In the light of recent events, IMA encourages businesses to keep London and the UK on the list of best places where you can live, work and from where you can build a global presence. Medical Device companies will be happy to know that the BREXIT vote does not have an impact on the way in which the NHS operates. The National Health Service remains the best healthcare system in the world, as rated by an international panel of experts, and it will continue to be the Gold Standard and an immutable point of reference.
Below you can find answers to some of the questions that might be of interest to you.
Q: What impact will this vote have on trading with other European countries?
A: The UK retains full access to the European Single Market whilst it is a member of the EU and during the negotiation to exit. Leading figures from all sides of the debate in the UK say retaining access to the single market is the key objective of any BREXIT negotiation.
Q: Should I now consider other European cities for my investment?
A: The fundamentals of the UK proposition remain strong and we will provide you tailored information around your business drivers to underline those strengths. We will help you contrast and compare other offers in Europe, but we remain confident that the UK retains its status as the best place in Europe un which to build a global business.
Q: If I secure regulatory approval from a UK regulator (i.e. CE Marking), will I still have regulatory passport to trade in Europe?
A: Yes, because the uK retains full access to the European Single Market whilst it is a member of the EU and during the negotiations to exit.
Q: Will we have to pay higher taxes?
A: No. The Chancellor has indicated that there will not be an emergency budget and instead there is likely to be an Autumn statement, which could include policy changes to protect the UK’s competitiveness. We are already a low taxation economy with corporation tax at 20%, the lowest one in G20 countries, falling to 19% next year and 17% by 2020. The government has clearly indicated it intends to remain a globally competitive, with a low tax environment. There are also now calls for corporation tax to be reduced further.
Q: What is the process for BREXIT? Timescale and Milestones.
A: This is for the British Government and Parliament to determine. The official process is for the Government to invoke Article 50 of the Treaty on European Union. This allows a member state to notify the EU of its plans to withdraw from the bloc. There are then two years to negotiate the terms of the exit with the other 27 EU members, unless the members agree to extent the terms. The Government has said it will be for a new Prime Minister to determine when to invoke Article 50. It is unlikely the UK will have a new PM until at least October.
Q: What impact will the vote to leave have on companies that are seeking funding to scale their businesses?
A: There have been early messages from VC investors that London and the UK continue to have some of the most exciting investment opportunities and that they will continue to invest as before.
Q: Will it affect trade with the US?
No. The ability to trade with the US on current terms will not be affected.
If you have more questions, we would be happy to help. Please email us at ahill@managementanswers.co.uk (Alan Hill – CEO), ntaylor@managementanswers.co.uk (Nigel Taylor – MD) or folaru@managementanswers.co.uk (Florentina Olaru – Marketing Executive). For HR law questions, our HR Director Esther McLeod can be contacted at emcleod@managementanswers.co.uk and for information on property and commercial spaces you can contact our Relocation Director Franky Taylor at ftaylor@managementanswers.co.uk.
