The Office for Budget Responsibility found that exports and imports have fallen by 13 per cent and 12 per cent respectively since 2019.
There has also been a 6 per cent increase in food prices, which the think tank, UK in a Changing Europe, has attributed to trade barriers as a result of Brexit.
The London Assembly has today called on the Mayor to continue his advice and support work to help Londoners dealing with cost of living issues and to help businesses export their goods and services abroad.
Sem Moema AM, who proposed the motion said:
“The impact of the UK leaving the EU is still being felt, perhaps now more than ever. Trade barriers as a result of Brexit have seen a sharp rise in food prices at a time when inflation is spiralling.
Government Ministers’ mis-management of the EU exit has led to increased trade costs for London’s businesses. Exports have fallen, imports have fallen and any signs of recovery are slow.
The Mayor has been standing up for Londoners and London’s businesses, offering advice and support, helping rebuild London’s economy after both Brexit and the pandemic.”
The full text of the motion is:
This Assembly notes that in March 2022 the Office for Budget Responsibility found that exports and imports have fallen by 13% and 12% respectively since 2019. It further found that ‘The recovery in UK trade has also been slow relative to advanced economies as total advanced economy goods exports already exceed pre-pandemic levels by 3 per cent, suggesting that Brexit may have been a factor’. [1]
In addition, the think tank ‘UK in a Changing Europe’ has found that trade barriers as a result of Brexit have caused a 6% increase in food prices in the UK. [2]
This Assembly recognises that the United Kingdom has left the European Union but notes with regret that the way the Government has managed this has led to increased trade costs for businesses in London and an increase in the cost of living for Londoners.
We call on the Mayor to continue his advice and support work regarding the cost of living and to continue to support opportunities for London’s businesses to export their goods and services abroad.
Notes to editors
- https://obr.uk//docs/dlm_uploads/CCS0222366764-001_OBR-EFO-March-2022_Web-Accessible-2.pdf
- https://www.politico.eu/article/uk-research-food-prices-hike-report-brexit-cost-living/#:~:text=LONDON%20%E2%80%94%20New%20trade%20barriers%20as,down%20to%20the%20coronavirus%20pandemic
- Watch the full webcast.
- The motion was agreed by 15 votes for and 8 votes against
- Sem Moema AM, who proposed the motion is available for interview.
- As well as investigating issues that matter to Londoners, the London Assembly acts as a check and a balance on the Mayor.
For media enquiries, please contact Lisa Lam on 020 7983 4067. For out of hours media enquiries, call 020 7983 4000 and ask for the London Assembly duty press officer.