Why Brexit has never gone away for business

A political squabble threatens to turn into an economic debacle as tensions rise between the UK and EU, writes Phil Thornton

Brexit is far from done (iStock/Getty)

As much as the government and arch-Leavers wish it would, Brexit refuses to go away. With inflation soaring, interest rates set to rise as soon as next month, and supply and labour shortages gripping the country, the last thing the economy needs is more friction with its largest trading partner, the European Union.

But recent weeks have seen tensions rising between the UK and the EU over the Northern Ireland protocol, with discussions between Lord David Frost and Commissioner Maros Sefcovic reportedly making limited progress.

The NI Protocol, which was signed by Boris Johnson, is designed to avoid a hard border between North and South Ireland. But because the EU requires checks on good entering from outside the zone, it was agreed checks would instead take place on goods entering Northern Ireland from the rest of the UK, effectively creating a border in the Irish Sea.