Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, what assessment the Government has been made of the potential effect on the UK's food and drink industry of the UK and the EU failing to agree a deal on the future relationship before the end of the transition period.

We believe it is still possible to reach an agreement with the EU and that this can be done quickly. However, if this cannot be achieved, we are prepared for the effects of a non-negotiated outcome. The food supply chain has demonstrated its resilience, responding to unprecedented challenges over the last year. The Government is confident that it will continue to be resilient after 31 December.

The economic impacts of no Free Trade Agreement with the EU have been much debated in the last four years and there are many economic studies on this issue. The Prime Minister has been clear that we will embrace our new future and prosper as an independent free trading nation, controlling our own borders, and setting our own laws.

From January, we will be able to design our own rules in ways that best support UK businesses to recover from the pandemic. We can benefit from new free trade deals, and open up new markets with other like-minded trading partners. We’ll also be able to target our support in the UK to where it is needed most, to level up our economy.

Defra continues to engage productively with food and drink businesses from across the industry as they prepare for the end of the transition period. As part of this, Defra regularly holds numerous forums and bilateral meetings with trade associations, manufacturers, processors, wholesalers and retailers and SMEs.

We continue to work with the industry to understand their readiness and to address concerns. In this, we have provided tailored guidance and support outlining what action businesses should consider taking regardless of the outcome of negotiations. Guidance continues to be updated and shared through the GOV.UK website and digital resources. Defra also works across Government to support businesses through initiatives such as the Trader Support Service, industry days and webinars.