Brexit: depending on your political stance, it’s a word that can have you nodding your head in approval or running
for the hills. If you’re a business owner though, the situation is a little more complex.
Following Theresa May’s formal declaration of the UK’s intention to depart the EU, many business owners find themselves nervously refreshing the mI ajor news websites for information on how Brexit will impact their livelihoods.
Depending on the sources you refer to, you’ll get a very different picture of the future, but the following guide gives a rough outline of what to expect.
Employees from the EU
Around three million non-UK EU citizens are currently living in the UK – 80% of whom are in work. Currently, it’s not clear how the status of these people will be affected after Brexit has been finalised; however, it may be that many European employees are given no choice but to return home.
Going forward, EU citizens coming into the UK for the first time are unlikely to enjoy the same employment rights. In fact, Minister for Immigration Robert Goodwill suggested back in January that employers may have to pay a fee of £1,000 per year for every skilled EU worker they hire after Brexit.
Foreign Investment
According to a recent survey by KPMG, the UK has become "a less attractive place to do business" following the Brexit vote. Non-UK companies now rank the UK behind four other nations when it comes to tax competitiveness, and the potential for foreign investment.
These companies appear spooked by the threatened loss of access to the single market. Without this access, UK companies will, for instance, face border inspections when bringing goods in and out of the country – and in an age when time equals money, that’s a huge deal for foreign investors.
The Economy
Before the Brexit vote passed, David Cameron warned that leaving the EU would lead to an economic crisis, causing house prices to fall and unemployment to rise. While we have seen a decline in the value of the pound, the UK economy still grew 1.8% in 2016, and unemployment currently stands at an 11-year low.
Ultimately, it’s hard to say how much the economy will be affected, but businesses that rely on borrowing should proceed with caution, preparing themselves for rising inflation and higher interest rates
.
But It’s Not All Doom and Gloom...
Reading the above may have you breaking out in a cold sweat, but there’s no need to panic. After all, a well-run business is one that can adapt to change and adversity, and learn how to turn challenges into opportunities.
If you own a business and you’re concerned about the coming changes, let Graphite Business Management carry some of the burden. We offer Business Coach and Mentoring services to SME, Plc, public and private sector clients across the UK, and pride ourselves on our tailored, practical solutions.
Following Theresa May’s formal declaration of the UK’s intention to depart the EU, many business owners find themselves nervously refreshing the mI ajor news websites for information on how Brexit will impact their livelihoods.
Depending on the sources you refer to, you’ll get a very different picture of the future, but the following guide gives a rough outline of what to expect.
Employees from the EU
Around three million non-UK EU citizens are currently living in the UK – 80% of whom are in work. Currently, it’s not clear how the status of these people will be affected after Brexit has been finalised; however, it may be that many European employees are given no choice but to return home.
Going forward, EU citizens coming into the UK for the first time are unlikely to enjoy the same employment rights. In fact, Minister for Immigration Robert Goodwill suggested back in January that employers may have to pay a fee of £1,000 per year for every skilled EU worker they hire after Brexit.
Foreign Investment
According to a recent survey by KPMG, the UK has become "a less attractive place to do business" following the Brexit vote. Non-UK companies now rank the UK behind four other nations when it comes to tax competitiveness, and the potential for foreign investment.
These companies appear spooked by the threatened loss of access to the single market. Without this access, UK companies will, for instance, face border inspections when bringing goods in and out of the country – and in an age when time equals money, that’s a huge deal for foreign investors.
The Economy
Before the Brexit vote passed, David Cameron warned that leaving the EU would lead to an economic crisis, causing house prices to fall and unemployment to rise. While we have seen a decline in the value of the pound, the UK economy still grew 1.8% in 2016, and unemployment currently stands at an 11-year low.
Ultimately, it’s hard to say how much the economy will be affected, but businesses that rely on borrowing should proceed with caution, preparing themselves for rising inflation and higher interest rates
.
But It’s Not All Doom and Gloom...
Reading the above may have you breaking out in a cold sweat, but there’s no need to panic. After all, a well-run business is one that can adapt to change and adversity, and learn how to turn challenges into opportunities.
If you own a business and you’re concerned about the coming changes, let Graphite Business Management carry some of the burden. We offer Business Coach and Mentoring services to SME, Plc, public and private sector clients across the UK, and pride ourselves on our tailored, practical solutions.
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Over the next two years, we can help guide your business through the rocky terrain of Brexit Britain, building
proactive solutions to any employment, funding or investment challenges you may be facing.
Find out more about what Graphite Business Management can offer by getting in touch today. Rosia Bay
Find out more about what Graphite Business Management can offer by getting in touch today. Rosia Bay
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