June 24,2016
- UK VOTES TO LEAVE THE EU -
- DAVID CAMERON TO RESIGN -
- US STOCK MARKET PLUNGES 610 POINTS -
London (CNN)The UK has
voted to leave the European Union
in a historic referendum that triggered the resignation of British
Prime Minister David Cameron and wreaked havoc on global markets.
There
was a mixture of jubilation and tearful disbelief in the UK as people
awoke Friday to the final verdict in the extremely close vote that
deeply divided the nation.
The
result plunged Europe into uncertainty, with calls for further
referendums from emboldened far-right groups who see it as a boost for
their anti-EU, anti-immigration policies.
It
also reverberated across financial markets, causing huge losses in
Asia, Europe and the United States as traders weighed the consequences
for the world's biggest economic zone.
Within
hours of Thursday's ballot outcome -- 51.89% in favor of leaving the
EU, with 48.11% against -- Cameron delivered an emotionally charged
statement outside the door of 10 Downing Street, announcing his
intention to stand down.
Cameron's successor?
He
said that "the British people have voted to leave the EU and their will
must be respected... the will of the British people is an instruction
which must be delivered."
"There can be no doubt about the result."
Cameron
gave no timetable for his departure, but said he wanted a new leader to
be in place by October when his Conservative Party holds its annual
conference.
He said the country
needed a pro-exit leader to steer it out of the EU, an organization it
has been a part of since 1973. That process could take at least two
years.
Boris Johnson, the former
mayor of London who campaigned for the UK's departure from the EU, is
tipped by bookmakers as Cameron's likely successor.
Johnson, who was greeted
by a booing crowd when
he left his home on Friday morning, thanked voters for their decision,
pledged that the UK would remain committed to Europe and urged unity.
"I
think the electorate have searched in their hearts and answered as
honestly as they can," he said. "They have decided to vote to take back
control from a European Union that has become too remote."
Former PM: UK will become painfully aware of costs of vote
Former
British Prime Minister Tony Blair told CNN's Wolf Blitzer Friday that
UK voters would learn over the next 24 months that leaving Europe would
not solve their economic troubles, ease their apprehensions or make
Britain more independent in a meaningful way.
"I
literally cannot think of a big decision that I was not able to take
because of Europe," Blair said. "There is so much anger at the moment
that the anger replaces the more rational answers."
Blair
noted that the United States was facing the same type of political
fracturing, brought on by economic turmoil, globalization and anger at
immigration.
"Getting out of
Europe is not the answer," he said, noting the UK sells half of its
goods and services to the EU. "We are going to have to negotiate
ourselves back into that market and it will be much more difficult than
these people understand."
Scottish independence?
In
Scotland, where support was overwhelmingly in favor of remaining in the
EU, Nicola Sturgeon, Scotland's First Minister and leader of the
dominant Scottish National Party, said the outcome threw into doubt the
future of her country's place in the UK. She said the Scottish
government will begin preparing legislation for a new independence
referendum if and when the Scottish Parliament decides it wants to hold
one. Scots voted down a bid for independence from the UK in 2014.
"Democratically
unacceptable," said Sturgeon in describing the fact that Scotland would
be pulled out of the European Union despite the majority of the
Scottish people voting to stay in.
Could it mean a hard border in Ireland, or one Ireland?
The
pro-independence Sinn Féin party in Northern Ireland also called for an
Irish unity referendum -- taking Northern Ireland out of the UK.
Sinn
Féin President Gerry Adams contends the vote in England and Wales could
portend tougher border rules -- with barriers and custom posts --
between Northern Ireland and the Republic of Ireland because it will be
the only land border between the EU and the UK.
Adams
says such a result would be unacceptable, especially since the majority
of Northern Ireland voted to remain in the EU, and could undermine the
cooperative relationships and that have developed between the two
Irelands since the Good Friday agreement.
Adams,
whose political party is dedicated to the reunification of Ireland,
suggests that Brexit might mean Northern Ireland and the republic should
look toward some sort of union, an outcome that likely would be opposed
by the Protestant majority in the north.
"My
issue is the north of Ireland is going to be dragged out of the EU on
the decision made by people on another island," Adams told CNN. "We're
calling for a poll, a referendum, on Irish unity, on the border. This
(the Brexit vote) has the potential to set back the good work that's
been done in terms of the peace process, building harmony, building
infrastructure."
'Dying' institution
As
European leaders faced their own crises, German Chancellor Angela
Merkel stressed the "need to make sure that European people feel that
the EU wants to improve all our lives."
She said she greatly regretted the UK's decision, but added: "The EU is strong enough to find the right answers today."
