Kiwi wine exporters worried about tariff increases as Brexit saga rolls on

The uncertainty around the UK securing a Brexit deal has New Zealand wine exporters worried.

The longer British politicians are unable to make a decision, the more likely it is that the UK will crash out of the European Union without any deal at all, and that could have an impact on many New Zealand wine makers.

"Brexit's really put the cat amongst the pigeons," Babich Wines Riki Hutchinson told 1 NEWS.

"If it goes to World Trade Organisation rules it goes from about 8/9 Euro cents tariff to a 32 per cent tariff, which can have major effects to our competitiveness," he said.

Some are already feeling the impact of the uncertainty.

"At the moment because of the lack of knowledge of what's going on, we're having to hold back stock subject to the outcome of the Brexit vote," Elephant Hill winery's Giles James said.

Today, the House of Commons expressed confidence in the government by 325 votes to 306, meaning Prime Minister Theresa May can remain in office.

Had the government lost, Britain would have faced an election within weeks while preparing to leave the European Union on March 29.

Mrs May was battling to save her job after staking her political reputation on winning support for the divorce agreement she has negotiated with the EU over the past two years.

That it would lose was widely expected, but the scale of the rout - 432 votes to 202, the biggest defeat for a government in British parliamentary history - was devastating for Mrs May's leadership and her Brexit deal.

Opposition Labour Party leader Jeremy Corbyn responded with a no-confidence motion, and urged the government to "do the right thing and resign."

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Prime Minister Theresa May wants all parties in the House of Commons to help shape a new Brexit deal. Source: 1 NEWS

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