This article was published prior to the publication of the post-Brexit agreement between the UK and EU which covers the relationship between the UK and EU following the end of the implementation period (commonly referred to as the “transition period”) created by the European Union (Withdrawal Agreement) Act 2020, and should be read in that context.
Reports from the likes of Moody's and the British Retail Consortium have fuelled the ongoing debate surrounding Brexit's effect on the UK retail sector. Merely the uncertainty of the post-Brexit landscape could spur an economic retrenchment made worse by increased barriers to trade, prolonged investment decisions, and shifting migration policies.
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The UK is a well-established jurisdiction for cross border insolvencies, both within the EU and the rest of the world. The main piece of EU legislation that governs this area of law is the EC Council Regulation 1346/2000 ("the Insolvency Regulation"). Ultimately, this legislation facilitates the recognition of insolvency proceedings that span multiple jurisdictions. The Insolvency Regulation sets out the correct jurisdiction in cross border situations and, crucially, makes it mandatory for Member States to recognise insolvency proceedings in other EU countries.
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We are now only weeks away from what many consider to be one of the most important votes for a generation, and campaigning on both sides is reaching its peak. UK firms in all sectors are considering the implications of a leave vote on their business and trading arrangements, and in this article we focus on the potential implications for the construction industry.
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