THE value of sales between Britain and the north increased by 7 per cent in the first year under the Northern Ireland Protocol, according to official government trade data.
Critics of the post-Brexit settlement, which retains Northern Ireland’s access to the EU’s single market, have argued that trade across the Irish Sea has suffered as a result of new checks and controls.
But new figures from the Northern Ireland Statistics and research Agency (Nisra) show the £14.45bn in sales between Britain and the north last year was £1bn more than both 2020 and 2019.
The Northern Ireland Economic Trade Statistics (NIETS) measure both the sales and purchases of goods and services by northern businesses in the non-financial business sectors.
While the increase reflects the economy bouncing back from the impact of Covid-19 in 2020, it does not appear to support claims that the protocol has damaged trade with Britain in its first year.
Opponents of the protocol continue to maintain that grace periods remain in place for some goods crossing the Irish Sea, effectively meaning the post-Brexit deal has not yet been fully implemented.
The NIETS report show sales from the north to Britain increased by 13 per cent to £12.8bn in 2021, which was almost £2bn more than 2019.
READ MORE: Survey: Most businesses believe Northern Ireland Protocol is good for growth
While the figures have not been adjusted for inflation, Nisra states: “When the figures are viewed in the broader picture of trends observed over the past number of years, the 2021 figures broadly align with what might reasonably have been expected were it not for the impact of the pandemic in 2020.”
The report also confirms a significant surge in cross-border trade during 2021, which increased by around 23 per cent in both directors year-on-year.
North to south trade increased by just under £1bn to £5.2bn, while trade moving the other way was up by £565m to £3.1bn
In both cases, the value of trade was well in excess of pre-pandemic levels.
The Republic’s Central Statistics Office, which uses different methodology to measure trade movements, previously estimated that that imports from the north into the Republic increased by 66 per cent last year to €4bn (£3.44m).
The official data follows last week’s trade survey by Invest NI and NI Chamber, which found that 54 per cent of businesses reported the protocol was either helping their business grow or increase sales.
In all, the NIET report found total sales by companies in the north were worth a record £77.1 billion in 2021, up by 13 per cent on 2020.
Total external sales rose by 14.5 per cent (£3.2bn) to under the first year of the protocol to £25bn.
Exports to the rest of the EU (not including the Republic) rose by 17 per cent to £2.6bn, while exports to the rest of the World, rose 8.3 per cent in 2021 to £4.4bn.
