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Survey: EU companies shift some operations out of UK on Brexit woes

Fourteen percent of EU companies with U.K. suppliers have moved parts of their businesses out of Britain over Brexit concerns, according to a survey by the Chartered Institute of Procurement and Supply, or CIPS.

Meanwhile, 11% of EU firms have moved some of their workforce out of the U.K. ahead of Britain's planned departure from the bloc.

The survey also found that 37% of EU supply chain managers think it will be less costly to work with a local supplier than one from the U.K.

In addition, 32% of respondents said they have raised prices as a result of Brexit, while 41% plan to raise prices in response to potential costs arising from Brexit.

Among British businesses with EU suppliers, 22% said they are having difficulties securing contracts that run after March 2019, when the U.K. is set to leave the EU. In response, 36% of British supply chain managers with EU suppliers said they are looking for alternative suppliers within the U.K.

"Businesses are now looking elsewhere to try and recuperate the money they are losing as a result of Brexit," said CIPS economist John Glen.

"In the end, businesses that fail to plan ahead and use this opportunity to reduce costs in their supply chain may not survive post-Brexit," Glen added.

CIPS conducted the survey among 2,204 supply chain managers.