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Reality Check team
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Chris Morris considers new figures suggesting £2bn will be spent on staff to make Brexit happen.
BBC Reality Check
The OBR estimate that the Brexit financial settlement (or ‘divorce bill’) will be £37.1bn falls right in the middle of the £35bn-£39bn range presented by the Treasury in December.
Most of the money will be paid out in the first five years after Brexit, but the OBR forecasts that smaller payments will have to be made until at least 2064.
The OBR emphasises that there are numerous uncertainties surrounding any estimate of the size of the bill.
It will have to be paid in euros, so the exchange rate is a significant factor.
It also depends on assumptions of how long pension liabilities will last, and of the percentage of proposed EU spending projects that may be cancelled in the future.
Finally, the estimate assumes that a transition period after Brexit ends on December 31st 2020, which coincides with the end of the EU’s current seven-year budget period.
If the transition were to be extended, the EU would be looking for further financial contributions from the UK.
BBC Reality Check
The Office for Budget Responsibility has estimated that the UK’s financial settlement with the European Union, which will form part of a Brexit withdrawal agreement, will cost £37.1bn.
The government had previously said the financial settlement, often dubbed the ‘divorce bill’, would cost between £35bn and £39bn.
Most of the money will have to be paid in the first five years after Brexit, but small amounts will have to be paid for decades to come.
Working out a final figure for the financial settlement is based on a series of assumptions – such as the amount that will have to be spent on pensions in the future, and the percentage of proposed EU spending projects that could be cancelled in the future.
New figures from the Institute for Government suggest £2bn will be spent on staff to make Brexit happen as Chris Morris explains.