Shipping industry calls for Brexit talks extension amid fears of no-deal outcome
Failing to secure a deal will mean delays and disruption at ports like Dover, Holyhead and Portsmouth, industry warns
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Your support makes all the difference.Representatives from the shipping industry have called for Brexit talks to be extended to avoid the "disruption" of a no-deal scenario.
Shipping could be hit hard when the UK leaves in EU if appropriate preparations are not made, and polling has indicated many leaders in this area will be underprepared if a settlement is not reached.
Maritime UK, whose members facilitate 95 per cent of all of the UK's imports and exports, has urged the government and EU to extend the Article 50 process if a deal is not agreed by October.
A survey conducted by the organisation found that two thirds of UK business leaders now think a no-deal outcome is likely, and only half have made preparations for it.
Most of the 507 leaders asked supported the agreement reached at the Chequers summit, including a new UK-EU "free trade area" and the replacement of the free movement of people with a "mobility framework".
“Business leaders from across the economy support the maritime sector’s call for a pragmatic Brexit deal that enables frictionless trade,” said David Dingle, Chairman of Maritime UK.
“We cannot accept that no deal is better than any deal.”
The survey found the major concerns arising from such an outcome were increased costs and disruption to their supply chains – notably at ports.
“Failing to secure a deal will mean delays and disruption at ports like Dover, Holyhead and Portsmouth, but equally at EU ports including Zeebrugge, Calais and Dublin,” said Mr Dingle.
“We urge both sides to recognise an agreement is in everyone’s interest, and to be pragmatic so that a deal may be agreed quickly.
“The maritime sector welcomed the Chequers accord and the renewed pragmatism it demonstrated. It’s time that Brussels demonstrates that same pragmatism now.”
The call follows other warnings from MPs and European leaders that the Article 50 Brexit talks will have to be extended in order to avoid crashing out of the EU without a deal.
The Institute of Directors (IoD) has published its own report requesting the government releases information to allow businesses to plan for this scenario.
"Many companies are still unprepared for Brexit, and it’s hard to blame them. When it comes to knowing what to plan for and when, firms have been left in the dark,” said Stephen Martin, director general of IoD.
“Trade associations like the IoD are doing their best to fill the information void, but the reality is that many companies feel they can only make changes once there is tangible information about what they are adjusting to.”
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