UK: Firms still struggle with post-Brexit trading and red tape

By Nikita Chaurasia  | Date: 2022-12-22

UK: Firms still struggle with post-Brexit trading and red tape

Businesses in the UK are still reportedly grappling after two years following the beginning of post-Brexit trading, as suggested by a new report.

According to the British Chambers of Commerce (BCC), firms are still battling increased red tape and EU trade agreements.

It comes at a time when additional research from the Centre for European Reform contends that Brexit may have caused a 7% decline in UK trade. However, the government claimed that Brexit opened fresh opportunities for UK firms.

After Brexit, there were no longer any tariffs on the flow of products and services between the EU and the UK, owing to the Trade and Cooperation Agreement, which was reached late on Christmas Eve, 2020.

As per reports, the BCC is pushing the administration to have an honest debate about how they can strengthen their trading relationship with the European Union and aim to cut red tape even before the agreement is revisited in 2026 as businesses prepare for the possibility of a potential recession.

It has also offered 24 recommendations, one of which is for quick resolution of the Northern Ireland Protocol's future as the framework for trade in Ireland.

Some economists claim that the political unpredictability surrounding this issue has discouraged investment in the UK.

Meanwhile, the Centre for European Reform claimed that Brexit-related measures may have cut UK trade by up to 7% this summer, and impacted investment, even more, implying that UK economic output is 5.5% lower than it would otherwise be.

That has a more significant effect than the Office for Budget Responsibility (OBR), the government's official forecaster, who estimated a 4% decrease in productivity.

However, the OBR projected in March that exports and imports would be 15% less in the future and that new trade agreements with other countries in the world would have little impact on trade volumes.

Source credit: https://www.bbc.com/news/business-64052849

About Author

Nikita Chaurasia     aeresearch.net

Nikita Chaurasia

An accomplished professional in the field of content development, playing with words comes naturally to Nikita Chaurasia. After completing her post-graduate MBA degree in Advertising and PR, Nikita worked across numerous content-driven verticals, undertaking diverse r...

Read More >>

More News By Nikita Chaurasia

Swiftly achieves Unicorn status with $100M Series C led by BRV Capital

Swiftly achieves Unicorn status with $100M Series C led by BRV Capital

By Nikita Chaurasia

Swiftly Systems has reportedly achieved unicorn status, securing in funding through a Series C round. The prominent BRV Capital Management led this funding initiative. According to the earlier reports, Swiftly was adopted by hundreds of consumer b...

Rainforest nations unify to demand cash for climate & biodiversity preservation

Rainforest nations unify to demand cash for climate & biodiversity preservation

By Nikita Chaurasia

As per the reports, twelve nations with rainforests united to establish a collective initiative aiming to address climate change and safeguard biodiversity at summit held in Brazil. The declaration, titled "United for Our Forests," emerged ...

AI Chatbot, Llama 2, unveiled by Meta for commercial use via Microsoft

AI Chatbot, Llama 2, unveiled by Meta for commercial use via Microsoft

By Nikita Chaurasia

Meta Platforms has recently introduced Llama 2, an artificial intelligence large language model, for commercial use in collaboration with major cloud providers like Microsoft. Instead of charging for access or usage, Meta aims to share the model with...

Moderna signs agreement to explore mRNA medicines in China

Moderna signs agreement to explore mRNA medicines in China

By Nikita Chaurasia

Moderna Inc, a leading vaccine manufacturer, reportedly announced on Wednesday that it has entered into a memorandum of understanding (MoU) and a land collaboration agreement aimed at exploring opportunities for researching, developing, and producing...

Nike and Epic Games collaborate to launch Airphoria NFT in Fortnite

Nike and Epic Games collaborate to launch Airphoria NFT in Fortnite

By Nikita Chaurasia

The American footwear design & manufacturing company, Nike and Epic Games, the creators of the popular online game Fortnite, have joined forces in an exciting new collaboration. The partnership aims to bring about a groundbreaking change in the d...