First Minister warns of negative impact of Northern Ireland Brexit deal on Welsh ports
Mark Drakeford has warned the Brexit deal agreed by the UK Government with the EU on Northern Ireland earlier this week could have a negative impact on Welsh Ports.
While welcoming the agreement struck by Prime Minister Rishi Sunak, the First Minister suggested Holyhead might be particularly hard hit by the new deal, which could result in traffic being lost to ports in England and Scotland.
Mr Drakeford told the Financial Times that the changes, which reduced controls on freight travelling directly from Britain to Northern Ireland, could damage the port of Holyhead and to a lesser extent those of Fishguard and Pembroke.
The new deal introduces more rigorous checks on goods moving from mainland Britain to the Republic of Ireland, while introducing lighter controls via a “green lane” system for goods moving directly to Northern Ireland.
Welsh ports currently service the Republic of Ireland, with Stena Line and Irish Ferries sailing from Holyhead to Dublin.
Stenna line also operates a service from Fishguard to Rosslare, while Irish Ferries sail between Pembroke Dock and Rosslare.
Perverse incentives
“We hope that there won’t be perverse incentives for firms to avoid ports where the direction of travel is directly to the Republic in favour of ports that operate directly between Northern Ireland and GB,” the First Minister said.
“How will these new arrangements impact Holyhead? Fishguard? Pembroke Dock. It’s a concern for us that we’ll be watching carefully.”
Holyhead was particularly badly hit in the immediate aftermath of the UK’s exit from the EU, as freight traffic initially declined by 50%.
It has now returned to 70% of pre-Covid and pre-Brexit levels, Mr Drakeford said, adding it had hit a “stubborn ceiling” and its share could now fall further.
Despite the potential impact of the new trade agreement on Welsh ports, however, the first Minister welcomed the deal and said he hoped it would lead to improved ties between the UK and EU.
“You hope that it opens the way to a different sort of more constructive, more collegiate relationship with our nearest and most important neighbours, and that in time that could lead to a change in some of the more regrettable parts of the [post-Brexit] Trade and Cooperation Agreement,” he said.
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“In time that could lead to a change in some of the more regrettable parts of the [post-Brexit] Trade and Cooperation Agreement.” Does he mean the regrettable part where we’re out of the Single Market. or the regrettable part where we’re out of the Customs Union? So confusing sometimes. The only thing which adds clarity is that Wales voted to leave the EU and therefore to leave both, and, as voters insisted they knew what they were voting for and any suggestion they did not was insulting and Project Fear, they will have plenty of time to watch their jobs… Read more »
Nobody voted to leave the SM or the CU.
Daniel Hannan. Vote Leave.
Arron Banks. Leave EU.
The site Full fact check quotes nigel Farage as saying leave means leaving both the customs union and single market.
https://www.google.com/url?sa=t&source=web&rct=j&url=https://fullfact.org/europe/what-was-promised-about-customs-union-referendum/&ved=2ahUKEwiw9aLMgMX9AhUVUsAKHQvFDw4QFnoECA4QAQ&usg=AOvVaw0Hq4_p86PGYrFi1PZy918T
That is what Farage wanted, fanatic and full of hatred for the EU that he is. However, the decision to leave the SM and CU was solely a Tory decision and did not have to happen.
Different people in the leave campaign were saying different things, and most admitted they had no set plan following the vote to leave, that i s why it took so long to negotiate with the EU, and it continues to be the case.
Warped ideology (look at that happened after Truss’ ‘Britannia Unchained’ budget last year) and burying heads in the ground at its consequences are now making us all suffer. Many politicians are just too scared to say – we made a mistake. They’d rather see us continue to take a hit. There will be an inquiry one day and it will be damning of these people.
If that’s the case, is he coming around to the understanding of our awful position in this “Union”? I highly doubt it.
He is not likely to come out and say the Tories have done well. Is he?
What annoys me is that almost half of those that voted in the referendum in Wales, 48% – no small figure – are to be completely ignored. Not only that we have had to suffer all the crap associated with leaving too. That is why other countries use and abide by super majorities, so that this sort of unfairness is not seen. There will always be those who disagree with a vote but when it’s half of the voters the issue is far from resolved. Is that true democracy? Of course not. Welsh ports have taken a hit and that… Read more »
Holyhead and the Haven could look to other kinds of maritime activities, a bit of tall ship blue water thinking to promote two of the best natural harbours in the world…
Or they could try maximising all the duty free travellers they said they were expecing, when they celebrated the leave vote victory on BBC Wales news.