A NEW business owner in Malmesbury is already fearing for his company’s future, which he blames on Brexit.

Pete Berryman, owner of Mombee, a startup snowboard making business, said the plummeting of the pound following the UK voting to leave the EU has started having an effect on his business.

“If you source all of your goods inside the UK and export them abroad, then you’re laughing all the way to the bank,” he said.

“In October 2015, if you sold goods directly into Europe for 1,000 euros, then that converted to £701.

“In October 2016, that converted to £900, that’s £200 extra for doing nothing apart from watch the markets shift.

“I doubt that many UK businesses are able to source all of their materials locally and then export the majority of their units abroad.

“However, if you source the majority of your materials from Europe then the converse applies, so a 1,000 Euros of raw materials will cost you £200 extra, which comes straight off of your bottom line.

“Bear in mind that the UK no longer has a wealth of raw materials, so much of this has to be imported regardless of what you’re making.”

Pete says the pound falling in value came at the worst possible time for his fledgling business.

“At the moment we’re in the very early startup stage, trying to convince ourselves and family that it’s all a viable idea,” he said.

“The nature of snowboards means that some of our specialist materials, such as the metal ski edges, are not available in the UK and have to be imported from the EU or the USA.

“Unfortunately, if you’re looking to import raw materials as part of an expansion or startup, because the cost has shifted by around 25 per cent in the past month, it actively discourages small businesses from taking investment risks.”

Pete wrote to the MP for North Wiltshire, the pro-Brexit James Gray, asking for reassurance over the issue.

In Mr Gray’s response he said: “I can well understand that insofar as you have to import materials, the weak pound could be damaging to you.

“However, I would have thought that the increased export potential as a result of the very same currency fluctuation, would rather offset the problem.”

Mr Gray concluded by saying: “I really do feel that most of the concerns you have raised are extremely unlikely to have any effect whatsoever on a small business such as yours exporting to the European Union or beyond.”

Pete said he was left disillusioned by the MP’s response.

“It didn’t provide any substantive evidence that my concerns were unfounded and instead seemed to be clinging to the Leave view that things might be better,” he said.

Pete says he wants to see the government ease off from their goal of a “hard Brexit”.

“I am convinced that a hard Brexit from Europe is not the answer that the majority of voted expected,” he said.

“There are some sound reasons for change (in our relationship with the EU), but a hard Brexit decision will impact the vast majority of UK citizens in ways that many didn’t expect prior to the referendum.

“The government should acknowledge that and instead work on addressing some key areas of concern without destroying the benefits Europe brings and decimating our economy and living standards in the process.”