Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Government faces industry backlash on Brexit plans

Five industry bodies are concerned a new Brexit deal won't give them a level playing field in the EU.

The government is facing an unprecedented backlash from five key industries over Boris Johnson's plans for post-Brexit trading arrangements.

The aerospace, automotive, chemicals, food and drink and pharmaceutical sectors warn they could pose "serious risk to manufacturing competitiveness".

Collectively, the sectors employ 1.1 million people, contributing £98bn to the UK economy each year.

The group has sent a letter to the government highlighting its concerns.

The BBC has seen extracts of the letter, which was sent this week to Brexit Secretary Steve Barclay and the Cabinet Office minister, Michael Gove.

While such bodies have in the past made clear their concern at the prospect of a no-deal Brexit, this is the first time they have directly expressed to government their joint concern about a possible Brexit deal, after mostly supporting Theresa May's negotiated proposal.

The letter outlines their growing concern that Boris Johnson's Brexit negotiators have dropped existing commitments to maintain regulatory alignment in relevant sectors. The manufacturers' key concern is that they may no longer participate in specific EU regulatory institutions after any Brexit deal.

The group is asking for a "reassurance" that industry interests are still being prioritised by EU negotiators, and the letter warns of the "damage which would be done by the current approach on regulatory divergence".

It says: "Pan-European regulatory alignment has been a success in our industries, supporting continued creation and retention of highly skilled manufacturing jobs in the UK.

"It is important this regulatory alignment should continue after Brexit as a critical element of the UK's future relationship with the EU".

A government spokesperson said the UK was "seeking a best in class" free trade agreement drawing on existing EU deals.

"We have been clear that we are committed to maintaining high standards after we leave the EU," the spokesperson said.


Divergence


However the public and private noises emerging from London and Brussels is that the government has markedly changed its plan for a future relationship. They say the new proposal has low alignment with EU regulations, and does not have level playing field conditions attached on the environmental, social and labour standards, as proposed in Theresa May's deal.

After failing to get reassurances in recent weeks, particularly on the membership of key EU agencies, various sectors joined forces to warn the government directly.

The letter says that the serious risk to manufacturing "will result in huge new costs and disruption to UK firms".

"It would be disruptive to our complex international supply chains and has the potential to risk consumer and food safety, and confidence, access to overseas markets for UK exporters and vital future investment in innovation in this country."

This letter sees the Society of Motor Manufacturers and Traders, the Chemical Industries Association, the Food and Drink Federation, and the Association of the British Pharmaceutical Industry join an existing call from the aerospace industry, reported by the BBC earlier on Friday.

The aerospace industry body the ADS wrote to the government asking for "reassurance" that there would be "continued membership of the European Aviation Safety Agency (EASA) and alignment with EU chemicals regulations" which "are vital for our sector".

Repeated attempts to get clarity on this issue have not reassured the aerospace and other industries on this topic.

Other industries have asked for similar reassurances, only to be told in recent weeks that the government is seeking a "best in class" free trade agreement, where the UK would set its own regulatory standards.


Trade deals


The government has acknowledged that it wants to take the "level playing field" arrangements out of the political declaration that promised alignment on environmental, social, labour and some tax measures.

These were also seen as crucial to ongoing industrial regulatory co-operation, and preventing the introduction of many types of checks on trade.

But the government fears such measures agreed by Theresa May will restrict the ability of a post-Brexit government to strike meaningful trade deals with other countries such as the US.

A source close to the talks acknowledged to the BBC that among changes being negotiated in the political declaration, these references to EU agencies could get scrapped.

Even as most of the negotiating attention remains on Northern Ireland, the change in approach from the Johnson government suggest a significantly different, more diverged end-point for Brexit for England, Scotland and Wales, than envisaged under Theresa May.

