Pro-Brexit UK regions more dependent on EU for exports, report finds

theguardian.com:

Brexit-supporting regions in the UK are becoming increasingly dependent on the EU for their manufacturing exports, research by the trade body Make UK has found.

The report, based on quarterly manufacturing outlook data measuring performance in output, orders, employment and investment intentions, also found the EU remains the “overwhelmingly dominant” destination for UK manufacturing exports.

Analysis of 2021 data by the business advisory firm BDO shows that 49% of British exports go to the 27-nation bloc.

Northern Ireland, which voted against Brexit but has access to the single market courtesy of the Northern Ireland protocol, is most heavily reliant on the EU, with 63% of all exports going across the border to the Republic of Ireland and the continent.

Some of the UK regions that voted for Brexit registered the biggest increases in the share of their manufacturing exports that went to the EU.

For Wales, the figure increased from 58% to 60% between 2020 and 2021, north-east England reported a rise from 56% to 58%, the east Midlands was up from 48% to 51% and the east of England rose from 46% to 48%.

Wales is second most reliant on the EU for exports of goods overall, followed by north-east England and Yorkshire and Humber.

“Despite the talk of global Britain, history shows that geography is always the main determinant of trade,” said Verity Davidge, the director of policy at Make UK.

“The EU was always going to remain the main destination for manufacturers who appear to [be] becoming more, not less, dependent on it as a market,” she added.

The trade body has called on the government to recognise the importance of European markets and to re-establish the Brexit support fund for small and medium-sized businesses, alongside other