NO-DEAL BREXIT PRACTICAL ADVICE GUIDE - FOR THE MOTORSPORT AND HIGH PERFORMANCE ENGINEERING INDUSTRY
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NO-DEAL BREXIT
PRACTICAL
ADVICE GUIDE
FOR THE MOTORSPORT AND
HIGH PERFORMANCE
ENGINEERING INDUSTRY
#Brexit #BusinessGetReady
WELCOME
Welcome to the Motorsport Industry Association (MIA) No-Deal Brexit Practical Advice
Guide supported by the Department for Business, Energy and Industrial Strategy (BEIS).
With the challenges and disruption of Brexit this Advice Guide aims to support
businesses in the motorsport and high performance engineering industry to prepare for a
no-deal Brexit. This document will provide sector specific advice and guidance, provided
by leading industry experts, on issues relating to key areas of business including
Employment, Law, Intellectual Property, Insurance, Logistics and Import/Export.
In the event of a no-deal Brexit, the unique, fast-paced nature of the motorsport and
high performance engineering industry will result in a set of challenges that will differ to
those of other sectors. Although we cannot predict all the changes we face, we can
make sure that we are ready for any eventuality. Please use this Advice Guide to
answer the most pressing questions facing our industry, it includes practical tips for an
easier transition and links to further information on specific areas.
MOTORSPORT INDUSTRY ASSOCIATION (MIA)
The MIA is the only trade association that connects and supports businesses within
the motorsport and high-performance engineering business community whilst
protecting the interests of the global motorsport industry.
Our community of members spans the whole spectrum of international motorsport
business, from the largest companies to the smallest, private firms and transacts over
£10bn of international motorsport business.
to find out more visit www.the-mia.com
2 MIA NO-DEAL BREXIT PRACTICAL ADVICE GUIDE • OCTOBER 2019EMPLOYMENT
Having evolved with the sector over four decades, Jonathan Lee Recruitment’s capabilities are
strongly aligned with contemporary and future motorsport development including energy efficiency
and energy recovery systems (including ERS and KERs), low emissions, big data and sustainable
mobility, all-electrical Formula E and Roborace car racing series.
Jonathan Lee provide permanent, contract and interim recruitment solutions to OEMs, Tier 1, 2 and
3 suppliers and SMEs through to teams competing in FIA F1 motor racing, F2, F3, Le Mans,
IndyCar, NASCAR, BTCC, DTMs, British GT Championship, WRC and WRX.
Some immediate facts and recommendations for employers to consider:
• Undertake a full workforce review – identify vulnerabilities, gaps in skills and potential losses
due to visa restrictions.
o The scarcity of available skills and labour, potentially exacerbated by further contractions
post-Brexit once free movement comes to an end, means workforce planning and
development should be a priority.
o To be able to respond in good time, employers need to assign greater urgency to undertake
strategic workforce planning that will help identify the skills and knowledge required now and
for the future, which in turn will help to identify the extent of learning and development
required.
• Do you currently employ EU nationals?
o If so, encourage them to sign up to the Government’s EU Settlement Scheme – the
Government has also produced a toolkit for employers. EU citizens and their families who are
living in the UK prior to 31 October 2019 have until 31 December 2020 to apply for settled
status. However, given the uncertainty in how the UK immigration system will work in a no-
deal scenario, it is recommend that EU citizens apply before 31 October 2019.
o EU citizens who have settled status are able to demonstrate that they have permanent leave
to remain. However, employers will not be required to check this until at the earliest 1 January
2021.
• Once you know where the problems are likely to arise, put in a plan covering:
o Upskilling existing workers into fill hard-to-fill positions.
o Post-study work (PSW) visa options (the points-based system is only suggested at the
moment).
o Using flexible workforces (contractors to fill short term gaps).
o Investigate remote working (can you use technology to access skills in other countries without
having to physically locate people in the UK).
• If there are less people available and more competition, then look at how to differentiate
yourselves from others and improve your employer value proposition:
• Build on your employee value proposition through non-financial benefits.
• Modernise working models and practices, for example, the provision of flexible working and
clear career development will help organisations both recruit and retain the people and skills.
• An attractive business culture will enhance your brand and go some way to address hiring
difficulties in the short term but also make your organisations more attractive as an employer
in the long run.
• Is there an opportunity for more sharing of skills and knowledge between companies – moving
to collaborative working and partnership models with other companies?
