Politicians Jacob Rees-Mogg and Boris Johnson have backed a report claiming Brexit will boost farming productivity and reduce food costs while under World Trade Organisation (WTO) terms.
The wide-ranging report from think-tank Economists for Free Trade (EFT) called for trading on WTO terms over Theresa May’s chequers deal, stating it was the better option and will add £80bn to the tax base.
The EFT stated: 'We have nothing to fear from trading on WTO terms. Let Brexit mean Brexit and let us flourish under the auspices of the WTO.'
Their report also directly addressed concerns over the impact of a no-deal Brexit on fresh produce and farming sectors, rebutting concerns that WTO terms would be a disaster for cross-border trade.
The report stated: “To boost productivity, we need to embrace the opportunities of innovation, offering farmers the greatest freedom to grow their businesses.
“We can have confidence that the food-producing areas of the UK could be similarly successful in competing with the world outside the constraints of the CAP. The benign British climate, the length of our days and our soil quality provide some of the most productive land in the world.”
EFT claimed that claims the UK will suffer prolonged delays and customs checks at borders were unfounded, as the WTO does not demand such checks.
“There is no requirement for border checks and, where physical inspections are necessary, the Agreements require that they be intelligence-led and cannot be more trade-restrictive than necessary. For example, the UK currently checks only 4 per cent of goods arriving in the UK from non-EU countries, and Ireland just 1 per cent.”
They cited technology as a way of leading faster checks, including automatic number plate recognition, enhanced driver’s licenses, barcode scanning and the use of smart phone apps eliminate the need for customs inspections.
EFT said British customers also prefer to buy British regardless of cost, but added zero tariffs on global imports will help reduce costs of fruit and veg, despite a House of Lords report suggesting they would rise.
Several economists have already criticised the report on social media, with senior research fellow at the Centre for European Reform, Sam Lowe bluntly saying: “Anyone involved in the writing or promoting of this report should be ashamed of themselves. They have actively contributed to making the Brexit debate less informed.”
