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Brexit Transition
By Orvil Plummer
What is Brexit
Transition?
• Brexit Day: 31/01/2020
• Transition Period: 31/01/2020 -
31/12/2020
• 23 Days to go!
• Slogans like: “Big red bus; get Brexit
done; oven-ready deal”
• Post transition?
Transition
Period
• While in transition, the UK remains in both
the EU customs union and single market.
• That means - until the transition ends - most
things will stay the same. This includes:
• Travelling to and from the EU
• Freedom of movement
• UK-EU trade, which will continue without any
extra charges or checks being introduced
Why is a
transition
necessary?
• The idea behind the transition period
is to give some breathing space while
new UK-EU negotiations take place.
• These talks will determine what the
future relationship will eventually
look like.
• Brexit negotiations are continuing this
week as the end of the transition
period (31st December 2020) fast
approaches.
Assessment of
the impact on
your business
Import/export trade
Getting employees from Europe
Administrative challenge “Honda stop
manufacturing because of backlog on the
port”
Stockpiling because of uncertainty after
31/12/2020
Import/Export
• 80% of our food is imported .
• LBC freight-forwarder puts it: “Revoke Article 50 or starve”.
• UK is building lorry parks in anticipation of backlog at ports.
• There will be critical changes and considerations across business functions.
• New challenges emerging including pricing, IT systems and data,
regulations and compliance.
Impact on Workforce
• Additional red-tape to get workers from Europe.
• A learning from the pandemic to the farming community is that there is not enough willing
UK workers - there is a reliance on Eastern Europeans for farming and trades.
Upward price pressure
• If we take the backlog at the borders, changes to back-office, shortage of labour etc.
• Higher price for consumers.
More
competition
• If you are being out-competed by a
European company then you now have a
chance to get back your local patch.
• Local companies no longer need to comply
with EU regulations for local supply. Chances
are that you may now see more local
produce in the supermarkets.
• UK is now free to strike its own trade deals
with other countries.
What could
Brexit look like
after the
transition?
• At the end of the transition phase,
there will be two possible outcomes:
• A UK-EU trade deal comes into force
• The UK exits transition with no EU trade
deal
Useful Links
• UK Government -
https://www.gov.uk/transition
• Institute for Government -
https://www.instituteforgovernment.org.uk/ex
plainers/brexit-transition-period
• UK Parliament, Commons Library -
https://commonslibrary.parliament.uk/end-of-
the-brexit-transition-period-what-will-change/
• British Chambers of Commerce -
https://www.britishchambers.org.uk/page/pos
t-transition-brexit-checklist
• BBC News - https://www.bbc.co.uk/news/uk-
politics-50838994
• Politico -
https://www.politico.eu/section/brexit/

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Brexit Transition Presentation - 9th December 2020

  • 2. What is Brexit Transition? • Brexit Day: 31/01/2020 • Transition Period: 31/01/2020 - 31/12/2020 • 23 Days to go! • Slogans like: “Big red bus; get Brexit done; oven-ready deal” • Post transition?
  • 3. Transition Period • While in transition, the UK remains in both the EU customs union and single market. • That means - until the transition ends - most things will stay the same. This includes: • Travelling to and from the EU • Freedom of movement • UK-EU trade, which will continue without any extra charges or checks being introduced
  • 4. Why is a transition necessary? • The idea behind the transition period is to give some breathing space while new UK-EU negotiations take place. • These talks will determine what the future relationship will eventually look like. • Brexit negotiations are continuing this week as the end of the transition period (31st December 2020) fast approaches.
  • 5. Assessment of the impact on your business Import/export trade Getting employees from Europe Administrative challenge “Honda stop manufacturing because of backlog on the port” Stockpiling because of uncertainty after 31/12/2020
  • 6. Import/Export • 80% of our food is imported . • LBC freight-forwarder puts it: “Revoke Article 50 or starve”. • UK is building lorry parks in anticipation of backlog at ports. • There will be critical changes and considerations across business functions. • New challenges emerging including pricing, IT systems and data, regulations and compliance.
  • 7. Impact on Workforce • Additional red-tape to get workers from Europe. • A learning from the pandemic to the farming community is that there is not enough willing UK workers - there is a reliance on Eastern Europeans for farming and trades.
  • 8. Upward price pressure • If we take the backlog at the borders, changes to back-office, shortage of labour etc. • Higher price for consumers.
  • 9. More competition • If you are being out-competed by a European company then you now have a chance to get back your local patch. • Local companies no longer need to comply with EU regulations for local supply. Chances are that you may now see more local produce in the supermarkets. • UK is now free to strike its own trade deals with other countries.
  • 10. What could Brexit look like after the transition? • At the end of the transition phase, there will be two possible outcomes: • A UK-EU trade deal comes into force • The UK exits transition with no EU trade deal
  • 11. Useful Links • UK Government - https://www.gov.uk/transition • Institute for Government - https://www.instituteforgovernment.org.uk/ex plainers/brexit-transition-period • UK Parliament, Commons Library - https://commonslibrary.parliament.uk/end-of- the-brexit-transition-period-what-will-change/ • British Chambers of Commerce - https://www.britishchambers.org.uk/page/pos t-transition-brexit-checklist • BBC News - https://www.bbc.co.uk/news/uk- politics-50838994 • Politico - https://www.politico.eu/section/brexit/