No-deal Brexit could put jobs at risk, MPs warn

A NO-DEAL Brexit could cause ‘severe disruption’ to the British economy, putting jobs and livelihoods at risk, MPs have warned in a strongly-worded report.

The Commons Exiting the European Union Committee heard evidence from the pharmaceutical industry that a no-deal Brexit would be a ‘leap into the unknown’, potentially putting patient safety at risk and increasing costs for the National Health Service.

The MPs also said there was no reason to doubt concerns that there could be ‘interruptions to food supplies in respect of certain products’ because of the ‘disastrous’ impact on UK farming.

And they warned that tariffs adding £2,700 (€3,000) to the cost of British-made cars in EU markets would put the sector at a ‘competitive disadvantage’.

The report – which was opposed by four Tory Brexiteer members of the committee – also cast doubt on Conservative leadership hopeful Boris Johnson’s claim that the UK and EU would be able to maintain existing rules while they negotiate a free-trade deal.

Mr Johnson has argued that a provision under the General Agreement on Tariffs and Trade – known as Gatt 24 – could be used to avoid tariffs under World Trade Organisation rules for ten years.

But the committee said: “It requires an agreement between the two parties.

‘By definition leaving without a deal means there is no agreement.’

Gatt 24 therefore ‘does not provide a means to mitigate the risks to EU-UK trade in the event of a nodeal exit’.