Can medtech save the economy if we exit with no deal?

In his latest editor's letter, Dave Gray asks whether medtech could be the saviour of the UK economy in the event of a no-deal Brexit. 

I’m a little reluctant to write this editor’s note. It’s all about Brexit, which I thought was timely, as I’m writing it on the day that Boris Johnson has become Prime Minister. As I type, he’s meeting the Queen at Buckingham Palace (an event for which, I notice, he didn’t feel warranted even a bit of a spruce up. You’d think the high point of his career would call for a quick iron over the old suit, maybe even an attempt to tame his famous locks).

The trouble is, by the time this magazine hits your desk in a couple of weeks, Brexit could be cancelled (unlikely), the UK could be barrelling towards a general election (possible), or it could even be a confirmed no deal (please, no). Anyway, what I’m saying is, I’m sorry if this material is redundant by the time it reaches you.

I can’t think of any sector that would welcome the uncertainty of Brexit without a deal – excepting perhaps the national press. Whatever your political leanings, Boris has presented himself as a game changer for the current crisis facing British firms, and my guess is you can count on him to live up to that reputation. Whether the game changes for better or worse remains to be seen.

Assume for a moment the least palatable option (at least for industry) comes to pass, and the UK crashes out at Halloween with the current contingency plan. At the end of June, the government issued an update to its no-deal planning, to include an ‘express freight service’ to ensure that, from day one, there is no disruption to supply. In addition, regulatory requirements have been clarified to try and reassure manufacturers on both side of the channel. Indeed, in a letter to manufacturers, the government says it will advise local health authorities to avoid excessive stockpiling where possible, playing down the natural concerns over the supply chain.

It seems to me that the government’s attempts to work with UK manufacturers through the Brexit puzzle is more than a little one-sided, falling short of protectionism even. I can’t see much in there to encourage UK medtech firms currently supplying into Europe in the event of a no-deal Brexit.

On a more optimistic note, one of our contributors, Dr Mahiben Maruthappu, co-founder of the NHS Innovation Accelerator, believes the medtech sector could in fact prop up the UK’s economy post-Brexit. His vision involves the UK, through its current dedication to exponential technologies, could become a powerhouse in healthcare, rivalling Silicon Valley. He points out too that the NHS as unparalleled health data going back 70 years. He makes a convincing argument for the UK as the destination of choice for tech firms and inward investment after Brexit (you can read his column at med-technews.com).

But the sector can only give this kind of productivity in the long run if it can be assured of some degree of stability and protection in the short- to mid-term. How is a no-deal Brexit going to affect you? Email me at david.gray@rapidnews.com.