Brexit

Seven cards the government can play in Brexit trade talks

Theresa May says ‘a positive and constructive partnership’ with the EU after Brexit is the target. Beneath the jargon, the message to Brussels in the government’s latest position paper is simple: a trade deal is in your interests too. Ministers are at pains to point out that a messy Brexit won’t just do damage to the UK. It’s true there are some in Brussels who will be keen to teach Britain a lesson for having the temerity to leave. The government’s pamphlet is a warning to that method of thinking. Here are seven cards the Government thinks it can play in negotiations on trade: Britain runs a trade deficit with the EU: Last year, the EU

What the papers say: A Brexit trade deal is in everyone’s interests

‘It is vital for our future prosperity’, says the Sun, ‘that we cut a trade deal with Brussels’. David Davis was correct then, the paper argues, to ‘call on the EU to start trade talks running “parallel” with our exit talks’. ‘After all, how can we settle our bill until we know what we’ll get in return,’ the paper asks. The Sun goes on to point out that, no matter how much it might wind up ‘EU bosses’, the EU sells us £96bn more than we sell them’. This makes one thing clear: ‘a free trade deal is in their interests too’. ‘EU chief negotiator Michel Barnier has been throwing his weight

The Brexit referendum joins Iraq and Suez on my list of political disasters

To the Business School at the University of Edinburgh to be interviewed on the theme of ‘Great Political Disasters’. Main criteria for inclusion: decisions, often taken for short-term reasons, whose unforeseen consequences have echoed down the ages. Everyone will have their own little list, but mine included the Balfour declaration, Partition, Suez, Wilson’s failure to devalue in 1964 (which haunted subsequent Labour governments), Denis Healey’s IMF loan in 1976 (which he later admitted had been unnecessary and which led to the Winter of Discontent and the election of Margaret Thatcher), the poll tax, Iraq and the Brexit referendum (yes, I realise that the jury is still out on that last

We all know Britain must be ‘open for business’ when we leave the EU – but how?

As Brexit continues to dominate the headlines there is, understandably, a great deal of anxiety surrounding the UK’s future prosperity, and our ability to protect and grow Britain’s reputation as a major business centre. What is agreed almost across the board is that we must ensure we make post-Brexit Britain an attractive business environment. The referendum was a largely political event, but its economic consequences are enormous and will be felt for years to come. If we want a positive economic outcome from the vote, then UK business needs to flourish. But what’s talked about far less is how to create the conditions that will allow that to happen, which makes Number

What the papers say: The Brexit cynicism is getting predictable

‘Here we go again’, says the Sun, which criticises the ‘chorus of doom-mongers’ who pop up whenever the government proposes a ‘sensible, serious suggestion for moving towards Brexit’. On Tuesday, this reaction was sparked by details setting out plans for a customs union after Brexit. Now, a fresh wave of cynicism has greeted the idea of a ‘frictionless’ border between Northern Ireland and Ireland. “It can’t be done,” they groan,’ says the Sun – expect, according to the paper, it already is. Take the border between Norway and Sweden, for example, which has ‘almost exactly the same arrangement that is being proposed for Ireland’. It’s true there’s a risk of opening

The many sides of satire

Brexit the Musical is a peppy satire written by Chris Bryant (not the MP, he’s a lawyer). Musically the show is excellent and the impressions of Boris and Dave are amusing enough, but the storyline doesn’t work and the script moves in for the kill with blunted weapons. Everyone is forgiven as soon as they enter. Boris swans around Bunterishly, Dave oozes charm, Theresa May frowns and pouts in her leather trousers, and nice Michael Gove tries terribly hard to be terribly friendly. Andrea Leadsom, known to the public as a furtive and calculating blonde, is played by a sensational actress who belts out soul numbers while tap-dancing in high