French President Francois Hollande called it a "painful choice which I deeply regret for the UK and Europe."
Italy's finance minister, Pier Carlo Padoan, warned of a domino effect amid calls for further exit votes.
Far-right
Dutch politician Geert Wilders congratulated the UK on its decision,
and called for a Dutch referendum on EU membership.
"We
want to be in charge of our own country, our own money, our own
borders, and our own immigration policy," he was quoted as saying in a
statement on his website.
Marine
Le Pen, who will next year run for the French presidency as leader of
France's National Front party, also congratulated the Brexit side.
Her
party has suggested that the French would also hold an "out" referendum
if she assumed the presidency. France is holding presidential elections
next year.
Passions continued to
run high in the UK in the hours after the vote, with pro-independence
UKIP party leader and Leave campaigner Nigel Farage declaring the EU a
"dying" institution.
"We've given
ourselves the chance to rejoin the world," he told journalists. "June
23rd needs to become a national bank holiday and we will call it
Independence Day."
NATO military alliance: Britain an integral part of European stability
NATO
Secretary General Jens Stoltenberg voiced reassurances that the United
Kingdom would remain a strong and committed NATO ally despite the vote.
"Today,
as we face more instability and uncertainty, NATO is more important
than ever as a platform for cooperation among European allies, and
between Europe and North America," said Stoltenberg. "A strong, united
and determined NATO remains an essential pillar of stability in a
turbulent world, and a key contributor to international peace and
security.
Voters react
The
referendum followed one of the most divisive political campaigns in
recent memory. Polls had consistently shown voters split down the
middle, with the outcome too close to call ahead of the referendum.
But
news of the decision sparked strong emotions, with those in favor and
those against reflecting on a campaign marred by allegations of lies,
distrust and hate.
"This is so sad," said
Daniel Trilling on Twitter. "Millions of people aren't going to feel any more in control of their lives or their country because of this vote."
"People vote on emotion," another Twitter user,
@cemanthe, posted. "This was won on false promises and emotive texts about immigration. Not on facts."
"I am SO happy this morning,"
wrote another, Gemma.
An
online petition calling for a second referendum gathered more than 120,000 signatures within hours of being posted.
Leading political figures gave mixed reactions.
Tony Blair, the former UK prime minister, called the decision a divided result.
"It's
going to be a complicated process but it's important to bring our
country together and stabilize our country," he told CNN's Becky
Anderson. "It's still a resilient country and it's a strong country."
Sadiq Khan, the mayor of largely pro-EU London said that the decision was a "clear message" and urged calm.
'Taking back control'
European Council President Donald Tusk said the decision was "historic, but not a moment for hysterical reactions.
U.S.
President Barack Obama has been briefed on the results and expects to
speak to Cameron later in the day, the White House said.
Donald
Trump, the presumptive Republican presidential nominee for the U.S.
presidential elections, hailed the UK's decision to "reassert control
over their own politics, borders and economy."
In
a news conference Friday as he attended the official opening of a
remodeled golf resort bearing his name in Turnberry, Scotland, Trump
called the decision of the voters "a great thing."
"They're
angry over borders, they're angry over people coming into the country
and taking over, nobody even knows who they are," he said. "They're
angry about many, many things. They took back control of their country."
UK
Independence Party leader Nigel Farage told CNN's Nima Elbagir that the
economic fears in the wake of the EU departure were overstated, and
that he expected an even better relationship with the United States. He
said the vote was a repudiation of bullying tactics by corporate and
political powers to keep the UK in the EU.
"We're
threatened by everybody that if we didn't stay part of this political
union, dreadful things would happen to us, and what happened were the
little people, the regular people, the ordinary people said, 'No, this
is wrong,'" Farage said. "When you really think about it, what we've
done isn't actually that radical... We want to be a democratic nation.
We want to make our own laws in our own parliament, have our own supreme
court, and control our own border. If you think about, there's now 183
countries around the world that have independence days. What we did
yesterday was become 184th."
Markets start freaking out
The effects of the vote outcome are already being felt in markets and economies around the world.
In
New York, the Dow tanked 500 points as trading opened. London's FTSE
index shed $164 billion of its value in the first 10 minutes of trading,
but regained ground later in the day.
The
pound at one point plunged more than 12% to below $1.34, its lowest
level since 1985. Japan's Nikkei tanked 6.7%, and Hong Kong's main index
dropped 3.7%.
Bank of England
Governor Mark Carney said that the body is "well prepared" and "won't
hesitate" to take additional measures as markets adjust.
The "UK financial system is resilient," he added.