BREXIT: A Breakdown

brexit and IT

Since Theresa May put pen to paper on 29 March 2017, a lot has changed. After officially began the process of triggering Article 50 and leaving the European Union, Brexit has become hard to keep track of.

So, where do we stand now?

Research from YouGov polling shows that more than 7% of people now think that the decision to leave the EU was wrong than think it was right. As we are aware, there will not be another referendum. As of 31st January 2020, the UK officially left the EU and Brexit has begun. 

David Frost, the Prime Minister’s chief Brexit negotiator, is attempting to finalise the UK’s demands for the deal, negotiations continue between the UK and the EU regarding future trading. If there is no agreement, we could be facing a no-deal scenario in December 2020.  

Until then, we are now living in a ‘transition period’. The Brexit deal states that this transition period could continue for another two years until the end of 2023. The UK government passed a law banning any extension. Therefore, the UK will continue to follow EU regulations such as current rules on trade, travel, and business. From now until December, we will be hearing about any proposed plans regarding how we will be leaving the EU. 

What kind of deal can we expect?

According to media reports, Boris Johnson has said there is “no need” for the UK to follow Brussels’ rules whilst discussing his vision for a trade deal. There are questions whether the Prime Minister will call for a Canada-style free trade agreement. This free-trade agreement cuts tariffs, making it easier to export goods and services between the EU and Canada. This deal ranges from single markets to customs unions, to association agreements, to free trade agreements. Whilst there have been multiple reports that this is being discussed, there are no confirmations from the Government yet.

In addition to this type of deal with the EU, the government have also shown interest in other trade deals. There have been further reports of discussions in striking free-trade agreements with countries such as the United States, Japan, Australia and New Zealand. 

Over the next few weeks, Chapman Tate Associates will be posting a new series of blog posts, looking into what effects Brexit could have on the IT industry. If you have any comments or concerns you would like us to investigate, visit our website, call us on 0121 285 5529 or email info@chapmantate.com