Brexit Contingency Statement

Categories: Company News|437 words|2.2 min read|By |Published On: January 16th, 2019|

As the Brexit deadline of 29th March is fast approaching, we feel that it is necessary to communicate to you some points around our Brexit strategy. The main focus of our business is to satisfy the demands of you, our customers. Through the turbulent times ahead our commitment to supply first class parts in a timely fashion will not change. However, we all understand that there will be increasingly difficult trading circumstances under whatever Brexit route the UK finally takes and to not plan for the worst-case scenarios would be ill advised.

We are up to date with the advice issued by the British Chamber of Commerce and also the Institute of Directors and HMRC, in addition we have the benefit of support from trade organisations such as the Institute of Spring Technology and the International Wire and Machinery Association. Therefore, through our own diligence and the advice from these institutions we feel we are as prepared as we could be at this time.

It is vitally important that as the deadline comes ever nearer supply chains are strengthened by even better communication than ever before. We will be contact with our customers to ascertain how you see your business developing through this time to try and negate any negative impacts by fluctuations in demand. If there is any information or forecasts you can provide on this, these would certainly assist our joint preparations.

One of the main areas of concern is that with a no-deal Brexit we will see massive delays at the ports. Our raw materials are sourced from a global network of suppliers as well as local UK supplies.

We are working closely with each of these suppliers to try and foresee any supply chain issues. However, due to the very difficult nature of trying to plan for various scenarios, all of which seem to still be possible, we have, as most other component manufacturers, increased our raw material stock holding. This should enable us to still deliver on acceptable lead times but it does make it more important than ever to receive accurate and reliable schedules from all our customers with as much notice as possible to avoid any unnecessary costs. We would also advise that our customers look at increased buffer stocks to negate any increases in lead times which may occur.

We are committed to you our customers and want to assure you that we are forecasting all likely scenarios brought about by Brexit and we are risk assessing every aspect of our business so that we can limit any impact on the supply of your parts.

Alex Driver

Managing Director