The business and trade relationships between the U.S. and the U.K. have long remained fortified and consistent. Some of the biggest U.S. corporations have settled business and corporal assets in the U.K., particularly in the London area. According to The Hill, the region has also served as a network for lobbying connections and establishments. This special relationship however may now face some hurdles on a business and global trade scale. Brexit, the latest reference to the recent referendum by British voters to leave the European Union, has been noted as a potential hindrance. “With the U.K. exiting the European Union, companies based in London jeopardize their relations with top EU officials and policy makers and risk losing influence in Brussels,” reports The Hill. With the process of Brexit, there is a high risk that the U.S. could remain in an economic and trade stalemate. In the past, U.S. corporations and associations have generally conducted business with other EU members through their acquaintance with the U.K. Now that Brexit has come into play, there is a moderate risk that the U.S. will lose some influence and control over these trading relationships with the other EU states.
Apart from the United States, EU lobbyists are said to gain from Brexit. Politico reports that there will be a number of lobbyists that will benefit from Brexit, as it gives “them a chance to get back to their core work: influence legislation.” American lobbyists and clients are concerned about what the absence of the U.K. will spawn in different fields, particularly in the entertainment industry. Copyright laws may be affected by the changing EU political arena, and may establish a much more tedious process. “They fear that the EU political climate will become more Franco-German, meaning more protectionist and less welcoming to American audio-visual content,” reports Politico.
Corporations that have a substantial influence in Brussels, the remarked EU center of politics, tend to have an upper hand in government relations and business contacts. Firms and corporations that establish themselves in the Belgian capital produce a more accessible relationship with global contacts, as well as obtain access to government connections and influences (big plus for participating lobbyists). According to The Hill, if U.S. lobbyists and major companies desire to hold their position tight in the global trade arena, then their best bet is to invest more influences and transactions in the globally recognized EU center. “So far U.S. companies were able to get away with operating politically from outside Brussels,” reported The Hill. “They need to look at Brussels as they look at Washington, D.C. and act accordingly.”