Cross-border trade to ‘virtually stop’ after ‘no-deal’

An official UK government document, seen by some of the UK’s cabinet, warns that cross-border agri-food trade between Northern Ireland and the Republic of Ireland will “virtually stop” on the day a no-deal Brexit takes effect.

The document, obtained by Sky News in the UK, is divided into three sections, detailing what the effects of a no-deal crash out will be on the ‘First Day’, ‘First Fortnight’ and ‘First Month’.

According to Sky News, the document was marked: “Official sensitive – For Discussion – Not Government Policy”, indicating that the document has not been agreed on by ministers.

Image source: Sky News Twitter page

The document says: “Northern Ireland – [cross] border trade virtually stops, other trade slows.”

In the ‘First Day’ category, it is also explained that trade and passenger flows from the EU generally will be slower getting in to the UK, and that volatility of the pound sterling and financial markets will occur.

Looking at the ‘First Fortnight’, and the document predicts that there will be potential consumer panic and food shortages in the UK, while the county’s economy will continue to be volatile.

And after the ‘First Month’, the document says that small businesses in Northern Ireland will face distress, and that there may even be “potential law and order challenges”.

Sky News reports that this may be the first time that the “worst-case scenarios” have been outlined in the one document. It appears to have been prepared in the final weeks of Theresa May’s tenure as prime minister, it is reported.