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Brexit: How are businesses faring?

Whilst the jury is still out about how Britain-of-the-future will look after March 2019, but still, the headlines continue to tell us of companies that have been blighted by Brexit.

Jaguar Land Rover, Ford, Barclays and Airbus are just a few of the companies that have spoken out to say how they will be adversely affected. Plus, companies like Sony, Dyson and Chanel have announced their plans to move abroad. But, what does it truly mean for the British economy?

According to a recent survey by the Institute of Directors, 16% of the 1,200 business leaders surveyed, said they already had relocation plans in place. A further 13% had started planning – and small firms were almost twice as likely to be actively considering a move. The main reasons cited are due to costs associated with tariffs, as well as the difficultly of freedom of trade and people movement.

There could, however, be other factors at play here. Some companies have cited Brexit when cutting jobs – but it could merely be a contributing factor. Changes in the motor industry, such as the shift away from expensive, polluting diesel cars and overall slowing demand has also had a part to play in the decline of businesses like Jaguar Land Rover and Ford.

Plus, on the surface, Brexit is yet to have much impact at all. Employment is at an all-time high and it is not yet clear as to how those jobs moving abroad will actually be at the expense of those over here. Again, these are yet to be determined by the future of Brexit.

It is impossible to tell how jobs, output and investment have truly been affected – nor is it possible to look into the future to find out what will happen. What is clear is that businesses are under unprecedented pressure.

If you would like to speak to someone about how Brexit may affect your business, whether it is staffing or opening a business Downs Solicitors can help. Contact us for more information.

Posted on 05/02/2019 by Julian Harvey

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