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IanMetro



Member Since: 11 Sep 2017
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Cost of Brexit?

This German parts company is moving back to Europe, and quite interestingly the article puts a cost to trading under WTO rules.

A 'no deal' Brexit could mean tariffs of 10 percent under World Trade Organisation rules that would add an average of 3,000 euros to the cost of British-built cars sold in the EU if fully passed on to buyers and add 1,700 euros to the cost of European cars imported into Britain, the UK's Society of Motor Manufacturers and Traders (SMMT) said in September.

https://www.bbc.co.uk/news/uk-scotland-tayside-central-46097215 FL2 XS SD4 Auto 2010 2012-2017 (21k - 91k miles) (MY2011)
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Post #360072 6th Nov 2018 7:23 pm
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Past master



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I'm not sure that is necessarily a problem. the pound is already worth around 10% less than before the vote, and would nose-dive in the event of a hard Brexit, so our exports will probably be cheaper even with the import duty. However that would make imported parts more expensive, which might cancel it out. Imported cars would I expect go up by more than 10%. More worrying is the time it would take to get parts through customs, which might make UK manufacture unviable.
I'm more concerned about the huge amounts of money the government has already spent on the negotiations (billions already). And it's ongoing, as we need lots more civil servants to carry out all the functions previously run through the EU. Only today the Met Police announced major spending on "just in case" precautions. Ex AA Series III LWB Safari - Gone
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Post #360082 6th Nov 2018 9:37 pm
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jules



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Heck of a lot of stuff made for export in the UK is made from materials imported so a crashing pound wont really help many firms.

Also Im sure the civil service is just loving it - more jobs for the boys - the more complex they can make it the better for them. Jules

Post #360099 7th Nov 2018 10:16 am
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jenks1950



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Post #360109 7th Nov 2018 2:43 pm
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chicken george



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Post #360124 7th Nov 2018 5:07 pm
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Past master



Member Since: 30 Jun 2010
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jules wrote:


Also Im sure the civil service is just loving it - more jobs for the boys - the more complex they can make it the better for them.

Civil servants that I know are hating it. Apart from the headache of getting good people (not easy on government salaries) there's the nightmare of redesigning many of their systems. Example - apparently all the arrangements for farming subsidies etc in N Ireland are fully integrated with the Republic and different from the rest of the UK. I asked a recently retired very senior friend if he had been asked to go back - yes, apparently. And was he going to? No. Ex AA Series III LWB Safari - Gone
300TDi Disco (bought new - terrible car) sent back after 18 months
Freelander 1 Estate - leased, given back at end of lease
200TDi Disco (bought from a mate with 100,000 on the clock) - Gone
Disco 2 TD5 - sold and exported to France
FR2 TD4 GS - Gone
FR2 SD4 HSE - Now changed for a DS
New model ex-demo Evoque S 180 in white
Unable to order a new DS, so gave up. Now have a Volvo S90 Recharge.

Post #360133 7th Nov 2018 7:45 pm
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jules



Member Since: 13 Dec 2007
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Past master wrote:
I'm not sure that is necessarily a problem. the pound is already worth around 10% less than before the vote, and would nose-dive in the event of a hard Brexit, so our exports will probably be cheaper even with the import duty. However that would make imported parts more expensive, which might cancel it out. Imported cars would I expect go up by more than 10%. More worrying is the time it would take to get parts through customs, which might make UK manufacture unviable.
I'm more concerned about the huge amounts of money the government has already spent on the negotiations (billions already). And it's ongoing, as we need lots more civil servants to carry out all the functions previously run through the EU. Only today the Met Police announced major spending on "just in case" precautions.


No doubt the NHS is also having to put in contingency plans - it all costs lots. I recall the amount of time and effort that went into preparing for the Millennium Bug, which luckily was a non-event. Jules

Post #360140 7th Nov 2018 9:15 pm
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