Mon 22 Jul 2019, 05:26 AM | Posted by editor
LETTER by Mark Langabeer, Newton Abbot Labour Party member
Panorama’s investigative reporter, Jane Corbin, travelled the length and breadth of Britain to discover the likely consequences of a no-deal Brexit from the EU. Both Johnson and Hunt, the two candidates for the Tory Leadership, have indicated that they are willing to entertain leaving without an agreement on trade.
Corbin travelled with a lorry driver to the port of Dover, the main ferry terminal to Europe. He transports lamb, valued at £100,000 and currently experiencing little in the way of boarding checks at customs and no tariff charges. He explained that the EU tariff for lamb was 70% and delays at ports could threaten the ability to transport perishable items. There are also concerns about permits that are required to travel in the EU.
The Road Haulage Association believe that preparations for no-deal are inadequate. Only 6,500 permits have been issued so far. There are 40,000 lorries that regularly go in and out of UK ports.
Britain is particularly dependent on banking and the service sector. It was reported that 300 companies have transferred staff to EU nations and a staggering £800 billions worth of assets have transferred to EU states.
Philip Rycroft, the former head of the civil service ,responsible for exiting the EU, warned that a no – deal break would be a leap into the unknown.
There were interviews with a couple of people that claimed a no deal outcome would be beneficial. Tim Martin, the boss of Wetherspoons, claimed that leaving the EU would be good for consumers because he believed that it would result in a fall in prices.
However, most companies have taken a contrary view of the consequences. The boss of a major pharmaceutical company that sold life-essential medicines has stockpiled six months worth of supplies in preparation for no-deal. This cost £10 million, and diverted funding from further research on new medications. Rycroft believed that most large companies have made preparations. However, for smaller businesses it was a different story, because of cost.
Finally, Corbin travelled to Northern Ireland and interviewed a representative of the Retail consortium there. He described a no-deal Brexit would result in a disaster for the Northern Irish economy. She interviewed a dairy farmer who sold milk in the Republic of Ireland. If there is no trade deal, a tariff of 19% would be imposed and he would go out of business. The consequences of no-deal could result in a return to the troubles of the 70s and 80s.
Rycroft believed that it was in the interest of both the UK and the EU to reach a deal. In my opinion, only a general election and the election of a Labour Government can prevent a no -deal Brexit.
The BBC Panorama programme is available on i-player, at:
https://www.bbc.co.uk/iplayer/episode/m0006wj2/panorama-britains-brexit-crisis
