29/08/2019

Concern Over Cross-Border Brexit Plans

Startling figures have revealed shortfalls in the amount of cross-border businesses putting plans in place for a no-deal Brexit.

As the anticipated challenges of a crash out loom in the background, a fresh survey by InterTradeIreland has indicated that many firms are paying no attention to the potential impact, with only six percent set up for cash flow and liquidity issues.

Only the same worryingly small amount have examined the possible legal implications on business contracts if the United Kingdom leaves the EU.

The consequences of market access changes mean businesses could be exposed to significant additional costs, unless they take steps to protect themselves now.

Coming as InterTradeIreland launches a new campaign to encourage cross-border traders to plan for Brexit, the research underlines the need for companies to start acting now.

Aidan Gough, InterTradeIreland's Designated Officer and Director of Strategy and Policy, said: "Ignoring Brexit is a bigger issue than not preparing for it. Failing to take into account how it may impact your business could be very detrimental down the line. We want to reach as many SMEs as possible to help them prepare, that’s why InterTradeIreland is launching our new campaign.
News Image
"This will be a significant departure for InterTradeIreland. It recognises that Brexit is the 'elephant in the room' and with the deadline of October 31st fast approaching, Brexit is now just too big to brush under the carpet. We think this approach and striking visuals will resonate with busy firms on many levels."

InterTradeIreland is also expanding its offering to include Bitesize Brexit, a new online space that will act as a one-stop shop for cross-border traders.

Mr Gough continued: "As the name 'Bitesize Brexit' would suggest, all of the information is in a very digestible format and includes specific actions that businesses can take now, to prepare for Brexit. At the moment there are around twenty thousand cross-border traders on the island of Ireland. A substantial proportion of these are micro-businesses, particularly vulnerable to changes in current trading arrangements, and are more likely to be reliant on the cross-border market as their only export destination."

The new research also shows continuity of supply is an additional problem that could hinder cross-border businesses and the ability to trade, but only less than one in ten have taken steps to interrogate their supply chain.

Tariffs are a further issue that could strike at the very viability of SMEs in the event of a hard Brexit. InterTradeIreland's latest Business Monitor highlighted that just 12 per cent of SMEs that trade across the border have looked at the possible impact of extra taxes on their business.



(JG)

Related Northern Ireland Business News Stories
Click here for the latest headlines.

02 October 2019
£3.7m Investment To Secure Growth For Lurgan Drinks Firm
A Lurgan-based soft drinks manufacturer is set to triple its workforce with an investment of over £3.7 million to drive business growth.
30 September 2019
70 New L'Derry Jobs As Cybersecurity Firm Expands
L'Derry based technology firm MetaCompliance is creating 70 new jobs in the city as it expands into new international markets. The new roles will help the company expand the selling reach of its cloud software for cybersecurity and compliance into the US and Europe. Some £4.5 million has been invested in the expansion.
07 October 2019
Kevin Holland Announced As New Invest NI Chief
Invest NI has named its new Chief Executive as Kevin Holland. Mr Holland will replace current CEO Alastair Hamilton after ten years in the role. With over 25 years experience as a global business leader, he will come on board later this month for a transition period throughout November, after which he will take full responsibility as CEO.
06 August 2009
Tesco Cuts Out Landfills
Retail giant Tesco has diverted all of its Northern Ireland waste away from landfills over the last 12 months, it has been revealed. Tesco bosses have also implemented several 'environmentally friendly' solutions into store nationwide.
16 June 2017
InterTradeIreland Launches New Brexit Advisory Service
InterTradeIreland has launched a new Brexit Advisory Service, which aims to provide up to date information to help Northern Irish businesses navigate Brexit.