Will Brexit force a talent shortage?

04 Oct 2018

Investec

UK economists

Catherine McGuinness, policy and resources committee chair at the City of London Corporation, and Kristo Käärmann, CEO of TransferWise, share their views on whether Brexit will create a skills gap in the UK.

Will businesses move headquarters from the UK and talented graduates choose elsewhere post Brexit? Investec Chief Economist Phil Shaw recently stated the importance of immigration policy to the success of UK business following the exit from the EU. Here, Catherine McGuinness and Kristo Käärmann share their views.

Catherine McGuiness

Policy and Resources Committee Chair, City of London Corporation
 
“(The 12-point plan announced in July was) a real blow for the UK’s financial and related professional services sector… The sector has been clear since the referendum: Equivalence in its current form is not fit for purpose, so any 'enhancements' to this regime would have to be substantial.”
 
 
Catherine McGuiness

We are not expecting a big Brexodus in the first instance. But depending on how things pan out... in the longer term, we may see many more go.

Catherine McGuinness, Policy and Resources Committee Chair, City of London Corporation

 
 
“The number of job losses will depend on the amount of access that the sector continues to have, and the amount of business it can follow up there. Short term, people are only going to move the number of jobs they need to carry on doing business – they can't make best decisions [because of uncertainty].
 
“We are not expecting a big Brexodus in the first instance. But depending on how things pan out... in the longer term, we may see many more go.” Catherine McGuinness, Policy and Resources Committee Chair, City of London Corporation.
(SourceCitywire,City of London)
 
 
Kristo Käärmann

There are still people coming here to work: from Europe and from outside of Europe, and I think that is the biggest threat — if that was to ever dry up.

Kristo Käärmann, CEO, TransferWise

 

Kristo Käärmann

CEO, Transferwise
“If it became harder to find and hire these people, I think that would be an unnecessary tax for the start-up scene generally — the tech scene generally – in London.
 
“When a recent engineering graduate in France thinks about where are they going to spend the next five years of their life, and they have a choice between Silicon Valley or London, they just might have more reason to go to Silicon Valley. I think that’s what we should be afraid of.”  
(Source: MarketWatch)
 
 
 
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