4 ms·

I am far from being an expert, but on the other side now it might be easier for Britain to set up more favourable conditions for startups and tech companies sin

I am far from being an expert, but on the other side now it might be easier for Britain to set up more favourable conditions for startups and tech companies since now they don't have to comply with EU laws.

arethuza 6y ago
Which EU laws were stopping people creating startups in the UK? NB Only thing I could think of as being relevant would the working time directive but everyone just opts out of that? Edit: I did co-found a VC-funded startup in the UK, but not recently, wondering what might have changed!
- olalonde 6y ago
  Parent was probably referring to the General Data Protection Regulation.
  - the-dude 6y ago
    You still have to comply with the GDPR if you want to target the EU.
    - mrtksn 6y ago
      And not comply if you don't target EU I presume?
      - the-dude 6y ago
        You don't have to not comply.
youngNed 6y ago
if 'startups and tech companies' is a euphamism, for shysters, con-artists, charlatans and crooks, then yes, i do believe that Britain is about to get EVEN more attractive
raverbashing 6y ago
Funny, because by that logic London wouldn't have been attractive to companies in all this time it spent in the EU Oh and now they're losing facilitated access to the whole of EU developers. But I guess that doesn't matter (even though the flood of openings I see on Linkedin, etc)
tajd 6y ago
Anecdata: the start up I work for now has to spent significant time and money serving our customers in the EU, reducing our margins. Brexit has no benefits to us, we were doing perfectly well working with customers in Europe as well as in other countries. If you were starting a tech company why would you choose to start a company in a country which appears to be decidedly against the idea of economic cooperation and free trade. A country that is deluded enough to remove itself from one trading block because, apparently, its much stronger on its own. If your comment refers to some sort of utopia where trade and business is deregulated and capitalists can happily roam in the wild I'm afraid you might be disappointed. The average Brexit voter has significantly more to gain from the welfare state and big government than the current crop of politicians. Regulation isn't going anywhere and is probably going to increase as the government seeks to prop up its finances without the aid of the EU. I find Brexit an emotive topic, if only because "Project Fear" is and was always going to be "Project Reality".
- satisfaction 6y ago
  IF they truly believe they have more to gain from the welfare state and big government they are mistaken. Maybe someone who need immediate help will benefit from the welfare state but the best long term plan is always self reliance and hard work, the goal should be to create a robust and free economy such that the individual is free from reliance on the government. This is the root of the conflict in the US now, democrats want to foster a system that increases reliance on the government and republicans want to reduce this reliance.
  - jeromegv 6y ago
    Less reliance on government in the public health sector has been a great strategy in the fight on COVId, hasn’t it? Also, you say that republicans have fought to reduce reliance on government but in the last 4 years there’s been a big increase in the federal budget to spend more on military. Aren’t they doing the opposite of what you said? And how is that a free economy when tons of new tariffs have been introduced? I feel sometimes that people don’t realize that the government has been doing the exact opposite of traditional republicans orthodoxy.
NiceWayToDoIT 6y ago
Startup scene was already good before Brexit. So, some additional startup boom will not happen because one other issue, parallel with Brexit and pandemic UK government decided to kill (predominantly) IT contacting by creating some changes to IR35 law (basically increasing taxes significantly to that specific group). All those combine will have strong impact on UK, I live in London, and finance is probably 80% of how UK makes money. Most of the goods are imported, we do not produce anything (I am exaggerating but not far from truth). Just to remind, people voted pro Brexit because of a red bus with a large text saying that each week £350 million goes to EU (which was wrong but hey...) that is £18.2 bn a year. Meaning Morgan Stanley is shifting permanently, with one swift move, 6.5 years ... and heaven know about how many jobs... All that also have combined effect as each person working there feeds many others (builders, bakers, creditors...) "Remain" side was warning about all this, but unfortunately, people have not listened.
- arethuza 6y ago
  Perhaps worth noting, at least as I understand it, that IR 35 has nothing to do with the EU?
  - HatchedLake721 6y ago
    Correct. It’s UK’s own income tax legislations designed to tackle tax avoidance of mostly IT contractors being paid via dividends in single person companies.
    - NiceWayToDoIT 6y ago
      It is not tax avoidance if you have limited company. Why should single person companies be different than large corporations? Rules should be the same for all, single person or multi person company ... so Amazon, Google, Microsoft and everyone else should instead paying dividends pay full PAYE... meaning each share holder should pay 60% and more taxes. One more reason why is harder to succeed with startup... heavy taxes are for those that are at the begining.
i_am_andy 6y ago
I worked at a startup during the brexit vote and our recruitment plummeted immediately afterwards. We would only get about 10-20% of the EU candidates applying as before. No change in UK candidates.
lkramer 6y ago
They have also threatened to "become a Singapore style tax haven"...

