A few thoughts in advance of seeing the Brexit deal, assuming it's not scuppered at the last.

1. It will save industries, in the short term. For all the problems it *won't* solve, there is at least that. Tariffs would have finished off some sectors like switching off a light.

Ok, it's high time to look at the REAL effects of Brexit. As the Tories implode & Labour sits on its hands, companies are executing contingency plans, shifting jobs & assets, slashing investments, or redomiciling (accounting exercise). Happening NOW, not in a fantasy future. 1/95

Barden Corporation is closing down its Plymouth factory after 51 years, putting 400 jobs at risk, as its parent company Schaeffler shifts production to various sites outside the UK due to Brexit.

8 health providers have warned of medicine shortages in the event of a no-deal Brexit: "we do not believe that the current medicine supply plans will suffice, and we will have widespread shortages if we do not respond urgently."

Pfizer - $100 million on Brexit prep: "Pfizer’s preparations are well advanced to make the changes necessary to meet EU legal requirements after the U.K. is no longer a member state, especially in the regulatory, manufacturing and supply chain areas."

The Government has spent £4.2 billion pounds on Brexit preparations (£2.2 billion in previous Budgets, plus an additional £2 billion in the most recent Budget.)

Here's how the UK's situation will change after the transition period ends, compared to our former EU membership...

(Come back to this thread. It will keep growing!)

- UK can negotiate its own trade deals
- No more automatic participation in new trade deals reached by the EU

- UK gets to keep fish equivalent to 25% of the catch EU boats previously caught in UK waters, staggered over 5.5 years
- Costly export health certificates for fishery products
- Inbound and outbound customs and regulatory checks (UK side will defer some of these temporarily)

- Stringent rules of origin and local content requirements
- Loss of freedom of movement for UK citizens in the EU and EU citizens in the UK (Ireland excepted)
- No Erasmus programme
- No equivalence decision for financial services

- A border down the Irish sea between NI & GB
- No access to the Galileo military
- Temporary agreement on data, which expires in 6 months
- 2 parallel trademark systems, requiring firms to file twice in the UK and the EU

- 2 parallel product conformity assessment systems (CE and UKCA), requiring firms to file twice in the UK and the EU. One year grace period (with exceptions).
- 2 parallel chemical regulatory systems (REACH and UK REACH), requiring firms to register twice in the UK and the EU

UK Government just released 70 pages of case studies today, showing how the borders will operate after 1 January 2021.

They're essentially hardcore porn for red tape fetishists.

Doomed, we are. Doomed.

(e.g. exporting fish; exporting mechanical goods)
https://t.co/zWpkdGJeim

This is exactly what should have been presented years ago so that firms could prepare.

Or, arguably, before the Brexit referendum. Just the 70 pages of case studies released TODAY could have tipped the result the other way. Not everyone is blinded by sovrinty & hating forrins.

Going back to the examples...

The person in France buying (say) UK mechanical goods will take one look at the procedures involved, and Google an alternative supplier inside the EU instead.

As for the fish, they could probably swim to their intended destination faster of their own accord than following the new process, if only they had water in between to traverse.

The purchasers will smell them coming a mile away.

Auto parts. I am practically weeping at my keyboard.

Here we go. The final Brexit debate begins. The final splash of petrol on the dumpster fire before the match is lit at 11pm tomorrow night.

Boris Johnson deliberately mocks the SNP by calling them the Scottish Nationalist Party, despite being admonished by the Speaker. There speaks a man who doesn't give an itty bitty toss.

Boris Johnson: "Just as we've avoided trade barriers"

What? Ah, it's because he carefully defined them as "tariffs and quotas" just before lying about them.

There will be massive, massive non-tariff barries.

He's dodging the question about fishing and Northern Ireland, wriggling like one of those eels the EU won't be buying any more.

Boris Johnson is bigging up the speed with which the UK managed to reach a trade deal.

But a trade deal that favours the interests of your counterpart while securing almost none of your own *should* be a quick process. Biting your hand off takes no time at all!

