A no-deal Brexit could cause food shortages, Mark Carney has suggested, adding that job losses and business closures are also likely.
Speaking to BBC Radio 4 on Friday, the governor of the Bank of England said an abrupt Brexit would create a “logistics” headache. He noted that the government had been hiring extra customs officers and increasing capacity at ports to deal with a possible sudden switch away from tariff-free trade with the EU.
Mr Carney refused to be drawn on whether the government will manage to complete the preparations by the 31 October Brexit deadline, but hinted at consequences of failing to do so.
“The challenge is, particularly in food, it’s perishable, so you can’t stockpile today for demand in November and it’s heavily, heavily dependent on those ports being open,” he said.
A no-deal Brexit would also deliver an immediate blow to a “potentially substantial number” of companies, Mr Carney said.
1/50 2 August 2019
An RAF Chinook helicopter flies in sandbags to help repair the dam at Toddbrook Reservoir which was damaged in heavy rainfall
PA
2/50 1 August 2019
A section of the dam wall at Toddbrook Reservoir in Derbyshire has collapsed following heavy rainfall in the area
PA
3/50 31 July 2019
A collapsed bridge near Grinton, North Yorkshire, after parts of the region had up to 82.2mm of rain in 24 hours on Tuesday
PA
4/50 30 July 2019
Acrobats Beren d’Amico, Louis Gift and Charlie Wheeller, from Barely Methodical Troupe perform a routine on Calton Hill in Edinburgh as they bring their debut show Bromance to the Edinburgh Fringe
PA
5/50 29 July 2019
Theresa the robotic waitress at The Tea Terrace’s Cobham branch in Surrey. Theresa represents the 6th Generation of robotic waitresses which were first launched in Japan a few years ago. The robot comes with autonomous navigation; automatic obstacle avoidance, voice conversation, and automatic dish delivery. It integrates core technologies in automatic control, multi-sensor perceptual collision avoidance and route planning
PA
6/50 28 July 2019
Competitors during the World Stinging Nettle Eating Championship at The Bottle Inn in Marshwood. Competitors are served 2-foot long stalks of stinging nettles from which they pluck and eat as many leaves as possible.
Getty
7/50 27 July 2019
A woman in character as La Muerte from film The Book of Life, during the MCM Manchester Comic Con which see thousands of sci-fi fans, gamers, comic collectors, movie buffs and anime enthusiasts visit Manchester Central
PA
8/50 26 July 2019
England’s Jonny Bairstow takes the catch to dismiss Ireland’s William Porterfield during their test march at Lord’s. Ireland were bowled out for 38 in their second innings in just 15.4 overs – the second lowest total in Test match history
Action Images via Reuters
9/50 25 July 2019
Hamza and Haris splash in the water feature beside the National Football Museum in central Manchester, as the UK braces itself to encounter the hottest July day on record
PA
10/50 24 July 2019
Boris Johnson waves as he enters 10 Downing Street following his appointment as Prime Minster by the Queen. The former London mayor and foreign secretary won his leadership bid by beating Jeremy Hunt in the Tory race the day before. Theresa May stepped down following her resignation as Conservative Party leader on 7 June
EPA
11/50 23 July 2019
Swimmers have fun in the sea on a giant inflatable Flamingo, South Beach,Tenby, Pembrokeshire
Reuters
12/50 22 July 2019
New Liberal Democrat leader Jo Swinson addresses the audience onstage after she was named as Sir Vince Cable’s successor. Swinson beat fellow candidate Ed Davey by 47,997 votes to 28,021 votes
Getty
13/50 21 July 2019
Adam Peaty broke his own world record in the men’s 100 metre breaststroke at the World Championships in Gwangju, South Korea. The 24-year-old smashed the previous record of 57.10 seconds he set at last year’s European Championships to win in 56.88. In doing so, the Britain achieved one of his career goals of becoming the first man to break the 57-second barrier in the event
Reuters
14/50 20 July 2019
London artist Helen Marshall’s People’s Moon project, a giant photographic mosaic shown at the exact hour 50 years ago that Apollo 11 landed the first people on the Moon, at Piccadilly Circus, London
PA
15/50 19 July 2019
Players from Uganda and Malawi during their Netball World Cup match at the M&S Bank Arena, Liverpool
PA
16/50 18 July 2019
Artist Steve Messam poses next to his monumental landscape artwork ‘Hush’ which hangs in the moors of Teesdale on July 18, 2019 in Barnard Castle, England. The outdoor installation is inspired by the geology, mining history and landscape of the area. The North Pennines AONB Partnership commissioned the installation which hangs over Bales Hush, a deep gauge in the terrain created when miners flushed the area with water to reveal the geological riches below. Hundreds of metres of recyclable saffron yellow fabric blow in the wind.
