Business leaders are bracing themselves for a significant rise to the cost of doing business post-Brexit, claims new research by Vistage.
British politicians may have taken ‘No-deal’ off the table, but more than half (58%) of UK business leaders expect costs to rise after Brexit, even if a deal is struck. Just 6% of respondents believe cost of doing business will decrease post-Brexit, while 35% believe the situation will remain broadly unchanged.
Just over a third (38%) of bosses believe that access to local business funding and grants will also become more challenging post-Brexit. Respondents were also sceptical about the so-called ‘bonfire of red-tape’ which was a key part of the Leave campaign’s manifesto.
38% believe bureaucracy will become more of a hurdle post-Brexit, versus just 17% who believe a deal with the EU will lead to fewer regulations and less red-tape.
Meanwhile, 41% said Brexit would have a negative impact on access to international markets. Less than one in five respondents (19%) thought Brexit would help them to access new markets and do more trade internationally.
Geoff Lawrence, Vistage General Manager UK commented: “UK business leaders clearly have reservations about how a negotiated exit from the EU will impact their business. The longer we go without clarity, the more these reservations will intensify.”
Over half of the business leaders surveyed by Vistage expected economic conditions to worsen in the next 12 months. But they remain largely confident about the health and growth prospects of their own businesses. 62% of respondents expect to grow revenues in the next 12 months, while more than half (52%) expect to hire more staff.
Geoff Lawrence continued: “Speaking to many Vistage members, there is a feeling that they just want to be left to get on with things. UK business owners are a highly resilient bunch and they find a way to success whatever happens.