British businesses preparing to launch contingency plans before Christmas as hopes for Brexit deal fade
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The majority of British businesses are preparing to launch contingency plans before Christmas as hopes of a Brexit deal fade.
A survey of 236 firms for the Confederation of British Industry (CBI) found that many will make “damaging” moves which will include cutting jobs and relocating work overseas.
The survey focused on companies employing fewer than 500 people and it found that 82% of firms will start to implement their contingency plans by December if the Brexit process does not get any clearer.
The news comes as fears grow that the UK could leave the European Union in March without a deal, resulting in tariffs on exports, border checks and travel restrictions.
CBI director general Carolyn Fairbairn said the situation was “urgent”, adding: “The speed of negotiations is being outpaced by the reality firms are facing on the ground.
“Unless a withdrawal agreement is locked down by December, firms will press the button on their contingency plans.
“Jobs will be lost and supply chains moved.
“The knock-on effect for the UK economy would be significant: living standards would be affected and less money would be available for vital public services including schools, hospitals and housing.”
