Almost one in three medium-sized businesses are going to have to drastically change their operations to cope with the new post-Brexit UK-EU trading relationship, according to new figures published today.
Research by accountancy firm BDO reveals 32 per cent of mid-sized businesses think they need to alter their business model to remain viable amid the new post-Brexit arrangements between London and Brussels.
The survey of 500 medium-sized businesses showed 36 per cent of firms are prioritising adapting their company to align with the new trading arrangements, much higher than the one in four focusing on their rebound from the pandemic.
Stuart Lise, Partner at BDO, commented: “The resilience of mid-sized businesses has been tested beyond all expectation in the last few years, but they have continued to demonstrate their ability to quickly adapt to new and often challenging scenarios.”
“While the onshoring trend sets to rise, businesses are still keen to continue to trade internationally and seek out new international markets.”
“As they navigate this transition and adapt to new ways of working it’s important these ambitious businesses are given adequate government support to ensure future growth is not hindered by rising costs and red tape.”
BDO’s research suggested that recent global supply chain disruption may prompt a significant proportion of UK firms to localise supply chains. 38 per cent are planning to onshore suppliers in the next three to six months.