The Liberal Democrats are calling on PM to seek an "Adjustment
Period" for businesses to transition to new UK-EU trade
arrangements The Liberal Democrats are urging the Prime Minister to
negotiate an “Adjustment Period” as part of the deal with the EU,
to ensure British businesses have enough time to prepare for the
new trading relationship with Europe. In a letter to the Prime
Minister, the Liberal Democrats warn of a potentially "existential"
threat to businesses if they are not given...Request free trial
The Liberal Democrats are calling on PM to seek an "Adjustment
Period" for businesses to transition to new UK-EU trade
arrangements
The Liberal Democrats are urging the Prime Minister to negotiate an
“Adjustment Period” as part of the deal with the EU, to ensure
British businesses have enough time to prepare for the new trading
relationship with Europe.
In a letter to the Prime Minister, the Liberal Democrats warn of a
potentially "existential" threat to businesses if they are not
given time to adjust and argue that - by phasing-in new rules,
regulations and procedures - businesses would have the "breathing
space" they need to prepare and adapt.
Leader of the Liberal Democrats Ed Davey said:
"Businesses cannot afford to be hit with the double whammy of Covid
and disrupted trade with Europe, our biggest trading partner. With
job losses already mounting, the danger is unemployment will rise
still further in the new year, unless urgent action is taken.
"Despite months of negotiations, businesses are still in the dark
about the details of their future trading relationship with Europe.
With just weeks to go and our economy on its knees, this is
inexcusable.
"The Prime Minister must urgently recognise what's in the best
interests of British businesses, and secure a time-bound adjustment
period to allow firms to adapt to new trade arrangements and save
jobs.”
ENDS
Notes to editor:
Text of letter
The Rt Hon MP
Prime Minister
10 Downing Street
London
SW1A 2AA
Dear Prime Minister,
As you conclude the trade negotiations with the EU, we are writing
to urge you to negotiate an “Adjustment Period” as part of the deal
with the EU, to ensure British businesses have enough time to
prepare for the new trading relationship with Europe.
As you are well aware, the Coronavirus pandemic has caused immense
problems for all businesses across the UK. The economic challenges
from the pandemic are unprecedented. People across business have
had to focus on trying to survive the pandemic, and many as a
result have simply not been able to focus on preparing for
Brexit.
Even those firms who have focused on preparations for Brexit have
had to do so, without any clarity on what the new trading
relationship with Europe will be - despite the fact that this is
currently scheduled to start in a matter of weeks.
Uncertainty is bad for business at any time, but the combination of
the challenges of battling the impact of Coronavirus restrictions
alongside having now to cope with the huge challenge of complying
with new trading procedures, at very short notice, could be very
damaging. Indeed, some in the business community tell us they are
seriously concerned that the threat they face due to these twin
challenges is existential. Some small businesses who rely on
exports and imports simply don’t have the funds to adapt on
time.
To be clear, claims that businesses have had months or years to
prepare are simply untrue, since the details of what firms need to
prepare for are still unknown. Industry bodies from every sector of
the economy have warned that they will need time to adjust.
So we urge you to negotiate the reasonable and practical measure of
a three to six-month Adjustment Period in the EU trade deal, to
save jobs and businesses.
By phasing-in new rules, regulations and procedures, our businesses
would have the breathing space they need to prepare and adapt. The
UK will also have time to prepare for the logistical burden of
customs checks at the border.
At a time when our country faces an unprecedented challenge from
the pandemic, it is more important than ever to put ideology to one
side and stand by British businesses and workers.
We sincerely hope that you will give this proposal serious
consideration.
Yours sincerely,
Rt Hon , Leader of the Liberal Democrats
,
Liberal Democrat Treasury Spokesperson
Juergen Maier CBE, former CEO of Siemens UK, Chair, LD Business and
Economic Council
