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Daily Mirror
Daily Mirror
Politics
Dan Bloom

Government warns firms need to prepare for Brexit - even if there's a trade deal

Businesses across the UK will need to prepare for more Brexit disruption - even if Boris Johnson achieves his dream ticket trade deal, the government warned today.

The Prime Minister's official spokesman said firms need to take action ahead of life outside the EU "in all circumstances", no matter what happens in 11 months of talks with Brussels.

That is because even with the Canada-style trade deal Boris Johnson wants, the UK will still be outside of the Customs Union.

Until now, much of the focus from the government has been on preparing firms for a no-deal Brexit.

Billions of pounds were spent across government including £100m on a "get ready" advertising campaign.

But even though there will now be an exit deal on January 31, and Boris Johnson is vowing to get a full trade deal by December 2020, it seems many of the plans could still be needed.

The Prime Minister's official spokesman said firms need to take action ahead of life outside the EU "in all circumstances" (WPA Pool)

Downing Street today acknowledged that some of the same preparations will be needed for Boris Johnson's deal.

The PM's spokesman said: "In all circumstances we are leaving the single market and the customs union, which means we are leaving the EU regime which is associated with that.

"Businesses will need to prepare for life outside of the EU's customs regime in all circumstances - and many have already done so."

The spokesman highlighted as an example how 180,000 firms have now been registered in the last year for an 'EORI' number, which is needed to move goods in and out of the EU.

The 'EORI' preparation happened as part of preparations for a no-deal Brexit. Yet an EORI number is also "necessary for businesses trading goods between the UK and anywhere in the world, including the EU, under a Canada style Free Trade Agreement," the spokesman said.

He added: "In all circumstances we will be outside the EU's customs regime and single market and businesses will be prepared for that."

The spokesman acknowledged that there is a "commitment" from both sides to "work towards" having no customs tariffs in a UK-EU trade deal.

However, asked if there would be a "hard landing" for businesses whether there's a trade deal or not, the PM's spokesman said: "The point I would make is as the PM has set out, on the campaign trail and elsewhere, is we are leaving the customs union and the single market - which will mean making preparations for a new partnership outside the EU."

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