Research commissioned by the UK’s luxury sector has revealed that it could lose up to £6.8 billion in exports a year in the event of a no-deal brexit. Names such as Burberry, Bentley, Rolls-Royce and Harrods are at risk. The UK is home to the world’s fifth largest economy, and with weeks left until the departure date, a no-deal Brexit looks more and more likely. The study was commissioned by Walpole. With a membership of 250 luxury brands, the lobby group for the luxury industry said that up to a fifth of luxury exports is in danger if the nation fails to reach an agreement on the terms of its departure. According to Reuters, CEO of Walpole Helen Brocklebank said that the “British luxury businesses are committed to staying in Britain, but we are losing patience with the government taking us to the knife edge of no-deal.” “The cost to the UK economy in lost exports from British luxury will be nearly £7 billion and we believe that money should be used to strengthen the country not diminish it. We urge the government categorically to rule out no-deal exit,” the CEO continued. Roughly 80% of the nation’s luxury goods are exported, with Europe being its largest market. Just weeks away from the official departure date and Brexit talks have been described as “deadlocked” in Brussels following a weekend of negotiations. The automobile sector is bracing itself for the impacts of a no-deal Brexit, with Aston Martin announcing that it will reserve up to £30 million as part of a no-deal Brexit contingency plan. This is just one of a string of actions by the car sector ahead of the official departure date. Elsewhere, in the insurance sector Aviva and Admiral recently made headlines waning of the impacts Brexit could have on their businesses. Car insurance specialist Admiral said that market volatility, free movement of people between the UK and EU, impacts on the import of car parts, capital position and future dividend payments were all potential Brexit risks. Will May be able to secure a deal in the next two-and-a-half weeks?

Fashion brand Superdry (LON:SDRY) has announced that it will hold a shareholder meeting on 2 April in London following the demands of its founders. Julian Dunkerton and James Holder founded the company in 2003. Superdry is asking its shareholders to reject Julian Dunkerton’s pledge for a seat on the company’s board. He stepped back from the fashion brand a year ago. Julian Dunkerton’s desire to get back onto the company’s board is followed by a plan to appoint Peter Williams as a non-executive director, currently the chairman of the online fashion brand Boohoo. “Your board recommends you vote against both resolutions at the forthcoming general meeting,” Superdry urged its shareholders in a statement. The statement continued to read that the return of Julian Dunkerton to the business “would be extremely damaging to the company and its prospects”. Superdry believes that his return would cause the business to pursue a strategy that would fundamentally fail. Additionally, Superdry said that his return would distract the business from its current global digital brand strategy and introduce a leadership style that would clash with the culture of the business and the management team. The strongly worded statement affirms that Julian Dunkerton will “damage morale across the business and cause departures of key personnel, including from within the board.” Struggling amid a difficult trading climate, Superdry saw its half-year profits fall 49% in December. It issued a profit warning in October citing “unseasonably hot weather conditions in the UK, continental Europe and the USA” as reasons for its disappointing sales figures, causing shares to plunge almost 30%. Its third quarter results saw a 1.5% year on year decrease in revenue, anticipated by October’s profit warning. Superdry is not the only fashion retailer struggling amid a tough trading climate. Over the Christmas shopping season, online retailer ASOS (LON:ASC) released a shock profit warning, causing its shares to tumble. At 14:25 GMT Monday, shares in Superdry plc (LON:SDRY) were trading at -1.53%, whilst shares in ASOS (LON:ASC) were trading at -2.12%.

