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Luxury German carmaker Porsche warns of Brexit price hike on UK cars

Porsche customers in the UK should brace for a price hike of up to 10 percent in case of a hard Brexit, the luxury German carmaker warned Monday.

Luxury German carmaker Porsche warns of Brexit price hike on UK cars
Porsche employees in Leipzig. Photo: DPA

The company said it had taken the “precautionary step” of informing customers whose cars are due to be delivered after March 29th, the day Britain leaves the European Union, that they could become more expensive if new border tariffs are imposed.

SEE ALSO: Merkel slams 'frightening' US attack on German cars

“As one potential outcome of the Brexit negotiations, there is a possibility that a duty of up to 10 percent may be applied to cars imported into the UK,” Stuttgart-based Porsche said in a statement, adding that drivers could still make changes to their order.

Customers who had already paid a deposit by January 17th will not be affected by the potential tariff hikes, it added.

SEE ALSO: No-deal Brexit: Country by country guide on how the rights of Britons will be affected

'Fear of no-deal'

It remains uncertain whether Britain will strike a deal with the EU by March 29th, and car manufacturers have joined other industries in calling for urgent clarity on what the future trade relationship might look like.

Business leaders fear a hard or no-deal Brexit could lead to import duties on EU goods arriving into the UK and different regulatory requirements that would badly disrupt supply chains.

Porsche sold 14,000 cars in Britain in 2017, making it the firm's second-biggest market in Europe after Germany.

According to Bloomberg News, the starting price of Porsche's Macan compact SUV would jump from £46,344 (€52,880) to £50,978 if the 10-percent surcharge were imposed.

As The Local has reported, a no-deal Brexit could cost more than 100,000 jobs in Germany, hitting the auto and technology industries worst.

That's according to a recent study by conducted by the Leibniz Institute for Economic Research Halle (IWH) and the Martin Luther University Halle-Wittenberg, looking at the effects of a hard Brexit on different parts of Germany.

SEE ALSO: No-deal Brexit could cost Germany 100,000 jobs

It showed the automobile and technology industries would bear the brunt of the consequences.

 

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BREXIT

‘It’s their loss’: Italian universities left off UK special study visa list

The UK is missing out by barring highly skilled Italian graduates from accessing a new work visa, Italy's universities minister said on Wednesday.

'It's their loss': Italian universities left off UK special study visa list

Universities and Research Minister Cristina Messa said she was disappointed by the UK’s decision not to allow any graduates of Italian universities access to its ‘High Potential Individual’ work permit.

“They’re losing a big slice of good graduates, who would provide as many high skills…it’s their loss,” Messa said in an interview with news agency Ansa, adding that Italy would petition the UK government to alter its list to include Italian institutions.

Ranked: Italy’s best universities and how they compare worldwide

“It’s a system that Britain obviously as a sovereign state can choose to implement, but we as a government can ask (them) to revise the university rankings,” she said.

The High Potential Individual visa, which launches on May 30th, is designed to bring highly skilled workers from the world’s top universities to the UK in order to compensate for its Brexit-induced labour shortage.

Successful applicants do not require a job offer to be allowed into the country but can apply for one after arriving, meaning potential employers won’t have to pay sponsorship fees.

Students sit on the steps of Roma Tre University in Rome.

Students sit on the steps of Roma Tre University in Rome. Photo by TIZIANA FABI / AFP.

The visa is valid for two years for those with bachelor’s and master’s degrees and three years for PhD holders, with the possibility of moving into “other long-term employment routes” that will allow the individual to remain in the country long-term.

READ ALSO: Eight things you should know if you’re planning to study in Italy

Italy isn’t the only European country to have been snubbed by the list, which features a total of 37 global universities for the 2021 graduation year (the scheme is open to students who have graduated in the past five years, with a different list for each graduation year since 2016).

The Swiss Federal Institute of Technology, EPFL Switzerland, Paris Sciences et Lettres, the University of Munich, and Sweden’s Karolinska Institute are the sole European inclusions in the document, which mainly privileges US universities.

Produced by the UK’s Education Ministry, the list is reportedly based on three global rankings: Times Higher Education World University Rankings, the Quacquarelli Symonds World University Rankings, and The Academic Ranking of World Universities.

Messa said she will request that the UK consider using ‘more up-to-date indicators’, without specifying which alternative system she had in mind.

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