
Responding to the publication of the UK’s negotiating mandate for Brexit talks, Allie Renison, Head of Europe and Trade Policy at the Institute of Directors, said:
“Directors will be relieved to see a significant amount of detail in the Government's negotiating stance, but disappointed that securing market access continuity seems to be less than a fundamental priority. It's right to focus on being comprehensive, but the UK and EU's starting points mean depth and ambition really matter.
“For most IoD members, maintaining ease of trade with the Single Market is more important than being able to diverge from EU regulations. This doesn't mean they expect everything to stay the same, but they were hoping for a more balanced approach on alignment and divergence – not least because of implications for trade between Great Britain and Northern Ireland arising from the revised Brexit deal.
“Both sides must now work flat-out from now to bridge the gap and secure a deal. Only a quarter of our members think there is enough time left to secure a satisfactory agreement, and for their organisations to adjust.
“Ministers should remember that the free trade agreement examples they cite always come with adjustment periods, despite being with countries much further afield and raising the prospect of far less disruption.”
How important or unimportant is continued ease of trade access to the EU and Single Market?
For your organisation:
| Overall | Small | Medium | Large |
Very important | 39% | 38% | 44% | 38% |
Somewhat important | 25% | 25% | 24% | 29% |
Neither important nor unimportant | 18% | 18% | 19% | 16% |
Somewhat unimportant | 8% | 8% | 6% | 9% |
Very unimportant | 9% | 10% | 7% | 9% |
Don’t know | 1% | 1% | 1% | 0% |
For the UK Economy:
| Overall | Small | Medium | Large | Non-Exporters |
Very important | 59% | 58% | 61% | 56% | 57% |
Somewhat important | 24% | 22% | 27% | 27% | 25% |
Neither important nor unimportant | 8% | 9% | 5% | 6% | 4% |
Somewhat unimportant | 3% | 3% | 3% | 4% | 5% |
Very unimportant | 6% | 6% | 4% | 7% | 7% |
Don’t know | 1% | 1% | 0% | 0% | 1% |
What is your preference for the UK’s approach to EU Single Market rules on goods?
| Overall | Small | Medium | Large | Non-Exporters |
Be able to diverge even if it means worse access | 34% | 37% | 32% | 24% | 30% |
Maintain access even if it means aligning on goods regulations | 63% | 59% | 65% | 76% | 67% |
Don’t know | 3% | 4% | 3% | 0% | 3% |
Of those who prioritise EU market access and alignment on goods, would that preference remain if it (also) meant continuing to align to EU rules in areas like employment, health/safety, environment and the competition?
Still prefer to align for market access in goods | 87% |
Prefer to lose EU market access in goods than align in these areas | 11% |
Don’t know | 3% |
What is your preference for the UK’s approach to EU Single Market rules on services?
| Overall | Small | Medium | Large | Non-Exporters |
Be able to diverge even if it means worse access | 36% | 35% | 37% | 40% | 42% |
Maintain access even if it means aligning on goods regulations | 61% | 61% | 62% | 58% | 57% |
Don’t know | 3% | 3% | 2% | 2% | 2% |
Of those who prioritise EU market access and alignment on services, would that preference remain if it (also) meant continuing to align to EU rules in areas like employment, health/safety, environment and the competition?
Still prefer to align for market access in goods | 91% |
Prefer to lose EU market access in goods than align in these areas | 7% |
Don’t know | 2% |
What is your preference for the UK’s approach to import tariffs after Brexit?
Align UK tariffs to all EU tariffs to avoid RoO | 32% |
Align some UK tariffs to EU tariffs – meaning partial flexibility and avoid some RoO | 34% |
Don’t align any UK tariffs to EU tariffs for complete flexibility | 20% |
Don’t know | 10% |
Other | 4% |
What do you consider to be the most important priorities for post-Brexit negotiations with the EU?
Maintaining ease of movement of people and labour between the UK and EU | 48% |
Avoiding tariffs on trade between the UK and EU | 42% |
Avoiding non-tariff barriers for goods trade with the EU | 38% |
Ensuring the ability to transfer data freely between the EU and UK | 26% |
Being able to diverge UK import tariffs from the EU's to facilitate new trade deals with other countries | 25% |
Avoiding non-tariff barriers for services trade with the EU | 22% |
Ensuring there is an adjustment period for businesses and end users to adapt | 20% |
Being able to diverge from EU rules covering services | 19% |
Maintaining ease of access to EU research and funding streams/collaboration schemes | 18% |
Being able to diverge from EU rules covering goods | 15% |
Other | 2% |
Don't know | 1% |
Which of the following factors, if any, are having a negative impact on your organisation?
UK economic conditions | 48% |
Uncertain trading status with the EU | 45% |
Skills shortages/employee skills gaps | 41% |
Compliance with Government regulation | 34% |
Global economic conditions | 34% |
Business taxes | 26% |
Difficulty or delays obtaining payment from customers | 25% |
Employment taxes | 24% |
Broadband cost/speed/reliability | 23% |
Transport cost/speed/reliability | 23% |
Cost of energy | 15% |
Access to, or cost of, finance | 14% |
Other | 4% |
None of the above | 2% |
Don’t know/Not applicable | 1% |
Which of the following statements most closely fits your view?
| Overall | Small | Medium | Large |
11 months is not enough time to negotiate satisfactory new relationship w/EU | 44% | 44% | 46% | 41% |
11 months is enough time to negotiate new relationship w/EU but insufficient to allow for business to adapt | 26% | 26% | 24% | 25% |
11 months is enough time to both negotiate new relationship w/EU and for business to adapt to it | 26% | 26% | 26% | 29% |