Brexit will not be working, say small companies
9 of out ten small companies say the present Brexit deal will not be working for them, in line with the British Chambers of Commerce.
Almost 80 per cent of companies (77 per cent) that commerce beneath the Commerce and Cooperation Settlement (TCA) say it isn’t serving to them enhance gross sales or develop their enterprise.
Greater than half (56 per cent) of companies face difficulties adapting to the brand new guidelines for buying and selling items with the EU.
>See additionally: One 12 months on, Brexit deal will get large thumbs-down
Nearly half (45 per cent) are having problem adapting to the brand new guidelines for buying and selling companies, and an analogous quantity (44 per cent) report difficulties acquiring visas for workers.
The BCC surveyed 1,168 companies for its Brexit report, 92 per cent have been small and medium-sized companies.
Shevaun Haviland, director normal of the BCC, mentioned: “With a recession looming we should take away the shackles holding again our exporters to allow them to play their half within the UK’s financial restoration.
“Companies really feel they’re banging their heads towards a brick wall as nothing has been carried out to assist them, nearly two years after the TCA was first agreed. The longer the present issues go unchecked, the extra EU merchants go elsewhere, and the extra injury is completed.”
Evaluation by Aston Business School means that exports to the EU are 26 per cent decrease than they might have been with out the non-tariff boundaries imposed by the TCA. There was a pointy fall within the varieties of products traded, which have dropped from 70,000 to 42,000 because the new guidelines got here into impact.
>See additionally: Prime 5 ideas for SME exporters in a post-Brexit world
The BCC has submitted 24 suggestions to the Authorities about how the present TCA may very well be improved proper now earlier than its five-yearly evaluate in 2026.
- Create a supplementary cope with the EU which both eliminates or reduces the complexity of exporting meals for SMEs
- Set up a supplementary deal, like Norway’s, which exempts smaller companies from the requirement to have a fiscal consultant for VAT within the EU
- Enable CE marked items and parts to proceed for use in Nice Britain after 2024
- Make aspect offers with the EU and member states to permit UK companies to journey for longer and work in Europe
- Attain an settlement on the way forward for the Protocol on Eire/Northern Eire with the European Fee within the early months of 2023, to stabilise our buying and selling relationship