Britain will have at least two bumper free trade deals in place after Brexit transition ends: Brexit News for Tuesday 3 April

Britain will have at least two bumper free trade deals in place after Brexit transition ends: Brexit News for Tuesday 3 April
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Britain will have at least two bumper free trade deals in place after Brexit transition ends…

Britain will have at least two bumper new free trade deals signed and ready to implement on the day the transition period ends, according to internal government forecasts. Deals with the likes of Australia and New Zealand are expected to be prioritised so ministers can show voters they are delivering on referendum promises on the day Britain is finally free of EU rules on January 1 2021. These will be in addition to dozens of current free trade agreements that Britain currently enjoys as a member of the EU that Theresa May wants to roll over after Brexit. These include comprehensive trade deals with South Korea, Canada, South Africa and Chile. International Trade Secretary Liam Fox will finally be able to start negotiating and signing free trade deals with third countries when Britain leaves the EU next March. – The Sun

…as Liam Fox warns Theresa May he will quit the Cabinet if the Brexit deadline slips beyond 31 December 2020…

Liam Fox has warned Theresa May he would walk out of the Cabinet if she tried to extend the Brexit transition. The International Trade Secretary told the PM he would refuse to back lengthening the current 21 month long period beyond December 31, 2020. Mrs May alarmed Brexiteers this week by warning MPs on Monday that her Brexit timetable may slip as the complexity of the task emerges. Any extension would further delay Britain’s ability to sign trade deals with the rest of the world. Quizzed on the possibility, Dr Fox refused to rule it out. But the Cabinet minister insisted: “I wouldn’t like to see that, nor would I support an extension. The public would see an extension beyond 2020 as too slow, given that it would be a number of years since the referendum”. – The Sun

…while May plans controversial ‘customs partnership’ to unlock Northern Ireland dilemma

Prime Minister Theresa May is stepping up plans to tackle the Irish border question in Brexit talks through an audacious customs scheme once described as “magical thinking” in Brussels. The scheme, which will be discussed with EU officials this month, would see the UK act as the external frontier for the EU, collecting tariffs and carrying out other checks on imports, but it could take many years to introduce. A new ministerial group on Northern Ireland, including chancellor Philip Hammond, Cabinet Office minister David Lidington and Northern Ireland secretary Karen Bradley has been set up to oversee planning for the Irish border. – FT (£)

Election watchdog officials face calls to resign over Brexit ‘bias’

Confidence in the elections watchdog is evaporating as it emerged that almost half of its board have made public statements criticising the pro-Brexit campaign or backing calls for the result to be overturned, despite strict impartiality rules. The body’s code of conduct states that commissioners must “act at all times” to “uphold its impartiality”. It led to calls for the commissioners to resign, as MPs suggested their personal views could have been behind the Commission’s refusal to investigate alleged illicit collusion by pro-Remain campaign groups, while conducting several inquiries into the official Leave campaign. – Telegraph (£)

  • Election watchdog officials urged to resign over ‘Brexit bias’ after nearly half of its board made pro-Remain statements – The Sun
  • Electoral Commission must be impartial – Telegraph editorial (£)

Observer admits Cadwalladr’s Cambridge Analytica/AIQ conspiracy theory is wrong

A humiliating correction for Carole Cadwalladr in today’s Observer as her conspiracy theory that Cambridge Analytica, AggregateIQ and Vote Leave were all working together falls apart: ‘In two news articles last week (“Revealed: the ties that bound Canadian data firm to Leave campaign in referendum” and “Brexit insider claims Vote Leave team ‘may have broken law’”), we are happy to clarify that we did not intend to suggest that AggregateIQ is a direct part and/or the Canadian branch of Cambridge Analytica, or that it has been involved in the exploitation of Facebook data, or otherwise been involved in any of the alleged wrongdoing made against Cambridge Analytica. Further, we did not intend to suggest that AIQ secretly and unethically co-ordinated with Cambridge Analytica on the EU referendum.’ – Guido Fawkes

