A survey of 900 businesses conducted on behalf of Close Brothers Asset Finance shows the larger the SME’s turnover, the more likely it is that plans are already either in place or are being formulated.

Neil Davies, CEO, Close Brothers Asset Finance, said: ‘It clearly demonstrates that in the absence of certainty, businesses have taken it upon themselves to assess the impact leaving the EU will have on the supply chain, which for many businesses exposed to Europe is critical.’

Of the business owners surveyed, 40% said they export goods to the EU, with the north east the highest of the regions, at 59%.

Davies said: ‘Looking at the sectors, 57% of manufacturing firms export to Europe and are consequently the most exposed to disruption to the supply chain. Understandably, it’s these same firms who have also started the planning process early.’

Overall, one in five of those surveyed said having to reorganise the supply chain was not necessarily a negative.  Views were evenly balanced in the manufacturing sector, with 31% foreseeing some benefit compared to 32% who say they will suffer.

Davies said: ‘Looking at the figures, with 51% selecting the “neither” option, it’s clear that the continued uncertainty means businesses have little idea of the impact a reorganisation will have – it’s not something they have ever had to deal with on this scale.’

‘Every sector we polled had some level of export dealings with Europe, which demonstrates clearly just how entwined we are with the continent and how important it’s going to be to ensure the movement of goods isn’t disrupted, both in the short and long term.’

Report by Pat Sweet