- What impact could a “No-Deal” Brexit have on your business?
What impact could a “No-Deal” Brexit have on your business?
What impact could a “No-Deal” Brexit have on your business?18th November 2020 - Published by Kuits commercial team
As we near closer to the end of the Brexit transition period on 31st December 2020, talks are still very much ongoing in a bid to reach an agreement as to what the future relationship between the UK and EU will be. The UK leaving the EU without an agreement in place is what has been coined as a “no-deal Brexit” and as a result, from 1st January 2021, you and your business could see a number of new rules and regulations with which you will need to comply with.
These changes will take time to implement and so in order to help you understand the upcoming changes and how they may affect your business, our experienced commercial team have prepared a checklist setting out the key considerations and actions that will be required in the event of a no-deal Brexit.
The UK has its own legal systems compromising of three jurisdictions, England and Wales, Scotland and Northern Ireland, and a large proportion of UK law is derived from EU law in one of two ways:
- directly, in the form of automatically applying EU Regulations, so there was no need for UK domestic law to implement it within our jurisdiction; or
- indirectly, in the form of EU Directives, which were implemented in UK law by domestic legislation. If domestic legislation does not enshrine the EU Directives, they will not apply in the UK.
Therefore, any EU legislation not incorporated into UK law through UK legislation following Brexit would likely be rendered inapplicable and unenforceable in the UK. This would cause inconsistencies and gaps in the UK’s legislation which would need to be addressed to either replicate or replace the EU law embedded in UK law.
Generally, the UK’s approach is to adopt some form of transitional “grandfathering” whereby existing rights and obligations under EU laws will automatically accrue to English Law, until such a time as the grandfathered rights are challenged or repealed by the UK government.
In the event that a deal is reached certain of our key issues and recommendations may not be applicable and you should seek further advice.
The experienced Kuits commercial team has prepared a checklist setting out the key considerations and actions that will be required in the event of a no-deal Brexit, to see the checklist in full please click HERE.