‘Exit on WTO terms is still a very real possibility’: City reacts to Theresa May’s resignation
Business groups reacted today to the resignation of Theresa May as Prime Minister.
The interim director of the Institute of Directors Edwin Morgan said: “To borrow a phrase, nothing has changed, or at least, very little has. A new leader will be faced with the same political challenges and the same economic realities.
“No deal remains a significant, and growing, concern for businesses, and that cannot be wished away, whoever is in power. When companies and the country need serious, considered decision-making, we have pantomime instead.
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“We would ask for politicians to swiftly come to a solution which provides for as smooth an exit as possible, but that feels like a vain hope at the moment.”
The chief executive of London London Chamber of Commerce and Industry David Frost, said: "The Prime Minister's departure was an unavoidable necessity for moving beyond the country's political log-jam.
"We hope that a new leader can find a constructive way forward to break the impasse in Parliament and deliver certainty about the UK’s terms of exit from the EU.
"Exit on WTO terms is still a very real possibility on 31 October and whether or not it happens is not entirely in UK hands. The Government must ensure it and business are well prepared for this situation and we remain ready to work with them on this.”
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The chief executive of manufacturers’ organisation Make UK, Stephen Phipson, said:
“Theresa May has worked hard to secure a pragmatic departure from the EU that protected our world class British manufacturing industry. We acknowledge her tenacity and hard work. In the last two years we have welcomed her focus on a modern industrial strategy and building strong relationships with business.
“Britain’s manufacturers now call on whoever takes over as Prime Minister to find a solution to the Brexit dilemma at speed. We have limited time before we leave the EU in October and we must avoid using much of that time engaged in Westminster politics. Extended lack of clarity over Britain’s future trading environment with our most important market risks making an already bad situation worse: Make UK has consistently highlighted how serious we consider this issue to be.
“We look forward to working as closely and successfully with the new Prime Minister, building on the foundations laid by Theresa May – it is critical that as we face the UK's biggest ever peace time challenge, business and government work hand in hand."
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Chief executive of the British Retail Consortium Helen Dickinson said: “There are only five months before Britain crashes out of the EU without a deal, causing prices to rise and reducing the availability of many goods on the shelves. A no deal Brexit in October would present the worst of all worlds for our high streets and those who shop there.
"Retailers will be preparing for Christmas, stretching already limited warehousing capacity, and the UK will be importing the majority of its fresh food from the EU, magnifying the impact of border delays.
"It is vital that the next Prime Minister can find a solution that both avoids a catastrophic no deal Brexit and commands the support of Parliament.”