While discussing the Brexit in Davos the Bank of England Governor Mark Carney said on that many British businesses still face problems that have yet to be solved if the UK leaves the European Union without an agreement to smooth its transition.

“There are a series of logistical issues that need to be solved, and it’s quite transparent that in many cases they’re not,” Carney said at a panel discussion at the World Economic Forum in Davos.

Carney repeated that the Bank of England (BoE) had room to react to a hard Brexit, adding that policy could move in either direction in such a scenario.