UK's drinks trade body warns of "catastrophic impact" of leaving EU without a deal, as Prime Minister faces challenge to leadership amid Brexit turmoil
The UK”s drinks body the WSTA has warned of the “catastrophic impact” that crashing out of the EU without a deal would have on its members in the drinks sector.
This comes in the wake of the publication of a proposed Brexit deal that the embattled Prime Minister Theresa May is fighting to get through Parliament.
“Despite the businesses we represent putting in place contingency measures, as best they can, a “no deal” Brexit presents a multitude of difficulties which are outside of their control,” tweeted the WSTA’s chief executive Miles Beale.
“We need more time to digest the proposed deal and we will be watching intently the passage of the Withdrawal Bill through Parliament.
Beale told the WSTA conference earlier this year that he had been "underwhelmed" with the Government's handling of Brexit claiming that information was "too basic and ducks most of the questions we have been asking,” and saying that Brexit was by far the most significant short-term challenge facing the sector.
The Food and Drink Federation chief executive Ian Wright CBE asked for "any clarity" relating to a potential agreement with the EU, adding that while “this is a step in the right direction, uncertainty remains”.
“Food and drink manufacturers will have to continue planning for a variety of scenarios until our politicians have cast their judgement on the suitability of this deal," he said. "This will result in businesses incurring significant costs and devoting additional time and effort to such endeavours. Until the withdrawal agreement implementation bill receives Royal Assent, the spectre of a 'no-deal' Brexit looms large over our industry."
Despite winning the backing of the cabinet over the proposed Brexit deal after an extended cabinet meeting the Prime Minister now faces a challenge to her leadership as 21 Tory MP’s have publicly submitted letters of no confidence in her. A total of 48 letters is required before a ballot will be held to determine her fate, which could happen as soon as next Tuesday.
This comes after May yesterday faced a grilling in the House of Commons amid a swathe of ministerial resignations, including Brexit Secretary Dominic Raab, a 'Leave' supporter who said he could not "in good conscience" support the UK's draft Brexit agreement with the EU, as well as Work and Pensions Secretary Esther McVey and junior Brexit minister Suella Braverman.
European Council President Donald Tusk has announced an emergency meeting of the EU on 25 November to finalise the withdrawal agreement.