Keep calm and carry on!

The dust has far from settled on the EU referendum and the business community is waiting with baited breath to hear the government's plan for Brexit Britain.

Friday, 8th July 2016, 12:24 pm
Updated Friday, 8th July 2016, 1:27 pm
Simon John, construction specialist at Vincents Solicitors

With the markets volatile and the Bank of England twitchy, stability is what’s needed for Fylde coast firms says Mark Alexander, head of commercial at Vincents Solicitors.

“The UK has rarely seen such political upheaval as the last two weeks. The referendum followed by the revelation there is no ‘plan’ for what to do next, politicians resigning and fighting among themselves, and Europe keen to extricate the UK as quickly as possible, there is enormous uncertainty.

“There are also worrying signs in the macro economy, with the currency and stock markets’ violent reactions and the Bank of England’s dire warnings. Some major national firms are starting to be affected, the pound is still down as is the FTSE 100 and 250.

Mark Alexander of Vincents

“While this is alarming, the county’s businesses continue to operate, fulfilling existing contracts and serving customers. On the ground there is very little difference to a fortnight ago, it is very much business as usual for SMEs.

“It could be a while until decisions start being made, with leadership elections, a possible general election and potential legal challenges all pushing back the timescale. In the meantime, SMEs should be cautious but optimistic, an approach that has seen many though tough times in the past.

“Keeping an eye on the national picture is worthwhile, especially the FTSE 250 - the index widely considered a better barometer for the UK economy then the FTSE 100 - but these things are outside your control. More useful is making sure your house is in good order, that you understand your own financial picture and don’t overstretch. Maintaining strong relationships with customers and suppliers is still key to securing future work, and good communication will be helpful in recognising any changes and being able to react quickly.

“Unfortunately it’s difficult to plan for the future until the politicians fill the void with some credible policies. We may be in uncharted territory, but don’t panic and don’t make any rush decisions. Keep calm and carry on.”

Mark Alexander of Vincents