YP Comment: Burberry's big Brexit question

Whatever the outcome of June's snap election, the concerning situation developing around ongoing delays to Burberry's planned new Leeds factory shows exactly why the country needs decisive leadership once Brexit negotiations commence in earnest.
By The Newsroom
Published 20th Apr 2017, 09:30 BST
Updated 9th May 2017, 18:23 BST

The fashion retailer has confirmed its proposals to open a new £50m manufacturing and weaving facility employing 1,000 people in Leeds remain on hold in light of the Brexit vote, despite work being originally due to start on its construction last year.

Concerningly, chief finance officer Julie Brown says that the company wants to understand how export tariffs from the UK will work once the country leaves the single market – an issue unlikely to be resolved for at least a couple of years as the complex EU departure negotiations take place.

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The question marks over Burberry’s plans for Leeds do not affect that company alone. Its new facility is designed to be a pivotal cornerstone of the vital South Bank regeneration scheme and a flag-bearer for the wider £350m project designed to support thousands of jobs and bring millions of pounds into the city’s economy.

When the Burberry facility was announced, Halifax-born chief executive Christopher Bailey said the Leeds site would allow the company to remain loyal to its Yorkshire heritage. But with Mr Bailey due to be replaced as chief executive this summer, the fear is the company may decide its future is better with a base inside the EU.

Businesses need clarity as soon as possible on future trading arrangements so vital decisions like this which affect real lives and jobs can be made.

Related topics:LeedsBurberryBrexitYorkshire