The United Kingdom's vote to leave the European Union will force the country to redraw some 43-year old trade negotiations. According to former U.S. Commerce Secretary Carlos Gutierrez, the U.K. needs to act soon to stem the bleeding.
"They need to scramble because their economy is going to be in deep trouble," Gutierrez told CNBC's "Squawk on the Street" Monday. "The one thing that is certain here is that the U.K. economy is going to go into a dive and it's going to happen very quickly."
The United Kingdom, as a part of the European Union had access to the single market, which guarantees the free movement of goods and services between the 28 members. The U.K. will need to start campaigning for free trade deals to make up for the loss, Gutierrez said.
"They're going to lose that preferential treatment," Gutierrez said. "They've got to get moving quickly they have to start making it attractive to invest in the U.K."
Fifty percent of the United Kingdom's exports go to the rest of continental Europe, he said. A Brexit vote means the loss of this preferential treatment for half of their current exports.