A third of UK firms exposed to the threat of new US tariffs are already taking action, according to the first major business survey carried out since Saturday’s announcement.

Using its unique access to companies across the UK, the British Chambers of Commerce award winning Insights Unit carried out a snap survey of nearly 350 businesses, over a 24-hour period between Monday and Tuesday lunchtime this week (19-20 Jan).

The research shows that a third of business (33%) say they are exposed to the threat of new tariffs. Meanwhile, 21% of firms say it is too early to judge if they will be exposed, and 46% of respondents say they won’t be.

Among the firms saying they’ll be exposed by the tariffs, the majority, 55%, say they recognise risk but have yet to change their plans. However, 33% are already acting following Saturday night’s announcement.

Of firms exposed, 17% are carrying out contingency planning and 12% are already planning a strategic shift to reduce exposure to the United States. While, 4% of exposed businesses are carrying out active adjustments, changing aspects of their operations. A further 12% of firms say they’ll be exposed but expect no change because they think the tariffs won’t be implemented.

Based on the current trading figures with the United States, if the tariffs come into place, UK businesses will £6bn hit at the end of January, rising to £15bn in June.

William Bain, Head of Trade Policy at the British Chambers of Commerce said

“The threat of a new tariff bombshell from the United States is bad news for UK businesses, consumers and the wider economy.

“Our data shows some firms are already taking action following Saturday’s statement from the US Administration.

“If the tariffs are implemented the impact on British businesses is clear. It’ll mean lost orders, higher costs and lower margins for firms.

“Trade delivers economic growth, and the way forward for successful transatlantic commerce is through reducing tariffs, not adding more costs.

“We welcome the Government’s clear but calm response. We were pleased to hear the Prime Minister focus on the SME impact, during his press conference on Monday.

“Ministers must look to support UK businesses through these turbulent times, while prioritising the full implementation of Economic Prosperity Deal.”