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Working Paper Series Volume 5, Issue 1, 2020 Editorial Board Members Working Paper Series Volume 5, Issue 1, 2020 Editorial Board Members: Dr. Nnamdi O. Madichie (Series Editor) Dr. Knowledge Mpofu Dr. Achila Amarasinghe Arif Zaman Krystle Lewis Dr. Nisreen Ameen (Royal Holloway, University of London, UK) Dr. Paul Agu Igwe (University of Lincoln, UK) Dr. Fred Yamoah (Birkbeck, University of London, UK) Dr. Surendranath Jory (University of Southampton, UK) Professor Robert Hinson (University of Ghana) Professor Sonny Nwankwo (University of East London, UK) Disclaimer The views expressed in the papers are those of the authors alone and do not necessarily reflect the views of the Bloomsbury Institute London. These Working Papers have not been subject to formal editorial review. They are distributed in order to reflect the current research outputs available at Bloomsbury Institute London, which are shared with a wider academic audience with a view to encouraging further debate, discussions and suggestions on the topical issues explored in the areas covered in the Working Papers. 2 | Working Paper Series: Volume 5, Issue 1, 2020 3 Contents Brexit, Commonwealth and UK Creative Industries: An introduction Nnamdi O. Madichie & Arif Zaman 6 The Commonwealth Challenges in the post-Brexit Era Zsoltne Farkas 20 Key trends in trade of services and goods between the Commonwealth countries Adam Martin 38 UK Creative Industries, Brexit and the Commonwealth Claudia Mourescu 48 Brexit and the UK Creative Industries Valerie Small 60 Post-Brexit Creative industries in a changing Global Trade Landscape Patrick Eworetshabor 68 The Commonwealth in Post-Brexit Lily Bruneau 78 Possible challenges and opportunities for Alexander McQueen’s after Brexit Diana Barska 88 Commonwealth Trade and Post Brexit Situation for Creative Industry in UK Bethel Abraha 96 4 | Working Paper Series: Volume 5, Issue 1, 2020 5 Brexit, Commonwealth The Commonwealth in a changing landscape Profound changes are taking place in the global trade The Commonwealth is not a formal trading bloc, yet landscape, including the technologies and governance the 54 Commonwealth members, which together frameworks that underpin and support contemporary account for 20% of world trade, enjoy a formidable and UK Creative Industries: trade in goods, services and the digital economy. trade advantage without any formal collaboration. This dynamic environment presents challenges, and Historical ties, familiar administrative and legal enormous opportunities to expand and deepen trade, systems, the use of largely one language, English, as An introduction investment and innovation among the 54 member the means of communicating with foreign partners, countries of a growing Commonwealth community and large and dynamic Diasporas have contributed of nations. to strong trade relationships among its members. In response to a question asked by Heads of As this publication went to press, Patricia Scotland, Government when they met in 2013 in Sri Lanka about Commonwealth Secretary-General highlighted quantifying a Commonwealth economic advantage, Nnamdi O. Madichie implications for the Commonwealth from a (post) the 2015 Commonwealth Trade Review found that COVID-19 world: 'Rapid population and per capita Commonwealth countries, on average, tend to trade & Arif Zaman income growth (especially in Asia) are part of the around 20 per cent more and generate 10 per cent driving forces behind the Commonwealth’s buoyancy. more investment with each other than with non- We are pleased to share the latest and first issue These initiatives are in a recent realisation that With 2.4 billion people, 60 per cent of whom are member countries. of the Bloomsbury Institute Working Paper Series, creative industries are a motor of growth in local under the age of 30, these drivers are unlikely to slow which comes amid very turbulent times – COVID-19, economies across the UK, and not just in London anytime soon – with or without coronavirus. While not There has never been a time of faster technological self-isolation, stay at home and save the UK National and the South East of England. Three main themes a formal trading bloc, the ‘Commonwealth Advantage’ innovation than today, unleashing new opportunities Health Service (NHS), which has brought a richer are worth stating in this introductory article. First, enables member states to trade up to 20 per cent for trade, investment and innovation among the meaning and magnitude to the VUCA (volatility, the creative industries concentrate in a small number more with each other than with non-members, at a 53 Commonwealth members. Equally, there has uncertainty, complexity, ambiguity) world we live. of locations. About 53 per cent of employment and 21 per cent lower cost, on average. Our research also never