Brexit Chaos Continues To Drive The UK Motor Vehicle Industry Into The Ditch
Three and one-half years after the UK voted narrowly to exit the EU ("Brexit"), uncertainty on the timing, terms or even whether there will be an exit from the EU continues to damage UK's motor vehicle industry - whether in terms of production, employment or future investment.
UK Prime Minister Boris Johnson had repeatedly threatened to "crash" the UK out of the EU. His latest deadline was October 31, 2019. His threatened unilateral rupture was rejected this week by the UK Parliament, which reaffirmed that Brexit cannot occur until Parliament debates and, then, approves the terms of any UK withdrawal from the EU. Faced with this legislative roadblock, Johnson has requested another deadline extension from the EU to January 31, 2020, something that he had repeatedly said he would rather be "dead in a ditch" than do.
What's next. On October 24, 2019, Johnson announced that if Parliament wanted an in-depth debate on Brexit, it would have to wait until after a new parliamentary election that he has called for December 12, 2019. Assuming there is to be an election, it can occur only after a 2/3rd vote of Parliament authorizing such an early election to be called. Assuming Parliament votes to authorize an election and assuming an election is held, Parliament may then vote on the Johnson plan. That vote may result ultimately in its approval, its defeat or approval of an amended plan. There might even be a new deal. Many in Parliament insist on a second popular referendum.
What happens next is anybody's guess. What is clear is that the chaos, uncertainty and delay on resolution of the Brexit question is continuing to drive the UK motor vehicle industry, unlike the Prime Minister, into the ditch.
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