Most UK businesses still to complete Brexit risk assessment

The British Chambers of Commerce said that 62% of the 2,530 companies it had surveyed "still haven’t completed a Brexit risk assessment". The survey was carried out in August.

Brexit expert Guy Lougher of Pinsent Masons, the law firm behind Out-Law.com, said it is not too late for businesses yet to undertake a Brexit-assessment impact to do so. 

"A particularly effective way of identifying potential Brexit risks and opportunities can be through a structured scenario planning session, bringing together the functional leads within an organisation for areas such as procurement, commercial contracts, finance, risk, data and HR," Lougher said.

Dr Adam Marshall, the director general of the BCC, said the lack of clarity over "key business issues" relating to Brexit means it is vital that a Brexit transition period is put in place. This would "allow all firms the time to acknowledge and prepare for change", he said.

The survey also found that 21% of UK businesses plan to cut their level of investment in the event of a 'no deal' Brexit, while one in five also said they would move all or part of their operations to an EU27 country in that scenario, according to the BCC.

Marshall said: "Our evidence is clear - failure to reach a political agreement would have real-world consequences, with significant decreases in both investment and recruitment. Larger firms and those active in international trade would suffer the most from a disorderly and sudden exit from the EU, but there will be impacts across the board."

"Most concerning of all, a materially significant number of businesses are considering moving part or all of their operations to the EU in the event of ‘no deal’. Government must act urgently and decisively to get a comprehensive deal done. They also need to use the levers they have, such as the upcoming Budget, to ensure they provide the right conditions for growth at home," he said.