IRELAND’S €1billion a week British trade links could be under threat if Britain leaves the EU.
That is according to John McGrane, Vice President of the British Irish Chamber of Commerce.
Mr McGrane made the comments after the European Union Affairs Committee in Ireland heard that Irish exports to Britain could drop by 3.6 per cent if the “Brexit” goes ahead.
“If Britain leaves the EU it will be costly for the Irish,” Mr McGrane said. “The trade between the two countries is worth €1 billion a week and there are 400,000 people employed by this trade so this would be in danger.”
A referendum on Britain’s EU membership has been proposed for 2017.
Britain and Ireland joined the EU on the same day, January 1, 1973, and no country has left the union in its history to date.
The union allows for trade agreements between member states – and as neighbouring countries, Britain and Ireland have traditionally enjoyed this relaxed way of importing and exporting goods and services.
“The freedom of movement between the two countries would be restricted,” said Mr McGrane. “Barriers would be put in place that would make it more difficult to trade.”
Though the move would affect both countries, it would be particularly detrimental to Ireland.
Britain is Ireland’s second biggest destination for exports – after the US.
Aside from this, about 98 per cent of Ireland’s energy comes from Britain, meaning that if Britain decides to leave the EU, Ireland’s energy prices could shoot up.
Mr McGrane also addressed the contentious issue of the North of Ireland.
“Ireland is the only country with a border with Britain,” he said. “If Britain left the EU, there would be new border regulations between the North and South of Ireland. We wouldn't want to find ourselves locked out by these rules.”
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