What Brexit means for San Diegans

Posted at 4:47 PM, Jun 24, 2016
and last updated 2016-06-24 22:00:57-04

The United Kingdom's decision to leave the European Union has many San Diegans wondering what that means for them.

The decision shook up the financial world, and San Diegans could see some impacts beyond a falling 401(k) and stock market.

RELATED | San Diego reacts to UK's decision to leave EU

A woman visiting San Diego from the UK realizes her country will look a lot different when she gets back.

"It's been a shock," Jayne Tooke said, in Balboa Park. "As a family, we thought it wouldn't happen."

But Tooke helped make it happen. Tooke is one of more than 17 million people who voted in favor of the Brexit - or the U.K. leaving the European Union. 

"The main point is the immigration issue," she said. "It just worries us because we're so tiny and we really haven't got room for any more people, and I think that's what pushed the vote to a yes."

"Any rise in uncertainty could cause the Federal Reserve to defer interest rate hikes," said Lynn Reaser, chief economist at Point Loma Nazarene University. A continued flight to safety would further depress long-term interest rates, including mortgage rates and assist the housing market."

But the lower interest rates is bad news for savers - their accounts still won't pay much.

The Brexit could also hit tourism, with the pound tumbling against the dollar. While trips to the U.K. will be more affordable, coming here will be more expensive for visitors like Tooke, said Alan Gin, economist at the University of San Diego. 

Tooke said she hopes in time it all settles down.

"We just hope things go well in the future and that you'll stay friends with us," she said. "We want your friendship from this country as well, and hopefully we'll go back to the U.K., as we were before."