The UK should stay within the European customs union to secure economic trade ties, the confederation of British industry (CBI) has warned.
Britain’s largest business lobbying group is set to call for the government to act quickly with regards to Brexit negotiations to ensure trade agreements, according to excerpts from a speech set to be delivered later today.
During an interview with TV’s Peston on Sunday, Carolyn Fairbairn, head of the UK business group, voiced her concern over the “lack of clarity” regarding ongoing negotations about the future of UK-EU trade.
Fairbairn is also set to assert that a no-deal would also represent “a great economic self-harm”, resulting in billions of pounds of costs in the trading of goods.
In her upcoming speech, Fairbairn is also said to note that “Economics and prosperity must be put ahead of politics and red lines.”, in a rallying cry to the government as it continues into Brexit talks with leaders in Brussels.
Nevertheless, the government appeared to rebuff the calls from the CBI.
“The EU has said they will offer their most ambitious free trade approach and we are confident of negotiating a deep and special economic partnership that includes a good deal for financial services – that will be in the EU’s best interests, as well as ours,” a Department for Exiting the European Union spokeswoman said.
“But, as the prime minister has already made clear, we will be leaving the single market and the customs union after EU exit day.”
This comes amid comments from the French President, Emmanuel Macron, in which he admitted that if the French people had been given a vote on European Union, they may have opted for a similar choice.
When asked on the subject during an interview on BBC One’s The Andrew Marr Show, Macron said:
“Yes. Probably, in a similar context. But our context was very different, so I don’t want to take any bets. I would have definitely fought to win.
“But I think it is a mistake to just ask yes or no when you don’t ask people how to improve the situation and to explain how to improve it.”
He added: “You always take a risk when you ask in a referendum yes or no on a very complicated subject.”
Indeed, as Brexit negotiations continue to progress slowly, the lack of directive over what exiting the European Union actually entails continues to prove a problem for the May government.
Whether the country should opt for a ‘soft’ or ‘hard brexit’ continues to remain a source of contention, however, thus far, May’s government have affirmed their intention to leave the single market.