Port industry representatives have offered only a tepid response to the UK government’s £5m additional funding to prepare councils in areas with ports and airports for Britain’s withdrawal from the European Union.
PORT industry representatives have offered only a tepid response to the UK government’s £5m ($6m) additional funding to prepare the sector for Britain’s withdrawal from the European Union.
The financial backing forms part of a larger package worth £9m in total, unveiled today by local government secretary Robert Jenrick.
The move comes as talks between Britain and the EU on a deal for a smooth departure show little signs of progress, generating a growing expectation of no-deal Brexit on October 31.
Official documents leaked last weekend showed that the government’s base case scenario in that event is that 85% of trucks using Channel crossings may not be ready for French customs, which could lead to tailbacks of two to three days.
Tim Morris, chief executive of the UK Major Ports Group, said: “Extra funding for the often hard-pressed local authorities in port areas is welcome. But we should be realistic about the degree of significant change that’s possible between now and the end of October.
“Support for local authorities in these areas also needs to be ongoing, to ensure we’re strategically developing the strength of the UK’s main global gateways for trade for the long term.”
Of the overall pot of £9m, the first tranche of £5m will go to local councils which either have or are near to a major air, land or sea port.
A second tranche of £4m will be shared out between so-called local resilience forums, which are partnerships made up of representatives from local public services.
In addition, the devolved administrations in Scotland, Ireland and Wales will get a £1.7m top-up.
The actual payments will vary, but in no case will a council get more than a £105,000, perhaps a limited sum in relation to the task at hand.
Mark Simmonds, the British Ports Association head of policy and external affairs, said: “Government investment in Brexit resilience is always welcome, but not leaving without a deal is a zero-cost choice that would go much further in avoiding disruption at key trading gateways.
“Last month, we wrote to the chancellor urging him to spend newly-announced Brexit contingency funding on ensuring that government operations at the border are ready for any scenario, including any necessary physical and digital infrastructure, in addition to sufficient border staff.
“Whatever happens, we hope the government will not expect ports to pick up the costs for new government checkpoints at short notice.”
The funding can be used by local areas to pay for Brexit planning and preparedness activities, including additional staffing costs, the government has said. But it is expressly not to be used to pay for infrastructure.
There have been earlier grants to local areas, with the government assessing the overall value of the support at £77m.
Mr Jenrick said: “We have stepped up our preparedness significantly in recent weeks, including by asking every council to appoint a Brexit lead officer. Now we are releasing an additional £9m of additional funding today to help local areas get ready for Brexit, whatever the circumstances.”
Local authorities in Kent will receive over £2.6m, in recognition of the county being home to a number of the significant ports, including Dover, and a number of Eurotunnel freight shuttle and passenger facilities.
Other beneficiaries will include the local authorities covering Hull, Goole, Immingham, Portsmouth, Southampton, Liverpool, Felixstowe and Manchester, which has an inland port.
The leader of Portsmouth council said the Brexit funding pledge was “too little, too late”.
Gerald Vernon-Jackson said his council had spent £4m preparing the city’s international port for thousands of extra trucks.
He told the BBC that Portsmouth council had been advised that just an extra two-minute delay could mean 60 extra lorries queueing directly on to a motorway.
“The government has been happy to give money to ferry companies that have no ferries, that was £20m, but they have not helped local authorities get ready and we have had to plan to make sure if there is a no-deal Brexit that the whole of the M27 doesn’t grind to a halt because of queues of lorries trying to get into the port who can’t get in,” he said.
The government minister responsible for no-deal planning today said traffic would continue to flow through ports.
Speaking during a visit to Holyhead, the UK’s second busiest ro-ro ferry port, the minister in charge of no-deal Brexit planning, Michael Gove, said there could be some disruption.
“We’re doing everything that we can in order to make sure that traffic continues to flow,’’ he told the BBC. “I can’t guarantee that there will be no delays. Delays can occur at any point, but we’re seeking to ensure that we minimise the prospect of delays so that whatever bumps in the road we face we’re able to ride them out.”
Source: Lloyd’s
