UPSC Prelims Practice Questions — Ten years and 7 PMs later, did Brexit make a difference?

Q1. The United Kingdom's formal notification in 2017 of its intention to leave the European Union, which opened a two-year negotiating window, was made under a provision of which one of the following treaties?

  • A. The Treaty of Maastricht, 1992, which established the European Union and its three-pillar structure
  • B. The Lisbon Treaty, 2007, which took effect in December 2009 after ratification by all member states
  • C. The Treaty of Nice, 2001, which reweighted Council votes ahead of eastward enlargement
  • D. The Single European Act, 1986, which set the timetable for completing the internal market

Q2. In the context of the United Kingdom's departure from the European Union, the 'transition period' that ended on 31 December 2020 is best described as which one of the following?

  • A. The interval after the UK had legally ceased to be a member, during which it continued to apply EU rules while the future relationship was negotiated
  • B. The interval after notification of withdrawal, during which the UK remained a full member retaining its Council votes and Commission seat
  • C. The interval after the UK had legally ceased to be a member, during which it retained its seats in EU institutions but was exempt from EU rules
  • D. The interval after the new trading regime began, during which customs and border formalities were phased in gradually for traders

Q3. Which one of the following correctly describes how the United Kingdom's change of government in July 2024 came about?

  • A. Keir Starmer became Prime Minister after Labour won an early general election called by Rishi Sunak, ending fourteen years of Conservative rule
  • B. Keir Starmer became Prime Minister after Labour won an early general election called by Liz Truss following the collapse of her fiscal package
  • C. Keir Starmer became Prime Minister after being elected leader by Labour members when Rishi Sunak resigned mid-term without an election
  • D. Keir Starmer became Prime Minister after a Conservative-led coalition lost a confidence vote in the House of Commons over the Brexit reset

Q4. Consider the following statements comparing British Prime Ministers of the post-referendum decade: 1. It was Theresa May, and not her successor, who formally notified the European Union in 2017 of the United Kingdom's intention to withdraw. 2. Boris Johnson was in office when the United Kingdom legally ceased to be a member of the European Union. 3. Liz Truss's tenure, the shortest in British history, was terminated by her party's defeat in a general election. Which of the statements given above is/are correct?

  1. It was Theresa May, and not her successor, who formally notified the European Union in 2017 of the United Kingdom's intention to withdraw.
  2. Boris Johnson was in office when the United Kingdom legally ceased to be a member of the European Union.
  3. Liz Truss's tenure, the shortest in British history, was terminated by her party's defeat in a general election.
  • A. 1 and 2 only
  • B. 1 and 3 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q5. In the ten-year retrospective estimates of Brexit's effect on the United Kingdom measured against a remain counterfactual, which one of the following variables carries the largest estimated proportionate reduction?

  • A. Gross domestic product, placed by the most widely cited study at up to 8 per cent below counterfactual
  • B. Business investment, placed by the same body of estimates at 12 to 13 per cent below counterfactual
  • C. Labour productivity, placed at 3 to 4 per cent below counterfactual across the decade
  • D. Long-run productivity, placed by the fiscal watchdog at 4 per cent below counterfactual

Q6. The judgement that Brexit will reduce the United Kingdom's long-run productivity by about 4 per cent is attributed to which one of the following bodies?

  • A. The Monetary Policy Committee of the Bank of England, in its periodic inflation and supply-capacity assessments
  • B. The Organisation for Economic Co-operation and Development, in its Economic Survey of the United Kingdom
  • C. The Office for Budget Responsibility, the country's independent fiscal watchdog
  • D. The International Monetary Fund, in its Article IV consultation staff report on the United Kingdom

Q7. Since the new United Kingdom-European Union trading regime took effect, which one of the following categories of British exports to the European Union has been reported as suffering the sharpest proportionate decline?

