The UK’s EU departure date is fast approaching yet how it will be conducted remains unclear. Political parties are at logger-heads on the viability of the Brexit deal negotiated by UK Prime Minister Theresa May, while EU Member States are refusing to consider any renegotiation of the agreement.
With multiple possible scenarios in the offing — including a ‘no deal’ exit, departure under the terms of the current proposal, or an extension or revocation of Article 50 — uncertainty reigns. The EU has recently issued its ‘no-deal’ Contingency Action Plan outlining temporary measures in critical areas designed to lessen the impact of such a departure; however, it is clear that no matter what situation transpires, each will pose considerable challenges.
At Crawford, we are well-schooled in the art of dealing with rapidly-evolving situations, and so is the case with Brexit. We are focused on maintaining the highest standard of service in all eventualities and are working closely with clients to ensure this.
There are multiple regulatory, contractual and supply chain issues that need to be viewed closely through the Brexit lens by the loss adjusting community.
Data protection, for example, could become a critical issue, if the UK departs without a deal in place. Becoming a designated third country under GDPR, the UK would be required to have appropriate data transfer arrangements in place or be granted an adequacy decision by the European Commission to ensure the effective flow of data with EU Member States. The UK’s Information Commissioner’s Office recently issued a six-step guide to help companies prepare for data protection compliance in a no-deal situation.
Providing services cross-border post Brexit could also prove problematic. Failure to secure a pan-European agreement could lead to myriad state-by-state approaches being implemented, resulting in a lack of consistency from one country to the next.
Supply shortages could also be part of the Brexit fallout, as well as a sharp rise in the cost of materials, negatively impacting contractors. Further, cross-border payments could be affected following the UK’s departure.
At Crawford, we are assessing numerous strategies to overcome these challenges and putting comprehensive plans in place. Spanning data transfer, contract management, finance developments and supplier relationships, as well as other potential HR issues and regulatory impacts, we are working hard to place ourselves in a position to clear these hurdles should they arise.
We are confident that our core business activities will remain relatively unaffected by the UK’s EU departure. However, preparedness is central to every aspect of the service we provide and to ensuring we remain fully equipped to restore lives, businesses and communities at all times and in all circumstances.
If you would like to learn more about how Crawford is ‘Brexit ready’, contact your account manager or email our UK Communications Team at email@example.com.