Tag: Brexit

Best for Britain Report says, UK-EU deal ‘Not fit for modern trade environment’

[Copied from Best for Britain]

That’s the verdict of our brand new analysis of the deal. So we’ve avoided a January no-deal, but we’ll need to build a better deal in 2021.

Our report, written by trade expert David Henig, warns that, although the Johnson deal is better than a WTO arrangement, it will still result in ‘considerably higher barriers’ to trade.

Henig identifies many areas of concern, and also points out ways the UK could build on this basic deal with our closest neighbours. You can read the report in full here.

So what now? MPs are voting on the deal on Wednesday 30th December, and we need your help to make sure they’ve read our report before the vote.

Send the Report to your mp

Even if you’ve written to your MP before, please get this report to them. We need all MPs to know what they are voting on.

This deal was negotiated at speed, and it shows. It is far from the comprehensive deal voters were promised – it is woefully thin on services that account for the lion’s share of our economic power, and it bears little resemblance to a modern trading agreement.

But the foundations have been laid, and now the serious building work must begin. Our report prioritises the next ten storeys that the UK and EU should layer on top of the deal, to protect our consumers, workers and businesses.

Send the Report

Best for Britain will continue to scrutinise how this deal works in practice. And we will work to persuade the UK government to continue talking and cooperating with our European allies.

We want to see the recommendations in our report become real. This basic deal is just the beginning – we can make a proper modern trading relationship with the EU.

Thanks for your help.

Best wishes,

Naomi Smith,CEO, Best for Britain

Small Tail Wags Large Dog

With just over two months until the UK cuts the final ties that bind it to the EU, we still don’t have any kind of trade deal. In spite of the government’s blandishments about WTO rules and an “Australian-type” deal, reasons for anxiety continue to grow. What enrages in particular is the obstacle that is the British fishing industry. The briefest look at the numbers reveals that it is the stump of a tail effectively wagging a very large dog.

The figures are fascinating, not least because it shows British fishing willing to cut off the UK’s nose to spite its face. Fishing contributes about one eighth of one per cent (0,12%) to the gross domestic product of the UK, and yet is holding the UK and its economy to ransom. The current workforce of below 24 000 represents less than 1% of the national workforce of around 33 million. Our nation consumes an enormous weight of cod, yet about 83% has to be imported. In all, Britain buys in around 70% of what it consumes, and sells off about 80% of what it catches.

British fishermen catch large numbers of shellfish, 80% of which is sold into the single market, largely France and Spain. This represents around £ 430 000 000 per annum, or about a quarter by value of all fish sold. It appears that under WTO rules selling seafood into the European single market attracts a tariff which could be as high as 24%, or £ 103 200 000.

Will our fish exporters be in a position to absorb the additional cost of their goods to continental consumers, or can our government guarantee that continental fish-lovers will be willing to cough up the extra? All we can do for now is wait and see. But I’m not holding my breath.