SMMT calls for Govt Brexit clarity amid industry worry
THE Government’s lack of clarity over Brexit is “working directly against the interests of the UK automotive sector”, placing the £20.2billion industry and up to 856,000 jobs at an unnecessary risk, the Society of Motor Manufacturers and Traders (SMMT) has warned.
If the UK wants to remain a key manufacturing country, the Government must achieve a deal, that “as a minimum, maintains customs union membership and delivers single-market benefits”, the SMMT said at its annual conference last week.
Most recent figures show the automotive sector contributes £20.2billion to the UK economy, with employment both directly in the sector and in supporting fields reaching 856,000. And although the latest manufacturing figures for May 2018 are up 1.3 per cent, year-to-date-production is down 2.9 per cent compared with 2017, with 705,603 vehicles built.
The SMMT says the uncertainty associated with the Government’s position on Brexit has meant the industry has received just £347.3million in new investment for future models; almost half the sum recorded this time last year.
Mike Hawes, chief executive of the SMMT, said: “There is growing frustration in global boardrooms at the slow pace of negotiations.
“The current position, with conflicting messages and red lines, goes directly against the interests of the UK automotive sector. There is no Brexit dividend for our industry.”