Uk Russia Air Services Agreement

225.Mr Pearce stressed the increased importance of the EU-US open skies agreement to the UK economy: "We have, for example, many joint ventures on the North Atlantic that rotate over London, so these open skies agreements are a prerequisite for these structures. 319 The government, he argued, had to "protect the wider open sky [and] … Agreement with third countries," and recommended "early discussions with the United States." 320 226.In the absence of a new agreement, Dr Humphreys estimated that the United Kingdom could rely on "Bermuda II", the agreement between the United States and Great Britain that preceded the Open Skies. But it is "such a restrictive agreement that I am almost certain that the United States and the United Kingdom will reach a new liberal agreement very quickly and fairly easily." He said it would be "probably very similar" to the EU-US agreement. Outside the internal aviation market, Ryanair said: "In blatant terms… Traffic rights, which support most air traffic from the UK, will no longer exist. Ryanair stressed the need for a "specific political agreement" through a bilateral air services agreement between the UK and the EU "to ensure that existing traffic rights remain available"302 206.Air services also allow for wider economic growth in the UK. Brian Pearce, IATA`s chief economist, said people used air travel "as a way to make a business trip, "vacation or access to suppliers or markets" and that the air network was "essentially an infrastructure for the success of users such as the City of London" and "high-tech industries"282.282 We also note that air transport services are an important means for the transport of goods (thus facilitating the trade of goods). Bata told us: 236.A bilateral agreement on air services, if it maintained the level of market access currently provided by British airlines, British airlines should grant rights on non-stop flights between EU Member States and on domestic flights within EU Member States. Given the size of its aviation sector, the UK should have leverage in the negotiations, but we note that there is no precedent for the inclusion of a comprehensive bilateral air services agreement within an EU Member State. 228.Lord Ahmad also outlined the UK`s existing bilateral air services agreements. "Like Brazil, Russia, India and China – the BRICS."325 He recently signed a Memorandum of Understanding (Mou) with the Chinese, "which doubled… "What has happened is a series of contracts, international air agreements between countries that have been allowed to determine and operate the operation of aviation, which has evolved." 286 Source: ONS, The Pink Book: 2016, Chapter 3.2 Trade in Services, (July 29, 2016): www.ons.gov.uk/economy/nationalaccounts/balanceofpayments/datasets/3tradeinservicesthepinkbook2016 [available February 1, 2017]214.Witnesses also suggested that ECAA membership would not allow additional access to UK air services in third countries.

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