Effect of Brexit on international removals companies
The impact of Brexit is already being felt in many industries, and the international removals industry is no exception. Though the consequences of Brexit are ultimately uncertain and difficult to predict, some guesses can be made regarding its potential effects. Already the removals industry has felt positive and negative impacts of the decision to leave the EU, which will undoubtedly grow and change in the future. In this article, Britannia Sandersteads will be exploring the main effect of Brexit on international removals companies.
Property market impact
Removals companies in the UK may find themselves caught in a domino effect, resulting from the Brexit impact on the property market. Estate Agent Today reported that from a survey of 1200 people buying and selling homes, 13 per cent have cancelled their move to the EU following the Brexit leave vote. With people less able to buy homes due to decreased economic stability, the demand for the services of removals company may be be put into jeopardy, causing loss of business and a decrease in income.
Tariffs
The trading agreements between Britain and the EU have been very helpful to all countries involved, and have allowed a free tariff trading agreement for removals companies when moving clients to and from European countries. With the triggering of Brexit, new agreements will have to be negotiated which may result in tariffs that are not favourable for removals companies when delivering their services to Europe.
Free movement
The smooth operation of Britain’s removals companies relies on free movement across Europe, which will become more difficult after Brexit. More paperwork and checks may have to be completed before removals vehicles are allowed across borders, which could delay proceedings and cost companies more time, money and complications. This may then also impact the decision of UK nationals already living in the EU – if they wish to move back to the UK, they may be more inclined to hire the services of a European company to avoid these complications. This may increase competition for business between British removals companies and European removals companies.
Workforce changes
The EU has resulted in a free transfer of labour amongst EU countries, meaning that British companies have benefited from a skilled European workforce. This option will not be as easily obtainable for UK businesses, removals companies included. On the plus side, this may result in more unemployed British nationals being able to take advantage of these new job opportunities.
More people moving
One positive impact of Brexit on the health of the removals industry could potentially be the increase in British citizens wanting to move abroad, therefore resulting in a slight boost in business for removals companies. Also, EU nationals currently residing in Britain may be wondering now whether they will be allowed to remain in the UK, or if they will need to move back to Europe. This possible mass-migration may result in more work for removals companies in the future.
Who voted for Brexit?
EU referendum results – The United Kingdom voted to leave the European Union by 52% to 48%. Both England and Wales voted to leave the EU with the majority of votes, while all of the council’s in Scotland voted to Remain in the EU by the majority.
Brighter future
A big argument of the Leave campaign was that after a few rough years, there should be an eventual boost to the economic stability of the country. Therefore, ultimately, businesses and citizens may come to benefit from Brexit once the country has recalibrated itself.
The primary thing to remember is that there is a strong element of unpredictability surrounding Brexit. Nobody knows for certain how the future will pan out or what the eventual impacts and benefits of will be – only time will tell.
Catch up with us next month when we will be exploring this issue further by covering what Brexit means for EU citizens in the UK.
If you’re planning to settle down overseas, the friendly team at Britannia Sandersteads can help you make the move. As a leading international removals company with over 50 years’ experience, our team are fully experienced to effectively pack and transport your prized possessions to your new home. We offer our comprehensive services throughout Greater London and Surrey, including Croydon, Epsom, Reigate, and Weybridge – get in touch today for some friendly advice.