UK MPs' report finds Brexit burdening businesses

Britain's trade with the European Union has been dented by Brexit, with businesses facing greater costs, paperwork and border delays since the UK's full withdrawal, a watchdog panel of MPs said Wednesday.

A report by the cross-party Public Accounts Committee found that although it was difficult to disentangle the effects of the pandemic from those of Brexit, it was clear that the EU exit has affected UK trade.

It concluded the "only detectable impact" of the UK withdrawal from the EU's single market and customs union at the start of last year was increased burdens on businesses.

"New border arrangements have added costs to business," the report said, noting the government has "much more work" to do to ease the woes suffered by firms.

The committee's scathing verdict contrasts with the upbeat picture painted by Brexit proponents such as Prime Minister Boris Johnson ahead of the 2016 referendum on EU membership.

The UK narrowly voted to leave after nearly five decades inside the club -- now composed of 27 countries -- sparking several years of political upheaval.

Since Britain formally departed the bloc in January 2020 and then ended a transition period 11 months later, Johnson has proclaimed Brexit's benefits, touting the ability to rewrite immigration laws and ink independent trade deals.

But in an apparent sign of some of the difficulties adjusting to life outside the bloc, Johnson on Tuesday appointed prominent Eurosceptic MP Jacob Rees-Mogg in a newly-created post of "minister for Brexit opportunities and government efficiency".

It was part of a minor reshuffle of his ministers.

Johnson's spokesman insisted Wednesday that traders and hauliers have "adjusted well" to new UK mandated checks which started on January 1.

"IT systems have been working effectively," he told reporters, also noting November trade statistics showed British exports to the EU were up 5 percent in the first 11 months of 2021 year-on-year.