Stephen Phipson, the CEO of Make UK, the manufacturers' organisation in the UK, has written an open letter to Prime Minister Theresa May and the Leader of the Opposition Jeremy Corbyn calling for the revocation of Article 50 if the government is unable to pass a deal in Parliament.
Article 50 is the clause in the EU Lisbon Treaty that lays out the steps to be taken in the case of a country leaving the bloc. When Article 50 is invoked, the formal exit process is kick started, allowing the member state two years to make arrangements for withdrawals. Mrs May invoked Article 50 on 29 March 2017 and has so far requested two short-term extensions in order to prevent a no-deal Brexit scenario.
In his letter, Mr Phipson acknowledged the work done by the Prime Minister to build consensus and asked for her to acknowledge the importance of manufacturing to the UK economy and the burden that Brexit uncertainty was having on the industry.
"Our sector directly employs almost 3 million people and indirectly supports many more. Manufactured goods account for almost half of all UK exports, and the EU is our largest market. Our sector is a high quality employer: wages are well above the national average, many employees work in hi-tech environments and our commitment to comprehensive apprenticeships, training and up-skilling is second to none. Make UK is proud to have played a leading role in manufacturing and engineering for over 100 years, and today we represent the interests of over 20,000 companies employing over a million people," the letter read.
He went on to say that access to the single market and the customs union had been "critical" to the success of UK manufacturers and that the loss of this would be a "blow".
He added: "to lose access overnight in the event of a no deal exit from the EU would be disastrous for the majority of UK manufacturers and the livelihoods of the millions of people they employ and their families."
The letter goes on to request that Mrs May seeks a consensual agreement, takes no-deal off the negotiating table and that any deal reached delivers 4 key tests:
- frictionless trade
- regulatory alignment
- access to labour; and
- a lengthy transition period that allows business time to adapt to change
Mr Phipson said that the majority of Make UK members have informed him that the current state of "short term extensions and prolonged ambiguity cannot continue" and that if a majority in Parliament cannot be reached or no agreement with the EU reached at this week's emergency council meeting "Make UK is calling for the Government to revoke Article 50."
He added that Make UK are not making the call to "thwart Brexit", but as an attempt to safeguard the future of UK manufacturing and the workforce. He called for the revocation of Article 50 in order to remove "the artificial pressure of a short deadline", remove the "financial pressures of no deal preparation" and to allow time for "Parliament and the country [to] take stock".
The letter concluded by stating: "Our manufacturing industries and we believe the British public did not support leaving the EU on the basis of the significant financial harm a no deal scenario would deliver."
Read the full text of Mr Phipson's letter.
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