Retailers: Bad deal will drive up the price of food

CONSUMERS will lose out unless Britain retains the benefits the EU has under trade deals with other countries, retailers warn.

The British Retail Consortium (BRC) said prices could go up unless International Trade Secretary Liam Fox is quick off the mark in sealing new deals, with fruit, vegetables, fish and clothing hardest hit.

The UK benefits from zero or low-rate tariffs on various imports from trade deals negotiated by Brussels.

As soon as Britain leaves the EU, it will no longer be covered by these agreements, so imported goods will be subject to higher tariffs and potential customs barriers.

For consumers this means higher prices, the retailers’ group said. In the event of a ‘no deal’ Brexit, the tariff on clothing from Turkey, a major supplier to the UK, could rise from 0 per cent to 12, and fish from Iceland from 3.4 per cent to 11.

Andrew Opie, the BRC’s director of food and sustainability, said: ‘People need reassurance from Government that these deals will be transferred in time to ensure that UK consumers don’t lose out. Now that an agreement has been reached to move the negotiations on to trade, the focus must be on securing the continuity of free trade with Europe, alongside replicating these existing agreements with countries outside of the EU. These are the crucial next steps that Government needs to take to avoid a cliff-edge situation on Brexit day.’