The triggering of Article 50 started the countdown to the UK's departure from the European Union.
The future of the UK will be shaped by the choices that are made in negotiations. This includes what our new model of economic co-operation with the EU looks like and whether this represents a hard or soft Brexit.
Deal or no deal
The outcome of Brexit and our future relationship with the EU remain uncertain. Come March 2019 there are two potential scenarios:
- No deal – Time runs out and the UK leaves the EU with no agreement and trades under WTO terms.
- A deal – The UK and EU agree on the terms of withdrawal and a framework for a new relationship. This will include a ‘time-limited’ transition which would look much like our current EU membership and last until New Year's Eve 2020.
We advise our clients to prepare for a no deal outcome as it involves the most change. If you haven't started planning - it is not too late to start.
Three steps business leaders can take now to prepare
1. Measure your exposure
Understand the impact Brexit might have by assessing your organisation's touch-points with the EU. Consider things like your people, supply chain and the regulatory influences and conducting scenario planning around them.
2. Brexit-proof your business
Once you know where and how your business is likely to be impacted, develop a transition plan to prepare, protect and eventually reap the benefits of Brexit. This will allow you to minimise any inefficiencies and explore alternative solutions.
Communication is critical when managing your business through transition. Doing this effectively will help avoid your employees and stakeholders fearing the worst.
3. Capitalise on opportunities
Now is the ideal time to identify and capitalise on the opportunities Brexit could present. This means re-imagining business models, optimising processes and controls, exploring new international markets and trade deals, and capitalising on new domestic opportunities.
Looking in more detail
We think about Brexit across the areas of trade, people and talent, finance and operations. Our guidance will help you think about the challenges and opportunities presented by Brexit and explore the actions businesses can take now to prepare, regardless of the outcome.