  • A. Agricultural and food products, subject to health certification and physical border checks
  • B. Motor vehicles and automotive components, subject to rules-of-origin content thresholds
  • C. Pharmaceutical and chemical products, subject to separate regulatory registration regimes
  • D. Financial and professional services, operating without single-market passporting rights

Q8. With reference to the trading arrangements governing United Kingdom-European Union goods trade since 2021, consider the following: 1. Tariffs and quotas remain at zero for goods that comply with the applicable rules of origin. 2. Customs formalities apply at the border, and consignments of animal and plant products require accompanying health certification. 3. British exporters are required to self-certify the origin of goods sent to the European Union. 4. Under the Windsor Framework, goods entering Northern Ireland were placed wholly outside European Union single-market rules on goods. Which of the statements given above is/are correct?

  1. Tariffs and quotas remain at zero for goods that comply with the applicable rules of origin.
  2. Customs formalities apply at the border, and consignments of animal and plant products require accompanying health certification.
  3. British exporters are required to self-certify the origin of goods sent to the European Union.
  4. Under the Windsor Framework, goods entering Northern Ireland were placed wholly outside European Union single-market rules on goods.
  • A. 1 and 3 only
  • B. 2 and 4 only
  • C. 1, 2 and 3 only
  • D. 1, 2, 3 and 4

Q9. With reference to the 2026 assessments of the United Kingdom economy by the International Monetary Fund and the Organisation for Economic Co-operation and Development, consider the following: 1. The OECD projects growth slowing to 0.9 per cent in 2026 from 1.4 per cent in 2025, before recovering modestly in 2027. 2. The OECD finds business investment still below its pre-Brexit level, limiting the growth of capital per worker. 3. The IMF identifies planning, skills, innovation, trade diversification and energy security as the areas covered by the structural reform agenda. 4. The IMF's 2026 Article IV mission revised the United Kingdom's growth forecast for the year downward from 1.0 to 0.8 per cent relative to its April projection. Which of the above is/are correctly identified?

  1. The OECD projects growth slowing to 0.9 per cent in 2026 from 1.4 per cent in 2025, before recovering modestly in 2027.
  2. The OECD finds business investment still below its pre-Brexit level, limiting the growth of capital per worker.
  3. The IMF identifies planning, skills, innovation, trade diversification and energy security as the areas covered by the structural reform agenda.
  4. The IMF's 2026 Article IV mission revised the United Kingdom's growth forecast for the year downward from 1.0 to 0.8 per cent relative to its April projection.
  • A. 1 and 3 only
  • B. 2 and 4 only
  • C. 1, 2 and 3 only
  • D. 1, 2, 3 and 4

Q10. United States tariffs on British car imports were reduced from 27.5 per cent to 10 per cent, applicable within an annual quota, under which one of the following arrangements?

  • A. The post-Brexit reset agreement concluded between the United Kingdom and the European Union in 2025
  • B. The Economic Prosperity Deal concluded between the United Kingdom and the United States in 2025
  • C. The Comprehensive Economic and Trade Agreement concluded between the United Kingdom and India
  • D. The United Kingdom's accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership

Q11. Which one of the following statements about the Lisbon Treaty is correct?

  • A. Signed in 1992 and in force from 1993, it was the first instrument to create a permanent presidency of the European Council
  • B. Signed in 2007 and in force from 2009, it introduced the single currency along with the convergence criteria for its adoption
  • C. Signed in 2007 and in force from 2009, it introduced an express treaty provision enabling a member state to withdraw from the Union
  • D. Signed in 2001 and in force from 2003, it created the office of High Representative and consolidated external representation

Q12. The Double Contribution Convention that entered into force alongside the India-United Kingdom Comprehensive Economic and Trade Agreement provides for which one of the following?

  • A. Exemption of Indian workers on temporary assignment and their employers from United Kingdom social security contributions for assignments of up to sixty months
  • B. Exemption of Indian workers on temporary assignment from United Kingdom income tax for the first thirty-six months, with contributions continuing to be payable
  • C. Refund with interest of United Kingdom social security contributions already paid, claimable by Indian workers on completion of their assignment and return
  • D. Exemption of Indian workers on temporary assignment from social security contributions in both countries for the entire duration of the assignment abroad