Brexit and auto-enrolment pensions top list of business concerns

UK FIRMS fear that Britain leaving the EU and auto-enrolment pensions could cause a ‘significant financial impact’ to their business, along with a host of other financial and legislative worries.

With less than two months to go until Britain decides its European future, nearly a quarter (23%) of UK companies surveyed by insolvency trade body R3 raised concerns that Brexit would financially hit their business, while another 23% revealed their concerns towards about the impact of auto-enrolment pensions.

European fears

Other business worries recorded in the R3 survey include the introduction of quarterly tax reporting (19%); the introduction of the National Living Wage (18%); the digitalisation of tax reporting; and the introduction of an Apprenticeship Levy (6%).

The most common financial concern for large firms (employing 251+ people) is the UK leaving the EU (44%), while the biggest concern for businesses employing two to five people is the financial impact of the introduction of the National Living Wage (30%).

“And while Brexit might not come to pass, auto-enrolment pensions and the National Living Wage will definitely have to be dealt with by businesses,” said Andrew Tate, R3 president.

“That said, as you would expect, the possibility of leaving the EU is playing on the minds of a significant number of business decision-makers. Uncertainty over such an important issue could well affect investment and planning decisions over the next few months.”