Brexit impact to Powys highlighted

By Elgan Hearn, Local Democracy Reporter

The area’s vulnerability to Brexit is at both ends of the spectrum, according to information collected to help local authorities during the UK’s intended departure from the European Union (EU).

The UK Government says that agriculture, forestry, fishing and wholesale have been identified as the most “at risk” industries in the county, and they are the most important area of the Powys economy.

On the other hand, Powys ranks in the bottom 20% for community vulnerability, with low levels of deprivation and unemployment in the county. This means Powys has a “low” social vulnerability to Brexit.

The Welsh Local Government Association (WLGA) has released information on the risk of Brexit to all 22 county councils across Wales.

The reports states: “Food and farming in particular could see very significant long-term change resulting from the end of CAP subsidies and the possible opening of UK food markets to cheaper imports from the US, Brazil and Asia-Pacific.”

Authors, independent accountants Grant Thornton, believe: “The council should explore points of vulnerability within the Powys economy.”

If necessary PCC should “intervene” or offer “reassurance and support where necessary”.

In Powys, only 2.31% of the population were born in the EU, which compares with a Welsh average of 3%. And the report states that Powys has a small number of foreign owned businesses.

If the UK experiences a ‘soft Brexit’, Gross Value Added (GVA) would drop by 1%, while a ‘hard Brexit’ would see a 1.6% drop in GVA.

A spokesman for the WLGA said: “The dashboards (pictured below) cover the population and economic characteristics of each area and come with a ‘community vulnerability index’ based on factors such as: levels of deprivation; qualifications; and percentage of people employed in elementary occupations which are thought to be most at risk.

“These dashboards will hopefully assist local authorities when determining where to target their scarce resources, as they develop their contingency plans.”

A spokesman for Powys County Council said: “Since the referendum, Powys County Council, along with all other local authorities in Wales, has been planning for different Brexit scenarios including a no-deal situation.