Brexit News for Sunday 21 January

Brexit News for Sunday 21 January
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CBI boss Carolyn Fairbairn calls for UK to stay in customs union…

In a major speech on Monday, Carolyn Fairbairn, the Confederation of British Industry’s director general, is expected to claim that “remaining in a customs union for as long as it serves us to do so” is “consistent” with the Leave vote in the EU referendum and “would be good for EU firms”… On Saturday senior Brexiteers accused the CBI of returning to “Project Fear mode”, in an echo of the criticism the body faced for its pro-Remain interventions during the referendum campaign in 2016. The Leave Means Leave campaign group, whose supporters include Lord Lamont, the former chancellor, and David Jones, the former Brexit minister, said the CBI appeared “unable to accept” the outcome of the referendum… The Telegraph understands that proposals for the UK to remain part of a reformed EU customs union are at the centre of a growing internal debate in Whitehall – as the idea also gains serious consideration in Brussels. – Sunday Telegraph (£)

  • CBI chief’s call to remain in customs union ‘weakens our hand’ in EU talks say Brexiteers – Sunday Express
  • UK must stay in customs union with the EU after Brexit, says CBI – Sky News
  • We must stay in customs union, urges CBI chief Carolyn Fairbairn – Sunday Times (£)
  • CBI calls for UK to stay in an EU customs union for the long term – FT (£)

> David Campbell Bannerman MEP on BrexitCentral today: The CBI is wrong yet again – this time on a Customs Union with the EU

…as new European Research Group report calls on Government to do more to talk up benefits of free trade…

A paper by the European Research Group of Conservative MPs, entitled Ready on Day One for Global Trade, warns that existing tariffs “exist to protect EU industries… at the expense of the consumer”, with consequences including higher food bills. The 17-page paper, written by Charlie Elphicke, the MP for Dover, states: “These tariffs exist to protect EU industries – often not aligned to UK industries’ interests, despite the UK being a member state – at the expense of the consumer, who pays for the higher cost of the protected industry.” Examples include the increase of tariffs on oranges to 16 per cent to counter South African competition.” The paper adds: “It is clear that Brexit must mean leaving the customs union, if not, then the Department for International Trade would be pointless and Britain would be unable to capitalise on the global trading opportunities available from Brexit.” – Sunday Telegraph (£)

Theresa May has been told she “must be stronger” in her battle for post-Brexit trade deals. Tory MP Jacob Rees-Mogg wants the PM to resist EU attempts to browbeat her into accepting their terms… In a hard-hitting report, he urges Mrs May to spend less time bartering with Brussels and focus on countries who can deliver cheaper food and clothing — such as the US, India, China and Brazil. In the report, backed by 60 MPs, Mr Rees-Mogg says removing tariffs on imported food would produce an instant benefit for Britain’s poorest. Mr Rees-Mogg, tipped as a future Tory leader, said: “Brexit is a great opportunity for the UK to build a new independent trade policy that delivers jobs, cheaper food and clothing — an immediate Brexit dividend for the British people. It is vitally important we do not compromise our ability to control our own trading destiny.” – Sun on Sunday

  • Thanks to free trade, Africa today is far from being a ‘s—hole’ – Daniel Hannan MEP for the Telegraph (£)

…while ERG chairman Jacob Rees-Mogg insists UK must end free movement the second we quit EU

The newly-elected chairman of the influential European Research Group said he will call for the post-Brexit “simplementation” period to end in 2020 – sooner than the two-year period previously suggested. Mr Rees-Mogg, who represents more than 100 Eurosceptic back- benchers from the Tory party, said it would be “absurd” to remain in the single market and allow uncontrolled EU immigration to continue after we leave in 14 months’ time… He also rejected the idea of remaining in the single market after we leave, as has been suggested by the EU and Europhiles like Mr Hammond, who favour a closer alignment… Last month, EU chief negotiator Michel Barnier called for the implementation period to end on December 31, 2020, the end of the EU’s seven-year budget cycle. “Mr Barnier wants it ended at the end of the financial period and that’s extremely logical. I want as short an implementation period as possible,” said Mr Rees-Mogg. – Sunday Express

