Businesses 'frustrated by lack of progress in Brexit talks'

23 Oct 2018

A survey carried out by the Confederation of British Industry (CBI) has suggested that 'patience is now threadbare' amongst UK businesses in regard to the government's progress in its Brexit negotiations with the EU.

Businesses report that the lack of progress is having an adverse effect on many of their business decisions.

The survey revealed that 80% of firms believe that Brexit uncertainty is having a 'negative impact' on their investment decisions. The majority of businesses polled stated that they may have to implement 'damaging' contingency plans if no further progress is made by December.

Firms' contingency plans include altering supply chains outside the UK; cutting jobs; relocating production and services overseas; and stockpiling goods. 

Carolyn Fairbairn, Director General of the CBI, said: 'The situation is now urgent. 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.

'As long as 'no deal' remains a possibility, the effect is corrosive for the UK economy, jobs and communities.'