Getty
17/50 17 July 2019
Buckingham Palace staff arrange the dining table, a copy of Queen Victoria’s reign dessert table, as part of an exhibition at Buckingham Palace, in London. The exhibition marks the 200th anniversary of the birth of Queen Victoria
AP
18/50 16 July 2019
The Inveraray pipe band parades through the town at the start of the Highland Games in Inverarary, Scotland
Getty
19/50 15 July 2019
Extinction Rebellion Activists block roads near the Tron Clock tower in Glasgow
Getty
20/50 14 July 2019
Serbia’s Novak Djokovic raises the winner’s trophy after beating Switzerland’s Roger Federer during their men’s singles final on day thirteen of the 2019 Wimbledon Championships at The All England Lawn Tennis Club
AFP/Getty
21/50 13 July 2019
The referee counts Nathan Gorman out as Daniel Dubois looks on during the British Heavyweight Title fight between Daniel Dubois and Nathan Gorman at The O2 Arena in London
Getty
22/50 12 July 2019
Giant Panda, Yang Guang, exploring his new home at Edinburgh Zoo after moving in last week
RZSS/PA
23/50 11 July 2019
England’s captain Eoin Morgan, left, celebrates with teammate Joe Root after winning their Cricket World Cup semi-final match against Australia at Edgbaston in Birmingham. The host nation blew away their rivals by 8 wickets with 107 balls remaining
AP
24/50 10 July 2019
Andy Murray and Serena Williams talk as they play Bruno Soares and Nicole Melichar during their mixed doubles third round match of the Wimbledon Championships. The star-studded pair went out in three sets to the top seeds
AFP/Getty
25/50 8 July 2019
Fifteen-year-old Cori “Coco” Gauff serves to Romania’s Simona Halep in a women’s singles match during day seven of the Wimbledon Tennis Championships in London. The youngest woman to qualify for Wimbledon in the open era defeated Venus Williams in her opening match and made if through to week two. Halep ended the teenagers dream run at the tournament in their round 16 match, 6-3, 6-3
AP
26/50 7 July 2019
A competitor takes part in the Red Bull Soapbox Race in Alexandra Park, London. The soapbox race is an international event in which amateur drivers race homemade soapbox vehicles on a downhill course
PA
27/50 6 July 2019
Members of the Lesbian, Gay, Bisexual and Transgender (LGBT) community take part in the annual Pride Parade in London
AFP/Getty Images
28/50 5 July 2019
Andy Murray fives mixed doubles partner Serena Williams at a practice session during day five of Wimbledon
Getty Images
29/50 4 July 2019
Chelsea’s newly appointed head coach Frank Lampard gives a thumbs up as he poses at Stamford Bridge. The Blues confirmed a dramatic return for one of the club’s greatest ever players. He has signed a three-year contract with the Premier League club, where he spent 13 years and became the team’s all-time leading scorer with 211 goals
AFP/Getty
30/50 3 July 2019
A grey seal named after Sir David Attenborough is released back into the wild after months being treated at RSPCA East Winch Wildlife Centre in Norfolk after it was found with a plastic frisbee disc embedded in its neck
PA
31/50 2 July 2019
The Kirby Estate in London is decorated with St George flags ahead of the Women’s World Cup semi-final match between England and the USA
PA
32/50 1 July 2019
People sleep as Glastonbury Festival 2019 comes to an end
SWNS
33/50 30 June 2019
The crowd enjoys the atmosphere as Years & Years perform on the Pyramid Stage during day five of the Glastonbury Festival at Worthy Farm, Pilton on June 30, 2019 in Glastonbury, England
Getty
34/50 29 June 2019
A couple make their way across the sand with their belongings as people enjoy the sunshine and hot weather on Bournemouth Beach in Dorset. PRESS ASSOCIATION Photo. Picture date: Saturday June 29, 2019
PA
35/50 28 June 2019
A lion-tailed macaque stays cool in the hot weather by eating frozen treats with fruit at Camperdown Wildlife Centre, Dundee
Katielee Arrowsmith / SWNS
36/50 27 June 2019
A festival goer dance with LED hula hoops on the second day of Glastonbury Festival 2019
PA
37/50 26 June 2019
Festival goers warm up prior to the gates opening at 8am on the first day of Glastonbury 2019
