Another rejection in the British Parliament
Following the second rejection to May’s Brexit Deal, the UK is still experiencing uncertainty on the way forward. Another vote will be taken to clarify whether the UK will be leaving the EU with a deal or not.
As the final deadline approaches, Britain has still not agreed on a deal which will indicate the way forward in a Post-Brexit UK. On Tuesday 12th March, the British Parliament once again rejected Theresa May’s latest deal by 149 votes. Despite various efforts made with the EU to make the deal more appealing to the British Parliament, it was immediately shot down.
Brexit: The Government’s Measures
This rejection will inevitably lead to a vote on Wednesday 13th March on whether Britain should leave the EU with an agreement or with no deal. However, with 16 days until the final deadline for a Brexit agreement, the government has already introduced measures to prepare for a no-deal. This includes the cutting of tariffs on a range of imports coming from outside the EU, whilst maintaining the protection to specific industries, including agriculture. These measures will bring about a zero-tariff access to 87% of imports, as opposed to the 80% at present. This temporary measure will prevent a £9 billion price shock to businesses and consumers in the UK.
The government further upheld that it will not be introducing any new checks, controls or customs declarations on any goods which will be crossing the border between Ireland and Northern Ireland if the ‘no-deal’ situation comes into fruition. Although this is a temporary measure, many are concerned that the border between Ireland and Northern Ireland will attract smugglers.
Businesses in the Dark Surrounding Brexit
Although the vote on Wednesday will possibly shed lighton the future of the UK, there is still a lot of uncertainty which is very discouraging for businesses and competitors in the UK alike. Studies have shown that many major players in the UK economy are creating hubs outside of the UK, most significantly Asset Management firms, Banks and Diversified Financials.
Acknowledging this uncertainty, Chetcuti Cauchi Advocates is providing webinar recordings for UK businesses in order to prepare for the new rules and policies which may ensue from a Post-Brexit world. Industries such as Advanced Manufacturing, Aviation, Pharma, Insurance, Asset Management and Banking will be able to put their mind at ease as to how to protect their business.