3 MIA NO-DEAL BREXIT PRACTICAL ADVICE GUIDE • OCTOBER 2019EMPLOYMENT
• Do you provide European Economic Area (EEA) staff into roles where they require professional
qualifications?
• The mutual recognition of professional qualifications we currently have with other EU member
states will end. There will be changes to how services are regulated and how professional
qualifications obtained in the EEA and Switzerland are recognised. Ensure that you are aware
of how this may affect your business - more information can be found on the Government’s
website here.
• Are you planning to employ EU nationals in the future?
o If there is no-deal, the Government has announced that there will be a transitional EU
immigration period from the day after the UK leaves the EU until 31 December 2020. In this
period, EU citizens and their family members will be able to move and work to the UK as they
do now. Right to work checks for employers of EU citizens will remain the same as they are
now.
o During this transition period, in a no-deal scenario, the Home Office will open a new voluntary
immigration scheme, the European temporary leave to remain (Euro TLR) Scheme, which
gives EU citizens the ability to stay in the UK for 36 months from the date Euro TLR is
granted. If you recruit an EU citizen during this transition period who entered the UK after its
exit from the EU and who is intending to stay in the UK after 31 December 2020, the
Government has stated that they must have permission to stay granted either under the Euro
TLR or under the standard immigration system. More information on this can be found on the
Home Office website.
o The Government intends to introduce a new immigration system from January 2021. They
plan to introduce this no matter whether the UK leaves the EU with a deal or no deal. This
new system will mean that the same immigration rules will apply to both EU citizens and non-
EU citizens from 1 January 2021. This may result in less EU citizens deciding to come to work
in the UK and we recommend that you prepare for this. The Migration Advisory Committee is
currently consulting on the immigration future system.
For more information contact:
www.jonlee.co.uk/motorsport | e: enquiries@jonlee.co.uk | t: 01384 397 555
4 MIA NO-DEAL BREXIT PRACTICAL ADVICE GUIDE • OCTOBER 2019LAW
Blaser Mills Law is a leading law firm based in South East England with 23 partners and over 50
lawyers. It is a full-service firm, offering a comprehensive range of legal services to businesses and
private individuals.
This highly regarded firm regularly advises on high value and complex matters, within both their
business and personal services. The firm prides itself on its industry leading business services
including Corporate and Commercial, Commercial Litigation, Real Estate and Development and
GDPR and Data Protection. The cases undertaken by these departments are regularly of high
value, often include complex jurisdictional elements, and will always have a significant impact on
the life of the clients and their businesses. By understanding that the law is more than just case law,
our lawyers are able to work with their clients over time, making the law work to help them achieve
their life aspirations and goals. In addition to the firms’ strong business services, it also has a large
personal services offering, including highly regarded family and divorce, residential property, crime
and regulatory and wills, trust and probate teams.
Key factors to consider immediately are:
• Audit staff to check who is at risk if they do not apply for settled status.
• Any new recruits from the EU should be resident in the UK before we leave the EU to make it
easier to secure settled status.
• Check visa work permit and social security requirements for each EU country where you or your
employees may need to go to do paid work.
• Check if you have any regulatory or professional regulation issues with providing work or services
in an EU state.
• Check commercial contracts for issues with:
o Force majeure/material adverse changes clauses that may give a right to terminate for Brexit
related issues.
o Check territory clauses – territories defined as EU may not include UK post Brexit.
o Pricing clauses – can you add tariff and VAT?
o Standards – are you required to meet redundant legal obligations?
o Choice of law and jurisdiction clauses – which law and Courts will apply to disputes post Brexit?
o Consider Arbitration clauses.
• EU subsidiaries with UK directors may need to appoint an EEA resident to be a director or
authorised resident.
• Central management of a business or subsidiary may need to move to the relevant EU state to
ensure that business has a “real seat” in that jurisdiction.
• Check data transfer provisions for UK/EU and UK/rest of world transfers because existing
adequacy or “privacy shield” (USA) arrangements may no longer apply.
• Check if you need to appoint a new supervisory authority for GDPR purposes, where you currently
have a “one-stop shop” arrangement.
• Check if you need to appoint an Article 27 GDPR EU Representative where you hold or use the
data of an EU citizen/resident.
