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Will Brexit Have A Negative Impact On Your Business?

12th May 2016

brexit

 

Who really knows? Brexit is a very popular word at the moment. There’s just over a month to go until the EU Referendum where it seems the country is divided on their opinion on what we should do. Of course it’s very complicated and no-one actually knows if staying in or opting out is the right option but there are plenty of opinions about it that’s for sure.

Brexit Is The Wrong Option For The Motor Manufacturers & Traders

According to a survey members of the SMMT (The Society of Motor Manufacturers & Traders) are of the opinion remaining in Europe is best for their businesses.

The survey showed that a massive 88% of large motor industry businesses think that Brexit is the wrong option. 73% of smaller and medium sized enterprises wanted to stay. 77% of the industry as a whole think that Europe is best for business.

In contrast 9% of the survey contributors thought an exit from the EU would benefit business. 14% were unsure which shows that there is a lot of uncertainty on the whole Brexit topic.

Some of the main factors for staying in the EU were noted as the importance of economic and market stability, securing the UK’s global competitiveness, and access to the single market’s free trade opportunities.

Here are a couple of the potential effects that Brexit would have on the automotive industry according to Business Car Manager 

– The import of cars manufactured in Europe could be more costly and time-intensive

– British vehicle exporters may find it more difficult to sell to EU consumers which could increase the price of vehicles manufactured in the UK

We don’t know what effects any of the outcomes will have on the company car hire or leasing market but if car prices increase it is bound to eventually increase the cost of these services which will obviously have an impact on business costs.

Each different industry will have it’s own pro’s and con’s for what they think the best outcome will be in the EU Referendum but regardless of the result there are bound to be knock on effects across all businesses in the UK, positive or negative.

When you type into Google ‘Brexit effect’s on’ the suggestions that follow include pound, euro, house prices, business, financial services, farming which indicates that’s the kind of things people are worried about.

We’re sure in the coming weeks the arguments for and against will continue as 23rd June approaches and we will be keeping a close eye on those arguments for us all to make an informed vote when the time comes.

 

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