Industry reacts to Brexit
Britain has voted to leave the European Union. Over 33 million British citizens voted in the referendum yesterday (23 June), with 51.9 per cent voting in favour to leave the union after a period of negotiation.
But where does this leave the nation’s environment and waste and resources industry?
Throughout the day we will be collating reaction from stakeholders in the industry, so check back to see how members of the industry foresee the vote affecting their operations and wider waste and resource-use in the United Kingdom.
15:00 - FUNDS AND LEGISLATION IN KEY AREAS FOR WELSH LOCAL GOVERNMENT AT RISK
The Welsh Local Government Association (WGLA) says that the vote to leave will cause a 'seismic change in UK public policy' and that time will be needed to fully digest all the implications. However, it is clear that there are serious consequences for Welsh councils both as the largest employer in Wales and as delivers of local public services.
Councillor Bob Wellington CBE, Leader of the WLGA stated: “Councils have strong links with Europe not least when it comes to the use of structural funds, workforce rights and legislation across key areas. While we are signalling an end to our membership of the EU it is vital that promises made during the Referendum by the Leave campaign to protect regeneration funding in Wales are honoured.
“For local councils, it is also imperative that we do not jettison those positive elements of European legislation, particularly on the environment, which are at the heart of service delivery. Much of the framework of legislation which protects our daily lives has stemmed from this source. The safety of our food, air quality, pollution controls and the product safety of the goods that we buy online or from the high street has been designed with UK input but passed in Brussels.
“There is an extremely important task to undertake over the next period, to ensure that the protections offered to the Welsh public by our councils are not undermined, by removing from the UK the fundamentals of European legislation which provide so much unseen public protection activity at the local level. As a responsible employer local government also has a duty to highlight potential difficulties for our workforce. For example, any prolonged collapse of the stock market will signal huge problems for the £13bn Local Government Pension Scheme in Wales which is fully funded and based on market investment. With an actuarial valuation due this year it is vital that confidence is returned as soon as possible, otherwise millions of pounds will be lost for the schemes pensioners.
"The WLGA recognises that it is early days and there is much to reflect upon. We fully supported the Remain campaign. We fully accept the judgement of the Welsh and UK electorate, and our councils will seek to work with all levels of government to deliver the best possible outcome for communities in Wales.”
14:30 - EUROPEAN ENVIRONMENTAL BUREAU: EUROPE WILL HAVE TO MOVE ON TO TACKLE 21ST CENTURY ENVIRONMENTAL CHALLENGES
12:40 - APSE: LOCAL GOVERNMENT SERVICES MUST BE PROTECTED
The Association for Public Service Excellence (APSE), which works with over 300 local councils throughout the UK, says that the vote to leave the EU has a 'fundamental impact' on local government.
In a statement, the body wrote: 'APSE recognises that many local government regulations and functions, whilst set within a UK legislative framework, are also governed by European Union regulations. Whilst many may continue unchanged in the short term, and during the exit negotiations with the EU, local government must be fairly represented within a national public service context.
APSE is calling upon the government and all political parties to ensure local government services are protected. A future domestic framework, governing matters such as freedoms and powers for local councils, procurement regulations, environmental protection regulations, employment matters for the local government workforce and, most importantly, council budgets are treated fairly with the full involvement of the local government sector. In developing alternative plans, policies and any necessary legislative changes, local government needs to be fully consulted.'
Speaking about the referendum results, Paul O’Brien, APSE Chief Executive, said: “It is not for APSE to judge the outcome of the referendum. The British people have voted for change, however we must not allow the results of the referendum to bring a further assault on local government finances. The ship is only just steadying from years of austerity budgets and now is not the time to crush the progress that local councils are making in bringing about stable local government services.”
12:20 - REA: SERIOUS QUESTIONS OVER INVESTOR CERTAINTY
Dr Nina Skorupska from the Renewable Energy Association (REA): “This result raises serious questions for investor certainty, energy security and much needed investment in the UK energy infrastructure.
“Energy policy must be a priority for the government now, with industry needing reassurance and ministerial clarity on priorities. The first in this list must be confirmation of the 5th carbon budget, which will hopefully give some confidence in the long-term direction of UK energy policy.
“The vast majority of our members had fears of Brexit, and we will be consulting with them and government in the coming weeks to set out a plan for continued low carbon energy investment, deployment and assurance of the 117,000 jobs in this sector."
12:10 - FRIENDS OF THE EARTH: ENVIRONMENT IGNORED DURING REFERENDUM, BUT DON'T HAVE TIME FOR IT TO TAKE A BACK SEAT THROUGH NEGOTATIONS
11:55 - R&WUK TO CALL MEETING WITH GOVERNMENT TO SEE HOW INDUSTRY CAN CONTRIBUTE TO TASK AHEAD
Expanding on individual statements made earlier in the day, Resources & Waste UK (R&WUK), a partnership between CIWM and the ESA, has said the sector must now look to engage with government and key stakeholders to ensure a robust future UK policy framework for resources and waste.
“EU legislation has been a key driver behind the UK’s rapid progress on sustainable resource and waste management over the last two decades and the referendum outcome leaves our sector particularly exposed to the financial and policy uncertainty ahead,” says R&WUK chief executive Steve Lee.
“What isn’t uncertain, however, is the direction of travel; the imperative to move towards greater resource efficiency and security and to develop more circular economic models of resource consumption remains critical to the long term future of the UK. Our sector needs to keep its eyes on the prize and realise its potential as an industry that not only underpins sustainable economic growth, jobs and business competitiveness but also protects our environment and contributes to the health and wellbeing of our communities.
“This will be R&W UK’s job in the months to come; to work with all the necessary stakeholders and government to ensure that the policy and investment needs of our industry are recognised and that we have the right framework to deliver the maximum environmental and economic benefit for the UK in the future. We will initially be calling for an early meeting with government to discuss their plans and explore how the industry can contribute to the task ahead.”
11:45 - RESOURCE ASSOCIATION: CLEAR SIGNALS THAT GOVERNMENT RECOGNISES VALUE OF OUR INDUSTRIES NEEDED
Resource Association Chief Executive Ray Georgeson warned earlier this year that a vote to leave the EU would remove the UK's ability to shape and influence future legislation and yet would likely need it to be compliant with emerging EU law - 'a “lose – lose” situation’.
Reacting briefly today, Georgeson said: "The decision the people have made to leave the European Union will create uncertainties for many industries including our own. We made this clear during the referendum campaign but recognise that the public have made a decision about the UK's future in the EU.
We must continue to advocate the power and value of the circular economy and ensure that our concerns about policy uncertainty are addressed. We will be looking for clear signals and reassurances from the Government that they recognise the potential and value of our industries and that they commit to a more resource efficient future, regardless of our future status in Europe."
11:25 - RWM AMBASSADORS: SECTOR MUST LEAD TO DEVELOP SOLUTIONS

