- About Us
- Contact Us
In his article, Sutton traces an overview of the market reaction to the decision by the British electorate on the 23rd June to exit the EU. He lists several effects following the referendum as Sterling devalues to its lowest level in 30 years against the dollar and the euro, UK manufactured goods become instantly more competitive, manufacturing outputs rose to their highest level in 25 years in August and raw material imports were predicted to become more expensive.
Despite the initial tumultuousness in the market after Brexit, economic numbers showed that the British manufacturing sector is able to compete with German manufacturers as the sector “has outperformed the productivity growth of the service sector in the 20 years prior to 2014”, says Sutton.
But trade with the EU is still very important. “There is an air of cautious optimism across the sector. Most manufacturers echo the sentiment that EU customers and suppliers who trade with the UK will want this to continue as the trade is very significant, 54% of UK imports come from the EU and 47% of UK exports go to the EU. Would it be foolhardy to jeopardise this lucrative trading arrangement?”, questions Sutton in his article.
Come rain or shine, there is an air of uncertainty. Sutton lists three important issues that need to be clarified.
– The Brexit government’s ability to negotiate a free trade agreement with the EU and the looming spectre of immigration which could derail this process.
– Government consideration as to how to fund EU manufacturing- will this be replaced once this source of funding has been switched off?
– Will the UK government support and drive the manufacturing sector?
According to Sutton, it is very important to keep a free trade environment between the UK and the EU, but things need time to be settle. “UK manufacturing needs to recognise that any deal to negotiate free trade status in the EU will be lengthy, face many hiccups along the way and ultimately will need the agreement of all 28 EU members”.
Clearly there are big challenges ahead.
Source: Kreston Reeves
Artificial Intelligence (AI) has been garnering a lot of media attention of late. And for good reason – its potential
Earlier this month, the Senate voted in Donald Trump’s controversial $1.4 trillion tax reform bill by the narrow margin of
To say that there’s been a backlash against globalisation in recent years would be an understatement. From demonstrations in France
“May you live in interesting times” goes the Chinese expression. In fact, it’s actually more of a subtle barb to
Earlier this month, the Slovenian Prime Minister, Miro Cerar, stated that he “want[s] to position Slovenia as the most recognised
In the UK, they’re known as Generation Y, in Germany Generation Maybe, and China has labelled them as the generation
Rodney Sutton, head of manufacturing at Kreston Reeves, recently shared his thoughts on the UK manufacturing industry following the referendum
The adoption of international accounting standards has brought many benefits to the private and public sectors. This being said, there
Remote working is becoming a way of life for many professionals and the ability to work in a variety of
A common global language for business affairs, IFRS Standards are required by more than 120 jurisdictions in the world. Recently,
Automated technologies and artificial intelligence in our society will challenge many professions in the future. Some of them may be
Crowdfunding is still relatively new but should still be considered as a viable source of equity. Nowadays, it is providing
A legal amendment to the Finance Bill recently accepted by the UK government may pave the way for big changes
In the business world, there are bumps on the road and financial setbacks. In this situation, it is easy to
Day by day, technology is becoming an essential part of our lives, as the way we manage our financial life,
A new generation is coming to challenge the market. The Millennials make up a quarter of the US population and
Managing change is one of the biggest challenges for businesses as it requires a huge effort from managers and organisations
Sustainability reports are released by companies and organisations of all types, sizes, and sectors, from all over the world. A
Accounting is an indispensable tool for entrepreneurs to manage their business. The data provided by competent
Thinking about the risks involved in business has become an essential part of an enterprise’s strategy. Risk management enables organisations
When a business does not achieve its expected results, it may be time to think about implementing change. In these
The Financial Times recently reported the dispute in the courts between the UK supermarket chain Sainsbury’s and MasterCard. The Competition
For many, the accounting profession may not seem the most attractive in the world. But with technology and innovation at our hands, this is about to change.
By following these five steps, communication has everything it needs to flow better, regardless of where your business is located and where the people you
The need to go global is something that has emerged over the past decade and promises to challenge business for the next coming years.
Recently a considerable change in the SME market was announced through business news on the internet. The Big Four have
There are five topics that we must remember when dealing with working personal relationships in international business…
Slowly, one of the last socialist countries in the world is preparing to make changes to its economy, but how will this be done?
Developing countries attract the attention of investors by offering good opportunities and new markets, making them attractive for anyone thinking of expanding their
Through a mobile app, a small business can promote its brand, products, and services, expand its sales channels, interact with the target audience and get
Last month, experts at the Milken Institute Global Conference in Los Angeles looked at certain megatrends and predicted several economic scenarios for 2040 to
Your browser (Internet Explorer) is out of date.
It is no longer supported by Microsoft and therefore may not display all features of this and other websites. Learn how to update your browser here