‘It was a nightmare. It still is’: the cost of doing business, eight years after Brexit

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المملكة العربية السعودية أحدث الأخبار,المملكة العربية السعودية عناوين

The vote to leave the EU was sold as a way to cut red tape, but for many it ended up doing the opposite. The Observer asked six businesses about the fallout for them

Peter Walker, his wife Helleentje and Billy the rescue lurcher at Wack's Wicked Plants in Scampston, near Malton, North Yorkshire.Peter Walker, his wife Helleentje and Billy the rescue lurcher at Wack's Wicked Plants in Scampston, near Malton, North Yorkshire.The vote to leave the EU was sold as a way to cut red tape, but for many it ended up doing the opposite.

The company, which has a turnover of €275m, exports to 31 countries, but the decision by its third biggest foreign market to leave the EU has resulted in significant changes to its operations. For Philippo, the extra costs are the most significant impact for importers. And these costs increased further on 30 April

He adds that some Dutch exporters are reporting instances of plants being damaged or delayed during the checks at these posts, resulting in lost revenue. In 2020, the business saw the number of customers seeking trade advice double. In 2021, the number of customers more than doubled again, and MDDP had to increase its trade team by a quarter.

“We are used to exporting outside the EU and have only been in the union for 20 years, so most companies have knowledge of life before the EU,” Kisielewska says.When Peter and Helleentje Walker were preparing for the Chelsea flower show last year, they were quietly confident, having previously won three gold medals at the event.

“If we have a customer from Spain who wants five plants for £70, it might cost £80 for the inspection – nobody is going to pay that,” adds Helleentje. Since then, 3m Denman brushes have been sold globally and the £30m turnover company has diversified to supply wing components for Airbus and Bombardier, among other things. It is confident that it can double its turnover in four years.

The Brexit fallout has caused other problems for British firms that want to send products to Northern Ireland. Products manufactured in the UK can be exported to Northern Ireland and the EU with zero tariffs, under the UK-EU trade and cooperation agreement. However, EU rules of origin regulations mean that products being sent from the UK that have originated outside the UK or EU could be subject to tariffs.

Employing about 450 people, Kingsland’s main business is importing huge 24,000-litre bags of wine from across the globe, bottling it, and shipping it to supermarkets and retailers. Approximately 80% of the wine it receives comes from the New World regions, with the majority of that from Australia and New Zealand.

But while Brexit has reduced costs for consumers with one hand, it has heaped on costs with the other.

 

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المملكة العربية السعودية أحدث الأخبار, المملكة العربية السعودية عناوين