Analysis suggests the NI Protocol could see the output of the Northern Ireland economy increase but leave consumers facing higher prices
The protocol could see the output of the Northern Ireland economy increase but leave consumers facing higher prices, new analysis suggests.The economic modelling was carried out by trade experts from the University of Sussex.
That means that goods can flow freely between the Republic of Ireland and Northern Ireland, removing the threat of a "hard border". There is a wide variation in impacts across sectors, with parts of the service sector suffering from loss of preferential access to the EU single market, reflecting the fact that the protocol only covers trade in goods.However, the increased trade barriers for GB goods means that consumer prices will rise by an estimated 4.3% compared to no Brexit, reducing overall economic welfare by about 2.4%.
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