The looming question on most manufacturing companies’ minds is will we have a deal or no-deal Brexit? The uncertainty around this topic has caused a lot of angst and panic; leaving a massive burden on the Government to get it right regarding industrial policy.
Manufacturing is a significant part of the UK economy accounting for around 65% of private research and development spend, and 45% of exports. It has many links to other sectors in the economy. The services that are linked to manufacturing make up an estimate of a third of the UK economy; which emphasises the importance of needing processes to be put in place.
From a positive perspective, we have registered offices based in different parts of Europe (and also in the US), and are working with them thoroughly to keep processes running smoothly. We want to reassure our customers that we can still tackle all requirements they have within a worldwide scale.
In regard to the trials we face as a manufacturing company, we are quickly learning and adapting what we need to do and when we need to do it.
We have planned for tariff barriers through a no-deal Brexit including customs declarations. This is an official document indicating details of goods and whereby to place them under a given customs procedure. This could cause a possible disruption at border crossings. We have put all necessary procedures in place and are working closely with our carriers to make sure delays won’t pose an issue.
Another factor we have had to take into account is regulatory divergence; inconsistency of rule across different jurisdictions. With the accreditation of our products a big selling point for us, we need to keep to particular standards. But will there be different regulations for the EU meaning an extra cost for testing if not aligned? We are continually monitoring and learning what needs to be set up – working with governing bodies to makes sure we have all of the right paperwork in place.
The biggest challenge has been the lack of certainty which has really stymied the manufacturing sectors. As we draw closer to the deadline, the prominent question of UK growth post-Brexit is still quite hazed but we feel as a company we have taken all of the necessary steps and are confident in our ability to adapt when needed.
What positives to draw from this
The wave of the pandemic has definitely setback any assumptions surrounding a deal or no-deal Brexit, leaving everything back up in the air.
We are looking at this in a positive way with our steps to be taken centred around promoting the UK manufacturing industry. Doing this by means of promoting our skillset, innovation and our adoption of new technology.
In light of the pandemic, we are so lucky to have retained our adroit workforce and we even have plans in the new year to upskill our production team; developing and enhancing their dexterity to coincide with our growing technology and machinery.
We know that the Government understands after the rollercoaster of a year that we have had, that recovery is what the UK needs. A Brexit deal will give us the foundation to do that. Time is of the essence with businesses facing decisions about changes of next year today; there needs to be a process put in place very quickly.
To summarise, there are still a lot of questions with not so many answers but we as a company have followed the guidelines ready for the 1st January; and have put plans in place for the factors we are able to prepare for. If you have any questions surround this topic in regard to your order – don’t hesitate to get in touch with our sales team.