“Brexit” should be a cause for concern whichever side of the debate you are on. Both outcomes of the referendum have significant pros and cons to consider that may affect not only you and your business but everyone residing in the UK. The impact of a “Brexit” is likely to impact businesses everywhere, irrespective of size and industry, immediately and in the long run.
Things to consider that may affect your business:
As part of EU we benefit from free trade with other European countries. Leaving the EU would mean Britain having to renegotiate trade deals with the EU leading, possibly, to excessive tariffs on exports. Negotiating a trade agreement with the EU would be costly and Britain will watch on the side lines whilst new policies are thrashed out with uncertain results that could take years to resolve.
Leaving Europe could lead to a large decline in migration to Britain. The talent pool would become less diverse but on the other hand more jobs would open up for UK citizens. Visa requirements and work permits could be introduced meaning only highly skilled European workers would be permitted into the UK. Whilst the talent pool has the potential to become increasingly high-skilled, the economy’s rapid growth, which has heavily relied upon the continued increase in migration, may start to slow.
3. Workers’ Rights
European Union law protects a lot of workers’ rights. These vary from paid annual leave to equal treatment for fixed-term, part-time and agency workers. It isn’t guaranteed that any elected UK government will keep certain workers’ rights should the Brexit occur. However, remaining part of the EU could mean increasing restrictions on unions trying to organise industrial action in cross-border disputes.
A Brexit could lead to some difficult changes in restrictions and regulations on how British companies could move employees and money around the world. Differences in regulation could increase over time affecting trade volumes and reducing the attractiveness of the UK for investment. The UK could undercut the EU on standards which may create a healthy regulatory competition by pressurising the EU to be more liberal in its policies. The UK could lose influence over EU regulation without gaining much freedom to regulate independently.
Jeremy Hampton, Commercial Director at Orega said “We have recently invested heavily in Europe, opening two Grade A Serviced Offices in central Brussels. We have a plan of continued growth, both in the UK and in mainland Europe where we provide stunning offices in the best business locations. So irrespective of the referendum we will continue to be open for business for both old and new customers…Europe is a great place to be.”
As this historic vote approaches we are confident that the UK economy remains strong and will continue to grow regardless of the outcome.
What are your thoughts on Brexit? Tweet us @OregaOffices!