The impact of Brexit is becoming clearer for the UK’s SMEs, according to the latest research from Close Brothers Asset Finance, with the results showing Britain’s exit from the EU has caused business costs to increase for four in ten UK SMEs – and for a further 56% to express concern about the impact Brexit is having on their firm’s usual trading.
Further results indicate that 39% of respondents’ ability to import goods from the EU had been impacted, while for exports the figure was 33%.
“Brexit continues to resonate around the UK’s business landscape, and will do for the foreseeable future,” said Neil Davies, CEO, of Close Brothers’ Commercial division. “What we’ve found is access to goods and services from, and to, the EU is causing the biggest headaches.
“That being said, many firms don’t have much of a reliance on the EU and have subsequently not felt the same impact as others, meaning it’s a very mixed picture out there, dependent primarily on which sector you’re in.”
Key findings (selected sectors):
Q: Is your business concerned about the impact Brexit is having on your business’s usual trading?
|
|
UK total |
Construction |
Engineering |
Manufacturing |
Food and Drink |
Transport & Haulage |
Wholesale and distribution |
Retail |
Services |
|
Yes, it is making it more difficult to buy from the EU |
23% |
28% |
41% |
20% |
14% |
16% |
31% |
25% |
13% |
|
Yes, it is making it more difficult to sell to the EU |
21% |
23% |
27% |
29% |
17% |
26% |
30% |
14% |
10% |
|
Yes, it is impacting all areas of trading |
12% |
9% |
10% |
14% |
18% |
15% |
11% |
16% |
7% |
|
No, our trading has not been impacted |
33% |
30% |
19% |
33% |
39% |
38% |
23% |
33% |
42% |
|
N/A we don’t trade |
12% |
10% |
4% |
5% |
12% |
6% |
5% |
12% |
28% |
Q: Did you make special arrangements to prepare for Brexit?
|
|
UK total |
Construction |
Engineering |
Manufacturing |
Food and Drink |
Transport & Haulage |
Wholesale and distribution |
Retail |
Services |
|
Yes, all arrangements were in place in time for Brexit |
27% |
35% |
44% |
35% |
17% |
24% |
20% |
23% |
15% |
|
We made some arrangements |
34% |
31% |
36% |
38% |
30% |
46% |
48% |
32% |
21% |
|
No, we do not require special arrangements |
39% |
34% |
20% |
28% |
53% |
31% |
31% |
45% |
65% |
Q: How has your business found accessing supplies and goods from the EU since Brexit?
|
|
UK total |
Construction |
Engineering |
Manufacturing |
Food and Drink |
Transport & Haulage |
Wholesale and distribution |
Retail |
Services |
|
It’s more complicated / difficult |
34% |
41% |
48% |
36% |
30% |
40% |
30% |
34% |
20% |
|
It’s easier |
17% |
18% |
26% |
21% |
11% |
13% |
20% |
21% |
10% |
|
It’s stayed the same |
22% |
19% |
19% |
29% |
24% |
26% |
33% |
18% |
15% |
|
N/A we don’t access goods and supplies from the EU |
27% |
23% |
8% |
15% |
35% |
22% |
17% |
27% |
55% |
Q: Has Brexit had an impact on your firm’s ability to import goods from the EU?
|
|
UK total |
Construction |
Engineering |
Manufacturing |
Food and Drink |
Transport & Haulage |
Wholesale and distribution |
Retail |
Services |
|
Yes |
39% |
47% |
57% |
44% |
30% |
40% |
47% |
39% |
18% |
|
No |
31% |
24% |
28% |
45% |
32% |
31% |
31% |
25% |
27% |
|
N/A, we don’t import goods from the EU |
31% |
29% |
16% |
12% |
38% |
30% |
22% |
36% |
55% |
Q: Has Brexit impacted your firm’s ability to export products to the EU?
|
|
UK total |
Construction |
Engineering |
Manufacturing |
Food and Drink |
Transport & Haulage |
Wholesale and distribution |
Retail |
Services |
|
Yes |
33% |
43% |
58% |
40% |
21% |
35% |
39% |
26% |
14% |
|
No |
28% |
18% |
23% |
46% |
21% |
33% |
31% |
28% |
19% |
|
N/A, we don’t export products to the EU |
39% |
40% |
20% |
14% |
58% |
32% |
30% |
46% |
67% |
The full results of the latest results are available for download on the SME Data Hub.