For more information contact:
www.blasermills.co.uk | James Simpson, Partner | e: jfs@blasermills.co.uk | t: 01494 478689
4 MIA NO-DEAL BREXIT PRACTICAL ADVICE GUIDE • OCTOBER 2019INTELLECTUAL
PROPERTY
Withers & Rogers is one of Europe’s largest dedicated intellectual property law firms, with offices
across the UK and Munich. They are a full service practice providing clients with the right balance of
skills and experience to meet their intellectual property needs, delivering commercial solutions for
patents, trade marks, designs, litigation and renewals.
The UK began the formal process of leaving the EU on 29 March 2017. The date on which Brexit will
have a legal effect on any IP rights will depend on the nature of any withdrawal agreements, transition
periods or extensions that are agreed upon. Therefore the ‘date of legal effect’ of Brexit on IP is still
unknown. However, the legal and practical changes that will follow such a date are now known and are
summarised below.
An extension of the so-called ‘Article 50 period’ was agreed in March 2019 and we do not expect the
date of legal effect to be before 31 October 2019 (the ‘no deal’ scenario). If there is a further extension
and/or if there is a ‘transition period’ (via a withdrawal agreement) there will be no legal effect of Brexit
on statutory IP rights until the end of such periods. Whilst for some purposes the UK will be outside the
EU during any agreed transition period, all EU IP law will continue to cover the UK in the same way that
it does now, with all the rights and obligations that entails.
For more information on IP rights after the date of legal effect visit Withers & Rogers Brexit help page.
Some useful facts to consider in the event of a no-deal Brexit:
• Patents are unaffected – no action required.
• Trade Marks (TM) and Registered Designs (RD) are EU rights so:
o Granted TMs and RDs will spawn a separate, parallel UK TM or RD from the point of Brexit, which
must be renewed independently of the EU right. Consult your IP renewals service to check
whether renewals will fall due around the point of Brexit and take extra care.
o Pending EU TM and RD applications must be re-filed with the UKIPO within 9 months of the point
of Brexit to secure UK protection.
o We recommend that even before the point of Brexit, newly filed EU TM and RD applications
should be accompanied by a separate UK TM or RD application (filed via the Madrid Protocol for
TMs or the Hague Convention for RDs).
• Check your IP agreements! Definitions of territory or what constitutes intellectual property may be
affected by the UK leaving the EU.
• To help businesses prepare for a no-deal Brexit please use the helpful links below:
o Withers & Rogers Brexit web page - here
o UK Government's guide to IP and Brexit - here
o The European Patent Office's FAQ's page - here
For more information contact:
www.withersrogers.com/news/general/brexit-impact-on-ip-in-europe
Dave Croston, Partner and European Patent Attorney | e:DCroston@withersrogers.com |
t: 01926 310 700
5 MIA NO-DEAL BREXIT PRACTICAL ADVICE GUIDE • OCTOBER 2019INSURANCE
Integro is a market leading international insurance brokerage and risk management company. Their
Entertainment and Sport practice provides specialist insurance covering a wide variety of sports,
motorsports, events, touring shows and artists, festivals, venues and infrastructure companies.
Expertise has been built year on year with a strong employee loyalty drawn from the strategic
acquisition of 8 respected insurance brokers.
For more than 35 years they have represented two and four wheeled clients in every major
motorsport championship across the globe, providing both professional and personal insurance
services, on and off the track. This experience means they truly understand the nature of risk and
have unique and innovative solutions to clients’ exposures.
The Financial Services industry is likely to see significant changes if a no-deal Brexit occurs, which
in turn could result in changes in policy and pricing for UK businesses. Integro would advise that
you take advice from your broker immediately.
Key advice to concentrate on includes:
• If your business spends in excess of £50,000 per annum on insurance, ensure that you obtain at
least 3 quotes from brokers that have expertise in your specialist industry/business.
• From 1 November the European Health Insurance Card (EHIC) will no longer be valid. Ensure
you have adequate Travel Insurance both personally and for your workforce.
• From 1 November any UK citizen driving in the EU will need to have an Insurance Green Card -
a permit from their insurer to prove they have adequate insurance to drive. If you are travelling
out before 1 November, returning after 1 November, you will need one of these cards for your
return journey. They are available from your broker and can be valid for specific journeys or for a
specified period of time.
• All UK drivers will require an International Drivers' Licence - these are available from the Post
Office.
For more information contact:
www.integrosport.com/motorsport-insurance
Tim Nagle, Managing Director – Sport, Music & Live Events Practices |
e: tim.nagle@integrogroup.com | t: 0203 915 0308
6 MIA NO-DEAL BREXIT PRACTICAL ADVICE GUIDE • OCTOBER 2019LOGISTICS –
IMPORT / EXPORT
Pulse Logistics is a UK based independent International Freight Company formed in 2016
by Director Bob Brewster.