Adam Gray / SWNS
38/50 25 June 2019
An early glimpse of this year’s Glastonbury Festival is given in this picture taken by a local who glided over the site in their paramotor
James Pearce / SWNS
39/50 24 June 2019
The interior roof of a Tesco shop collapses under the torrential rain in Stirling, Scotland on 24 June
James Charity
40/50 23 June 2019
Steph Houghton celebrates with teammates after scoring England’s first goal during the Women’s World Cup round of 16 match against Cameroon at the Stade du Hainaut stadium in Valenciennes, France
AP
41/50 22 June 2019
Pride marchers at a rally outside the Scottish Parliament in Edinburgh
PA
42/50 21 June 2019
The sun rises between the stones and over crowds at Stonehenge where people gather to celebrate the dawn of the longest day in the UK. The neolithic Wiltshire monument is built along the solstice alignment of the summer sunrise and the winter sunset. On the longest day of the year, the sun rises behind the Heel Stone, the ancient entrance to the Stone Circle, and rays of sunlight are channeled into the centre of the monument
PA
43/50 20 June 2019
Frankie Dettori celebrates with the trophy after winning the 4.20 Gold Cup on Stradivarius as Queen Elizabeth looks on
Action/Reuters
44/50 19 June 2019
Endangered Amur tiger cub Makari plays with a pinata which was given to him and brothers Dmitri and Czar as they celebrate their first birthday this week at Whipsnade Zoo in Dunstable
PA
45/50 18 June 2019
Eoin Morgan celebrates his century with Joe Root during England’s ICC Cricket World Cup match against Afghanistan at Old Trafford in Manchester. Morgan hit 17 sixes and set a new record in one-day international cricket, which saw his side win by 150 runs
Getty
46/50 17 June 2019
Worcestershire County Cricket Club’s New Road ground fully submerged by floodwater following heavy rainfall in the area. Worcestershire switched next week’s County Championship home game with Sussex to Kidderminster due to the threat of flooding at the ground
PA
47/50 16 June 2019
Dominic Raab (left) and Rory Stewart during the live television debate on Channel 4 for the candidates for leadership of the Conservative party, at the Here East studios in Stratford, east London
PA
48/50 15 June 2019
Great Britain celebrate their first place on the podium during the Accenture World Triathlon Mixed Relay at Nottingham Embankment
PA
49/50 14 June 2019
Mayor of London Sadiq Khan speaks at a service of remembrance at St Helens church, London, to mark the two-year anniversary of the Grenfell Tower block fire
PA
50/50 13 June 2019
Community member Desi Cranenburgh attaches her latest homemade tribute near to the site of Grenfell Tower in London, a day before the second anniversary of the fire which killed 72 people
Getty
1/50 2 August 2019
An RAF Chinook helicopter flies in sandbags to help repair the dam at Toddbrook Reservoir which was damaged in heavy rainfall
PA
2/50 1 August 2019
A section of the dam wall at Toddbrook Reservoir in Derbyshire has collapsed following heavy rainfall in the area
PA
3/50 31 July 2019
A collapsed bridge near Grinton, North Yorkshire, after parts of the region had up to 82.2mm of rain in 24 hours on Tuesday
PA
4/50 30 July 2019
Acrobats Beren d’Amico, Louis Gift and Charlie Wheeller, from Barely Methodical Troupe perform a routine on Calton Hill in Edinburgh as they bring their debut show Bromance to the Edinburgh Fringe
PA
5/50 29 July 2019
Theresa the robotic waitress at The Tea Terrace’s Cobham branch in Surrey. Theresa represents the 6th Generation of robotic waitresses which were first launched in Japan a few years ago. The robot comes with autonomous navigation; automatic obstacle avoidance, voice conversation, and automatic dish delivery. It integrates core technologies in automatic control, multi-sensor perceptual collision avoidance and route planning
PA
6/50 28 July 2019
Competitors during the World Stinging Nettle Eating Championship at The Bottle Inn in Marshwood. Competitors are served 2-foot long stalks of stinging nettles from which they pluck and eat as many leaves as possible.
