Article 50: Region’s business leaders react as Brexit clock starts ticking

The two-year countdown to the UK’s exit from the European Union is underway following the triggering of Article 50 in Brussels.

Here, business leaders throughout the North West offer their views on what Prime Minister Theresa May called an “historic moment from which there can be no turning back”.

Bob Ward, North West senior partner at EY, said there is “little doubt that these will be some very complex negotiations” but that will the “right will” on both sides, there is a way through.

“Business will look to politicians and negotiators on both sides to seek common sense solutions that work for both the economy and society. No one will benefit if negotiations break down,” Ward said.

“Talking to businesses in the North West, and up and down the country, a strong early signal in the negotiations that both sides are committed to an orderly and phased-in Brexit deal, would go some way to provide reassurances. Other items on the agenda include the lightest possible customs border to limit disruption to trade, ability to recruit staff and a stable regulatory system between the UK and EU.”

Meanwhile, Carl Williams, North West managing partner at Grant Thornton, said: “Today is an historic milestone and fork in the road for our country as we take the first step towards legal separation from the EU.”

Williams said the North West business community, along with everyone else in UK Plc, is expecting the government to deliver the best possible deal for British businesses trading overseas or importing talent or vital components.

“That’s no small ask and the biggest political challenge any UK government has faced in a generation,” he said.

“My hope is that common sense and economic pragmatism rather than short-term political point scoring is adopted by both sides in the negotiations. This has got to be about giving our children and future generations opportunities.”

He added that a “dis-orderly Brexit” will not only damage the UK economy but “will be felt too in all corners of Europe”.

Grant Thornton’s chief operating officer, Robert Hannah, says that businesses will welcome the move to provide some further clarity on the way forward.

“There is one additional matter that our clients want government to address now: they want them to give a guarantee that EU citizens currently working in the UK will have a right to remain. This is creating huge uncertainty for people and the organisations that employ them,” he said. “From financial services to farms; from care homes to construction. This is impacting on key parts of the economy already, not least most of our key public services, and we would call for a unilateral announcement by the Government to secure their position to remain, which will also set a positive tone for more collaborative discussions with the EU.”

Jo Sellick, managing director of professional services recruitment firm Sellick Partnership believes now that Article 50 has been triggered we are about the enter “one of the most uncertain times in British history” as we try and negotiate ourselves the best deal going forward.

“Now is the time for our country to come together, and I hope that citizens and businesses from across the UK can now finally accept that Brexit is happening and turn their attention to securing our future on the global stage. There is no going back now, and we must focus on the future together.”

Dr Cristina Chiva, lecturer in European Politics at the University of Salford, said: “The metaphor of a divorce which is often used to describe this process is quite an appropriate one, as the outcome of those negotiations depends entirely upon how reasonable both parties choose to be.

“We won’t know for a very long time what the outcome will be of going solo. That will probably become apparent after a long period of time and will depend not on Article 50 but on whatever trade deals we are able to get with the EU.”

Chris Fletcher, marketing and policy director at Greater Manchester Chamber, said: “In the months following the referendum there has been very little factual content and a lot of guess work and theories about what may or may not happen. With Article 50 being triggered the theorising has to stop and government’s minds must be fully focused on the next two years to make sure that the UK exits the EU with a workable and effective deal in place.

“Our members have made it clear that whilst in pre-referendum surveys there was a majority that wanted to remain, now the process has started they want the exit to be delivered as swiftly and efficiently as possible, but taking into account several key areas which they see as ‘must-haves’.

“Overall there has to be a deal in place at the conclusion of the negotiations. Whilst the Prime Minister felt it was right to set out a position of saying ‘no deal is better than a bad deal’ either one of these would be seen as a failure. If that means negotiations take longer than expected but this results in the right deal for the UK, then that is acceptable.

“As we have done throughout this process we will continue to monitor everything that happens and make sure our members and the wider business community here in Greater Manchester can have their say.”

Mike Perls, chair of IoD North West, said: “As a business community, we are looking for clarity of direction and certainty. It is essential that negotiations for the exit deal and future trade arrangements take place in parallel to make the process of Brexit as smooth as possible. Priorities have to include tariff-free trade, minimising both customs delays for goods and bureaucratic hurdles for European employees, and continuing joint scientific research projects.

“Our North West strength in science should not be weakened through this process.”