There have been some very important business updates on Brexit. These changes will affect you if you already have or are planning to set up a business and payroll in the U.K.
What has changed?
The UK Prime Minister, Theresa May, has for the first time stated that the UK wants to remain in the EU Single Market and Customs Union until 2021. Before now, there has been a strong chance that this European access could end in March 2019.
Why is this important?
It provides strong assurance that your UK business will have full access to European markets for over 3 years from now. It will also allow your staff to continue traveling freely between the UK and Europe.
What could go wrong?
There is still a risk the U.K. will exit the Single Market in 2019 because the EU has to agree to a two-year extension. However, it is in both sides’ interest to agree a deal.
What will happen after 2021?
The long-term picture is unclear. The UK wants to have similar access to Europe as before without abiding by the EU’s rules on immigration and trade policy. The EU is unlikely to agree. Don’t expect any long-term answer quickly as this has been kicked down the road for now.