Home   News   Article

Highland businesses can't prepare for Brexit on top of pandemic, warns Maree Todd


By Alan Hendry

Easier access to your trusted, local news. Subscribe to a digital package and support local news publishing.



Click here to sign up to our free newsletters!

North MSP Maree Todd has called on the UK government to extend the Brexit transition period in light of coronavirus – with new analysis showing billions of pounds could be wiped from the Scottish economy.

The transition arrangements keep the UK close to the European Union and can be extended for two years, beyond December 31, if the UK government asks for an extension by the end of this month.

But a new study from the Scottish Government says that, if an extension is not agreed, Scottish gross domestic product (GDP) could be up to 1.1 per cent lower after two years. The cumulative loss of economic activity from leaving the EU would be up to £3 billion over those two years – on top of the impact of the coronavirus outbreak.

Ms Todd, an SNP MSP for the Highlands and Islands, said: “Coronavirus is causing enormous economic disruption and people across the Highlands and Islands expect government to be focused on protecting public health and the Scottish economy.

“It would be an act of extraordinary recklessness for the UK government to allow us to crash out of the transition period at the end of this year.”

The study indicates there will be further major costs from Brexit for years to come and also highlights that without an extension, or having a free trade deal in place, Scotland’s agriculture, fisheries and manufacturing sectors will be especially badly hit.

Ms Todd added: “The SNP believes the best future for Scotland is as an independent member of the EU.

“But regardless of your opinion on Brexit or independence, it makes no sense to crash out of the European single market at precisely the moment we need stability.

“Businesses in the Highlands and Islands are focused on securing their future – they simply don’t have the capacity to prepare for Brexit on top of a pandemic.

“The UK government must do the sensible thing, protect jobs in the Highlands and Islands and extend the transition period.”


Do you want to respond to this article? If so, click here to submit your thoughts and they may be published in print.



This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies - Learn More