The boss of the 海角视频’s largest business group has written to every MP in the region, urging them to find a Brexit deal that works for the North West
The letter by CBI Director-General Carolyn Fairbairn is released as MPs go back to Westminster and re-start the Brexit debates in Parliament.
As the risk of no deal has increased in recent weeks, the CBI has ramped up efforts to prepare members for this outcome.
The CBI has also urged smaller firms to try and mitigate the affects of a no deal Brexit.
In the letter to MPs, Fairbairn said: “Relative to the rest of the 海角视频, the North West would fare worse in a no deal scenario.
“Real GVA in North West – a measure of the value of goods and services produced in the region - could be £20bn lower by 2034, compared to if the EU-海角视频 relationship remained the same. This is more than more than double public spending on schools and education in the region.”
Referencing a recent Brexit roundtable held in Manchester recently, she said in the letter: “Businesses across the 海角视频 have spent billions of pounds getting ready and continue to do everything they can to prepare for a no deal.
“Firms across the North West have built new warehouses, stockpiled goods, hedged against currency fluctuation, trained staff in new customs procedures, and some have planned factory shutdowns at great expense.
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“But some practicalities cannot be avoided, and prepared is not the same as protected.
“Tariffs and additional customs costs, as well as rising import costs caused by currency depreciation, will hit British competitiveness in the long term. And in the short term, perishables and medicines cannot withstand extended unplanned delays at borders.
“Smaller firms do not have the resources to evaluate what a no deal will mean for their business, and the majority have taken no action to mitigate the consequences.”
Commenting on the letter, CBI Regional Director for the North West, Damian Waters added: “It’s sensible to prepare for no deal, and the CBI has hundreds of recommendations for how that can be done in the most effective way for the economy.
"Preparations of both business and Government might mitigate some of the short-term damage of no deal. We are urging MPs in the North West to back a Brexit deal that is good for our region.
“Large businesses have done, and are doing, everything they can to prepare for no deal. They have spent billions of pounds on getting ready. But the simple fact is that small businesses do not have the resource to understand what no deal means, let alone mitigate the consequences.
“Businesses have noticed and welcome the significant step change in government investment and energy. The CBI is supporting them in those endeavours.
“Some practicalities cannot be avoided. Warehouses are full at Christmas time, the only preparation many services firms can do is to move jobs to the EU, and that trade relies as much on EU mitigations as 海角视频 ones.”