (AP) — The Bank of England governor has warned senior government ministers of the severe economic problems that would be created if Britain leaves the European Union without a deal on future relations.

Multiple British press outlets reported Friday that Mark Carney told senior cabinet ministers that a no-deal Brexit would cause house values to plummet by as much as 35 percent because of rising mortgage rates. He warned the pound would plunge and there'd be an increase in inflation and interest rates.

These would be some of the costs of a worst-case scenario no-deal Brexit as outlined by Carney in the closed-door briefing Thursday.

The Bank of England declined to comment.

Britain is scheduled to leave the EU in March and there are concerns about the slow pace of the talks.

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