Published: Sun, June 24, 2018
Finance | By Claude Patterson

Airbus threatens to leave Britain over Brexit trade relations

Airbus threatens to leave Britain over Brexit trade relations

It says it supports more than 110,000 jobs among 4,000 suppliers in the United Kingdom, with parts crossing the Channel "multiple times".

The UK government says it is confident of getting a good deal for industry.

Publishing a Brexit "risk assessment" on its website, the firm also called on the Government to extend the planned transition period due to run until December 2020 if a deal is agreed, saying it was too short for the business to reorganise its supply chain.

It said it would "carefully monitor any new investments", and Williams admitted that "in any scenario, Brexit has severe negative consequences".

Prime Minister Theresa May won a crucial Brexit vote in parliament on Wednesday, keeping her divided government's plans to end more than 40 years of British partnership with the European Union on track.

According to a report in todays Times newspaper, Airbus is preparing to stop building aircraft wings at its British plants - and move production overseas to China or mainland Europe - due to concerns that EU safety certifications will not apply from March next year and uncertainty over UK/EU customs negotiations.

Labour is calling on Theresa May to reconsider the British government's Brexit negotiating position in light of the news.

A Welsh government spokesperson said: "We have repeatedly warned that the United Kingdom can not take the huge economic risk of cutting ourselves adrift from the single market and customs union".

Downing Street insisted it had a "good dialogue" with Airbus and "continues to speak to them".

The government has refused to confirm that European Union citizens living in the United Kingdom will be granted so-called "settled status" in the event of a no-deal Brexit.

"Far from "Project Fear, ' this is a dawning reality for Airbus", Williams said: "Put simply, a no-deal scenario directly threatens Airbus" future in the U.K".

The report published by Airbus, who operate 25 sites in the United Kingdom, said that operating under World Trade Organisation rules could cost the company billions of pounds in lost turnover and delay penalties each week.

Airbus's main civil aircraft business is based in a suburb of the French city of Toulouse.

Wings for Airbus planes, from the A320 to the superjumbo A380, are made in Britain for assembly in France and Germany.

A Brexit "Risk Assessment" published on Thursday by Airbus has painted a grim picture of what a "No Deal" Brexit would look like for the European planemaker in the UK.

"The enormous Airbus factory in North Wales is one of the jewels in the crown of United Kingdom manufacturing", he said.

'This is a wake up call.

And shadow Brexit secretary Sir Keir Starmer tweeted: "If proof was needed that the PM's Brexit red lines need to be abandoned (and fast), this is it".

He added: "Airbus are making absolutely clear that if there is a risk of a hard Brexit, they will have to stockpile parts".

The immigration minister outlined the "three easy steps" that applicants need to undertake, including proving their identity, whether they have serious criminal convictions and whether they live in the UK.

But organisers of the People's Vote march expect tens of thousands of people to show their support for a referendum on the final Brexit outcome. About one-and-a-half billion in tax revenue that will not go into the NHS.

We're at such an important stage in the Brexit negotiations.

Like this: