Another head-banging day for the £112bn UK creative sector that is starting to ingest how difficult #Brexit is going to make their lives - and how little the government is really willing to do to fix the lack of a 'mobility' chapter in the EU-UK trade deal. Quick update.../1

🚨🚨🚨🇪🇺🇬🇧🚛🚒🇪🇺🇬🇧🚨🚨🚨 serious #brexit story alert - companies now starting to see penny drop on what rules of origin does to supply chains (food for example) but Brussels seems deaf to both EU & U.K. pleading. A bellwether? 😬 Stay with me. 1/


So first the problem: its a tad complicated but basically goods that are imported into UK and then 'hubbed' onwards into Ireland or other parts of the EU are facing full EU tariffs - this is particularly bad for food stuffs, which attract high tariffs. Why is this? /2

It's a function of the Rules of Origin clauses that mean that goods have to sufficiently "originate" in the UK to qualify for zero-tariff entry to EU (and vice versa).

But to qualify, you have to do something to the goods - process them or add value - not just punt them on /3

The brilliant @AnnaJerzewska does a better job than me of explaining, but the important thing is that this is a nightmare for companies that 'hub' /distribute products through the UK - and that's both EU and UK companies /4

So both the @Foodanddrinkfed and EU groups like @CAOBISCO_EU (chocs etc) say they want the EU Commission to fix this with a derogation/waiver that takes into account proximity and interdependence of EU/UK supply chains. /5

🚨🇬🇧🇪🇺🏴󠁧󠁢󠁥󠁮󠁧󠁿🇮🇪🚚🚚🇬🇧🇪🇺🚨

As #brexit talks drift towards the rocks, trade groups say plans for Irish Sea trade border after Brexit are ‘in a mess’ via, my latest via @FT ...this is an issue coming deal or no deal. Stay with me 1/


So to recap, under Northern Ireland protocol negotiated in the Withdrawal Agreement all goods going from Great Britain to NI must confirm with EU customs code. To avoid new border in Ireland, that means trade border in Irish Sea - new paperwork, new systems. Operational Jan 1/2

The problem is that because the FTA negotiations are stuck, the negotiations in the Joint Committee on how to implement the Protoocl (and @michaelgove is with @MarosSefcovic talking today) haven't yet born fruit. That means a LOT of uncertainty. /3

@michaelgove @MarosSefcovic How much uncertainty? Well, as @MichaelAodhan tells me, a lot. Research by the Northern Ireland Business Brexit Working Group (NIBBWG) found only 20% of members were ready. And its not their fault: need info on tarifs, computer systems etc. And are not getting answers /3

@michaelgove @MarosSefcovic @MichaelAodhan Now. The Government has earmarked £200m for the Trade Support Service run by Fujitsu and the Customs Clearance Consortium with @ShankerASingham @RobHardyFR8 to help business process new paperwork...BUT even it cannot answer lots of Qs, and won't help with animal/SPS issues. /4

I’m going to reproduce @3days3nights posts here for backup and to do a full unroll afterwards. All credit goes to him! - P1

Fish thread.
Having read the Brexit deal, I believe B. Johnson misled the nation on Thurs when he said Britain could catch “all the fish that it wants ” in UK waters in 5 years’ time. The clear presumption in the text is that EU fleets will have similar access after 2026.1/12

The UK fish industry will have to pay a high price in EU import tariffs if that access is withdrawn. Overall… the deal falls far short of the exaggerated “sea of opportunity” promises made to UK fishermen. 2/12

The headline quota compromise - reducing EU catches in the UK 200 mile zone by 25% over five and a half years – is balanced enough. But different fishers will study the small-print with delight OR anger. Some EU quotas will be cut more than others. 3/12

Fisheries, we were told, would be a big Brexit winner. No it won’t. On this deal, the UK industry will certainly lose more from Brexit (no more frictionless access to the EU market) than it gains (incremental, extra quotas over the next 5 years). 4/12

First…the length of the deal. The 5 and 1/2 years of cuts in EU quotas/increases in UK quotas, are laid out in annexes to the main treaty. The last column says “2026 onwards” In other words, the presumption is there will be no further cuts in EU quotas after that date. 5/12

FELIXSTOWE, England (Reuters) -

In just one month of post-Brexit trading, British logistics expert Jon Swallow has seen exports dive, prices rise and customers so desperate that he is practically offering a counselling service.

Swallow is one of thousands of freight forwarders and customs brokers based around Britain’s biggest ports who have described the overnight introduction of a full customs border as akin to the country placing economic sanctions on itself.

Britain’s New Year’s Eve departure from the European Union’s orbit after 47 years of membership means exporters must now provide customs and safety declarations, health checks and rules of origin details to trade with its biggest partner.

We are now at a disadvantage to people trading within the EU,” Swallow, a co-director of Jordon Freight, told Reuters in his office next to the vast cranes that tower over Felixstowe docks, Britain’s biggest container port, on the south east coast of England.

“We’re a very fast-paced business, but now we’re just like walking through mud. There’s just paperwork everywhere.”
Those companies that trade goods between Britain and the bloc are paying a price, particularly small firms.

When Jacob Rees Mogg threw dead fish into the Thames at WETminster, I thought, like most of you, he was making a point on behalf of the Fishing INDUSTRY.

It was only yesterday that we all learned he was acting on behalf of the FISH.

Fish happiness, not Brexit, was the goal!

In the year before #Brexit started -
(note: Brexit was not done, it's just begun)
- I worried about those most impacted.

My logic was while those wishing to remain would be most disappointed, they would also be most prepared.

#BrexitDeal would hurt its supporters.
Starting ☝️

Two reasons were anticipated.

1. Famously the economic consequences would hurt Leave voters the most (albeit no one expected the madness of combining #Brexit with #Covid19)

2. Sovereignty and independence would be reversed; we'd end up with less of both (as we have).

Number 3?

We didn't spend enough time on No.3. Few anticipated only 15 days of #Brexit would be needed.

Also a dilemma. It would have needed remainers to be listened to. Or leavers to question #Brexit.

3. What happens: A small leave group realise the con; disagree with Leave Mainstream?

No 3: And now
Mogg boasts of having fish back while:

* The fishing industry is in arms; screaming betrayal
* Some fisheries are already bankrupting
* Because fish we can't sell is rotting

Yet Jake's happy the fish are happy.
Almost as if ☝️ he had nothing to do with this