  • For the record: This week’s corrections – Observer
  • Yesterday’s Cadwalladr claims untrue too – Guido Fawkes
  • Observer’s Carole Cadwalladr’s mixed messages – Spectator
  • We advised scepticism about the Brexit conspiracy theories – and now The Observer is ‘clarifying’ its allegations – Mark Wallace for ConservativeHome

> Last week on BrexitCentral: Brexit whistleblower’s inconsistent and inaccurate claims

NHS will gain cash in Brexit, vows Theresa May…

Theresa May has insisted that EU withdrawal will mean more money for the NHS and schools, despite Treasury forecasts of slower growth leading to lower tax revenues after Brexit. As she conducted whistle-stop visits to the four nations of the United Kingdom to mark a year until Brexit day, the prime minister called on Britons to “come together” to seize the “great opportunities” she expects as a result of EU withdrawal. She said that additional resources would be available for hospitals and education once Britain stopped sending “vast sums” annually to Brussels. – Times (£)

…as Theresa May also assures UK fisherman we’ll control our waters after Brexit

Theresa May has promised Scotland’s fishing communities that she will not cede control over UK waters to Europe after Brexit. On a visit to Scotland, the prime minister tried to quell fears that UK fishing rights could be traded away to Brussels in return for concessions in other areas. She said that Britain would become an “independent coastal state” which would decide who could fish in its waters. With one year to go before Britain leaves the EU, the prime minister marked the date by touring the UK, starting at a textile factory in Ayrshire. Her other stops were in Newcastle, Belfast and Barry, south Wales. She vowed to regain control of “our laws, our borders and our money”. – Times (£)

  • Labour warn fishing and farming ‘could be bargained away’ in Brexit talks – Plymouth Herald

Northern Powerhouse minister who supported Remain admits he “got it wrong on Brexit” and would now vote to Leave with his local economy booming

The Minister for the Northern Powerhouse also insisted the government is making “great progress” in the Brexit negotiations with the European Union. Mr Berry, 39, described himself as a “reluctant remainer” during the referendum. But the former solicitor has now had a change of heart thanks to the boost in economic performance in Lancashire and the North West. – Express

Factories set to step up investment, says BoE…

Britain’s manufacturers plan to step up investment as factories operate near capacity, Bank of England agents reported on Wednesday. “Robust growth in goods exports had tightened capacity and, together with improving profit margins, strengthened investment intentions in manufacturing slightly,” the agents said in their report on the state of the UK economy during the first three months of 2018. The 12 agents, who operate from regional offices across the UK, conducted interviews with at least 700 businesses between late December last year and February this year for the report. While some businesses had deferred investment because of Brexit-related uncertainty, a combination of the fall in the pound after the EU referendum and robust global economic growth meant they now needed to find additional capacity to fulfil export orders, they said. – FT (£)

  • UK investment is at a record high. So why has almost no one reported it? – Ross Clark for the Spectator  

…as former Boris Johnson advisor says London will remain world’s major financial centre post-Brexit

Speaking to Bloomberg, the Chief Economic Strategist at Netwealth Investments claimed that despite the political uncertainty of the first stage of the Brexit negotiations, markets are feeling confident London will remain the number one financial hub in Europe as well as potentially in the rest of the world. Mr Lyons said: “So we’ve gone through the first stage of the process and now we’re entering the next stage and all the noises are that as we thought, or as I thought and many others thought, it makes economic sense for both sides to agree.” – Express

  • UK’s had a change of mood on Brexit, says Gerard Lyons – Bloomberg  

Brexit academic says EU will collapse like Soviet Union

The European Union has similar characteristics to the Soviet Union and will suffer a similar fate within a generation, a Brexit-supporting academic says. In a report for a pro-Leave group Gwythian Prins, an emeritus professor at the London School of Economics, said that the failings of the EU meant that, like the Soviet Union, the bloc would not outlast a human lifespan. He said that its “mounting complexity and declining legitimacy” had already sowed the seeds of its demise and Brexit was merely the start. – Times (£)