  • 100 MPs to demand Theresa May ends free movement and takes Britain out of single market the second we leave the EU – Sun on Sunday
  • Jacob Rees-Mogg supports calls for ‘biggest party since Olympics’ to celebrate Brexit – Express

Boris Johnson urges Britain to embrace a Donald Trump visit because it will maintain ‘vital’ post-Brexit security and trade ties

The Foreign Secretary launched a defence of the controversial President saying the special relationship provides our “single most extraordinary economic relationship”. Boris signalled that postponing any visit risks “damaging the national interest” saying the US people bought £100 billion of UK goods and services in 2016. The intervention came ahead of Mr Johnson welcoming his US counterpart Rex Tillerson to London tomorrow. It will be seen as a slap down to politicians and business who want Britain to remain in the EU and stop the government from making new global trade deals… Writing in The Sunday Telegraph, BoJo also launched a blistering attack on Jeremy Corbyn accusing him of anti-Americanism. He hit out at the Labour leader and his allies pointing towards his “ignorance of this country’s economic interests”. – Sun on Sunday

  • We should welcome Donald Trump visit, says Boris Johnson – Sunday Telegraph (£)
  • Trump’s anger with May puts Brexit trade deal at risk – Sunday Times (£)
  • Johnson’s Trump initiative. Replusive – but Right. – Paul Goodman for ConservativeHome
  • Boris Johnson’s proposal for a bridge across the Channel isn’t crazy – but the backlash is – Liam Halligan for the Spectator

Jeremy Corbyn ‘under pressure’ to shift Labour policy on Brexit

Jeremy Corbyn is under huge pressure to shift party policy on Brexit as an exclusive poll for the Observer reveals a substantial majority of existing and potential Labour voters want him to back permanent membership of the EU’s single market and customs union. Four times as many Labour supporters favour that option as oppose it. The survey by Opinium also finds that more than twice as many in this group want Corbyn to support a second referendum on the eventual Brexit deal as reject it… The former shadow business secretary, Labour MP Chuka Umunna, said: “It is absolutely vital, as the party of work and social justice, that we have a clear and unequivocal policy to keep the UK in the single market and the customs union.” – Observer

  • Second referendum would be ‘extremely unhelpful’ says Labour frontbencher Debbie Abrahams – Independent

Remain campaigners welcome Speaker John Bercow’s comments that referendum voters should be able to change their minds

John Bercow, the Commons Speaker, has warned democracy is under threat and said those on the wrong side of a referendum result do not have to accept their case has been lost forever, in remarks welcomed by campaigners for people’s right to change their mind on Brexit. The Speaker is duty-bound to remain neutral on political issues, but his comments appeared to make a thinly veiled reference to the EU referendum, defending the right for people to argue for a second vote… Tom Brake, the Liberal Democrat MP and Brexit spokesman for the party, said these were “wise words from the Speaker, who is a staunch defender of our democracy”… Alison McGovern, a Labour MP and leading supporter of the Open Britain campaign, said: “The Speaker is doing his job when defending the rights of our sovereign parliament and of our historic democratic principles.” – Guardian

Sunday Telegraph: Britain must leave the EU’s customs union

It is disappointingly short-sighted, but sadly all too predictable, that the Confederation of British Industry (CBI) has chosen to argue for the status quo or something dangerously close to it. It is even more unconscionable for the organisation – which represents global corporatist giants rather than entrepreneurial firms – to claim that this is compatible with the Eurosceptic vision for global free trade clearly outlined by Leave in the referendum and endorsed by the voters. Why can’t it see that this sort of nonsense is why so many people have lost trust in big business? … It would be utterly unacceptable for this Government to negotiate a Brexit which may technically withdraw us from the EU but continue to prevent us from trading globally. The Brexiteers in the Cabinet understand this – but we now need the Prime Minister herself, and the Chancellor, to make this crystal clear. – Sunday Telegraph editorial