Getty
7/50 27 July 2019
A woman in character as La Muerte from film The Book of Life, during the MCM Manchester Comic Con which see thousands of sci-fi fans, gamers, comic collectors, movie buffs and anime enthusiasts visit Manchester Central
PA
8/50 26 July 2019
England’s Jonny Bairstow takes the catch to dismiss Ireland’s William Porterfield during their test march at Lord’s. Ireland were bowled out for 38 in their second innings in just 15.4 overs – the second lowest total in Test match history
Action Images via Reuters
9/50 25 July 2019
Hamza and Haris splash in the water feature beside the National Football Museum in central Manchester, as the UK braces itself to encounter the hottest July day on record
PA
10/50 24 July 2019
Boris Johnson waves as he enters 10 Downing Street following his appointment as Prime Minster by the Queen. The former London mayor and foreign secretary won his leadership bid by beating Jeremy Hunt in the Tory race the day before. Theresa May stepped down following her resignation as Conservative Party leader on 7 June
EPA
11/50 23 July 2019
Swimmers have fun in the sea on a giant inflatable Flamingo, South Beach,Tenby, Pembrokeshire
Reuters
12/50 22 July 2019
New Liberal Democrat leader Jo Swinson addresses the audience onstage after she was named as Sir Vince Cable’s successor. Swinson beat fellow candidate Ed Davey by 47,997 votes to 28,021 votes
Getty
13/50 21 July 2019
Adam Peaty broke his own world record in the men’s 100 metre breaststroke at the World Championships in Gwangju, South Korea. The 24-year-old smashed the previous record of 57.10 seconds he set at last year’s European Championships to win in 56.88. In doing so, the Britain achieved one of his career goals of becoming the first man to break the 57-second barrier in the event
Reuters
14/50 20 July 2019
London artist Helen Marshall’s People’s Moon project, a giant photographic mosaic shown at the exact hour 50 years ago that Apollo 11 landed the first people on the Moon, at Piccadilly Circus, London
PA
15/50 19 July 2019
Players from Uganda and Malawi during their Netball World Cup match at the M&S Bank Arena, Liverpool
PA
16/50 18 July 2019
Artist Steve Messam poses next to his monumental landscape artwork ‘Hush’ which hangs in the moors of Teesdale on July 18, 2019 in Barnard Castle, England. The outdoor installation is inspired by the geology, mining history and landscape of the area. The North Pennines AONB Partnership commissioned the installation which hangs over Bales Hush, a deep gauge in the terrain created when miners flushed the area with water to reveal the geological riches below. Hundreds of metres of recyclable saffron yellow fabric blow in the wind.