been a time potentially more disruptive to 44 percent of businesses are found in the top five shows that these countries invest up to 27 per cent international trade. Technological transformation is This issue features interesting contributions revolving locations (the equivalent percentages in other sectors more within the Commonwealth than outside of already helping improve prospects for sustainable around what may be better described as a “special are 32 percent and 30 percent respectively). Second, it - almost tripling investment levels five years ago, development across many Commonwealth member issue on Brexit, the Commonwealth and the UK regional rivals should work together to grow their which stood at 10 per cent. Investment flows to countries. It is also altering their competitive Creative Industry.” The discussions draw upon a creative industries. Regional creative growth appears sectors such as e-commerce, digital technologies, advantage by eroding limitations owing to geographic myriad of sources including the National Endowment not to be a zero-sum game, particularly when it comes cybersecurity, healthcare and biotechnologies could remoteness and distance, lack of connectivity and for Science, Technology and the Arts (NESTA), an to business numbers. Third, creative communities shore up, as business migrates online, and countries other constraints on their economic performance, innovation foundation established in 1998 with an are interconnected and the diversity of connections race to find a vaccine and other medical treatments.' output, growth and employment. Digitisation endowment from the UK National Lottery prior to increases over time. We have identified 1,700 creative especially is enabling transformation and change in Trade and investment flows among Commonwealth becoming an independent charity in 2012; report and meetups in the UK with participation of over 180,000 all economic sectors, including finance – from mobile countries are strong and continue to grow. Despite policy papers from the Commonwealth Secretariat; unique individuals. These communities interact locally money systems to advanced financial technology – the unexpected contraction in world trade since UK Creative Industries website, British Fashion and with those around them forming hubs of activity energy, agriculture, the oceans economy and tourism, the 2015 Commonwealth Trade Review, intra- Council (BFC), House of Commons Digital, Culture, in Advertising and Marketing in the West Midlands, among many others. Commonwealth trade in goods and services, and Media and Sport (DCMS) Committee, the UK Fashion Crafts in the North West, and Design across the productive ‘greenfield’ investment, is growing At the same time, harnessing and sustaining and Textile Association, the Royal Institute of British South West and Wales. In general, terms creative fast and projected to exceed US$1 Trillion by 2020. new economic opportunities arising from a more Architects, Design Council and the Advertising communities in different sub-sectors are becoming Increasing use of new digital technologies, including connected Commonwealth requires strengthening Association, and McKinsey & Company reports; and more interconnected something that bodes well for greater digitisation, is already transforming trade-led the domestic institutions, rules and frameworks that initiatives like the Arts and Humanities Research unexpected ‘crossover’ innovations. Council (AHRC) Creative Clusters Programme. sustainable development prospects for many of our govern trade: from goods and services to investment poorest members. When combined with the impact and intellectual property. There is an enormous of many shared inheritances, including the Common historical fabric of institutional and governance Law that provides the basis for international law, there ties that influence intra-Commonwealth commerce, is a Commonwealth effect and advantage that yields trade and investment. Leveraging these linkages multiple tangible commercial benefits for traders and bonds offers an immense comparative advantage and investors. and opportunity for Commonwealth members to further drive down intra-Commonwealth trade costs and to expand intra-Commonwealth trade and investment. Commonwealth members already enjoy an advantage when it comes to efficient 6 | Working Paper Series: Volume 5, Issue 1, 2020 7 contract enforcement, for instance, and strengthened 5. Supply Side Connectivity, encouraging the A landmark study published by Commonwealth history, aging could mean that the planet’s regional integration and improvements in trade participation of all members in global value Secretariat in 2020 entitled “The State of the Digital population will plateau in most of the world; facilitation are likely to yield disproportionately
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