The implications for the Scottish market in light of the recent Brexit vote, like the rest of the UK, remain unclear, with the inevitable lengthy negotiation period on the terms of our exit still yet to come. Many of the same issues arise here as in rUK, but there are a number of Scottish `quirks' that give us a few additional matters to consider here we take a look at a few of these.
The vote for Brexit has had a clear impact on the Scottish economy, and depending on political allegiances there's enough ammunition in the press to argue either way that it's been positive or negative. The SNP Government has claimed that Scotland's GDP will be 1.7 billion to 11.2 billion lower per year by 2030 as a consequence of Brexit. However, the recent announcement by the First Minister promising that 4 billion will be spent on infrastructure next year alongside the introduction of a new 500 million Scottish Growth Scheme to support small businesses has been broadly welcomed.There are also many Brexit issues yet to be fully analysed in the Scottish context. Many UK banks, including those in Scotland, are immersed in their internal discussions and planning but what effect will the Brexit vote have on this? Even though the implementing legislation was made at UK level, there are EU law implications to consider, such as the prohibition on the ring-fenced bank having non-EEA branches. Does this mean amendments to the rules may be required, and how extensive might they be? On a practical level for the Scottish banks, looking at the new subsidiary companies that are being incorporated to hive off assets that are being retained and sold should those be Scottish or English companies? So, in this mixed market, what advice can we offer?
We have established a specialist Brexit Advisory Group, consisting of experts across the firm, to provide clients with a `one stop shop' for pragmatic and informed advice on the issues raised by Brexit. Our Brexit Hub contains a raft of useful expert commentary and advice, and we are also offering private business planning sessions to discuss practical implications for clients.