With the results of the General Election being announced and the news of a hung parliament spreading, a number of companies across a range of industries are concerned about what yet more political uncertainty could do. However the international parcel brokering company ParcelHero has suggested that the result of the election could actually have a positive impact for those wanting to export their manufactured goods as well as the freight transport companies that would be required to do this.
The Head of Consumer Research at ParcelHero, David Jinks MILT has said that the there are concerns over the the way tariffs and customs red tape could affect companies if a Hard Brexit agreement were to be agreed. If Theresa May were to have got the result she originally wanted from the snap General Election then it could have lead to a tougher Brexit deal. However the suggestion in Mayâs manifesto that no deal is a bad deal raised a number of very large red flags that for those that operate in the UK transport sector and other exporters.
However now the Conservatives have had to make a deal with the DUP to remain in power, and the ruling government are going to need the consensus of other party MPs more than before in order to get a consensus for Brexit. By the UK leaving the EU and probably the single market too, there will be an increase in tariffs and Customs delays. However with other parties like Labour and the Liberal Democrats wanting to stay in the single market, and with the Conservatives being so much more dependant on the agreement of the other political parties, there could be a softer Brexit deal, favoured by a number of MPs.
The Conservative party have said that they will invest £40 billion into the infrastructure of the transport sector as well as the expansion of Heathrow airport which will significantly improve the UK capacity to export. These improvements will help companies that have distribution centres in the UK.