Organizations representing the interests of big British business, have signed a joint statement addressed to the government urging them to keep free trade with the EU during the exit procedure.
The letter was signed by Federation of engineering companies, the group TechUK, which represents the interests of IT companies, and several other similar groups.
As warned by lobbyists, trade with the EU under WTO rules would mean that in respect of most of the products sold in the UK will apply the new tariffs, which will lead to higher prices. The price of food may rise on average by 20%, and vehicles 10%.
“We respect the results of the referendum, but the government must ensure that the terms of the Treaty will promote stability, prosperity and improving the quality of life,” — said in a statement.
“All credible studies indicate that trade on the basic rules of the WTO will cause serious damage to the British economy and for the economies of our trading partners,” — warn the business of the Federation.
First and foremost, the government is urged to ensure respect of the transitional period, during which there will be no sudden changes of rules of trade, October 2, Prime Minister of Britain, Theresa may, announced that it intends to withdraw “the law of the European communities in 1972,” which introduced the rule of European Union legislation in the UK. Cancellation will be announced in the annual message of the Queen.
The repeal of the 1972 act will not take effect until until the UK leaves the EU, triggering the provisions of Article 50 of the Lisbon Treaty [which officially starts the process of withdrawal from the EU and defines the rules of this. Theresa may has not said yet when this will involve art and, accordingly, the official start of the biennial talks on the conditions of release, however, the Minister of foreign Affairs Boris Johnson has declared that, most likely, this will happen in early 2017.
