(Bloomberg) -- The U.K. is spending 470 million pounds ($605 million) on new border facilities in preparation for the end of the Brexit transition period, when new checks will be applied on trade with the European Union.
Even if Britain and the EU sign a free-trade agreement, traders will face new procedures and extra infrastructure is required to cope, the Cabinet Office said in an emailed statement. A 200-million-pound fund for ports is now open for applications, and 270 million pounds will be allocated to building inland customs facilities, the Cabinet Office said.
The U.K. faces a race against time to be ready for leaving the EU's single market and customs union at year-end, when commerce with its largest trading partner will become subject to new bureaucracy and red tape. The government has warned of port delays and 7,000-truck queues in its worst-case scenario, and is already making space for lorry parks to hold vehicles attempting to cross into the EU with incorrect paperwork.
U.K. Warns of 7,000-Truck Line in Worst-Case Brexit Scenario
“Time is short and it is vital that U.K. businesses prepare for new border arrangements,” said Tim Morris, chief executive officer of the U.K. Major Ports Group, which represents the country's largest port operators. “We will work urgently with the government on the all-important detail.”
©2020 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
