Let's get serious: we need to extend the transition period with the EU | Anand Menon and Angus Armstrong

Given the pandemic’s likely impact on world trade, we should amend the December deadline Covid-19 has changed how we interact as a society. But it is harder to know what the repercussions will be for international trade. The prospectus for Brexit was based, in part, on the trading opportunities waiting to be seized by “global Britain”. How does Covid-19 change the balance of risks and opportunities that face us? The impact of the pandemic on international trade is likely to outlive the health crisis. According to the World Trade Organization, world trade may fall by 32% this year. To put this into context, trade fell 40% in the first three years of the 1930s Great Depression. This time, the fall in trade is self-induced, to save lives. But the contagiousness of Covid-19 exposes vulnerabilities in the trading system. Continue reading...