Brexit uncertainty creates the perfect conditions for trade fraud to rise. Technology has the answer
As Brexit’s final transition date edges closer, Britain’s businesses have warned that they are running out of time to make preparations for trade, should a no-deal be reached. At the same time, the government has warned that there will be a huge amount of red tape for businesses to contend with, whatever deal is struck. Put these factors of uncertainty and increased bureaucracy together and you have the perfect recipe for trade fraud to manifest itself and thrive. Jesse Chenard, CEO at fintech MonetaGo, looks at why the risk of trade fraud is higher than ever in the current climate and how technology could provide the solution.
Although the UK has left the UK politically, it has not economically. The resultant loose ends pose a serious threat to Britain’s business landscape, as they urge the government for clarity on the future of trading.
In the absence of this clarity and, whether a deal is struck or not, the British government says businesses must prepare for new paperwork such as customs declarations, and “short-term disruption” to cross-Channel trade. In fact, a deal is the more likely outcome now and that will generate even more paperwork and red tape than a no-deal agreement.