Gisela Stuart: No one should be in any doubt now that Brexit will happen

A senior lawyer told me that it was only when he saw the chart of progress made by Barnier and Davis in the negotiations, that he finally accepted that we are leaving the EU. Some still have to make that journey, here and in Brussels, but this month’s EU Council meeting one year after triggering Article 50 should leave no one in any doubt that Brexit will happen. As before the public are ahead of many of their political leaders.  In polling conducted for Change Britain, 57 per cent want the government to get on with Brexit and to take back control of our borders, laws, money and trade. This was supported across all ages, classes, regions and political parties and was even supported by nearly a third of those who voted Remain. – Gisela Stuart for the Telegraph (£)

Jacob Rees-Mogg: Brussels has had the upper hand in the Brexit talks so far, but liberty is still in sight

Freedom from EU structures and regulations will revitalise the UK’s economy.  Politicians can be held to account for what they do without blaming Brussels bureaucrats and we will not be bound by the statist, mixed economy approach that has hampered our economic growth.  The destination of ‘Liberty’ is still in sight even if there have been some winter squalls, when we arrive we will recognise that these were not significant. – Jacob Rees-Mogg for the Telegraph (£)

Shanker Singham: We need to start acting like the independent nation that we are about to become

We must move from a mindset where UK negotiators think the EU and UK are basically trying to sort out a problem that the British electorate has given them, but are now on opposite sides of the table in a trade negotiation.  The EU does not always have UK interests at heart as they have already demonstrated in a number of ways, most recently with respect to the manner in which our negotiations in the WTO are concerned. We need to become more savvy about their negotiation tactics. – Shanker Singham for the Telegraph (£)

  • EU in control after securing UK concessions over Brexit and offering ‘little in return’ – Telegraph (£)

Victoria Hewson and Radomir Tylecote: We must stop negotiating with ourselves over Brexit

A year ago, Theresa May gave notice under Article 50 of the Treaty on European Union that the UK would be leaving the EU. It feels like a lot has happened since then, including a general election and seemingly endless debates about whether we are really leaving the customs union and the single market (or whether Brexit should happen at all). EU figures like Jean-Claude Juncker and Michel Barnier have criticised a lack of clarity in the UK’s position. But when you look back at the content of the Article 50 notice, it clearly set out the Government’s intentions. – Victoria Hewson and Radomir Tylecote for the Yorkshire Post

Kate Hoey: The idea of reversing Brexit would be laughable if it wasn’t so undemocratic

“The people are entitled to change their minds”. “The referendum was only advisory”. “They didn’t really understand what leaving the EU meant”. Week after week the zealots on the Remain side supported by the usual suspects in the establishment repetitively push this mantra all ending with “that’s why we need another referendum!” The referendum in June 2016 was the highest turnout for any UK-wide vote since the General Election of 1992 and the biggest expression of democratic participation in British history. Ideally, like the Scottish referendum two years earlier, the EU referendum should have been explicitly legally binding. But Parliament explicitly voted for a referendum and stated then that the result whatever it turned out to be would be accepted. – Kate Hoey for Huffington Post

  • The master plan to stop Brexit: Best for Britain group trains activists how to persuade Leave voters – Charlie Cooper for Politico
  • Remainers need to get over it: they lost – Simon Heffer for the Telegraph (£)
  • Why it’s unfair to tell us Diehard Remainers to “get over it” – Nicholas Mazzei for ConservativeHome

Wolfgang Munchau: Britain’s economy has failed to collapse and the EU has moved on

The EU has moved on. This is a point rarely considered in the UK. A good example of the gap in perceptions was the inept attempt by Vince Cable, the leader of the Liberal Democrats, to get EU liberal leaders to sign up a declaration in favour of a second referendum. The other liberal leaders — including Mark Rutte, the Dutch prime minister — did not agree to a joint declaration because EU leaders do not conspire with opposition politicians against their colleagues in the European Council. The EU also has more important things to worry about: the looming trade war with the US, the diplomatic stand-off with Russia and, not least, the reform of the monetary union. A Brexit reversal would require, at a minimum, a failure to agree the Article 50 withdrawal treaty or a vote by the UK parliament not to ratify it. There would also have to be new elections, which cannot be a foregone conclusion under the Fixed Term Parliaments Act. – Wolfgang Munchau for the FT (£)

  • EU chief Guy Verhofstadt ‘more hopeful than ever’ of good Brexit deal for Britain and EU – The Sun

