Leaving the EU meant the end of free trade between Britain and its European neighbours, along with an end to the free movement of goods, services and people. For many companies, especially manufacturers that rely on European partners for components, this has led to inevitable supply chain upheaval.
John Breen, geopolitical consultant for strategic advisory firm Sibylline, says the main challenges for manufacturing businesses in the wake of Brexit include trade barriers, exacerbated labour shortages, increased logistics costs and tariffs.
“Brexit is having a negative impact on UK export-focused industries like manufacturing,” says Breen. “The new customs rules as of January 2022 have increased operating costs for the UK’s manufacturing industry.”