The implications that are going arise from the UK leaving the European Union are vast and wide ranging, with an impact expected to be seen across a whole host of areas.
We’ve all heard of the changes that a break away will have on topics such as the economy and immigration, however the decision will now lead to the UK suffering from an even greater skills shortage.
In the short term, now that the UK’s exit from the EU has been confirmed, we will see immediate volatility within the technology sector, due to nobody truly having a full understanding as to what the future holds, This, combined with uncertainty across financial sectors, which we’ve already seen in the aftermath of the vote, leaves the sector in an uncertain position.
Focusing on the long-term impacts of the referendum result, the recruitment marketplace will be heavily impacted due to the inevitable lack of free movement that will be an immediate result of us leaving the EU. Within the IT and technology sectors, roles such as developers and engineers have been filled by qualified EU nationals, filling the skills void that we currently have within the UK. The recent Tech Nation 2016 report highlighted that a significant proportion of tech and digital businesses across British cities are struggling to hire due to there being a limited talent pool from which they can select.
Looking ahead, one area of vital importance will be settling on new frameworks for immigration to ensure skilled workers remain able to relocate to the UK. If the nation decides on a point based system when it comes to immigration, it will enable businesses to still recruit staff, however there will be inevitable time and cost implications due to the need for Visas to be completed and any other paperwork. Whilst this might not seem like too much of an issue for large corporates, it will undoubtedly have a greater impact on start-ups and SMEs, something that could end up stifling entrepreneurs and businesses from achieving growth.
Today’s news however, does present an opportunity. Whilst many will act with caution, those organisations willing to be divisive, who commit to growth and can demonstrate confidence will have an opportunity to attract talent from organisations that take a cautious approach.
Those businesses who show confidence have an opportunity to attract the top talent within the industry.
Christopher Evans, Head of IT at JAM Recruitment
Image source: Shutterstock/Kirill Wright