Eurotunnel to receive £33m in event of a no-deal Brexit

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20:46, 24 July 2017 diff hist  +344‎  N File:Eurotunnel Shuttle.jpg ‎ User created page with UploadWizard

The UK government will pay £33m to Eurotunnel in order to settle a lawsuit over the potential for extra ferry services, in the event of a no-deal Brexit.

Towards the end of last year, the Department for Trade was in contact with three suppliers to provide extra freight capacity on ferries for lorries.

However, Eurotunnel have today come out and stated that these talks were held in secretive ways. This has led to one of the three suppliers, Ireland-based Seaborne Freight, backing out of the deal.

It was this company that had been investigated in recent weeks, after media allegations that it had no ships or had never run a ferry service in its existence. Seaborne was set to receive almost £14m worth of investment from Transport Secretary Chris Grayling.

As part of the original agreement with Eurotunnel, the company has now agreed to make various improvements to its terminals. Eurotunnel also revealed that it had contacted Grayling in January to tell the government that they should have been considered for the contract.

In a statement accompanying the agreement, Mr Grayling said: “While it is disappointing that Eurotunnel chose to take legal action on contracts in place to ensure the smooth supply of vital medicines, I am pleased that this agreement will ensure the Channel Tunnel is ready for a post-Brexit world.”

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