IoD calls on Government for ‘no-deal’ guidance
Less than a third of businesses have conducted any ‘no deal’ Brexit contingency planning, a new report has revealed.
The Institute of Directors (IoD), which published the study, has called on the Government to advise businesses on how to approach a no deal scenario.
Its study found that half of businesses do not intend to “draw up plans”, with small firms making up the majority of businesses in this category.
Likewise, nearly one in two of these firms say this is because they are waiting for further guidance from the Government, particularly on how a no deal Brexit will affect their trading processes.
The research also reveals that while one in five companies want to come up with a contingency plan, three quarters of these are waiting for more clarity about the potential relationship between the UK and EU.
Among those, one in 10 are “seriously considering” relocating to the EU, while one in five said they would consider relocating if negotiations were to go downhill.
Stephen Martin, Director General of the IoD, said: “Many companies are still unprepared for Brexit, and it’s hard to blame them. When it comes to knowing what to plan for and when, firms have been left in the dark. Trade associations like the IoD are doing their best to fill the information void, but the reality is that many companies feel they can only make changes once there is tangible information about what they are adjusting to.
“As long as no-deal remains a possibility, it is essential that the Government steps up to the plate and provides advice on preparing for such an outcome. We therefore urge them to speed up publication of the technical notices. This should also help make companies more alert to the need to prepare now for all eventualities.”