As of January, the transition period for the UK leaving the EU has ended. So, attention turns to how businesses will respond to change. There is a lot going on at the moment, but it is essential to understand how Brexit affects your business.
What industries does Brexit affect?
Brexit affects every industry due to:
– the potential economic impacts (reduced investment and recession)
– manpower issues (migrated workforces and skilled worker shortages)
Still, some industries will be impacted more than others – such as financial services. But it is those that trade internationally that will see the greatest change. Businesses with continental European suppliers or customers will be impacted. Trade with non-EU countries will be affected as they lose access to the EU’s current free trade arrangements, as well as any customs blockages.
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What key issues does Brexit cause for businesses?
How Brexit affects business will be different across the board. Every organisation will face different challenges, but there are some key challenges that we all need to address. We have identified some of these key issues and linked useful resources below.
- Supply Chain
Brexit brings a real risk of increased costs and delays to supply chains
- Customs/Border Tariffs
It’s crucial that importers and exporters understand the potential customs implications for their businesses
While much of British employment law derives from Europe, some areas are solely UK provisions
The impact of Brexit on regulation could be huge. In many areas, the UK works to European-wide standards. It is likely that UK regulation will continue to comply with those standards (but with no ability to shape the policy behind them)
- Economic Challenges
All parts of the economy are likely to feel the effects of Brexit. It remains to be seen how this will play out
- Intellectual Property (IP)
Leaving the EU means changes to IP law in the UK. Businesses need to know how this will impact them. This will impact patents, trademarks, designs, trade secrets and copyright
What opportunities might leaving the EU offer to UK businesses?
Brexit has been seen as a risk since it was first introduced, particularly to businesses. But it will bring new opportunities for those who wish to capitalise on them. The volatility of currency will favour some businesses and new trading relationships will need to be explored.
What are the legal implications of Brexit?
During the process of the UK breaking away from the EU, there will be challenges – particularly in untangling its regulatory framework. In a more immediate sense, Brexit affects businesses immediately by changing how the law is approached. The process requires that we change applicable EU law into UK law. Courts will need to consider whether they use decisions made in the European Court of Justice as points of reference.
These changes to the UK’s legal framework could present difficulties for businesses. You will need to establish how these changes impact your operation. This may include elements such as contracts and employment. It is crucial that decision-makers have access to expertise in relevant areas. This ensures that they are managing risks and are aware of potential opportunities.
How can Pink Affinity help?
Our team are experienced in regulation changes and business planning. Business owners need to move past the uncertainty. They need to move forward with investment decisions, planning supply chains, managing workforces and meeting bank and customer expectations. Our team can support you during this process.
Pink is helping clients navigate this period of change and plan for the future with expertise across a range of issues. We provide advice on strategic planning, managing transactions and support with payroll. Get in touch with our team today to learn how we can help your business now.