LONDON: Britain is becoming a more closed economy due to Brexit, with damaging long-term implications for productivity and wages which will leave the average worker £470 ($577) a year poorer by the end of the decade, a study forecast on Wednesday.
The report was written by London School of Economics associate professor Swati Dhingra — who will join the Bank of England’s Monetary Policy Committee in August — and researchers from the Resolution Foundation think tank.
The COVID-19 pandemic, which struck just after Britain left the European Union in January 2020, has complicated the task of analizing the impact of Brexit.
New post-Brexit trade rules which took effect in January 2021 unexpectedly did not lead to a persistent fall in British trade with the EU, relative to that with the rest of the world, the researchers said.
“Instead, Brexit has had a more diffuse impact by reducing the UK’s competitiveness and openness to trade with a wider range of countries. This will ultimately reduce productivity, and workers’ real wages too,” Resolution Foundation economist Sophie Hale said.
Britain does not face tariffs on goods exports to the EU, but there are greater regulatory barriers.
The net effect of these would lower productivity across the economy by 1.3 percent by 2030 compared with an unchanged trade relationship — translating to a 1.8 percent real-terms fall in annual pay of £470 per worker.
These figures do not include any assessment of the impact of changed migration rules.
The impact for some sectors will be much starker. Britain’s small but high profile fishing industry — many of whose members advocated strongly for Brexit — was likely to shrink by 30 percent due to difficulties exporting its fresh catch to EU customers, the report said.
By contrast, although highly regulated professional services such as finance, insurance and law will find it harder to serve EU clients, their share of the British economy was only likely to drop by 0.3 percentage points to 20.2 percent.
Brexit will cost UK workers £470 a year, study predicts
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Brexit will cost UK workers £470 a year, study predicts
Mawani, Qatar Ports ink cooperation deal to boost regional maritime trade
RIYADH: The Saudi Ports Authority, or Mawani, and Qatar Ports Management Co. signed a memorandum of understanding aimed at boosting maritime and logistics cooperation, contributing to the development of the ports sector, raising operational efficiency, and supporting regional and international trade flows.
The MoU was signed by Mawani President Suliman Al-Mazroua and Qatar Ports Management Co. CEO Abdullah Mohammed Al-Khanji, in the presence of Qatari Ambassador to Saudi Arabia Bandar bin Mohammed Al-Attiyah.
The step reflects both sides’ commitment to building effective partnerships, exchanging expertise, establishing an organized framework for cooperation management, and developing joint investment opportunities in line with Saudi Vision 2030 and Qatar National Vision 2030.
The MoU outlines eight key areas of cooperation, including the exchange of best practices in port management and operations, and studying opportunities for direct maritime and land connectivity between the two countries’ ports to enhance trade efficiency.
It also includes collaboration in logistics services, exploring the establishment of joint maritime corridors serving bilateral and regional trade, and assessing the feasibility of creating shared regional distribution centers.
Both parties agreed to enhance cooperation in digital transformation and artificial intelligence, focusing on smart systems, data governance, and a unified maritime window to improve operational efficiency and remain at the forefront of technological progress in the maritime sector.
The MoU emphasizes maritime safety and environmental protection, including the exchange of expertise on marine pollution control and emergency response, the development of joint maritime emergency plans, and the establishment of a bilateral emergency communication line.
It also promotes collaboration to ensure compliance with international conventions, conduct joint exercises, and implement risk-monitoring systems.
Cooperation further extends to human capital development through joint training programs and on-the-ground expertise exchanges, as well as academic and research partnerships in maritime transport and logistics.
Regarding joint investment, both parties will explore local and international opportunities in ports and related services, coordinating with the private sector to support these initiatives.
The MoU also includes cooperation in cruise tourism through enhanced maritime connectivity and joint promotion of Gulf cruise routes, as well as coordination of positions in international maritime organizations and support for joint initiatives, notably “Green Ports” and “Safe Sea Corridors.”
This memorandum reflects the commitment of Mawani and Qatar Ports Management Co. to advancing the ports sector and boosting its role as a key driver of trade and economic growth, contributing to Gulf integration, and enhancing regional competitiveness in maritime services.