A number of Labour MPs who say they want to support a deal have already expressed a desire for a deal with less scope for regulatory divergence.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Woman Receives Gift Card for Christmas – Discovers It Is ‘Worth’ 63,000,000,000,000,000 Pounds
United Nations Calls for Global Action Against Disinformation and Hate Speech Online
Tucker Carlson warns of an inevitable clash in Western societies over mass migration
OpenAI CEO Sam Altman praises the rapid progress of Chinese tech companies.
Poland's President Karol Nawrocki ENDS support for Ukrainian citizens:
Italy's PM Giorgia Meloni highlights record employment and economic growth
Chancellor Friedrich Merz Re-elected as CDU Leader, Opposes AfD Influence
Trump Directs Government to Release UFO and Alien Information
Trump Signs Global 10% Tariffs on Imports
UK Government Considers Law to Remove Prince Andrew from Royal Line of Succession
Two teens arrested in France for alleged terror plot.
US Supreme Court Voids Trump’s Emergency Tariff Plan, Reshaping Trade Power and Fiscal Risk
Greek Prime Minister Kyriakos Mitsotakis advocates for a ban on minors using social media.
Meanwhile in Time Square, NYC One of the most famous landmarks
Jensen Huang just told the story of how Elon Musk became NVIDIA’s very first customer for their powerful AI supercomputer
Former British Prince Andrew Arrested on Suspicion of Misconduct in Public Office
Former President Yoon Suk Yeol Sentenced to Life in Prison for Abuse of Authority
Unitree Robotics founder Wang Xingxing showcases future robot deployment during Spring Festival Gala.
German Chancellor Friedrich Merz calls for real name use on social media.
Italian Police Arrest Man After Alleged Attempt to Abduct Toddler at Bergamo Supermarket, Child Hospitalised With Fractured Femur
British Tourist Arrested at Hong Kong Airport After Meltdown and Vandalism
European Commission Plans Purchase Incentives Limited to Vehicles Manufactured Largely in the EU
French District of Pas-de-Calais Introduces Immediate License Suspension for Drivers Using Mobile Phones
Volkswagen Targets €60 Billion in Cost Reductions as Sales Decline and Global Pressures Intensify
Eighty-Year-Old Lottery Winner Sentenced to 16.5 Years for Drug Trafficking
Rubio Calls for Sweeping U.N. Reform, Saying It Has Failed to End Wars in Gaza and Ukraine
10,000 Condoms Distributed at Winter Olympics 2026 Athlete Village Depleted Within 72 Hours
Poland's President Advocates for Evaluating Independent Nuclear Weapons Development
Mayor of Serdobsk in Russia’s Penza Region Resigns After Housing Certificates Granted to Migrant Family Trigger Public Outcry
China’s EV Makers Face Mandatory Return to Physical Buttons and Door Handles in Driver-Distraction Safety Overhaul
UK Green Party Considering Proposal to Legalize Heroin for an Inclusive Society
OpenAI and DeepCent Superintelligence Race: Artificial General Intelligence and AI Agents as a National Security Arms Race
We will protect them from the digital Wild West.’ Another country will ban social media for under-16s
Heineken announces cut of 6,000 jobs due to declining beer demand
Apple iPhone Lockdown Mode blocks FBI data access in journalist device seizure
Belgium: Man Charged with Rape After Faking Payment to Sex Worker
KPMG Urges Auditor to Relay AI Cost Savings
Canada Opens First Consulate in Greenland Amid Rising Geopolitical Tensions
China unveils plans for a 'Death Star' capable of launching missile strikes from space
Investigation Launched at Winter Olympics Over Ski Jumpers Injecting Hyaluronic Acid
U.S. State Department Issues Urgent Travel Warning for Citizens to Leave Iran Immediately
Wall Street Erases All Gains of 2026; Bitcoin Plummets 14% to $63,000
Eighty-one-year-old man in the United States fatally shoots Uber driver after scam threat
Political Censorship: French Prosecutors Raid Musk’s X Offices in Paris
AI Invented “Hot Springs” — Tourists Arrived and Were Shocked
France Begins Phasing Out Zoom and Microsoft Teams to Advance Digital Sovereignty
Tech Market Shifts and AI Investment Surge Drive Global Innovation and Layoffs
Global Shifts in War, Trade, Energy and Security Mark Major International Developments
Markets Jolt as AI Spending, US Policy Shifts, and Global Security Moves Drive New Volatility
Tesla Ends Model S and X Production and Sends $2 Billion to xAI as 2025 Revenue Declines
×