Brexit support package welcome but many unanswered questions remain – Hazzard
Sinn Féin MP Chris Hazzard has welcomed a new Brexit
financial support package for businesses in the North, however has said the
British Government has left many vital questions unanswered.
The South Down MP said:
“In opposing Brexit, Sinn Féin have said from the outset that
Brexit would create additional barriers and costs for businesses.
“Today’s acknowledgement from the British Government that this
unavoidable avalanche of red-tape will have to be met in the first instance by
the British state is a welcome first step in the British Government facing up
to the costly realities of Brexit.
“In short, the announcement of this £200m support package is
welcome news for those local businesses who are growing increasingly worried
about the trading environment in the post-transition period in January 2021.
“However it’s clear that in the face of being unable to
deliver upon the promise of “unfettered access” and “no additional burdens” the
British Government are left with no choice but to pull a magic money rabbit out
of the hat in an attempt to distract from the fact that their Brexit
misadventure has created a mountain of red-tape and bureaucratic processes.
“Today’s announcement is not the long overdue border operating
model that we have been promised, it is merely another attempt to create an IT
system that will take care of the complex formalities in automating the customs
process.
“Worryingly, no such system currently exists anywhere in
global trading. So it is disingenuous in the extreme to suggest that the system
will be operational next month when the tendering process will only have been
launched this month.
“The fact remains that goods entering the north of Ireland
will require a customs declaration, with the new Trader Support Service (TSS)
serving as the vehicle for the British Goverment to act as the Customs Agent on
behalf of businesses.
“There also remains the important question of who verifies
the data that this automated system collects; verification checks by customs
authorities will surely still need to take place somewhere along the process.
There is also no guarantee that this package of financial
support announced today will be a permanent arrangement; in fact, there is only
a commitment to support it with government money for 2 years.
“There is every possibility that despite covering the cost of
this transition process, that the British Government will decide that the
system should be privatised and businesses will have to pay for these services.
“Much more remains to be done on key issues such as the
certification requirements for Agri-Food, and the very complex dual VAT systems
that will be required.
“We also need much more information on the future additional
barriers and costs for local consumers purchasing goods online - which is an
increasingly significant proportion of trade.
“Perhaps most significantly, local businesses are still left
waiting for clarity on what “unfettered access” will look like for exporting to
Britain.
“If today’s announcement is a guide, expect more money to be
thrown at the inevitable barriers that can’t be wished away by fanciful pie in
the sky thinking.”