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One of Labour’s key areas of focus is to strengthen relations with the EU in a bid to boost current export levels

Nearly a third of British businesses are urging the government to reduce Brexit red tape in a bid to boost trade with the EU, according to a Santander survey.

Thirty-one per cent of companies said they wanted government to relax post-Brexit regulation, including customs requirements, and to increase mutual recognition of professional standards and qualifications across Europe.

The UK and the EU have implemented a series of trade regulations on goods trading across the Channel since officially decoupling in January 2020.

Notably, the bloc was first to introduce strict customs and health certification requirements on British exports back then.

The UK has since followed with new border controls on EU goods, starting in October last year as part of the Conservative government’s Border Target Operating Model (BTOM). However, many of the border checks originally proposed have either been watered down or delayed after businesses warned of major delays at Britain’s borders and increased costs for consumers.

Similarly, there have been a series of changes and delays made to the Windsor Framework, the deal between the UK and the EU that regulates trade between Great Britain, Northern Ireland and the Republic of Ireland, in a bid to ease trade for businesses operating in both the UK and the EU’s single market.

Santander’s corporate & commercial banking CEO, John Baldwin, said businesses were “looking to the new government to help match their ambition and get more… conquering the globe”.

“SMEs are the lifeblood of the economy and supporting their success at home and abroad will drive both growth in the economy and in jobs,” he added.

Read more: Keir Starmer hails post-Brexit German treaty as he aims to reset EU relations

One of the key requests from businesses surveyed by Santander was for government to support mutual recognition of standards and qualifications across Europe.

Britain lost many of its essential workers, especially across agriculture, logistics, and care, when it left the EU. Mutual Recognition Agreements are meant to ease the recognition process for specific workers moving between Britain and the EU, and can be negotiated on a sector basis – an area of focus previously mentioned in Labour’s election manifesto with regards to improving EU relations.

The new government has also pledged to negotiate a veterinary deal with Brussels that would significantly reduce, or remove altogether, burdensome border controls on animal and plant goods. Many trade associations and food industry businesses have said this would help boost exports to the EU, which have fallen to record low levels this year.

Nevertheless, Santander’s survey found that 74% of businesses were confident they will grow in the next three years, while 36% said they were “very confident” about future growth an increase from just 22% a year ago.

Moreover, a quarter of businesses said they needed greater support from government in finding new customers, business partners and suppliers, with 24% saying they were seeking help recruiting the right staff in the UK.

Meanwhile, Santander has committed to a three-year sponsorship of a Department for Business & Trade exports-focused initiative.

The sponsorship will cover DBT’s flagship annual export initiative, International Trade Week, as well as the UK Export Academy and a number of international trade shows.

International Trade Week is a collaboration between DBT and industry. This year’s key themes include digital trade and selling to Europe in the post-Brexit environment.

John Carroll, head of international and transactional banking, Santander UK, said: “It’s an exciting time to be a UK business looking to expand globally, but it’s not without its challenges.

“Our Trade Barometer research shows that businesses are calling out for more support from government and the private sector, and we’re pleased to be working with DBT to play our part in helping businesses turn their international dreams into a reality.”

Exports minister Gareth Thomas added: “When businesses export, they hire more staff and increase wages, which all helps to grow the economy. That’s why we’re working with businesses of all sizes to cut trade barriers and open new routes to market.

“Santander’s three-year backing of our International Trade Week is a strong endorsement of the UK’s trade and investment strategy, as we work together to get more small businesses growing and exporting around the world.”