Pulse Logistics offer customers a one-to-one, personalised service that is backed up by a
wealth of experience spanning over 37 years in specialist and general global freight
logistics.
If the UK leaves the EU without an agreement on 31 October 2019, the no-deal scenario,
then UK and EU businesses will have to apply customs, excise and VAT procedures to
goods traded between the UK and EU in the same way that already applies for goods
exported to outside the EU.
Below is a list of key actions needed to continue to trade between the UK and EU. The list
is based on current guidelines for trade outside of the EU and is intended for guidance
only. Please note all goods leaving the UK that are being sold in the EU will be subject to
these rules, that is likely to include spares being taken to race meetings that are used and
not returned to the UK.
• Register for an EORI number.
• Complete and send a Power of Attorney.
• Check if you need a licence to export your goods.
• Find out the commodity (HS classification) code of your goods.
• Declare your export to Customs.
• Complete a Commercial Invoice.
• Forward the Commercial Invoice (and licence if you need one) with your consignment.
• Goods must be presented to Customs.
• Finalise the export entry on the national customs system.
• After export consider VAT treatment for exports.
For importing from the EU you will also need to:
• Determine the value of your goods.
• Check whether your goods are prohibited or restricted.
• Declare your import to Customs.
• Pay duty on the goods.
For useful How To Guides & Templates please use the links below:
https://the-mia.com/resource/resmgr/brexit/Commercial_Invoice_Checklist.pdf
https://the-mia.com/resource/resmgr/brexit/commercial_invoice_template_.pdf
https://the-mia.com/resource/resmgr/brexit/Post_Brexit_Export_guide.pdf
https://the-mia.com/resource/resmgr/brexit/Post_Brexit_Import_guide.pdf
For more information contact:
www.pulselogistics.co.uk | Robert Brewster | e: info@pulselogistics.co.uk | t: 07734 047 266
7 MIA NO-DEAL BREXIT PRACTICAL ADVICE GUIDE • OCTOBER 2019GET READY FOR BREXIT:
PRODUCTS & GUIDANCE
FOR BUSINESS
In recent weeks HMRC have published a range of new products to prepare businesses.
These are all available on GOV.UK, or by following the links below.
GOV.UK step by step guides
• Importing
• Exporting
• Transporting goods out of the UK by road
Products
• Trader checklist
• EORI mythbuster
• Hauliers handbook
• SME leaflet
• Importing through roll on and roll off locations
• Exporting through roll on and roll off locations
• Chemicals map
Further guidance/useful links on gov.uk
• Moving goods through the Common Transit Convention
• Moving good through the Port of Holyhead with an ATA Carnet
• Moving goods through the Port of Dover and Eurotunnel with an ATA Carnet
• Moving good through the Port of Dover and Eurotunnel using common transit
• Apply for an EORI
• Apply for Transitional Simplified Procedures
• Apply to be an authorised consignor or consignee
• Details on further customs procedures
• Check temporary rates of customs duty (tariffs) on imports after a no-deal Brexit
• Using customs procedures in a no deal Brexit
Links to sign up for webinars and events
• HMRC webinars
• Brexit Business Readiness Events
8 MIA NO-DEAL BREXIT PRACTICAL ADVICE GUIDE • OCTOBER 2019ADDITIONAL READING & KEY WEBSITE LINKS
MIA No-Deal Brexit Advice Forum
For all matters relating to Brexit and the latest advice please visit the UK Government website
https://www.gov.uk/brexit
Intellectual Property latest advice and information
https://www.gov.uk/guidance/intellectual-property-and-brexit
Essential Import / Export information websites
https://www.gov.uk/guidance/public-sector-procurement-after-a-no-deal-brexit
https://www.dlapiper.com/en/uk/insights/publications/2019/04/no-deal-
brexit/public-sector-procurement/
https://www.gov.uk/guidance/bidding-for-overseas-contracts-what-to-expect
-if-theres-a-no-deal-brexit
Driving in Europe
https://www.gov.uk/guidance/driving-in-the-eu-after-brexit-
international-driving-permits
Motorsport Industry Association
https://the-mia.com/page/No-DealBrexitindustrysupport
9 MIA NO-DEAL BREXIT PRACTICAL ADVICE GUIDE • OCTOBER 2019You can also read
