22 Feb How Brexit Affects Businesses: Surprising Benefits and Drawbacks
How Brexit affects businesses is clearly still evolving. The new rules and regulations that have arisen in the wake of Brexit undoubtedly bring disruptions for UK businesses. But, as changes are implemented, we’re starting to see what the future landscape looks like, along with the benefits and drawbacks that might surface.
While some of these impacts are expected, for example changes to import and export paperwork or shipping delays, others may come as a surprise.
The good news is that not everyone will need a visa to travel to the EU, Switzerland, Norway, Iceland, or Lichtenstein. If you plan on staying for less than 90 days in a 180 day period, you may be able to do simple things without a permit.
However, the UK government website advises that you might need some form of documentation if you’re planning on doing any of the following:
- Transferring from the UK branch of a company to a branch in a different country.
- Carrying out contracts in a country where your employer has no presence.
- Providing services in another country as a self-employed person.
For more information on how Brexit affects businesses in terms of travel, please see the advice published on the Gov.uk website page.
Businesses with .eu URLs won’t be able to keep their domain names unless the owner is an EU/EAA citizen or resident, or an EU-based business. According to Forbes, 81,000 .eu domains have been suspended as a result.
More Jobs For Certain Sectors
The Financial Times recently reported on one surprising way Brexit affects businesses involved in shipping in the North West. Liverpool is one of the UK’s most prominent shipping hubs.
In recent months, certain port operators have seen significant increases in traffic as businesses use the port to avoid congestion at other channel crossing points. Stephen Carr, the commercial director of Peel Ports, told the Financial Times that his company was at 80-90% capacity and is hiring 150 new dock workers.
Music Industry Concerns
In January, over 100 well-known artists and creatives signed a letter protesting current regulations on touring in the EU. At the moment, new Brexit rules mean work visas are needed, which critics say will make touring impossible for some bands. This could impact not only the bands themselves but the wider music industry.
Long-Term Growth From Emerging Economies
How Brexit affects businesses in the long run is still emerging. However, Foreign Secretary Dominic Raab says that future benefits will be seen in trade deals with emerging economies.
He told the BBC that a “ten-year view” shows that future deals with areas such as the Indo-Pacific will be done in a Britain-friendly way. This, he says, will be beneficial for “jobs, livelihoods..[and] start-ups that want to scale up”.
For more industry insights, have a look at our news section.
Please note this article is not intended as advice. For more information see the UK government’s Brexit transition website or contact a legal or financial representative.