The UK Government has published the first tranche of so-called "technical notices" to provide advice on preparations for a "no deal" outcome to the Brexit negotiations.
The notices cover a range of issues which directly affect business, in particular:
- Importing and Exporting, including VAT, rules of origin and tariffs and the creation of a new UK Trade Remedies Authority (TRA).
- State aid control switching to the UK Competition and Markets Authority
- Banking, insurance and financial services including a proposal for a Temporary Permissions Regime (TPR). This would enable EU/EEA financial services firms currently "passporting" into the UK to continue to do so for up to 3 years from exit.
The UK Government's notices make a number of recommendations for business to consider now.
In particular, the recommendation to review every major existing contract for customs compliance could be a very significant, time consuming and costly task, especially for the largest international businesses.
Many insurers and financial services firms have already created EU subsidies or are in the process of moving key staff or service lines to the EU. But many other businesses are yet to look in detail at operational resilience post-Brexit.
Clyde & Co is hosting Brexit: Ensuring Supply Chain Resilience on 10 October 2018 in London. For more information and to register to attend, please click here.
For more information or advice, please email email@example.com or your usual Clyde & Co contact.
We want businesses to be reassured that, even in a ‘no deal’ scenario in March 2019, the government will seek to do what it can to make the transition as smooth as possible and allow time to make significant changes.