‘Brexit Britain is servicing the World’ - latest official figures are revealed

Foreign Secretary Dominic Raab touches down in Australia, boosting trade talks

Australia buys 46% more of UK services exports than the average EU country

Exclusive analysis and summary from Brexit Facts4EU.Org

Foreign Secretary Dominic Raab will arrive in Canberra today (6 February) as part of a four-country visit to the Asia-Pacific region. Trade between the UK and Australia was worth £18.3billion in 2019. The Foreign Secretary will discuss “trade and investment opportunities and the potential for an early free trade deal”.

UK exports of services go global, while most EU countries buy little from us

Brexit Facts4EU.Org Summary

The UK has an advanced economy, 80% of which is based on services.

In the last 12 month period, the UK exported £317 billion pounds’ worth of services globally.

Yet only 39.8% of this massive UK export effort was bought by the EU27 countries.

47 years of EU membership did little for UK goods OR services

Most people are aware that the majority of the UK’s exports of goods are sold outside the EU, despite what Remainers wanted everyone to believe for the last four years. Many people are now aware that the EU countries are doing very well out of selling their goods to the UK – and that the EU has been doing so for decades.

The EU’s goods surplus is currently running at almost £100 billion per year. This is the difference between what the UK sells to the EU and what they sell us – broadly what you might call the EU27’s ‘annual profit’ from its goods trade with the UK.

What is not generally known is that the UK’s services companies – representing 80% of the UK economy – are even less reliant on EU sales than their UK counterparts who sell goods.

Busting the myth that the UK's services sales to the EU are balancing out the EU's goods sales to the UK

In the last four years, whenever the EU’s massive surplus in its goods trade with the UK was brought up, a common argument from Remainers was “Ah, but the EU countries buy far more of our services.” Sadly this claim was almost never rebutted by the major news or Leave organisations.

The UK’s surplus in exports of services does not come remotely close to outweighing the EU’s massive surplus in its exports of goods to the UK.

Today we bring readers our latest update on an area which will be important when negotiations finally start next month. (Assuming that the EU have their agreed positions in place by then, which is still not the case despite having had over three years to prepare.)

Brexit Facts4EU.Org Summary

80% of the UK economy is services – How much do EU countries buy?

Latest official UK figures for exports of services, the year to end-Sept 2019

The EU27 bought only 39.8% of the UK’s exports of services
The Rest of the World bought 60.2%
The fastest-growing customer is the USA

Top customer: USA bought £76.3bn - 24.1% of total services exports
Highest-placed EU country: Germany, which bought just 6.7%
Average UK services exports to EU27 countries: £4.7bn
On the other side of the World, Australia bought £6.8bn - 46% more than the EU average

[Source data : Office for National Statistics. Latest data, to end Sept 2019.]

The EU’s attitude to the largest part of the UK economy – the services sector

Once again we must remind Remainer politicians – and even the big name Leave organisations who failed to rebut them - that the Single Market never worked for services, by the admission of the EU Commission itself.

“The Single Market – this jewel that is all too often taken for granted –
does not function properly for services”

- Elżbieta Bieńkowska, EU Commissioner for the Single Market, 2017

Observations

For the past four years Remainers have been telling us that the biggest market in the world is on our doorstep. Putting aside the fact that this was always simply untrue (the USA is the biggest), why haven’t “our friends and neighbours” in the EU been topping the tables when we look at our top customers?

This is as true in services as it is in manufacturing.

The average EU country bought just £4.7bn of services from the UK in the 12 months to 30 Sept 2019. The USA bought over 16 times as much. Japan bought 66% more than the EU27 average. Australia – on the other side of the planet – bought 46% more.

These are basic economic facts. They cannot be wished away by Remainers/Rejoiners, nor by Michel Barnier and his cohorts of extremist, ideological technocrats in the EU Commission.

A big spin-off Brexit benefit

We have long argued that there will be a huge spin-off benefit from Brexit. This benefit will come about because of a renewed confidence in the country which will be reflected in the minds of the UK’s business leaders and entrepreneurs.

We forecast that this will lead to a return to an internationally-minded business attitude, resulting in more and more UK businesses looking to expand globally.

As ever, members of the Brexit Facts4EU.Org team stand ready to assist the Government in any endeavours to negotiate with the EU and to grow the UK’s business internationally.

Finally, if you like our research above, could you help to fund it? For the last four years we have had to rely on the generosity of our readership – and that has never come close to covering costs. If we are to keep going this year we really need your help, because we’ve used up all our own resources. Quick and secure donation methods are below. Thank you.

[ Sources: Office for National Statistics - latest quarterly figures | EU Commission ] Politicians and journalists can contact us for details, as ever.

