The recent official confirmation that UK will no longer form part of the European Union, has raised even more questions than before, considering that the public doesn’t have any details what the withdrawal agreement from the European Union (EU) entail.
Among the many aspects of Brexit that remain unknown and unpredictable, along with numerous unanswered questions, business owners are wondering what’s going to happen, especially with regards to imports and exports from and to other countries, since UK might not remain part of the EU free trade area.
The transition period that is in effect until 31st December 2020, is there to create an orderly exit from the EU and ease impact on businesses. The change that will impact most businesses will surely be an adaptation to the EU rights of having free trade of goods and services across the EU member states. In relation to this, business owners know that tax and duty reporting will be affected, and so they are eager to learn what changes will be introduced.
The same applies to the free movement of people, which in today’s world where people search for jobs outside of their home country for various reasons, is also of a concern for both employees and businesses.
Below is a list of what is most likely to effect Maltese businesses:
- Imports and exports
- VAT payments
- Copyright, trademarks and patents
- Recognition of qualifications
- Recognition of licences such as those related to banking and insurances
- Data sharing (protected by the GDPR)
- Employment of EU citizens in UK
- Employment of UK citizens in the EU
So far, it has been known that some EU laws will be adapted to still apply to the UK, by incorporating EU laws into UK law, and by having a number of laws referred to as a ‘retained EU law’. However, it is still not known what modifications to which laws will be affected … but it is understood that there won’t be any drastic changes. This does not exclude the extent to which the effect on businesses will be.
Watch out this space for more updates related to the changes brought about by Brexit.