It's been quite a rollercoaster ride in the UK over the last few weeks. The EU Referendum has been a challenge for us, principally because uncertainty is bad for business and we believe that having a closest possible relationship with our neighbours, to allow for great trade deals and access to talented people is good for entrepreneurship.
So, having spoken to many in our community, some might feel a little bleak. I am reassured however, that the UK will continue to be a top level player in all aspects, especially in enterprise and entrepreneurship. For one, the uncertainty is starting to wane, we now have a new Prime Minister and a clear captain on the tiller. Whether you agree with Theresa May's policies or not, it's better to have someone in charge than infighting and no decision making.
Second, the stock market and pound, after falling, are recovering, because the fundamentals of the UK Economy is strong. Our deficit is far lower than during 2010 levels, our Banks are well financed - with the Bank of England ready to lubricate funding of £250 Billion and the pace of austerity in public spending is likely to be loosened. Having worked with many of them myself, the UK also has a formidable set of diplomats and civil servants who will be given time to set the terms of the debate before initiating Article 50 (the formal trigger to begin Brexit).
Third - and probably the most important, is that we remain well placed because of the people. Entrepreneurs thrive during changing times, and we certainly have seen a lot lately. For example, I have seen new 48% t-shirts, representing those who voted Remain, and there is a spike of companies providing services for trade in the Far East. Our talent pool will not be diminished and the new government will understand the importance of retaining talent. The UK speaks the world language of English and our timezone positions us perfectly between the US and the Far East, nothing will change that. Indeed - it might even loosen some of the immigration controls for those outside Europe via a more generic points system across the board.
Now that we are leaving the UK, it is in all of our interest to make our country more outward looking, more ambitious and take full advantages of the opportunities presented to us. Investment in skills, the digital economy and in building strong trading relations with major countries will no doubt be encouraged, with the aim of putting the UK as a supercharged version of Singapore and Taiwan, not a bad place to be. The Government will likely boost incentives for exports and double down on tradeshows.
The UK is the fifth largest economy (by GDP) in the world, 2nd largest in the EU, we are no small potato, it's time to dust ourselves down and act like it. I am sure it will be the entrepreneurs, current and in the future, that will lead the way.
Previously article released on 23rd June 2016
I've got a feeling I know what many young people are thinking. "Oh bugger."
The younger generation, the majority having voted for REMAIN, have woken up to a new reality: a post EU world.
We live in a democracy and today is a reminder of how important voting can be for our generation. Turnout matters, we miss out if we fail our basic responsibility. It’s tempting to be bleak about the situation. Certainly on social media, there is a huge sense of disappointment from young people. However, it is best to pick ourselves up, take a deep breath and assess the situation.
In the short term – we haven’t immediately jumped off the EU cliff; we are still in it for now and will always have a strong relationship with them. You can still go to Holland with your passport, existing foreign exchange programmes still exist, if you have an import/export startup, no trade tariff will suddenly hit you. These issues won’t be affected for at least a couple of years, so if you are at university – you still have the opportunities.
However - there are of course ramifications for young people. At a practical level, our flexibility to travel to Europe, EU funding for projects such as science, including less research positions for post graduates in the UK and cross border programmes like ERASMUS, might all be impacted in the medium term.
These items are up for negotiation. In many ways, that will depend on how our Government handles the situation and how our European friends react. Not rushing any negotiations will be key.
However – they are not the only players. As we all go through this transition, the young voice is as important as ever. We must continue to advocate for the best terms for us – that includes great trade deals and collaborations with other institutions across Europe. International students need a fair stake in our education system. They broaden our horizons, bring in talent and our education system won’t survive financially without it.
A Few Weeks On...
It's been quite a rollercoaster ride in the UK over the last few weeks. The EU Referendum has been a challenge for us, principally because uncertainty is bad for business and we believe that having a closest possible relationship with our neighbours, to allow for great trade deals and access to talented people is good for entrepreneurship.
So, having spoken to many in our community, some might feel a little bleak. I am reassured however, that the UK will continue to be a top level player in all aspects, especially in enterprise and entrepreneurship. For one, the uncertainty is starting to wane, we now have a new Prime Minister and a clear captain on the tiller. Whether you agree with Theresa May's policies or not, it's better to have someone in charge than infighting and no decision making.
Second, the stock market and pound, after falling, are recovering, because the fundamentals of the UK Economy is strong. Our deficit is far lower than during 2010 levels, our Banks are well financed - with the Bank of England ready to lubricate funding of £250 Billion and the pace of austerity in public spending is likely to be loosened. Having worked with many of them myself, the UK also has a formidable set of diplomats and civil servants who will be given time to set the terms of the debate before initiating Article 50 (the formal trigger to begin Brexit).
Third - and probably the most important, is that we remain well placed because of the people. Entrepreneurs thrive during changing times, and we certainly have seen a lot lately. For example, I have seen new 48% t-shirts, representing those who voted Remain, and there is a spike of companies providing services for trade in the Far East. Our talent pool will not be diminished and the new government will understand the importance of retaining talent. The UK speaks the world language of English and our timezone positions us perfectly between the US and the Far East, nothing will change that. Indeed - it might even loosen some of the immigration controls for those outside Europe via a more generic points system across the board.
Now that we are leaving the UK, it is in all of our interest to make our country more outward looking, more ambitious and take full advantages of the opportunities presented to us. Investment in skills, the digital economy and in building strong trading relations with major countries will no doubt be encouraged, with the aim of putting the UK as a supercharged version of Singapore and Taiwan, not a bad place to be. The Government will likely boost incentives for exports and double down on tradeshows.
The UK is the fifth largest economy (by GDP) in the world, 2nd largest in the EU, we are no small potato, it's time to dust ourselves down and act like it. I am sure it will be the entrepreneurs, current and in the future, that will lead the way.
Johnny Luk, CEO of NACUE.
College
University
Society
