The British Bulgarian Business Association The Brexit Debate- the UK Business View

The Present Situation – UK Stated Position Brexit means Brexit (May) No second Referendum (May) Article 50 to be submitted as soon as possible, but not until we are ready (May) We will pass our own laws on immigration (May) We voted as one United Kingdom and will negotiate as one United Kingdom (May) Existing Workers rights will continue to be guaranteed (May) Laws will be made not in Brussels but in Westminster (May) The objective is to achieve a soft Brexit with an EU trade agreement in place, but with the ability to negotiate other trade deals outside the EU (Garnier – PUS DIT) Vision is for a world without trade barriers (Price – Minister of State for Trade policy)

The Business Situation – BBBA and Partners (BCC/COBCOE) We are politically neutral Once the environment is defined, then we must work within it Brexit is seen in the UK as an opportunity and there is growing optimism – only 11% of UK companies export compared to 35% in Germany We need access to foreign labour - but under control The need for seasonal workers to support UK agriculture is recognised Uncertainty is already affecting business in Bulgaria – UK outsourcing is to some extent on hold until tariff issues are resolved – good reason for BG to support soft Brexit. BBBA is actively engaged in both BCC and COBCOE initiatives to represent the views of both UK and foreign businesses to both BG and UK Governments – note COBCOE on-line survey as part of lobbying process Some excitement in Commonwealth countries BCC Review of the Autumn Chancellor’s Statement: Overall this was a responsible package, given the constraints of the public purse – and included some important wins for the BCC and the Chamber Network – from the 5G trials, to money on infrastructure, housing and broadband, and strong focus on the growth requirements of our cities and regions.

The Big Issues - 1 Business wants soft Brexit – EU has a £60bn trade surplus into UK and EU exporters will not want to do anything that changes this However at the top the EU threatens to ‘punish’ UK – probably due to concern that if the UK gets an easy exit then others need to follow; political changes in Europe over the next two years may change opinion The strong EU demand for freedom of movement of labour in exchange for trade deal – but a political message not a commercial one – watch the developing Switzerland situation The need for the EU to adapt – devolution is the present trend, not more centralisation UK priority is now to strengthen perceived weaknesses in housing and productivity to strengthen economy as UK exits EU; Autumn Statement (Hammond) made strong moves in this direction The Nissan case – reinforces view of confidence in the UK; followed by JLR The world did not stop after the referendum The implementation issues over Brexit – the Referendum Act missed some points resulting in the present legal action

The Big Issues – Adam Marshall – DG BCC While comparisons between the Brexit vote in the UK and Mr Trump's victory in the USA seem to me to be oversimplified and very much overdone, I am struck by one important parallel: geography. For big-city Washington and its affluent, ever-more liberal and diverse suburbs, read London and the Home Counties. Yet an hour away (from Washington - ed), the deep discontent of small-town and rural Appalachia mirrors that of the many towns and shires across Britain that voted Leave. The pundits are right when they say that both results show we are living in an increasingly polarised world. Where they get it wrong is when they suggest it is ideological polarisation between liberal internationalists and conservatives who favour the nation-state. Instead, the divide is a geographic one. Between areas of haves and areas of have-nots. Between areas with diversified, outward-looking and buoyant economies, and those suffering the lingering effects of deindustrialisation and change. There's no identification with political parties or ideologies; there's a sense that the place that people call home just isn't working anymore. (Marshall) The debate is more than just about Brexit – that is just the tip of the iceberg. (JM)