Kemi Badenoch adresses automotive industry trade concerns
Labour has accused the UK Government of trade chaos this evening, as reports emerge suggesting the UK is to delay implementing post-Brexit border checks for EU goods once again.
Three weeks ago, the Financial Times reported the checks were set to be delayed for a fifth time over Government concerns that the additional bureaucracy on imported goods – especially food – would fuel inflation.
The Government also hopes the delay will give more time to companies and port operators to implement the arrangements.
At the time an official said: “We’ve been reflecting on the feedback we’ve had from stakeholders… we’re conscious that businesses need time to prepare for checks to be introduced”.
This evening, Labour has written to the Trade Secretary Kemi Badenoch – whose department is not responsible for introducing the new checks – to criticise the Government for creating “chaos”.
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Shadow Trade minister Gareth Thomas has said that far from the delay helping businesses prepare for the changes, it is in fact “deeply damaging for business certainty”.
The Labour Party also slams the delay for wasting “yet more taxpayers’ money”.
Mr Thomas says: “With the deadlines for new checks just months away, it is unacceptable that businesses have not received a clear update from the government on whether the new border arrangements are even going to be introduced”.
“The Tories’ trade barriers are stunting economic growth.”
The Conservatives have not taken the criticism lying down, however, saying the opposition is “just shouting from the sidelines with no plan yet again”.
A Tory spokesman joked: “The only trade they understand is ‘trade union’”.
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They also accused Sir Keir of only being interested in dragging the UK “Back into the EU and [binding] us to their rules”.
“The best way to support business this year is by halving inflation – that’s exactly why it’s the first of our five key priorities: halve inflation, grow the economy, reduce debt, cut waiting lists and stop the boats.”
In April, the Politico website reported widespread concerns among businesses that the Government’s planned border checks will increase costs for importers.
Government officials told businesses in April that they would be hit with an additional £400 million in extra costs due to the regime.
According to official seasonally-adjusted figures, however, UK exports to the EU in the four quarters leading up to January this year stood at £349 million, up 21 percent on the previous 12 months and 41 percent higher than 2016 – the year of the Brexit referendum.
A Government spokesperson said: “The government remains committed to delivering the best border in the world. The Border Target Operating Model is key to delivering this and introduces an innovative approach to importing that will be introduced progressively”.
“We are reflecting on the valuable feedback provided by a range of businesses and industry stakeholders and will publish the Border Target Operating Model shortly.”
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