Nearly half of top European block businesses cut UK investment
A survey finds that almost half of European Union businesses have cut back on their investment in Britain since the country voted to leave the European Union two years ago.
The report published Monday by law firm Baker Mckenzie surveyed over 800 business leaders in six key EU countries, AP reported.
It finds that despite European outrage over Brexit, 95 percent of companies in the countries surveyed say that the UK is important to their business.
“Ultimately, business people don’t want the relationship with the UK to break down completely,” said Eric Lasry, a partner at the law firm.
The survey finds that European businesses support a post-brexit deal that keeps trade relations as close as possible to the existing conditions, and three quarters say the EU should also make concessions to the UK to secure a functioning trading relationship.
Yet over half of business leaders believe their views are not well represented. Last month, the EU’S chief Brexit negotiator, Michel Barnier, warned that Britain must face “consequences” for leaving the EU, an antagonistic stance that doesn’t sit well with business leaders.
Animosity between the EU and the UK has slowed Brexit negotiations, and there is an increasing risk that the UK and EU will not reach an effective agreement on future trade relations by the time Britain officially leaves in March next year.
British Prime Minister Theresa May’s spokesman on Monday said it was up to individual firms to decide if they wanted to speak out about Brexit, but that the government was confident of securing an EU exit deal that businesses can get behind, Reuters reported.
“We have had longstanding engagement with business in relation to the Brexit process ... and we will continue to have that engagement. But what we’re clear on is that we are going to secure a Brexit deal which all employers in this country should be able to support,” the spokesman told reporters, adding that the government had had more than 2,500 meetings with business.
A number of high-profile employers have in recent days warned of the dangers to their business of any failure to get a workable Brexit deal.