Brexit, backstops & borders: uncertainty for supply chain

Ian Murphy 26.03.2018
This past week has proved to be an interesting week for supply chain professionals on both sides of the border as the UK and EU agree to a transition period for the UK's exit.
From March 2019 to December 2020, the UK will be able to negotiate stand-alone trade deals with other countries, while still remaining part of existing EU deals. This will prevent the cliff drop that would otherwise happen. 
From a supply chain perspective this provides timelines around the EU/UK relationship continuing next two years. However, lacking from these announcements was how the relationship will function. The announcement did not provide any information other than the fact they have agreed there will be a backstop solution, which has not been agreed to by the UK, and no one has any idea what that will look like. Without any tangible reassurances on how the relations will work, there is still a lot of guesswork for companies to get Brexit ready
In the last few months we have spoken with multiple companies who have begun the process of Brexit-proofing their supply chain. This has involved moving their distribution hubs to other European companies, diversifying their customer base and also looking at methods of ensuring they will still have access to the UK market. We have also seen an increase in the number of UK-based applications, with many looking for future job security in light of the number of closures and liquidations.
At Morgan McKinley we have highly experienced specialist recruitment consultants working in Ireland, the UK, and France as well as in Asia-Pacific allowing us to gauge market sentiment. This allows us to be flexible and proactive in the changing relationships that 2018 will throw at us. 
If you are a company looking for the latest supply chain recruitment information to inform any hiring decisions, please feel free to contact me or any of our national supply chain recruitment team today.
Ian Murphy's picture
Senior Consultant | Supply Chain, Planning & Procurement Recruitment


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