07 November 2016

Financial Times: Article 50 ruling ‘makes life more uncertain’ for business

Both Carolyn Fairbairn, head of the CBI employers’ federation, and Sir Gerry Grimstone, chair of Standard Life, said they had concerns about the consequences of the legal decision.

For businesses, the ruling confuses the timeframe of Brexit and opens the path for more lobbying over terms.

Speaking in Delhi ahead of the prime minister’s two-day trade mission, Ms Fairbairn said the CBI had no official position on what was a constitutional matter. But she said some of her members had concerns.

“Businesses really value certainty,” she said. “The majority wanted to remain in the EU but now they are committed to finding the best route to leaving. Their biggest concern now is around the timing and the way that it is done.”

That warning was echoed by Sir Gerry, who said: “Do I think it is going to make it easier or more difficult to change the Brexit outcome? You could argue it either way. But what it does do is add another element of uncertainty, which the City never likes. Anything that lengthens the timetable or increases the uncertainty is negative."

Mrs May said the country needed to focus on the timetable she had set to notify Brussels of Britain’s intention to leave the EU by early next year. “We need to turn our minds to how we get the best outcome for our country,” the prime minister said.

“That means sticking to our plan and timetable, getting on with the work of developing our negotiating strategy and not putting all our cards on the table — that is not in our national interest and it will not help us get the best deal for Britain.”

Mrs May said on her trip to India that she wanted to use her first big trade mission since becoming prime minister to “reboot an age-old relationship” in the wake of Brexit.

She is keen to kick-start informal talks over a possible free trade agreement, which the Leave campaign highlighted during the referendum as a significant benefit of Brexit.

Ms Fairbairn said: “It is very important that this is the prime minister’s first trade mission. It signifies to India that Britain is open to the rest of the world outside the EU.” [...]

Full article on Financial Times (subscription required)

© Financial Times