The House of Commons Business, Energy and Industrial Strategy Committee this morning released its latest report which looks at the impact that Brexit could have on the Aerospace Sector. The best way for the aerospace sector to take advantage of global growth opportunities post-Brexit is to maintain harmonisation and not diverge from international standards, according to the Committee.

The report also supports the Government and ADS’ view that the UK should continue as a member of EASA following Brexit. The Committee examines within the report how the UK could remain a member of EASA without the UK being under the European Court of Justices jurisdiction within the report highlighting how it is possible but could result in the UK losing voting rights within EASA. It also highlights how a “no deal” exit from EASA would be highly costly and disruptive to aerospace and aviation in the UK, and have serious adverse impacts in the EU and globally.

Away from EASA, the report states that non-tariff barriers remain a significant concern to the industry, with delays at the border of even just a few hours a risk to the competitiveness of the sector. Evidence suggests that increased checks at the future UK-EU border could add £1.5billion a year to costs for an industry which relies on just-in-time supply chains.

Responding to the report, ADS Chief Executive Paul Everitt said:

“Manufacturers and their supply chains depend on extensive international regulatory harmonisation and we welcome the BEIS Committee’s support for continued UK membership of EASA. Their report makes clear that no deal would be highly costly and disruptive to UK aerospace, which could put jobs and passenger safety at risk.

“As the Committee has also recognised, new customs procedures must be kept to a minimum to put this important sector of the UK economy in the best possible position to compete after Brexit.

The BEIS Committees full report is available here. 

The House of Commons the Exiting the EU Committee also released its latest report today looking at the progress made in the Brexit negotiations.

In its second progress report, the Committee puts forward a proposal for the Government to seek an extension to the Article 50 period to allow more time to negotiate a detailed political declaration and any preparations ahead of agreements and treaties before moving into a transition period.

Other highlights from the report include a call for the Government define what full alignment in relation to Northern Ireland means, calls for the UK to move on with a proposals for how the UK can have its say on new EU laws during the transition period and calls urging the Government to make specific proposals and clarity on future participation on individual EU agencies.

You can read the Committee’s full report here.