The Word on the Street - News and Information from Spain

News and Information from Spain

The Word on BREXIT Edition - August 2016

The Word On Brexit

This is the August issue of our monthly BREXIT bulletin from Spain. During this uncertain period, we aim to keep you informed of developments following the UK referendum.

Over the coming months (and years!) our intention is not only to share good links, websites and other sources of information but provide advice and clarification from our own experts too. We will provide you with as much reliable and trustworthy fact as we can.

At the moment, there is very little that anyone can say that has real substance. We know that the process will take time and that whilst we are waiting nothing should have changed. However, that does not account for changes in attitude and perception. Nor does it take account of the actions of individuals who will occasionally have decided for themselves that Britain has already left.

When things do begin to move it will be down to individual countries, such as Spain, to negotiate the terms and conditions for both their citizens in the UK and British citizens abroad. We can expect that there will be close links between outcomes for both parties.

In the meantime, our legal department have informed us of one way in which people with property in Spain can pre-empt Brexit changes and make sure their children do not lose out:

How to cope with Brexit - finding tax-wise solutions

Here we also have some examples of case studies to show how inheritance and donation tax might change following Brexit:

Have you thought about giving it away?

Confusion continues

Confusion continues to reign amid the feeling that there is still lack of a real plan to move forward. This article points out that it is difficult to find answers when we don’t even know what the questions are:

Read the article

A Bremain newspaper

Since the referendum, those against the UK leaving Europe have maintained their voice and found consolation in one another. A new local paper has been launched for a provisional length of time called ‘The New European’. Edited by Matt Kelly it is unashamedly pro Europe:

Go to www.theneweuropean.co.uk

It's currently a weekly publication and advertises itself as not being ‘aligned with old political divisions’ but is definitely written for the 48%.

VoxEurope

This website includes a number of different articles about Brexit written from different perspectives. If you want to keep informed but also know what other countries in the European Union are thinking, it’s a useful source of information.

Go to voxeurop.eu

Weekly briefing

The Guardian has devised its own weekly briefing. The latest update includes developments in the economy as the Bank of England takes action:

Read the article

You can sign up and have the briefing delivered to your in box every week.

The Independent’s update

Not to be left behind, the Independent has established an exclusive section dedicated to the Brexit debate. If nothing else this will prevent Brexit from continuing to dominate the headlines whilst allowing people to check on progress.

For the Independent’s online coverage:

Read the article

Some infographics for understanding the EU

It might be a little late but sometimes a picture really is worth a thousand words. Here are some useful infographics to help understand the EU:

For a timeline showing who joined and when:

Visit infogr.am

For more infographics that show Britain’s relationships with the EU:

Visit economist.com

Italy and Spain could benefit

Whilst the confusion continues in the UK, other countries are not waiting around to see what might be in it for them. This includes Italy and Spain with Rome and Madrid being charged with leading the race to host influential EU agencies.

The European Banking Authority (EBA) and the European Medicines Agency (EMA) are both based in London but will now have to move. Both Italy and Spain are setting their sights on hosting the two organisations:

Read the article

Vote Leave Watch

Vote leave Watch has been formed as a new organization to make sure that the pledges made during the Leave campaign are kept. If you are interested in being kept informed about the campaign you can ‘like’ their Facebook page or visit their website:

Visit voteleavematch.org.uk

Reassurance from Murcia

In this article we hear from the Regional government of Murcia that health care for British people is still guaranteed. Good news that should be tempered by the fact that this refers to current provision and not what will happen post Brexit.

Read the article

Not just the British economy

The economic future might have been looking slightly better in Spain but it’s not out of the woods yet. Nor has this been helped by Brexit. In this article from the English translation of El Pais, the Spanish paper outlines the IMF’s concerns:

Read the article

Pessimism from BBVA

Murcia Today reports a rather pessimistic forecast as to the fortunes of the Murcia region following Brexit in a report published by the BBVA. The pessimism largely comes from concerns about exchange rates and the importance of the British buyer in the Murcia region.

It’s not just the property market. Murcia exports 12% of its fruit and vegetables to the UK:

Read the article

What the Spanish press has to say

The issue of Brexit has been less prominent recently. Instead the politics has been focused on Spain’s own issue of trying to establish a government. With the real possibility of there being a third general election, Spaniards are understandably a little frustrated by the whole process and their politicians.

El Mundo focuses on the impact on the creative industries of Brexit in the UK. In 2014 the creative industries contributed 100,000 million euros to the economy. El Mundo declares that 96% of those belonging to Creative Industries Federation voted against Brexit. 57% of its production is exported to Europe and the industry employs five million people. 60% of music composed in the UK is exported to the European Union and London is currently the second major commercial centre for art.

The EU protects copyright laws and the rights of the author and being part of the EU has supported access to talent for orchestras, art schools and architects’ studios. Other areas of concern include what will happen to European Regional Development Fund money.

Go to El Mundo (Spanish) 

ABC has written that Spain is one of the most pessimistic countries when it comes to the fallout from Brexit. In a citizen’s survey, 69% of the Spanish people believe that Brexit will have a negative impact on Britain and that the British have made the wrong decision, 63% that there will be economic problems and 56% that Britain will lose its standing in the world.

In the survey conducted by IPSOS people from sixteen countries were involved in more than 12,500 interviews. The Spanish also believed (64%) that Great Britain leaving the EU would have negative consequences for the rest of Europe. They were just behind Sweden (68%) and Poland (65%) in holding this view.

Forty percent of the Spanish indicated that they were sad about Britain leaving the EU and one in three indicated that they would not be travelling to the UK after Brexit. Thirty seven percent also indicated that they were likely to avoid buying goods and services now from the UK.

Go to ABC (Spanish)

El País carries the headline from ‘Brexit’ to ‘Briturn’. This article refers to the pragmatism of the British and the possibility that they might look for other alternatives. One of these, suggests the paper, might be a second referendum. It’s also points out that some countries might expect a payout from Britain. For example, where they have incurred costs to establish parts of their business in London on the understanding that it has access to Europe’s single market; El País describes this as a move from Brexit to Bripay.

The conclusion of the article? Spain would like to see a Briturn, as a country that has inspired others it is better in than out. However, if it should remove itself then the EU must make itself even stronger and more attractive for its members. As for Gibraltar, El País suggests that it should be offered a different status that allows it to remain within the EU – or become Gibrin.

Go to El País (Spanish)