MNI BRIEF: CBI Urges UK Government To Continue EU NIP Talks

The UK government will Monday unveil legislation enabling it to over-rule the Northern Ireland Protocol, part of the Brexit withdrawal agreement, but ministers are being urged by the leading British business lobby not to act unilaterally and to keep negotiating with the European Union to find a workable solution.

Tony Danker, director general of the CBI, said all businesses in Northern Ireland and, when you spoke privately most politicians in Belfast and London, believed there was a wide enough landing area for an agreement to be found. However, Danker questioned whether there was currently the political will in Westminster to pursue a compromise.

This, Danker thought was a concern and risked further tension over trade with Brussels at a time when UK growth was already under pressure. On Monday, the CBI downgraded its outlook for UK growth, now signalling GDP rising only 3.7% in 2022 and just 1.0% in 2023, pointing to households falling into recession this year as consumers retrench as inflation rises.