Search

Newham’s economy set to suffer according to report’s bleak outer London Brexit forecast

PUBLISHED: 14:07 11 January 2018

Sadiq Khan commissioned the reports after Brexit secretary David Davis said the government had not produced any impact statements of their own. Picture: PA/John Stillwell

Sadiq Khan commissioned the reports after Brexit secretary David Davis said the government had not produced any impact statements of their own. Picture: PA/John Stillwell

PA Archive/PA Images

Outer London boroughs, which includes Newham, will suffer the greatest productivity loss in the capital after Brexit, according to a report commissioned by the Greater London Authority.

Outer London’s economy is centred on “population driven sectors” including construction, education and health, it says.

“Brexit means some EU nationals who are currently holding such jobs will be replaced by UK and non-EU nationals who may not be as skilled and experienced,” says the report.

This work cannot be relocated and is necessary to meet the needs of the population, it says.

Mayor of London Sadiq Khan said: “This independent analysis reveals the potential economic risks – and human costs – at stake in the negotiations.

“It should help guide the guide the government to the best outcome for London and the UK.

“The analysis concludes that the harder the Brexit we end up with, the bigger the potential impact on jobs, growth and living standards.”

Productivity will fall between 0.3 and 0.7 per cent depending on the UK’s settlement with the EU, according to Cambridge Econometrics’ analysis.

This is compared to a 0.1 to 0.2 pc fall in productivity forecast for inner London.

London’s overall economic output could be 2 pc lower by 2030 than predicted under the status quo.

However London is expected to “suffer significantly less” than other places in the UK, where economic output could fall on average between 3 and 3.3 pc.

In outer London there will be a 1.2 pc to 3.7 pc population decrease, a 0.5 to 1.3 pc employment decrease and a 0.8 to 2 pc decrease in value of goods and services.

The research was commissioned by Mr Khan after the government’s Brexit secretary David Davis was forced to admit the government had not produced detailed economic impact assessments as previously claimed.

Peter John, London Councils’ executive member for Brexit, said: “These figures reveal the stark consequences of a hard Brexit scenario and its potential impact on ordinary Londoners.”

Newham, like all but five London boroughs, voted remain. 52.8 pc of voters (55,328) voted to remain in the EU.

0 comments

Welcome , please leave your message below.

Optional - JPG files only
Optional - MP3 files only
Optional - 3GP, AVI, MOV, MPG or WMV files
Comments

Please log in to leave a comment and share your views with other Newham Recorder visitors.

We enable people to post comments with the aim of encouraging open debate.

Only people who register and sign up to our terms and conditions can post comments. These terms and conditions explain our house rules and legal guidelines.

Comments are not edited by Newham Recorder staff prior to publication but may be automatically filtered.

If you have a complaint about a comment please contact us by clicking on the Report This Comment button next to the comment.

Not a member yet?

Register to create your own unique Newham Recorder account for free.

Signing up is free, quick and easy and offers you the chance to add comments, personalise the site with local information picked just for you, and more.

Sign up now

Latest Newham News Stories

Yesterday, 14:51

A call for more drastic measures to stop acid attacks than the government is prepared to undertake has been made in a joint campaign by both East Ham’s MP and the mayor of neighbouring Tower Hamlets.

Stephen Timms
Yesterday, 14:11

Shocking video footage showing a tumble dryer on fire has been released by a plumber in Beckton in a safety alert.

Yesterday, 10:22

The governor of an East Ham primary school which banned the hijab for girls under eight has resigned and the restriction has been lifted.

Yesterday, 07:00

A new community centre offering joh, health, legal and housing advice is set to open in Stratford.

Newsletter Sign Up

Sign up to receive our regular email newsletter

Most read news

Show Job Lists

Competitions

Having a brand new kitchen is something that lots of people want but can only dream of. Sadly keeping up to date and making our living spaces as nice as they can be is a costly and incredibly stressful business. Even a fresh coat of paint makes all the difference but isn’t easy or quick.

Read more

Who wouldn’t love the chance to go on a shopping spree. Imagine being able to walk into a shop and choose whatever your heart desires without having to worry about how much it costs.

Read more

Digital Edition

cover

Enjoy the
Newham Recorder
e-edition today

Subscribe

Education and Training

cover

Read the
Education and Training
e-edition today

Read Now