It's OUT! The first #Brexit Briefing of 2021...which explores how unrealistic some industry expectations are about 'fixes' to the current deal, now the penny is dropping about what it means for supply chains and UK position vis-a-vis EU

So take the example this week, where the @Foodanddrinkfed raised the issue that UK-hubs for food and drink were "unworkable" since goods that came in from the EU were attracting full tariffs when the were spun back into Ireland or other EU members /2



They were backed by other EU associations - and both said they would lobby UK govt and @EU_Commission to 'fix' what they presumed was an "unintended consequence" of the deal....except that both EU officials and UK govt have basically shrugged. The deal is the deal. /3

@EU_Commission This is in no way confined to food industry - clothes and retailers are also hard-hit.

But lots of industry has wrongly bet that 'common sense' and 'self interest' would prevail once the nasty negotiations phase was out the way...but that's not the signal being sent. /4

As one EU official puts it: “You can’t expect the UK to remain the food import hub for the EU. It’s not sustainable, and makes no sense in the mid-to-longer run." And that applies to financial services, clothing, retail goods....a bureaucratic curtain has descended. /4

1/7 My thoughts on what could happen within a decade after #Brexit with the formation of the #UnitedCelticNation as a new country:

2/7 After the #Brexit transition period ends on 31 Dec 2020, the Scottish Parliament will announce a new independent referendum (under a Section 30 order which the PM has to agree to - he won't - they will change their laws to enable them not to need his approval).

3/7 This new Scottish independent referendum will happen within the first 6/9 months of 2021 and result in the decision to leave the UK.

4/7 An application to rejoin the EU will happen immediately after the Scottish referendum result and within months the EU will accept Scotland back in (justified as 'the will of the people' plus how recent their exit was).

5/7 Within 3-5 years of #Brexit, Wales will also hold its own referendum on independence (fuelled by the decline in economy plus the example set by Scotland) and will also be successful. EU membership will also be sought and gained with an accelerated timescale within a year.

The chart-topping band of @ChrisGiles_ @jimbrunsden (me on drums) have a piece up about the Brexit level playing field stand-off. But here's the thing: the opacity surrounding these (as so many) trade talks is making things much worse. Quick 🧵

One of the things that struck me talking to experts about this was a lot of hedging about "this is what I think the EU means" and "this is what the UK appears to believe". There's lots of jargon (non-regression, ratchet, equivalence etc) capable of multiple meanings. (2/n)

And even if the negotiators have been clear with each other about what they mean, they certainly aren't being transparent with their domestic constituencies: the EU member states and Westminster MPs aren't being given full details about exactly what's being proposed. (3/n)

There's an unhelpful culture of secrecy around almost all trade talks. Few texts are released along the way. The standard reason is so not to give away negotiating positions to the other side. This is, to use a technical WTO term, obvious bollocks. (4/n)

If you're not telling the other side what you're proposing, you aren't negotiating, are you? Duh. The function of secrecy is actually to hide from the public what's going on. But how are you supposed to build domestic consensus around a proposal no-one can see? (5/n)

Small business in particular struggling with new Brexit red tape. Entirely predictable, and a function of a world trade system distorted against smaller traders. Stay with me a short while as Brexit threadmeister and story author @pmdfoster may say... 1/

The nub of the issue is the extra costs for most exports, whether this is paperwork or meeting different regulatory requirements. A fixed cost per exported load inevitably adds a higher percentage cost to small than larger business... and they may lack expertise. 2/

You'll note that in the EU, with virtually no paperwork or differing regulations, the costs of exports are similar for smaller and large companies - though even there there is a big company bias, because who can afford to lobby for friendly regulations? 3/

The same unfortunately typically applies to trade deals. If you are Nissan and threaten to leave the country without the right deal you have more clout than a small cheesemaker. As we see. But is it just the EU that is over-bureaucratic? Sadly not... 4/

One of the best UK business groups on trade policy @BritAmBusiness (and yes you can quote me @EmanueAdam) has a new report out on a UK-US trade deal and SMEs. It shows opportunities. But unfortunately problems unlikely to be solved. 5/