The Impact of a 'No Deal' Brexit on the Automotive Sector in Wales

1. Questions to the First Minister – in the Senedd on 5 February 2019.

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Photo of Lynne Neagle Lynne Neagle Labour

(Translated)

7. What assessment has the First Minister made of the impact of a 'no deal' Brexit on the automotive sector in Wales? OAQ53378

Photo of Mark Drakeford Mark Drakeford Labour 2:15, 5 February 2019

I thank Lynne Neagle. Our assessment continues to demonstrate that leaving the European Union without a deal would be disastrous for the automotive sector. Such a possibility should be taken off the table by the UK Government and an extension sought now to the article 50 timetable.

Photo of Lynne Neagle Lynne Neagle Labour

Thank you, First Minister. Would you agree with me that the lesson from the weekend, and the very bad news from Nissan, is that while no deal would be the very worst outcome of all for the automotive industry, the reality is that any Brexit will see arguments and uncertainty continue for years, and every day of uncertainty is a day when investors stay away and jobs are under threat, especially in constituencies like mine? And would the First Minister also agree that whatever Brexit deal is agreed, it will only ever be a blindfold Brexit, because the political declaration that accompanies the withdrawal agreement is just a political wish list, the equivalent of motherhood and apple pie, and that whether it's Mrs May's deal, or Norway plus, or any other sort of Brexit, the negotiations and damaging uncertainty will likely continue for years to come?

Photo of Mark Drakeford Mark Drakeford Labour 2:16, 5 February 2019

Well, Llywydd, the Member is absolutely right that uncertainty is the enemy of investment and that is a message that the CBI and other industry-leading bodies have said for months and months and months. Brexit for them is not something that will happen after 29 March, Brexit is something that has been happening now for many months, and decisions are being made in businesses across Wales and across the United Kingdom, where things that would have been done and would have been in place and prosperity would have been supported—those things are not being done because of the uncertainty and the way in which this UK Government has managed to bungle Brexit right up to the very final line. And, of course, the Member is right—she will remember the debate we had here on the floor of the Assembly when Mrs May first declared her deal. There are things that are wrong with the withdrawal agreement, and we pointed to those here. But the things that are wrong with the political declaration are even more significant, and expecting this Assembly or anybody else to sign up to that flimsy document without any sorts of guarantees about the type of future that we need the other side of the European Union—no wonder she ended up with the defeat that she had, and no wonder that this Assembly was not willing to support it either.

Photo of Elin Jones Elin Jones Plaid Cymru 2:17, 5 February 2019

(Translated)

Finally, question 8, John Griffiths.