arethuza 6y ago

Which EU laws were stopping people creating startups in the UK? NB Only thing I could think of as being relevant would the working time directive but everyone just opts out of that? Edit: I did co-found a VC-funded startup in the UK, but not recently, wondering what might have changed!

olalonde 6y ago
Parent was probably referring to the General Data Protection Regulation.
- the-dude 6y ago
  You still have to comply with the GDPR if you want to target the EU.
  - mrtksn 6y ago
    And not comply if you don't target EU I presume?
    - the-dude 6y ago
      You don't have to not comply.

youngNed 6y ago

if 'startups and tech companies' is a euphamism, for shysters, con-artists, charlatans and crooks, then yes, i do believe that Britain is about to get EVEN more attractive

raverbashing 6y ago

Funny, because by that logic London wouldn't have been attractive to companies in all this time it spent in the EU Oh and now they're losing facilitated access to the whole of EU developers. But I guess that doesn't matter (even though the flood of openings I see on Linkedin, etc)

tajd 6y ago

Anecdata: the start up I work for now has to spent significant time and money serving our customers in the EU, reducing our margins. Brexit has no benefits to us, we were doing perfectly well working with customers in Europe as well as in other countries. If you were starting a tech company why would you choose to start a company in a country which appears to be decidedly against the idea of economic cooperation and free trade. A country that is deluded enough to remove itself from one trading block because, apparently, its much stronger on its own. If your comment refers to some sort of utopia where trade and business is deregulated and capitalists can happily roam in the wild I'm afraid you might be disappointed. The average Brexit voter has significantly more to gain from the welfare state and big government than the current crop of politicians. Regulation isn't going anywhere and is probably going to increase as the government seeks to prop up its finances without the aid of the EU. I find Brexit an emotive topic, if only because "Project Fear" is and was always going to be "Project Reality".

satisfaction 6y ago
IF they truly believe they have more to gain from the welfare state and big government they are mistaken. Maybe someone who need immediate help will benefit from the welfare state but the best long term plan is always self reliance and hard work, the goal should be to create a robust and free economy such that the individual is free from reliance on the government. This is the root of the conflict in the US now, democrats want to foster a system that increases reliance on the government and republicans want to reduce this reliance.
- jeromegv 6y ago
  Less reliance on government in the public health sector has been a great strategy in the fight on COVId, hasn’t it? Also, you say that republicans have fought to reduce reliance on government but in the last 4 years there’s been a big increase in the federal budget to spend more on military. Aren’t they doing the opposite of what you said? And how is that a free economy when tons of new tariffs have been introduced? I feel sometimes that people don’t realize that the government has been doing the exact opposite of traditional republicans orthodoxy.

NiceWayToDoIT 6y ago

Startup scene was already good before Brexit. So, some additional startup boom will not happen because one other issue, parallel with Brexit and pandemic UK government decided to kill (predominantly) IT contacting by creating some changes to IR35 law (basically increasing taxes significantly to that specific group). All those combine will have strong impact on UK, I live in London, and finance is probably 80% of how UK makes money. Most of the goods are imported, we do not produce anything (I am exaggerating but not far from truth). Just to remind, people voted pro Brexit because of a red bus with a large text saying that each week £350 million goes to EU (which was wrong but hey...) that is £18.2 bn a year. Meaning Morgan Stanley is shifting permanently, with one swift move, 6.5 years ... and heaven know about how many jobs... All that also have combined effect as each person working there feeds many others (builders, bakers, creditors...) "Remain" side was warning about all this, but unfortunately, people have not listened.

arethuza 6y ago
Perhaps worth noting, at least as I understand it, that IR 35 has nothing to do with the EU?
- HatchedLake721 6y ago
  Correct. It’s UK’s own income tax legislations designed to tackle tax avoidance of mostly IT contractors being paid via dividends in single person companies.
  - NiceWayToDoIT 6y ago
    It is not tax avoidance if you have limited company. Why should single person companies be different than large corporations? Rules should be the same for all, single person or multi person company ... so Amazon, Google, Microsoft and everyone else should instead paying dividends pay full PAYE... meaning each share holder should pay 60% and more taxes. One more reason why is harder to succeed with startup... heavy taxes are for those that are at the begining.

i_am_andy 6y ago

I worked at a startup during the brexit vote and our recruitment plummeted immediately afterwards. We would only get about 10-20% of the EU candidates applying as before. No change in UK candidates.

lkramer 6y ago

They have also threatened to "become a Singapore style tax haven"...