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Manufacturing

Car industry leaders deny Michael Gove's claim it is ready for no-deal Brexit

The head of the SMMT has said that he a no-deal would be devastating for the automotive industry

Michael Gove, Chancellor of the Duchy of Lancaster(Image: Steve Parsons/PA Wire)

Automotive industry leaders have insisted a Brexit deal must be agreed, despite Michael Gove’s claims that carmakers told him they are prepared for a no-deal Brexit.

Speaking in the House of Commons on Wednesday, Mr Gove told MPs that members of the automotive sector had told him they were ready for a no-deal Brexit scenario.

Mr Gove, the Cabinet minister in charge of preparations for a no-deal Brexit, had travlled to Coventry on Monday to meet with leaders of Aston Martin, the British Ceramic Confederation, Ford, Make º£½ÇÊÓÆµ, Toyota and the Society of Motor Manufacturers and Traders (SMMT) at the National Automotive Innovation Centre.

Speaking in the House of Commons two days later, Mr Gove said: “The automotive sector, who I met this week, confirmed that they were ready, the retail sector said they were ready.”

Representatives from the car industry, however, repeated its warning that a no-deal Brexit would have a devastating effect on the sector - and that it can’t mitigate serious risks.

SMMT chief executive Mike Hawes(Image: Handout)

SMMT chief executive Mike Hawes, who was present at the roundtable event, said: “European automotive is deeply integrated and the benefits of free and frictionless trade have helped our sector become one of Europe’s most valuable assets, delivering billions to economies and supporting millions of livelihoods across the EU.

“A ‘no-deal’ Brexit would have an immediate and devastating impact on the industry, undermining competitiveness and causing irreversible and severe damage.

“º£½ÇÊÓÆµ and EU negotiators have a responsibility to work together to agree a deal or risk destroying this vital pillar of our economies.”