The British electorate voted to leave the European Union on Thursday 23 June. The uncertainty of ‘where next’, following the vote, has been exacerbated by turmoil in Westminster which is contributing to the inevitable market volatility after such an unprecedented event. Although both businesses and individuals will be considering the impact of a post-EU world, nothing has changed: all laws which currently apply to UK business will continue to do so until our formal exit from the EU, the negotiations for which will take two years and will not start until Article 50 of the Lisbon Treaty is invoked. There are certain areas of law which have been particularly influenced by EU regulations and we set out the current position, and potential future changes, for those areas below.
As we start to negotiate our exit from the EU and start negotiations with other international trading partners, it will become clear which trading model we will adopt and how our legislative framework may be adapted to meet new requirements. However, for the next year or so, we do not anticipate any major changes to the status quo. We will obviously be keeping a close eye on developments; in the meantime, if you have any queries or concerns, please contact us.
The implications of the decision of the UK electorate to leave the EU, and the absence of a concrete plan outlining next steps, are causing considerable concern among sections of the business community.
Since immigration was a driving issue in the campaign, businesses employing migrants are anxious to understand the impacts and plan ahead. Inevitably there is uncertainty; the detail and timing are matters for negotiation with our European partners and Parliamentary decisions which will play out over months and years.
Understandably, among commercial property occupiers and owners, the uncertainty provoked by the vote to leave the EU has sparked fears of an economic downturn and the knock-on effect on consumer confidence.
The EU referendum result has sent shock waves across the UK, Europe and the rest of the world and there are of course wide ranging implications for the rural community. However, as the dust starts to settle and reality kicks in, it must be business as usual for the rural community.
As mergers and acquisitions activity tends to be more strategic than tactical, we are anticipating that most transactional plans will remain in place, providing funders keep their nerve. The main issue will be maintaining market confidence; although it has been considerably shaken, we believe that it should return to near normal levels because of the length of time it will take to negotiate our exit from the EU.
Understandably, the unprecedented chain of events set in motion by the outcome of the EU referendum will have unnerved many and excited others. However, the reality is that most people will not see any immediate change to their personal circumstances.
“If the UK is not part of the EU, then upcoming EU reforms to data protection law would not directly apply to the UK. But if the UK wants to trade with the Single Market on equal terms we would have to prove 'adequacy' - in other words UK data protection standards would have to be equivalent to the EU's General Data Protection Regulation framework starting in 2018.
Prof David Bailey argues it doesn't have to be all doom and gloom following the UK's decision to exit the European Union. In the wake of the Brexit decision, we're likely to see a number of effects on the UK auto industry - in the short term, there are two key impacts.