The benefits of Brexit

11th February 2021

By Will Leyland

Let’s be honest, it feels quite good to be talking about Brexit now. There’s a time we’ll all remember when Brexit dominated the headlines and we wished it would stop. It seemed like things couldn’t get much worse and everybody was bored to tears.

Life is strange, and it now feels like a relief to be going back to a time where Brexit is our worst concern. Of course, it’s true that the two sides on opposing arguments are still quite entrenched and, depending on your views, it’s still quite a controversial subject.

That being said, now that the transition period has ended and the theoretical post-Brexit period has now turned into the reality of Brexit, so what have we seen over the past few weeks and what is there to be positive about?

Changing relationships

One interesting aspect to the post-Brexit period now we’re out of the transition period is who Britain and the government appear to be setting their sights on for better trade relationships and closer ties.

Before Brexit had concluded the British government had already determined an impressive trade deal with Japan worth potentially billions per year. The deal not only makes it easier to import and export goods but, crucially, also makes good provisions for services and financial services which Britain is a world leader in.

Added to that is the recent news that Liz Truss, the UK trade secretary, has put forward an application for the country to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) which includes Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam.

The UK government are also thought to be in advanced talks with the US over a comprehensive trade, although this is a little further behind schedule as newly inaugurated President Biden is thought to be prioritising his domestic economic agenda.

The interesting aspect of this is that, in terms of business and financial services, these are countries that we already do quite a bit of business with anyway, and the move away from import/export focused trade could mean good things for property.

Property after Brexit

Thinking more specifically about nations that the UK enjoys a lot of inward investment into property from, Singapore, Malaysia and Australia stand out.

The likely further integration with these countries financially, with less barriers and taxes, would in all likelihood result in a huge wave of investment into the UK but also into UK property.

With the market already having enjoyed a quite remarkable 24 months, with prices, rents and yields all shooting up, this could act to start something of a frenzy and drive them up further.

There is already huge demand in UK property for Buy to Let property and if the government were to make it easier for foreign investors to enter an already busy market with supply that’s struggling to keep up that could well ignite the touch paper.

Regardless of this the UK is expected to have another bumper year in property with a release of pent up demand from 2020 on the horizon once restrictions are fully lifted, this could spell further good news for investors and landlords.

Did you find this article helpful?

Our most recent articles

The benefits of Brexit

11 February 2021

Let’s be honest, it feels quite good to be talking about Brexit now. There’s a time we’ll all remember when Brexit dominated the headlines and we wished it would stop. It seemed like things couldn’t get much worse and everybody was bored to tears.

Life is strange, and it now feels like a relief to be going back to a time where Brexit is our worst concern. Of course, it’s true that the two sides on opposing arguments are still quite entrenched and, depending on your views, it’s still quite a controversial subject.

That being said, now that the transition period has ended and the theoretical post-Brexit period has now turned into the reality of Brexit, so what have we seen over the past few weeks and what is there to be positive about?

Changing relationships

One interesting aspect to the post-Brexit period now we’re out of the transition period is who Britain and the government appear to be setting their sights on for better trade relationships and closer ties.

Before Brexit had concluded the British government had already determined an impressive trade deal with Japan worth potentially billions per year. The deal not only makes it easier to import and export goods but, crucially, also makes good provisions for services and financial services which Britain is a world leader in.

Added to that is the recent news that Liz Truss, the UK trade secretary, has put forward an application for the country to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) which includes Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam.

The UK government are also thought to be in advanced talks with the US over a comprehensive trade, although this is a little further behind schedule as newly inaugurated President Biden is thought to be prioritising his domestic economic agenda.

The interesting aspect of this is that, in terms of business and financial services, these are countries that we already do quite a bit of business with anyway, and the move away from import/export focused trade could mean good things for property.

Property after Brexit

Thinking more specifically about nations that the UK enjoys a lot of inward investment into property from, Singapore, Malaysia and Australia stand out.

The likely further integration with these countries financially, with less barriers and taxes, would in all likelihood result in a huge wave of investment into the UK but also into UK property.

With the market already having enjoyed a quite remarkable 24 months, with prices, rents and yields all shooting up, this could act to start something of a frenzy and drive them up further.

There is already huge demand in UK property for Buy to Let property and if the government were to make it easier for foreign investors to enter an already busy market with supply that’s struggling to keep up that could well ignite the touch paper.

Regardless of this the UK is expected to have another bumper year in property with a release of pent up demand from 2020 on the horizon once restrictions are fully lifted, this could spell further good news for investors and landlords.

Will Leyland

Did you find this article helpful?


Our most recent articles