Environment secretary Michael Gove has agreed to suspend a series of government consultations after food groups threatened to boycott talks over the looming threat of a no-deal Brexit.
The Grocer has learnt Gove has written to business leaders to say he ‘recognises the burden’ on businesses posed by the threat of the UK leaving without a deal on 29 March. He has said he is prepared to ‘pause or prioritise’ Defra’s schedule so they can devote resources to planning for the outcome.
There are now set to be talks between industry groups to decide whether the government’s compromise proposals go far enough to prevent the rebellion.
In his bid to appease businesses, Gove has agreed to shelve a consultation on chemicals and pesticides strategy. He has also put back plans on developing environmental targets until “at least” the autumn.
The government has also extended the consultation of its resources and waste strategy until May, instead of March, in a bid to give businesses more time, though Gove refused to shelve the plans altogether.
He also said he was unable to suspend reviews of the Water Framework Directive and Floods Directive, as called on by industry, because they were EU consultations.
Gove told retailer leaders he was committed to a “more flexible consultations process” and has asked for suggestions as to how the burden on business could be eased.
Read more: Suppliers expecting to have to absorb Brexit costs
It is understood the leaders of more than 30 food industry groups - including the FDF, NFU and Dairy UK - will now discuss whether the proposals go far enough to prevent a boycott of the consultations.
Last week they said they would pull the plug on talks on a series of key government initiatives. These included the consultation on DRS, a looming clampdown on HFSS marketing, an overhaul of the producer responsibility programme and plans for a plastic tax.
One source said: “We believe this is a good outcome. Michael Gove has listened to our concerns and showed that the government is willing to be flexible.
“However, it is too early to say whether this means all groups agree. Those discussions will be taking place in the next few days.”
However, another source said the minister’s intervention went nowhere near far enough to tackle the concerns of businesses.
Read more: Businesses ‘may go bust’ in no-deal Brexit, says survey
“Putting back a couple of consultations is not going to do very much to help companies that are spending millions preparing for the threat of a no-deal Brexit. It’s not just the time involved, it’s the huge cost.
“Perhaps Michael Gove wants to be seen as the man riding to the rescue of the industry, but for many companies this is not going to wash.”
Last week’s letter to Gove said: ’In fewer than 50 days, the UK will leave the European Union. The legal default is that we will do so irrespective of whether or not we have signed a withdrawal agreement and, at present, that no-deal Brexit looks ever more the likeliest outcome.
‘Businesses throughout the UK food chain - and their trade associations - are now totally focused on working to mitigate the catastrophic impact of a no-deal Brexit. Large amounts of time, money, people and effort are being diverted to that end.’
It adds: ’At this moment of potential crisis for our industry, it cannot be “business as usual” within government.”
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