Most Companies Leaving UK After Brexit Eye Germany as Top Destination

MOSCOW (Sputnik) — The total number of businesses seeking to either leave the United Kingdom or relocate operations within three years once the country leaves the European Union and the EU single market was, however, relatively small at 14 percent.

"Germany was the preferred destination for operations moving from the UK (selected by 54% of respondents who gave an answer), followed by the Netherlands (33%), with France, Italy and Spain among the bigger economies in a distant third place with 8% each," EY said in its 2017 European attractiveness survey.

Factors determining the destination of choice included tax laws, language skills, proximity and history, as in the case with the Netherlands coming second after Germany. Central European countries such as Poland, the Czech Republic and Hungary were also popular due to cheaper labor and attractive investment policies, with over 10 percent of CEOs questioned eyeing these as the destination of choice.

The research, conducted in November, sampled 128 CEOs from companies of varying sizes and from a wide range of sectors currently operating in the United Kingdom.

The UK government plans to start the Brexit process before the end of March, when article 50 of the Lisbon Treaty will be triggered. UK Prime Minister Theresa May has stated that her government will not seek access to the EU single market and will prioritize migration controls.