British exit from European Union would be damaging for North East, according to new report
A British exit from the European Union would make the North East inequality worse because of its dependence on exports, a new report has claimed.
Exports to the EU account for 15 per cent of private sector output in the region, which according to figures is one of the poorest in Britain.
The report - published by the Centre for European Reform - claims that poorer regions would be more affected by Brexit, a term used to describe the British exit from the European Union, than richer ones, since their economies are more dependent on exports to the EU.
And according to the findings, the North East is most exposed because of its links with Nissan in Sunderland and its suppliers.
Goods exports to the EU make up 11 per cent of the regions output, while in London, the wealthiest UK region, would be largely unaffected by EU tariffs on goods, as manufacturing makes up a small proportion of its economy.
The report comes after Nissans chief executive Carlos Ghosn said the car manufacturer would reconsider its investment in the UK if Britain left the EU.
Labour parliamentary candidate for Newcastle Chi Onwurah said exiting the EU would be damaging for the regions future economy.
She said: We have a history of making and building and we know the importance of having access to markets and access from the EU.
I agree that exiting from the EU would be damaging to the economic future.
Chi Onwurah
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British exit from European Union would be damaging for North East, according to new report