Reflections on IFB2016 and Brexit – challenges and opportunities for the UK?
James Moss is a senior associate in DLA Piper’s Litigation & Regulatory practice
AS the IFB2016 has drawn to a close – and in the wake of UK electorate’s historic decision to leave the European Union – it’s time to reflect on lessons learned and look ahead to the future business climate.
Brexit is likely to have significant implications for UK companies doing business within the EU. Many UK, EU and wider international companies have started the process of reassessing their Brexit contingency plans with regards to the potential increase in both the administrative burden and financial costs associated with UK-EU trade.
Key considerations include issues such as the location of headquarters, supply chain management, tariff and non-tariff barriers, customs formalities and customs controls and the wider arrangements for trade between the UK and its trading partners outside the EU. 
The potential trade and investment impact of the referendum vote will not be limited to UK companies doing business in the EU. The impact will also be felt by wider businesses that operate in the UK and the EU.
In addition, the UK’s decision to leave the EU will necessitate a renegotiation of legal basis for the UK’s commercial relationships with existing EU Free Trade Agreement (FTA) partners, such as Canada and South Korea.
The decision to leave the EU opens a new chapter for the UK’s bilateral, regional and multilateral trading relationships. As the UK Government seeks to define its strategy for both the exit negotiations and its wider discussions with the UK’s trading partners, UK companies should consider how their core objectives and key priorities, are brought to the top of the UK agenda.
The window to influence these commercially important negotiations is narrow. Those companies who are able to clearly and quickly identify and articulate their offensive and defensive priorities on issues such as key markets and priority sectors will be best placed to influence the UK’s exit terms and define a future UK trade policy towards their business interests.
The UK remains an attractive destination for overseas investment and for at least the next two years we can expect little change in the way companies do business. For now, businesses should sit back, take stock and plan for the future.
