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Essential things businesses must now do to cope in no-deal: Chartered Accountants

Chartered Accountants Ireland is warning UK and Irish traders that come April 12 they could very well be facing a starkly different trading landscape and they need to act now to prepare if they have not already done so. In the worst case scenario, the UK will leave the EU next week without a deal and will immediately no longer be a member of the EU.

While there is evidence to show that despite the Brexit uncertainty, businesses are making some preparations for a no-deal scenario, a recent survey of businesses carried out by the Institute shows that almost half of enterprises in both Ireland and Northern Ireland have no plans at all in place in the event that the UK crashes out of the EU without a deal.

Irish and UK businesses that trade with each other need to now:

  1. Register online with the HMRC or Revenue for an EORI number – it takes a few minutes to apply and a number should issue immediately or within 3 working days if checks are needed.
  2. Inform your customers outside the UK that they may experience delays in receiving your product because of supply chain disruption
  3. Ensure that you have a line of credit to deal with the customs duties that will arise on imports from the UK or Ireland.

President of Chartered Accountants Ireland, Feargal McCormack said “We are very concerned that a no-deal Brexit is still very much a possibility on 12 April and we are recommending that traders in Ireland and the UK do three relatively straightforward things over the next few days so they have at least have some contingency plan in place”.

“We urge any of our members involved in the political process, no matter what party, to impress upon their elected representatives how dangerous the current situation is for Irish business.”

In relation to the audit process, statutory audit firms will be aware of the continued uncertainty regarding the eligibility of certain audit firms to continue to audit Irish entities.  Engagement continues with relevant regulatory authorities in both jurisdictions, and the Institute will be keeping the firms up to date.