BREXIT: What will happen?

June 23, 2016 is a date that future schoolchildren will remember in history as the dayWhen Europe was divided. Indeed, to everyone’s surprise, the English people decided to dissociate themselves from the European project at 51.9%. Negotiations between London and Brussels for an exit deal are very long, however, with Brexit formalising scheduled for 31 October 2019. Even if the consequences of this “divorce” are far from entirely foreseeable, several effects affecting the French are to be expected.

Return of customs taxes

French companies will probably face the issue of tariffs. Indeed, these are very likely to be increased, moreover in the case of “No Deal” as the situation seems to loom. The consequences of such an increase are of course obvious for British companies, but they also exist on the French side as well in B2B (prices charged by higher overseas suppliers thus potentially having a impact on profitability, difficulties in exporting French products) than in B2C (customs fees to be added to shipping costs).

Will you need a visa to travel or work in the UK?

Once Brexit is effective, it seems possible that it is necessaryto obtain a visa to travel or work in the UK, especially since the British have never been part of the Schengen area.

What are the consequences for French tourists, students and expatriates in the UK?

Whatever the reasons for travelling to the UK,it goes without saying that the cost of living, already very high in the capital, will be even higher. Thus the travel budget or daily living budget will necessarily have to be revised upwards. The issue of visas mentioned above may not arise for short stays, but it is surely to be considered for longer stays and expatriations. All health insurance issues will also need to be closely monitored,the European Health Insurance Card may not work either. But on the face of it, there is no need to panic or be alarmed, at the pace of things, the transition period, which will last at least until the end of 2020, will allow the necessary steps and adjustments to be made.

Brexit: a challenge that presents itself to the British

Brexit revives the various desires for independence of Ireland and Scotland rather pro-European. On the other hand, many are concerned about the impact of Brexit on the country’s attractiveness, particularly for potential investors. There is also the question of the creation of a new financial centre in Europe. Frankfurt or Paris could then take advantage of this opportunity to become the place of creation of a new European economic place. Thus, the British will have to hurry to make Brexit viable by creating a veritable battery of agreements on the themes of free trade, immigration, European Union funding programmes… On both sides, questions are numerous and the outcome of the discussions is expected to be heated for years to come…