March 26, 2019
Majority of UK business leaders believe costs and red tape will rise after Brexit
Over half (58 percent) of UK business leaders expect costs to rise after Brexit, even if a deal is struck and just over a third (38 percent) believe that access to local business funding and grants will also become more challenging post-Brexit, claims a new survey from Vistage. Respondents were also sceptical about the so-called ‘bonfire of red-tape’ which was a key part of the Leave campaign’s manifesto. Thirty-eight per cent believe bureaucracy will become more of a hurdle post-Brexit, versus just 17 percent who believe a deal with the EU will lead to fewer regulations and less red-tape.
Only 6 percent of respondents believe the cost of doing business will decrease post-Brexit, while 35 percent believe the situation will remain broadly unchanged. Meanwhile, 41 percent said Brexit would have a negative impact on access to international markets. Less than one in five respondents (19 percent) thought Brexit would help them to access new markets and do more trade internationally.
Commenting on the findings, Geoff Lawrence, Vistage General Manager UK: “UK business leaders clearly have reservations about how a negotiated exit from the EU will impact their business. The longer we go without clarity, the more these reservations will intensify.”
Over half of the business leaders surveyed by Vistage expected economic conditions to worsen in the next 12 months. But they remain largely confident about the health and growth prospects of their own businesses. Sixty-two percent of respondents expect to grow revenues in the next 12 months, while more than half (52 percent) expect to hire more staff.
Geoff Lawrence continued: “Speaking to many Vistage members, there is a feeling that they just want to be left to get on with things. UK business owners are a highly resilient bunch and they find a way to success whatever happens.