Following the result of the European Union referendum, which saw 52% of a 72% turnout vote to leave the EU, trade associations have warned the government that “quick work” will be required to steady nerves and avoid new costs and restrictions.
Richard Burnett, chief executive at RHA, said: “This is an ‘earthquake moment’ for the whole country, the economy and our industry. We simply can’t take anything for granted. It’s vital that ministers and the Bank of England work quickly to steady markets and nerves. There’s bound to be short term turbulence but this is also an opportunity to cut red tape and get a new deal on many issues for UK hauliers.
“Amongst all this uncertainty one thing is for sure, we’ll be piling the pressure onto ministers to get the best deal for the UK road haulage industry and the vital part it plays in moving the nation’s economy”
The FTA has warned that coming out of union risks new costs, restrictions and bureaucratic requirements being imposed on moving goods in and out of Europe.
FTA chief executive David Wells said: “Even though we are coming out of Europe politically, it remains our biggest export market and the supplier of a high proportion of our imports. We cannot allow new bureaucratic burdens to hamper the efficient movement of exports heading for customers and imported goods destined for British consumers."
He explained that the government has two years to negotiate the new rules – one example is the need for international road transport customs carnets, last used by the UK in 1992, which are required to allow goods to move under customs control across international borders.
Wells said: “The government has two years to ensure the conditions currently imposed on other non-EU member states such as Albania and Serbia are not imposed on UK freight flows. Norway and Switzerland have better arrangements but have accepted tough conditions including the free movement of people, so this will be a difficult negotiation.
"Britain may be out of Europe but it's not out of business and FTA will be leading the campaign on behalf of exporters and importers to keep trade procedures simple and the costs of international transport down,” he added.
The SMMT has called for the government to maintain economic stability in the wake of the referendum result.
Mike Hawes, SMMT chief executive, said, “The British public has chosen a new future out of Europe. Government must now maintain economic stability and secure a deal with the EU which safeguards UK automotive interests. This includes securing tariff-free access to European and other global markets, ensuring we can recruit talent from the EU and the rest of the world and making the UK the most competitive place in Europe for automotive investment.”
