Brexit: trade survey finds 74% of British firms hit by delays with EU markets
March 11, 2021, 12:31 pm

Brexit: trade survey finds 74% of British firms hit by delays with EU markets

Lorries in Calais, France, queuing last December to enter the UK via the Channel tunnel.

Brexit red tape and disruption to global trade from pandemic leaves businesses ‘severely strained’

Three-quarters of British manufacturers are struggling to cope with delays in moving goods in and out of the EU amid continuing disruption caused by Brexit and the Covid pandemic, industry figures said.

Two months after the UK left the EU on trade terms agreed by Boris Johnson’s government, research from the manufacturing trade group Make UK has shown that 74% of firms in a survey of more than 200 leading industrial companies are facing delays with EU imports and exports.

Faced with mounting Brexit red tape, customs checks and disruption to global trade caused by the pandemic, more than half of companies said they were suffering from increased costs. More than a third had lost out on sales, while fears over continued disruption was losing firms future business.

The warning comes as pressure grows on the government to resolve difficulties at UK borders amid concern over the impact on the British economy and jobs at a time when businesses are grappling with the Covid recession.

A government spokesperson insisted that freight volumes between the UK and the EU were now “back to their normal levels” and said there was “no general disruption at UK ports”.

Ministers have made £20m available to help small businesses adapt to the new trade relationships. “We will ensure businesses get the support they need to trade effectively with Europe and to seize new opportunities as we strike trade deals with the world’s fastest-growing markets,” the spokesperson added.

However, business leaders said trading activity was under severe strain and only likely to worsen as further border checks came into force.

Ray Singh, managing director of Russel Finex, a London-based manufacturer of high-performance sieves and filters, said his firm was still experiencing delays with exports to the EU and to a plant it operated in Belgium.

“Eventually we manage to get the goods over, but it just takes a lot longer. It’s not smooth like it was. There are additional checks and paperwork and it sounds like in a few months’ time that’s actually going to ramp up, which is more stuff not to look forward to. It’s created a lot of extra bureaucracy that just wasn’t there before,” Singh said.

Catherine Bedford, founder of Dashel, which makes carbon fibre and recycled cycle helmets, said the disruption was killing her business. “Thanks to Brexit, we’ve gone from profitable to barely scraping by,” she said. “We can’t predict delivery times as items are being held up at French customs, our entry point into Europe. There is a massive backlog and items are being turned back despite up-to-date paperwork.”

Figures from Germany this week showed that imports from the UK had fallen by more than 56% to €1.6bn (£1.4bn) in January from the same month a year ago amid Brexit disruption. Official UK trade figures are due to be published on Friday.

The international trade secretary, Liz Truss, is pushing to expand trading opportunities outside the EU, and next week the government is expected to set out Britain’s post-Brexit trade priorities as part of a delayed review of foreign policy. However, Make UK said that ministers urgently needed to “get back around the table” with EU leaders to solve problems closer to home.

The EU accounts for almost half of UK imports and exports, while the government’s own analysis suggests that trade deals outside the EU will not make up for the impact of Brexit on the UK economy.

Stephen Phipson, chief executive of Make UK, said: “Government needs to move smooth out difficulties at UK ports so that shipments can easily be delivered. We are encouraged that the government is already working to train more high-quality customs officials and to give more assistance with customs paperwork, but this needs to be driven forward at speed to give the quickest possible assistance to British companies already struggling to get back to normal as trade recovers from the Covid pandemic.”

source: Richard Partington

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BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).

Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.