News / Brexit

‘No deal Brexit scenario directly threatens Airbus’ future in the UK’

By Ellie Pipe  Friday Jun 22, 2018

The consequences of Airbus pulling out of the UK could have “devastating” consequences for Bristol.

But one of the city’s biggest employers has warned that such a withdrawal is on the cards if the country cannot secure a Brexit deal before exiting the EU next year.

Airbus bosses have repeatedly voiced concerns about the consequences of Britain failing to strike a deal – thus leaving the single market and customs union – and say that “far from ‘project fear’, this is a dawning reality.”

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Bristol North West MP Darren Jones, an outspoken remainer, says the loss of Airbus, which employs thousands at its Filton site alone, would be “devastating” for the city.

Darren Jones says the consequences of Airbus leaving the UK would be devastating

He has slammed Tory politicians in the region for failing to take warnings seriously.

“Time and time again the Government has been shown to listen only to hard line Brexit Tory MPs and not to the businesses that employ thousands of British workers, including across north Bristol,” said Jones.

“Airbus is at the helm of our crucial aerospace industry in the South West and the Government must come forward with credible answers to both the customs problems and the ability for UK defence companies to bid for EU contracts after Brexit.

“At a time when we’re just hanging on to GKN Aerospace, following the hostile takeover by Melrose, their biggest customer – Airbus – is having to consider moving overseas. Yet all we have is Conservative MP for Filton and Bradley Stoke Jack Lopresti, West of England metro mayor Tim Bowles and Conservative industry minister Richard Harrington posing for photos and not once mentioning the impact of Brexit on vital British manufacturing jobs. They should be ashamed of themselves.”

The recent photo Jones is referring to

Airbus, which employs some 15,000 people at 25 sites across the UK, published a risk assessment report on Thursday, outlining the urgent risks to its business arising from the UK exiting the EU without a withdrawal agreement.

Tom Williams, chief operating officer of Airbus Commercial Aircraft, said: “In any scenario, Brexit has severe negative consequences for the UK aerospace industry and Airbus in particular.

“Therefore, immediate mitigation measures would need to be accelerated. While Airbus understands that the political process must go on, as a responsible business we require immediate details on the pragmatic steps that should be taken to operate competitively.

“Without these, Airbus believes that the impacts on our UK operations could be significant. We have sought to highlight our concerns over the past 12 months, without success. Far from project fear, this is a dawning reality for Airbus. Put simply, a ‘no deal’ scenario directly threatens Airbus’ future in the UK.

Construction starts on its the Airbus £37m Wing Integration Centre in Filton in 2017.

TUC Regional Secretary of the South West Nigel Costley said the warning comes as no surprise, adding: “As we get closer to March, it’s looking more and more likely the UK will crash out of the EU, with dire consequences.

“Bristol and the surrounding region is a hotbed of highly skilled workers in the aerospace industry – and Airbus is key to thousands of jobs in the area alone.

“But today, workers in Filton will have woken up even more worried about what the future holds for them and their families. So to hear Airbus will consider leaving the UK in the event of a no deal Brexit must be taken seriously.”

Tim Bowles says he is working with colleagues to get the best deal

West of England mayor Tim Bowles attempted to offer some reassurance, saying: “Only yesterday, business and industry minister Richard Harrington joined me at Airbus HQ in Filton and heard about their innovative plans for investment in the West of England.

“Airbus is a crucial part of the region’s aerospace industry and I pressed the case for a good deal for the sector at a ministerial meeting at the Department for Exiting the European Union on Monday. I will continue to work closely with Airbus and Government to get the best deal for the region, securing jobs and investment for the future.”

 

Read more: ‘Bad Brexit deal poses significant risk to Bristol North West’

 

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