Business West, the region’s largest business organisation, called on the government to immediately commit to negotiate the best deal possible for British firms following the referendum result.
Failing to do that could risk jeopardising new investment from the many overseas firms that have chosen to base themselves in the region to give them access to the single market. 
Phil Smith, managing director of Business West – which runs the Bath Chamber of Commerce – said: “After a long and often acrimonious campaign the UK public has chosen to leave the European Union. This is a historical decision.
“It is vital that the government now sets out a clear plan for what leave looks like. This must include a commitment to negotiate for full or equivalent access to the European Single market – the UK’s largest export market.
“Many South West firms export to the EU, are part of pan European supply chains, rely on skilled European labour or depend on foreign investment due to the UK’s position in the single market.
“These firms need clarity as quickly as possible about the UK’s future trading relationship with Europe. Without clarity there is a danger that investments will be put on hold, plans for new plant, new jobs and new expansion will be frozen.
“Government must set out what its negotiating time frame is; how negotiations around future trade relationships will go alongside withdrawal from the European Union and give clear reassurances around the quality of market access it seeks to achieve. The aim of the negotiations cannot be to raise the drawbridge to either Europe or the world. Equally fears over migration cannot be allowed to trump the UK’s economic interests.
“Eyes will now turn to the financial markets, with the value of sterling and shares already falling. The Bank of England and the government need to reassure consumers, businesses and investors that it is ready to steady the ship and prevent damaging fall out from market uncertainty.
“Above all the government must do its upmost to stop this process creating years of political and economic uncertainty which will negatively affect businesses from the smallest to the largest. This calls on politicians of all parties to rediscover statesmanship and negotiate what is the biggest change for the UK since the end of the Second World War.”
Bath MP Ben Howlett – who had backed the Remain campaign – said he would “fight for best deal” for the city.
He said: “I am personally disappointed at this decision, but recognise the importance of the democratic process.
“There are now uncertain times ahead, but I am confident that as a nation we can rise to that challenge.”
However, North East Somerset MP Jacob Rees-Mogg – a vocal supporter of Leave – told the BBC that sterling’s collapse had been expected and would not be a “particular problem”.
He went on to say: “The plague of frogs and death of the first born that were being predicted during the campaign is not going to happen.
“There will be no recession due to Brexit. Though there are fragile economic conditions in other parts of the world.”
Conservative MEP for the South West and Gibraltar – and Remain campaigner – Julie Girling called the referendum result “a shattering decision for Britain”.
“I am deeply sorry that the people of the UK have chosen this leap in the dark. I believe future generations will question our wisdom,” she said.
"The EU has many faults, of course, but I remain convinced that we would be safer, stronger and better off by remaining a member.
“As an MEP, I intend to do all I can to make sure we negotiate the best terms possible for our departure and protect our trade, exports and economy.”
Brady George, managing director of Keynsham-based Almeda Facilities – which works with many of the region’s largest firms – urged businesses to look at new opportunities that could be presented.
“Naturally it’s going to be a shock to our economic infrastructure but we now have certainty for which we can plan,” he said. “It’s a lack of confidence and willingness to invest and spend that causes recessions, so we need to ensure we adapt to these new surroundings and continue to drive forward as a business and region.
“Let’s look at new opportunities. Let’s show leadership and resolve and navigate these unchartered waters with confidence, not fear. I do also hope that we continue to be inclusive and fair as a society and that much of the negative campaigning doesn’t take centre stage. I hope that instead we take advantage of this new opportunity in a positive way.”
Accountancy firm KPMG’s lead for enterprise in the South West, Ian Brokenshire, added: “The high number of entrepreneurs in the South West are a resilient group and have the agility to adapt to any new landscape.
“There will be a period of change while the exit is negotiated and new terms are agreed for cross border trade and there may be issues with investment and funding in the short term. However, local business owners are naturally positive and they are likely to see the sun through the clouds quicker than most.
“The hospitality sector, as a major income-generator in our region, will be looking to reassure the large numbers of EU nationals employed in the sector. EU supplier and commercial contracts will need to be reviewed, and there will also be concerns over foreign visitor numbers within the industry. All of these factors could have a material impact on operations and revenues.
“For our agricultural industry, there is a lot of uncertainty around income. However, there is an opportunity to join forces and negotiate preferential government payments to replace the EU ‘CAP’ system.”
Accountants EY’s South West senior partner Richard Jones said: “It is vital that the message that the UK is open for business should not change. EY’s latest research on foreign direct investment (FDI) reveals that the UK continued to be the most attractive location for FDI in Europe last year.
“2015 was also a record year for the South West, with 32% growth in the number of projects. Businesses will need to work alongside the government to ensure that this remains the case and to give the UK every opportunity to prosper in the future.
“The UK will also have the opportunity to make new trade deals so it is important that key trading partners are quickly identified and negotiations accelerated. Businesses across the region must use the next few months to assess their position in terms of trade, their people and regulation.
“One thing is certain: Brexit will result in a number of large-scale changes for UK plc – in areas such as trade, employment, regulation and government policy. Few changes are likely to happen overnight. As a result, businesses now have a prime opportunity to take proactive steps to prepare for the challenges and opportunities that lie ahead.”
Tim Lincoln, practice leader at Grant Thornton South West, said the region’s businesses should “stay calm while the dust settles”.
“Whilst we know a majority of our clients in the South West favoured remaining in the EU and, leading into the vote, many businesses felt there was still a marked lack of qualified information on what the impact of a vote to leave would have on UK businesses,” he said.
“The important thing now is to focus on the future and building a strong and vibrant UK economy outside the EU
“After initial market volatility, we can expect a period of instability and uncertainty. It is important to bear in mind that very little changes immediately, so businesses should stay calm, review their contingency plans and start considering the mid-long term opportunities whilst the dust settles. Organisations need to assess the risks to their business and develop strategies which mitigate these, or indeed, capitalise on new opportunities.
“No member state has left the EU before and there is no agreed process for building a UK outside the EU. Business needs to lead this debate and help shape a vision of what a vibrant UK outside the EU will look like. The world is changing fast, driven by technology and social change, and we need to create a UK that can harness this change rather than ignore or resist it.
“We hope the government will now prioritise the concerns of business and focus on areas which enable a more dynamic, vibrant UK economy to emerge over the coming years. This includes prioritising the negotiation of trade deals within, and outside of, the EU to support business growth. Businesses also want the government to review UK employment legislation and reach agreement on rules governing competition, state-aid and anti-trust regulation as soon as possible.”
Malcolm Miller, managing director of Chippenham-based automotive learning and development agency RTS Group, said Brexit would now focus attention on non-EU markets.
“The vote, far from resolving economic concerns will, we believe, create further economic challenges,” he said.
“Automotive dealers will have to continue working hard to overcome their customers’ concerns over committing to a new car and manufacturers will have to work hard to support them in the short term.
“But of course there is an opportunity to think beyond European shores and auto retailing in the UK is seen by many as a benchmark for best practice across the globe. We see growth in the Far East, China and India as the new economic powerhouses of the world and are helping dealers and manufacturers there improve their operations.”
RTS works across Europe, the Middle East, China and South Africa with clients such as Mercedes-Benz, Mazda and Nissan.
Voters in Bath and North East Somerset backed staying in the EU.
- Remain: 60,878
- Leave: 44,352
- Turnout: 77.1%
However, in Wiltshire, the picture was different.
- Remain: 137,258
- Leave: 151,637
- Turnout: 78.9%
