AQO 3006/17-22

Mr Christopher Stalford
Democratic Unionist Party
South Belfast

Tabled Date: 13/01/2022
Answered On Date: 25/01/2022
Priority Written: No

Question:
To ask the Minister for the Economy for his assessment of the overall cost to local businesses arising from the provisions of the Protocol on Ireland/Northern Ireland.

Answer:

It is difficult to provide a complete analysis given that the Protocol has not been fully implemented – therefore when grace periods and mitigations come to an end things are likely to get much worse.

It is clear that during 2021 many local businesses, and indeed consumers, have experienced a range of issues as a result of new requirements for sourcing goods in GB. I have spoken personally to many of those businesses, and I have received correspondence from Members across the chamber who alert me to problems businesses in their own constituencies are facing – including members who publically called for the full implementation of the protocol yet privately acknowledge the damage it is doing to our economy.

In respect of costs, Dr Esmond Birnie – an economist appointed to the NI Fiscal Council by Finance Minister Conor Murphy after agreement of the Executive – reports that frictions on our trade with GB could cost the NI economy in the region of £900m. Other published studies consistently point to the profound economic consequences of disrupting trade with GB.

It is clear that tinkering around the edges will not cut it. We need action from the Government now and permanent and complete solutions that remove these frictions in GB – NI trade.