Whatever your personal political position may be, everyone can agree on one thing: Brexit is a fairly uncertain beast. Predicting what exactly will happen when Britain leaves the European Union is not easy; many have tried to accurately forecast how businesses and individuals will be affected, but in the end, we won’t know exactly how Brexit will affect Britons until it happens.
In the meantime, there’s plenty you could – and should – be doing in order to prepare for Brexit. There are several ways Britain’s exit could happen, and each of them carries with it a different set of potential effects on your personal finances. Here are some of the ways you can prepare for Brexit financially.
Shore up your reserves
Whether you’re a concerned individual or a small business looking to shore up your funds in preparation for Brexit, it’s never a bad idea to try and amass more cash. If you’re hurting for cash right now and you’re worried that Brexit could negatively impact you due to job insecurity or something similar then why not apply for a loan? Companies like fairfinance.org.uk are great places to go for fair and friendly loan application processes, so there’s no need to be worried. You could also consider selling unwanted possessions or working some overtime just to
Educate yourself on the different possibilities
This might not sound like a direct way to financially prepare for Brexit, but understanding how things could work is definitely advantageous. There are plenty of excellent guides on what Brexit could potentially look like, so take the time to read about what’s happening with Brexit and which option is looking more likely with each day. Brexit is not only uncertain but also seems to be constantly shifting in terms of outcome, so don’t rest on your laurels. If you keep up-to-date on your Brexit knowledge, your finances will benefit.
Check your credit score
If you’re looking to borrow money after Brexit – which you might need to do if your job security dips – then you’ll need a strong credit score. There are lots of great ways to check this, with services like Experian and Noddle offering the ability to find out your credit rating for free. A credit score can affect everything from success when trying to buy a house through to getting a loan and can even raise the price of your bills. It’s definitely worth finding out your credit score so you can prepare for Brexit.
Invest (in the right places)
With the uncertainty Brexit is causing, the stock markets are fluctuating in ways that don’t initially seem advantageous to investors. However, maybe you should think twice about that. Uncertainty also creates opportunities, since when stocks fluctuate in value you could potentially make a profit on something that’s not traditionally profitable. This great explanation does a good job of making the volatility-investment relationship clear. Put simply, it’s a good idea to invest in things when markets are unstable because you could make unconventional gains. Just be careful.
Think about where you’re buying goods
When Brexit happens, no matter what the situation there’s a very good chance that imported goods will rise in price. If you’re buying food or groceries from elsewhere in the world, you’ll probably notice the cost rising. If your job depends heavily on interaction with Europe, that’s bound to be affected by Brexit, although only you will know in what way. Prepare for Brexit financially by thinking about where you’re buying your goods from and whether you could potentially source these things from somewhere else.
Talk to your manager
If you aren’t sure how Brexit will impact your business and you have a decent working relationship with your manager at work, then why not try talking to them? If your manager is a good and approachable one, they’ll be OK with talking to you about potential risks and benefits to the business when Brexit comes and what kind of financial preparations you might need to make as a result. If there’s any doubt surrounding your position come the time, then you should already know this; if that info comes out in your talk, it might be best to seek alternate employment opportunities because your manager should have already explained this to you.
Tell friends and family to save
If you’re worried about the state of your own finances, then it might be a good idea to speak to your friends and family to see if they can put a little extra away too. If your spouse or housemate has a more stable employment situation than you, then Brexit might not affect their business at all. If that’s the case, they could potentially support the household for a little while until you manage to find work. Friends, meanwhile, could support you in small and manageable ways. Having a financial safety network around you could well dispel some of the more potentially uncertain financial effects of Brexit in any of its forms.