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Rediff.com  » Business » How global businesses reacted to Brexit

How global businesses reacted to Brexit

June 24, 2016 16:03 IST

Britain's vote to leave the European Union means uncertainty for markets and companies as London initiates at least two years of negotiations with the EU.

Following are the initial reactions from business leaders:

European trade

Anton Boerner, Head of Germany's foreign trade association

"That is a catastrophic result for Britain and also for Europe and Germany, especially the German economy. It is disturbing that the oldest democracy in the world turns its back on us."

Markus Kerber, President of The BDI German Industry Federation

"We expect a significant drop in trade with Britain in the coming months." He said the automotive, energy, telecoms, electronics, metal, retail and financial services sectors would be particularly affected.

Thilo Brodtmann, Managing Director Of Germany's Vdma Engineering Association

"Brexit will hurt investor confidence in Europe as an industrial centre."

Emma Marcegaglia, Head of The EU Business Lobby Business Europe

"We call on EU member states to send a strong signal reconfirming their commitment to theEuropean Union and its three main economic pillars: the single market, the common trade policy and the Euro. At the same time, we need to find smart solutions for an orderly Brexit process."

Banking and Finance
Britain's Financial Conduct Authority

The financial watchdog said the vote would have "significant" implications for Britain.

Mark Boleat, Policy Chairman for the City of London Corporation, London's Financial District

"There will be no mass exit of banks and financial institutions ... The general view of the City is that the government should push for the UK to retain our access to the single market."

Goldman Sachs Chairman and CEO, Lloyd Blankfein

"Goldman Sachs has a long history of adapting to change, and we will work with relevant authorities as the terms of the exit become clear. Our primary focus, as always, remains serving our clients' needs."

French Banking Group Societe Generale

"London will remain a major international financial centre."

Energy Firms

Oil firm BP

"We do not currently expect it to have a significant impact on BP's business or investments in the UK and Continental Europe, nor on the location of our headquarters or our staff."

Peter Terium, CEO of German Utility Rwe, which owns Npower in Britain

"Far more important for our success are national regulation and being accepted locally."

German Utility E.On

"The consequences for E.ON are manageable. Our business is Britain is local."

Airlines

Easyjet CEO Carolyn Mccall

"We have today written to the UK government and the European Commission to ask them to prioritise the UK remaining part of the single EU aviation market, given its importance to trade and consumers."

Advertising

WPP Ceo Martin Sorrell

"This decision will create tremendous uncertainty, which will slow economic activity and decision making."

Chemicals and pharmaceuticals
Astrazeneca

"We will engage with all the relevant stakeholders to safeguard the competitiveness of the life sciences industry and the speed of patient access to innovative medicines."

Martin Zentgraf, Head of the German Pharmaceutical Association

... said the European Medicines Agency would have to be relocated from London.

German Chemicals and Healthcare Group Bayer

"This is a heavy blow for Europe and the beginning of an uncertain time for the United Kingdom.

Automotive
BMW Group

"We know that many of the relevant conditions for supplying the European market will have to be renegotiated, but of course we cannot say what this means for our UK operations until those future regulatory and legislative arrangements are agreed."

PSA Group, maker of Peugeot and Citroen

"Our teams are looking at different scenarios for price adjustments to our brands' models to respond swiftly to the markets' reaction."

Retail

Marks & Spencer

"We will be monitoring and assessing the impact on our business as the situation evolves and engaging as and when we need to."

Food Manufacturing
Nestle

"The practical consequences of this decision will become clearer in the coming months. We will continue to operate in the normal course and will follow developments closely."

Pubs

JD Wetherspoon founder and chairman Tim Martin:

"Anxiety about the economic effects of independence during the campaign was misplaced. The UK will thrive as an independent country, making its own laws, and we will work with our good friends and neighbours in Europe and elsewhere to ensure a positive outcome for all parties."

Real Estate

British Property Investor Richard Tice, leading Figure in the "Leave" campaign

"There is huge joy, delight and pride. We have changed the course of history in the UK. It is very simple, everyone needs to calm down and do what we do well, which is working and playing hard."

(Additional reporting by UK bureau; Compiled by James Davey and Kevin Liffey)

 
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