Japan’s government has warned that Brexit could result in the country’s firms moving their European head offices out of Britain.
The strongly worded report from Japan’s foreign ministry says the firms might want to move “if EU laws cease to be applicable in the UK”.
It calls on Theresa May’s government to deal with the companies’ concerns in a “responsible manner”.
Downing Street received the report earlier this week, the BBC understands.
Japanese firms employ an estimated 140,000 workers in the UK, with Nomura bank, manufacturing giant Hitachi and carmakers Honda, Nissan and Toyota all having major bases in the country.
The letter warns: “Japanese businesses with their European headquarters in the UK may decide to transfer their head-office function to Continental Europe if EU laws cease to be applicable in the UK after its withdrawal.”
‘Open question’
In an interview with the BBC, Japan’s ambassador to the UK, Koji Tsuruoka, said: “We have a very huge stake in making Brexit a success that will not damage or hurt the global economy.”
He said it was an “open question” whether Japanese firms would pull out of the UK, but that “those decisions have not been made”.
Japan’s Prime Minister Shinzo Abe will discuss Brexit with Mrs May at the G20 Summit in China. “Unless you have international cooperation Brexit is not going to be an easy task,” Mr Tsuruoka said.
Specific companies are not mentioned, but the document states that it was written in response to “a variety of requests from Japanese businesses operating in the UK and the EU”.
The report was published on Friday, but received widespread coverage on Sunday when Mrs May arrived in China for the G20.
BBC
Join BusinessDay whatsapp Channel, to stay up to date
Open In Whatsapp
