‘The world keeps on turning’ – top bosses optimistic for future
BUSINESS leaders spoke up for Britain yesterday, insisting the decision to quit the EU would not harm their companies.
The vote has stoked fears that vital British trading links could be cut off after the nation dared to defy the European Union, with thousands of jobs supposedly at risk.
But as markets rallied yesterday, bosses began to challenge that view, expressing optimism about the opportunities ahead.
Even investment banks denied a feared stampede for the exit, although some City jobs could still be lost.
Premium car maker Jaguar Land Rover insisted its plans were unchanged and said German rivals were unlikely to support new barriers to growth.
Group strategy director Adrian Hallmark said: ‘If you look at the volumes German premium manufacturers sell in the UK, I can’t imagine they would want to see such a market opportunity being cut off.
‘It’s in the interest of the EU to main- tain access to the UK market, so I can’t imagine there would be any overly punitive measure in the premium end of the business. It would be cutting the European nose off to spite its face.’
This echoed the view of engine maker Rolls-Royce, which stressed the referendum result had made no difference to its business.
Earlier this week, the company said there was ‘ no immediate impact’, but the medium and longterm results would depend on relationships struck between Britain and the EU.
Japanese car makers with UK plants such as Toyota and Nissan could be affected, but analysts say they are likely to take years to decide what they do next.
On the High Street, Next boss Lord Simon Wolfson has already said he believes the country can thrive outside the EU and there is ‘huge potential’ for the economy. Now the chief executive of electronics firm Dixons Retail has argued his company would handle the result well.
Seb James said: ‘In the last five days we’ve seen trade pretty much continue as before, with sales up.
‘For most people in the country, they are carrying on doing what they were doing before.’
He added: ‘I’m optimistic. We have got a good track record of dealing with these things both in the UK a few years ago and in Greece last year, where we emerged with higher market share and better profitability.
‘The world keeps turning. Of course, it is early days. The job is to focus on the future.
‘There will be a period of uncertainty in the financial markets. But Dixons is coming from a position of strength.’
Online grocer Ocado believes it might also be on course to benefit from Brexit, with the weaker pound likely to help it secure a longawaited overseas licensing deal.
And in the telecoms industry, BT chief executive Gavin Patterson said some British businesses would fail but it could give others space to grow.
‘I see this as a moment of opportunity,’ he added. ‘There are going to be businesses that don’t make it through this.’
Dido Harding, chief executive of mobile operator TalkTalk, struck a note of defiance, saying: ‘What doesn’t kill you makes you stronger. I refuse to be doom and gloom.’
Investment bankers are likely to find the Leave vote hardest to swallow. Before the referendum, several warned jobs would move abroad if Britain lost its access to the EU’s single market.
But Goldman Sachs and Morgan Stanley denied rumours yesterday that they had pre-let office space in Frankfurt in case a rapid move was needed.