Brexit Facts4EU.Org, 06 Feb 2020

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Reader Comments 9

1. Concerned , Thursday, February 06, 2020, 07:12:

Whilst the Conservatives concentrate on the nation and mending our relations with the Commonwealth, they would be wise to add to the terrorist list this lot: ER Breitbart today has the video of co-founder talking about taking down civilization, and fossil fuel producers. Why are these people free to roam our streets spreading their poison?
Conservatives sort this out, Boris speaking about the 'Climate Emergency' puts him in the same box as Extinction Rebellion! Looking at the people in the video on Breitbart, I can only think of nutters and fruitcakes.

2. Sydney Ashurst , Thursday, February 06, 2020, 08:32:

Looks as though negotiations with the EU are on the rocks before they even start. By leaving the EU we are described as now a third Country. We are leaving the single Market and its rules, so why should we be subject to them (level playing field) and the jurisdiction of the ECJ. Canada, Japan and South Korea.
Andrew Neil makes these points with French MEP Natalie Loiseau, which she cannot answer. Its on I-player and in the Express.

3. Diane , Thursday, February 06, 2020, 10:40:

(1) E.R. Was interested to learn that Nick Ferrari LBC is championing another campaign under the banner 'Enough is Enough' Not seeking to close down E.R.'s antics or rights to protest, due in London 23 May I understand but to support possible legislation which would limit areas of protest & the like in order to allow the rest of us our own rights to go about our own daily business, jobs, appointments etc., without hindrance. Regarding trade & EU 'demands' ! : a sensible, basic if necessary, 'deal' is in everyone's interests surely; I would suggest too that most want that our State Aid and Procurement are under our own control. One of the latest suggested 'requirements' is that the UK reports to the EU re our climate / green actions let's say, i.e. under their control presumably. I realise we are now a third country but it's almost as if we are suddenly viewed / being treated as third world.

4. Concerned , Thursday, February 06, 2020, 10:49:

3) I think 'Enough is enough' is okay as far as it goes. However when ER close places down for days on end, it becomes a joke which cost 42 million quid last time just for policing! That is ridiculous. It costs a million a year to track a released terrorist, it surely costs a lot less per year to keep them locked up and throw the key away! Terrorists are of no use to society.

5. Diane , Thursday, February 06, 2020, 13:57:

(4) Indeed & the more you listen to ongoing reports on ER there are certainly sinister undertones to it all too. I gather there are to be this time around more 'creative ideas' forthcoming from these, what I can only term, narcissists. I support many of the initiatives to make things better for us here and globally. I & many millions more have already got the message thank you. Further, the many millions spent last year by the Met far outstrips the annual budget for the Met's Violent Crime Task Force ( which is around £15m ) That can't be right. Somebody needs to act.
On Trade: There is a really good piece today on Conservative Woman by Ruth Lea about trade / FTAs etc., which echoes & expands on what todays excellent Facts4eu report shows us.

6. kzb , Thursday, February 06, 2020, 14:26:

Germany would be second on that plot with £21 billion -more than Japan and Australia added together, but you don't plot it. Nearly double Switzerland, which you do plot.
To plot the "EU average" country is again transparently misleading, because the EU contains a lot of small poor countries.
Do you not realise that rejoiners will see straight through these things?

7. Adam Hiley , Friday, February 07, 2020, 19:26:

already the EU is demanding Money with Menaces the good thing is they can no longer force Britain to do so, the EU Bureaucrats are not Our Friends the People of Europe are more so

8. Mike Clitherow , Monday, February 10, 2020, 11:50:

Mike Clitheow Monday 10th
Congrats on the work you do however to use an EU average is very misleading. Unfortunately the EU bloc must be seen as the do in Brussels as one country (that's we we are getting out) presenting figures in this way is an own goal and Remainers can shoot the argument down and your very important point will be lost.

9. Mandy, Sheffield , Tuesday, February 11, 2020, 09:01:

Kzb and Mike, yes, but the EU comes as a package and that's part of the point. This problem was exaggerated even more when a 'lot of small poor countries' joined the EU. This process is far from over so the economic power of the EU will only get weaker, relative to total population.
I thought it was interesting to see the average EU country on this chart. They've done many articles on how the EU is made up of so many small countries, this highlights it.
The EU itself together with Remainers/Rejoiners are constantly going on about the size of the EU market as a whole and about the holy Single Market and Customs Union.
So who wants to please a Rejoiner any more? They pick a quarrel even on the clearest simplest truth if it doesn't fit their agenda. For fanatical Remainers it was never about facts. They made it clear since before the referendum that they are not interested in any meaningful dialogue.

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