Monday, 31 October 2016

To beer or not to beer? The UK dilemma after Brexit

Beer operators asked Theresa May to keep the free movement principle alive in name of hops

by Emanuele Bonini

To beer or not to beer? That is the question. In time of Hamlet doubts every interrogative point is allowed, even for drinking. And when the national beer industry alone is worth £ 22 billion (about € 24,6 billion), the question is more than legitimate. Brexit poses a lot of challenges and even more interrogative points? To be or not be part of Europe? That was the question the British people answered the 23rd of June, 2016. Now, the future is totally uncertain and unpredictable except for one thing: the beer is endangered. With the United Kingdom out of the EU, malts and hops will be out of the single market. What to do, then? According to the British Beer and Pub Association, at least for beer the single market has to be preserved. In its The beer and pub manifesto, the association set out a political programme for the prime minister, who will have to negotiate the new relationships with the EU Member States. In name of the free movement of pints.

Four freedoms
The European single market is based on the so-called "four freedoms", the freedom of movement of goods, people, services and capital over borders. UK government said no concessions will be granted when it will come the moment of redefining the place of the United Kingdom in Europe. A political move related to the immigration issue. London would control people entering Britain, something against the idea of the economic area. The British Beer and Pub Association called the prime minister for «no changes to the rights of existing overseas workers in the industry and within the supply chain» and for «any quota system to take account of  the service sector and areas of  staff  shortages». At the same time an explicit request was made for «greater support for promotion of  British goods in the UK and overseas market» together with «a free trade deal with the EU as a priority with no tariffs or additional paperwork for beer exports». Isn't this a proposal for maintaining the freedom of movement of goods, people, services and capital over borders?


No-Visa regime 
The British Beer and Pub Association reiterated the need of free people movement asking for a system taking into account the tourist flow. «For tourists, Britain’s pubs are a beacon», stressed the association. Pubs are often identified as a major attraction for a British holiday. Figures says that pubs are in the top three places to visit for tourists coming to the UK and seven out of ten visit a pub whilst they are here. Pubs serve over one billion meals per year and increasingly provide accommodation with some 50,000 rooms. Pubs are thus a business. In order to have the right protection of such a gold mine it is necessary having a system allowing free access to the UK. Once again, a request for free movement of people

Leaving the EU, keeping the single rules 
British people voted in favour of leaving the European Union, but economic operator don't dislike the EU rules. The British Beer and Pub Association called the British government for the adoption of EU competition law, the adoption the existing EU food labelling regime, the adoption of the EU copyright system. Furthermore, the British prime minister was asked to consider the EU legislation currently implemented as «the default starting point where time is needed to get regulation right for UK business». The European Union is a (business) model to follow. Unfortunately the United Kingdom opted-out.

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