TWO in five business in Northern Ireland will move their operations overseas in the event of a no-deal Brexit, a new survey has found.
And firms believe they have been 'abandoned and ignored' amidst the maelstrom of the pending departure from the EU, and fear growth will be stymied.
The survey, conducted by the Northern Ireland Chamber of Commerce, sought the views of business leaders across every size and sector of the local economy, including those involved in international trade.
It highlighted largely negative consequences for investment and jobs, finding that 31 per cent would revise investment plans down, and 30 per cent would revise recruitment plans down.
But there are those who do see it as an opportunity, and around one quarter of members would plan to boost trade plans in the event of a no-deal.
Only a small share of members believe that a no-deal exit from the EU will lead to increased investment (2 per cent) and recruitment (2 per cent).
As the October deadline approaches, the survey also uncovered details about the level of business preparedness here, with two in three businesses having so far carried out an overall risk assessment on the impact of Brexit on their business. Of those surveyed, 42 per cent of business currently manage currency risk specifically.
When asked about the key barriers to export, half of respondents cited uncertainty around Brexit as a significant factor. Other barriers include tariffs (37 per cent), exchange rate volatility (34 per cent), regulations (33 per cent) and skills (14 per cent).
In response to questions about the support required to encourage international trade, some of the most popular responses included introductions to overseas partners or distributors, subsidised access to trade shows and documentation support.
NI Chamber chief executive Ann McGregor said: “Most of our members have already felt very tangible effects on their businesses from the post referendum fall out.
“Increased costs associated with sterling’s depreciation and the need to stockpile or change supply chains have placed significant pressure on cash flow.
“External customers are losing confidence in UK trade and locally, there is increasing reticence to invest because of huge uncertainty and the loss of, or inability to attract migrant workers.
“Chamber members are using words like ‘abandoned’ and ‘ignored’ to describe the situation that business finds itself in without a final outcome in sight.
“With each passing day, the impact of uncertainly becomes more compounded and the consequences of a no-deal exit more stark. These results clearly indicate that crashing out of the EU without a deal will be a disaster for business – it must not be allowed to happen, under any circumstance.”