George Bridges: Three traps for the UK on the road to Brexit

The EU will bet that the UK has little choice but to settle on terms that tie us closely to Europe — not just in terms of the regulation of products and services, but also remaining aligned to the European social model, in return for continued free trade with the bloc… To tackle these threats, the government must answer a basic question: What kind of country do we want to be after Brexit? The digital revolution is uprooting business models and creating new industries. The future belongs to agile nations who can compete globally… The government must step up. The alternative is that we lose the initiative and the negotiations drag on for years. Britain may be forced to accept a deal that guarantees market access at the cost of future governments having no say on new regulations governing not just products and services, but employment, the environment, and so on. As someone who voted Remain, I cannot see this equating to “taking back control” of key decisions. And it would beg a simple question: what was the point of Brexit? – Former Brexit Minister Lord Bridges for the FT (£)

David Davies: Now that we’re leaving the EU, we must also quit the European Arrest Warrant

Introduced in 2004 to speed up extradition, the idea was well meant. The EAW presumes that the same rigorous standards of due process and judicial independence that exist in the UK, exist throughout all EU Member States. This principle is the system’s bedrock; essential to ensuring that when one European nation demands extradition, the individual in question has or will receive a fair trial, where their human rights and civil liberties are respected. This is patently not the case. For years now, the UK has been made to indirectly enforce charges and convictions from certain EU nations which fail to adhere to standards we command as a minimum at home. We have been made to return people to countries because they allegedly pose a political, not criminal threat. We have sent people to rot in jails which fall short of international standards, often before they have even faced trial. In so doing, we are making ourselves complicit to miscarriages of justice. For a country that so prides itself on civil liberties, this is a matter of urgency. – David Davies MP for ConservativeHome

Tom Tugendhat: Is French President Emmanuel Macron bona fide or Bonaparte?

Of course we’re friends, but we’re rivals too so it’s no surprise Macron repeated the words we’ve often heard in Brussels – we can only be in the single market if we pay and accept EU laws. He’s not punishing us – it’s nothing to do with that — it’s just that his interests are in a united EU and that means defending the rules, for now… There are real challenges ahead and a complex series of talks to get through, but the visit of France’s self-styled Jupiter president shows that others see us for what we are in or out of the EU — a world-class security partner with global reach. This week showed one thing most of all. We need to invest in ourselves. Global Britain, a nation that trades, invests and acts in every corner of the world, will only work by building up our diplomatic network so we are again the natural place for business and cooperation. – Foreign Affairs Committee Chair Tom Tugendhat MP for the Sun on Sunday

  • Le bust-up: No 10 staff ‘bullied’ Macron’s team – Sunday Times (£)
  • Emmanuel Macron might be teasing us about Brexit, but it shows he’s willing to negotiate – John Rentoul for the Independent
  • The first signs of rust on Macron’s iron hand: Those who liken the president to Napoleon should remember Boney’s fate – Niall Ferguson for the Sunday Times (£)
  • Emmanuel Macron’s Brexit charm offensive had a secret audience: Angela Merkel – Janet Daley for the Sunday Telegraph (£)

Brexit comment in brief

  • Coalition politics has turned European democracy into a beige dictatorship – Daniel Hannan MEP for the Sunday Telegraph (£)
  • Failure to form a new German government would spell the end for Angela Merkel and spark a political earthquake across Europe – Matthew Karnitschnig for Politico
  • Why France’s £44m Brexit border deal is cold comfort for Calais – James Rothwell for the Sunday Telegraph (£)
  • The City may be better off with a harder Brexit – Iain Martin for Reaction (£)

Brexit news in brief

  • Three former ministers deny ‘trying to pocket thousands of pounds by telling Chinese tycoons how to cash-in on Britain leaving EU’ – Sun on Sunday
  • UKIP leader Henry Bolton faces crunch meeting – BBC News
  • Nigel Farage may launch new Brexit party – Sunday Times (£)
  • Innocent smoothies founder slams Wetherspoons boss over Brexit saying the pub chain chief has sold out UK economy for ‘cheap Chardonnay’ – Mail on Sunday