Brexit News for Sunday 8 October

Brexit News for Sunday 8 October
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Theresa May plans for no EU deal – but rebels warn she must make progress by Christmas

Theresa May has decided to commit billions of pounds on preparing Britain to leave the European Union without a deal in a bid to save her premiership. The spending, which will be “unlocked” in the new year if no progress is made with Brussels, is intended to send a signal to pro-Brexit MPs that she is serious about regaining the upper hand in the negotiations. It came as rebel MPs gave Mrs May until Christmas to make real progress on Brexit to avoid another attempt to oust her. – Sunday Telegraph (£)

  • Britain needs to put plans in place for no deal – Sunday Telegraph view (£)
  • Most voters want Theresa May to stay on as Prime Minister and believe she is ‘best person to deliver Brexit’, poll shows – Sun on Sunday
  • Immediate Theresa May exit would be bad for Brexit negotiations, Britons say – Sky News
  • Conservative plotters told to get behind May amid Brexit fears – Reuters
  • Axe old guard to make way for young stars, senior Tories tell May – Observer

…as two Tory MEPs are suspended from the party after voting to block Britain’s progress in Brexit talks

Two Tory MEPs who voted to block Britain’s progress in Brexit talks have been suspended from the party. Julie Girling and Richard Ashworth were stripped of the Conservative whip after backing a move to ban all trade discussions. The pair were accused of voting against the best interests of their own country at the European Parliament in Strasbourg. Furious Brexit Secretary David Davis has written to Jeremy Corbyn urging him to take the same tough action against 18 Labour rebels who also went native. – Sun on Sunday

…amid reports suggesting Boris Johnson could be demoted in Cabinet reshuffle

Theresa May is prepared to demote Boris Johnson in a Cabinet reshuffle, it emerged last night. The Prime Minister signalled she is willing to move the Foreign Secretary in the coming weeks. She will aim to reassert her authority after Mr Johnson recently spelled out his Brexit position in a 4,000 word essay. It will be part of a move to bring in fresh blood to the Cabinet and other Ministerial positions while removing others. – Sun on Sunday

Sturgeon vows to help EU citizens stay in Scotland after Brexit…

The Scottish National Party will use its annual conference this week to detail plans that allow European Union citizens to remain in Scotland after Brexit. Speaking ahead of the Glasgow event, First Minister Nicola Sturgeon said she wants to explore “all options” to secure the rights of EU citizens who “make an enormous contribution” to Scotland. The SNP’s plan could include paying any costs that arise due to Brexit for the 20,000 EU nationals who currently work in Scotland’s public sector should they choose to stay. – ITV News

…as SNP ministers ‘compromise’ on the Brexit powers row that is threatening a constitutional crisis…

Nicola Sturgeon’s government has offered Theresa May a compromise deal to defuse a fierce row over Brexit that threatens a constitutional crisis, it has been alleged ahead of Sunday’s opening of the SNP conference. Sources close to the discussions said John Swinney, the Scottish Deputy First Minister, has proposed a system known as “differential say” to decide which of the EU’s repatriated powers are devolved to Holyrood and which to Westminster. – Telegraph (£)

  • SNP Brexit minister’s looming labour crisis warning – Sunday Times (£)
  • Lib Dem Rennie welcomes talks with SNP over Brexit deal vote – STV

…and Scottish Labour leadership candidate Anas Sarwar says he supports permanently remaining in the single market

Scottish Labour leadership candidate Anas Sarwar has said he supports permanently remaining in the single market and called on Scottish Conservative MPs to help vote down a bad Brexit deal in the UK Parliament. The MSP said it would be a “calamity” if the party loses membership of the single market and said voting to trigger Article 50 was a “mistake”. – Sunday Herald

Honda ‘committed’ to UK factory

Honda has promised to keep making and selling cars in its Swindon factory despite the raft of uncertainties facing the economy over Brexit and a hammering of profits at the plant. The Japanese car giant has sounded a bullish outlook on its future in the country despite seeing profits in its UK subsidiary fall 21pc for the year to March 31, partly down to the recent slump in the pound. – Sunday Telegraph

‘Brand Britain’ hasn’t been weakened by Brexit, says Cath Kidston boss

Given the uncertain rhetoric around Brexit, has brand Britain been weakened? “I don’t think it has, because people outside still see us as being a very creative, open country,” Wilson says. “I don’t think that, if you live in Tokyo, people think that they will be less welcome because people outside London voted to leave the EU. They have a bigger, idyllic view on the British countryside which still encourages them to visit.” – Sunday Telegraph

Brexit is a ‘once in a lifetime chance’ to thwart Eastern European gangs of puppy smugglers

Brexit is a once in a lifetime opportunity to thwart Eastern European gangs of puppy smugglers who exploit EU rules to traffic sought-after pets into Britain, MEPs and campaigners have said. The EU’s Pet Travel Scheme makes it easier for EU tourists to travel with their cats, dogs and ferrets by giving the animals a passport so they don’t have to go into quarantine. – Sunday Telegraph (£)

Brexit bounce for Holiday Inn group

Intercontinental Hotels Group (IHG), which owns the Holiday Inn brand, has been one of the main beneficiaries of the vote, leaping from £27.23 a share in June 2016 to £40.93 at Friday’s close. The jump has been partly driven by investors flocking to dollar earnings to cut their exposure to the falling pound. US revenues made up more than half the company’s turnover in the first six months of the year. – Sunday Times (£)

Sunday Telegraph: Britain needs to put plans in place for no deal

It has been a disastrous week for Theresa May, but there is one way forward for her. She must get the Brexit talks back on track and try to reach a deal that doesn’t involve too many more compromises. The political embarrasments of the conference season, allied to several errors made by the Government over the past year, mean that many in the EU think Britain is weakened – that Brussels can just sabotage the talks and that Britain will ultimately take whatever it is given. There is an obvious answer to this crisis: the UK must make it crystal clear that it is prepared to walk away without a deal. – Sunday Telegraph view (£)

Macer Hall: EU loses out if talks collapse

The Prime Minister and her lieutenant David Davis need clear heads to focus once again on the tortuous Brexit negotiations that are about to reach a critical phase. Mr Davis, the EU Exit Secretary, heads to Brussels on Tuesday knowing that the fifth round of talks will be crucial in determining whether enough progress has been made to allow discussions about Britain’s future trade relationship with the bloc to begin. Failure to move on from the nitpicking over the multibillion divorce payment to be settled by UK taxpayers and other early stumbling blocks will dramatically raise the possibility of the talks collapsing by the end of the year. – Macer Hall for the Express

Brexit in brief

  • Injecting some balance into the EU talks – John Redwood for John Redwood’s Diary
  • The crisis in Catalonia is yet another sign of a failing European Union – Tim Newark for the Express
  • Business chiefs rally in defence of free markets – Sunday Telegraph (£)
  • Marks & Spencer tights may be made in the UK once again – Sunday Telegraph (£)
  • Green power to energise British industrial growth – Sunday Telegraph
  • Ireland: Heavy-handed Brussels should back off over Apple tax bill – Sunday Times (£)
  • Europe’s national regulators clash over delegation – FT (£)