Britain, Economic, European Union, Government, Politics

Project Fear? Countries are lining up to trade with UK

BREXIT

NEARLY all of the countries that Remain campaigners said would not want to trade with Britain post-Brexit have called for deeper trade links.

Of the 111 countries that ‘Project Fear’ campaigners said would not want a deal if the UK chose to leave the EU, 105 have signalled that they want to work with Britain.

In the build-up to last year’s EU referendum, the official Britain Stronger in Europe campaign claimed that the countries would have ‘moved on’ after Brexit.

But campaign group Change Britain found that eight nations have ‘enthusiastically’ asked for a free-trade deal with the UK, 97 have said they want a deal in principle, and just six have not yet said whether they are interested in a deal.

Former trade minister, Lord Jones, a Change Britain supporter, said: ‘This report demonstrates that the pro EU Project Fear campaign was nonsense. The UK has the world’s fifth largest economy, the world’s leading financial centre and many of its best companies, innovators and universities. The rest of the world is queuing up to do trade deals with us.’

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Britain, European Union, Government, Politics

The UK’s Brexit negotiating position is to be hardened up

BREXIT NEGOTIATIONS

BELGIUM-EU-BRITAIN

It is hoped ‘position papers’ will unify a fractious Cabinet towards a more agreeable position. This comes amid criticism that the UK is woefully underprepared for talks with the EU.

The UK Government is to start publishing a series of ‘Brexit position papers’ ahead of the next round of talks at the end of August in a bid to show the British prime minister is “getting on with the job” and that the Cabinet is unified around a collective position.

At the time of writing it is understood that a number of position papers have been sent to Cabinet ministers for sign off as No 10 prepares to publish the documents outlining its stance on some of the most pressing Brexit matters.

Some of those papers could be published in the next two weeks.

“These papers are meant to facilitate collective decision-making based on facts and evidence,” a senior source has said.

Position papers have been prepared on a range of issues from digital economy and data protection, to Northern Ireland, customs agreement and goods and services arrangements once Britain quits the European Union.

No 10 hopes the position papers will unify a fractious Cabinet on an agreed position; counter the perception that the British Government is unprepared for Brexit; and ease the burden of workload on the civil service.

“I know there is a desire to narrow the set of options and that is coming from departments rather than DExEU. It is a lot of work to keep open five or six scenarios, so there is a desire to make some decisions now, regardless of negotiations,” the source said.

Ministers and officials have been working flat out to draw up the position papers, aware that the Brexit deadline is fast approaching.

“Position papers may determine whether or not we can move to the second stage of negotiations, work in recess is vital,” the source added.

The Government is planning a ministerial write round – where relevant ministers beyond the Cabinet are given sight of the position papers – for the week beginning 21 August, suggesting papers could be published from that week onwards.

Britain and the EU cannot move onto talks about Britain’s future relationship with the EU, the second stage of negotiations, until the European Commission is satisfied “sufficient progress” has been made on the top three priorities: citizens’ rights, Britain’s Brexit bill and the Irish border.

The border issue is proving difficult. The Irish government has rejected a proposal from the British to use technology – cameras, pre-registered cargo – to avoid a hard border, and is instead pushing for the UK to join a new bilateral customs union with the EU.

Mrs May’s renewed focus on Britain’s Brexit position comes after a chaotic few weeks, with her cabinet split over a possible transition period after the UK quits the European Union and what a post-Brexit immigration policy might look like.

Chancellor Philip Hammond said in recent weeks there is now “broad acceptance” among the cabinet that a transitional period will be needed after Britain quits the EU and has said “many things will look similar” for up to three years after leaving.

That position is expected to be formalised in the position paper, with the government seeking a transitional customs arrangement to avoid a hard cliff edge for business.

 

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Britain, Government, Politics

Conservative Party drop key manifesto pledges from Queen’s Speech

BRITAIN: PARLIAMENT

Queen's Speech.

The Queen’s Speech is mainly taken up with Brexit measures in preparation of the UK leaving the European Union. A number of key Conservative Party manifesto commitments are missing from the speech.

The Queen announced 27 Bills and draft bills as she revealed the Government’s legislative agenda to Parliament.

The majority of the legislation planned for the next two years is dominated by Brexit measures, but there are also details on counter-terrorism plans, infrastructure projects and the economy.

After the Tories’ failure to win a majority at this month’s snap General Election, there are also notable absences from the Government’s plans.

BREXIT

Great Repeal Bill – A huge piece of planned legislation that aims to replicate all existing EU law into British law by the time of Britain’s departure from the EU. It will also revoke the 1972 European Communities Act, which makes Brussels legislation supreme in the UK.

Customs Bill – With Theresa May planning to take Britain out of the EU’s Customs Union, legislation is required to implement a new customs regime in order to continue the flow of goods across Britain’s borders.

Trade Bill – By leaving the Customs Union, Britain will be allowed to sign free trade deals with non-EU countries. This Bill aims to put in place the legal framework for the UK to sign any possible deals.

Immigration Bill – Both the Tories and Labour have said EU freedom of movement rules will end once Brexit is complete. This Bill will aim to implement a new immigration policy for EU nationals.

