Brexit News for Sunday 25 June

Brexit News for Sunday 25 June
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48 developing countries set to enjoy duty-free access to UK markets post-Brexit…

Britain will maintain duty-free access to its markets once it has left the European Union for goods from dozens of developing countries. Forty-eight developing countries – including Bangladesh, Sierra Leone, Haiti and Ethiopia – will continue to benefit from the arrangements on all goods bought by the UK, excluding weapons. Some £20bn a year of goods are shipped to the UK from these countries, accounting for around half of UK clothing, and a quarter of UK coffee. – Sky News

…as Japan eyes free trade talks with Britain

Japan wants to hold informal free trade talks with Britain as it also works to sign a deal with the European Union, a report said Sunday. Tokyo’s moves aim to minimise Brexit’s impact on Japanese companies as Britain negotiates its exit from the EU, the business daily Nikkei reported. Prime Minister Shinzo Abe said he wants to reach a basic free trade agreement with the EU next month. More than 1,000 Japanese companies operate in Britain, employing some 140,000 people in the country, while Japan’s direct investment in the UK has topped 10 trillion yen ($96 billion) to date. – Mail on Sunday

May to establish new Brexit business council

Theresa May has bowed to pressure to consult business on Brexit by agreeing to form a new council that unites top industry lobby groups and senior ministers. The imminent creation of a new Brexit council follows a chorus of calls for the prime minster to avoid a “hard Brexit”. It will be co-chaired by business secretary Greg Clark and David Davis, the Brexit secretary, and is expected to meet fortnightly. – Sunday Times (£)

ECB bids for control over Euro clearing in threat to the City

The European Central Bank has stepped up the battle for control over London’s lucrative euro-clearing market, asking for extra legal powers in its loudest call yet since the Brexit vote. The ECB, which only emerged from a legal battle with Britain over where clearing houses should be based two years ago, has asked to change its statute in a move that would hand it “a significantly enhanced role” over the market, one of London’s flagship businesses. – Telegraph

Liam Fox reminds us: ‘The country made its views clear. What part of that don’t people understand?’

If another referendum was held today, Britain would still vote for the exit door, Dr Fox says. “It fills me with a great deal of irritation when I hear people saying ‘those who voted for Brexit didn’t know what they were voting for’ or ‘they only did it because they lacked understanding or were hoodwinked’,” he says. – International Trade Secretary Liam Fox interviewed for the Telegraph

Back ‘softer Brexit’, unions urge Labour

Jeremy Corbyn was under pressure from across the labour movement last night to support a softer form of Brexit as the TUC joined senior party figures in calling for Britain to retain the option of staying in the single market. The unions’ intervention followed a call from Hilary Benn, the Labour chair of the Brexit select committee, who wants the party leadership to shift position and support staying in the customs union rather than rejecting the possibility outright. – Observer

Justin Welby calls for cross-party talks on Brexit

The Archbishop of Canterbury has further accelerated pressure on Theresa May by saying cross-party talks are needed to take the “poison” out of the EU debate. In an intervention likely to infuriate many Tories, he has contrasted communities pulling together to help the Grenfell Tower victims with the country’s “fierce” differences on Brexit. – Sky News

Theresa May sends for big-hitter William Hague in bid to save Tory brand

Theresa May has sent for big-hitter William Hague to help rebuild the shattered Tory brand. She will make the former Foreign Secretary her senior outrider in a new expanded inner-circle. The PM wants to harness his experience to avoid a repeat of the foul-ups that cost her a Commons majority. Her move mirrors Margaret Thatcher who leant heavily on Cabinet veteran William Whitelaw and once told a Tory conference: “Every PM needs a Willie.” Like Maggie’s trusted aide, Lord Hague is charming, witty and popular – but behind the veneer is a shrewd and ruthless political operator. – Sun on Sunday

Tories crack the whip as MPs ordered to cancel holiday on vote days

Conservative MPs have been ordered not to take holidays abroad while Parliament is sitting amid fears the Government could be brought down by losing a vote. An email sent by the Tory whips office and leaked to The Telegraph warns that the “parliamentary arithmetic” means rules about when MPs can skip votes are being tightened. – Telegraph

Sunday Times suggests ministers want Philip Hammond as caretaker prime minister

Philip Hammond is being lined up to replace Theresa May as prime minister as part of an alliance with David Davis to deliver Brexit safely. Ministers said this weekend that Hammond should be anointed as leader before October’s party conference provided he vows to stand down after two years so that someone else can lead the Conservatives into the next election. A Panelbase poll for The Sunday Times with a large sample size of 5,000 people puts Labour on 46% — five points ahead of the Tories — and shows May’s approval rating at -17, compared with +17 for Jeremy Corbyn. – Sunday Times (£)

