I'm an "honest broker" so here's two changes the UK has just made that it couldn't have as an EU member.
- Scrapped the "tampon tax"
- Banned pulse fishing in UK waters (EU ban wasn't going to be until mid-2021)
Oh, and one more...
- Points-based immigration system for EVERYONE
If you're thinking "that list reads like a couple of Smarties vs a metric tonne of manure" you wouldn't be alone...
Except, that's not the whole story.
Despite very widespread Tory gloating today, it turns out that pulse fishing is "blue passports" all over again. Could have banned it without leaving the EU. France has done so already, for instance. independent.co.uk/news/uk/politiβ¦
But there's more...
Next year, the EU will remove the restriction on the minimum rate of VAT (currently 5%, except for products for which a VAT rate was set before the 5% floor came in).
So that really only leaves one pure, genuine, unqualified, no-smoke-and-mirrors change, and that's the new hostile environment in the form of the restrictive points-based immigration system.
It applies to EU citizens too. And THAT is what we had to leave the EU to achieve.
/END
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Ok, it's time to blow the bloody doors off the notion that Brexit is somehow benign... It is already HURTING large numbers of companies.
Here are 140+ examples of firms in the UK and the EU who have had to drastically change their plans because of Brexit. docs.google.com/spreadsheets/dβ¦
Next to each company's entry, you'll see the explanation of the changes Brexit has forced on their business model.
Certain themes recur. For instance, a lot of firms state that the VAT changes (which came in at the same time as the transition period ended) were the killer.
In some instances, it's clear the hiatus is temporary, to allow the dust to settle and a new clarity (or chaos) emerge.
But many other firms have just given up, abandoning the UK or EU market entirely.
Few conclusions from a major ferreting expedition over the last few days (to be revealed soonish)
A) A lot of EU stores won't ship to the UK any more, period - citing Brexit.
B) Still more have paused shipping temporarily for a few days.
C) Many seem unaware of the new VAT rules.
They're having to deal with:
- Coronavirus-related shipping issues
- Delivery firm changes because of Brexit
- Queue fears
- New customs declarations and other paperwork
- New VAT processes
- No more LVCR on orders under Β£15
None of the above apply to their remaining EU markets!
Plus, some don't seem to have updated their pages to account for the Brexit deal yet - perhaps unsurprising since it was only announced on 24 December and finalised on 31 December, and there were Christmas and New Year holidays in between.
Here are the new post-Brexit VAT rules. Basically, overseas firms are forced to register with HMRC, collect VAT then remit it to HMRC if they want to sell to UK customers. gov.uk/government/pubβ¦
BTW, Captain Kirk had raised this very issue back in October... π
(He's not the first person to mention it - not by a long way - but he's undoubtedly the most prominent.)
This is exactly what should have been presented years ago so that firms could prepare.
Or, arguably, before the Brexit referendum. Just the 70 pages of case studies released TODAY could have tipped the result the other way. Not everyone is blinded by sovrinty & hating forrins.
Going back to the examples...
The person in France buying (say) UK mechanical goods will take one look at the procedures involved, and Google an alternative supplier inside the EU instead.
And this one on selling fish to France. Hurts my eyes, and my brain.
Poor fishermen. And I mean that sincerely. They have been used as pawns by the high and mighty throughout the Brexit process. And now they have to face this.
Full Brexit in just over 7 hours, and the UK Government website doesn't seem to know what rules will apply to moving goods around the EU for temporary purposes, such as to take stuff to trade shows... gov.uk/taking-goods-oβ¦
Here's where it gets "fun" if you follow a few breadcrumbs.