Source: Crowe Clark Whitehill via Mondaq, 18 July 2017
“There has been much debate about whether Brexit will have a positive or negative impact on the UK’s international trade. For many, leaving the EU presents many questions to which the answers are unclear. But, in the continuous mist of uncertainty there could be a potential bright side to Brexit, where international trade zones are concerned, in the form of Free Trade Zones.”
“Free Trade Zones are widely used across the world, particularly in the US, South America, Canada, Middle East and Asia. The precise format varies, but it is very common for governments to use Free Trade Zones to encourage local manufacturing. They can also be used to simplify, or remove, import and local tax obligations for goods that are imported into the zones for manufacturing or processing.”
Robert Marchant, of Crowe Clark Whitehill, says “Clearly, the establishment of Free Trade Zones themselves will only help the UK economy if the port infrastructure is in place to support and assist UK manufacturers. A quick internet search shows that the UK is one of Europe’s biggest importers and exporters and my clients tell me that the UK has excellent port facilities; which suggests that the infrastructure is in place and could therefore be a platform for the creation of UK Free Trade Zones.”
Source: bbc.co.uk 11.01.2017
Mark Carney has put his finger on one of the biggest debates developing in the City at the moment.
Brexit may hold risks for Britain – the economy and the supremacy of London as Europe’s financial capital being two of them.
But the rest of the European Union also faces risks.
And, according to the governor, those risks are greater for the continent.
Source: The Telegraph 15.11.2016
It is now known that the damaging memo, which was written on Nov 7 by Keith Leslie, a partner at Deloitte, had been intended for an “internal audience”. David Sproul, the chief executive of Deloitte UK, was a prominent Remain campaigner and signed a letter calling for the UK to remain in the EU.
Iain Duncan Smith, former work and pensions secretary, said that Deloitte should be stripped of Government contracts, “I don’t think this was an accident, this was quite deliberate. They were determined to do as much damage as possible.”
“This non-commissioned report is utterly bogus, gleaned from newspaper cuttings. The Government doesn’t need any more civil servants. What a load of old rubbish.”
After a day of criticism Deloitte released a statement admitting that the memo was “not commissioned by the Cabinet Office” and was “conducted without access to No 10 or input from other government departments”.
Source: Davis Polk & Wardwell LLP, July 27 2016
On June 23 2016, the UK electorate voted to leave the European Union, a process commonly called ‘Brexit’.
The referendum was advisory rather than mandatory so it will have no immediate legal consequences. It will, however, have a profound long-term effect.
As the next steps will be driven by UK and EU politics, it is difficult to predict the future of the United Kingdom’s relationship with the European Union and their impact on M&A activity.
Source: kpmg.com press release 4 July 2016
“Whilst from a policy perspective it may help make the UK a “super-competitive economy”, a reduction in rates will likely not be enough on its own to drive FDI (Foreign Direct Investment). KPMG surveys of clients have consistently concluded that companies want stability, predictability and certainty, both in economic (including tax) and political terms. Whilst the current political and economic volatility prevails and uncertainty over a post-Brexit UK remains, companies may well be reluctant to invest in the UK.”