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Engineering services: A third of businesses remain unclear over Brexit

By 03/12/2020No Comments

​A new engineering services sector survey has revealed that just under one in three businesses (30 per cent) have said they are still not clear about the forthcoming business implications of Brexit.

Only a further one third (28 per cent) said they are ‘fully clear’ about the implications of the Brexit transition.

Three quarters (75 per cent) of respondents expect the cost of electrical and electronic products to either stay the same or rise after the transition deadline of 31 December 2020.

However, although over 40 per cent of respondents said product availability was a major factor on the horizon, fewer than one in five (17 per cent) said they expected product availability to be negatively impacted. Half (49 per cent) replied that they expect availability to broadly stay the same.

Rob Driscoll, ECA Director of Legal and Business, said: “It is perhaps no surprise that uncertainty remains a central theme as we inch closer to the Brexit deadline. However, these figures also reveal a degree of confidence in the sector – confidence in the availability of materials, and of skilled and competent individuals, once we are no longer part of the EU.”

Fiona Hodgson, SNIPEF Chief Executive, said: “The latest survey shows our Members are optimistic about Brexit and recovery from the pandemic. However, there is still much uncertainty surrounding both which may continue to have implications for the supply chain for some time. We will continue to monitor the position and Members need to consider the effect of higher prices and longer lead times when planning work.”

Two thirds (66 per cent) of businesses did not believe skills would be a significant problem after Brexit, and less than a fifth (18 per cent) they had adopted methods for dealing with skills issues linked to Brexit transition. This figure doubled for businesses with turnover above £20 million.


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