'Operating in a parallel universe' — The UK government is failing to prepare business for Brexit

An influential group of MPs has "grave concerns" about the business department's readiness for Brexit.
The Department for Business, Energy and Industrial Strategy has made "virtually no attempt to re-order its priorities" with less than a year to go until Britain leaves the European Union.
The Greg Clark-led department lacks the staff and IT systems to deliver heaps of Brexit-related work, according to a report published by the Public Accounts Committee.

LONDON — The UK government's business department is "operating in a parallel universe" where it does not have the priorities, staff, or IT systems to deliver Brexit, according to a damning report published by MPs on Wednesday.

The Public Accounts Committee (PAC) says the Department for Business, Energy and Industrial Strategy (BEIS) "has made virtually no attempt to re-order its priorities" in a report into how the department is coping with Brexit.

The cross-party group of MPs has "grave concerns" about the department's "complacency" in preparing for Britain's exit from the European Union, the report says. BEIS is responsible for around a fifth of the government's Brexit work.

The damning PAC report comes as UK negotiators sit down with their European negotiators in an attempt to reach an agreement on the post-Brexit relationship between Britain and the European Union.

The report urges Theresa May's government and particularly the Greg Clark-led business department to be much more urgent in how it is preparing for Britain's formal exit from the EU in March 2019.

"The Department for Business, Energy & Industrial Strategy appears to be operating in a parallel universe where urgency is an abstract concept with no bearing on the Brexit process," PAC Chair Meg Hillier MP said.

"The Department is responsible for around a fifth of the work streams the Government must complete as the UK leaves the EU. It is an extremely important, challenging and time-sensitive workload.

"Yet the Department told us it had not re-prioritised its overall programme of work, had not begun procurement for around a dozen essential digital systems and could not provide vital information about its workforce.

"We have grave concerns about this apparent complacency, compounded by the lack of transparency on the Department’s progress with what in some cases will be critical projects."

She added: "Sensitivities around negotiations with the EU must not be used as an excuse to keep taxpayers and Parliament in the dark. We urge the Government to provide us with a swift update on the issues raised in our report."

The report adds that the department will be required to get large volumes of Brexit-related legislation through Parliament, a feat which PAC believes is unlikely to be achieved based on current cross-department processes.

There is also concern about transparency and how much of the department's Brexit planning is being withheld from necessary scrutiny.

"Along with the whole of government, BEIS is focused on getting the best deal for the UK and ensuring a smooth transition for businesses, consumers and workers," they said.

"Since this report was written, BEIS has received £185m of extra funding to help deliver a successful Brexit by employing an increased number of staff on our Europe work, identifying the most pressing legislative challenges and remaining ahead of schedule by recruiting high-calibre staff to ensure we prepare thoroughly and effectively."

Caroline Lucas, Green Party co-leader and supporter of anti-Brexit group Best For Britain, accused the department of showing a "shocking disregard" for the potential consequences of leaving the EU.

"The lacklustre attitude of ministers is further evidence that we need a people's vote on any deal with the EU," she told BI. "We should give the people a chance to halt Brexit if when they see the detail of the deal, they decide the national interest is better served by remaining inside the EU."

'Operating in a parallel universe' — The UK government is failing to prepare business for Brexit

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