The Coronavirus pandemic has posed huge challenges for business owners and sole traders operating in the UK, but there are more factors at play.

Britain’s exit from the European Union, triggered by the Referendum result in 2016, has rumbled on in the background while the nation battles Covid-19.

From an economic perspective, many are eager for clarity on what the future holds for their business – especially where there are relationships with overseas suppliers and customers.

Today, Michael Gove has insisted he is confident that a free trade deal would be clinched with the European Union.

The UK officially left the EU on 31 January, but the terms of our membership remain in place, including being in the EU customs union and single market.

That transition period will run until the end of this year, during which time both sides hope to negotiate a new free trade accord.

Gove is the UK Minister overseeing the ongoing process.

He said: “I’m confident that there will be a deal, I think there has been a welcome change in tone over the last few weeks.

“The omens are good for a deal. Now of course there is some tough talking to do. I believe that there will be a successful, negotiated outcome.”

Some experts say that failure to reach a deal could severely disrupt global trade, and the timing couldn’t be much worse as Britain grapples with the effects of the recent lockdown.

But sources close to the negotiations say the EU is willing to compromise by softening its demands around state aid.

More trade negotiations are scheduled through to the start of October, when an agreement is hoped to be reached.

And, whilst we can’t promise to solve any EU stalemates, Cooper Accounting can help businesses manage cashflow, and ensure you are in a strong administrative position to tackle any future uncertainty.

Get in touch today