The £50bn Brexit bill isn’t such a terrible deal – especially if we pay via QE | Phil McDuff

Against the 435bn Britain already owes itself as a result of printing money, a sum this size shouldn't be an issue - but the government has made it one

The UK government's crack negotiating team, after much bluster, has finally agreed to pay our EU "divorce bill". It was never in doubt, really. The hard talk has always failed to comprehend that you can't "just walk away" from a contract you've already signed.

Sums such as 50bn sound huge, but it's always a good idea to look at big-sounding numbers in context. For a whole economy to spend as a one-off capital investment in order to preserve access to some key international institutions, it isn't such a terrible deal. Over 10 years, that's just 0.25% of GDP per year, which is significantly less than the potential impact a badly negotiated Brexit deal would have on the economy.

What is the EU withdrawal bill?

Related: Brexit divorce bill: how much is it and what is it for?

Related: Quantitative easing is a costly habit we should have kicked long ago | Larry Elliott

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