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Denmark pledges support for Brexit-hit businesses

Small and medium-sized Danish businesses are to be given state support as they prepare for the impact of the UK’s exit from the European Union.

Denmark pledges support for Brexit-hit businesses
Businesses minister Simon Kollerup presented the no-deal Brexit provisions at clothing store Les Deux, a small business in Frederiksberg. Photo: Liselotte Sabroe/Ritzau Scanpix

Businesses will be helped by the government if they face difficulties as a result of a no-deal Brexit, which could occur on October 31st.

Minister for business Simon Kollerup announced the government initiative at a press conference on Wednesday morning as he presented a plan of action which included 50 million kroner of spending.

“Brexit will turn things upside down for a lot of Danish businesses, whether they export goods to the UK, use British suppliers or maybe have staff over there [in the UK, ed.],” Kollerup said in a press statement.

Customs, checks on food exports and the end of free data flows are among the issues that could have a major impact on businesses, should the UK leave the EU without provisions for these.

“Particularly for small companies that can’t afford to dedicate a member of staff to specialize in the situation and prepare the company for Brexit, this can be a large and challenging matter, and in the end it will affect us all,” Kollerup continued.

“That’s we the government sees it as all of our jobs to ensure that consequences are reduced as much as possible for companies so that a bad situation doesn’t get worse,” he added.

The plan presented by the government includes information and guidance for businesses, encompassing rule changes related to Brexit and how companies can prepare for them.

Increased opening hours and staffing at relevant authorities will be implemented in an effort to keep administrative delays to a minimum.

Additionally, companies can apply to Danmarks Erhvervsfremmebestyrelse (Danish Business Support Board) for assistance in preparations for Brexit.

That could include financial support for external consultations, training or advice relating to potential changes to export rules.

The Danish businesses support board is able to allocate EU Structural Funds in order to promote business.

Meanwhile, the government has budgeted a total of 49 million kroner for assistance for companies in the event of a no-deal Brexit.

READ ALSO: Denmark's no-deal Brexit provisions: What British residents need to know

Are you a British resident of Denmark and could your situation be affected by a no-deal Brexit? Are the any particular areas or issues you'd like answers on? Let us know and we'll try to find out.

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BREAKING

‘We’ve found a solution’: Denmark extends deadline for post-Brexit residency

The Danish government announced on Monday that British nationals, who had missed a previous deadline to secure their post-Brexit residency status, will now have until the end of 2023 to apply or resubmit their late application.

'We've found a solution': Denmark extends deadline for post-Brexit residency

After the UK left the EU, Britons resident in Denmark before the end of 2020 were required to apply to extend their residence status in Denmark and receive a Danish residence card under the terms of the Brexit Withdrawal Agreement.

A significant number of British residents – at least 350, according to official figures released at the beginning of this year – did not apply before the original deadline of December 31st, 2021, however.

Many were subsequently given orders to leave Denmark and Danish immigration authorities came in for much criticism from rights groups representing Britons in Europe, who accused them of not correctly applying the rules of the Withdrawal Agreement.

But on Monday the Danish government announced that the initial deadline will now be extended until the end of 2023.

This extended deadline will apply to all British citizens who applied after the original deadline and whose applications were subsequently not processed.

Brits who had moved to Denmark before the end of 2020 but never submitted an application to extend their Danish residency after Brexit will also have until the end of this year to submit an application, the Ministry of Immigration and Integration said.

A major complication with the original application deadline was an error relating to information letters sent out by the authority that processes the applications, the Danish Agency for International Recruitment and Integration (SIRI).

The information letters, sent in 2020, were intended to inform all British nationals living in Denmark of the need to apply for their residence status in Denmark to be continued after Brexit. But an error at the agency resulted in most people who moved from the UK to Denmark in 2020 not receiving the information mails.

The Local has previously reported on individual Britons who faced having to leave homes, jobs and loved ones in Denmark over the issue.

READ ALSO:

“I am very pleased we have found this solution,” Minister for Immigration and Integration Kaare Dybvad Bek said in the statement.

“It has always been the government’s intention to make it easy and smooth for resident British nationals to stay in Denmark. There are some people who didn’t apply on time and we want to give them an extra chance,” he said.

Mads Fuglede, immigration spokesperson with coalition partner the Liberals (Venstre), said that “In light of Brexit, we decided in parliament that it should not harm British residents of Denmark that the United Kingdom is no longer part of the EU. I am therefore also pleased we have found a solution for the Britons who did not apply on time”.

All British residents of Denmark applying within the new deadline are still required to be eligible for ongoing residence in Denmark under the terms of the Withdrawal Agreement, meaning they legally took up residence in Denmark under the EU’s free movement provisions prior to the UK’s exit from the EU. This does not represent any change to the rules under the earlier deadline.

British residents who must now submit applications by the new deadline should be aware of the distinction between an earlier application being rejected, with it not being processed.

In general, late applications under the old deadline were not processed, unless SIRI deemed there to be special circumstances justifying the late submission. In these cases, SIRI informed the applicant that their application could not be processed, citing the missed deadline as the reason for this.

Persons whose applications were processed but were rejected because they did not meet the criteria for ongoing residence under the Withdrawal Agreement will not be given the chance to reapply, the ministry said.

People who moved to Denmark after the end of the Brexit transition period on December 31st, 2020 are still subject to general Danish immigration rules for third-country nationals.

The deadline extension will require a legal amendment which will be sent into the hearing phase of parliamentary procedure “as soon as possible”, the ministry said in the statement.

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