Two weeks on: How does Shropshire's business community view Brexit now?

Few events bring together hundreds of Shropshire businesspeople in one place – just as few issues divide opinion quite like Brexit.

The ResourceBank Challenge, an annual cricket match which has been held each July for the last 10 years, brings together around 700 businesspeople from across Shropshire.

They represent as many as 400 different businesses, so provide a broad cross-section of views, with many representing the service industry which makes up the bulk of Shropshire's economic output.

While an invitational team made up of stars of international cricket took on Shropshire's best XI, trade talk filled the air as much as willow colliding with leather.

Naturally, Brexit is on the minds of many members of the Shropshire business community – and as with the rest of the country it's difficult to come up with much of a consensus.

"We supply into the industrial and construction sectors, and we have noticed a number of projects that have been delayed because of uncertainty around Brexit," said Martyn Rowlands, of Annscroft-based pipework supplier Pipekit.

"I think a number of companies, particularly larger ones, that are setting on their hands and waiting to see what happens. We are a small business down the supply chain, and that will have an impact on us at some point.

"Once we have clear leadership in place, hopefully some larger businesses will realise they just can't wait two years for the country to renegotiate its position. Once things settle down the market will stabilise."

The issue of leadership was a common one among people at the event, with the uncertainty created by a lack of clear planning for the future and Government leadership worrying some business owners.

Keith Winter, of Dyke Yaxley chartered accountants, said the key message for his clients was not to panic.

"I have a client who has seen £2 million worth of growth in the last two-and-a-half years, and 90 per cent of that is from Europe," he said. "They are saying 'we have to stay positive and hope that continues'.

"I have somebody else that buys a lot of materials from America and is worried about putting prices up. But the answer is to not panic, talk to us if there's a problem, and hopefully we will come out the other side."

Alarm bells appear to have been ringing for the commercial property market in recent days, with a number of funds in London restricting investors from moving money in and out.

But Liz Lowe, from one of Shropshire's biggest commercial developers, Morris Property, said she felt the market was holding up well in the county in the face of the post-referendum uncertainty.

"From the industrial side, two deals that we were in the process of agreeing prior to Brexit are still continuing, and that's for about 33,000 sq ft of industrial space," Ms Lowe said.

"It's all doom and gloom at the moment, but there are going to be deals done, and opportunities for people. It's about how to take those opportunities."

She added that Brexit may actually have provided an opportunity for property funds to take the sting out of the London market.

"Things were getting overheated, and funds were paying pretty high yields" she said. "I think it's giving them an opportunity to take a breath to a certain degree."

Ms Lowe was not the only person to suggest that Brexit may have provided an opportunity for some businesses to draw breath.

"To be honest, some of the companies that are saying they need to delay things are doing so as an excuse," said Chris Jones of Select Business Finance.

"There are some businesses that are nervous, principally because they have no idea what the Government's plan will be over the next couple of years, but the majority of businesses I talk to are seeing Brexit as a positive.

"A lot of them export, so for them the currency issue is making exporting cheaper, and they see the effect on regulation and red tape as very positive."

One of the major concerns for small businesses will be that their access to finance dries up, and Paul Kalinauckas, of BCRS Business Loans, which provides alternative lending streams, warned that there is a lot of uncertainty on that front.

"We are fearful for our customers, who are entrepreneurs running businesses across Shropshire and the Midlands," he said.

"With uncertainty comes revision of banks' lending criteria, and historically the banks have turned off the taps to smaller businesses in times of uncertainty."

The lender has plans to radically increase its number of deals before Article 50 is invoked, to ensure that it can work on its next round of funding with the European Investment Bank – especially as Mr Kalinauckas said he was not expecting to see central Government funding increase soon.

"You need entrepreneurs to come forward, and who is going to back them? We do," he added.

"We have a five-year plan to move from lending £7 million a year to £100 million. We know there's a desperate need for it and we have got to scale up to address that need.

"But we have been to New York to speak to institutional investors – we are scouring the world looking for capital. Every $5 of investment capital is chasing $1 of opportunity, so there's money looking for a home."

Paul Bennett of commercial law specialists Aaron & Partners was among the people whose opinions the Shropshire Star canvassed in the immediate aftermath of the referendum, when he warned that investment could be reined in as a consequence of Brexit. He said that his view remained the same as he enjoyed the event, at Wrekin College in Wellington.

"The uncertainty is inhibiting investment," said Mr Bennett, who also chairs the Shropshire Business Partnership networking group.

He said he could foresee an economic bounce once negotiations are underway, but said essential investment decisions were unlikely until those talks are concluded.

"In terms of people spending money and investing in their businesses, we need to reach a deal as quickly as possible," Mr Bennett added.

Nick Jones, of Nick Jones Wealth Management in Shrewsbury, said: "We expected there would be short term volatility in funds but actually they have been retained pretty well.

"The FTSE100 is higher than it was prior to the vote, but the FTSE250 , with smaller companies that are more UK based and less global, have a bit more volatility.

"There's still great businesses out there, and in Shropshire, that are doing well, and this event is a bit of a celebration of that."

Neil Lloyd, sales director of law firm FBC Manby Bowdler, was another person at the event who has a measured outlook on the UK's economic prospects.

"I think businesses are taking a breather and I reckon in the next two or three months it will be back to normal," he said. "Life has to carry on.

"There will be demand for products that businesses in Shropshire make and that demand is not going to disappear because we are not in the EU."

His colleague, marketing manager Laura Jones, added: "We have had a really mixed response. Some businesses are hanging back with projects they were planning, and waiting to see how the political situation falls out."

Peter Phythian, of Telford freight company KRL, said: "We are an island, and are always going to import and export. I would like to hope the export market grows as a result of the exchange rate, and that will be good for manufacturers.

"Ultimately, after all the hype, it will be what it will be."