Briton’s plan to leave the European Union received a set back early today, as the high court ruled out that the parliament must first give its approval for the exit process to begin. Thus, with the latest hearing we can expect the process of Brexit to slow down a bit, but can never come to a halt.
Now, to all those who think that Brexit has the potential to affect the growth of startups in the UK, let’s explore it in a more clinical way.
We all know that London is a beacon to Europe’s top entrepreneurs and is known as a business hub of Europe. This will obviously encourage budding business people to come to London and set up a business. That’s due to the fact that Britain stands as a top marketplace in Europe giving access to the most customers. Furthermore, the existing legislature also encourages trade between different nations.
Till 2014 or 15, the UK was considered as a number one destination for foreign direct investment in EU. The region was in fact seen as a gateway to access EU markets. For this reason, UK topped as a net contributor to the EU’s development.
After the exit from the union, UK will naturally have more money to spend on their own homegrown funding initiatives. This will help the UK government to focus more on the startups of their region which will pave way for a renewed effort to create trade deals with the rest of the world.
As a result of this trend, UK startups will be seen more as problem solvers for a much wider range of markets. This will make the startups as agile as possible, exploring all options to ride through the uncertainty. However, there will be three areas to watch for when Brexit takes place and those are big companies, money, and talent.
Now, with enough said, who do you think will be the loser ?
Well, only time can give an apt answer to this question. Because UK has to meddle with new laws, and Europe has to first forgo the separation pangs and then has to face the pain of scarcity of funds required for development.