10:45 - CIWM: THERE HAS NEVER BEEN A MORE IMPORTANT TIME FOR OUR INDUSTRY TO WORK TOGETHER

“Stepping out of the EU brings financial, policy, legal and performance uncertainty which may well threaten a slow-down or reversal of the improvements we have enjoyed in recent years. As sustainable resources and waste management professionals, as an Institution, and as an industry we must now work together to build on what has been achieved to date. This will require leadership, determination and an industry ready to work with Governments – of whatever flavour – to protect what we have and to drive for further improvement. More than ever now, we need forward looking strategies across the UK to support investment and performance in this sector.”
“As far as this Institution is concerned, there has never been a more important time for our industry to work together and to use our body of knowledge and expertise to help influence and deliver a new environmental vision for our country.”
WILL NEGOTATION PERIOD STIFLE AMBITIONS?
1/3 Seriously concerned our recycling & waste ambitions and needs will be stifled by two or more years of EU negotiations. @resource_media
— Paul Vanston (@PaulVanston) June 24, 2016
2/3 Policy vacuums at both UK and EU levels would be harmful for our recycling & waste sector. @resource_media
— Paul Vanston (@PaulVanston) June 24, 2016
3/3 Recycling & waste sector needs a plan, strong leadership, traction with govt, & support our @DefraResource colleagues. @resource_media
— Paul Vanston (@PaulVanston) June 24, 2016
@PaulVanston @resource_media So much depends on what out looks like - if single market then waste framework directive still applies
— Jonny Hazell (@JHazellGA) June 24, 2016
& circular economy helps address two economic & political challenges of brexit: 1) reduces import dependency so mitigates effect of weaker £
— Jonny Hazell (@JHazellGA) June 24, 2016
2) delivers jobs in those parts of the country that voted strongly to leave: https://t.co/9yRZvdf8hH
— Jonny Hazell (@JHazellGA) June 24, 2016
10:35 - BRITAIN MUST COME UP WITH PLAN AS IT JETTISONS STRONG EU ENVIRONMENTAL AGREEMENTS
In response to the UK’s decision to leave the EU, Matthew Spencer, Director of environmental think tank Green Alliance, said: “The nation is divided, and our environment is one of the few things left which we have in common. Britain will now have to create new national laws and stronger public institutions to fill the gaping holes that will be left as we jettison strong EU environmental agreements. The public did not vote for a race to the bottom, they will expect standards of environmental protection to be at least as strong in the UK as they are in France and Germany. We now need a plan from government to achieve that.”
Green Alliance organised a letter to Environment Secretary Liz Truss in January in which 14 signatories, including four former chairs of UK environment agencies, warned of the environmental risks of leaving the EU.
10:30 - LARGE WASTE COMPANIES EXPERIENCE IMMEDIATE SHARE PRICE DROP
Reflecting the wider stock market this morning, some of the large waste and resource management companies suffered share price falls as the market opened this morning. Suez and Veolia's shar eprice are currently 4.5 per cent down from closing yesterday, while Pennon Group, the owner of Viridor, is down 2.7 per cent.
10:15 - SUEZ: EU HAS BEEN CRUCIAL IN DRIVING ENVIRONMENTAL POLICY, MUST NOT LET RENEGOTIATION PERIOD CREATE VOID AT NATIONAL POLICY LEVEL

