Thursday 6th June, 2019
According to a Thomson Reuters survey of 100 Chief Financial Officers (CFOs) across the UK and Europe, 31% of companies anticipate relocating staff from the UK because of Brexit.
The survey finds 40% of businesses continue to say that Brexit is impacting their strategic planning; this is identical to the last survey. Likewise, the number of business leaders who anticipate neither increasing or decreasing staff in the UK has remained constant at 51%; this figure was an almost identical 44% in December. 34% of companies say that they are still planning for a “no deal” scenario, a slight decrease of 4% since the last survey of 2017.
Since the Summer of 2017, the percentage of companies that are “only observing” the process, rather than taking action to plan for Brexit, has almost halved, from 43 to 22%. A further 36% are scenario planning the various potential outcomes of the Brexit negotiations, while another 22% are investigating moving functions out of the UK.
“Businesses appear to be holding fast to a ‘wait and see’ attitude, and a sizable minority (37%) have held off from investing in the UK, which suggests that the full impact is yet to be felt,” said Laurence Kiddle, managing director for the EMEA Tax & Accounting business at Thomson Reuters.
The CFO Brexit Survey was launched in June 2017, is conducted quarterly by the Thomson Reuters Tax and Accounting division and polls companies that generate from $100 million to more than $5 billion in revenue annually, across various sectors.