Breaking: Boris, or bust?!
I am writing this at 1pm on Tuesday 23rd July, why is that important? Because anything could change between now and Wednesday when this goes live! We have a new Prime Minister – Boris Johnson. There are a number of high level politicians who are threatening to resign but whether they do or don’t remains to be seen (I can’t sit on this blog post and wait to see what happens, it needs to be put up and made pretty after all!) and what this impact has on the UK political scene cannot be fully known.
Regardless of your political beliefs and whether you or pro- or anti- Brexit leaving without a deal can only be bad for business, and this is why:
Boris has openly said on several occasions that he is happy to have a no-deal Brexit and that he will force the issue if needed. Economists believe that this would send the company into recession which puts jobs at risk and the spending power of the public would be reduced, surely deliberately and willfully taking actions that will damage the UK economy cannot be a sensible option?
For small businesses who have suppliers and/or customers in Europe, there could be a massive increase in legislation over-night if we were to leave without a deal. We are told to prepare, but preparing for the unknown is difficult at the best of times! An educated guess would say that exchange rate fluctuations will mean that the cost of purchasing from Europe will increase and that this will erode already small margins for businesses and could potentially cause some to go under. There is also the unforeseen red tape that will come into play with a no-deal scenario – imports / exports / duty payments etc. I wrote a blog a couple of weeks ago about the exchange rate impact of it all: https://simplified-accounting.co.uk/blog/why-as-a-business-you-should-care-about-brexit
Additionally all the protections and laws that are in place to protect business, to protect employees will disappear overnight unless the UK puts the right legislation in place to ensure continuity.
Here’s the government link for Brexit preparation for your business:
Now let’s see if we can all be pleasantly surprised … ! And if you want to keep up to date with what is going on, then follow reputable news channels and for your daily dose of headlines on social media I thoroughly recommend following @thewifeofriley on Instagram.