Warning over preparations for ‘no-deal’ Brexit
SOME public bodies in Wales have been adopting an unacceptable “wait and see” approach in their “no-deal” Brexit planning, according to a report from the Auditor General for Wales.
Adrian Crompton said that with the March 29 Brexit day rapidly approaching, all bodies need to have systems in place to deal with the multiple risks they could face.
At a media briefing in Cardiff, Mr Crompton refused to “name and shame” the organisations that aren’t as well prepared as others.
But in his report, he said that while many public bodies had ramped up their efforts since the summer of 2018, the picture varies across the country.
Publication of the report was brought forward from the summer because of the perceived increased risk of no deal.
Mr Crompton sets out some clear messages to all Welsh public bodies as they grapple with the major challenges and uncertainties of Brexit.
The report makes it clear that uncertainty cannot be an excuse for inaction.
While some public bodies have done a lot of preparation, others reported that continuing uncertainty meant they had made only limited preparations so far.
The Auditor General said he was aware of unfounded concerns that he would criticise organisations for taking reasonable steps to mitigate Brexit-related risks – but he insisted that was not the case, and no body would face criticism for making reasonable preparations, even if they proved not to be needed.
In January, Mr Crompton issued a letter to the chief executives of all public bodies to set the record straight and confirm that audit must not be viewed as a barrier to preparing for Brexit.
The Welsh Government is taking a lead role in identifying and managing national and strategic risks, working with colleagues in the UK Government and the other devolved administrations.
Public bodies across Wales have identified areas of risk which include ports; medical supply chains; food supply chains; workforce; financial risks; legislation; agricultural exports; economic impacts, and wider well-being. However, the extent to which they have plans to mitigate the risks they have identified varies significantly.
The report says the Welsh Government recognises there may be disruption to the supplies of some perishable foods. Some imported fresh food with a very short shelf life could get caught up in delays at ports and airports. Meanwhile, additional warehouse capacity is being procured to stockpile medical supplies.
Brexit planning has spurred organisations to work across traditional boundaries, but more should be done to take a “one public service” approach to planning and preparations – this includes planning and managing risks together, sharing expertise and exchanging lessons learned.
Public bodies report a lack of capacity to manage Brexit, which is having a knock-on impact on other services. The Welsh Government has created 198 new staff roles on fixed-term contracts to work on Brexit. However, in many cases, rather than bring in new people, existing staff have been moved into Brexit roles.
So far, and with the exception of the Welsh Government itself, Brexit planning is being largely led by executive teams with limited independent, non-executive oversight and challenge.
Clear, measured and consistent public engagement is also needed to help avoid unnecessary panic and disruption, says the report.
The Welsh Government’s online site Preparing Wales provides a helpful starting place, but all public bodies now need to play their part in spreading those messages to the Welsh public.
Public bodies across Wales have generally been waiting to engage with the public until they have greater certainty on the outcome of Brexit. But, with the UK’s exit date looming, it is vital they now increase their efforts. There is still a considerable way to go to turn the planning into reality, concludes the report.
Mr Crompton said: “Brexit is an unprecedented peacetime challenge for everyone across the Welsh public services, and I’m very much aware that there’s no ‘off the shelf’ manual for handling this and that the Welsh Government has been clear it won’t be possible to mitigate all of the impacts of a no-deal Brexit. That’s why I don’t expect every public body to have exhaustive plans for every implication, risk and opportunity.
“But with just weeks to go to a possible no-deal Brexit, it’s clear public bodies still have much to do to prepare themselves and the Welsh public. The key messages in my report should act as a spur to strengthen and accelerate planning across Wales.”
At the National Assembly, David Rees and Nick Ramsay, the chairs of the External Affairs and Additional Legislation Committee, and the Public Accounts Committee, issued a joint statement which said: “With only 36 days to go before the UK leaves the EU, we welcome the timely publication of the Auditor General’s report on preparations in Wales for a no-deal Brexit.
“While it is clear that public bodies across Wales are taking their nodeal planning seriously, we are concerned to learn that some had been adopting a wait and see approach.
“The implications of Brexit represent a major challenge for public bodies and much remains to be done. We endorse the Auditor General’s key messages to strengthen the arrangements for a no-deal Brexit across public services. The Assembly’s External Affairs and Additional Legislation Committee will consider the Auditor General’s report in March and will use its findings to scrutinise the Welsh Government on its preparations for Brexit.”
The Welsh Liberal Democrats criticised no-deal preparations in Wales as “woeful”.
Jane Dodds, who leads the party, said: “Today’s report from the Welsh Auditor General highlights the lack of real preparations that have been undertaken in case we crash out of the EU with no deal. Whatever the UK and Welsh Governments say they’re doing to prepare for a nodeal Brexit, it’s clearly not enough.
“It is irresponsible of the UK Government to keep claiming that ‘no deal is better than a bad deal’ when that is clearly not the case.
“The Welsh Liberal Democrats are clear. The best deal is the one we already have with the EU.
We will continue to fight to ensure no-deal is taken off the table and to give the people the final say, with the option to choose an Exit from Brexit and put an end to this mess.”
■ ‘Westminster anarchy’ – Chris Moncrieff: Page 26