North East Chamber boss: Extend Article 50 to avoid ‘tremendous’ impact of no-deal Brexit

The head of the North East England Chamber of Commerce has called on the Government to extend Article 50 following the PM’s historic defeat in the Commons on Tuesday.

Chamber chief exec James Ramsbotham said the rejection of Theresa May’s deal mean’s the Government must now do “whatever is necessary” to extend Article 50, if the UK is to avoid crashing out of the European Union with no deal in place.

He said: “Our members have consistently told us that no deal is not an acceptable outcome. Our region’s strong economic linkages and trading relationship with the EU mean that the consequences of no deal would cause tremendous harm to North East England.

“Extending the negotiations would give Government the chance to engage with the real and practical concerns of regional employers to deliver a Brexit outcome that works for North East England.”

He continued: “The Chamber has consistently championed the views and concerns of regional businesses throughout the process; engaging with local and national politicians as well as key Government departments.”

Claire Reading, development manager for South and East Yorkshire and The Humber region at the Federation of Small Businesses, joined Mr Ramsbotham in calling for action to avoid a “chaotic no-deal exit”.

Ms Reading explained: “It is time for politicians to come together and urgently find a way forward from this alarming Brexit stalemate, and now, no-confidence vote.

“The UK is due to leave the EU in just ten weeks, and yet businesses still have no idea what kind of circumstances they should prepare for.”

She added: “Many small businesses would be adversely impacted by a chaotic no deal exit. It is vital that there is a transition period, to give smaller firms time to adapt to whatever the final outcome turns out to be.”

According to FSB figures, small business confidence is at its lowest since the wake of the financial crash, with 40% expecting their performance to worsen over the coming quarter.

Speaking further, Ms Reading said: “The Prime Minister suggested that beyond the confidence vote, she would be willing to approach members of other parties in a constructive spirit. This should involve meaningful talks, to find a genuine cross-party way forward.”

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