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How Could Brexit Affect your Finances?

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Back in June 2016, Britain voted to end its membership of the European Union in a historic referendum that saw 52% of the British public vote to leave the EU. The initial reaction on the markets saw the pound go down substantially against the dollar and it caused rumbles through the stock market. But what could Brexit mean for your finances and how may you be affected once Britain leaves the EU?

While it can be difficult to accurately predict how our finances may be affected by Brexit, we can identify the key areas where we are likely to see changes, but as with all financial planning, your personal circumstances are unique and individual to you and the financial advice you seek should take your circumstances into consideration to ensure that the advice you receive is tailored to you.

At Castlegate, we provide independent financial advice in Lincoln and across the East Midlands, we work in partnership with our clients to ensure that we provide bespoke and unique financial advice to each and every client.

There are five key areas of your finances that could be affected by Brexit, including investments, pensions and mortgages, let’s take a look at each.


While the value of the state pension is currently protected by the triple lock, the chancellor has warned that the triple lock could come under pressure in the future post Brexit. It is also thought if a stock market crash were to hit as a result of Brexit, many private pensions could lose value – leaving those near retirement little time to rebuild their finances. Expats receiving pensions abroad may also lose out if an exchange rate upheaval took place post Brexit.

Mortgages and Property

It is forecasted that the property sales and values are likely to stall over the next few years off the back of the leave vote, and it is predicted that property values could fall £2,300 on average by 2018, with London homes falling by £7,500. While this could be good news for first time buyers, they will need to ensure their finances are in good order and that their income is secure to be able to obtain a mortgage. While the Government will try to keep interest rates low initially, they will inevitably rise to help control anticipated inflation, resulting in higher mortgage rates.

Household Bills

It is expected that every household will notice an increase in their bills following Brexit, from filling the car up with petrol to heating your home. This is due to oil prices being quoted in US dollars so fuel would cost more if the pound weakened, as gas and electricity prices are linked to the price of oil Brexit could lead to a rise in energy bills


It is expected that investments could be impacted in the short term by a volatile market following Brexit, but as we have seen in the past, markets bounce back and investments continue to thrive. For some, lower share prices may provide investment opportunities, although we would advise seeking the advice of an Independent Financial Adviser (IFA) before making any financial investments.


Higher interest rates in a post Brexit world could see millions of savers reaping the benefits, however any additional savings from higher interest rate would likely be dented by rises in other areas such as mortgage rates or household costs.

At Castlegate, a firm of Chartered Financial Planners, we offer independent financial advice in Lincoln and the surrounding areas and we can support you with all aspects of financial planning. Our team of experienced independent financial advisers can provide financial advice in Lincoln and across the East Midlands that is tailored and bespoke to you.

If you are looking for an independent financial advice in Lincoln or across the East Midlands with regards to Brexit and the effect it may have on your finances, please do not hesitate to get in touch to talk about the most appropriate investments products for your personal circumstances and financial objectives.

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