Getty
17/50 17 July 2019
Buckingham Palace staff arrange the dining table, a copy of Queen Victoria’s reign dessert table, as part of an exhibition at Buckingham Palace, in London. The exhibition marks the 200th anniversary of the birth of Queen Victoria
AP
18/50 16 July 2019
The Inveraray pipe band parades through the town at the start of the Highland Games in Inverarary, Scotland
Getty
19/50 15 July 2019
Extinction Rebellion Activists block roads near the Tron Clock tower in Glasgow
Getty
20/50 14 July 2019
Serbia’s Novak Djokovic raises the winner’s trophy after beating Switzerland’s Roger Federer during their men’s singles final on day thirteen of the 2019 Wimbledon Championships at The All England Lawn Tennis Club
AFP/Getty
21/50 13 July 2019
The referee counts Nathan Gorman out as Daniel Dubois looks on during the British Heavyweight Title fight between Daniel Dubois and Nathan Gorman at The O2 Arena in London
Getty
22/50 12 July 2019
Giant Panda, Yang Guang, exploring his new home at Edinburgh Zoo after moving in last week
RZSS/PA
23/50 11 July 2019
England’s captain Eoin Morgan, left, celebrates with teammate Joe Root after winning their Cricket World Cup semi-final match against Australia at Edgbaston in Birmingham. The host nation blew away their rivals by 8 wickets with 107 balls remaining
AP
24/50 10 July 2019
Andy Murray and Serena Williams talk as they play Bruno Soares and Nicole Melichar during their mixed doubles third round match of the Wimbledon Championships. The star-studded pair went out in three sets to the top seeds
AFP/Getty
25/50 8 July 2019
Fifteen-year-old Cori “Coco” Gauff serves to Romania’s Simona Halep in a women’s singles match during day seven of the Wimbledon Tennis Championships in London. The youngest woman to qualify for Wimbledon in the open era defeated Venus Williams in her opening match and made if through to week two. Halep ended the teenagers dream run at the tournament in their round 16 match, 6-3, 6-3
AP
26/50 7 July 2019
A competitor takes part in the Red Bull Soapbox Race in Alexandra Park, London. The soapbox race is an international event in which amateur drivers race homemade soapbox vehicles on a downhill course
PA
27/50 6 July 2019
Members of the Lesbian, Gay, Bisexual and Transgender (LGBT) community take part in the annual Pride Parade in London
AFP/Getty Images
28/50 5 July 2019
Andy Murray fives mixed doubles partner Serena Williams at a practice session during day five of Wimbledon
Getty Images
29/50 4 July 2019
Chelsea’s newly appointed head coach Frank Lampard gives a thumbs up as he poses at Stamford Bridge. The Blues confirmed a dramatic return for one of the club’s greatest ever players. He has signed a three-year contract with the Premier League club, where he spent 13 years and became the team’s all-time leading scorer with 211 goals
AFP/Getty
30/50 3 July 2019
A grey seal named after Sir David Attenborough is released back into the wild after months being treated at RSPCA East Winch Wildlife Centre in Norfolk after it was found with a plastic frisbee disc embedded in its neck
PA
31/50 2 July 2019
The Kirby Estate in London is decorated with St George flags ahead of the Women’s World Cup semi-final match between England and the USA
PA
32/50 1 July 2019
People sleep as Glastonbury Festival 2019 comes to an end
SWNS
33/50 30 June 2019
The crowd enjoys the atmosphere as Years & Years perform on the Pyramid Stage during day five of the Glastonbury Festival at Worthy Farm, Pilton on June 30, 2019 in Glastonbury, England
Getty
34/50 29 June 2019
A couple make their way across the sand with their belongings as people enjoy the sunshine and hot weather on Bournemouth Beach in Dorset. PRESS ASSOCIATION Photo. Picture date: Saturday June 29, 2019
PA
35/50 28 June 2019
A lion-tailed macaque stays cool in the hot weather by eating frozen treats with fruit at Camperdown Wildlife Centre, Dundee
Katielee Arrowsmith / SWNS
36/50 27 June 2019
A festival goer dance with LED hula hoops on the second day of Glastonbury Festival 2019
PA
37/50 26 June 2019
Festival goers warm up prior to the gates opening at 8am on the first day of Glastonbury 2019
Adam Gray / SWNS
38/50 25 June 2019
