The UK has left the EU, and the transition period after Brexit comes to an end on 31 December 2020.
Negotiations continue between the UK and Europe over a free trade deal. However, all institutions and businesses need to take action now to prepare for the post-Brexit world.
Whilst specifics remain limited the ESFA have issued a ‘checker tool’ to identify the specific steps you need to take to be better prepared for 1 January 2021.
This checker is an effective tool that pulls together appropriate guidance for both business and personal circumstances.
Further details can be found at: https://www.gov.uk/transition
It is almost here
Regulations are changing, many of the freedoms that we have become used to may change. Although still available additional processes are expected to be put in place.
EEA students previously able to access public funds, are now regarded as overseas and therefore do they fall within an organisations Tier 4 licence?
Recruitment of EEA staff previously free to move between member EEA states now requiring visa’s or sponsorships under Tier 2 or 5 licence
Travel visa’s for educational visits/trips, border controls, medical insurance, etc;
Storage and exchange of personal data.
Impact for 2019/20
It is not possible at this time for organisations to be fully prepared for all changes.
However, when considering going concern when finalising the 2019/20 financial statements these factors need to be built into supporting cash flows and business plans.
Simply ignoring the risks associated with Brexit because it is outside the 12 month going concern measure is no longer an option.
Governors/Trustees may also wish to expand this risk when within the financial statements when compared to previous years.
If you have any questions on dealing with the impact of Brexit on your academy or college please do get in touch.