Guarded Brexit response from industry leaders
18 Jan 2017
Prime Minister Theresa May’s statement in her Brexit address that the UK would quit the European Single Market has drawn a mixed response from industry leaders across the process sectors.
Tanuja Randery, Schneider Electric’s zone president UK & Ireland and a member of the CBI’s Energy and Climate Change Board, warned there was a need to address “the risks that Brexit poses”.
Other spokespersons offered a more guarded welcome for the Prime Minister’s announcement while calling for greater clarity and detail regarding the implications for industry.
Terry Scuoler, CEO of manufacturers’ organisation EEF, said government now needed to listen “to businesses and support them in building viable bridges to carry the economy through a carefully managed and orderly transition”.
With hundreds of billions of business and contracts with the European Union affected by the decision, industry leaders were unanimous in calling for early action to ensure earnings and global competitiveness would be developed.
Parliament and business will want to see a very clear, evidence-based plan to ensure the UK economy avoids collateral damage arising from our departure
Terry Scuoler, CEO of manufacturers’ organisation EEF
Schneider’s Randery said answers were needed as to how the energy sector would remain high on the Brexit agenda.
She said: “With the news that the UK will exit the European Single Market, the government needs to make it clear how we will maintain some control over the rules that regulate our ability to freely compete.
“The vote to leave the EU has already created uncertainty around energy interconnectors, and the way we take advantage of these, both in terms of existing and planned projects.”
Meanwhile EEF’s Scuoler warned that the Government must accept the need for Parliamentary scrutiny of the subsequent EU deal.
“In the end it’s the detail of the final agreement that will matter and it is important that this will be open to parliamentary scrutiny. Parliament and business will want to see a very clear, evidence-based plan to ensure the UK economy avoids collateral damage arising from our departure,” warned Scuoler.
Food and Drink Federation director general Ian Wright delivered a diplomatic welcome for May’s “much needed additional clarity” before calling for more detail.
“We are also encouraged that the PM hopes to adopt a phased approach to Brexit which offers businesses time to prepare and plan as opposed to a potentially fatal jump from the cliff edge,” he commented.
He added that the food and drink industry was worth £108 billion to the UK economy with two thirds of food and drink exports going to the EU. Assurances were needed, he said, on the position regarding access to skills and labour outside the UK.
“We understand the Prime Minister’s wish to control immigration and attract the brightest and best global talent. Our industry also needs access to workers with a range of skills – some not widely available in the UK – so we welcome the assurances for current EU workers and look forward to understanding better how her proposals will impact on future access to skilled and semi-skilled workers from the EU.”
