Flying, Democracy and Safety 5.

jet cloud landing aircraft
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4-years ago on Magna Carta Day in the small Surrey town of Egham, I was campaigning to stay in the European Union (EU).  On 11 June 2016, when referring to the UK referendum, I said: “I’d like to estimate that the overall experience indicated a better than 50/50 outcome is on the cards.” Meaning that remaining in the EU was a likely outcome of the UK referendum but only by a small margin of votes. As we know it went the other way by a small margin of votes.

In the whole of history, 4-years isn’t much, a blink of an eye, but in that time the UK’s political, social and economic landscape has changed by quite a lot.  I’d argue that it has changed for the worse and that huge opportunities have been thrown away because of dogma, groupthink and a blindness to the reality.  If we’ve learnt anything in those years, it’s that when a UK politician says something is certain it’s likely to be far from certain.

Despite all the rocky road and ups and downs of 4-years, no one was adequately prepared for a transformation that nature threw at us. The COVID-19 pandemic will go down in history as one of the biggest challenges the world has faced in modern times.

UK economic growth fell by over 20% in April, the largest fall since monthly records began. Aviation has been hit hard. It’s said that at least 70,000 jobs are on the line in the UK aviation industry[1]. There are pleas for the UK Government to act to protect jobs and support the long-term viability of the sector. Many other Countries have stepped in to support their industries.

Although a slight recovery of air traffic is underway[2], we are heading into the most painful time. As the UK Government’s Coronavirus Job Retention Scheme[3], or furlough scheme closes to new entrants, so industry layoffs are likely to increase. Businesses are reorganising to stay alive during an extended period of low demand for air travel. It’s going to be grim for at least the next year.

I’m optimistic for the long-term future of air travel. I always find it surprising that only about 5% of the world’s population have ever stepped foot on an aircraft, even now. I think, wanderlust is set in our core. Just as the low-cost operators made it possible for today’s young people to explore more than previous generations, so I don’t think they will wish to give that up. Aviation shrunk the globe and it will continue to do so.

But what of UK politics? The transition agreed as part of the UK’s withdrawal from the EU, ends on 31 December this year. The agenda for the second meeting of the EU-UK Joint Committee on the implementation of the Withdrawal Agreement (WA) has been published[4]. This key meeting takes place on Friday 12 June.

The UK is saying that it will not ask for an extension to the current transition period. This flies in the face of what business and industry wants. This seems to be illogical given the combination of the circumstances of COVID-19 and an abrupt termination of the WA.

I believe most of the arguments against extending the transition period are either tribal Party political or bogus or both. The reality is that more time is needed. The reality is that ratification of any new deal will need time. The reality is that brinkmanship doesn’t deliver good results. The OECD[5] is saying of the UK: “The failure to conclude a trade deal with the European Union by the end of 2020 or put in place alternative arrangements would have a strongly negative effect on trade and jobs.”

That is not a state of affairs to be welcomed.

[1] https://www.theguardian.com/business/2020/jun/10/airline-job-losses-could-be-on-scale-of-1980s-mining-industry-report-warns

[2] https://twitter.com/eurocontrolDG/status/1271135184562380800?s=20

[3] https://www.gov.uk/guidance/claim-for-wage-costs-through-the-coronavirus-job-retention-scheme

[4] https://ec.europa.eu/info/sites/info/files/brexit_files/info_site/provisional-agenda-for-the-second-meeting-of-the-joint-committee-12-06-2020.pdf

[5] https://www.oecd.org/unitedkingdom/

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