Shipping services provider Clarkson (LON:CKN) posted a drop in its pre-tax profits as a result of geopolitical uncertainties, Brexit and a weakening dollar. Shares in the business were trading almost 8% lower on Monday morning. These factors were all expected to prevail over the next year. Headquartered in London, Clarkson said that its profit before tax dropped to £42.9 million from £45.4 million. Revenue however grew to £337.6 million from a £324 million figure. Clarkson has offices in 23 countries on six different continents, making it a leading provider of integrated shipping services across the world. The company increased dividend by 3% to 75p. It has reported 16 consecutive years of dividend increases. The company reported the factors that have been holding it back – geopolitical uncertainties, Brexit and currency exchange rates. “Geo-political uncertainty and natural disasters are currently affecting global sentiment and exchange rates, which in part offsets the better visibility from an improved forward order book,” Andi Case, Chief Executive Officer, commented. The company has said, however, that unless a significant global economic downturn, or unpredictable geopolitical factors intervene “both crude and products tanker markets are expected to strengthen on average in 2019.” Clarkson has said that it is continuing to closely monitor Brexit developments and any geo-political volatility that might arise from it. It does not expect to be materially affected by the UK’s departure from the European Union, other than any consequences that might arise from from foreign exchange rate changes. The EUR/USD latest price is 1.1249, and the GBP/USD is currently trading at 1.2972 (09:34 GMT). Though Clarkson has said that it has started the year well, it has warned of the uncertainties that impact its outlook for 2019. Trade wars, Brexit impacts on exchange rates and potential imposition of sanctions are all continuing to but the business at risk. It remains confident that as 2020 approaches, the shipping market will continue to improve. As the official Brexit date – Friday 29^th March – looms closer, no signs of a deal have been secured as of yet, and economic and political uncertainty prevails. Downing street has said that Brexit talks in Brussels are “deadlocked” after a weekend of negotiations. At 09:36 GMT Monday, shares in Clarkson plc (LON:CKN) were trading at -7.92%.

Struggling department store Debenhams (LON:DEB) has confirmed that it is in “advanced” talks with banks to borrow £150 million in order to snatch back control from Mike Ashley. £40 million of the sum would refinance a £40 million bridging loan. The loan was secured last month in a wider recovery attempt that aims to assist trading though the Easter period. The fund also aims to ensure that credit insurers restore cover for the department store’s suppliers, as well as enabling the business to restructure its store portfolio, according to the Guardian. This drive for control comes after Mike Ashley, the Sports Direct boss (LON:SPD), moved forward with attempts to control the department store last week. Sports Direct owns almost 30% of Debenhams. In an attempt to add to his empire, Mike Ashley said he wanted to eject all but one of the department store’s directors in addition to appointing himself as chief executive. In a stock market announcement on Thursday, the Sports Direct Boss said that he would step down from his Sports Direct position if appointed to the Debenhams’s board. Mike Ashley’s move comes just a few days after Debenhams announced a new profit warning, where it warned that it was no longer on track to deliver results in line with market expectations. “Taken together with macroeconomic uncertainties and increased financing costs as a result of additional working capital needs, this means that the group’s statement made on 10 January that we were ‘on track to deliver current year profits in line with market expectations’ is no longer valid,” Debenhams said. Debenhams has been struggling amid a tough trading climate that has hit the UK high street. Securing the £150 million fund is a fundamental move for the retailer as Mike Ashley seeks to oust the majority of its board. At 08:55 GMT Monday, shares in Sports Direct International plc (LON:SPD) were trading at -0.15%. Shares in Debenhams (LON:DEB) were trading at +0.74% as of 08:58 GMT Monday.

Norwegian Air’s (OCTCMKTS:NWARF) traffic report revealed a smaller-than-expected increase in capacity expansion for the month of February. Total number of passengers flown over the month was 2,517,335, an 8% increase from 2,330,006 last year. Additionally, total passenger traffic increased by 11%. The budget airline’s capacity expansion – which is measured by available seat kilometres (ASK), hit 51% last June, and has been declining since then. The 15% figure in February is 19.2% less than analysts expected. Its load factor, taken as a measurement of how many seats are sold per flight, dropped to 81.5%. This figure has come in higher than the 80.6% prediction, though it is a decrease compared to the 84.3% the year prior. Over the month-long period, the airline operated 99.3% of its scheduled flights, with 83.5% departing on time. Low-budget airline Ryanair (LON:RYA) recently posted a 13% on-year rise in its passengers for the month of February. Its passenger volumes over the period reached 9.6 million flyers, with a 96% load factor. Wizz Air (LON:WIZZ), the largest low-cost airline in Central and Eastern Europe, also announced its passenger volumes statistics, flying roughly 2.4 million customers in February. The airline suffered last year as rising fuel and staff costs impacted its earnings. Several airlines have been struggling recently, with Ryanair posting a loss for its third quarter. External factors such as the Gatwick Drone Sighting have also hit airlines, with EasyJet (LON:EZJ) announcing that it cost the airline £15 million. Uncertainty looms over the aviation industry as Brexit draws closer. The CEO of Heathrow has said that a no-deal Brexit could be beneficial for air transport if other modes of transport become blocked by additional congestion. Flights are guaranteed to operate, but there is no doubting that the potential passport rules could complicate air travel if the UK departs without a deal.