CEOs in the UK have been spending more than an hour and a half a week on Brexit planning, according to a recent study. CFOs have spent more than two hours. Together, UK executives in those two roles are devoting a combined 200 hours a year, on average, to Brexit preparation. For CEOs, that represents about a week and a half of Brexit planning in a year. But it’s still not clear what, exactly, they’re supposed to be planning for.
Research: Quantifying the Cost of Brexit Uncertainty
CEOs in the UK have been spending more than an hour and a half a week on Brexit planning, according to a recent study. That represents about a week and a half of Brexit planning in a year. But it’s still not clear what, exactly, they’re supposed to be planning for. Economic theory predicts that when firms face a highly uncertain future, they have an incentive to delay investment and hiring and put off other decisions. And two new studies suggest that this is exactly what’s been happening in the UK over the past three years, resulting in substantial harm to the UK economy. It’s an important takeaway for both businesses and politicians. While pulling back from global trade can cause significant economic harm, including lower productivity and less immigration, the way this is carried out matters, too. If anti-trade movements run a chaotic and unpredictable process, the effects will be even worse.