Brexit has many short- and long-term implications for UK companies that are active in European markets. The talent pool available in the EU, for instance, will be less accessible to UK businesses. These implications will affect all sectors, but more regulatory sectors such as Fintech will probably be more affected than others. It is uncertain that London, the renowned “Tech capital of Europe”, will keep its position after Brexit, or be caught up by cities such as Amsterdam, Dublin, Paris or Berlin. Regarding data privacy, the transfer of personal data from the EEA to the UK will be restricted (GDPR) and the number of regulatory policies will be increased, specifically if the EU considers the UK a “safe third country”.
EU funding for ongoing research and development programmes will be cut after 2020. Together with the ongoing uncertainty of intellectual property rights post-Brexit, disruption to UK-based innovation in different sectors seems inevitable.
Since the Brexit referendum in June 2016, 140 companies have opted for the Netherlands because of the UK leaving the EU. Media companies Discovery and Ridley Scott, credit rating agency AMBest and Life Sciences & Health manufacturer Shionogi have been amongst these companies. Although the UK has now left the EU and has entered a transition period, uncertainty about a new economic partnership and its effects on international business remains. The sustained uncertainty from Brexit results in a growing number of companies considering moving to the Netherlands. Many companies want to continue doing business in the European Market without facing any disruption or uncertainty.
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