A year of living dangerously: Brexit, Prime Minister Theresa May and the rise of Jeremy Corbyn

Three “independence day” parties called by “leave” campaigners to mark the first anniversary of the EU referendum summed up where Britain stands after the historic vote of June 23, 2016. What should have been an occasion for celebration was tinged with irritation at the way the general election result has weakened Britain’s negotiating hand. – Sunday Times (£)

Nicola Sturgeon apologises over botched EU farming subsidies

The First Minister said there was “no complacency” in the Scottish government regarding the Common Agricultural Policy payments. The payments were due last year but many have not reached farmers because of a failure in the government’s computer systems. The deadline for the payments was next week but the government has requested an extension until 15 October in an attempt to avoid a fine from the EU. – PoliticsHome

Matthew Lynn: Why we need a Quick Brexit

As anyone in business will tell you, sometimes it is just as important to get things done quickly as it is to get them completely right. That is why the technology industry releases 1.0 and 2.0 versions of its products – because they need to get them out there, and then tweak them later if necessary. We should try the same strategy with leaving the EU for three main reasons. – Matthew Lynn for MoneyWeek

The Sun: As Brexit talks begin it becomes clear the Government must fight for a brighter future outside the EU

It’s been a year since Brits defied the polls and the political elite and voted to free the nation from Brussels’ rule. As divorce talks begin in earnest, it’s clear that a bright future outside the EU is still possible — provided the Government fights for it. The early signs are positive. Despite taking a knock to her ­authority in the General Election, ­Theresa May has shown no letting up in her ambition to secure a Brexit that takes back control of our money, our laws and our borders. Nor does she have any reason to take her foot off the pedal. – The Sun says

Neil Monnery: Brexit Britain must look to Hong Kong for a powerful blueprint for success

Our political leaders still seem to lack a vision of what Britain can achieve outside the EU, even a year after we voted for Brexit. We know we are leaving the single market and the customs union, but we have heard little of how we can navigate this turbulent period and emerge economically stronger at the end of it. – Neil Monnery for the Telegraph

Richard Tice: Thanks to Brexit, we can celebrate a year of economic success

A year ago, the nation voted to regain its sovereign independence, to get its mojo back, to have a global vision. Brave people around the country chose to ignore the absurd, cataclysmic warnings from the Davos elite. In so doing, voters thus removed from office the likes of Cameron and Osborne, who wanted to talk our country’s prospects down; they prefer the lazy comfort blanket of being a subsidiary of the EU. – Richard Tice for the Huffington Post

Adam Boulton: Livid fundamentalists watch ‘red, white and blue’ Brexit fade to grey

The year of political turmoil in Britain since the country voted for Brexit has coincided with a period of calm in the European Union. The British have said goodbye to one prime minister, David Cameron, and critically wounded his successor, Theresa May, in a general election she had expected to strengthen her mandate. It is true that Emmanuel Macron rode a populist wave that swept away candidates from the traditional main parties, but the French have ended up with a mainstream president who shares an elite educational background with many of his predecessors and is committed, like them, to more Europe, to deepening the integration of the EU. – Adam Boulton for the Sunday Times (£)

John Redwood: The PM is in a much better position this week than last – and after Queen’s Speech she can be stronger than ever

Theresa May is in a much stronger position today than over the weekend when the election results were announced. She will be in a stronger position again next week once the Queen’s Speech has been approved by the Commons, which it should be. In the immediate aftermath of the poll, the Prime Minister was distraught. All her top team had been telling her she would still win a decent majority. They must have known the Manifesto had bombed. At the same time Labour’s ever more generous offer to young people with money they did not have was winning them a lot of new friends. – John Redwood MP for The Sun on Sunday

John Redwood: Mrs May and Mrs Merkel

If the EU wastes too much of their negotiating time on making silly claims for large sums of money, and on pressing for future freedom of movement as well as accepting past free movement, they will run out of time to secure tariff and barrier free access to our market. French dairy farmers, Danish pig farmers, Dutch market gardeners, German car producers and many others who would face tariffs will not be amused if that happens. Maybe Mrs Merkel’s forthcoming encounters with the German electors will make her more realistic. It will certainly remind her of how she lost popularity over her migration policy since she last asked the voters to vote for her. – John Redwood MP for John Redwood’s Diary

Brexit in brief

  • Unlocking the benefits of leaving the EU – Bob Lyddon for the Bruges Group
  • Bad border controls are worse than none at all – Dominic Lawson for the Sunday Times (£)
  • So what, exactly, is the point of the SNP? – Alex Massie for the Sunday Times (£)
  • Our journey out of the EU may yet end up in Norway – Sunday Times (£)
  • Planemakers face Brexit on a wing and a prayer – Sunday Times (£)