The Art Industry After Brexit

Eight years ago, Britain voted to leave the EU. A political choice now regretted by over half of the UK population according to a 2023 survey (only 32% said that it was the correct choice). The 16-year-olds in 2016 (like me!) too young to vote but hyper aware of the political developments and impacts on our lives are now in their early twenties, and all are seeing significant impacts of Brexit on their working lives. From the need to different visas and working agreements for Europeans to work in Britain and Brits to work in Europe, to significant changes on import tax, customs, and travel.

For the art world, the impact of Britain leaving the EU continues to be a much-debated topic. A recent survey on the British Art Market, conducted by Clare McAndrew indicates a growing concern for the UK art market in comparison with US. Crucially, we are also in a post pandemic world, and the report shows that the US and China have already returned to their pre-pandemic peaks, whereas the UK struggles. This is perhaps best demonstrated with the figures, which show that between 2009 and 2022, US art sales increased by a huge 149%, Chinese (both mainland and Hong Kong) by a respectable 54%, UK art sales in comparison increased by only 33%. ArtNet suggest that this disparity is due to British auctions not selling as many high value items as the US and China.

The Art Newspaper argues that despite the figures, the outlook on the art industry in the UK is not as negative as it may seem. Despite a relative lack of growth, the UK continues to function as the second largest shareholder in the global art market, although we are only 1% ahead of China. It seems pedantic to focus on this as a positive considering only the year before, China took the second-place spot with 20% to the UK’s 17%.

On a purely practical level, the European Union is a trade agreement; by leaving it, the UK has lost the free movement of people and goods and damaged their ability to trade easily. Impacts on art trade include changes to taxation, employment, data protection, copyright, and dispute resolution. It is more difficult and more expensive to conduct business between the UK and mainland Europe. Consistent complaints about the Brexit changes include extra VAT, shipping costs and more paperwork.

Artsy, have attempted to assess the position of the art world in Brexit on a more human level, what does it mean for artists and employees in the industry today? To put it simply, “there is less incentive” for Europeans to visit London and practically engage with the art scene here. Similarly, increased administration required to import goods in and out of the UK is proving discouraging for dealers working in Europe, pushing some to avoid trade with UK organisations.

Britain continues to thrive in the Art world thanks to the incomparable heritage of the industry here. Despite the difficulties, London remains a centre of artistic innovation and simultaneously, familiarity for art dealers and organisations. Artsy, The Art Newspaper and ArtNet all argue that Britain must show ‘British Attitude’, i.e. Keep Calm and Carry on. As long as collectors and dealers continue to flock to London, we must take comfort that although the impacts are undeniable, London, and Britain more broadly, is rolling with the Brexit-related punches, and maintains a place in the global art market.

 

Sources

Chow, Vivienne, ‘What is the State of the Post-Brexit British Art Market? Here Are 5 Takeaways From a New Report’, artnet, (December 2023), https://news.artnet.com/market/post-brexit-british-art-market-report-2398167

Kakar, Arun, ‘How Brexit is Still Impacting the British Art Market’, Artsy (January 2023), https://www.artsy.net/article/artsy-editorial-brexit-impacting-british-art-market

Smith, Stephen, ‘Art World Insiders on Brexit, three years on’, The Art Newspaper, (March 2023), https://www.theartnewspaper.com/2023/03/02/art-world-insiders-on-brexit-three-years-on

‘British Art Market yet to reap dividends’, The Art Newspaper, (November 2023), https://www.theartnewspaper.com/2023/11/22/british-art-market-yet-to-reap-brexit-dividends-new-report-suggests