Saudi Press

Saudi Arabia and the world
Saturday, Feb 21, 2026

Government faces industry backlash on Brexit plans

Five industry bodies are concerned a new Brexit deal won't give them a level playing field in the EU.

The government is facing an unprecedented backlash from five key industries over Boris Johnson's plans for post-Brexit trading arrangements.

The aerospace, automotive, chemicals, food and drink and pharmaceutical sectors warn they could pose "serious risk to manufacturing competitiveness".

Collectively, the sectors employ 1.1 million people, contributing £98bn to the UK economy each year.

The group has sent a letter to the government highlighting its concerns.

The BBC has seen extracts of the letter, which was sent this week to Brexit Secretary Steve Barclay and the Cabinet Office minister, Michael Gove.

While such bodies have in the past made clear their concern at the prospect of a no-deal Brexit, this is the first time they have directly expressed to government their joint concern about a possible Brexit deal, after mostly supporting Theresa May's negotiated proposal.

The letter outlines their growing concern that Boris Johnson's Brexit negotiators have dropped existing commitments to maintain regulatory alignment in relevant sectors. The manufacturers' key concern is that they may no longer participate in specific EU regulatory institutions after any Brexit deal.

The group is asking for a "reassurance" that industry interests are still being prioritised by EU negotiators, and the letter warns of the "damage which would be done by the current approach on regulatory divergence".

It says: "Pan-European regulatory alignment has been a success in our industries, supporting continued creation and retention of highly skilled manufacturing jobs in the UK.

"It is important this regulatory alignment should continue after Brexit as a critical element of the UK's future relationship with the EU".

A government spokesperson said the UK was "seeking a best in class" free trade agreement drawing on existing EU deals.

"We have been clear that we are committed to maintaining high standards after we leave the EU," the spokesperson said.


Divergence


However the public and private noises emerging from London and Brussels is that the government has markedly changed its plan for a future relationship. They say the new proposal has low alignment with EU regulations, and does not have level playing field conditions attached on the environmental, social and labour standards, as proposed in Theresa May's deal.

After failing to get reassurances in recent weeks, particularly on the membership of key EU agencies, various sectors joined forces to warn the government directly.

The letter says that the serious risk to manufacturing "will result in huge new costs and disruption to UK firms".

"It would be disruptive to our complex international supply chains and has the potential to risk consumer and food safety, and confidence, access to overseas markets for UK exporters and vital future investment in innovation in this country."

This letter sees the Society of Motor Manufacturers and Traders, the Chemical Industries Association, the Food and Drink Federation, and the Association of the British Pharmaceutical Industry join an existing call from the aerospace industry, reported by the BBC earlier on Friday.

The aerospace industry body the ADS wrote to the government asking for "reassurance" that there would be "continued membership of the European Aviation Safety Agency (EASA) and alignment with EU chemicals regulations" which "are vital for our sector".

Repeated attempts to get clarity on this issue have not reassured the aerospace and other industries on this topic.

Other industries have asked for similar reassurances, only to be told in recent weeks that the government is seeking a "best in class" free trade agreement, where the UK would set its own regulatory standards.


Trade deals


The government has acknowledged that it wants to take the "level playing field" arrangements out of the political declaration that promised alignment on environmental, social, labour and some tax measures.

These were also seen as crucial to ongoing industrial regulatory co-operation, and preventing the introduction of many types of checks on trade.

But the government fears such measures agreed by Theresa May will restrict the ability of a post-Brexit government to strike meaningful trade deals with other countries such as the US.

A source close to the talks acknowledged to the BBC that among changes being negotiated in the political declaration, these references to EU agencies could get scrapped.

Even as most of the negotiating attention remains on Northern Ireland, the change in approach from the Johnson government suggest a significantly different, more diverged end-point for Brexit for England, Scotland and Wales, than envisaged under Theresa May.

A number of Labour MPs who say they want to support a deal have already expressed a desire for a deal with less scope for regulatory divergence.

Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Concerns Mount Over Potential Saudi Uranium Enrichment in Prospective US Nuclear Accord
Trump Directs Government to Release UFO and Alien Information
Trump Signs Global 10% Tariffs on Imports
Investability Emerges as the Defining Test of Saudi Arabia’s Next Market Phase
Saudi Arabia’s Packaging Market Accelerates as Sustainability and E-Commerce Drive Transformation
Saudi Arabia’s Strategic Minerals Drive Offers Lessons for Europe’s Supply Chain Ambitions
Saudi Arabia Unveils $32 Billion Push Into Theme Parks and Global Entertainment
Saudi Crude Exports to India Climb Sharply, Closing Gap With Russia
Saudi Arabia’s Halal Cosmetics Market Expands as Faith and Ethical Beauty Drive Growth
United Kingdom Denies U.S. Access to Military Base for Potential Iran Strike
ImmunityBio Secures Saudi Partnerships to Launch Flagship Cancer Therapy
Türkiye and Saudi Arabia Launch Expanded Renewable Energy Partnership
US Supreme Court Voids Trump’s Emergency Tariff Plan, Reshaping Trade Power and Fiscal Risk
UK Intensifies Efforts to Secure Saudi Investment in Next-Generation Fighter Jet Programme
Saudi Arabia Tops Middle East Green Building Rankings with Record Growth in 2025
Qatar and Saudi Arabia Each Commit One Billion Dollars to President Trump’s ‘Board of Peace’ Initiative
Ramadan 2026 Prayer Times Set as Fasting Begins in Saudi Arabia and Egypt Announces Dates
Saudi Arabia Launches Ramadan 2026 Hotel Campaign to Boost Religious and Leisure Tourism
Saudi Arabia Seeks Reroute of Greece-Bound Fibre-Optic Cable Through Syria Instead of Israel
Saudi-Backed Scopely Acquires Majority Stake in Turkey’s Loom Games to Expand Mobile Portfolio
Zodiac Milpro Launches Zid Marine Joint Venture in Saudi Arabia to Expand Regional Shipbuilding
Saudi Arabia Reaffirms Reform Path Amid Claims of Ideological Reversal
Calls Grow for Saudi Arabia and UAE to Settle Differences Through Direct Dialogue
Jensen Huang just told the story of how Elon Musk became NVIDIA’s very first customer for their powerful AI supercomputer
British couple sentenced to 10 years in Iran for espionage
Former British Prince Andrew Arrested on Suspicion of Misconduct in Public Office
Unitree Robotics founder Wang Xingxing showcases future robot deployment during Spring Festival Gala.
Prince William Holds Talks with Crown Prince Mohammed bin Salman During Saudi Visit
Saudi Arabia’s Humain Commits $3 Billion Investment to Elon Musk’s xAI
SCOPA Executive Unveils Ambitious Relaunch Strategy for Saudi Production Company
Saudi Arabia Sees Rise in Business Visa Rejections Amid Tighter Compliance Checks
Saudi PIF Transfers Take-Two Stake to Savvy Games Group in Strategic Gaming Push
Jimmy Carr Says He ‘Loved’ Saudi Arabia Show Amid Debate Over Performing in the Kingdom
Sotheby’s ‘Origins II’ Auction Signals Saudi Collectors’ Shift Toward Cultural Legacy
EY and Microsoft Deepen Saudi Arabia Partnership with Launch of EY Studio+
Google Pay Launches Support for Mastercard Cards in Saudi Arabia
Saudi Arabia Bolsters Maritime Surveillance Fleet with Four C-27J Patrol Aircraft
Kazakhstan and Saudi Arabia Deepen Strategic Partnership with New Investment and Energy Agreements
Saudi Crown Prince Receives Written Message from Kazakhstan’s President Amid Expanding Strategic Ties
ImmunityBio Shares Rise After Saudi Arabia BCG Manufacturing Update Spurs Investor Optimism
Global Music Star Tyla Confirmed as Headliner at 2026 Saudi Arabian Grand Prix Entertainment Lineup
Somalia and Saudi Arabia Forge New Military Partnership Amid Regional Power Shifts
Saudi Arabia and Several Nations Criticize Israeli West Bank Land Measures as Diplomatic Tensions Rise
Saudi Public Investment Fund Transfers Stake in Take-Two Interactive as Portfolio Strategy Evolves
Saudi Arabia’s Flagship Defense Expo Highlights Industrial Ambitions and Expanding Arms Portfolio
Strategic Divergence Deepens as Saudi Arabia and UAE Recalibrate Gulf Partnership
Saudi Arabia Confirms Start of Ramadan as Crescent Moon Sighted, While Other Nations Begin a Day Later
Rubio Calls for Sweeping U.N. Reform, Saying It Has Failed to End Wars in Gaza and Ukraine
10,000 Condoms Distributed at Winter Olympics 2026 Athlete Village Depleted Within 72 Hours
Prince William Meets Saudi Crown Prince as Epstein-Andrew Fallout Casts Shadow
×