A research that was commissioned by the luxury sector of the United Kingdom indicated that the sector, including names such as car maker Bentley and fashion house Burberry, could lose up to 6.8 billion pounds in exports per year if the fifth largest economy in the world crashes out of the European Union without a deal.
The perverse crisis of the United Kingdom over its membership with the European Union is approaching its end with an extraordinary array of options including a last-minute deal, a delay, a no-deal Brexit, a snap election or even another referendum.
A research that was commissioned by the lobby group for the luxury industry, Walpole, revealed that up to a fifth of luxury exports from the United Kingdom would be at risk if Britain left without a deal on the 29th of March.
The CEO of Walpole, Helen Brocklebank, stated: “British luxury businesses are committed to staying in Britain, but we are losing patience with the government taking us to the knife edge of no-deal.”
She added: “The cost to the UK economy in lost exports from British luxury will be nearly 7 billion pounds and we believe that money should be used to strengthen the country not diminish it. We urge the government categorically to rule out no-deal exit.”
Walpole’s includes 250 luxury brands amongst its membership, including Burberry, Alexander McQueen, Claridge’s, Bentley, Harrods, Dunhill, Net-A-Porter, Glenmorangie, Wedgwood, and Rolls-Royce Motor Cars.
According to the research, the majority of the negative impact would be because of the changes to market access that is driven by tariff and non-tariff measures, for instance, regulations such safety requirements, environmental standards, or health.
About 80 percent of the luxury goods of the United Kingdom go overseas, and Europe is considered as its largest market.
Today, Theresa May, the Prime Minister of the United Kingdom, was struggling to clinch concessions from the European Union in a last-ditch effort to avoid another humiliating defeat in the parliament of her deal to exit the bloc.
May has offered British lawmakers the vote on Tuesday on what she had anticipated would be a revised deal.
If her deal is turned down, May has said that she will give lawmakers a vote on Wednesday on leaving without a deal on the 29th of March. If they reject that, then they will be scheduled to vote on Thursday on delaying Brexit.