The government’s Brexit Irish border plan is lacking in detail

Avoiding a hard border between Ireland and Northern Ireland is the government’s top aim in Brexit talks. Brussels wants much the same: the EU Parliament’s chief Brexit negotiator Guy Verhofstadt has insisted that there should be no return to a fixed border. This is an aspiration shared by the EU, which makes the issue one of its three priorities before Brexit talks can proceed to the next stage. The Tories’ new friends-in-government are also agreed – and so, too, is the Irish government. Rarely does Brexit generate such unanimity. So if all sides are agreed, you’d be forgiven for thinking things should be straightforward. Unfortunately not. While it’s clear what

In defence of Britain’s political centre

Writing in the Times today, Hugo Rifkind charges that centrists do not want to smash up the existing order and start again. As someone who runs a centrist think tank, I can only say: guilty as charged, your honour. And if it please the court, I’d like a further crime to be taken into consideration: I like Britain. By that I mean I don’t recognise the bleak caricatures of this country offered by many people who define themselves as Right or Left.   The Right’s description of a country enfeebled by regulation and tax and divided by migration is a nonsense that ignores the necessary role of the state in making markets

Watch: Labour shadow minister dodges Brexit question 11 times

Would a Labour government take Britain out of the customs union after Brexit? It’s a simple enough question – but not it seems if you’re the shadow international trade minister, Bill Esterson. The Labour MP has been busy touring the airwaves this morning, criticising the government for its Brexit transition period plans. While Esterson is quick to find fault with the Tory approach, he is less keen to answer questions on what the plan would be if Jeremy Corbyn made it to Downing Street. On the Today programme, he refused repeatedly to say where Labour stood on the issue: Justin Webb: …does that mean being in the customs union or out? Bill

Will the EU agree to the government’s Brexit customs union plans?

Britain’s Brexit wish list is slowly being filled out. Today, the government sets out its plans for the temporary customs union it wants with the EU after Britain leaves in 2019. Brexit secretary David Davis says the aim for this new relationship is for it to be as ‘close as we can to the current arrangement’. This will please the likes of Philip Hammond and the Times are painting this proposal as a victory for the Chancellor over Liam Fox in the ongoing Cabinet tussle. It will also placate businesses eager to avoid a cliff-edge. As ever with Brexit negotiations, not everyone will be entirely happy. David Davis was keen

What the papers say: The dangers of a rushed Brexit

Theresa May is back from holiday and the Brexit work continues in earnest. Over the next few days, two key papers – spelling out detail on the customs union and the Irish border – will be published. There’s no doubt, says the Times, that this ‘is a crucial week for Brexit’. ‘After more than a year of disagreement and drift’, there are now some ‘encouraging signs’ that things are slowly being put in order: the joint article written by Philip Hammond and Liam Fox and which was published yesterday advocating a transition period, is one such sign. The publication of reports ‘to flesh out the banal slogans’ touted so frequently so

The panic about a Brexit legal limbo isn’t justified

In widely reported remarks earlier this week, Lord Neuberger, the outgoing President of the Supreme Court, called for Parliament to tell our judges very clearly how rulings of the Court of Justice of the European Union (CJEU) are to be dealt with after Brexit. Lord Neuberger’s concern is to avoid judges being left without guidance, required simply to do as they see best, which might invite the unfair charge that they are choosing to make law, whereas in fact they would have been left with no alternative. This concern to leave political questions to the political authorities, echoed in a recent speech by the outgoing Lord Chief Justice, Lord Thomas,

Portrait of the week | 10 August 2017

Home British negotiators are prepared to pay up to £36 billion to the EU to settle the so-called divorce bill for Brexit, according to the Sunday Telegraph. By voting for Brexit, ‘the old have comprehensively shafted the young’, the leader of the Liberal Democrats, Sir Vince Cable, aged 74, wrote in the Mail on Sunday, ‘imposing a world view coloured by nostalgia for an imperial past on a younger generation much more comfortable with modern Europe.’ Lord Neuberger, who will retire as president of the Supreme Court next month, said that the government should ‘express clearly what the judges should do about decisions of the European Court of Justice after

