24 June 2016
The referendum result was a surprise as, although the various polls had been close prior to the vote, the majority of people I spoke to felt the UK would remain. The stock market and pound have taken a severe battering this morning and let’s hope it’s a slight overreaction and there is a recovery ahead, but at this stage things are unclear.
There will definitely be a period of uncertainty for a short while, although business must go on and in the long term it may turn out to be the right decision.
If the pound remains at a lower level, there is potential for UK automotive businesses to become more attractive to international buyers, assuming they have confidence in the UK’s longer-term economy.
Some important months ahead for the UK. We will be monitoring the situation going forward and will keep you updated with our views and insights on the financial outlook for the sector over the coming months.
Should you have any questions about this blog, please do not hesitate to contact David or a member of the team. Alternatively, for more of our commentary on key automotive sector issues, visit our automotive industry issues section.