SME’s overly regulated?  

Businessman with head in hands

With Britain's relationship with the EU still uncertain, the European business community is taking the opportunity to have a really good scratch of its chin.

Think tanks, boffins, IFAs and of course politicians across the continent are all deep in the midst of prophesying equal parts prosperity and doom, depending on which side of the financial fence they are currently hiding behind, but one point keeps raising its head above both sets of battlements, which begs the question… Are SME’s overly regulated?

The question is certainly an interesting one and again there are those on both sides of the fence, and the channel, who simply can’t make up their minds. Clearly though the multinationals have no such reservations and giants like Nissan and Siemens are firmly in favour of the status quo. The thing is, the EU favours the giants and makes importing and exporting on a grand scale a much simplified process.

Equally the Hedge Funds and one man bands who can, and do, operate from anywhere are unanimous in their will to leave Europe and its red tape far behind. SME’s however, are stuck firmly in the middle and, while there is an argument for both sides, it’s the idea of the potential uncertainty that is shaping opinions. That said, there are many within the EU who simply prefer trading outwith it and for those with the means and the market it is an attractive option.

There’s no denying that the EU means bureaucracy, and if the UK finally does indeed ‘Brexit’, all eyes will be on how the business world reacts. If a deal is struck, as it appears it might be, then it may be in the EU’s interest to consider tearing up a little of its red tape to help dissuade other remaining members from following the same route as the UK.

If we leave without a deal, we may find ourselves forced to strike new agreements or we may try and force the EU to honour some of the existing ones. Either way, it is unlikely that we’ll be able to remove many of the regulations already in place which begs the question, does it really matter which direction we take?

For the rest of us, we won’t know where we stand until October 31st at the earliest. One thing is certain whatever happens, it’s going to change business in the UK regardless.

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