Brexit

A small cheer for Liz Truss’s treaty with Japan. It is, says the official press release, ‘the UK’s first major trade deal as an independent trading nation’ — and we must hope, the harbinger of much bigger deals to come. Even on the government’s own analysis, this one claims to deliver just £1.5 billion to the UK economy and an increase in UK workers’ wages of ‘£800 million in the long run’, whatever that means. What it highlights, I’m afraid, is the imbalance between the range of goods and services that the post-industrial UK is actually able to offer foreign partners — and how much more we need from them,

Today has not been a good day for the government. The government’s decision last week to be so explicit that the Northern Ireland clauses of its Internal Market Bill would break international law in a ‘specific and limited way’ has caused all sorts of problems. First, it created a Tory backbench rebellion on the issue. A chunk of Tory MPs felt that the government’s position meant that they just could not support the legislation as proposed. The government has today pacified this rebellion by agreeing to table an amendment ensuring that the Commons would get a vote before these clauses are used. It is not a massive climbdown — the

Below is the full text of UK Brexit negotiator David Frost’s twitter thread in response to his EU counterpart Michel Barnier: ‘I would like to make a few comments and state a few facts, in my capacity as the PM’s negotiator in the current and last autumn’s talks. On the Protocol, we indeed negotiated a careful balance in order to preserve peace and the Belfast (Good Friday) Agreement. It is precisely to ensure this balance can be preserved in all circumstances that the government needs powers in reserve to avoid it being disrupted. On third country listings: the EU knows perfectly well all the details of our food standards rules because we

Downing Street now thinks that the chances of a Brexit deal are down to 30 or 40 per cent, I say in The Times today. The sticking point is, rather surprisingly, state aid. Since Margaret Thatcher’s election in 1979, the UK has been sniffy about the idea of government ‘picking winners’. It doesn’t use much state aid (less than half the EU average, according to the Commission’s figures), but the Johnson government doesn’t want to commit itself to something similar to the EU’s regime – it wants to use the power of the state to develop what it sees as the industries of the future. One figure with intimate knowledge of the

Throughout the last four years, you could be forgiven for thinking that everyone in Britain has been extremely passionate about Brexit one way or another. The truth is, most people are sick to death of the whole debate. This was the reason ‘Get Brexit Done’ was such an effective slogan; most voters wanted the topic laid to rest. It is this general apathy that I believe is informing Keir Starmer’s approach to Brexit as Labour leader, combined with the knowledge that while most people are sick of Brexit, we are about to enter a whole new phase of it that can’t be ignored. Passionate Remainers complain that Starmer hasn’t been

Ever since Keir Starmer became Labour leader, there have been calls for him to publicly embrace Brexit to win back seats in the ‘Red Wall’. Starmer has stayed quiet on Europe since his victory, to the consternation of many Remainers who wanted him to push the importance of extending the transition period, before that opportunity passed. This silence has been wise on Starmer’s part – and he should continue to stay silent on the European question for the time being. The calls for Starmer to announce that he’s converted to Brexit misunderstand several things, including: the nature of the electoral coalition Starmer needs to build, why Red Wall seats fell

Anyone who imagined that the departure of Britain would make for more harmonious EU summits in future will have been disabused of this belief by the four days of meetings to establish an EU coronavirus recovery fund, which came within an hour of being the longest on record. Agreement was reached on a €750 billion package — just over half of which will be made up of grants and the rest loans — but not before the French President, Emmanuel Macron, had reportedly thumped the table and accused a group of countries of putting the entire European project at risk through their refusal to sign for an even higher sum.

Politics begins and ends with sovereignty: the duty and right to make the legitimate final decision. We have seen this clearly during the pandemic. In every country, people have come to depend on their governments, whose authority rests on acknowledged sovereignty. This is as true, or even truer, in democracies: while monarchs and aristocrats could dispute sovereignty – and, where it suited them, divide up the cake amongst themselves – in a democracy there can only be one ultimate sovereign: the people. No sovereignty, no democracy. For years we have been told the illusion, if not a fraud, that sovereignty can be ‘pooled’. Who takes the final decision when sovereignty

Trade talks between the UK and the EU are in a better place than they have been at any point since they started back in March. Now, in one way this is not impressive — the diplomatic equivalent of being the tallest mountain in Holland. For the first three months of these negotiation both sides were bullish, restating their maximalist positions, and coronavirus forced the negotiations online, making diplomacy and quiet compromise trickier. But now an intensive series of talks have been agreed, some of which will be face to face. Both sides appear to be in earnest about trying to break the deadlock. The British side is, privately, far

One of the greatest prizes from Brexit is the opportunity to make the Global Britain aspiration a reality. Included is a leadership role at the World Trade Organisation (WTO) where the UK, the fifth biggest economy in the world, could help drive much-needed progress to facilitate global trade. Leadership, however, requires respect to back it up. In trade terms, that means walking the talk of trade liberalisation at home. Once free of the EU, the UK knows that its thriving farming sector will therefore require access to global markets. But the trade agreements to deliver that access must be consistent with WTO rules. Recent talk of the UK adopting a

The combination of Covid-19 and Brexit is a double whammy. The first was a haymaker that hit Britain from nowhere. The follow up will come when Britain, quite deliberately and with malice aforethought, winds up its fist and punches itself in the face. The economic impact of the virus will be accentuated by the UK leaving the EU without a deal or with a meagre free-trade agreement, warns a grim report, sponsored by the Best for Britain think tank. Business leaders do not generally get much sympathy. Watch any thriller made in the last two decades and as soon as the corporate executive appears on screen you can guess with