Among the thousands of lorries backed up in Dover last month trying to get across the Channel, one was carrying a painting by Henri Matisse, says Alberto Nardelli on Bloomberg. Another, transporting a work by Argentinian-born artist Lucio Fontana, was stuck in the queue along with “tens of millions of dollars of other artworks”. All were trying to get to the European Union before the end of “minimal restrictions… without cumbersome tax and customs procedures” that arrived with the end of the Brexit transition period on 31 December 2020.
One specialist shipping company saw volume jump by 75% in December compared with the previous year. While some works will return to Britain with a Temporary Admission Bond (an arrangement that defers sales tax for up to two years), the reasons for the exodus were many. Some galleries saw more potential buyers in the EU, others decided that “maintaining the pieces’ European status would better support their financial value in the longer term”. Still others wanted to “preserve the allure of artworks that were originally from Europe”. Whatever the reason, the “impact of the Brexit departures is likely only a ripple in a UK market that in 2019 was estimated to have reached $12.7bn in sales… But it’s still another example of how Brexit is bringing friction to markets where previously there was none”, says Nardelli.
The extra paperwork “is actually proving to be quite a painful process”, Joe Kennedy, co-founder of London gallery Unit London, tells The Art Newspaper. “But we are hopeful these are just growing pains.”
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
-
Renewable investing: who is paying for the green revolution?Investors in renewables have not been rewarded, says Bruce Packard. Will they fund the government’s plans?
-
UK house prices rose 4.6% last year – where did property prices grow most?House prices increased by 4.6% in 2024, giving an average property price of £268,000. Where did property prices grow the most and will they continue to rise this year?
-
Renewable energy investing: who is paying for the green revolution?
Investors in renewables have not been rewarded, says Bruce Packard. Will they fund the government’s plans?
-
The best ways to invest in Vietnam – Asia’s communist dynamoVietnam has long been one of our favourite markets. The prognosis remains auspicious, says Alex Rankine.
-
India is a new global powerhouse — should you invest?India’s growth rate has slowed recently, but there is still ample scope for investors to benefit from its development.
-
Why Chinese stocks are so far out of favourThere’s little appetite for Chinese stocks despite low valuations.
-
Three companies that dominate their markets with critical productsA professional investor tells us where he’d put his money. This week: Charlie Huggins, manager of Wealth Club’s Quality Shares Portfolio, picks three stocks.
-
Should you continue to hold Smithson Investment Trust?Opinion Smithson Investment Trust, a small- and mid-cap fund, has struggled to live up to lofty expectations, says Rupert Hargreaves.
-
Primark owner Associated British Foods is an overlooked gem going cheap — should you buy shares?Associated British Foods, the owner of Primark, is a family-owned business, which means it is passed over by the increasingly popular passive investment funds. That spells opportunity for private investors, says Jamie Ward.
-
Trump's tariffs and a shrinking market for alcohol deal double blow to DiageoDonald Trump's tariffs are a further headache for drinks giant Diageo, which is already being buffeted by a decline in alcohol consumption.