"We will be working closely with each local authority and with all businesses where policy commitment remains high in turning our waste into a resource."
10:00 - ESA: UNCERTAINTY CAN BE MADE INTO OPPORTUNITY IF ACTED UPON QUICKLY

“Once the dust settles it will be absolutely critical for investment in our industry that the government acts quickly to set out the terms of a UK exit and what it means for the waste sector. Regardless of our membership of the EU, there is huge scope for the waste and recycling sector to do things better and for the UK to improve its resource efficiency.
“The public’s vote has been cast and, while there may be threats, we must turn it into an opportunity and press the government for the long-term framework that the waste and recycling industry now needs more than ever.”
HOMEGROWN ACTION CAN BE DONE
Climate Change Act showed we are capable of creating strong, progressive, homegrown green legislation. We will need more of this. #EUref
— Matthew Farrow (@MatthewEIC) June 24, 2016
REFOOD: BREXIT CAN BE SPRINGBOARD FOR FOOD WASTE ACTION
Philip Simpson, Commercial Director at food recycler ReFood, has outlined what this decision means for the UK’s food waste industry: “This decision represents a momentous opportunity for the UK government to affirm its commitment to tackling food waste.

“Unfortunately, this is a short-sighted approach and fails to capitalise on the significant economic and sustainable benefits of food waste recycling.
“In fact, the UK currently produces more than 14m tonnes of food waste every year, which, if it were effectively tackled, could see savings of £19bn for the country’s economy and prevent more than 20m tonnes of greenhouse gases from entering the atmosphere.
“So, let’s use Brexit as a springboard for introducing a total ban on food waste to landfill in England. Free from the shackles of EU red-tape, the Department for Environment, Food & Rural Affairs (Defra) has a critical role to play in setting such targets and can help Britain to implement waste management laws at a far greater speed – tailored with the country’s needs firmly in mind.
“While there is a long road ahead, the Brexit vote is a huge moment for the UK’s waste management sector. Looking ahead, it’s important that we continue to work towards not only achieving, but exceeding, the sustainability targets originally laid-out by the EU. The sector has a pivotal role to play in Britain’s post-Brexit landscape, and I hope to see us grab this opportunity with both hands.”
IEMA: CONCERN THAT ENVIRONMENT POLICY RISKS BEING WATERED DOWN
Throughout the lead-up to the referendum the Institute of Environment Management & Assessment (IEMA) ran a number of surveys asking its environment and sustainability professional members about the potential impacts of a Brexit.
Responding today, Martin Baxter, IEMA’s Chief Policy Advisor, said: “The referendum vote in favour of the UK leaving the EU raises significant questions for businesses, professionals and the wider public on environmental protection policy.
“In the lead-up to the referendum, IEMA members were overwhelmingly of the view that being a member of the EU is good for business and good for the environment. There was a real concern that environment and climate policy risked being watered down if the vote was to leave. Environment and sustainability professionals will now look to the future with some sense of uncertainty.
“It is therefore essential that the government gives a commitment that, in negotiating the terms of the UK’s exit from the EU, an equivalent or enhanced level of environmental protection and climate policy will be implemented here in the UK.
“In establishing the UK’s future direction, government must develop progressive policies for the UK to transition to a low carbon, resource efficient and sustainable economy that delivers real social value over the long-term. It must seize the opportunity to accelerate the transformational change needed to meet long-term sustainability challenges and provide a much-needed boost to UK jobs and productivity.”
Check back throughout the day for more industry reaction to the Brexit vote.