Henry Newman: The unified reaction to the Skripal affair suggests talk of Britain’s ‘isolation’ was premature

Last week marked the half-way point in the tight timetable of the Article 50 period. With little more than six months of actual negotiating time remaining, there’s a huge amount still to be agreed between the EU27 and the UK. But in his interview with Andrew Neil, David Davis was bullish, boasting of the good progress which has been made so far. It’s fair to say that the Government has been having a good run of things recently – getting agreement for the transition deal and securing widespread international support for its action against Russia in the wake of the Skripal affair. Meanwhile, it’s remarkable to look back over the last year at changes across Europe. France is basking in the glory of a new ‘sun king’, conveniently forgetting that Macron was within five per cent of being defeated in the first round of the presidential system by two anti-Euro candidates. – Henry Newman for ConservativeHome

  • Theresa May has shown Putin that the West can still unite – Spectator editorial

The Sun: One year to go until Britain takes a giant leap into a new golden era

A year from today Britain will have taken a giant leap into a new era. The Sun is convinced it will be a golden one. Leaving the EU opens up huge opportunities. To trade independently with the wider world, refocus on training our own workers for the rapid economic changes tech will bring and, yes, to take back control of our laws, borders and money. Admittedly, little will change immediately or even for the following 21 months. But during that period we must secure our trading future with other economies. It has been suggested that staying in a customs union with Brussels should be Theresa May’s next compromise to get a free trade deal with the EU. That would be insane — a key Brexit component lost. – The Sun editorial

Comment in brief

  • James Forsyth: Theresa May can see clearly now the pain’s gone since the General Election — and must focus on Brexit deal – James Forsyth for The Sun
  • As Brexit looms in less than a year, here’s how to approach devolving power – Rebecca Lowe for ConservativeHome
  • John Redwood: The role of the civil service in Brexit – John Redwood’s Diary
  • How should we reform our tax system after Brexit? – Jonathan Clark for ConservativeHome
  • Why is the Government talking about a Brexit transition period at all? – John Longworth for the Express
  • Diane James MEP: Subversive Remainers are trying to lead the UK towards Brexit In Name Only – Diane James MEP for City A.M.
  • The perils of surrendering sovereignty – David Alexander for the Spectator
  • Emily Thornberry exposes the Labour headache it doesn’t want to talk about – Stephen Bush for the New Statesman
  • Brexit can be harnessed for good. The left hasn’t realised this yet – Faiza Shaheen for the Guardian
  • Brexit’s anti-climax – Oliver Wiseman for CapX
  • The EU gets it, and decides to become more giving and forgiving – John Redwood’s Diary
  • Our survey. Half of Tory members are satisfied with May’s transition deal. Almost two in five are dissatisfied. – Paul Goodman for ConservativeHome

News in brief

  • Sinn Féin call for unity vote within five years of Brexit ‘irresponsible’, warns Fine Gael – The Times (£)
  • Iain Duncan Smith Says Having Clarity on Brexit is Critical – Bloomberg
  • Post-Brexit passports contract: De La Rue to appeal against decision – Guardian
  • De La Rue fights in court for contract to make blue passports – FT (£)
  • Easyjet CEO Johan Lundgren says forced sale of UK shares after Brexit “won’t need to happen” – City A.M
  • From Nigel Farage to Jacob Rees-Mogg, what do Brexit bigwigs think our final year in the EU will look like? – Telegraph (£) Australia to demand Britain accepts hormone‑treated beef – Times (£)

  • Government plans for Brexit have ports braced for storm – Times (£)

  • BBC Breakfast hosts fall for April Fools Brexit emoji joke – Evening Standard

And finally… Theresa May buys painting showing moment she signed Article 50 letter

Theresa May has paid out of her own pocket for a painting that depicts the symbolic moment of her signing a letter to begin the Brexit process. The portrait of the prime minister notifying Brussels of her decision to trigger Article 50, which formally began the two-year countdown to Britain’s departure from the EU, was given to Ms May by Tory peer Lord Moynihan, according to the official register. Painted by artist James Drake, it depicts Ms May seated at a desk in Downing Street, penning the historic missive to European Council president Donald Tusk last year. – Independent