Scottish nationalism is having a nervous breakdown

When Nicola Sturgeon’s indyref2 gamble backfired and the SNP got slapped around in the election, it was only a matter of time before the Nats turned on each other. But few expected things to blow up quite so quickly. Anger and anguish, division and recriminations – Scotland’s separatists have spent the past few months afflicting their movement with the rancour they visited on the country for five years. Scottish nationalism is going through a nervous breakdown. Its bloggers are in open warfare. Nicola Sturgeon is under fire from one of her former MPs for throwing her under the bus after a raft of bad headlines. The pro-independence National newspaper has been derided by an MSP as

England Lost/Gotta Get A Grip

Two songs in which Sir Michael informs us that he is distressed by both Brexit and Donald Trump. Released with, according to the 70-year-old singer, ‘urgency’: he can see that we are in trouble and was naturally anxious to help us out. The first, ‘England Lost’, is at least redeemed by a soupçon of wit. Jagger explains that he went to see England play football but that they lost, and he got wet in the rain. But it then turns into a sort of state of the nation thing, by the simple addition of an apostrophe and the letter ‘s’. England’s lost, he bemoans, and chucks in an incoherent allusion

Why is your holiday exchange rate so awful? Because investors see hope for the eurozone

As usual for August, I’m in France, where the news in brief is ‘Euro up, Macron down’. The youthful French president, who swept to power with two-thirds of the second round vote in May, has seen his approval rating plunge to 36 per cent — at the time of writing, 2 per cent worse than Donald Trump’s latest score in the US. Macron’s move to slash housing benefits for millions of lower-income citizens, including students, is one factor that has brought his honeymoon with French voters to an abrupt end, though his proposed labour law reforms are still playing well with employers. Two-thirds of French small-business owners say they are

What the papers say: It’s time for some Brexit clarity

Ruth Davidson has called into question the government’s pledge to bring net migration down to the ‘tens of thousands’. The Sun welcomes her comments and says that it is ‘good to hear a senior Tory…talk sense on immigration’. The migration target, according to the paper, is a ‘random, nonsense figure’ and achieving it would probably entail doing damage to the economy. It’s vital, of course, that immigration does come down, given that ‘some communities’ are struggling to cope with the influx of people. This shouldn’t mean doing damage to Britain’s businesses though, and the paper says it is high time for a ‘serious debate’ about the right level. But for

The furore surrounding the Brexit divorce bill is hotting up

The furore surrounding the Brexit divorce bill is hotting up. The weekend’s papers saw speculation that Britain would cough up £36bn as part of a settlement package for its departure from the EU. Nonsense, says Downing Street, with the Prime Minister’s spokesman saying this morning: ‘I don’t recognise the figure’. It’s not only the government hitting back; Tory eurosceptics are also turning up the volume. Yet while the government is eager to talk down the size of the bill, the criticism coming from the backbenches is less nuanced. Instead of quibbling over the amount, the likes of Jacob Rees-Mogg and John Redwood dismiss the bill out of hand. Rees-Mogg wrote on

For Iraq’s Kurds, independence looks tantalisingly close

Next month, Iraq’s Kurds head to the polls in an eagerly-awaited independence referendum. Ahead of the vote, on September 25th, the country’s Kurdistan Regional Government is searching for inspiration from abroad. Brexit, unsurprisingly, is an obvious pick; many Kurds are hoping that Kurdexit could – as with Britain’s shock departure from the EU – finally become a reality. Yet for all the parallels between the two movements, the champions of Brexit are lukewarm in their support for the Kurdish cause. Boris Johnson said that Brexit was ‘about the right of the people of this country to settle their own destiny’. He was somewhat colder on the issue of Kurdish independence.

Why fudging Ireland’s Brexit border issue can only mean Troubles ahead

The question of what kind of border after Brexit will exist between Northern Ireland and the Republic will, I predict, become a very thorny one indeed as negotiations crawl into the autumn. Talk of ‘putting the border in the Irish Sea’ — somehow leaving the north inside the EU for customs and immigration purposes, but cut off from European funding — was a red herring that provoked DUP tantrums, but more significant was the weekend outburst from Taoiseach Leo Varadkar. As far as his government is concerned ‘there shouldn’t be an economic border… and we’re not going to help [the British] design some sort of border that we don’t believe