Preparing for a no-deal Brexit : Part 2
The UK Government continues to say that a “no-deal Brexit” is unlikely – but it has now published further papers giving more information about what will happen if a deal is not reached with the EU in relation to the UK’s withdrawal by 11 pm on 29 March 2019.
This is against a backdrop in which the Bank of England Governor Mark Carney is warning of a house price crash and a financial shock to the UK economy if no deal is reached; and Christine Lagarde, the managing director of the International Monetary Fund, saying that a no-deal Brexit would result in reduced growth and entail substantial costs for the UK economy.
One of the headlines has been the suggestion that those of us who hold UK driving licences may need to obtain international driving permits if we wish to drive in the EU. This is one of the consequences of the EU rules on mutual recognition no longer being available to the UK.
Goods manufactured to national, rather than EU-wide, regulations and standards would no longer have the benefit of that mutual recognition principle. Products that have been tested by a UK body will no longer be able to be placed on the EU market without first being re-tested, re-certified and re-marked by an assessment body recognised by the EU.
Businesses need to be aware of this and to build it into their contingency planning.
If you have any concerns about how this may affect your business, please get in touch with our team.Back to Our Thinking →