Vale of Clwyd MP Dr James Davies has spoken in support of the United Kingdom Internal Market Bill and emphasised its importance to businesses in the constituency, and across the whole of North Wales.
Speaking in the House of Commons last week, James spoke of the importance of the Bill, which was introduced to Parliament on September 9th and will protect jobs and trade across the whole of the United Kingdom after the Transition Period ends. He quoted local manufacturer, Qioptiq, which has emphasised the need “for industry to be able to continue with a consistent approach to trade across all of the UK” in the current uncertain climate.
The previous week in Parliament, James also articulated the views of Grahame Crook, the director of Kent Periscopes of St Asaph, who welcomes the Bill and has said: “Barriers to trade within our own borders will not just be harmful but are patently ridiculous.”
Mr Crook added: “We, the four nations of the United Kingdom, face enough challenges to our prosperity at the moment from outside forces –notably covid – without hobbling ourselves further by having restrictions on trade within the UK.”
Speaking on the Bill last week, James said:
“Since the Acts of Union of 1706 and 1707, the UK internal market has been a source of unhindered and open trade across the United Kingdom. Beyond the end of the transition period on 1 January 2021, divergence on policy on goods and services in the four constituent parts of the UK raises the threat that this seamless trade would come to an end, increasing costs and burdens for businesses and posing a sad state of affairs for the Union. It is common sense that we need to avoid this scenario.
“As chair of the all-party group on Mersey Dee North Wales, I know how important the UK internal market is to businesses throughout the region, where 12 million daily cross-border commutes take place annually.
“In fact, a 2018 Welsh Government policy briefing noted: “In the case of the UK internal market the economy in Wales is deeply embedded within the wider UK economy.”
“It went on to say: “Close proximity means natural transport routes and lower transport costs, shared institutional and business contexts, and cultural and historical ties”.
“Parts 1 to 3 of the Bill propose a commitment to market access. This will guarantee that UK companies can trade unhindered in every part of the United Kingdom, ensuring the continued prosperity and wellbeing of people across the land.
“Qioptiq, a manufacturer of optical instruments, which has a base in my constituency, says: “With the current economic uncertainty driven by the global pandemic, it is important for industry to be able to continue with a consistent approach to trade across all of the UK. Legislative stability and consistency, without additional barriers, are keys to success.”
James added: “Wales sells three times more to the rest of the UK than it does to the whole of the rest of the world combined. UK supply chains are also highly integrated. Data shows that almost three times as many intermediate inputs used by businesses in Wales come from other parts of the UK as from every trade market combined,and modelling shows that Wales would suffer a GDP loss five times higher than the UK as a whole from any reduction in internal trade due to unmitigated differences in regulation.
“The clauses under consideration today are vital to provide certainty for businesses and ensure that we retain the status quo of no barriers to the movement of goods and services in all parts of the United Kingdom, so that companies can focus on their recovery and plan to invest and create jobs.”
