The British Fashion Council (BFC) is strongly urging UK Prime Minister to steer clear from a hard Brexit, warning of potential devastating costs of up to £900 million for the fashion industry. The council has stressed the detrimental effects of a no-deal Brexit on the industry’s trade relations not only with the EU but also with other nations that currently benefit from EU-brokered trade agreements.
With the fashion sector contributing a significant £32 billion to the UK’s GDP and employing more than 890,000 individuals, it is crucial to safeguard its interests during the Brexit negotiations. The BFC is emphasizing the importance of preserving the UK’s global reputation for creativity, innovation, and business by securing a Brexit deal that is favorable to the fashion industry.
Despite efforts to brace for the impact of a no-deal Brexit, concerns persist regarding potential trade disruptions, talent shortages, and increased costs for designers. The international nature of fashion businesses, with sales extending beyond UK borders, underscores the necessity of a comprehensive approach to sourcing materials and collaborating with skilled artisans worldwide.
The intricate web of international fashion production, which involves numerous border crossings and showcases, presents significant challenges under a hard Brexit scenario. Designers may face heightened administrative burdens, logistical barriers, and VAT obligations across a multitude of countries, as opposed to dealing with a unified EU system.
In terms of talent acquisition, the BFC is actively engaging with the Home Office to address immigration concerns affecting the fashion sector. While some concessions have been secured for highly skilled individuals and models, worries persist about the potential impact of proposed immigration policies on lower-paid but essential roles like machinists and language experts.
Of particular concern is the proposed minimum salary threshold of £30,000 for Tier 2 visas, which could exclude many key positions in fashion manufacturing. Additionally, the shortage occupation list, which currently does not cover critical roles in the high-end fashion sector, requires immediate reassessment according to the BFC.
By promptly addressing these pressing issues, the UK government can help shield the fashion industry from the adverse effects of a hard Brexit while ensuring its continued growth and success in the global market.
For more information on the BFC’s stance on Brexit and its implications for the fashion industry, visit the official British Fashion Council website here.
To stay updated on the latest developments surrounding Brexit and its impact on various sectors, including fashion, visit the official UK government Brexit webpage here.
