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6 Comments
Brexit red tape on British businesses has caused goods trade between the UK and EU to slump and the problem is getting worse, a study has warned.
Many smaller UK producers have given up exporting small amounts to the EU after facing more rules and regulations, a report by Aston University Business School found.
Between 2021 and 2023, the study found UK goods exports to the EU fell 27% and imported goods by 32% compared with what it predicts would have happened without Brexit.
So why isn’t this brexit ‘disaster’ being born out in economic figures, where the UK seems to be doing better than many EU countries right now?
> UK goods exports to the EU fell 27% and imported goods by 32%
Given that manufacturing PMI is very much positive, it seems like the UK is just making more of its own stuff.
>Between 2021 and 2023, the study found UK goods exports to the EU fell 27% and imported goods by 32% compared with what it predicts would have happened without Brexit.
So despite the [UK not introducing border checks ](https://www.politico.eu/article/uk-brexit-border-checks-delay-eu-imports-food-prices-food-safety-fruits-vegetables/)the EU exports to UK fell by 32% ? I assume this is because UK is now replacing goods (import substitution) that were once bought from within the EU, so goods are either being produced in the UK or UK is buying these from RoW (perhaps owing to tariffs that were in place when UK was part of the Single market). Since UK imports more from EU than it exports to the EU, this 32% fall in EU exports is going to have a bigger £/€ value than the 27% drop in UK exports to EU £/€ value.
>The report does not include the service sector, which has performed better than many experts had expected since Brexit.
I remember there was lot of noise that services like financial services, insurance, legal services just to name a few would be severely impacted after Brexit, but doesn’t seem to have been the case, despite the loss of passporting rights for financial services.
At this rate it might even get so bad we start feeling it. Assuming the experts are right.
I feel bad for the non-crazy brits that are now impacted by this idiotic descision.
The russian gift that keeps on giving.