CBI boss dismisses 'false choice' between EU and global trade

Britain’s relationship with Europe supports trade with the rest of the world and those who say the UK must decide between the two options present a false choice, the head of the CBI will tell business leaders.

Carolyn Fairburn, director general of Britain’s biggest business group, will tell a Chinese New Year dinner that Britain is becoming more outward-looking as it prepares to leave the EU.

But she will argue more than £9bn of trade agreements signed between the UK and China on Prime Minister Theresa May’s recent visit show that Britain’s place in Europe enhances its ability to strike commercial deals.

“Many people have claimed that we are at a junction – where we can either stay close to Europe or become a more global Britain. This is a false choice,” Fairburn will say.

“The high value of trade deals signed by British companies on the Prime Minister’s mission to China earlier this month provides the evidence. In fact, being close to Europe supports a more global Britain.

“None of these deals require free trade agreements. We are able to get on with them now. At the same time, we can and must aim for the right deal on Brexit. It’s not a case of one or the other.”

Fairburn’s comments appeared aimed at Brexit-supporting politicians such as trade secretary Liam Fox who have said Britain can “go it alone” to strike trade deals globally by splitting completely from the EU. Accompanying May in China, Fox said the UK would have to leave the EU customs union to take opportunities in global markets.

The CBI boss, whose organisation supported remaining in the EU, said trade between China and Britain was at a record level with China accounting for 3.1% of UK exports and China the fourth biggest importer into the UK.

“Just imagine what we could do if the (export) dial reached 6%. We have an opportunity to do this right now. To break down barriers, sell more goods and services and build more bridges between our countries,” Fairburn said.