Fisheries Bill – Leaving the EU could see Britain quit the bloc’s Common Fisheries Policy. Legislation will be needed for the UK to manage its waters.

Agriculture Bill – The UK’s departure from the EU’s Common Agricultural Policy will similarly see new laws needed to manage farmland and the environment.

Nuclear Safeguards Bill – Another area in which new powers will be needed once Britain leaves the EU, with international safeguards required to be put in place once the UK quits the bloc’s Euratom organisation.

International Sanctions Bill – Britain currently places international sanctions on other countries through the European Council but will needs new legislation to take such decisions outside the EU.

TERRORISM AND DISASTERS

. A new Commission for Countering Extremism will be given the task of supporting the Government in “stamping out extremist ideology in all its forms”. There will also be a review of counter-terrorism strategy to make sure police and security services have “all the powers they need to protect our country”.

. In the wake of the Grenfell Tower fire, plans have been confirmed for a public inquiry into the tragedy. The Government also plans to introduce an independent public advocate to act for bereaved families after a disaster.

ECONOMY AND INFRASTRUCTURE

HS2 Phase 2 Bill – Legislation is planned to grant powers to build the second phase of the high speed rail line from Birmingham to Crewe as part of the £55.7bn project.

Automated and Electric Vehicles Bill – Motorway service stations and major petrol station chains will be required to install charging points for electric vehicles.

Space Industry Bill – Planned new powers will allow the licensing of new commercial space flights.

OTHERS

Courts Bill – A bid to make English and Welsh courts more efficient and accessible, including plans to ease the judicial process for victims of domestic abuse.

Civil Liability Bill – Plans to cut whiplash insurance claims will see proposals to settle claims without the support of medical evidence and a new fixed tariff for payments.

Armed Forces Bill – The Government hopes to attract more women to join the armed forces with proposals on part-time service, changes to maternity and paternity leave, and arrangements to ensure individuals are not deployed too far from home.

Data Protection Bill – Proposals to strengthen rights and hand people more control over their data, including a right to be forgotten.

WHAT’S MISSING?

. Donald Trump state visit – There is no mention of the US President’s state visit despite a reference to King Felipe and Queen Letizia of Spain’s visit in July.

. Grammar schools – The signature policy of the Prime Minister, which proved contentious with some of her own MPs, does not appear following the loss of the Tories’ majority.

. Social Care – The manifesto promises to reform social care funding, which arguably sank the Conservative’s General Election campaign, is missing along with other pre-election commitments such as the scrapping of universal free school lunches, means-testing of the winter fuel payment and an energy price cap.

. Fox-hunting – There is no commitment for a free vote on whether to repeal the ban on hunting with dogs, which appears to have been ditched.


COMMENT

The fragile conditionality of the new parliamentary order is clear for all to see as the Queen delivered her 2017 speech on the state opening of Parliament.

Conservative MPs, still shocked at the loss of their majority, managed to do their collective duty by attempting to rally behind Theresa May.

When a government has a majority, a Queen’s speech sets out the ways it seeks to change the country. This one, by contrast, contained only what the whips think they can get away with to stay in office. The list of bills was a radically emaciated version of the Conservative manifesto. Grammar schools dumped. The scrapping of the Serious Fraud Office abandoned. Foxes left to run free. The winter fuel allowance for pensioners has survived. Prison reform pointlessly scrapped. Other campaign pledges had been downgraded from certainties to possibilities, about which there will merely be consultation – on social care and the energy bill cap. Talk of an industrial strategy continues, but measures remain over the horizon. Counter-terrorism will be reviewed, as will mental health laws, though defence remains unexamined. The King of Spain will make a state visit, but of President Trump’s trip there was not a word.

The speech contained no clues about the putative deal with Northern Ireland’s Democratic Unionist Party. Talks continue, but the mood on both sides is getting irritable. What must have seemed to Mrs May like a good idea on 9 June now looks increasingly vexed, as it deserves to. The Ulster party is driving a hard bargain of cash for votes that sends an embarrassing message to Tory modernisers. Mrs May should cut her losses and trash the plan. The DUP are seeking billions in extra cash for supporting the Conservatives on major parliamentary votes. The Government cannot be held to ransom.

On the two great issues of the moment Mrs May said little that was new. Brexit will dominate the legislative agenda for the coming 18 months, but the once-trumpeted repeal bills are now shrouded in extra layers of uncertainty. The government’s EU goals remain obscure, so the legislation will contain many unresolved clauses until they are clarified. Things are no better where austerity is concerned. Facing demands for extra spending on health, care, police and schools as well as pay, Philip Hammond may be eyeing a modest reset in his autumn budget. But the government may struggle to last that long. It revealed today that the UK budget deficit is set to expand not reduce this year.

The Queen’s speech reveals a government without a clear mandate, lacking a clear plan and led by a prime minister whose credibility is clearly on the line. It is frightened of taking sensible action on both Brexit and public spending. Its programme poses an unanswered question: What is the point of this? Unless Mrs May can supply a better answer than she offered today, it looks a doomed enterprise.

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