An early glimpse of this year’s Glastonbury Festival is given in this picture taken by a local who glided over the site in their paramotor
James Pearce / SWNS
39/50 24 June 2019
The interior roof of a Tesco shop collapses under the torrential rain in Stirling, Scotland on 24 June
James Charity
40/50 23 June 2019
Steph Houghton celebrates with teammates after scoring England’s first goal during the Women’s World Cup round of 16 match against Cameroon at the Stade du Hainaut stadium in Valenciennes, France
AP
41/50 22 June 2019
Pride marchers at a rally outside the Scottish Parliament in Edinburgh
PA
42/50 21 June 2019
The sun rises between the stones and over crowds at Stonehenge where people gather to celebrate the dawn of the longest day in the UK. The neolithic Wiltshire monument is built along the solstice alignment of the summer sunrise and the winter sunset. On the longest day of the year, the sun rises behind the Heel Stone, the ancient entrance to the Stone Circle, and rays of sunlight are channeled into the centre of the monument
PA
43/50 20 June 2019
Frankie Dettori celebrates with the trophy after winning the 4.20 Gold Cup on Stradivarius as Queen Elizabeth looks on
Action/Reuters
44/50 19 June 2019
Endangered Amur tiger cub Makari plays with a pinata which was given to him and brothers Dmitri and Czar as they celebrate their first birthday this week at Whipsnade Zoo in Dunstable
PA
45/50 18 June 2019
Eoin Morgan celebrates his century with Joe Root during England’s ICC Cricket World Cup match against Afghanistan at Old Trafford in Manchester. Morgan hit 17 sixes and set a new record in one-day international cricket, which saw his side win by 150 runs
Getty
46/50 17 June 2019
Worcestershire County Cricket Club’s New Road ground fully submerged by floodwater following heavy rainfall in the area. Worcestershire switched next week’s County Championship home game with Sussex to Kidderminster due to the threat of flooding at the ground
PA
47/50 16 June 2019
Dominic Raab (left) and Rory Stewart during the live television debate on Channel 4 for the candidates for leadership of the Conservative party, at the Here East studios in Stratford, east London
PA
48/50 15 June 2019
Great Britain celebrate their first place on the podium during the Accenture World Triathlon Mixed Relay at Nottingham Embankment
PA
49/50 14 June 2019
Mayor of London Sadiq Khan speaks at a service of remembrance at St Helens church, London, to mark the two-year anniversary of the Grenfell Tower block fire
PA
50/50 13 June 2019
Community member Desi Cranenburgh attaches her latest homemade tribute near to the site of Grenfell Tower in London, a day before the second anniversary of the fire which killed 72 people
Getty
“The economics of no deal are that the rules of the game of exporting to Europe or importing from Europe fundamentally change and there are some very big industries in this country where that which is highly profitable becomes not profitable, becomes uneconomic and very difficult decisions will need to be taken.
“That has knock-on effects on the economy in the short term.”
Mr Carney added that the automotive, food, chemicals and transport sectors would be most affected.
But even those businesses that survived would not emerge unscathed, he suggested, citing a survey of 10,000 firms by the central bank.
“They think that output will go down, they’ll have to let people go… That is the view of those firms,” Mr Carney said, reiterating a warning he issued last month.
And no one will be able to escape the higher inflation that will result from a weaker pound if Britain leaves the EU without an agreement.
“In the event of no deal, the exchange rate would go down for a period of time, and the area of the economy where that instantly translates into prices is in the forecourt of the petrol station and in food and veg,” Mr Carney said.
His comments follow the release of gloomier economic forecasts by the Bank of England on Thursday. They showed that, even if there is an orderly Brexit, the economy will grow at the weakest rate in a decade in 2019 and 2020 and there is now a one-in-three chance of recession. A no-deal Brexit would mean even slower growth, the bank said.
